Contract Law Case Study Analysis: Hiro, Akshita, and Cameron Cases

This case study analyzes three distinct contract law scenarios using the IRAC (Issue, Rule, Analysis, Conclusion) method. The first case examines the enforceability of contracts involving Hiro, considering undue influence and the mental capacity of parties. The second case focuses on employment contracts, specifically non-compete clauses and the legality of restricting former employees' use of skills. The third case addresses international obligations, breach of contract, and the legal recourse available to a party facing financial losses and delivery failures. Each case is thoroughly analyzed, considering relevant legal principles and providing a clear conclusion on the validity and enforceability of the contracts involved.

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Date: January 16 2020
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Analysis on Case Number 1 – Hiro and the Federal Bank of Australia
It is a very well analyzed and a super interesting case, which is based on the baffling loopholes in context to the enforceability and the
proper application of the contractual law and the validity of the Law. The case is analyzed and reviewed in context to the IRAC which
being the Issue Rule Analysis and the Conclusion basis or format.
Issue: The major cause or problem is in context to the enforceability or the applicability of both the contracts. In the two cases which
are explained under the loan contracts, in which the first and the foremost being the one made by the parties named Hiro and his
Grand Mother. In which the major problem was that the grandmother of Hiro which was that the former is suffered by the disease
which was Alzheimer's disease, the forgetfulness, however, Hiro was definitely is unaware of such problems.
The second or the other contract is made between the Hiro and his girlfriend which is made in context or in respect to the emotional
perspective which aims at forcing action or rather defining an action of a undue influence.
Hence, the concept on both cases will be in perspective and reviewed in terms with the enforceability of both these contracts in terms
with influence (Beale, Fauvarque-Cosson, Rutgers, Vogenauer, 2019).
Rule: In Context to the law cases it is necessary to evaluate the contract on basis of the erstwhile contract. The contract will be
evaluated in relation to the legality of the agreement along with the parties viability, as well as the competence level of all the person
who are dully entering into any contract whether being on a long term basis as well as short term basis. Thus, the law or the rule
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clearly says that while entering into a lawful contract, it is very important or crucial that both the parties, one of which being the
promisor and the other being the promises should be completely of a sound mind.
- The Age of majority to enter the contract
- The parties must be definitely be of the sound mind and mentally stable
- The parties must not be disqualified by any law whether being national or international.
Having a sound mind is the linchpin term with respect to this particular case. A person is said to be of the sound mind so that the
capability is managed in a right direction and the contract can be considered lawful.
Analysis: According, to the concept of the Free Consent as per the law, it is necessary that the following concept must be invalidate in
terms with the consent. Especially where the elements should not have the involvement of coercion aspect, the other being the undue
influence aspect, or must not include the fraud element, and lastly ignore the aspect of misrepresentation as well as the mistake
element. On the more, any concept in connection with fiduciary element can also be an option of in validating the valid contract and
making it illegal (Fee, 2018).
In connection with the first contract entered, one of the parties of the contract which being the grandmother or rather being the
promisee of contract is actually mentally incapable or rather suffering from Alzheimer's disease which makes the mind mentally
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incapable. Thus, leading to a condition where the judging capacity or understanding capacity of the respective things goes on the basis
of an unsound mind or a mentally challenged thus, not allowing to make a lawful contract.
In connection with the second contract made with the girlfriend and Hiro himself, the contract was is also legally doubtful or a
problem of concern as it raises various question and legal problems. Free consent is an essential element of a valid contract.
In the second contract, Hiro had undue influence over her girlfriend while entering into the contract or rather the fiduciary aspect
where the loan was undertaken and the other led to take a loan and the analysis of the purchases a new house. Thus, by putting the
emotional concept and leading to promote the undue influence to force the contract being signed.
Conclusion: It is much evident form the given facts that the contract entered by the Hiro and grandmother is not a valid contract even
though he did not know about the disease, and therefore, it will be considered a contract entered with a person of an unsound mind at
the time of entering the contract. Further, in context to the second contract it is clearly viable that the contract was entered through an
unenforceable condition and it was an influencer condition, thus the contract also does not have any value to the same. In nutshell all
are illegal and in vaild contracts.
Analysis on Case Number 2 – Akshita and Underground Solutions Pty Ltd It is a very well analyzed and a super interesting case,
which is based on the right in connection of the formal employees in context to the enforceability and the proper application of the
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contractual law and the validity of the Law. The case is analyzed and reviwed in context to the IRAC which being the Issue Rule
Analysis and the Conclusion basis or format.
Issue: The major issue is that in context to the Employment contract which is based on the United States Of America which stipulates
or clearly states that the number of employee cannot use the same skills which are taught or applied at the other employed center
accept the Underground Solutions Pty Ltd for at least ten years which are situated at the Austrlia after finishing a role at Underground
Solutions Pty Ltd . The Problem is that the employees who joined competing organisations after putting in their papers of the present
company uses the skills for the new organisation. Thus, the former company provides an legal action against the other two employees
for enforcing the contract .
Rule: The rule which must be reviewed and analyzed is that in connection with the aspect of the restraining order which in all sense
makes the contract and its concept void and invalidated. Further, to justify the rule the best concept of exception is in terms with the
basis that the there is an only exception rule. The same is based on the case of sale of the goodwill or on the sale of the technology or
the know-how of the respect plaintiff. However, in this exception it is necessary that the consideration must always be paid of the
same (Carr, & Stone, 2017).
Analysis: The case is evaluated on the basis that the contract of the employment of the particular organisation especially being of the
construction business. Eventually leads to a position where the order of the concept of the employment where the skills may not be
used for or in any other firm in Australia for ten years. This will lead to a position where the contract is considered to be restrained or
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restrictive in nature, therefore leading and illegal element while dealing with the concept of the consideration. On the more, it os
evident that the consideration in case furnished for the employees for the employees and forcing them to fulfil the promise will lead to
a condition of putting the clause in a void condition.
Conclusion: Thus, in conclusion basis the Akshita has entered into a contract where the whole segment is restrictive in nature which
is definitely an invalid contract which is dully enforced on former employees on the basis of employment agreement. Hence, the
company if forces such clauses will eventually lead to consideration which involves for the employees to give the promise of,
liquidating the damages for breach under the concept of the restraining clause.
Analysis on Case Number 3 – Camern
Issue –
In case it is evident that the international obligations have not been met by both the parties either being the supplier of Russia and the
other being the customer who failed to make the payment which being from Australia.
- Delivery Failure because of Time Distress which done by the Russia dealer who supplies the wood toys to Cameron for
further resale.
- Toys Payment Refusal Delivery – Which is rejected by the Australia Dealer when the toys were supplied and the major
concern is that it is Cameron Biggest Customer.
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It is essential to note that the case is analyzed and reviewed in context to the IRAC which being the Issue Rule Analysis and the
Conclusion basis or format.
Rule – The legal action of going to the court is open where the Cameron can sue both the parties provided it has two major fulfilment
of the criteria. Firstly the legal contract which binds both the parties must be legally bounded. Secondly, the contract must provide a
appropriate clause to sue in such cases (Goldberger, 2018).
Analysis - In such situation it is evident that Cameron has effectively disposed it duties and fulfilled its commitment, however, the
both parties did not fulfil their commitments and led to a condition where the financial crisis. Leading to major losses as money
transfer was blocked in terms with payment as well as advance payment (Goldberger, 2018). Leading not only financial but also stock
loss as well.
Conclusion –
Therefore, it is evident that the case clearly provides that the Concerned Party Cameron was at loss and therefore, as per international
convection he is legally liable to sue the both the companies and also claim for liable compensation in terms with the losses caused.
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Reference
Beale, H., Fauvarque-Cosson, B., Rutgers, J., & Vogenauer, S. (2019). Cases, materials and text on contract law. Bloomsbury
Publishing.
Carr, I., & Stone, P. (2017). International trade law. Routledge.
Fee, J. (2018). Undue Influence: Inspirations from Australia. Hong Kong Law Journal, 48, 375-388.
Goldberger, J. (2018). Assessment of damages for breach of contract. Commercial Law Quarterly: The Journal of the Commercial
Law Association of Australia, 32(3), 12.
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