Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Case 3: Ali and Peter, two young entrepreneurs wish to form a small proprietary limited company operate a restaurant 'Master Plate Pty Ltd'. On 22

Case 3:

Ali and Peter, two young entrepreneurs wish to form a small proprietary limited company operate a restaurant 'Master Plate Pty Ltd'. On 22 February, Ali concluded a contract with Irish Linen Ltd to purchase 18 monogrammed tablecloths and he executed the contract in the name of Master Plate Pty Ltd ('Master Plate'). On 24 February, the company was registered. The company did not adopt a constitution and each of them took 50% share and both were appointed as directors. Due to dispute between Ali and Peter regarding the contract with Irish Linen Ltd, that contract was not ratified by Master Plate until 30 march. On May 1, tablecloths were supplied by Irish Linen Ltd but not paid.

Question:

  1. Due to the case, explain who may be liable to pay for them and why.

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

Essential Criminal Law

Authors: Matthew Lippman

3rd Edition

154435598X, 978-1544355986

More Books

Students also viewed these Law questions