1. Bodger Ltd hired an excavator by telephone from Equipment Ltd. The excavator was to be used on marshy ground. The period of hire and the hire changes were agreed over the phone, but no other reference to the terms of the hire contract were made. On the first day of hire, the excavator became bogged down in the ground and could no longer be used without its recovery by Equipment Ltd and extensive repairs. On the day the excavator became bogged down, Equipment Ltd sent Bodger Ltd a copy of the conditions of the hire contract. These included the usual trade terms requiring the hirer to indemnify Equipment Ltd for all damage and expenses incurred by Equipment Ltd in connection with the recovery and repair of the excavator.

Advise Equipment Ltd whether it can enforce the terms against Bodger Ltd.

2. Angus owned Brenda 500 dollars in monthly instalment of 50 dollars. After paying eight instalments, Angus told Brenda that he had lost his job and could no longer keep up the payments. As a result, Brenda agreed to forgo the two final instalments. Brenda later regretted her decision and claimed the unpaid balance from Angus. Advise Angus whether Brenda is likely to succeed in her action.

Would it make a difference to your advice if you now discover that Angus had in fact lied about losing his job?

3. Hal owns a delicatessen and sells his own home-made duck pate. He sold pate to Lan, Jane and Leo and all three became ill with food poisoning. The illness lasted for a week, after which all three made a full recovery. Lan is a retired teacher. He spent the week in bed reading. Jane is a famous actress. She was unable to audition for a starring role in a new musical. The musical, starring another actress, has become a huge hit. Leo is a self-employed salesman who usually earns 1000 dollars per week from commission.

Assuming that Hal is in breach of contract, advise him as to the likely measure of his liability.