QUESTION 1

What would be the appropriate remedy in each of the following breaches of contract? Your answer should state both:

• The most likely remedy and the specific area e.g. 1) equitable remedy - specific performance or e.g. 2) common law damages - reliance losses;

and

• The best supporting case.

Each part is worth 2.5 marks

a)Neil has agreed to install an additional oven in Zoe's pizza shop. Zoe not only expects increased trade but she also has a special lucrative contract to provide 500 pizzas for a university function. The university function is to be held the weekend after the agreed date of installation but the oven is not installed for a further two weeks.

b)Russell agrees to sell Vanessa a painting of Salisbury Cathedral by the great English artist John Constable for $500,000 but later changes his mind and refuses to sell it.

c)Famous rock band Mary and the Munchkins breaches its contract to sing at the Sydney Opera House for two weeks in September. Contrary to a clause in their contract with the Opera House, the band agrees to sing at the State Theatre for those same two weeks.

d)John contracts with Acme Swimming Pools to install a swimming pool that subsequently leaks and floods the lower basement of his home, because Acme's employee fails to use the correct sealant,.