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Q1 Angie and Jack are newly-married couple. Angie is an artist and Jack is a scientist. They used to live in Tweed Heads but Jack is offered a new research position in Sydney so they decide to move.
Angie intends to sell one of her artworks before the move so she places an advertisement online along with a picture of her painting as follows:
‘The Lesson’, E. Phillips FOX
Replica, $ 8,500
Email: [email protected]
On 11 March, Mark sends Angie the following email:
I would like to buy the painting you’ve advertised. I am happy to pay you $5,500 for it.
Later that day, Angie replies as follows:
Unfortunately, the lowest price I can sell the painting for is $ 6,700. If you can arrange payment by 22 March, I will sell the painting to you for that amount.
On 16 March, Angie’s cousin James asks whether he can buy the painting as a gift for his mother’s birthday. James doesn’t have enough money, but says if Angie sells the painting to him for $ 3,500, he will help Angie and Jack pack for their move to Sydney. Angie agrees to sell the paining to James on that basis.
On 17 March, Angie checks her emails and finds an email from Mark that reads as follows:
I have shown my wife the picture of your painting and she loves it. I would like to buy the painting for $ 6,700 for our wedding anniversary. How can I make the payment?
Mark’s email has been in Angie’s email inbox since 15 March. On 20 March, when Angie goes back to her studio, she finds out that the painting is stolen because she forgets to lock the studio’s door on 12 March.

QUESTIONS (14 marks):
a)Is the email from Mark to Angie on 11 March constitute acceptance? Explain your answers. (2 marks)

b)Only considering the communications between Angie and James, who is the offeror and who is the offeree? Explain your choice. (2 marks)

c)With whom does Angie have a contract to sell the painting? When was the contract to sell the painting formed? Explain your answers. (6 marks)

d)How does the fact that the painting is stolen affect the contract? Explain your answers. (4 marks)

200184 Introduction to Business Law

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