LAWS20058: AUSTRALIAN COMMERCIAL LAW - Law Assignment

Internal Code: MAS4286

Law Assignment:

Ram is an Australian businessman who owns three coal mines in northern Queensland. He has a 10 year contract with Betty to supply her 400 tonnes of coal on or before the 20th day of each month of the contract. Betty uses the coal in her steelworks. The contract started in 2014 and has proceeded smoothly. However, on 31 July this year Ram realises that because of heavy rains in the past two weeks all of Ram’s mines are flooded and he will not be able to supply Betty the contracted amount of coal from August to December 2017. He communicates the bad news to Betty on 31 July. In fact, he will not have any coal to supply to Betty until January 2018 and he advises her of this. Advise Betty using the IRAC method what choices she has. Is she entitled to terminate the contract? What do you think she would do in these circumstances? Be sure to comment on possible remedies. You do not need to discuss the formation of a contract topic here. Assume that a valid enforceable contract exists between the parties. Question: 1) “If a legal system in Australia under which people and businesses operate and live is to be effective and have widespread acceptance a number of key features should be present.” What features of the Australian legal system could be relevant here? 2) Identify the common law legal issues in dispute. What were the broad areas of contract law that are relevant here? 3)Explain the principles of law, the rules that the court applied and which were relevant to deciding the issue. 4) Apply the relevant law to the facts. Explain how the court applied the relevant law. 5) Conclusion and remedies- after the above stages how did the court reach a conclusion on the facts of the problem. Be sure to consider the remedy or remedies for the successful party.