Case Study 1:

The Bricks and Brecks Limited (BB) was the owner of a property in Gold Coast and engaged Rick, a real estate agent to find a purchaser for their property. Rick introduced the property to ABC Company Limited which made several unsuccessful offers to purchase it. Meanwhile, BB was negotiating for the sale of the property to XYZ Company which Rick had not introduced. On Companies ABC and XYZ learning each other's interest in the property, they entered into a joint venture agreement for the purpose of not competing each other. The joint venture agreement provided that each company would continue to negotiate upon agreed terms and conditions with BB. And that upon one of the companies becoming the purchaser, that party would complete the purchase and carry out the redevelopment of the site with the other on an equal basis. Neither Rick nor BB were then aware of the joint venture agreement. The property was eventually sold by BB to XYZ Company.

Required:

Advise Rick's legal rights to recover commission from BB with reference to Agency and legal cases to support your answer.

Case Study 2:

Scott visited a luxury caravan dealer in Melbourne (Melbourne Luxury Caravan) and told Danny the salesman that he wanted a caravan for a trip around Australia. During the trip, Scott intended to mix business with pleasure. Scott explained to Danny what he was looking for his round trip. Danny recommended particular luxury caravan to Scott and later Scott purchased the recommended caravan for $40,000. Scott began his journey and was travelling happily for 2 days. On the third day, travelling along his first stretch of gravel road, Scott hit a pothole and broke caravan's axle. Mechanic explained to Scott that he was able to fix the same for $3000 but the caravan is not designed to cope with rough roads.

Scott returned to Melbourne and complained to Danny. He denied his liability and explained that even if there was something wrong with the caravan and he was not obliged to take the same. Danny depicted Scott's attention to the contract which he has signed, which stated that the dealer's liability for breach of a condition in the contract was limited to the cost of repair of the goods sold.

Required:

Discuss Scott's legal rights and if there are any remedies available to him. Refer Sale of Goods Act legislation and legal cases to support your answer.