Fiting Ltd, entered into contract with Outing Ltd, Under the contract it was agreed that Fiting Ltd would refurbish 5 of Outing Ltd's retail units for a contract price of 5million. Outing Ltd agreed to pay one month after the refurbishments were completed. Outing Ltd were due to pay Fiting Ltd the full amount of 5million on 1st June 2012. However,they were experiencing severe financial difficulties As a consequence, Outing Ltd were unable to pay the full amount. Outing Ltd approached Fiting Ltd and explained that they would be unable to pay the full amount. they were only able to pay 3million on 1st June 2012. Fiting ltd required payment in order for them to purchase materials and equipment to allow them to commence another refurbishment they had entered into with Cost-Co Ltd. The contract with Cost-Co Ltd contained a penalty clause that would result in financial penalties if reburbishment was not complete Fiting Ltd agreed to accept 3million from Outing Ltd in final settlement for the work. payment received allowed them to start th refurbishment contract with Cost-Co Ltd. fitit ltd now want remaining 2million

Question:

Are the principles established in Foakes v Beer binding on this court? Explain your reasoning.