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Case study 1 Ricky, a builder, has sought your advice regarding the following issues: 1. Ricky entered into a contract to purchase a new cement

Case study 1

Ricky, a builder, has sought your advice regarding the following issues:

1. Ricky entered into a contract to purchase a new cement mixer from Building Machinery Ltd. A term

of the contract states that 'it is a condition that the cement mixer be delivered by the 10th

December.' Unfortunately, due to an administrative error, the cement mixer was not delivered to

Ricky until the 13th December. Ricky is refusing to pay for the cement mixer and has returned it to

Building Machinery Ltd (in fact, he returned the cement mixer because he found it cheaper

elsewhere). Building Machinery Ltd is threatening to sue Ricky for breach of contract.

2. Ricky entered into a contract with Steve, under which Ricky would build a swimming pool in Steve's

garden. The contract specified that the pool should be two metres deep at the deep end, but the

pool is built with a maximum depth of 1.8 metres (the shallower depth in no way affects the value

of the pool). Steve is demanding that Ricky pay for the cost of rebuilding the pool, so that it is the

appropriate depth.

3. Karl owns a restaurant and wants to expand its seating capacity. He therefore entered into a

contract with Ricky to build an extension onto the restaurant. The work should have been

completed by the end of October, but Ricky did not finish the extension until eight weeks later and

Karl is suing Ricky for breach of contract. Karl is claiming for the profit lost as a result of not having

the extra seating capacity, an the amount claimed is higher than normal given that Karl wanted the

extension ready for the busy Christmas period. Karl also had to turn down a lucrative wedding

booking because his restaurant lacked the seating capacity to accommodate all the members of the

wedding party. Karl is also suing for the loss of profits he would have made as a result of this

wedding party.

QUESTION 2

Question 1

Tom has been arrested and charged with the suspected murder of his wife Helen. In which court

will Tom's case be heard and what type of judge is likely to hear the case? If Tom is convicted, to

what court could he appeal the decision?

Question 2

Pablo has been convicted of theft in a magistrates' court, but he feels that the magistrates have

made a mistake regarding the law. What options does Pablo have?

Question 3

Ross has been charged with theft. In what courts could his case be heard and who would

determine his guilt or innocence?

Question 4

Patrick dies and leaves his entire estate (worth 25,000) to his wife, Jennifer. Jennifer is 35 years

younger than Patrick and has only been married to him for three months at the time of his death.

Patrick's daughter, Charlotte, is not left anything under the will. Charlotte contests the will. In

what court will this case be heard?

Question 5

MediTech Ltd has alleged that BioCom Ltd has breached a term of a contract between them.

MediTech is seeking 11,000 damages. The case is extremely complex and any trial is expected to

last three days. To what track will this case likely be allocated and in what court will it likely be

heard?

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Smith and Roberson Business Law

Authors: Richard A. Mann, Barry S. Roberts

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978-0538473637

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