The assignment is based on two separate issues. Issue A involves a contract between Qantas Airlines and Airbus Corporation Ltd, where a term 455 requires the airplane to have an in-flight video system showing 36 channels of entertainment to passengers. Since the plane supplied only had 34 channels, this term was not complied with. It is concluded that this term is a warranty, which is not essential to the contract's functioning and hence, Qantas cannot terminate the contract but can seek compensation from Airbus. On the other hand, Issue B concerns agency law, specifically express authority, implied authority, and ostensible authority. The issue revolves around whether contracts made by Gemma and Bob as agents of Frank are valid or not. It is concluded that the contract between Frances and Gemma is valid due to express authority, while the contract between Angela and Bob is also valid due to ostensible authority.
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