Michael Tam is the director of Mobile Delivery Pty Ltd and was interested in purchasing delivery five vans for his business. Michael contacted Kate Nicou of YoYo Vehicles Pty Ltd and requested a quote for purchasing five vechiles. Kate replied to Michael and send YoYo could sell him five fans for the price of $250,000, and told Michael that if he wanted to accept the quote that he needed to YoYo a 20% deposit. Michael told Kate that the price of the vans was too expensive. However, a week later, Michael paid to YoYo the 20% deposit. Two months later, Kate called Michael and told him that the five vans were ready for him to collect and sent him an invoice for $200,000 (the amount owing after taking into account the deposit). Michael called Kate and told her that he never agreed to purchase the vehicles and that he wouldn't be paying the invoice.

Questions:

(1) Is there a contract between Mobile Deliverty Pty Ltd and YoYo Vehicles?

(2) What are the terms of the contract between the parties?

(3) What could YoYo Vehicles do in the future to avoid any ambiguity as to whether a contract has been formed?

(4) Must the parties to a contract sign a contract in order for a contract to be formed?

To answer Question should apply the IRAC structure, which involves identifying the legal issue, stating the legal rule, and then applying the legal rule to the facts to reach a conclusion. The question may require you to consider multiple sub-issues or apply multiple legal rules to reach a conclusion. When stating and applying legal rules, make sure you state and apply one legal rule at a time (rather than stating several legal rules and then applying those legal rules collectively).