LW202 - CONTRACT LAW 2

Topic 9 Termination of Contract by Breach

Exercise 1

The government of Republic of Pacifika is hosting the 1st Oceania Tourism Festival on 1 October 2018 and requests all hotel in the Republic to ensure that they stock and display enough copies of a tourist booklet for visitors to pick up on 1 October 2018. The Lavish Hotel has ordered 2,000 copies of the booklet from the Pacifika Tourism Office and Mr Lavish, the hotel owner, plans to make a stunning display to attract visitors and has required the booklets to be delivered at least one day before the Festival. He was hopeful that the order will arrive by morning on 30 September, which would give him enough time to set up his display before the hotel's reception closes at 8.30pm. On 30 September, the Pacifika Tourism Office has to deliver the booklets to many places and the delivery officials arrive at the Lavish Hotel at 10:30pm. Upon finding the reception closed, the delivery officials call Mr Lavish on his mobile advising him that they are at the Hotel. Mr Lavish refuses to accept delivery of the booklets as it is too late to find people to set up the display of the booklets. Advise the parties.

Exercise 2

(a) Allen, a cashier, entered into a contract of employment as the Head of cashiers with the Supermarket Suva. The contract of employment was to commence from 1 December 2017. As a result of a new legislation restricting import of foreign goods, the Supermarket Suva's profit dropped dramatically and it decided to cancel all new appointments of cashiers. On 15 October 2017, the Supermarket Suva wrote a letter to Allen terminating his appointment. Advise Allen.

(b) Would your answer in 2(a) above change if the facts were as follows: After signing the contract with Allen, the Supermarket Suva decided to employ Brian, a more senior cashier, to work as the Head of cashiers. Allen heard from a friend about Brian's appointment and decided not to report to work on 1 December 20.