Question
Using IRAC (issue-rule-application-conclusion) method, please answer the two questions below. In seeking to identify the relevant legal issue(s) within these questions, Do not use the
Using IRAC (issue-rule-application-conclusion) method, please answer the two questions below. In seeking to identify the relevant legal issue(s) within these questions, Do not use the words ‘Issue’, ‘Rule’, ‘Application’ as headings or subheadings in your answer. Do not rely upon the Australian Consumer Law. There can be more that one issue. 1) Andrew is the Director of Custom Boards Pty Ltd (‘Custom Boards’) in Burleigh Heads, Queensland. Over decades, Custom Boards has developed an international reputation for manufacturing high quality surfboards. In June 2022, Andrew decided the time was right to sell Custom Boards. Daphne has been a long-term customer of Custom Boards and when Daphne heard that Custom Boards was for sale she was immediately interested in purchasing the business. The next day Daphne hands Andrew a contract for the sale of Custom Boards. To protect her investment, Daphne included a term in the contract that would prevent Andrew from opening another surfboard manufacturing business anywhere in the world for 25 years. Andrew and Daphne sign the contract. Andrew quickly becomes bored in retirement and wants to know whether there is any way he can set up a new surfboard manufacturing business. Advise Andrew. 2)Karen is a self-employed interior designer in Brisbane, Queensland. Karen purchased a purpose-built computer for her business from Michael at Computers R Us Pty Ltd (‘Computers R Us’) in March 2022. In April 2022, Karenaccidentally spills hot coffee on her new computer and the computer immediately stops working. Karen took the computer back to Computers R Us in April 2022. Michaelsays that the repairs will cost $1500. Karen agrees to the repairs. While her computer is being fixed, Karen gets a call from Jim who asks Karen to redesign his 10-storey commercial premise. This is a very lucrative opportunity for Karen. However, the redesign must be completed within 2 weeks otherwise Jim will take his business elsewhere. Karenagrees to the tight timeline. Karen immediately calls Michael to ask when the computer will be repaired and explains the situation with Jim. Michaelexplains that the repair work is more extensive and expensive than he originally quoted. The repairs will now cost $3000. If Karen agrees to the increased price, Michaelcan have the computer fixed within two days. Karen is furious and feels like Michael is taking advantage of the situation. Reluctantly, Karen agrees to the increase cost of repairs. Karen gets her computer back in 2 days and completes the redesign work for Jim. Karen wants to know if the contract with Michael could be unenforceable.
Advise Karen.
Step by Step Solution
3.44 Rating (154 Votes )
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started