Contract law problems, Business Law and Ethics

Assignment Help:

Case Study

Cathy's septic tank at her house was old and it suddenly stopped  working.  On 9 June 2008 she called Dave, the owner of Septix Pty Ltd (-Septix?), to urgently give her a quote on installing a new one of the same type.  Dave promised to post her a quote in the mail that afternoon which he did.  

Cathy received the quote in her mailbox on 10 June 2008 which said: -

"Enclosed is a quotation for the replacement of your septic tank, including equipment, parts and installation, at 41 Downing Street, Jockville, NSW for the amount of $8,000.  If the quotation is acceptable and you wish to proceed, please sign the enclosed terms and conditions of sale document and mail it back to us with a cheque for a 20% deposit within 7 days from the date of this quotation".

 Cathy was desperate to have her septic tank replaced as soon as possible so she decided to accept Dave's quote by signing the forms and writing a cheque for a 20% deposit and putting them both in the reply paid envelope provided by Septix.  Cathy then dropped the letter in the post office mail box that afternoon.  

On the morning of 11 June 2008, before Dave's mail was delivered, Dave realised that the quote should have said $10,000 but his secretary had mistakenly typed the quote as $8,000.  Dave telephoned Cathy to tell her this but Cathy replied that she had already accepted the quote for $8,000 and that she had posted the acceptance and the cheque back to him the day before.  Dave argued that since he had not yet received the acceptance that it was not valid.  

Using the law of contract, advise Cathy and Septix whether there was a binding contract between them.  In your answer explain the basis for your answer and discuss what rights each party has under the contract, if any.


Related Discussions:- Contract law problems

Analyze information security and cybercrime law issues, (A Safe Assign note...

(A Safe Assign note : All work submitted will be checked for plagiarism using an automated tool developed by Blackboard. Work will be checked against a variety of sources including

Judicature act - categorization of law, The Judicature Act Cap 8, Laws of E...

The Judicature Act Cap 8, Laws of England: Therefore the sources of England law are specified in the Judicature Act 1967, S.3(1) of that states in which the jurisdiction of th

Employment relations tribunal, QUESTION 1 Explain the composition and f...

QUESTION 1 Explain the composition and functions of the following institutions- (i) Employment Relations Tribunal (ii) Commission for Conciliation and Mediation QUEST

Ethical and professional requirements, It has been said that "auditors cann...

It has been said that "auditors cannot legitimately serve the 'user' public because they are hired and fired by the management of the company being audited. If management does not

What is an exemption clause, QUESTION 1 (a) Explain the word "condition...

QUESTION 1 (a) Explain the word "conditions" in a contract (b) Describe the various types of conditions that may exist in a contract QUESTION 2 Explain the term "war

State in brief about the term - reputations, State in brief about the term ...

State in brief about the term - Reputations Reputations can be defined as the actions an agent and expected to take. If he takes it up, he establishes his reputation or otherwi

Describe the term banking, Question1 Describe the term banking and what ar...

Question1 Describe the term banking and what are the permitted businesses for a banking company as per BR Act 1949 Question2 When is a negotiable instrument considered as

Articles of association, Articles of association: The memorandum of a ...

Articles of association: The memorandum of a company limited by shares or by guarantee must state that the liability of the company's members is limited. Hence the memorandum

Labour laws , Labour Laws: The small units manufacturing items reserved fo...

Labour Laws: The small units manufacturing items reserved for manufacture in small scale sector do not require any prior license. This is a major relaxation where no licensing or

Self-control in entrepreneurship development, Self-Control : Most entrepre...

Self-Control : Most entrepreneurs believe they can do the job better than anyone else and will strive for maximum responsibility and accountability. An entrepreneur needs to maint

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd