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Australian Law

There also has to be the item being offered and the consideration for the same. It is also worth noting that putting an advertisement on the paper is classified as an invitation to treat (Evan, 2006). This is where the seller is welcoming any prospective buyer to come and make an offer the commodity being sold. However, once the buyer has made the offer and the seller has agreed to take the stated consideration, the contract becomes binding and prevents the seller from rescinding such a contract on any other basis. For the agreement to become binding, the offer must be communicated and the acceptance communicated too, indicating an intention to enter into a contract. If in the communication of the acceptance the offeree changes any term of the original offer, then the contract is breached and not binding any more. If the acceptance happens to be given after the set time for the contract has expired, then the contract can be rescinded (Parkinson, 2001). The most important aspect regarding the offer and acceptance is that from the judgment of a reasonable ground, the whole deal settles as a bargain that is concluded. Notable also is the fact that both the parties entering into such a contract must have the capacity to engage. Under this provision, a drunk or a minor cannot enter into any binding agreement. In our case, Anton offers to sell a photograph to John. John agrees to buy the photo and then pay for it $10,000. Here, there is an involvement of two parties, the seller, and the buyer. The law requires that the intention by the two parties entering into such a contractual agreement should be to create a contract. In this case, there was a clear intention to form a contract, in the sense that John agreed to purchase the photograph only if it was authentic. The response by Anton was positive. This far, the intended transaction had qualified to be a contract. However, there was an abrupt change of plans when Anton was informed that the same photo would fetch more money, to a tune of $ 30,000. By deciding to give out the photograph to be sold at a higher price in auction, well knowing that he had agreed to sell the same to John, Anton breached the agreement. Under the Australian law, there are two provisions that guide the cause of action, once one party to the agreement breaches a contractual agreement. The legislation guiding fair-trading in all the Australian states as well as the law of consumer provides that a party to the contractual agreement who decides to breach the agreement can be sued for damages (Baker, 1995). The fact that Anton breached the agreement gives John a legal right to claim the watch and if not provide to him, then to sue Anton over the same. Thus, in our case, John can take legal action and sue Anton for the breach of contract. However, there are some considerations that need to be done in this case, just before a determination is given as to who bares the responsibility. The fundamental principle of capacity comes into play in this case (Hoggers, 2008). We are not told the age of both the seller and the buyer. If it happens that Anton was below the legal age of responsibility, then John have no legal right to sue Anton for the breach of that contract. The state of the two parties entering the contract is not given also. Considering the fact that any contract entered into by parties who are drunk or not sober is not binding, ...Show more

Summary

Australian Law Name Date Australian law Case No. 1 Under the Australian law, various aspects comprise any case used to determine the legality or the illegality of the case. This case falls under the law of contracts of the Australian law. The requirements of the admissibility of any case as under the law of contract are several (Barnett, 2001)…
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Australian Law Essay essay example
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