business law
EXAM PREPARATION
Question 1:
John was driving his car home from work in heavy traffic listening to his MP3 player through his large, ear covering Bose headphones, when he heard a distant siren. Almost simultaneously, he felt a large impact as his car was rammed on the left hand side by an ambulance driven by Mary.
John was badly, but not fatally injured. While he was recovering in hospital, John received a legal demand, accompanied by a statement of claim, requiring that he pay the costs incurred in repairing the ambulance .and that he compensate its driver Mary for the shock she received.
Attached to the statement that he received was a claim by Mary that she had switched on the siren seconds before she entered the intersection. She admitted that she had exceeded the speed limit, but claimed in the statement that it was necessary in all of the circumstances.
John suspects that as there was no reference in the claim to any emergency or even any details of patients etc put at risk by the accident, that Mary was in fact on her way to the nearby McDonalds family restaurant and had used the siren and its privileges to save time.
Advise John as to what Mary will need to prove to establish a claim in negligence against him; and what potential defences he has available to him.
Question 2:
Nicole recently entered into a contract to sell her house in Canberra to Lakeview Developments Pty Ltd for $750,000. She was told by the receptionist in Lakeview's office that Lakeview Developments is a development company which plans to demolish the house and build some apartments. The contract was signed by Nicole and was also signed 'for and on behalf of Lakeview Developments Pty Ltd' by Anthony Blunt, who showed her his business card describing him as the 'Developments Manager' of Lakeview Developments.
Nicole has just been informed by the company that, as Developments Manager, Anthony did not have authority to enter into the contract and the company
Question 1:
John was driving his car home from work in heavy traffic listening to his MP3 player through his large, ear covering Bose headphones, when he heard a distant siren. Almost simultaneously, he felt a large impact as his car was rammed on the left hand side by an ambulance driven by Mary.
John was badly, but not fatally injured. While he was recovering in hospital, John received a legal demand, accompanied by a statement of claim, requiring that he pay the costs incurred in repairing the ambulance .and that he compensate its driver Mary for the shock she received.
Attached to the statement that he received was a claim by Mary that she had switched on the siren seconds before she entered the intersection. She admitted that she had exceeded the speed limit, but claimed in the statement that it was necessary in all of the circumstances.
John suspects that as there was no reference in the claim to any emergency or even any details of patients etc put at risk by the accident, that Mary was in fact on her way to the nearby McDonalds family restaurant and had used the siren and its privileges to save time.
Advise John as to what Mary will need to prove to establish a claim in negligence against him; and what potential defences he has available to him.
Question 2:
Nicole recently entered into a contract to sell her house in Canberra to Lakeview Developments Pty Ltd for $750,000. She was told by the receptionist in Lakeview's office that Lakeview Developments is a development company which plans to demolish the house and build some apartments. The contract was signed by Nicole and was also signed 'for and on behalf of Lakeview Developments Pty Ltd' by Anthony Blunt, who showed her his business card describing him as the 'Developments Manager' of Lakeview Developments.
Nicole has just been informed by the company that, as Developments Manager, Anthony did not have authority to enter into the contract and the company