Question
John is starting a new business venture that several different types of energy drinks. As part of the new venture, he enters a contract with
John is starting a new business venture that several different types of energy drinks. As part of the new venture, he enters a contract with Fizzy Co to produce one line of drinks, Fruity Blast, which is a cherry flavoured drink. Fizzy Co has been busy lately and has been contracting with a lot of different retailers. During negotiations between Fizzy Co and John, Fizzy Co confuses John with a different retailer and thinks they are contracting to produce a grape flavoured drink. After the first shipment arrives with the wrong drink, John is furious and threatens to sue for breach of contract. What form of mistake does this problem describe? Does John have a valid claim for breach of contract? Based on the type of mistake you identified, what would be the likely result for this contract? If the mistake had been that the correct drink was contracted, but the wrong drink was shipped, then what remedies would be available to John? (4 marks)
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