Slick Willy ran a used recreational vehicle dealership. One day Paula visited the

dealership and had a look at one of Slick Willy's used trailers, which was for sale.The

trailer came with a stove and refrigerator as built-in equipment. Slick Willy had added a

plasma television set as a part of the equipment, but it was not built into the trailer.

Paula indicated to Slick Willy that she was interested in buying the trailer if the price was

right. After some back and forth oral negotiations, Slick Willy told Paula that the trailer

was $21,000 and that if she wanted the television set he would throw that in for an

additional $1,000. Paula said she would "take it all."

Slick Willy prepared a written purchase agreement which detailed the trailer and its

specifications, but simply referred to the appliances as "equipment." The price in the

written agreement was $21,000 with a minimum deposit of $1,000. Both parties signed

the agreement and Paula gave Slick Willy a cheque for $2,000.

When Paula returned later with her husband and a pick-up truck to take the trailer she

noticed that the television set was not inside the trailer when she showed it to her

husband. When she spoke to Slick Willy he said the television set was not included in

the written agreement and he did not wish to sell it.

Questions:

4. Is Slick Willy's statement to Paula that he would throw in the television for an additional $1,000 a term of the contract? Why or why not? (Provide a complete legal explanation for your answer) (4 marks).

5. Which of the four types of legal risk management strategies would you recommend to Slick Willy to avoid or minimize the risk from this case in the future and why that strategy as opposed to one of the others (Provide a complete explanation for your answer) (5 marks).