Reference no: EM132350252

Anil is the sole director of Ink City, a business that sells and distributes printers and ink toner cartridges. Anil seeks your advice in relation to two legal problems he is facing. Anil received a catalogue from Inkexpress in the mail advertising toner cartridges for sale at a price much cheaper than Anil has previously purchased from another supplier, with overnight delivery as a bonus. Anil needs the toner cartridges urgently as he has run out of stock of one brand in particular. He places an order by telephone but is told that the toner cartridges have sold out and he will have to wait for several weeks before they can be delivered. Anil is very annoyed and believes that the contract was made when he rang Inkexpress to place the order. Anil needs new shelves to display the toner cartridges and other items he sells. He has been negotiating with Paul, the manager of Shelving 2 U, to purchase new heavy duty shelving units to hold some of the heavier printers. Anil asks for shelving units capable of holding a load of 100kg per shelf. Paul recommends a 5 shelf unit but he does not read the correct page of the brochure which states that the entire shelf unit carries a load of 100kg (ie only 20kg per shelf). Anil purchases several shelving units. After the shelves arrive his staff put them together and begin placing packaged printers on the shelves. The shelves collapse under the weight, damaging the printers and the shelves. The shelves cost $500 each and the value of printers that are now damaged and cannot be sold is $5,700.

Question to answer: Advise Anil on the status of each contract and his remedies if any