Question
Bull Pty Ltd and Moo Pty Ltd are the only Australian importers of cowhide and leather furniture. The managers of both companies meet for dinner
Bull Pty Ltd and Moo Pty Ltd are the only Australian importers of cowhide and leather furniture. The managers of both companies meet for dinner and agree to advertise cowhide and leather furniture on different Australian websites at identical prices. You look at the website FurnitureIsUs.com.au.
You see a brown and white cowhide footstool for $500. You do not read the conditions and click on “accept conditions” and “buy now”. You enter your credit card details. You are bankrupt and from a legal and ethical position regret placing the order. You email FurnitureIsUs.com.au to request the transaction be reversed because as a bankrupt, you believe you cannot enter into contracts.
FurnitureIsUs.com.au refuses to reverse the transaction. Two days later, a courier delivers a black leather pillow and a rabbit foot key-ring. You check FurnitureIsUs.com.au website and discover that the black leather pillow is listed for $200 and rabbit foot key-ring is listed for $100.
With reference to legal authority, discuss:
a) Whether there is any issue around companies agreeing to sell the furniture for the same price.
b) Whether a binding online contract was created by clicking on “accept conditions” and “buy now”.
c) Is the transaction affected by you being a bankrupt? Does the footstool belong to you or the Trustee in Bankruptcy?
d) As a black leather pillow and a rabbit foot key-ring were delivered instead of a brown and white cowhide footstool, discuss the relevant legal remedies.
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