In this assignment I am providing the legal advice and guidance to enable the members of a group to decide on whether to seek the professional advice. I’m also going to discuss the pros and cons of the situation and identifying the relevant legal issues and going to discuss the relevant law to support the possible judgement on the following case. A member of a group had booked a holiday to the Sharmal Sheikh. The holiday company is still taking bookings, but due to the current troubles, one of the group member wishes to cancel their holidays. In order to take advantage of a discount the full amount is already been paid to the holiday booking company. 1 – Does their contract allow them to cancel?
2 – What conditions apply to the contract?
3 – What exclusion clause is present?
4 – What compensation is likely to be paid?
In the contract law the essential elements are:
(a) – Offer
(b) – Acceptance
(c) – Consideration
All these elements are been discussed previously in the task 1. In this scenario the conditions that are applied to the contract between the two parties clearly have the offer and acceptance principles. When both the parties have exchanged the money and a legal transaction been conveyed in between two parties then it seems that the consideration exists in its full swing in this contract in between the two parties. As an advisor I have to make sure that both these parties are well aware of the benefits of this contract that took place in a good faith and at that time both the parties were willingly and knowingly interested to make an agreement about the holiday booking. I am also going to make clear for both the parties about the disadvantages of this contract, whether both these parties were aware of the troubles in Sharmel Sheikh? Since the company is still been taking the bookings. They could argue that they were not clearly and timely informed about the problems at the holiday resort. At the time of the contract the holiday company represented the resort as a nice and peaceful place and in a good faith and at that time it never appeared that there is any misrepresent from the company towards their customers. The company was made aware of the uncertain and unsatisfactory condition of the resort due to the trouble by the customers who wanted their money back. The holiday company could have innocently misrepresented the holiday resort being a peaceful and safe place for the tourists. A general condition is that both the parties have performed what they were agree to do and created a legal relationship in between them. In this case another condition is to look at the holiday companies implied terms and those terms can be expressed given a specific direction and where things might be vague like they might be in this case. Implied terms in English law refers to the practice of setting down default rules for contracts, when terms that contracting parties expressly choose run out, or setting down mandatory rules which operate to override terms that the parties may have themselves chosen. The purpose of implied terms is often to supplement a contractual agreement in the interest of making the deal effective for the purpose of business, to achieve fairness between the parties or to relieve hardship. Innominate term: In this case the innominate term might be the strongest weapon to deal with the circumstances. This is a very reasonable term where the contents of the contracts are not clear and the customer asking for his money back due to the troubles in the area. A warranty is a term concerning a minor part of the agreement only, if it is broken, the injured party has a right to claim damages but not, In general, to treat the contract as repudiated. A condition, on the other hand is a term that relates to an important aspect of the agreement: it ' goes to the root ‘. If such a term is broken the victim has a right, not only to claim damages, but also to avoid the contract. If the court...