Breach of Contract

Question 1

Greta tells her friend, Jala, that in appreciation of the love and affection she has shown Greta over the past 5 years since her husband left her, she will give $20,000 when her bank term-deposit matures in 6 months. Six months later, when the term-deposit matures, Greta tells Jala she will take her out to dinner instead of paying her $20,000.

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Ignoring the issue of intention, what will you advise Jala?

a) State the issue you need to consider.

b) State the relevant legal rule or rules relating to this problem.

c) State the main case or cases related to this problem.

d) Based on this information, if Jala sued Greta for a breach of contract would she win in court? What is your answer – yes? or no? Explain your answer.



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