QUESTION 2 (15 MARKS) Answer both parts

a) Gabby and Laura are business partners and for a very long time, Laura had a mustang vehicle which Gabby wanted. Gabby managed to persuade Laura to sell the vehicle to him and both parties agreed for the sum of $10,000.00 as the purchase price. Gabby then transferred the sum to Laura's Bank Account and went to the Land Transport Authority (LTA) to transfer the title of the vehicle to his name. Gabby was surprised when he found out at LTA that he in fact was the owner of the vehicle (this must have been done at the time when the vehicle was first purchased by the business). Gabby has come to you to seek legal advice on whether he can get his money back. (7.5marks)

b) Assume that Laura was in fact the real owner and LTA had incorrectly put it in Gabby's name. Assume also that LTA has decided to rectify the problem but Gabby would have to pay an extra $1000.00 to have the vehicle correctly in Laura's name before the transfer can happen. Gabby does not want to pay this as it was not his fault. Gabby now wants to terminate the agreement. Advice Gabby. (7.5marks)