Reference no: EM13704743
Jim and Dan would like to start an on-line technology business. They decide it would be great to go to a Technology Trade Fair in Singapore to enjoy a holiday and to source merchandise for their new business. They research accommodation options and flight deals online. Jim sees an advertisement for a new accommodation booking service "Bookit Holidays" on television, advertising amazing opening specials and encouraging people to check out their website. Jim looks on the internet and finds "Bookit Holidays" advertising one week's accommodation for two people, in a five star luxury hotel in Singapore for only $300. Realising that this was an exceptionally good deal, but not surprised because he knew that "Bookit Holidays" were running a number of good opening specials, he clicked on the special and made a booking.
That evening Jim received an email from "Bookit Holidays" explaining that there had been a mistake and the website should have said $3000. "Bookit Holidays" explained that this was still a good price because normally a week's accommodation in a five-star hotel would have cost $4000.
Jim replied by email immediately, telling "Bookit Holidays" that he was very frustrated, as it had taken him several phone calls to his mate Dan to decide if they'd make the booking. He said that if he'd had known it would cost $3000, he would never have made the booking. Jim then turned off his computer and went out for a jog to calm down.
"Bookit Holidays" replied to Jim's email Tuesday morning. They apologised for the confusion and said that they wanted to keep their customers happy so Jim could have the accommodation package for $1500, but that the deal was for a limited time and Jim would need to notify them by the close of business that day to confirm he wanted to proceed with the booking.
Jim called Dan immediately to check what Dan wanted to do, and they agreed that they'd book the accommodation at the discounted rate of $1500. Jim emailed "Bookit Holidays" Tuesday afternoon saying he'd like to make the booking for $1500. "Bookit Holidays" didn't receive Jim's email until Friday morning. "Bookit Holidays" emailed Jim immediately upon receipt of the email stating that regretfully, the accommodation had been booked by another customer on Wednesday and the deal had lapsed.
• Advise Jim as to his legal position. Does a contract exist?
• Include references to any case law and the relevant sections of any applicable legislation.
• Note: the assignment only covers material from weeks 1-5.
• For the purposes of answering this question, you are only looking at any agreement. Do not consider issues of consideration or intention.
• The answer should be no longer than 3 pages.
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