Contract law ( for questions, pls see attached file)

Take Home Examination (Including Guidelines)


Question 1 (20 marks)

Able, the Managing Director of Monitor Smart Co Ltd (MSC), a personal computer Monitor manufacturer, wrote to Betty, the Managing Director of Computaland Co Ltd (CC), a computer wholesale company, on 1 June 2005:

 Dear Betty,
Further to our phone conversation yesterday afternoon, I write to offer to supply 1000 twenty-four inch MSC monitors.
& .
Please complete the enclosed order form and post it back as soon as possible. & .

The order form that Able sent to Betty contained terms and conditions prescribed by MSC. Clause 3 stated that the price of the monitor was HK$1,000 each. Clause 10 said that all orders were accepted only on MSC s terms, which were to prevail over any terms and conditions in the buyer s order. Clause 15 stipulated that any increase in the cost of manufacture by the date of delivery should be added to the price.

On 15 June 2005 Betty sent a CC order form to Able. The second sentence in page 1 said  Please supply on terms and conditions stated below . Clause 5 of the form stipulated that the monitors shall be delivered on 15 September 2005. Clause 19 of the conditions stated that the price of the monitors shall be HK$900 each. Clause 20 provided that:  The usual conditions governing the sale of computer monitors apply . There are, however, no such conditions. The order form was silent on the effect of increase in the cost of manufacturer by the date of delivery. At the foot of the order form was a tear-off slip stating:  We accept your order on the Terms and Conditions stated thereon .

On 19 June 2005 Able signed and returned the order form, writing  Your order is being entered in accordance with our quotation of 1 June 2005 at the head of page 1 of CC s order form.

At 9:00am 14 September 2005 Able sent a fax to Betty, saying that due to the increase of cost of manufacture, the price of the monitors to be delivered was now $1,200 each. Able said in the fax that no delivery would be made until he had confirmation on the increased price from Betty.

Advise Betty.

Question 2 (10 marks)

Make critical comments on the following proposition:
 Where the offeree for a sale of real property receives information from a third person that the offeror has decided to sell the property to a person other than the offeree, the offer made by the offeror is necessarily revoked .

Guidelines:

-The answer to Question No. 1 and Question No. 2, including footnotes if any, should not exceed 1,000 and 500 words, respectively. Students must specify the exact word count on the top of their answers. Penalty (deduction of up to 20 per cent marks for each question) shall apply for exceeding the word limit.
-The students should follow the following format:
? Font type and size: Times New Roman font 12 for main text, and font 10 for footnotes;
? Line spacing: one & a half for main text, and single for footnotes.
-The answers should be supported, wherever considered necessary, with relevant authorities.
-The students must duly acknowledge all the sources  books, articles, judicial decisions, lecture notes, internet sites, etc.  in footnotes. Strict penalty will apply for indulging in plagiarism, that is, presenting another person s words or ideas as one s own.

1. have to use hong kong ordinance and statutes, basic
law of hong kong to support the idea.

2. pls quote and reference with hong kong case or uk
case.

3. for basic law or hong kong ordinance, alternative
method can go to the link: hk

4. pls use inverted comma ”& & .”, for direct quoting words
from any textbooks as plagiarsm will get zero markd.

5. pls add footnotes and reference list at the back of
the paper.