COURSE CODE: BAWB1014 COURSE TITLE: Business Law

B. BASED ON THE FOLLOWING SCENARIO, ANSWER THE QUESTIONS. EXPLAIN THE RELEVANT RULE THAT IS APPLICABLE FIRST BEFORE YOU APPLY THE RULE TO THE FACTS. (12 MARKS)

1.) Rina wishes to sell her car. She posted in Carlist. my the following advertisement. 'Toyota Camry 2.0 G, the Year 2007, one owner, careful driver. Low Mileage. RM 30,000. Welcome to view and test the car'. Several people responded to the postings. Based on the contract principles that you have learned, explain whether Rina has entered a contract with any of the person below:

a.) Bob telephoned Rina and went to her house to view the car. He produced a cheque for RM30,000 but Rina, who is

put off by Bob's rude and offensive behavior said she had changed her mind and will not sell him the car. (4 Marks)

b.) Claire visited to inspect the car and told Rina she will contact her later once she has made up her mind. Early the next

morning, Claire sends an email to Rina saying that she is buying the car and she would presume they have a contract if

she did not hear any replies from Rina by noon. Rina did not check her email that day and she has sold the car to her

neighbor. (4 Marks)

2.) Seo-Bi, a 16-year-old famous Tik-Tok influencer bought an RM17,000 massage chair for her mother's birthday from a shop under a 12-months installment scheme. She only paid for the first six months then stops paying. Explain whether the parties have a valid contract to enable the shop to sue for the balance. (4 Marks)