Question
True or false (only explain the false question) 36* If agreements are made in a business setting there is a presumption by the Court that
True or false (only explain the false question)
36* If agreements are made in a business setting there is a presumption by the Court that there was nointention to create legal relations if one party actually thought that when it entered the agreement
37* If agreements are made in a social or family setting there is a presumption by the Court that therewas an intention to create legal relations which either party may argue against
38* A legally binding contract can be made by A promising to do something for B in exchange for apromise by B to do something for A
39* Some legislation in New Zealand applies solely to construction work including theConstruction Contracts Act 2002 and the Building Act 2004
40* A builder and a property owner agree a price to extend a house, which requires a building consent buthas not yet been applied for. Shortly before the builder is due to start work, the owner tells thebuilder she will not be proceeding with the work and because there is no building consent, then unders73(1) Contract and Commercial Law Act 2017 because they had not got a building consent whenthey made their agreement, it was an illegal contract so the builder cannot take action against herto recover as damages, the profit etc. the builder would have made if the work had proceeded
41* A misrepresentation is an untrue statement of a future fact for the purposes of the Contract andCommercial Law Act 2017 e.g. the statement made to sell agricultural land that it will produce acertain quantity of corn per acre next year which it fails to do
42* A tells B that A's house is constructed entirely with treated timber. B relies on that being true and buysA's house but later discovers the timber is untreated and the house leaks and rots. B says she has twooptions under the Contract and Commercial Law Act 2017 being to either keep the contract in placeand claim damages or cancel the contract but lose entitlement to damages
43* A tort is a 'wrong' which when committed by someone [a tortfeasor] gives someone harmed by ita right to take action, for example the tort of trespass by placing building materials used to build ahouse on an adjacent section without the owner's permission would entitle the owner to have thematerials removed and receive compensation for any damage caused
44* There were once in NZ three types of trespass, to land, to property, and to a person, and trespass toa person is now superseded by the crime of assault in New Zealand, the difference beingthat trespass to a person was once only actionable if the 'injured' person pursued it whereas theState can take action against a person committing assault [refer Crimes Act 1961] and punish them
45* Nuisance is similar to trespass to land but whereas trespass is direct intrusion to land, nuisanceis indirect intrusion such as: smells, fumes, noise, smoke, dust, noxious weed seeds, cropspray and so on which leaves one area and intrudes upon another to affect the 'quiet enjoyment'by a person of their land
46* There is a single category of the tort of nuisance
47* Nuisance is the most common category of tort raised in court cases involving construction work
48* Negligence is the most common tort applied in court cases generally
49* If someone does something with insufficient care and skill thereby causing harm to another persons/he is automatically liable to compensate that person for the harm caused
50* Whether a person is liable to another person for the consequences of his/her negligence dependson whether in such circumstances the Court has found that s/he owes a duty of care to that person
51* Liability for the consequences of negligence are limited to physical harm to persons or property
52* A person can be held concurrently liable for both a breach of contract and in the tort of negligence
53* Any harm suffered that but for a person's negligence would not have arisen has to be compensatedby the negligent party
54* A professional indemnity insurance policy is designed to bear the costs of defending an actionagainst the policy holder for his/her negligence but not to cover the cost of damages if it is provens/he was negligent
55* Designers are particularly vulnerable to claims for negligence because their designs may lead todefective work or even structural failure
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