Identify and explain examples of frustration and cite relevant case to support your explanation.

Identify and explain examples of frustration and cite relevant case to support your explanation.

TASKS- There is two parts in this assignment.

Part A-

QUESTION 1 – Thinking about what constitutes the discharge of a contract; outline the general rules under each of these headings.

QUESTION 2 – There are certain circumstances when the general rule of performance is mitigated on the discharge of a contract. For each of these listed below explain and provide an example of the exception to the rule.

QUESTION 3 – Discharge of a breach of contract can be either through an actual or anticipatory breach. In the case law of Hochster v De La Tour (1853) an anticipatory breach has occurred. Applying this case, explain whether the anticipatory breach was explicit or by implication.

QUESTION 4 – (a) There are two alternative tests for frustration:

a) The implied term theory

b) The radical change in the obligation test

Applying the case law of Taylor v Caldwell (1863) for the implied term theory and Davis Contractors Ltd v Fareham Urban District Council (1956) for the radical change in the obligation test, explain the basis of these tests.

(b) Identify and explain three (3) examples of frustration and cite relevant case to support your explanation.

Part B-

Consider the following Case Study and provide written responses to the questions.

Stella is 20 years old and wants to throw her Dad a surprise party for his 50th birthday. She is currently in her last year of studying a Business Degree at University. She also works part-time at the local pharmacy and has saved some money towards the party but needs to borrow a further $5,000.

At a family function her Aunty Steph offers to lend Stella the money on the understanding that she will pay it back when she gets a full-time job.

Stella contacts the caterers, decides on the menu and pays a deposit. She spends all of her Aunty Steph’s money on the party. The party was a great success.

Six months pass Stella decides to do further study and can’t repay her Aunt’s loan.

Does Aunty Steph have an enforable contract with Stella?

QUESTIONS-

1. Has there been an offer? Outline your reason and cite relevant case law to support your explanation?

2. Has there been an acceptance? Outline your reason and cite relevant case law to support your explanation?

3. Was consideration sufficient? Outline your reasons and cite relevant case law to support your explanation?

4. Has there been ‘intention to be bound’? Outline your reasons and cite relevant case law to support your explanation?

750 Words

3 Harvard reference.