This assignment analyzes a scenario involving Cakes Pty Ltd, a newly formed company seeking to purchase cakes from George. It explores the legal validity of the contract executed by Gerard, the director, and Sylvia, who holds no position in the company. The analysis centers on Section 127(2) of the Corporations Act 2001 (Cth), which outlines the requirements for company document execution using a common seal. The assignment evaluates whether the contract is valid under these provisions and cites relevant case law like Knight Frank Australia Pty Ltd v Paley Properties Pty Ltd to support its conclusions.