Question
Jenny entered into a building contract with Mandy under which Jenny agreed to construct a garage on Mandy's lot for $60,000. True North Lumber Supply
Jenny entered into a building contract with Mandy under which Jenny agreed to construct a garage on Mandy's lot for $60,000. True North Lumber Supply Company supplied the lumber for Mandy's garage at Jenny's request.Jenny did not pay True North Lumber before True North Lumber delivered the lumber. Jenny failed to pay for the lumber within a few weeks after it was supplied. The debt was $6,000.
A) What area(s) of law does this question relate to? (2 marks)
B) Is Truth North Lumber a party to the contract between Jenny and Mandy? (2 marks)
C) Advise Truth North Lumber of its position as a creditor including how Truth North can attempt to get its $6,000. (10 marks).
D) Mandy has not paid Jenny the cost of constructing the garage ($60,000) as the payment due date is a month from now. Please advise Mandy of her obligations (if any) in relation to True North Lumber Supply Company. (6 marks)
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