Question 4 (33 marks)

Gloria, the owner of a house property, employs Kingwood Ltd, a house agent company, to sell her property. The price asked is HK$25 million. Owen, a prospective purchaser, makes an offer of HK$20 million to Kingwood Ltd, which in turn communicates that offer to Gloria. Gloria considers the offer made by Owen is acceptable and she tells Kingwood Ltd that she would accept it subject to contract. Harry, the tenant of Gloria's house, also makes an offer to Kingwood Ltd to purchase the property at HK$28 million. Kingwood Ltd omitted to inform Gloria of Harry's offer. Two weeks later, Gloria and Owen signed the Sale and Purchase Agreement. However, two days after signing it, Gloria meets Harry and is told of his offer. She would have accepted Harry's offer with a much higher price if she were informed of it. Gloria intends to sue Kingwood Ltd for breach of duty of agents and to recover the difference between the two prices.

Question: Advice Gloria of her legal position.