8:24 II ? Shady designs, manufactures and sells different types ofclothing. The \"Emoiacket is one of its bestsellers. Belle, a local fashion magazine, once described the Emo jacket as a musthave item in the pop-punk fashion culture. Recently, Shady opened his online fashion store. ERILUGS'V) Dorky was a fashion YouTuber and intluencer, and loved making fashion recommendations to his followers; he would post pictures and videos of fashion on his social media. Today, Dorky found Shady's online store, which displayed the brand-new EmoZ jacket with a unique skull pattern made of crystals. Next to the photo were the words \"made of 10,000 Swarovski crystals and crocodile leather\". Dorky instantly loved this jacket but found the item a bit expensive. Dorky had the following exchanges with Shady via phone before concluding the contract with Shady: Dorky: 1 love the EmoZ jacket very much but it seems a bit pricey. Shady: Thejacket is made ofa combination of crocodile leather and ox hide; Swarovski's crystals will be used to make the skull pattern. The entire jacket is hand-made from start to nish. The use ofcrocodile leather and Swarovski's crystalsjustify its price, which is HKS300,000. Dorky: Would thejacket be suitable for people with sensitive skins? Shady: Absolutely. Dorky purchased the jacket and subsequently posted numerous photos of this jacket on his social media. One month later, Dorky received a letter from the law rm of Luce, Case and Hyde LLP, requesting Dorky to return the Swarovski's crystals to Mr. Keeper, who was the real owner of Swarovski's crystals sew to the Emoljacket. Prior to the shooting that morning, Dorky was badly slashed by the sharp silver tree spikes on the jacket. Worse, Dorky developed a serious contact dermatitis aer wearing the jacket. It was subsequently discovered that traces of chromium salts were found on the jacket, which caused Dorky's contact dermatitis. Thejacket was also found to have made entirely of ox hide. With reference to Cap. 26 Sale of Goods Ordinance, advise Dorky of his rights, liabilities and remedies. (Word limit: 1,100) BHMHZ l [)8 Business Law Group Assignment Part 2 (35%) Due to Covid-l'), Shady's fashion business was hardhit. Shady approached Nancy, the potential buyer, for selling his business for HKS] million. Nancy was a young and rich second generation. She hadjust nished her degree in fashion design and had limited working experience in the fashion industry. Shady was aware ofNancy's background. To secure the sale, Shady massaged the protability ofhis business by overstating the sales gures shown in the company books. Moreover, Shady mentioned that it was probable that he would collaborate with Sara Clothing, a multinational retail clothing chain store, for introducing a series of crossover fashion products to the market in the coming two months because he had had meetings with Sara Clothing. In fact, Shady had just gotten an opportunity to introduce his Emo jackets to Sara Clothing, which was known to have never collaborated with another rm to create any crossover products within the fashion industry. Upon reviewing the nancial statements and the business prospects of Shady Designs, Nancy was very satised and said: \"Your company books look great. The prospect sounds good too. 1 am willing to buy your business for HKSI million." Six months later, Nancy discovered that the nancial statements prepared by Shady were incorrect. Actually Shady's business did not record any prot over the past years. Moreover, it was conrmed by Sara Clothing that it never had intention to collaborate with Shady for creating a crossover product. With reference to the law ofcontract, advise Nancy. (Word limit: 600) B moodle.cpcepolyu.edu.hk