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BUSINESS LAW (LAW 416)

TUTORIAL QUESTIONS : LAW OF CONTRACT

1. Daud went to Electric Lightning Shop (ELS) to buy electrical items for his
house. He selected a kettle, a blender and a toaster from the shelf which
had tags stating the goods were on sale. He placed them into the trolley
and brought the items to the cashier’s counter to pay. When Daud
handed the cash to pay, the cashier of ELS said that Daud has to pay the
full price as the items were not on sale. Daud is upset as he felt that ELS
has breached the contract.

Advise Daud.

2. Jill lost her puppy and placed an advertisement with a picture of her
puppy, promising to pay RM1,000 to anyone who found and return the
puppy safely to her. Jack found the puppy and sent the puppy to Jill’s
house as he saw the address stated in the puppy’s collar. As Jill was not
at home, Jack handed the puppy to Jill’s maid. The next day, Jack found
out about the reward of RM1,000. Jack claimed for the reward, but Jill
refused to pay as she said that there was no contract between them. Jack
wants to bring action against Jill for breach of contract.

Advise Jack.

3. Yusri in Pahang posted a letter to Hazli in Kedah, offering to sell his

durian plantation and asked Hazli to reply in writing before 11th October
2021. On 4th October, Hazli posted a letter agreeing to purchase the
durian plantation. However, the letter reached Yusri on 20th October. By
that time, Yusri had already discussed with other interested buyers as he
did not hear from Hazli. Hazli insists that the contract is valid.

Advise Yusri.

4. Harry, aged 17, is a student doing foundation studies in a private college.

He bought a bicycle and some cycling equipment worth a total of
RM20,000 from Sports Cycle (SC) as he wanted to join the cycling club.
As he did not have enough money, He signed a contract to pay for the
equipment through monthly instalments of RM500 for 40 months.
However, after 3 months, Harry has not paid for the cycling equipment.
SC wants to sue him for the payment.

With reference to the relevant statutory provisions and cases, examine

Harry’s liability.