Question: Pan grows vegetables, which he sells at the local fanners’ market. He has recently expanded his s…

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Jun 13, 2022

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Question: Pan grows vegetables, which he sells at the local fanners’ market. He has recently expanded his s…

by | Jun 13, 2022 | Questions & Answers


Pan grows vegetables, which he sells at the local fanners’
market. He has recently expanded his small business to include
growing and selling flowers. His first customer is a local florist
called Jan. After a lengthy telephone conversation, Pan and Jan
agree that Pan will provide to Jan 200 bunches of red roses. These
are to be delivered to the rear entrance of Jan’s shop on 13
February. On 13 February Pan is having a busy day. He confuses his
orders and delivers 200 bunches of white lilies to Jan’s shop.
Because he is rushed, he delivers the flowers to the side entrance
instead of the rear entrance. When Jan discovers the flowers she is
honified. Tomonow (Valentine’s Day) is her biggest day of the year
and she will not be able to fulfill her orders. On 14 February Jan
receives 100 complaints from angry customers who did not receive
their red roses. Jan’s reputation has suffered as a result of her
failure to meet her orders and she believes this will affect the
future of her business.
(a) Briefly explain why there appears to be a contract between Pan
and Jan.
b) Are the statements made by Pan that he will provide Jan with 200
bunches of red roses and that he will deliver them to the rear
entrance of the shop tenns of the contract? Give reasons for your
answer and explain the test that the comt would use to make such a
detennination.
(c) On the basis that the statements refened to in (b) above are
tenns of the contract, indicate what type of tenns they are. Give
reasons for your answer.  
(d) Explain what remedies are available to Jan if it can be shown
that the tem1s of the contract have been breached by Pan.
(e) Can Jan claim damages for the loss to her reputation caused by
Pan’s breach of contract? Give reasons for your answer.

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