Question 1 Please prepare for question 1 by reading Carlill v Carbolic Smoke Ball Co. Please pay particular attention to the arguments used by the defendant to try to dismiss the claim that there was a valid contract between the parties and then explain how the English Court of Appeal dismissed each of these and unanimously held that the contract had been formed. Question 2 Dorothy says to Parker, "I will pay you $100 if you ride your bicycle from Canberra to Yass". Parker replies, "I will do that". What remedy (if any) has Parker against Dorothy if he commences to ride to Yass and when he is halfway there, Dorothy rings Parker on his mobile phone and says to him, "Of course, I did not and do not intend to be legally bound by my offer to pay you $100"? Advise Parker. Question 3 Mary, a public-spirited law student at the ANU, decided to join in a "Walk on Want" to raise money in aid of refugees. After obtaining a number of sponsors for her walk, she called at the home of Janet, a well-known Canberra philanthropist. When Mary explained the purpose of her visit, Janet replied "That sounds like a good cause, and deserves a generous donation. For every kilometre you walk, I'll pay you in dollars the equivalent of the percentage increase in the June quarter Consumer Price Index. And if it is raining on the day of the walk, I'll double that." On hearing this, Mary thanked Janet and left. The "Walk on Want" was to be held on Sunday 27 July 2014. On Thursday 24 July 2014 the Federal Treasurer announced that in the June quarter the Consumer Price Index had increased by 0.4 percent over the March quarter and by 2.5% over the previous June quarter. On the evening of Saturday 26 July the weather forecast in Canberra for the following day was for heavy rain. On hearing this, Janet telephoned Mary's home; Mary was out, but Janet said to her mother: "Tell Mary I'm pulling out of my sponsorship of her 'Walk on Want' tomorrow". Mary's mother did not pass this message on to Mary. On the Sunday Mary took part in the "Walk on Want". The route of the Walk went past Janet's home, and as Mary passed by, Janet called out: "I've pulled out of my sponsorship of your walk". Mary waved in acknowledgment and continued walking. At that stage, Mary had covered 10.4 km from the start of the Walk and she went on to complete 20 km. The Weather Bureau records shows that 64 mm of rain were recorded in Canberra on 27 July
