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

Scheme of arrangement, Scheme of Arrangement: The following sequence o...

Scheme of Arrangement: The following sequence of action is necessary:  (a) application is made to the court (usually by the company itself) for an order that one or more me

Guide - african customary law, Guide - African Customary Law Furth...

Guide - African Customary Law Further the courts are to be "guided" through African customary law.  Conversely this provision provides a judge discretion whenever to allow

Determine the expansionary monetary policy, Determine the expansionary mone...

Determine the expansionary monetary policy The possible spillover effects associated with expansionary monetary policy. In particular with fixed exchange rates expansionary mon

Standard of proof in civil cases, Standard of proof in civil cases: Th...

Standard of proof in civil cases: Therefore the standard of proof in civil cases is on a preponderance of probabilities or on a balance of probabilities.  So it must be more p

Explain united nations commission on india and pakistan, Explain United Nat...

Explain United Nations Commission on India and Pakistan One such resolution dated 20th  January 1948 created United Nations Commission on India and Pakistan (UNCIP), which was

Determine in detail about the money market, Determine in detail about the m...

Determine in detail about the money market Prior to the change in monetary policy both countries are assumed to be in equilibrium at point A in both of these diagrams. Only at

Bailment – negotiable instrument, Bailment – Negotiable Instrument Wheth...

Bailment – Negotiable Instrument Whether Sir William Jones has specified the subsequent definition of bailment: like "A delivery of goods on trust on a contract, such express

Legislative or parliamentary control, LEGISLATIVE OR PARLIAMENTARY CONTROL:...

LEGISLATIVE OR PARLIAMENTARY CONTROL: (i)         Parliamentary approval and (ii)        Ministerial approval and (iii)       Publication into the England Gazette and

Entrepreneurship development, In entrepreneurship development, we have stud...

In entrepreneurship development, we have studied various aspects of Entrepreneurship Development, which will help in setting your own workshop. Though all the information has been

What are the ways by which states create international law, Different ways ...

Different ways through which States create International law There are different ways through which States create International law. International conventions mentioned under a

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