Question:

Sam owns a gift shop which sells a range of gifts, cards and jewellery. Sam prides himself on only sourcing and selling handmade items from independent crafts people. He decides to take a two-week trip to France to source some traditional French wood carvings.

He leaves his trusted friend Kamil in charge of the shop. He tells him that he is due to receive three jewellery sets consisting of necklaces, earrings and bracelets in blue, pink and green, from a local jewellery maker Craig, in 7 days (halfway through Sam's trip), for which he has already paid half the contracted amount, and the second half is due to be paid once he takes delivery of the goods. The overall price agreed was 500. He also advised Kamil that he often has crafts people coming into the shop asking him to sell their goods on their behalf, but Sam does not want Kamil to buy anything to sell in the shop until Sam comes back so he can see them for himself.

Kamil receives a phone call from Craig advising that he is not going to be able to provide the jewellery sets by the date agreed with Sam, and will need another month to finish them. Kamil agrees and confirms that the final 250 will be paid to Craig once he delivers the jewellery sets in one month. Craig thought he was talking to Sam, because Kamil did not explain who he was or that Sam was away.

Whilst in the shop, Kamil also receives a visit from Kim who makes pop up birthday cards. Kamil explains to Kim that he is not the owner of the shop, but is currently looking after it for Sam whilst he is away. Kim wants the shop to sell her cards. She offers Kamil a box of 20 to start with to see how they sell, and agrees she will provide a second box of 50 if they sell well. Kamil really likes the look of the cards and thinks Sam will too as he has known him for so long. He agrees to sell each card for 4.00, with the shop taking 30% of the price, and 70% going to Kim.

When Sam returns from his trip, he is not happy with the actions Kamil has taken. He has already agreed to sell one of the jewellery sets to a buyer for 250 and so the delay will mean he cannot close this sale. He also does not agree with the contract Kamil has entered into with Kim, because he feels 30% is too low. He normally only agrees to sell if he can take at least 40% of the overall price.

Advise Sam and Kamil. Critically analyze and give as much details as possible. Use OSCOLA Referencing and it should be based on UK law. Please support your answer with acts and caselaw.