Practice of Legal Skills

Case Scenario

In this case the facts are Mr. Benjamin is a retired person who has purchased a restaurant for business from Mr. Hughs. Restaurant was making sustained profit and has also maintained good reputation also. Both the parties have signed a 'contract of sales' on 1^st of January 2020. The contract mentioned that ''fittings and fixtures'' were included in the contract but there was no specification about the items that will come in it. It has been told that representative of Mr. Hughs , Mr. Phillip informed that 4 freezers were included in the contract of sales. When the possession was transferred to Mr. Benjamin and the keys were handed to him, it was noticed by him that all the 4 freezers were not in the restaurant. Now Mr. Benjamin must pay RM 40000 in order to replace it . The outcome of the situation was that Mr. Benjamin wants that either Mr. Hughs bears the cost of the freezers. Else they have to be replaced with new freezers. Want to get Assignment help? Talk Our Expert Now!

Q1. Explain the steps that will be help Mr Benjamin to solve the problem as his lawyer

This question has various laws and terms that are to be explained before the steps that are needed to be followed because they have very strong link to this problem. The laws and term identified possession and contract of sale (Baytor and Cabrera, 2014). Possession is a term that is related to property law which means transferring the right over the property to another person. It can be transferred partly and fully. In a general sense it can be explained as a property that has to be given to a person of which he gets full enjoyment or partial enjoyment over it. Contract of sale is the contract in which there is transfer of property that has been agreed to be transferred in consideration of money. The contract of sales involves essentials of a valid contract which means free consent, lawful objective, consideration, competency must be there for these kinds of contract. Two parties that are buyer and seller also need to be there, goods which includes all kind of movable property. Ownership transfer that means all the rights of the owner, and price means money that has to be paid or price in consideration. If these elements are missing then there will be no valid contract of sales. These contract can be conditional in certain terms and can be absolute which means fully done (Bliss and Chinvinijkul, 2014). Case law related to contract of sales is Priest v Last there was demonstration for the principal that buyer has said to seller about the particular purpose for purchasing goods and a condition was implied that it is done for reasonable purpose. Facts of the case says that a water bottle was bough by the buyer for his wife that she used as a hot water bottle and after using it for five times the bottle burst and if was found in the evidence that water bottle not to be used as hot water bottle. Buyer wants a claim against the breach of contract of sales under section 14(3). It was held by the court that the seller should recover the expenses from the treatment of buyers wife injury because buyer has relied over the judgement of the seller and has used the bottle for usual purpose. In Shine v General Guarantee Corporation Ltd it was decided by the court that the car was not of merchantable quality as no one would have buy the car after knowing its condition without reduction in price (Staudt and Lauritsen, 2013). So buyer will get compensation for it from the seller. There steps that will be taken for Mr Benjamin are:

Proper documents should be brought by him related to the contract taken place between the parties. These should include the copy of agreement singed by both the parties, slips of the transactions that has taken place for the payment of transfer of money, details of the locality in which restaurant has been set, record of conversations that has taken place between the parties these include telephonic conversations, chats over any social media, pictures if clicked with at the time of agreement taking place (Boyle and Capps, 2013). Also the papers that proves that the possession has been given to buyer from the seller. All these are essential for filling a case against the seller as it will be considered as valid evidences that will be required to prove the point of buyer. 

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The law and term mentioned above is relevant to the case study given in the question because there has been transfer of property that lead to the formation of contract of sales. As there has been an agreement between both the parties because no contract can take place without it. An agreement can be done verbally and in written. The procedure for filling of case under this act in UK is there should be complainant that is to be send by the court to the defendant, discovery of evidence is to be done that will help to prove validity of the evidence, then trials should be conducted. Appeal can be made in the higher court if not satisfied with the judgement given from the lower courts.

Q2 Modes to solve the issue of Mr. Benjamin with Mr. Hughs

In breach of contract of sales involves lot of parts in which there has to be set out in claims and its particulars. The facts are to be proven for the breach that has taken place in order to get claims, there are various steps involved the main ingredient that has to be made out is cause of action. Remedies that are there for the breach of sales of contract are recession, damages, quantum meruit, specific performance, injunction (Stuckey, 2016). The party who has committed the breach is 'guilt party' and the person who files the case is 'aggrieved'. Rescission in this the aggrieved party may sometime need to approach the court for it this means the contract has been cancel. It is available only when there is opposed to breach of warranty. Relevant case law is Betti v Gye in this it was held that there was breach of warranty and so the employer was not held entitled for ending the contract.Damages means monetary compensation for the loss done it is determined by the magnitude of loss caused due to breach. Types of damages are general, special , exemplary and nominal. These are the awards that are given in the form of money to the party who is innocent, the main objective is to identify the person who is guilty and make him pay for the loss occurred due to breach . Quantum meruit it means payment that the person deserves for the actual work done by him. It is applicable in breach only when the party has done some work within the duration of contract. Specific performance in certain circumstances damages are not appropriate remedy for this the direction is given by the court for carrying out the contract in case of breach and the parties are not compelled by the court for the same that has been refused to be done. Before considering this the court has to look whether damages are adequate and equity requires such order or not. Related case law Nutbrown v Thornton in this it was held that award for damages will be given for non delivery of goods and it will not be adequate to claim the compensation as he would not buy the machines some where else (Eisenschitz, 2016).

Injunction it is a decree or order sent by the court in order to stop a contract in which breach has been done. Types of injunction are temporary, prohibitory and mandatory. Relevant case law Warner Bros v Nelson in this case it was held that injunction granted only so far as Bette Davis from performing. The term of no employment was served and did not form injunction (Thanaraj, 2014).

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Recommendation

In the above case it can be clearly seen that there has been a breach of contract sales between both the parties and a claim has to be made by Mr Benjamin of RM 40,000 . For which the appropriate advice has been given to him . All the remedies available to him are explained in full detail with relevant case laws. Procedure has also been explained for filling case and steps has been mention that are required to be followed by him before coming to lawyer through telephone. So all aspects regarding the question asked in the problem has been defined and covered.

CONCLUSION

In this problem we have deal with basics of contract of sales and the elements involved in it. These elements has also been explained and also the term has been defined in relation to the problem. Further some relevant cases has been given. The steps has been explained that are need to be followed by him and relevant remedies are also been explained in details that are to taken in consideration by Mr Benjamin to solve the issue between Mr hughs and him. Some case laws has been also explained in order to just fie the remedies in an relevant manner so that the client may find no problem in solving the case.

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