Simon Finch is a contractor and hires subtrades to help build houses. Lindsay Healer is a framer and had agreed to frame four houses for Simon for a set price. Simon was to supply the materials. After two houses were completed, Simons suppliers increased the price of lumber and Simon told Lindsay that he could NO longer pay her the amount that they had agreed upon. Lindsay agreed to receive 15% less for the last two jobs. Regular payments were made from Simon to Lindsay, and the total amount received was 15% lower than the originally agreed on price for the last two . Lindsay sued Simon for the original contract price , claiming that she had received NO consideration for her agreement to take less for the last two Simon also owed Hettie King $500. Two days before the money was due, Simon came to Hettie and told her he could NOT pay the $500, but if Hettie would accept $300 right then, in full satisfaction of the debt , he would pay Hettie that amount. Hettie agreed, then later sued for the other $ 200.

Simon Finch is a contractor and hires subtrades to help build houses. Lindsay Healer is a framer and had agreed to frame four houses for Simon for a set price. Simon was to supply the materials. After two houses were completed, Simon's suppliers increased the price of lumber and Simon told Lindsay that he could No longer pay her the amount that they had agreed upon. Lindsay agreed to receive 15% less for the last two jobs. Regular payments were made from Simon to Lindsay, and the total amount received was 15% lower than the originally agreed on price for the last two jobs. Lindsay sued Simon for the original contract price, claiming that she had received NO consideration for her agreement to take less for the last two jobs. Simon also owed Hettie King $500. Two days before the money was due, Simon came to Hettie and told her he could NOT pay the $500, but if Hettie would accept $300 right then, in full satisfaction of the debt, he would pay Hettie that amount. Hettie agreed, then later sued for the other $200. Required: a) Explain what defence may be available to Simon, in his dealings with Lindsay. Explain how the defence might be used by discussing the case facts that allow the defence to be used by Simon. (2.5 marks) b) Explain whether Simon is likely to win in the case against Hettie and why