Remedies Q&A

These are the Contract Law Remedies Q&A Questions and Answers. You can learn contractual remedies while learning how to write and structure your legal essays and learn how to provide straightforward advice. You will find many model answers to the types of questions you may encounter in your coursework or exams. The answers provided are in a simple format to help students understand how to answer both essay questions and problem question while giving you knowledge of contractual remedies.

Question 1

Helen decided to set up a business as a potter. She entered into a contract with a local builder, Eric, to convert her shed into a potting studio, complete with wheel and kiln. The contract was for £15,000 and provided that the work would be finished by 30 June. However, Eric had problems with labour and did not complete the work until 30 September. Helen had to cancel a number of pottery jobs over the summer, including a lucrative contract for a dining set of her pottery in the restaurant at Lowclere, a local stately home and the sale of the pottery at Lowclere’s gift shop. The cancellation of these jobs in the summer season has caused Helen significant mental distress.

Advise Helen.

Question 2

Elegant Ltd is a business that supplies stationaries to tertiary institutions. On 10 September 2020, Elegant Ltd advertised in British Magazines for the sales of pens at £120 per pack. The ViceChancellor (VC) of Knowledge University saw the advert and decided to visit Elegant Ltd to make purchases. On arrival, the VC was informed that a pack of pens sells for £130. The VC left angrily without making a purchase and has decided to sue Elegant Ltd. The VC claims that he had spent £15 on train tickets to visit Elegant Ltd and is demanding compensation.

The Student Union (SU) of Great University is planning a Freshers’ Welcome Event and the SU President decided to visit Elegant Ltd to purchase pens. Unaware of the sales advert on British Magazines, the SU President buys ten packs at the rate of £130 per pack payable upon delivery. The SU President sees the advert two days later and decides to call off the purchase as he thinks he has been cheated. Elegant Ltd has already shipped the pack of pens at a shipping cost of £20 per pack.

Best University has sent a representative, Douglas, to negotiate the purchase of pens with Elegant Ltd. Douglas arrives and is met by Elegant Ltd’s sales agent, Lamee. Douglas offers to buy 1000 packs of pens at £110 per pack. Lamee thinks it is a good deal but is not authorised to make price concessions, so she promises to contact Douglas if her manager approves the sales.

Lamee telephones Douglas two days later to say that Elegant Ltd will proceed with the deal if Best University will pay £112 per pack. Douglas agrees, and Elegant Ltd promises to deliver the packs of pens on 14 September for the agreed price payable 14 days after delivery. Upon delivery, payment was requested on 28 September. Best University has run into severe financial problems in the last week and cannot afford to pay for the pens.

Advise the parties based on contract formation, breach, and remedies.