There are three major contractual legal issues related to the scenario which will be discussed in below. The first one is the breach of an express term of the coffee bean purchase contract between Candy and Blair. The following one is the breach of an implied term of the lease of coffee machine contract between Candy and Blair. And the last one is the exclusion clause of the café purchase contract between Candy and Ariel. All three scenario will be analysed and advice for Candy will be provided within the analysis.
Scenario 1
Facts & Issues
One day, Candy- the owner of Candy’s Coffee Cart had lunch with her childhood friend Blair – the owner of Blair’s Beans as a coffee beans and coffee equipment supplier. Blair has mentioned …show more content…
And Candy accepted. After the agreement, Candy started to worry about the length of the contract and Blair admitted to amend the standard term for her so she could terminate the contract early when the time came. But after a few months, when Candy requested to terminate the contract early, Blair refused to do so.
Two issues arise with this scenario:
1. Is there a contract for the purchase of the new coffee beans?
2. Is there a breach of an express term of the contract?
Analysis
Issue 1:
“A contract is an agreement enforceable at law”1. A simple contract includes three elements: agreement, intention to create legal relation and consideration. As an agreement involves an offer and an acceptance, to determine is there an offer will be priority to this issue. An offer clearly states the terms which the offeror is prepared to be bounded by the contract. This must be communicate to the offeree. Refer to Carlill v Carbolic Smoke Ball Co, Blair suggest the coffee beans purchase is an offer to Candy. From the material fact, it clearly identifies the terms such as the length and the content of the contract and communication involves. So it is significant that there is an offer. Next …show more content…
The contract included a long list of standard lease terms and conditions, but Blair left blank for the start and end date of the lease to be entered as the earlier concern of Candy. Candy signed the contract neglect the blank and found that a few months later. She asked to terminate the lease contract but Blair ignored her enquiry and kept invoicing Candy for the