Question 1 (2 points) Listen An electrician went on an emergency call to a dentist's office on a Sunday as the work could not be completed during business hours. When the electrician arrived, he found a notice on the door from the dentist saying he had a family emergency and went away for the weekend. The electrician was called by the dentist on the following Monday to arrange another appointment with the electrician for the next weekend. The electrician told the dentist he was already booked that weekend and would be difficult to find time on a future weekend as he typically did not work weekends. The contract was not breached since it was frustrated on the first Sunday because the dentist was not able to be there. The dentist breached the contract on the first Sunday. The electrician breached the contract on the second weekend. Neither man has breached the contract; it is simply suspended. The dentist breached the contract on the first Sunday and the electrician breached the contract on the second weekend. In the contract between a store and a supplier, there is a clause that allows either party to end the contract on 5-days notice should the actions of employees bring operations to a temporary halt at the supplier's plant. This clause is, a force majeure clause an option to terminate. a condition subsequent clause a frustration of contract clause an example of laches Listen Joe plans to sell the assets of his business for $150,000 The buyer obtained consent from the landlord to assume the existing lease on the building and a new lease reflecting this is drawn up and signed by the landlord and buyer. This new lease is an example of O an equitable assignment. Onovation a negotiable instrument a constructive trust a statutory assignment Peter Young was working for a small investment dealer and helped out a friend by purchasing some stock in his private company. Peter believed his friend's company was in trouble so he wanted to sell the shares quickly so he would not lose money. Peter sold the shares to another broker, Sam Walton at another dealer without revealing any of his suspicions. Sam made no enquiry as to the value of the company as he had dealt with Peter before and trusted him. Sam in turn sold the shares to two of his clients that were interested in buying into private companies that may get listed on the stock exchange one day. One of those clients, Gabe Maxwell, started looking into the company's operations and found that the company had sold most of its assets to keep it afloat and the company had no earnings from any operations -- the shares were essentially worthless. (9 marks) a. Can Gabe sue Peter and if so on what basis and what would be the likely outcome in court? b. Can Gabe sue Sam and if so, on what basis and what would be the likely outcome in court? c. Can Sam sue Peter and on what basis and what would be the likely outcome in court? v Format B I U
