Contract Law Scenario

[stu2525uk]

Jimmy (goods manufacturer/supplier) is angry with Asdad's (buys goods from Jimmy) attitude and has decided to cancel all existing contracts with them and refuses to have any dealings with them in the future. What would be the legal position on this?

 

Could it be a case of Acceptilation and Discharge? Whereby Jimmy releases Asdad from their obligation(paying for the goods) but ultimately relieves himself of his own obligation? I don't really think so.

 

I think Asdad could sue for non-performance of any existing contract held between the two parties due to Jimmy not performing his part of the contract. Asdad could sue for loss of earnings from the existing contract but would he still have to prove he tried to minimise the losses of this contratc by finding another supplier?

 

Help please this one should be simple but cannot make a definite answer.

[Conniff]

It depends if you are using the word 'contract' in a lose manner or if there is a real drawn up signed and sealed contract. If so, then the question answers itself.

[gyzmo]

Stu, the best thing to do when answering a scenario question is to sit on the fence and argue both sides, raising the pros and cons of each issue.

 

Though you may be asked "advise Jim", what is really being asked is "Show the examiner that you can identify the issues involved and that you understand them".

 

Get the question and mark all points that raise issues. Then go through your lecture notes (you did make some didn't you?!?!) and for each point make a note of the relevant bits from your notes. Then get a few good law books (Treitel on the Law of Contract is a good one) to expand on the points and use case law where required.

 

Fom what you say, it sounds like a discussion of the main principles of contract law, from the basic concepts such as offer, acceptance; to issues such as breach of warranty and guarantee, "battle of the forms" etc etc. Conniff raises a valid point as you can have a contract without written documents - it can be done by custom and practice for example. Then you will be looking at possible remedies. It really depends on the exact wording of the question - what you have posted seems quite wide.

 

Start off with a brief summary of the situation and then in your main body break it down by each point. Then summarise, with a possible opinion by yourself based on what you have said in the main point (remember that a summary should not introduce anything not discussed in the main body) - and do the introduction last (sounds daft but it works).

 

It also helps to understand referencing - making good use of referencing and footnotes can allow for additional material to be put in without going over your word limit.

 

Also, your lecturer should be able to advise. Good luck.