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Onesmus and his family have been living in Kardinya, WA since 2014. In 2019 Onesmus had been thinking of reducing his energy bill by installing solar power. On 10 December 2019, Onesmus received the following pamphlet from Tom's solar

Upon reading the pamphlet Onesmus takes some time to do some reading on the different kinds of residential solar systems that are available on the market. On 12 December 2019 Onesmus calls the number on the pamphlet and speaks to Tom the business owner. In the call Onesmus states: "I am looking to install a solar system in my home. Do you have a 10kw family solar system that can be installed for $2500?" Tom replies: "Our 10kw family solar system costs more than $3000 but we do have a 6.6kw family solar system that can fit within your price range." Onesmus then replies: "The 6.6kw family solar system will work as well. I will pay you $2000 to install that system in my house." Tom replies: "I need to check my supplies first and will get back to you on those details. Could you provide me with details of your postal address." Onesmus gives Tom the details of his home address before ending the call. A week later, on 20 December 2019, Onesmus received a letter from Tom which contained the following information:

Tom's Solar Installers This is to confirm that we can supply and install a 6.6kw family solar system at your house for a bargain price of $2500. You should provide a cheque deposit of 10% of the purchase price when confirming the installation date. All responses should be made via our postal address. Regards, Mr. Tom Caffery Tom's Solar Installers

On 27 December 2019 Onesmus wrote back to Tom confirming that he needed the solar system work done on 30 January 2020 and attached a cheque for $250 in the letter. He posted the letter on the same day (27 December 2019), but Tom did not receive it until 10 January 2020. On 30 December 2019, Tom's Solar Installers changed their pricing for the New Year and Tom sent a letter to Onesmus with the following information:

Tom's Solar Installers We have updated our price list for 2020. Starting from 1 January 2020 we will supply and deliver 6.6kw family solar system at your house for a total price of $3000. You should provide a cheque deposit of 10% of the purchase price when confirming the installation date. All responses should be made via our postal address. Regards, Mr. Tom Caffery Tom's Solar Installers

Tom's second letter is received by Onesmus on 10 January 2020. On 20 January 2020 Onesmus receives a third letter from Tom that includes a return of his cheque for $250. In the letter Tom explains that the order for the 6.6kw family solar system was worth $3000, which is the new price for all 2020 installations. To confirm his order Onesmus was required to send a deposit of $300 and not $250. Since the deposit paid by Onesmus was less than 10%, Tom declined to confirm his order. Required: Using the Common law of contract, trace the legal consequences of ALL communications between the two parties and advise Onesmus on his contractual position with Tom as of 21 January 2020. (30 Marks)

Required: Using the Common law of contract, trace the legal consequences of ALL communications between the two parties and advise Onesmus on his contractual position with Tom as of 21 January 2020. (30 Marks)

Sample Answer Structure: Students are required to use the IRAC legal problem solving format in answering this question. What is the Issue?

What is the Relevant law?

Apply the law to the facts:

Conclusion:

Thankyou for your help!