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3 marksContract Law

CSEC Principles of Business · 2022 · Paper 2 · Question 2(d)(ii)

Doris agrees to sell Mark a car, intending to sell a red five-year-old Tomato Excel, whereas Mark believes he is purchasing a yellow three-year-old Scotch Bonnet Deluxe that Doris owns. Mark's mechanic inspects the car Doris intended to sell and confirms good condition, and Mark pays by manager's cheque. Upon delivery of the Tomato Excel instead of the Scotch Bonnet Deluxe, Mark believes he was deceived and threatens legal action.

Suggest three actions that either party could have taken to prevent this misunderstanding from occurring.

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Other parts of this question

  1. 2(a)(i)Define what is meant by a 'simple contract'.[2 marks]
  2. 2(a)(ii)Describe three characteristics of a specialty contract.[6 marks]
  3. 2(b)(i)Outline what is meant by an offer in relation to a contract.[2 marks]
  4. 2(b)(ii)Outline what is meant by a counteroffer in relation to a contract.[2 marks]
  5. 2(c)Briefly explain one method by which a contract can be discharged or terminated.[2 marks]
  6. 2(d)(i)State the legal term that describes the scenario that has taken place between Doris and Mark.[1 mark]
  7. 2(d)(iii)Recommend two methods to settle the dispute without pursuing legal action in court.[2 marks]

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