The Third Rock Holiday Park is a case study involving various legal issues, which vary quite dramatically. This case study enables an in depth study of a wide range of contracts, their relevance and implications.

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Third Rock Holiday Park

The Third Rock Holiday Park is a case study involving various legal issues, which vary quite dramatically.  This case study enables an in depth study of a wide range of contracts, their relevance and implications.  

I have structured my analysis by discussing the three fundamental problems highlighted in the article.  These include a tender for a proposal to build a nightclub, the sale of a Sarong and Dingy and an accident on the premises, which leads to a question of liability for injury and damages.

Within each issue I have discussed the circumstances of the events, with the appropriate legal issues, comparing relevant cases and quoting relevant legislation.  Also included, are the implications that this area of law could have for the company or its clients.  A conclusion   provides future recommendations for the company.

Third Rock entertainment hall

An invitation to tender from third Rock, asked four firms to put forward a proposal by 12 noon on the 30th of August 1999 and two companies replied within the deadline.  The first proposal was from Saturn Ltd and the second was from Venus Ltd, although initially the proposal from Venus Ltd, went unnoticed, it was still delivered before the deadline.  By adopting a formal tendering procedure, Third Rock were obliged to consider and respond to each proposal that was delivered before the deadline Blackpool and Fylde Aero Club Ltd v Blackpool Council.  If the proposal from Venus Ltd, was therefore not taken into consideration, they could be entitled to damages for breech of contract.

The proposal from Saturn consisted of a promise to build the entertainment hall within three months for £105,000, or for £5000 less than any other building firm.  A referential bid would be considered invalid as it could be held that should both companies have supplied such a proposal, no contract could be formed Harvela Investments Ltd v Royal Trust Co of Canada (1985).

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The proposal from Saturn Ltd, requested a reply by return of post, this did not stipulate a “notice” of the acceptance, and the postal rules would therefore apply.  The implications of this would be that the letter of acceptance is effective at the time and date of posting.  However, this is only when the letter is correctly stamped, addressed and posted.  The acceptance from Third Rock was incorrectly addressed and therefore did not reach the destination until a week later.  It is because of the incorrect address, that no contract was formed and Saturn Ltd was not obliged to ...

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