1 (a). Answer the case study below using the law of contract principles. (22 marks)

Greg, a well-known University lecturer and a successful businessman had a 2020 Toyota Rush for sale and advertised this in the newspaper. A man responded to the advertisement and visited Greg's home to view the vehicle with his daughter. In his discussions with Greg, the man agreed to purchase the vehicle for $1,500,000.00 and he gave Greg a personal cheque for the sum. Greg informed him that he would need a manager's cheque but the man then informed him that he was Mr Cox, the owner of a well-known pharmacy and showed him his driver's licence. Greg had heard of Mr Cox but never met him before. He took the cheque and gave Mr Cox the car. The daughter of the crook, Mary who was 16 years old, saw Greg's old bike and asked if she could buy it from him and pay for same in two (2) installments. He sold her for $10,000 and she paid him $2,000 with the balance to be paid three days later. The following day when Greg went to the bank to lodge the cheque, he was informed that the cheque was a forgery and that the account number stated thereon was fictitious. Greg was so embarrassed; he did not report the matter to the police. Three days later, Greg was in the Liguanea plaza and saw the car parked in the parking lot and called the police. When the police arrived, they questioned a lady, Mrs Henry, as she opened the car door about her being in possession of the car. She informed them that she purchased the car the day before for $1,000,000.00 from a man who fit the description of the crook.

Greg informed her that she must give him back the car as it was sold to her by a crook. Mrs Henry refused to do so, having paid the crook and got the car papers transferred in her name. Greg also has not heard from Mary about payment for the bike. He is worried if he will be able to retrieve the car and the bike. Greg has come to you for advice. Advise Greg as follows. 1. Identify all issues arising 2. Discuss the legal principles and relevant cases 3. Apply the legal principles to the case study 4. Advise Greg