INSTRUCTIONS:
1. This assignment is to be completed in a group of two to four students – no exceptions.
2. The group is self-managing and you are to form your own group.
3. You may form a group with students enrolled in the unit – need not be in the same tutorial
group.
4. All three questions are compulsory (worth 10 marks each).
5. Maximum number of words: 1,500 total (excluding references).
6. Hard copy to be submitted to the School of Business by 4.00pm Friday 26th September,
plus a softcopy submitted on Turnitin.
7. Submit only one per group – it is the students’ responsibility to have their names and
student numbers listed on the assignment to be awarded a mark.
8. 10% of the maximum available marks (i.e. 30 marks) will be deducted per day of late
submission.
9. Essay format: legal problem solving format.
10. Referencing format: Australian Legal Citation.
2
Answer all questions
Question 1 (10 marks)
D, a manufacturer of widgets, runs a promotional competition. Part of the “fine print” on the
entry form reads:
“It is a condition of this competition that nothing herein shall give rise to any legal
relationship, rights, duties or consequences whatsoever or be legally enforceable, but
shall be binding in honour only.”
When P learns in the media that D has lost a number of the entries, P wishes to sue D for
negligence. Can P sue D? Analyse on the contractual point only. Ignore all other areas of law.
Question 2 (10 marks)
Retail Pty Ltd sells domestic and commercial hardware to both trade and retail customers. At
the time of sale, Retail proposes to hand to all customers an invoice on which is printed in
legible, but very small, print one of the following:
1. “All implied conditions and warranties are excluded to the extent, if any, permitted by
law.”
2. “No returns and no refunds.”
3. “The liability of Retail Pty Ltd is limited to the cost of repairing defective products.”
What is the legal effect of each of these under the ACL? Ignore all other areas of law.
Question 3 (10 marks)
Norris had decided for some time that he wanted to purchase a motel. After looking at several
different areas, he settled on Port Stephens in New South Wales as offering both the potential
for a business and the lifestyle he was seeking. He rang a number of real estate agents,
inquiring whether they had any motels listed for sale. He finally found a motel and general
business listed with an estate agent called Evatt. Evatt told Norris that once he got going in this
business it would be a gold mine. Norris sought an accountant’s advice and then proceeded to
buy the business. Within six months of buying the motel and general business Norris was broke
because there were neither the tourist numbers nor the local population to sustain the business.
Can Norris sue the estate agent for his negligent misstatements about the business? Will he
succeed? Ignore all other areas of law.