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Question 2 (12 marks) (Vitiating Factors - that is factors that may invalidate the contract and prevent enforcement) Mr and Mrs Lombago have leased a

Question 2 (12 marks) (Vitiating Factors - that is factors that may invalidate the contract and prevent enforcement)

Mr and Mrs Lombago have leased a small coffee shop in the Grand Centuram Plaza (Plaza) for the past three years. The Lombagos have a daughter, Brunhilda, who has a serious disease that requires her to have constant care. The lease on their coffee shop was coming up for renewal, and the Plaza manager, Eddy Fixit, told them to decide if they want to renew, 'quickly,' as he has two potential tenants that were keen to move in. Even though Eddy Fixit was aware of Brunhilda's condition and care requirements, he could only offer the Lombagos a five-year lease with a substantially increased rental. This was much more than the expected three years and modest rental increase they were expecting. The Lombagos really wanted to retire to look after their daughter but felt they could not afford to do give up the income from the shop. They reluctantly signed the new lease, and one month later they won the lottery and could now afford to retire. Advise the Lombagos whether they can avoid the new lease at common law. Refer to relevant legal principles and cite authorities were applicable.

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