Introduction to Business Law

Assignment- 20%

Lecturer: Arthur Hoyle

Tutor: Rosa Raco- Tues 4.30-5.30pm

LEGAL ADVICE

Subject University of Canberra – Breach of Contract and Damages matter

You have sought my advice as to you rights under the original contact between your company, Peerless Computers and the University of Canberra, which you consider that the University has breached. Your company has requested advice as to whether a term such as delay by a third party can be successfully implied into the contract.
Additionally, your company has sought advice as to whether the University can recover its additional costs arising from the failure to meet the obligations of the contract, and if so how much of these costs can …show more content…

President, Councillors and Ratepayers of the Shire of Hastings (1978) 52 ALJR 20, these are as follows: (1) It must be reasonable and equitable; (2) It must be necessary to give business efficacy to the contract, so that no term will be implied if the contract is effective without it; (3) It must be so obvious that "it goes without saying"; (4) It must be capable of clear expression; (5) It must not contradict any express term of the contract.
Your company enquired as to whether a term such as time delay by a third party could be implied into the contract and if so this would result in a breach of the contract by the University of Canberra.
As mentioned in the above case, BP Refinery (Westernport) Pty Ltd v. President, Councillors and Ratepayers of the Shire of Hastings the fifth criterion clearly states if a term is to be implied into a contract it must not contradict any express term of the contract. An express term was defined in the case of Friedlander v Bank of Australia (1909) 8 CLR 85 as ‘An expressed declaration of a particular promise or stipulation in the contract itself.’
The contract between your company, Peerless and the University clearly stated that ‘(delivery was required) no later than one week prior to the start of the next semester’. It would appear that this statement could be viewed as an express term of the