Question 1 - Contract Formation

Seng owns a car repair workshop. One morning, he ran into his neighbour, Danny, who drives a 30-year old Mercedes S280. Danny complained that his car's air-conditioning had not been functioning properly so Seng said, "Come by my workshop and I will have a look". The next morning, Danny left his car at Seng's workshop.

After some inspection, Seng emailed the following quotation to Danny. Seng's Repair Workshop

23 Sin Ming Industrial Park #01-18 Singapore 9009

Client : Danny Tan

Vehicle : Mercedes S280 (SBL 1234M)

Quotation

1. Replacement of one air-conditioning cooling coil, inclusive of labour charges

$200

Total :

$200

When Danny saw the quotation, he sent the following text to Seng via WhatsApp, "No need for quotations between neighbours! Save me from this heat ".

After reading the message from Danny, Seng proceeded to dismantle the whole dashboard in order to carry out the repair works which took almost four hours. In the evening, he drove Danny's car back to him and handed over an invoice for repair costs of $200. Danny was surprised and said, "I thought you were going to be a good neighbour and fix my car's air-conditioning for free! It only has another 6 months to go before the COE expires and for me to scrap it!"

Explain whether there is a valid contract formed between Seng and Danny for the repair of the car. Your answer should identify and discuss the four (4) elements required to form a contract.

(30 marks)