Community Clipper Airlines Ltd. was a small airline that operated a scheduled service to a number of remote northern communities in the province. In addition, it operated a charter service that consisted for the most part of flying hunting and fishing enthusiasts to tour- ist camps located on otherwise inaccessible northern lakes. On a day in late September, the dispatcher received a radio telephone request from the operator of a remote tourist camp, requesting an aircraft to fly in and pick up two late-season fishermen who had to return to their offices for work the next day. The dispatcher passed the flight instructions to one of the charter pilots, Red Baron. The pilot checked the aircraft, a four-passenger, single-engine, wheel- and float-equipped craft, then called the weather office for a weather briefing. The weather office reported marginal flying weather until 4:00 p.m. that day. The forecast for the period after 4:00 p.m. indicated rain and fog conditions in the area of the airport, and in the area generally. The weather was expected to close all of the neighbouring airports as well, but remain clear in the area of the tourist camp. The tourist camp was approximately two hours flying time from the airport, and given that the time was then 11:00 a.m., Red Baron decided to make the flight. She arrived at the tourist camp at approximately 1:00 p.m., but the fishermen had not yet packed their CASE 6 make a $5,000 loan, but, due to the nature of the purchase, he must first get approval from the regional office. He indicated that this was usually just a for- mality, and he did not anticipate any difficulty in obtaining approval for the loan. Hansen then entered into a written agreement with Sports Motor Sales Ltd. to purchase the sports car, with payment to be made in 10 days time. Both parties signed the agreement, and Hansen paid a $100 deposit. The company retained the sports car pending payment of the balance. A few days later, the bank manager telephoned Hansen to say that he had encountered a problem with the loan approval. The most he could lend would be $4,000. As a result of the reduction in the loan amount, Hansen found himself $1,000 short. Advise Hansen of this position at law. Indicate how the case might be decided if Sports Motor Sales Ltd. wished to enforce the agreement. For more Ebook's - Test Bank - Solution Manual Please visit our website :

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