Pleas follow this format of an answer

Issue: What is the question that is being asked? You need to identify the correct issue/s. If there is more than one issue in a question, each issue needs to be responded to separately. Relevant Laws: Mention relevant cases and sections and explain them. For sections, you need to summarise the section's content. You do not copy the section word for word. For cases, you do not need to mention the facts of the case. You need to mention the judgment. It is important to have a clear section of the law. You do not only mention the name of the case or the number of the section without any explanation Application: You will apply the law to the facts of the problem. You need to use the facts of the problem and check if they fulfil the requirements of the law. Conclusion: What is the outcome? This part is only one line and is the answer to the question raised in the issue.

Question

Mike, along with three others, is in the process of establishing a new company named EcoHaven Pty Ltd. The company's goal is to create a large eco-friendly housing development. A spacious piece of land in a rural area is up for sale, and Mike believes that it's an ideal location for their project. To secure the land, he negotiates a price and enters into a land purchase agreement. Mike signs the sale contract "on behalf of EcoHaven Pty Ltd," and a deposit is paid using contributions from each member of the group. Luckily, Mike manages to include a long settlement period in the contract terms. Mike and his three collaborators begin outlining their plans for the construction of their sustainable housing complex on this land. After a while, the company is officially incorporated, although its name has to be changed to GreenLiving Pty Ltd as the originally proposed name (EcoHaven) was already taken. The new board, which includes Mike, decides to have the land prepared for construction by erecting a fence around the land, even though the contract has not been fully finalised ie settlement has not occurred, and the company covers the costs for this fence. However, due to changing market conditions, land values decrease, and the new board believes that the purchase price was too high. When it is time to finalise the contract, the company directors refuse, arguing that the company was never a formal party to the contract to begin with.

Suggestion GreenLiving Pty Ltd whether it is liable to finalise the purchase of the land by referring to relevant statutory provisions and case laws.