Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Business Law Assignment # 2 Instructor: Yasanthi Fernando yasanthi.fernando@hansoncollege.com Worth: 5 /o of the nal grade Marks: 10 Marks Read the case study below and

image text in transcribed
Business Law Assignment # 2 Instructor: Yasanthi Fernando yasanthi.fernando@hansoncollege.com Worth: 5 \"/o of the nal grade Marks: 10 Marks Read the case study below and answer the questions below. Remember this assignment is submitted on TURNITIN. CHAPTER: Performance and Breach of Contracts CASE STUDY On April 13 the Barclays signed an agreement to purchase certain property owned by the Taylors for the sum of $15,500. The purchase and sale agreement did not specify a form of payment except that the purchasers were to pay a deposit of $500 in cash and the balance on closing. The date of closing was set out in the agreement as July 1. The agreement also contained the following provision: This sale is conditional for a period of 15 days from the date of acceptance upon the Purchaser being able to obtain a rst mortgage in the amount of ten thousand dollars ($10,000); otherwise, this agreement shall be null and void and all deposit monies shall be returned to the Purchaser without interest or penalty. This Sale is also conditional for a period of 15 days from the date of acceptance upon the Purchaser being able to secure a second mortgage in the amount of $2,500 for a period of ve (5) years; otherwise, this agreement shall be null and void and all deposit monies shall be returned to the Purchaser without interest or penalty. The Barclays were able to arrange for a rst mortgage of $12,000 and on April 28 a notice in the following form was delivered to the Taylors: This is to notify you that the condition specied in the agreement of purchase and sale between the Vendors and Purchasers has been met. The transaction will therefore close as per the agreement. On July 1 the Barclays presented a certied cheque to the Taylors in the amount of $15,000. The Taylors, however, refused to deliver the deed to the Barclays on the grounds that the condition in the purchase and sale agreement had not been complied with. The Barclays then instituted legal action against the Taylors. Discuss the nature of this action and the defenses, if any, that may be raised. Render a decision

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Contract Law

Authors: Ewan McKendrick

13th Edition

1352005255, 978-1352005257

More Books

Students also viewed these Law questions

Question

5.12 What are the disadvantages of rent-to-own contracts?

Answered: 1 week ago

Question

An improvement in the exchange of information in negotiations.

Answered: 1 week ago

Question

1. Effort is important.

Answered: 1 week ago