Collection OF Tutorial Questions(LAW240) PDF

Preview

Summary

COLLECTION OF PROBLEMATIC QUESTIONS ON LAW OF CONTRACT & AGENCY (LAW240)(LAW OF CONTRACT)QUESTION 1(REVOCATION OF OFFER)Laila wrote a letter to Fifi, an antique collector, to sell her antique vase for RM2000. Fifi received the letter on 15 January 2010 and sent a letter accepting the proposa...

Description

COLLECTION OF PROBLEMATIC QUESTIONS ON LAW OF CONTRACT & AGENCY (LAW240) (LAW OF CONTRACT) QUESTION 1(REVOCATION OF OFFER) Laila wrote a letter to Fifi, an antique collector, to sell her antique vase for RM2000.00. Fifi received the letter on 15 January 2010 and sent a letter accepting the proposal at 3.00 pm on the same day. However on 16 January 2010, Laila had second thoughts and decided to revoke her proposal made earlier. Laila immediately wrote another letter to Fifi revoking her proposal and sent it on 17 January 2010. Fifi received the letter of revocation on 20 January 2010. Fifi insisted that there was a valid contract between them even though she had received the revocation letter from Laila. Advise Fifi. QUESTION 2(COUNTER OFFER) Usin offered to sell his house to Abi for RM100,000. In reply, Abi agreed to buy the house but at a purchase price of RM90,000. Usin did not agree with the new price and sold the house to Usop without informing Abi. Two days later, Abi wrote again to Usin stating that he was prepared to pay RM 100,000 for the house. Usin informed Abi that the house had been sold to Usop. Advise Abi whether a valid contract exists between him and Usin and if so, whether he can succesfully sue for specific Performance of the contract. QUESTION 3(CONSIDERATION) Nenek Timah is a wealthy lady living alone and had been bedridden for many years. Anuar, an unemployed man who lives next door, offered to tidy up Nenek Timah’s garden which had been overgrown. Nenek Timah was pleased and agreed. For the past three years, Anuar tended the garden. Recently, Nenek Timah cheerfully informed Anuar that she will pay RM6.000 for all the work Anuar had done in her garden. However, when Anuar came to claim the money, Nenek Timah informs him that she has changed her mind.Advise Anuar. QUESTION 4(ADVERTISEMENT FOR A REWARD- OFFER) En. Najmi, a newly appointed manager of MayaBank of Shah Alam branch left his office to meet his client at Green Wave Hotel on 12 January 2011. Before that, he stopped at NobitaShop to purchase diapers for his youngest kid. After meeting, he rushed to pick up his kids at Sekolah Rendah Seksyen 2. Next day later, he realized that his briefcase containing various important and confidential documents was missing. He knew that his recklessness will jeopardize his position as a manager to the extent of dismissal. Hence, he immediately made an advertisement in a local newspaper that he will pay RM5000-00 to anyone who find and safely return his briefcase. Reezal, a hotelier of Green Wave Hotel read the advertisement and remembered that En Najmi went to his hotel on 12 January 2011. Furthermore, Reezal was the one in charge for reservation of meeting room that day. He instantly went to check the meeting room and fortunately found the said briefcase under the table. Reezal returned back the said briefcase to En Najmi and claimed the reward of RM5000-00. En Najmi however refused to pay. Advise Reezal as to his right to claim the said reward.

QUESTION 5(ITT) Izzah saw an advertisement in a local newspaper "The Moon" which referred to as "crazy hari raya offer while stocks last" by a local supermarket, Galaxy Hypermarket of a wellknown brand of Blonday food mixer. The price stated was RM900.00 per unit. The usual price of the said kitchen appliance was around RM2000.00 per unit. Izzah did not want to miss this great opportunity since she had a plan to sell cakes and cookies. She thereby rushed to the supermarket and chose the right food mixer and took it to the payment counter. The cashier nevertheless told her that the supermarket had increased the price to RM2500.00. Izzah refused to buy the said food mixer at that particular price. Advise Izzah whether Galaxy Hypermarket is contractually bound to sell Blonday food mixer at the price of RM900.00. QUESTION 6(INTENTION TO CREATE LEGAL RELATION) Haris and his wife, Hana, went on a vacation to Europe for 2 weeks. At the end of the holiday, Haris returned to Malaysia alone due to work commitment. Hana, on the other hand wished to stay longer to collect data for her postgraduate research. Before returning home, Haris promised to pay Hana a monthly allowance of RM1000 which he never fulfilled. Subsequently, he fell in love with Laila. He wanted to marry Laila, and hence, chose to divorce Hana. Haris has also entered into an agreement with Syarikat Happy Love Sdn Bhd for his wedding ceremony with Laila. However, he decided to cancel it when his friend, Rashid, agreed to arrange the wedding ceremony at a lower price.Hana and Syarikat Happy Love Sdn Bhd would like to initiate legal action against Haris for breach of contract. Advise Hana and Syarikat Happy Love Sdn Bhd. QUESTION 7(ITT) Francis enters Jaya Jusco Supermarket, takes trolley provided by the supermarket and fills t up with various goods from the shelves. He is about to push the trolley to the cashier’s desk when he discovers that he has left his purse at home. Pretending as if nothing had happened ad whistling his favourite tune, he started to walk down the rows of shelves and put back the goods on the shelves. Whilst doing so, Mr Gar Ang, the supermarket supervisor stops him saying that he has bought these goods and therefore must pay them. Advise Francis.

QUESTION 8(MINOR- CAPACITY TO CONTRACT )

Annas, an engineering graduate, had received a sponsorship for the amount of RM30,000 from Syarikat Pembinaan ANZ Sdn Bhd during his study at the local university. At the time the agreement was signed, Annas was only 17 years and 9 months old. Under the agreement, he was required to work for the company for 5 years upon completing his study or to pay a compensation of RM60,000. Annas left the company after serving it for 4 years and 2 months. However, he agreed to pay the company RM4,000 as compensation for the remainder of the duration not served. The proposal was rejected by the company which in turn claimed the full amount of compensation agreed before. Advise Annas.

QUESTION 9(CONSIDERATION) Ahmad and Siti are a newly engaged couple. As an expression of love, Ahmad has promised that he will transfer the ownership of his apartment located in Bangi to Siti as soon as they are formally married. One year has elapsed since the marriage of Ahmad and Siti. To date, Ahmad has not made any attempt to transfer the apartment to Siti. Recently Siti was pressured by her mother who wanted Ahmad to fulfill his promise. Is Siti entitled to enforce the above promise?

QUESTION 10(DISCHARGE OF CONTRACT) Pak Abu has agreed to sell his bungalow to David for RM500000. David paid a deposit of RM50000. However, three days later, the said bungalow had been swept away because of high tide. David insisted that Pak Abu must pay back the deposit. On the other hand, Pak Abu argued that David has to pay the remaining balance. Advise the parties on their rights according to contract law.

QUESTION 11(MINOR- CAPACITY TO CONTRACT) Khairi, aged 17, has just signed a sponsorship agreement with Yayasan Pelajaran Johor, where he will receive RM 35,000 to pursue his studies at Universiti Teknologi MARA (UiTM). Under the agreement, he is required to work for Yayasan Pelajaran Johor for 5 years upon completing his study or alternatively, to pay a compensation of RM 50,000. Khairi seeks your advice as the validity of the agreement. QUESTION 12(ITT)

Merlin & Co has advertised in a newspaper on 1 January 2012 for the post of legal advisor. Some of the requirements were the candidate must have at least 2 years working experiences and a degree holder in law. Morgana was interested to apply for that particular post and hence submitted her resume and application letter to that company. A month letter, she was so upset to receive a rejection letter from Merlin & Co. Morgana wishes to take legal action against the company for breach of contract. Advise her. QUESTION 13(OFFER(ADVERTISEMENT FOR A REWARD)

Ikin had an antique diamond ring which was given to her by her late grandmother but the ring did not fit her well as she had slim fingers. One day, while having lunch at the college dining hall, Ikin accidently lost her precious ring. As she loved the ring very much she advertised in the varsity newspaper that she would give a reward of RM400.00 to anyone who could find the ring and returned it to her. Ina, Ikin's roommate found the ring under one of the dining tables. Recognizing that the ring belonged to Ikin, Ina returned it to her. Ina only knew about the reward the next day after reading the newspaper. Advise Ina as to whether she could claim the reward from Ikin.

QUESTION 14(OFFER(REVOCATION OF OFFER) Laila wrote a letter to Fifi, an antique collector, to sell her antique vase for RM2.000.00. Fifi received the letter on 15 January 2010 and sent a letter accepting the proposal at 3.00 pm on the same day. However on 16 January 2010, Laila had second thoughts and decided to revoke her proposal made earlier. Laila immediately wrote another letter to Fifi revoking her proposal and sent it on 17 January 2010. Fifi received the letter of revocation on 20 January 2010. Fifi insisted that there was a valid contract between them even though she had received the revocation letter from Laila. Advise Fifi. QUESTION 15(ITT) Izzah saw an advertisement in a local newspaper "The Moon" which referred to as "crazy hari raya offer while stocks last" by a local supermarket, Galaxy Hypermarket of a wellknown brand of Blonday food mixer. The price stated was RM900.00 per unit. The usual price of the said kitchen appliance was around RM2000.00 per unit. Izzah did not want to miss this great opportunity since she had a plan to sell cakes and cookies. She thereby rushed to the supermarket and chose the right food mixer and took it to the payment counter. The cashier nevertheless told her that the supermarket had increased the price to RM2500.00. Izzah refused to buy the said food mixer at that particular price.

Advise Izzah whether Galaxy Hypermarket is contractually bound to sell Blonday food mixer at the price of RM900.00. QUESTION 16(COUNTER OFFER )

Dang Suria offered to sell her car to Kamaruddin on 16 th December 2004 for RM25,000. On 18th December 2004, in reply, Kamaruddin wrote to Dang Suria to buy the car for RM15,000. When Dang Suria refused to accept this offer, on 27 th December 2004, Kamaruddin wrote again that he was prepared to pay the original sum demanded.Unfortunately, Dang Suria has changed her mind and refused to sell. Advise Kamaruddin whether he could successfully sue Dang Suria for breach of contract. QUESTION 17(INTENTION TO CREATE LEGAL RELATION ) Haris and his wife, Hana, went on a vacation to Europe for 2 weeks. At the end of the holiday, Haris returned to Malaysia alone due to work commitment. Hana, on the other hand wished to stay longer to collect data for her postgraduate research. Before returning home, Haris promised to pay Hana a monthly allowance of RM1000 which he never fulfilled. Subsequently, he fell in love with Laila. He wanted to marry Laila, and hence, chose to divorce Hana. Haris has also entered into an agreement with Syarikat Happy Love Sdn Bhd for his wedding ceremony with Laila. However, he decided to cancel it when his friend, Rashid, agreed to arrange the wedding ceremony at a lower price. Hana and Syarikat Happy Love Sdn Bhd would like to initiate legal action against Haris for breach of contract. Advise Hana and Syarikat Happy Love Sdn Bhd.

QUESTION 18 (COUNTER OFFER) Usin offered to seil his house to Abi for RM100,000. In reply, Abi agreed to buy the house but at a purchase price of RM90,000. Usin did not agree with the new price and sold the house to Usop without informing Abi. Two days later, Abi wrote again to Usin stating that he was prepared to pay RM 100,000 for the house. Usin informed Abi that the house had been sold to Usop. Advise Abi whether a valid contract exists between him and Usin and if so, whether he can succesfully sue for specific Performance of the contract. QUESTION 19(OFFER(REVOCATION OF OFFER) 7.On 1 May, Wak Din wrote to Abu, his nephew, offering to seil his house and giving Abu until 31 May to accept the offer. The letter, however, was misdirected and reached Abu on 30 May. Upon receiving the letter of offer on the same day, Abu immediately posted his acceptance letter. Meanwhile, Wak Din, thinking that Abu was not interested in the offer, sold the house to his niece, Minah, on 1 June. Advise Abu whether a valid contract is constituted between him and Wak Din and if so, whether he can successfully sue for specific performance of the contract. QUESTION 20(UNDUE INFLUENCE ) Pak Lim is an illiterate old man living in an Old Folks Home in Ulu Yam. He is assisted and given special attention by Yang Mee, one of the employees there. Upon Yang Mee's advice, Pak Lim sold his house and surrendered the proceeds of the sale to Yang Mee. Yang Mee also persuaded Pak Lim to sign an agreement to transfer his house to her. When Pak Lim died his son Sim Leng wished to claim the money from the sale of the house and the land transferred to Yang Mee. Advise Sim Leng. (LAW OF AGENCY) QUESTION 21 Melor instructed Malim, who operated a warehousing service to store 100 sacks of onions, which belonged to her in Malim’s warehouse until she could find a buyer for them i.e. the said onions. Three days later, Malim discovered that the onions were beginning to rot and were likely to contaminate the other perishable goods kept in the warehouse. He tried to contact Melor but was informed that she was out of town and could not be reached. Malim later sold the onions to Pak Malau at below market price. Melor is frustrated with the decision made by Malim and wishes to sue him for her losses. Advise Melor. QUESTION 22 Encik Suria had been appointed by Petra Bhd as an agent to purchase computers. He was told by Petra Bhd that he can purchase the computers from any supplier he wishes but the amount must not exceed RM150,000. However, Encik Suria exceeded his authority by purchasing the computers from Zul Enterprise which costs RM200,000. The supplier then claimed the payment from Petra Bhd as the principal to Encik Suria. Advise Petra Berhad.

QUESTION 23 Sitie was instructed by Datuk Khalid to sell a house in Bukit Antarabangsa at a price of RM 500,000. She was promised a remuneration of R15,000. While performing her duties, Sitie had used her own money amounting to RM3,000 for the cost of negotiating and reaching an agreement with the potential buyer i.e. Datuk Mawi at several expensive and lucrative golf courses nearby. As a result, Sitie received RM25,000 as a deposit from the buyer of the house. After completion of the transaction , Datuk Khalid refused to make any payment to Sitie. Advise Sitie.

QUESTION 24 Din instructed his agent, Man to sell his business premises at a price not less than RM1 million. Man sold the said premises to Ah Yam at RM500,000. Six months later, Din discovered that Man had received RM50,000 as commission for the sale from Ah Yam. Further, Din was informed that a person by the name of Raja Zack had initially offered the price of RM1.2 million to Man. But he chose to sell the premises to Ah Yam because Raja Zack refused to pay any commission to him. Advise Din. QUESTION 25 Maju Bhd instructed his agent Datuk Kudung to manage a construction of a hospital in Sungai Ikan. Maju Bhd promised to pay Datuk Kudung RM15,000 as a commission. Unknown to Maju Bhd, Datuk Kudung also received RM10,000 from Tempang Holding, a contractor who built the hospital. Maju Bhd discovered about this and seeks your advice on his legal rights.

QUESTION 26 Encik Baba had been appointed by Silver Bhd as an agent to purchase computers. He was told by Silver Bhd that he can purchase the computers from any supplier he wishes but the amount must not exceed RM15,000. However, Encik Baba exceeded his authority by purchasing the computers from ZZ Enterprise which costs RM20,000. The supplier then claimed the payment from Silver Bhd as the principal to Encik Baba. Advise the parties.

QUESTION 27 Sinar Bhd instructed his agent Datuk Sam to manage a construction of a hypermarket in Taman Permin. Sinar Bhd promised to pay Datuk Sam RM20,000 as a commission. Unknown to Sinar Bhd, Datuk Sam also received RM15,000 from Tipani Holding, a contractor who built the hypermarket. Sinar Bhd discovered about this and seeks your advice on his legal rights.

QUESTION 28 Mizal was authorised by Sofna Bhd. to send twenty boxes of bananas to Kedah. At Grik, he met with an accident and the lorry needed to be repaired for two weeks. He tried to call his principal but unsuccessful. Since the bananas were going to rot, Mizal sold them to Cik Labu at a lower price. Advice Sofna Bhd. QUESTION 29 Afedah has been instructed by Azliza to buy a computer for a price not exceeding RM6000. Afedah ordered a computer from Ariff Communication in her own name for a price of RM6500 since that was the lowest price in the market. When Ariff Communication delivered the computer, Azliza accepted it eventhough the price exceeded the amount she had authorised. When Ariff Communication demanded payment, Azliza refused to pay on the ground that the price of the computer was too expensive and furthermore that it was bought by Afedah herself. Discuss the position of all parties involved. QUESTION 30 Puden is a director of Syarikat Dua Musim Sdn. Bhd.He was instructed by the Board of Directors to manage a construction of a shopping complex at a cost of RM 3 million. As remuneration, the company promised to pay Puden RM20,000. Unknown to the company, Puden also received RM10,000 from the contractor who built the shopping complex. Syarikat Dua Musim Sdn. Bhd became aware of this after the construction of the shopping complex was completed. Advise the company as to whether they can bring any action against Puden and the contractor.

“A CHEERFUL HEART AND A SMILING FACE CAN PUT SUNSHINE IN EVERY CLASSROOM SPACE ,” TILL THEN, ALL THE BEST! ……Pn.Sha....