BG201-BUSINESS LAW MALAYSIAN PERSPECTIVE TUTORIAL CASE STUDY

Chapter 6: Law of Contract (Case Studies)

1. Mr. Andy picks up a book from the display shelf with a price tag showing RM20. When
he took the book to the shopkeeper, the shopkeeper told him that the book has already
been sold, and it was the only copy left with them. Advice Mr. Andy if he can sue the
shopkeeper for not selling off the book to him.

Just explain offer, conclusion: ITT is not an offer

2. Mr. Zamri, who is a municipal contractor, requests Mr. Yong to build a supermarket at
Johor Bahru. Mr. Zamri promises to pay RM 400K to Mr. Yong. Mr. Yong accepts Mr
Zamri offers. Is there a valid contract between Mr. Yong and Mr. Zamri? Justify your
answer.

BG201 UCSI University Tutorial Case Study-Law of Contract

BG201-BUSINESS LAW MALAYSIAN PERSPECTIVE TUTORIAL CASE STUDY

Conclusion: there Is a contract (all elements must be discussed)

3. Mandy goes into a shop and sees a price label of RM20 on an ironing board. She takes the
board to the checkout but the till operator tells her that the label is misprinted and should
read RM30. Mandy maintains that she only has to pay RM20. How would you describe
the price on the price label in terms of contract law?

4. Leonard, aged 17, agreed to buy a refrigerator for his sandwich-making business. Is the
contract valid?

5. Your father promises to give you a car if you obtain good results in your Level 1. If you
obtain straight ‘A’s in Level 1, can you enforce the promise?

6. Mimi buys from Gary a rare book signed by Lewis Carroll for RM1000. Mimi paid the
deposit of RM100 and agreed to collect the book one (1) month later once Gary completes
the restoration work. When Mimi comes to collect the book, Gary refuses to give it to her
as he plans to donate it to the National Museum.

a) Discuss the remedies under contract that Mimi may claim from Gary. (10 marks)
b) Would your answer be different if Mimi is a minor? Explain. (5 marks)

BG201 UCSI University Tutorial Case Study-Law of Contract

BG201-BUSINESS LAW MALAYSIAN PERSPECTIVE TUTORIAL CASE STUDY

7. Following lengthy negotiations for the acquisition of cable television rights to the World
Cup 2018, Alice and Bruce sign the following document:

Contract between Alice & Bruce – (Broadcast Rights Contract)

This document records the completion of negotiations of the Contract between by which
Alice and Bruce agree to execute a formal contract which gives effect to each of the terms
set out below.

i. Alice agrees to acquire from Bruce, and Bruce agrees to grant, the exclusive right to
exploit the license that Alice holds to broadcast the 2018 World Cup Tournament.
ii. Alice agrees to broadcast all events at the 2018 World Cup Tournament and to provide
facilities sufficient to enable appropriate overseas telecasts.
iii. Alice agrees to pay a sum of RM 3 million on the signing of the formal contract.
iv. Such other terms as may be agreed between the parties, acting in good faith and in a spirit
of co-operation appropriate to the event to which the Agreement relates. All such terms to
be:
(a) necessary for the efficacy of the venture; and (b) of a kind normally found in contracts
of this type.

Alice decides that the price that she need to pay is too high and refuses to comment on a draft of
the formal contract prepared by Bruce's solicitors. But she still signs the contract. After that, she
just pays RM 2 Million to Bruce.

Advise Bruce whether he has any contractual rights against Alice

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BG201 UCSI University Tutorial Case Study-Law of Contract