Valley Homes v. Ace Minerals Corp.
Valley Homes v. Ace Minerals Corp. Jones is a young, recently hired female salesperson working for Valley Homes, a small company manufacturing and selling prefabricated dwellings. They sell primarily to people wanting to build their own cabins and summer homes. Jones' job consists in working out the designs with the customers, pricing that design, and then working out the specifics with the engineering section, which develops plans and sets out the exact specifications for the production of the dwelling. She then follows up with the customer, even providing a contractor to build the dwelling if needed. A large mining company, Ace Minerals Corporation, as part of the development of a huge mineral deposit in northern Manitoba had to build a townsite for the miners and their families consisting of some 50 dwellings as well as a sports and recreation complex. Under the supervision of the vice-president of finance, Li, Ace Minerals published a request for tenders for the supply and erection of these 50 homes and recreation centre. Upon request Ace provided the specifications and the other details of the tendering process, including a statement that (1) once submitted the bid could not be withdrawn before the formal opening of all the bids (2) the lowest bid would be accepted, following the standard practice in the industry. Jones obtained these details and brought them
Contract Assignment.
Contract Assignment Elizabeth Pearce This problem question contains various issues that need to be explored. However, it is apparent that the primary concern is one of liability. The major question that needs to be answered is whether Smart Co can claim damages for the defective computer and whether Bright Co are liable for this. Thus it needs to be ascertained whether the terms implied by sections 13-15 of the Sale of Goods Act have been breached, and if so, whether the standard terms which contained the clause in question were incorporated into the contract. The issue of the extent of contractual liability for a breach often raises a question as to the effectiveness of an exemption clause. In this question we are specifically dealing with a limitation clause. An exemption clause is a term in a contract purporting to exclude or restrict the liability of one of the parties in specified circumstances; usually breach of contract, or other liability arising through tort, bailment or by statute. 'Exclusion' clauses are restricted to those clauses which remove, or purport to remove, liability. As mentioned, in this problem we are dealing with a limitation clause. A limitation clause is used solely for those clauses which do not remove, or purport to remove, liability entirely but, for
Essay on Construction Contract scenario. Ram Solutions (The Contractor), delivering a 15m new build science centre (The Project) on an existing occupied secondary school site for Southampton City Council (The Client), within the UK.
In submitting this assignment, I certify that all this material is my own work, except where I have indicated otherwise with appropriate references. The steps you are required to take in constructing your Practical Scenario assignment are provided below as an aid to organising your answer. For example, you might like to use these points as a basis for section headings. ) Give an outline of the project that is the focus of your practical scenario, in order to provide a context for your responses to the following: [5 marks] 2) Drawing on your practical scenario: a) Describe the basis on which your contract selection was made and evaluate how well the contract generally performed against your contract selection criteria. [25 marks] b) List the aspects of design liability that were dealt with under the contract, explaining why each was regarded as a significant feature of the project. [20 marks] c) How was risk apportioned in the contract? Evaluate the extent to which the contract provisions met the actual on-site conditions encountered. [20 marks] d) What unforeseen problem(s) arose? [30 marks] i) Explain the basis for your choice of conflict management technique to settle the problem. Assuming the problem escalates into a full-blown dispute: ii) Identify and justify a choice of a preferred dispute resolution technique. iii) Analyse how the parties are likely
Brief description regarding the case B asically, this situation starts with the offer of a contract to build a factory at the cost of RM 500,000 from Mario Ltd to Jackie Ltd on 1st March 2010. In the offer, Mario Ltd requested the reply should be sent i
Introduction - Brief description regarding the case B asically, this situation starts with the offer of a contract to build a factory at the cost of RM 500,000 from Mario Ltd to Jackie Ltd on 1st March 2010. In the offer, Mario Ltd requested the reply should be sent in the return of post. However, a mistake in the address of the letter caused the letter did not reached Jackie Ltd until 6th March 2010.After the letter received, Jackie Ltd replied that they agrees for the offer. The letter then was posted at 1 p.m on 6th March 2010. Mean while, Mario Ltd received an offer from Bobby Ltd stating that they can build the factory at the cost of RM 450,000. Then, Mario Ltd contacted Bobby Ltd on 5th March 2010 and came up with an offer with the amount of RM 400,000. After Mario Ltd hearing nothing from Jackie Ltd, Bobby Ltd agreed for the offer. Later on, on 6th March 2010, a fax was sent by Mario Ltd to Jackie Ltd stating that the offer of 1st March 2010 was cancelled. The fax was received on Jackie Ltd's fax machine at 12.45 p.m on the same day, which was 6th March 2010. However, the fax not read by anyone until 5 p.m on the same day. So, the problem arise in this situation whatever the contract formed Jackie Ltd with Mario Ltd or between Bobby Ltd and Mario Ltd. One of the notable things we have to consider in this case is there was no any date fixed for the acceptance to
Types of circumstances leading to frustration.
Discharge requires performance of obligations. The traditional rule was that complete performance was required of a party regardless of the reason for the failure to perform.1 This was unfair if failure to perform was beyond a party's control. So a doctrine developed whereby obligations under the contract ended at the moment the intervening event prevented performance - the doctrine of frustration. Blackburn J expressed it in Taylor v Caldwell:2 "in contracts which depend on the continued existence of a given person or thing, a condition is implied that the impossibility of performance arising from the perishing of the person or thing shall excuse the performance." The rule is justified 'because the circumstances in which the performance is called for would render it a thing radically different from that which was undertaken by the contract' - Lord Radcliffe in the Davis Contractors Ltd. v Fareham UDC.3 The immediate consequences are: o Both parties are relieved further performance; o Which does not remove all injustice since the party ready to perform will still be denied from the other side; o And a number of limitations are placed on the doctrine. There are three types of circumstances leading to frustration. Frustration is accepted by impossibility of a contract, this involves supervening events may make performance impossible in the situations which involve
Terms, Conditions, Innominate terms
Lord Justice Dipplock, by his judgment in Hong Kong Fir Shipping Co V Kawasaki Kisen Kaisha1, put into effect a new way of examining the cases for the breach of a contractual term and the rights of innocent party to terminate the contract or to sue for damages. Since then, the principle was the classification of the terms into 'conditions' and 'warranties'. After the leading case of Hong Kong Fir Shipping, a new intermediate level of terms category, the 'innominate terms', came in to give the courts more flexibility to judge with fairness. The classification of terms can be made in three different ways2. The first one is by Parliament. The Sale of Goods Act 1979 in many sections3 classifies the terms as 'conditions', giving guidelines to the courts. A decision based on the above Act (its previous version of 1893) was this of Arcos Ltd V Ronaasen and Sons4 when the House of Lords gave the right to the purchasers to reject the goods because what the sellers delivered did not agreed with the description that existed in the written contract5. The second one is by the courts. The courts, when the terms are classified neither by Parliament nor by the contractual parties, use their previous judgments and, after Hong Kong Fir Shipping case, the principle of innominate term to decide whether a breach of a term has such serious consequences as to bring
Determining if Armidale wool ltd is legally obligated
When determining if Armidale wool ltd is legally obligated to deliver the 200 wool car seat covers at the reduced price. Three main legal issues must be addressed. . Was the initial offer from Armidale wool ltd a valid contract? 2. Was it an offer and not invitation to treat? 3. Was the revocation of the offer done before acceptance? A valid contract is defended as an agreement made between two or more parties, whereby legal rights and obligations are created which the law enforce. When deciding if the contact was valid three main elements must be considered. ) Intention to create legal relations - The parties of the contract must intend the contract to be legally bound. Using this, it is obvious that Armidale wool ltd indented to create legal relation, with sending a written offer for the sale of 200 wool seat covers. 2) Offer and acceptance- An offer is not an invitation to treat. For an agreement to exist there must be at least 2 parties. One party must make an offer; the other party must accept the offer. The words used through out must be clear and unambiguous. An offer is a proposal by one party to enter into a legally binding contract with another. Acceptance occurs when the party to whom the offer is made agrees to the proposal of the person making the offer. Rules as to offer and acceptance by post . An offer by letter is not valid until it is received by the
Contract Essay - The decision in Williams v Roffey.
Contract Essay Tan Se Lene Tutorial Timeslot: Wed 10-11am The decision in Williams v Roffey has broken new ground in the doctrine of consideration, suggesting that if a promise to raise the price paid to the promise is made in the spirit of a genuine attempt to resolve any difficulties which might have arisen during the performance of the contract, the promise can be enforced as consideration for the new promise can come in the form of "practical benefit"1. The Court of Appeal tested the validity of this promise by reliance on economic duress, and since none was found2, the promise was held to be enforceable. This liberal view of what constitutes consideration is questionable on many grounds. Firstly, Glidewell L.J. made an error when he placed his proposition (v) before (vi) in his 6-stage test.3 Their positions should be reversed.4 The test of validity based on the absence of duress should not be the basis upon which a promise has to be enforced. That is, just because the promise was not made under duress does not make the promise enforceable if there is no consideration involved. The concept of duress is only applicable and relevant when all other aspects of the contract are met (consideration is present), and this was not the case here. A second flaw of this decision is the ramifications on future commercial contracts. It might open the floodgate to commercial
A contract is a legally binding agreement, "A promise or set of promises which the law will enforce"
A contract is legally binding, "A promise or set of promises which the law will enforce"1. Offer and acceptance are two components of a valid contract; a "meeting of the minds." An Offer is a promise by one party to act or perform in a specified manner provided the other party will act or perform in the manner requested. Consideration is an act or forbearance, or the promise thereof, which is offered by one party to induce another to enter into a contract; that which is given in exchange for something from another. Acceptance is the expression of the intention of the person receiving an offer to be bound by the terms of the offer. Its important to define an offer from an invitation to treat. An invitation to treat is defined as 'a mere declaration of willingness to enter into negotiations; it is not an offer, and cannot be accepted so as to form a binding contract'2. An invitation to treat cannot form a binding contract. There are various forms of an invitation to treat including; The display of goods, goods with a price ticket in a shop window or on a supermarket shelf is not an offer to sell but an invitation for customers to make an offer to buy. Advertisements of goods for sale are normally interpreted as invitations to treat3. The display of goods can also be seen in Fisher v Bell4. An example of this is at a supermarket where goods on a shelf5 are taken to the checkout
Advise the parties whether there is a contract between Hettie and Barbara for the sale of the piano.
Contract Law Practice Assignment Hettie is elderly and has taught the piano privately for many years. Recently Hettie has suffered some health problems and so she has decided to give up teaching and to move into a small flat. She has been forced to find another home for her grand piano. Several weeks ago she offered the piano for £2,500 to one of her favourite former pupils, Barbara, who said that she would have to think about it. Hettie said that she must know by Friday and instructed Barbara to drop a note through her front door by hand as she did not trust the postal services. On Tuesday Barbara sent a letter to Hettie by post as she'd not have time to go over to the other side of town to Hettie's house. In the letter Barbara said that she would like to buy the piano but asked whether she could pay by five instalments of £500 over a one-year period. Barbara went on to say that she assumed that the adjustable music stool and the piano music would be included. Hettie put the letter, which arrived on Wednesday, to one side and went shopping in town. Whilst she was out she met Philip and offered the piano to him. He immediately accepted and made arrangements to collect it the following week. On Thursday Barbara was in town when she met another former pupil of Hettie's, Joyce, who told her that Hettie was planning to sell the piano to Philip. Barbara was extremely anxious
