Question 3 a. Ashad and Heather run a successful fire safety engineering business. As part of their business, Ashad and Heather had the opportunity to refurbish their office premises. They have seen office furniture on sale that they think would be suitable for their needs. There is an offer to sell the furniture open till the end of the month, but they need time to arrange loans. If Ashad and Heather buy a 70 day option agreement from the seller for $500, explain what this means. (2 marks)

7 b. As Ashad and Heather's business is expanding and they want to hire another fire safety engineer. Jackson has been hired. Ashad and Heather are anxious that if Jackson leaves the firm, that he should not be allowed to work for a competitor within a stated period of time and within a stated geographical region. They have therefore inserted a clause in Jackson's contract to that effect. What is this clause called and explain if Jackson left their employment and started to work for a competitor, what could be the possible outcome and why? (3 marks)

c. At the weekend while getting her hair cut, Heather was reading the newspaper when she read the following- This is without doubt THE offer of the week. The most up to date dishwasher - $250!" Later that day she went to the store wanting to buy it. She could not find it anywhere in the store so she spoke to one of the sales assistant's .He told her that the store did not have any left, nor could they get any more. Heather was really disappointed as she was looking forward not having to wash the dishes by hand. Explain to Heather if she has any remedy under contract law? (2 marks)