Reference no: EM132656344

HI6027 Business and Corporate Law - Holmes Institute

Question 1
Are ‘law' and ‘justice' one and the same thing? Discuss. (300 words maximum)

Question 2
While jogging around his suburb one morning, Pedro sees a speedboat parked outside a house. There is a sign posted on the boat's windshield saying:

"For sale $9,000, Text Andres on 0409876543. Direct buyers only!"

A boat lover, Pedro calls the number advertised and leaves a voice message saying that he's happy to buy the boat for $7,000. He also leaves his return number.

Andres is busy all day, and only hears Pedro's message the next morning. He calls Pedro back; he also leaves a voice message saying that Pedro's price is too low, but he can get the boat for $8,000. That same day, however, another buyer sees the boat and makes a $9,000 cash offer to Andres on the spot. Andres takes the money, signs over the boat's registration papers, and the buyer tows the boat away.

Pedro passes by Andres' house and sees that boat is gone. Panicking, he listens to his voice messages and hears Andres' message for the first time. He calls Andres right away and told him in no uncertain words that he accepts his offer. Pedro now thinks he has accepted
Andres' offer so they now have a contract.

When Pedro finds out that the boat has been sold to someone else, he gets very angry. He argues that he had already accepted Andres' verbal offer, so he had no right to sell the boat to the other buyer.

Does Pedro have a valid contract with Andres and he entitled to the boat? Explain with reference to all the elements of a valid contract. (Maximum 350 words)

Question 3
Samuel Finley has two children, a daughter Lee and a son Keaton. Samuel has a lovely beach house in Palm Beach. Sam is terminally ill and has been told by his doctors that he has less than a year to live.

Lee knows that Keaton is their father's favourite child and that he had been named in the latter's will to inherit the beach house. Lee knew that since their father did not have long to live and that he was 90 years old and starting to become mentally-weak, she could pressure him to transfer the Palm Beach beach house over to her even though Samuel may not totally understand what he was signing over. So, for four months, using pressure and threats, but more often with gentle but devious tactics, Lee succeeds in convincing Samuel to sign a transfer of property transferring the Palm Beach beach house over to her.

As his last act, before he dies, Samuel wants to set aside the transfer of the beach house to Lee. Advise him of his legal position. (Maximum 400 words)

Question 4

Answer the following, citing relevant legislation and case law in your answer:

a) What is the parol evidence rule, and what is the court's reasoning in applying the rule? (Maximum 100 words)

b) List and explain the exceptions to the parol evidence rule. (Maximum 350 words)

Question 5
TermiFab is a steel fabrication business operating in Adelaide. The business is owned by Pedram. The business has a current 10-year lease of the factory where its manufacturing operations are run. Pedram has just been awarded a contract to supply steel frames that will be used in the building a commercial shopping centre in the Adelaide CBD. Under the contract, Pedram will start supplying steel frames to the shopping centre developer in 90 days. The construction period is estimated at 24 months, and Pedram is expected to supply steel frames for 16 of those months.

Two months before the delivery date of the first supply of steel frames to the shopping centre developer, the South Australian Government compulsorily acquires the site of Pedram's factory. The factory happens to be along the route of a new tunnel link system that the government will start building.

Pedram's lessor advises him that he has to leave the premises within four months as provided by the lease contract. Pedram now has a massive problem: he must find new premises for his factory, and it might be another two to four months to establish the factory before it can start making steel frames. It is now clear that he cannot deliver the first supply of steel frames to the developer in time.

Pedram comes to you for advice. You are expected to advise on whether his contract to supply the steel frames with the shopping centre developer can be discharged by frustration. You must cite relevant provisions of law and cases in support of your answer. (Maximum 650 words)

Question 6
When is it appropriate to bring a statutory derivative action (s 236)? Draw a flowchart for the steps to be followed in an application for oppression by a minority shareholder. What are other personal rights conferred on members by the Corporations Act?

Attachment:- Business and Corporate Law.rar