Business Law Essay Example | Topics and Well Written Essays - 250 words - 27

Business Law - Essay ExampleFor Leighton Industries the amount of consideration was the specialised brand of steel requested. For Callier Steel, the consideration must sustain been the amount of money included in the invoice. The two companies are of reduceual capacity (Richards, 22). Thus a valid and binding contract existed between the two parties.The next step will be to find out if the two companies met their contractual obligations under the contract and if their contractual rights under the sale of goods contracts were mutually respected. A contract is normally considered as an act of good faith that is free from any ill function from the contracting parties. An act of misrepresentation constitutes a vitiating element in a contract. The representation must be inaccurate, misleading or untrue (Richards, 78).The representee must have reasonably relied on the misrepresentation and the damages that he suffered must be as a result of this reliance as was the case in Andrews Vs M ockford (1986). By delivering a wrong brand of steel, Callier Steel would be liable for innocent, fraudulent or negligent misrepresentation that breached the contractual obligation of good faith. By obtaining leaking furnaces as a result of the wrong brand of steel that was delivered, Leighton suffered damages which the court must remedy. Leighton