Questions

1.A person who is a party to a contract is said to be privy to the contract and can benefit from it or have obligations imposed on him by it. He is also the only person who can sue or be sued under the contract.

Required.

Discuss the exceptions to this doctrine.

2.a) David wrote to lotha offering to sell his home. In the letter David advised lotha to inform his wife, Nicole, about his acceptance or rejection of the offer.

Lotha wrote to David accepting the offer without informing Nicole. Explain whether an agreement exist between David and lotha

b) Describe three conditions implied in a contract for sale by sample

c)Summarise three rules governing a sale by auction.

3. In relation to the law of contract:

Explain three essential features of an offer

Outline six elements of a valid contract.

4. Explain four circumstances of illegal contracts.

5. Lena contracted mariene, a musician to perform during a talent music award. Two days before the much-awaited event, mariene contracted a severe bout of malaria and was hospitalized. She was therefore unable perform at the award.

Lena is aggrieved as she had already paid a deposit to mariene

Advise lena.

6. The general rule that for a contract to be discharged by performance, the performance must be precise and exact was exceptions to mitigate its harshness

Discuss five exemptions to this general rule.

7.In relation to the law of contracts, describe three mistakes that render a contract void.

8.a) An offer is a promise which when accepted constitutes an agreement. It may be terminated by revocation, counter-offer or by lapsing.

Discuss four ways in which four ways in which an offer could collapse

b) the general rules is that silence cannot constitute a misrepresentation. A party to a contract is therefore under no duty to disclose all material facts.

Explain the exceptions to this rule.

c) peter, a manufacturer, entered into a contract to make 10,000 candles for paul, a wholesaler. Paul issued an order to peter for the supply of the candles subsequently, there was a major power blackout which lasted for three days thereby affecting the operation at peter's processing plant.

In addition, peter machine broke down due to power after he had made 8,000 candles. Peter has submitted a claim to paul for payment for the 8,000 candles. Paul has refused to pay peter on the ground that the contract is not fully executed.

Explain the legal principles applicable in the case and advise peter.

9.Highloight the rules that govern the capacity of parties to enter into legally binding contract.

10. 1n relation to the contract of sale of goods.

Explain three categories of unascertained goods

Explain the meaning of resale

State four circumstances when the unpaid seller might exercise the right of resale