MMME3088: Maya has four terraced houses that require complete electrical rewiring which she is planning to lease out to students: Engineering Management Assignment UON, Malaysia

University University of Nottingham (UON)
Subject MMME3088: Engineering Management

Scenario

Carl, a stamp dealer, had a rare 1 cent pink for sale. The next day, Carl wrote to Dalina, a professional stamp collector, asking whether she would be interested in purchasing it. Dalina wrote replying, ‘I am willing to pay £500 for the “pink”; I will consider it mine at that price unless I hear to the contrary from you and will collect it from your gallery on Saturday next week.

Advise Dalina as to the legal position:

a) if Carl disregarded Dalina’s letter and sold the stamp to Fedrick for £600
b) if Carl put the stamp on one side in an envelope marked ‘Sold to Dalina’ but Dalina decided that she no longer wished to buy it.

Maya has four terraced houses that require complete electrical rewiring which she is planning to lease out to students. She then engages Pete to do all this in the month of August at a cost of £5,000 that will be paid upon completion of work. Pete agreed and started his work. However, after two houses of rewiring work, Pete finds that the work is more complicated than expected because of the houses’ age. On 20 August, he tells Maya that he is using more materials than anticipated and that the work will take much longer than he originally thought. He asks for an extra £500 to cover the cost of additional materials.

Maya agrees that she will add this to the £5,000. In addition, because she is anxious that the houses should be ready for occupation before the start of the university term, she says that she will pay an extra £1,000 if the work is completed by 15 September. Pete completes the work by 15 September, but Maya says that she is now in financial difficulties. She asks Pete to accept £5,000 in full settlement of her account. He reluctantly agrees but has now discovered that Maya’s financial problems were less serious than she made out and wishes to recover the additional £1,500 he was promised.

Jennie wrote to Bruce for an offer to sell him a block of Century Ltd’s shares. She has asked Bruce to give her a confirmation to “let me know by next Saturday”. On Thursday, Bruce posted in reply accepting her offer. But then on Friday at 6 pm, he changed his mind and telephoned Jennie. Jennie did not answer her phone as she was away but recorded Bruce’s message stating that he wished to withdraw his acceptance. Upon returning home on Monday, Jennie opened Bruce’s letter, which arrived that morning, and then played back the message on the machine.

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