Assessment Task; Respond

Question 1:

Casestudy

Mojo Beverage placed the following

advertisement in a local newspaper on 25 January:

'Come one, come all! Fishermen and women of Lake

Tranquil. We are offering to pay $100,000 to any person

who catches Lord Harry, a trout which we have tagged

and released into the lake.'

The following day was the Australia Day holiday. Lake Tranquil

was crowded with people fishing both from the bank and from boats.

At about lunch time, a rumour spread among the people on the bank that

there had been an error in the advertisement: that the true amount should

have been $1,000 and that Mojo Beverage had announced that the prize would be the lower amount.

The rumour was in fact true. Ben heard this rumour from the strange

r fishing beside him, minutes before catching Lord Harry.

A Mojo Beverage representative was on hand to certify the catch before

Lord Harry was released back into the lake, but did not say anything about the amount of the prize.

Ben is claiming that Mojo Beverage owes him $100,000.

Advise Mojo Beverage, explaining applicable legal principles

and citing relevant authorities.

Question 2:

(a) Dorper Sheep Sellers Pty Ltd was negotiating the

sale of a number of dorper sheep to a firm called Livestock Brokers,

which intended to on-sell the sheep. On 1 June Dorper Sheep Sellers

sent a letter to Livestock Brokers, setting out the number of sheep for

sale and the price per head. It asked Livestock Brokers to reply within 14 days.

Livestock Brokers sent a letter by reply dated 6 June, inquiring whether

the sale could be financed on the 'usual terms'. Dorper Sheep Sellers did not reply.

On 14 June, at the opening of business, Livestock Brokers sent a fax stating:

'We accept your offer of 1 June for the sale of sheep'. The same day Dorper Sheep

Sellers faxed back, saying: 'You're too late. We're just in the process of selling the stock

to another purchaser. Formalities will be completed by tomorrow'.

Advise Livestock Brokers as to the rights and liabilities of the parties in the light of the

commercial interactions taken place between them.

(b) Presume in (a) above Livestock Brokers sent the fax on 14 June but because of a

transmission error Dorper Sheep Sellers did not receive it. Advise Livestock Brokers

under these circumstances.

Answer ALL questions