Question
You are employed with a construction company called Construct Constructions Pty Ltd ('Construct').Mr Duff is the executive director of Construct. He comes to your desk
You are employed with a construction company called Construct Constructions Pty Ltd ('Construct').Mr Duff is the executive director of Construct. He comes to your desk and informs you that Construct has received a claim from a previous client of Construct, Mr and Mrs Burns. Construct built a house 2 years ago for Mr and Mrs Burns at Armadale, in WA. The solicitors acting for Mr and Mrs Burns claim that Construct is in breach of contract and in negligence having built the house with footings of inadequate depth with reinforcement inadequate for the foundation conditions. The claim is supported by an expert opinion from Excell Structural Engineers. Mr Duff informs you that the claim for breach and negligence uses the precedence in the High Court decision, Bellgrove v Eldridge (1954) 90 CLR 613. Mr and Mrs Burns' claim is for the demolition and rebuilding of the house. Their solicitor's claim that Construct should pay for the demolition and the rebuilding of the house. Mr Duff wants you to provide the following information prior to a meeting Mr Duff will have with his solicitors: 1. Discuss whether the decision of the High Court in Bellgrove v Eldridge being used by Mr and Mrs Burns is 'binding precedent' or 'persuasive precedent'? 2. Discuss whether the Bellgrove v Eldridge case provides any defence for Construct against the claims made by Mr and Mrs Burns that the house should be rebuilt (or whether it provides defence for Mr and Mrs Burns). Provide a critical analysis of the Bellgrove v Eldridge case in relation to Mr and Mrs Burns' complaints about their house and claims against Construct that the house should be rebuilt, and explain (provide justification) for your views.; and 3. Finally, determine what is your opinion on the likely success or otherwise, of Mr and Mrs Burns succeeding in its claim against Construct.
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