Read the case below and use it to answer questions in Part A

Clinton is president of the Christchurch university Student's Union. It is his responsibility to organise entertainment for students at the university. Clinton decided in April to post out a letter to local musicians which stated:

'Want to get paid and attract new fans? Then come and play at Christchurch university Student Union. We are looking to hire bands to play Friday or Saturday nights in May. Pay: 500 per gig, willing to negotiate.'

Bettina, the lead singer of a local band, replied to Clinton, stating that she was happy to agree on those terms, and that her band would play on Friday 15 May. On receiving Bettina's letter, Clinton researched her band and found several bad reviews. Clinton decided not to book Bettina and did not respond to her letter.

Chris, a guitarist, also received Clinton's letter and replied via post, telling Clinton that he would be willing to play at the Union on Saturday 23 May. He went on to say that, as he was well-known locally, his fee would be 750. Clinton sent a letter to Chris on 1 May agreeing to those terms.

On 12 May, Clinton found out that DJ Dervinder, a famous DJ, was available on Saturday 23 May. Clinton agreed with DJ Dervinder that he would play a three-hour session at the Student Union on the 23 May, in exchange for 1,500. Clinton had forgotten that he had invited Chris to play that night.

On 15 May, Bettina arrived at the Student Union ready to play. Clinton told her to leave as they 'had no contract' for her band to play that night.

On 23 May, both DJ Dervinder and Chris arrived at the Student Union. Clinton told Chris that his services were not required. He did not pay him his 750 fee.

DJ Dervinder, who was embarrassed by the mix-up, did play a set for the students, but only performed for two hours rather than the three that Clinton needed the entertainment for. After DJ Dervinder left, Clinton asked his friend Emma to perform her regular stand-up comedy routine. The next day, Clinton told Emma he was so grateful he would give her 250. Clinton is now refusing to pay Emma the 250.

Part A

Answer the following questions.

1. Advise Clinton: whether a contract was formed with Bettina. (15 marks)

2. Advise Chris: as to whether a contract was formed with Clinton and is Chris entitled to payment. (15 marks)

3. Advise Clinton: as to whether he owes any liability to Emma for her performance. (15 marks)

Total marks for part A (45 marks)

Part B

1. Applying your knowledge in the law[RAB(1] of contract, explain the essential elements for a valid contract. Use appropriate examples or case law to support your answer (45 marks)
2. Distinguish between a condition and warranty. Use appropriate case law to support your answer. (10 marks)

[RAB(1]