Gerard and Sylvia love cakes and have recently decided to buy a cake shop from George.

Gerard and Sylvia register a company "Cakes Pty Ltd" with the Australian Securities and Investments Commission.Gerard is listed as a Director and his mum, Sarita, is listed as the company secretary.

On the day of signing the contract to buy the cake shop from George, Gerard stamps the contract with the Cakes Pty Ltd company seal and signs as a witness.The other witness is Sylvia.

A few days pass and George thinks he should have not sold his cake shop.He now wants it back.

Is George bound by the contract?Provide reasons for your answer.You must cite relevant Australian case law and the Corporations Act 2001 (Cth).Do not discuss contract law.

Questions:

1. In answering this question should I assume that George has signed the contract to buy the cake shop as it is not explicitly stated in the question.
2. If s127 of the Corporations Act 2001 has been fulfilled, is the contract effectively between George and "Cakes Pty Ltd"?