Albion International School engages Robert to build a new Olympic size swimming pool in the

sports complex. The agreed price is $5 million for the pool and $1.5 million for the tiling works.

For the tiles to be used in the spectator stands, AIS chose Granada Azure 8-43. The completed

swimming pool has a length of 49.92m; its depth at the ends is 1.8m rather than the stipulated

1.55m. For tiles, Robert used Granada Aqua 8-45 instead of what AIS selected. The cost of

rectifying the pool is $4 million while the cost of retiling is $2 million. The diminution in the

market value of the property is estimated to be $500,000.

AIS demands that Robert rectify the defects. Robert does not wish to carry out rectification

works but is willing to take 15% less than the contract price. Will AIS succeed in its claim?