QUESTION 1 (9 Marks)
Hoping to promote his struggling small business, Buster Brady placed the following advertisement in the January edition of his local newspaper:
“Attention all fishermen and fisherladies of Keenanyille 1! Bring your bait and bring your tackle to Lake Kanchan this Saturday, because local fishing shop ‘The Crabshack” is offering $10,000 to any person who catches “Big Joanna”— a 20kg Murray cod which has been togged and released into Lake Kanchan”
Tommy, a local homeless person who survives on the fish he can catch in the lake, was most surprised to see so many people fishing at Lake Kanchan that weekend. Tommy, who was unaware of the advertisement, was even more surprised when, at around 1pm, he caught a huge Murray cod which was tagged: “/ am Big Joanna! Claim your $10,000 @ The Crabshack!”.
Still in shock about his win, Tommy was heard telling newspaper reporters that he was simply “.. trying to catch something for dinner… but caught $10,000 instead!”
Later that night, and still angry that Tommy won the $10,000 prize without actually participating in the competition, Buster sent him the following sms:
“Sorry mate, changed my mind, no prize money for you today!”
Analyse each party’s rights in contract law (9 marks) (Hint: Only discuss the first three formation elements. You can ignore element of Intention)