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Question
a) Conrad put an advertisement in a newspaper on 19 November offering to sell his motor boat for
$35,000.
On 21 November, Joe rang Conrad and said he was prepared to pay $30,000 for the boat. Conrad replied
that his lowest price was $32,000 and “my offer is good until 28 November”
Joe departed on a short holiday on 25 November. While he was away, he decided he’d buy the boat, and
on 27 November, Joe wrote Conrad a letter accepting the offer to buy the boat for $32,000. He posted the
letter that day, but the letter only arrived on 29 November.
Unknown to Joe, Conrad sold the boat to his sister Evelyn for $30,000 on 26 November. Conrad
telephoned Joe on 26 November to tell him that he had sold the boat. Unfortunately, Joe, being away on
holidays, did not take the call, and Conrad left a message on his answering machine. Joe returned from
holidays on 30 November and learned that Conrad was unwilling to sell him the boat.
Required:
Discuss whether Conrad and Evelyn have a contract in relation to the boat.