Contract Law Case Study

Introduction

This question requires an examination of the law of contract and the nature of the subject matter that was contracted between the parties. Only Antonia and Jonathan are legally bound by and entitled to enforce the contract (Coulls v Bagot’s ) and may sue or be sued under the contract. The rights and obligations of Antonia and Jonathan depend on whether the contract has been validly terminated. If the contract validly terminated, all future obligation will be terminated, but obligations arising prior to termination remains intact. If this is not so, then the contract continues and the parties will still be under obligation to complete the contract and it would be possible for parties to sue for damages for non-performance.

Relevant

Bettini v Gye (1846) 1 QB 183 - Bettini was in breach of warranty and therefore the employer was not entitled to end the contract. Missing the rehearsals did not go to the root of the contract.

Coulls v Bagot’s Executor and Trustee Co Ltd (1967) 119 CLR 460 - This case considered the issue of privity of contract and whether or not a party was firstly a party to a contract and secondly whether or not they could enforce the contract where they had given no consideration. The case also considers the joint promise rule and the elements of that rule.

Hobbs v Petersham Transport Co Pty Ltd (1971) 124 CLR 220 - This case involved a bailee’s duty to take reasonable precautions against theft of a motor vehicle. The Court also considered whether a breach of a hire purchase agreement terminated the bailment.

Tramways Advertising Pty Ltd v Luna Park (NSW) Ltd (1938) 38 SR (NSW) 632x - This case considered the issue of discharge and whether or not a party could terminate a contract if the breach was a breach of an essential term of the contract.

Discussion / Apply the law to the relevant

Fundamental breach is a breach so fundamental that it permits the aggrieved party to terminate performance of the contract, in addition to entitling that party to sue for damages. An anticipatory breach is an indication that the party will not perform when performance is due or a situation in which future non-performance is inevitable (Lecture 2 Contract Law, p37 ). Jonathan had substituted an ordinary guard-dog for sniffer dogs for a week’s service, that means Jonathan want to continues the contract and he was terminate fundamental condition.So that, Jonathan was fundamental breach of the contract, Antonia can sue for her