Australia Business Law (Victoria University Bachelor of Business)

Readings:

- Parker D and Box G, Business Law for Business Students, 3rd Edition, 2013, Thomson Custom Publishing

- Sweeney, O'Reilly & Coleman, 2013/2016, Law in Commerce, 5th Ed /6th Ed., LexisNexis

Using IRAC (Issue, Rule (Relevant Cases), Application, Conclusion) format answer the case below:

June paints and sells water colour pictures and sells them from her house on weekends. On Sunday 14 April, Sam visits her studio and admires a painting of a vase of sunflowers. The price tag indicates it is for sale for $800.00. Sam offers $700.00 for it, but June says that she cannot accept less than $750.00.

Sam indicates that would be a good price but asks June to hold the painting so his wife could also look at it and approve his decision. However, Sam points out that the earliest his wife could do so would be Saturday 20 April. Betty said that would be fine and gives Sam a form that reads:

I, June, offer to sell Sam one framed canvass of vase of sunflowers for $750.00. This offer shall expire on

22 April.

Signed: June

The following Wednesday, 17 April, Wendy, an art enthusiast, visits June's studio and is very impressed by the same painting. Without haggling over the price, she buys the painting for $800.00 and takes it away with her.

The following morning June phones Sam and leaves a message on his answering machine saying that the painting has been sold for $800.00. Sam does not return the call.

Meanwhile, tells his wife about the painting and she is very enthusiastic about it. She tells Sam to just go ahead and buy it for $750.00. Sam posts a letter on Friday 19 April formally accepting the offer. The letter arrives at June's house on the following Tuesday morning.

June seeks your advice about her legal position. Advise June.