Question

1. In which of the following situations is a court most likely to hold that a contract has not been formed due to a lack of intention? Please select the correct answer

		a. YYZ Inc agrees to sell an order of widgets to Hogtown Ltd even though the price that Hogtown Ltd will pay for the widgets is ten percent less than YYZ Inc's usual asking price.
		b. Tomas places an advertisement on Kijiji that says, "For sale: Canoe, good conditions, $450", and Maria immediately replies "I accept your offer to purchase the Canoe."
	c.	Mike and Ike, who are best friends, agree to go on a week long camping trip together in July
	d.	All of the above are situations where the court will likely find that there is not a contract due to a lack of consideration.

2. Which of the following statements about the court system in Canada is TRUE? Pick the best answer.

		a. All Superior Courts across Canada must follow the decisions of the Federal Court of Appeal.
		b. A judge of the Superior Court of Ontario must give more weight to a decision of the British Columbia Court of Appeal than a decision of an appeals court in New Zealand.
		c. A judge can never consider the decisions of courts outside of Canada such as the Supreme Court of the United States or the House of Lords.
		d. If neither the Supreme Court of Canada nor the Ontario Court of Appeal has issued a decision on a particular matter, a judge sitting on the Superior Court of Ontario can follow a decision of the Court of Appeal of Prince Edward Island, although the judge is not required to do so.

Answer 1

1) answer is A.

Contract is not formed because YYZ Inc has not agreed to 10% less price . Unless two parties agree to same terms , a contract cannot be effective.

2) answer is D.

If neither supreme court if canada nor Ontario court of appeal has issued a de vision then certainly Judge of superior court of Ontario can take decision on his discretion . However , he can follow decision of any other Canadian province court of appeal as a matter of convention and not as compulsion .