Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

1. About a year ago, McMahon Industries Pty Ltd leased a shop at a shopping mall owned by Whitlam Shopping Centre Ltd. The monthly rent

1. About a year ago, McMahon Industries Pty Ltd leased a shop at a shopping mall owned by Whitlam Shopping Centre Ltd. The monthly rent was $10,000. Bill and Sonia, the sole directors of McMahon Industries, entered into a contract with Whitlam Shopping Centre Ltd under which they guaranteed to pay the rent if their company failed to do so.

As it was in financial difficulties, McMahon Industries Pty Ltd had not paid the monthly rent on its shop for the last three months. Whitlam Shopping Centre's credit manager, Margaret, heard that last week Bill and Sonia had put their company into voluntary administration.

Advise Margaret whether Whitlam Shopping Centre can immediately start court action to evict McMahon Industries from the shop for non-payment of rent and whether it can sue Bill and Sonia under their guarantee.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Law And Society

Authors: Matthew Lippman

3rd Edition

1544392583, 978-1544392585

More Books

Students also viewed these Law questions