Breach of Contract

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Breach of Contract Jane has decided to buy a dinner service. A neighbour tells her that a sister-in-law, Carolyn, is planning to sell her valuable Coalport service. Jane telephones Carolyn who tells her that the Coalport is a full service, in immaculate condition and completely original. Jane inquires whether the Coalport is in 'athlone blue', knowing that this is particularly valuable. Carolyn replies, "It must be, it's the proper Coalport blue colour". Jane further inquires whether replacement Coalport can still be purchased in the event of breakages. Carolyn tells her, "Well I broke a dinner plate a year or two ago and had no trouble buying another one". Jane agrees to send Carolyn a cheque in the sum of £350, on clearance of which Carolyn will dispatch the Coalport. Jane receives the service a month later. She is disappointed and angry to discover that: the Coalport is deficient in two items, namely one tureen and one small plate' there are faint cracks on the underside of the gravy boat; the Coalport is blue, but not 'athlone blue'; and this particular dinner service is no longer available, Coalport having recently been taken over by Wedgwood. Advise Jane. Jane requires advice on misrepresentation and also a possible action for damages in breach of contract. A misrepresentation is a false statement of fact, made contractually which is intended to induce the contract and which has that effect. So, in order to establish if any of Carolyn's statements will constitute a misrepresentation, it must be examined if they constitute statements of fact. First of all, with regard to the statement concernin... ... middle of paper ... ...statement and conclusion of contract is important (Routledge v McKay (1954)). Here, there is no gap at all implying it could be a term. Secondly, the expenses of the parties are important. Obviously, the seller is expected to know his own goods (Harling v Eddy (1951)), but if the buyer has expert knowledge, they may be expected to check the facts (Oscar Chess v Williams (1957)). Additionally, it would depend if the factor was central to the contract (Bannerman v White (1861); Schawel v Reade (1913)). However, Carolyn will argue the statements were never put into writing. If it is decided the statements are terms, Jane can seek damages for breach of contract. However, considering the facts and favourable measures of damages available for misrepresentation, it is submitted that Jane should take her action in that area.

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