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Question 32 (14.99 points) Malcolm writes his sister Bertha a letter saying that he is willing to sell his car to her for $30,000 and
Question 32 (14.99 points) Malcolm writes his sister Bertha a letter saying that he is willing to sell his car to her for $30,000 and will deliver it on June 10. The letter closes with this statement: "you have to give me notice that you are interested by June 1 at the latest.'I On the morning of June 1, Bertha mails Malcolm a letter saying that she agrees to buy the car for $30,000. Her letter adds, "Oh, by the way, I expect you to have the car professionally cleaned before you deliver it." Malcolm receives Bertha's letter on June 3 but does not respond. On June 8, Bertha decides that she doesn't want the car, tells Malcolm that she is no longer interested in buying the car, and refuses to pay him the $30,000 when he comes to deliver it on June 10. Malcolm sues Bertha for breach of contract. (a) Determine whether there is an enforceable contract between Malcolm and Bertha. In your answer, make sure you discuss and apply all of the elements of a contract. (6 marks) For question (b), assume that Bertha had accepted the offer from Malcolm to buy the car for $30,000. The day before delivering the car to Bertha, though, Malcolm hears that a similar car was recently sold for $35,000. Malcolm has second thoughts about completing the contract. He demands that Bertha pay him $35,000 or he refuses to go through with the sale. She agrees and he delivers the car. When Malcolm receives the cheque from Bertha the next day, though, he notes that it is for $30,000. (b) Will Malcolm be successful if he brings a breach of contract claim, alleging that he should have been paid $35,000? What challenge will he face? (2 marks) For questions (c) and (d), assume that Bertha had accepted the offer from Malcolm to buy the car for $30,000 on June 1. Bertha was 18 years old at the time the agreement was entered into, but turned 19 on June 9. On June 10 (when they agreed the car would be delivered), Bertha refuses to pay. (c) Will Malcolm be successful if he brings an action for breach of contract against Bertha? Why or why not? (3 marks) (d) Would your answer in (c) change if Bertha was buying the car to drive to work? Why? (1 mark) For question (e), assume that Malcolm and Bertha had agreed that Malcolm would rent Bertha his car for two weeks beginning on June 15. Bertha was going to use the car to conduct sight-seeing tours of the city and already had a number of clients booked after spending a considerable amount on advertising online. Bertha pays Malcolm the amount required for the rental on June 14. Later that day, the car is struck by lightning and explodes. Bertha does not have enough time to rent an alternate car and has to cancel all of her contracts. (e) ls Malcolm in breach of contract? What doctrine might he rely on in this case
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