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On April 1st 2019, Sam agreed to paint Pam's house for $5000 and to start on May 1st, 2019. The job was scheduled to take

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On April 1st 2019, Sam agreed to paint Pam's house for $5000 and to start on May 1st, 2019. The job was scheduled to take about 2 weeks. Sam requested that Pam give him a $500 (10%) deposit so that he could purchase the painting supplies. Pam obliged. On April 15th, 2019, Pam called Sam to tell him that she had changed her mind and that she was going to have her house stuccoed instead. She preferred it to paint. She also requested the return of her deposit. Furious, Sam refused to give Pam her deposit and told her that he would be there to paint on May 1st, 2019just like they had agreed. He had after all purchased large amounts of the custom color she requested and turned down another very lucrative job for that same time period. But, on April 28th, 2019, before either party could go any further with their dispute, Pam's house unfortunately burned down in a freak gas leak accident. Pam wants to sue Sam for the recovery of her $500 deposit. 1. Identify the legal issue(s) in this case (2 marks) 2. What rule(s) of law will apply in this case? (1 mark) 3. Develop arguments for the plaintiff, applying the rule of law to the facts. (1 mark) 4. Develop arguments for the defendant, applying the rule(s) of law to the facts. (1 mark)

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