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

Options for addressing phoenix activity , Stakeholders emphasised that a c...

Stakeholders emphasised that a coordinated, whole of government approach is necessary to mitigate phoenix activity. Stakeholders also emphasised that options should recognise th

Powers of arbitral tribunal, Powers of Arbitral Tribunal Powers of Arb...

Powers of Arbitral Tribunal Powers of Arbitral Tribunal are as Follow: For determine whether it has jurisdiction to entertain a dispute and For provide interim reme

Elements of a contract - offer, Elements of a Contract - Offer Further...

Elements of a Contract - Offer Further this is an unequivocal manifestation through one party of its intention to contract into another. So well it is a clear intimation for i

Determine the reasons of policy perspective, Determine the reasons of polic...

Determine the reasons of policy perspective The term system is needed for two reasons: i) It encompasses all sovereign states and therefore possesses the virtue of being com

Holder in due course - transferor''s title, Holder in Due Course - Transfer...

Holder in Due Course - Transferor's Title Section number 29 of the Act defines like "a holder in unpaid course" such like "a holder who that has taken a bill, so then complete a

What is the unclos 1982, The UNCLOS 1982 The UNCLOS 1982 does not stop ...

The UNCLOS 1982 The UNCLOS 1982 does not stop at gauging the limits of the territory of coastal states. Other features of the Convention include the right of transit of landloc

Illustration of rules relating to consideration, Illustrtaion of Rules rela...

Illustrtaion of Rules relating to consideration Foakes v Beer (1884) Actually On the date 11th of August, 1875 Mrs Beer wrapped judgment next to Dr. Foakes for £2,077 1

Drawee - negotiable instruments, Drawee - Negotiable Instruments There...

Drawee - Negotiable Instruments There following points concerning to the drawee should be noted. Through S.4(2) (a) provides that: like; (i) The drawee is dead or might bankr

Outline the main propositions of harts concept of law, Question 1: How ...

Question 1: How does Kelsen distinguish between the act of a gang of robbers and the act of a tax authority? Question 2: Referring to legal theorists you have studied,

Describe the separate streams of problems and policies, Describe the Separa...

Describe the Separate streams of problems and policies The separate streams of problems, policies, and politics each have lives of their own. Problems are recognized an

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