notes : with irac method

Natasha buys a large block of vacant land in a residential zone and engages a building consultant, Mr. Wu, to assist in drawing plans and supervising a major residential building project. Based on Mr. Wu's advice, plans are drawn for a ve-storey residential building with a gymnasium and shops below. It is agreed that Mr. Wu will receive RM50,000 and procure all permits and appoint a building company to build the apartments, gymnasium, and shops. Mr. Wu produces a glossy brochure with plans, sketches and details of the project for potential purchasers of the apartments and shops. The brochure is also to be used in assisting Natasha in obtaining a loan to nance the project. The brochure has virtual drawings of the ve-storey project and promises that all appropriate permits for the project have been obtained. The brochure irther assures potentially interested parties that the project will be completed within two years. Eventually, after much preliminary work, Mr. Wu draws plans and appoints a building company. By the time the building is halfway completed, government ofcers inspect the work and demand that all building ceases pending further investigation. It becomes apparent that Mr. Wu had not received all relevant approvals and permits and that the local regulations do not allow the building to be higher than two storeys. Also, no permit has been granted to build the gymnasium and shop below the building. The local council is of the view that there is insufcient local car parking to justify shops and a gymnasium. The cost of rectifying the building to only two storeys and the absence of gymnasium and shops has signicant nancial implications for Natasha. It is estimated that she will lose RM 2 million by the change in plans. Advise Natasha as to her non-contractual rights, if any, against Mr. Wu