Contract Law BLB1102: Case Analysis
Scenario:
Iron Man has purchased a block of land in Ashburton off Batman.
Iron Man now wishes to build his new abode on this block of land. He engages the building services of Spiderman. Spiderman was recommended to Iron Man by his good friend Flash Gordon.
Having visited the site, Spiderman provides Iron Man with plans and a quote to build Iron Man’s new abode and accompanying fencing.
At the same time, Iron Man has the block surveyed by Wonder Woman. Wonder Woman advises Iron Man that due to the slope of the block, water will run down from the right hand-side of the block causing significant flooding. Wonder Woman informs Iron Man that a retainer wall will need to be constructed in order to prevent this occurring. Spiderman had not accounted for this.
Iron Man arranges to meet up with Spiderman at the Ashburton site. Spiderman has prepared a contract for Iron Man to sign. The contract does not make any reference to a retaining wall.
Iron Man explains to Spiderman the need for a retaining wall and shows him a copy of the surveyor report accordingly.
Spiderman reads the report and states:
-No problem. I will build a retainer wall as shown. No extra cost-.
Iron Man says:
-We probably should write-up a new contract-.
The Spiderman replies:
-No need. We have an agreement. My word is iron-clad — pardon the pun-.
Spiderman then offers his hand to Iron Man. Iron Man shakes Spiderman’s hand and then signs the contract drafted by the Spiderman.
Six months later, Iron Man visits the property for a final inspection of Spiderman’s work. He is horrified to discover that there is no retaining wall.
He calls Spiderman and asks where is the retaining wall? Spiderman replies:
-There is no retaining wall in the contract. I am only bound by what is written in the contract. There is a clause in the contract that confirms this. By the way, not all the terms are critical or essential to the contract. Read the contract carefully Iron!-
Iron Man is furious. On a recommendation from his friend Deadpool, he goes to see this hot-shot, intelligent, handsome contract law lawyer with the initials -RF-. Iron Man has the following questions:
Questions:
a. What does Spiderman mean when he says that he is only bound to what is written in the contract?
What clause is he referring to?
estimated – 300 words
b. Is Spiderman’s subsequent promise enforceable even though it was not in writing? estimated – 150 words
c. If Iron Man was unable to prove the elements of a valid legal contract, would he be able to rely
upon any other principle/doctrine to force Spiderman to honour his promise?
estimated – 350 words
d. If the agreement was enforceable, what sort of contract had been created? What are the key elements that need to be met in order to satisfy such an agreement? estimated – 350 words
e. What does Spiderman mean when he says that not all the terms of the contract are critical or
essential to the contract?
estimated – 250 words
f. Iron Man wants to know whether agreements are binding instantly or do they require something to
occur first before the agreement comes into operation?
estimated – 350 words
Due: (11:30pm) – Sunday of Week 3.
Solo: This assignment is to be undertaken alone. It is not a group assessment.
Submission: Must be submitted through Drop-Box on Collaborate.
Word Count: 1,500 – 2,000 words (+1- 10%)
Referencing: AGLC Compliant.
% of Grade: 30% of your total grade (Quizzes = 20%; Assignment = 30%; Exam = 50%)
Format: Answers may be presented in either a traditional essay or as a memorandum of advice
