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The Safe Management Measures (SMM) in Singapore were updated on 24 March 2022. With effect from 29 March 2022, groups of up to 10 persons
The Safe Management Measures ("SMM") in Singapore were updated on 24 March 2022. With effect from 29 March 2022, groups of up to 10 persons are allowed to dine-in in Food and Beverage ("F&B") establishments on the condition that all the diners are fully vaccinated. Eight Stars Restaurant Pte Lid ("ESR") management was excited about the relaxation of the SMM. ESR decided to renovate the restaurant to cater to the increased capacity. ESR contacted its regular renovation contractor, Lari Contractors Pte Ltd ("LC") to renovate its restaurant. ESR explained to LC the plans to renovate the restaurant. LC retrieved a copy of the layout of ESR's restaurant and took down ESR's renovation requirements. LC proceed to prepare a contract which was accepted by ESR. The contract quoted a total cost of $50,000 and included the following terms: 1) ESR to pay LC $10,000 being 20% deposit of the total amount of $50,000 upon signing the contract. 2) LC to send a representative to attend 2 meetings in the restaurant within 1 week from the date of contract to finalise the renovation details 3) LC is to seek approval from Building Construction Authority ("BCA") within 1 week after the second meeting 4) The renovation works to be completed within 1 month from date of approval from BCA. 5) The balance amount of $40,000 to be paid within 1 week from date of completion. ESR paid LC $10,000 and 2 meetings were scheduled and agreed to by ESR and LC. However, due to conflict in scheduling, LC did not send a representative to attend the first meeting. LC suggested to reschedule both meetings 2 weeks later. ESR was totally unhappy with the suggestion and said that any delay in the renovation will cause it further losses in profit. ESR decided to engage another contractor and terminated the contract with LC.Required: Advise whether ESR has the right to terminate the contract due to a breach of term (1) when LC failed to send a representative attend the first meeting and suggested to reschedule both meetings 2 weeks later. Cite the relevant legal principles and apply to the facts to reach a conclusion
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