Question 1

Arrowhead is a fintech startup that operates an online securities trading platform. Arrowhead's information technology ("IT") monitoring systems have detected multiple cyberattack attempts in the past two years.

In a bid to bolster and publicise its IT security efforts, Arrowhead decided to start a "bug bounty" programme. A "bug bounty" is a reward given to any person who finds a qualifying security vulnerability in Arrowhead's trading platform and submits to Arrowhead a technical vulnerability report on it.

On 3rd June, Arrowhead published an online social media post on the "bug bounty" programme, which stated as follows:

"We are offering a bug bounty of $5,000 to anyone who finds and reports a qualifying security vulnerability in our Arrowhead trading platform and submits a technical vulnerability report to us by 31st December of this year!

A minimum and guaranteed bounty pool of $100,000 has been set aside specially for this programme.

Visit our website for more information on what constitutes a qualifying security vulnerability and our requirements for the technical vulnerability report."

Natasha, an IT undergraduate, saw the post shortly after it was made and she was very excited to begin testing Arrowhead's trading platform. Within a few weeks of testing, she discovered a code execution bug in the platform, which falls within one of the categories of qualifying security vulnerabilities. Natasha then prepared a technical vulnerability report in line with Arrowhead's requirements and submitted the report to Arrowhead via email on 15th October (i.e., before the stipulated deadline of 31st December).

Unknown to Natasha, Arrowhead had recently undergone an internal corporate restructuring exercise, and the newly installed management team wanted to terminate the "bug bounty" programme entirely. Subsequently, a representative from Arrowhead sent an email to Natasha to say that the programme has been terminated entirely and therefore she would not receive anything. Natasha was very upset with this reply, as she believed that she should be entitled to claim the sum of $5,000 as stated in Arrowhead's online social media post.

(a)Explain whether there is a valid contract between Arrowhead and Natasha that will entitle Natasha to claim the sum of $5,000 as mentioned in the online social media post. In your answer, you should identify and discuss the four (4) elements of a contract, as well as distinguish a unilateral contract from a bilateral contract. (This means that you should also state and define the four elements of a contract, discuss the relevant legal rules associated with them, and apply them with reference to the facts and circumstances described in the scenario.)(75m)

(b)Identify and discuss one (1) method of alternative dispute resolution ("ADR") which you would recommend to Arrowhead and Natasha to resolve their dispute. In your answer, you should compare and contrast your recommended ADR method with litigation, and provide reasons for your recommendation. (You are not required to cite the Rules of Court.)(25m)