Formation of Contractual Relationships

The following facts have occurred.

Hilary advertised a printing press in a specialist trade journal for 15,000. Eleanor wrote to Hilary offering to buy it for 10,000. Hilary replied by return of post saying she would accept 13,000. When she heard nothing further from Eleanor, Hilary wrote again saying she would accept 10,000. Eleanor says she no longer wants to buy the printing press.

Hilary wrote to Amy offering for sale an office computer for 1,000. The morning that she received the letter Amy wrote to Hilary agreeing to buy at the asking price. After she had posted the letter, but before it was delivered, Amy changed her mind and sent Hilary a fax asking her to ignore the letter when it arrived.

Hilary decided to have a grand summer sale at her art gallery. She put large notices in the windows of the gallery stating that a valuable painting by Trumpeter, a famous artist, would be available for only 1 to the first customer who came into the gallery at the commencement of the sale, together with a free signed print of another Trumpeter painting. Olivia waited outside the shop for two days before the sale started to be sure of getting the painting, but as she entered the shop, Hilary told her that the painting by Trumpeter was no longer for sale.

Questions for Discussion:

Required:

1.Define contract law and describe all the blue prints of a contract.

2.Explain the court system in relation to the English legal system and advise the parties above which court(s) action to pursue.

3.Advise Hilary as to whether binding contracts exist between herself and each of the following people: Eleanor, Amy and Olivia.

4.Explain and discuss the various remedies available to the parties

Write the responses to the above questions in the form of an essay. Justify the responses with appropriate research and references.