TUTORIAL LAW law439/379 / 299 COMMERCIAL LAW Topic 1: LAW OF CONTRACT 1. Sheila went to Happy Supermarket. She took a trolley provided by the supermarket and filled it up with various goods from the shelves. She was about to push the trolley to the cash counter when she discovered that she had left her purse at home. Pretending as if nothing had happened, she slowly started to walk down the rows of shelves and put back the goods on the shelves. The supervisor of the supermarket stopped her, saying that she bought those goods and therefore ought to pay for them. Advise Sheila How to answer: The issue in this case is whether the goods displayed by Happy supermarket is amounted as valid contract or ITT. Section 2 (a) of Contracts Act 1950, A) definition of offer, B) give illustration C) 2 types of offer ISSUE - The issue in this case is whether the goods displayed by Happy Market amounted to a valid offer or ITT? LAW - 1) definition of offer - explanation to Section 2 (a) of Contracts Act, illustration, types of offer (general offer: Carlil v Carbolic Smoke Ball) 2) definition of acceptance - explanation to Section 2 (b), illustration, case Boulton v Jones 3) Offer distinguished from ITT - definition of ITT, common examples of ITT (advertisement: Harris v Nickerson & Coelho v The Public Services Commission; Display of goods: Pharmaceutical Society of Great Britain v Boots Cash Chemist & Fisher v Bell); Tender: Spencer v Harding, Price list quotation: Harvey v Facey & Preston Corporation Sdn Bhd v Edward Leong 4) Special discussion on Display of goods-display of goods on self-display goods dalam buku.kalau advertisement pun kena juga cuma tidak sama dgn display of good la. APPLICATION - Goods displayed on the shelves tantamount to ITT, therefore offer will only be made when Sheila brings the selected goods to the counter and the cashier will make the acceptance when she accepts the payment from Sheila CONCLUSION - As the goods displayed is only an ITT, therefore it does not bear any legal consequences. Sheila is not liable to pay for the goods that she returned to the shelves. 2. The effect of a contract entered by a minor will render the contract to become void. Explain. Section 10 (1) of Contracts Act: This study source was downloaded by 100000858570250 from CourseHero.com on 12-05-2022 00:45:33 GMT -06:00 https://www.coursehero.com/file/47191166/Topic-1-law-of-contract-law-jawapandocx/ TUTORIAL QUESTION (QUESTION 2) 1) Requirements as to Capacity - Section 10 of Contracts Act 2) Who are competent/having a capacity? - Section 11 of CA (adult, sound mind, not disqualified from contracting by any law) - who are not competent? 3) Minors - definition (Age of Majority Act 1971) - Effects of contract by minors (by virtue of Section 10 (1) and Section 11, a contact by minor is invalid (case: Mohori Bibee v Dhurmodas Ghose & Tan Hee Juan v Teh Boon Keat) 4) Exceptions: -contracts for necessaries (Government of Malaysia v Gurcharan Singh & Nash v Inman) - beneficial contracts (Doyle v White City Stadium Ltd) - contracts for scholarship (Section 4 of CA) - insurance (Insurance Act 1973) - contracts made under the Age of Majority Act 1971 (Section 4, Rajeswary & Anor v Balakrishnan & Anor) 3. Gomez, a policeman was transferred to Kuching, Sarawak. While on holiday in Kuala Lumpur he met Lilian and fell in love with her. Subsequently the couple got married and Gomez promised to give a monthly allowance of RM200 to Lilian as she was unable to obtain a transfer and accompany him to Sarawak. However, Gomez never kept his promise. Lilian now wishes to sue Gomez. Advise Lilian TUTORIAL QUESTION (QUESTION 3) ISSUE - Whether Gomez is liable to pay a monthly allowance of RM200 to Lilian? LAW - Explanation for intention to create legal relation - Two types of legal relations: 1) business agreement as explained in Low Kar Yit v Mohd Isa & Lim Keng Seong v Yeoh Ah Thee 2 domestic and social agreement as explained in Balfour v Balfour & Merrit v Merrit APPLICATION - Applying to the problem at hand, Lilian's case is similar to the situation in Balfour v Balfour whereby the spouses did not reduce the agreement into writing, so there is no presumed intention to create legal relation. CONCLUSION - In conclusion, Gomez is not liable to pay the monthly allowance to Lilian 4. Azimah offers to sell her house to Hussin for RM100,00.00. Hussin agrees to buy the house for 50,000.00. Azimah refuses to sell the house for RM50,000.00. Hussin wishes to sue Azimah for breach of contract. Advise Azimah. -counter offer (acceptance- absolute&unqualified) 5. “An agreement without consideration is void”. With reference to this statement, discuss the general principle of consideration and its exceptions. This study source was downloaded by 100000858570250 from CourseHero.com on 12-05-2022 00:45:33 GMT -06:00 https://www.coursehero.com/file/47191166/Topic-1-law-of-contract-law-jawapandocx/ 6. Distinguish offer and an invitation to treat. 7. Zaidan is a professional hockey player, aged 16 years old entered contract with Amazing Club to play for 10 years. Later on, he entered into contract with Canggih Club which promised higher salary. Zaidan abandoned contract with Amazing club. Amazing Club seeks advise on whether they can sue Zaidan for breach of contract -Jawapan sama macam Q2 - Under beneficial contract / contracts of apprenticeship. This study source was downloaded by 100000858570250 from CourseHero.com on 12-05-2022 00:45:33 GMT -06:00 https://www.coursehero.com/file/47191166/Topic-1-law-of-contract-law-jawapandocx/ Powered by TCPDF (www.tcpdf.org)