1.SAFPL has been considering buying a major new piece of feeding machinery for the sheep.The machinery costs $5 million. SAFPL's Board of Directors has not yet made a final decision to buy the machinery. Would a contract to buy the machinery be enforceable by the machinery manufacturer if the contract was executed:

(a)By being signed by David Henry for and on behalf of SAFPL?

(b)By being signed by Nick Henry for and on behalf of SAFPL?

(c) By the SAFPL common seal being fixed in the presence of, and witnessed by, Nick Henry and Patricia Henry?

(d) By being signed by Nick Henry and Patricia Henry?

(e) By being signed by David Henry and his dentist Richard Prais (Richard does not work for SAFPL)?

See HRS [23-200] - [23-400], [23-490], [23-590] and ss127 and 129 of the Corporations Act

2.Would your answer in any case be different if, unknown to the seller, SAFPL had a constitution and clause 48 of the constitution said 'a proposed expenditure of $4 million or greater must be approved by ordinary resolution of the shareholders in general meeting', and this has not been obtained?

See HRS [23-560]

3.Would your answer to 1(b) be different if David Henry had never formally been appointed as Managing Director, although he acted with the consent of the other directors in that capacity?

See HRS [23-440] andBrick and Pipe Industries Ltd v OccidentalLife Nominees Pty Ltd

4.Would your answer to 1(e) be different if David Henry had introduced Richard Prais to the CEO of the machinery manufacturer as a director of SAFPL?

See HRS [23-440] - [23-450] andCrabtree-Vickers Pty Ltd v Australian Direct Mail Advertising and Addressing Co Pty LtdandBrick and Pipe Industries Ltd v OccidentalLife Nominees Pty Ltd