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Exam (elaborations) BL-T124WSB-6 Concise Australian Commercial Law
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In-depth summary of Australian Commercial Law and some question
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Chap 1-41. Sources of law: sources of law in Australia do not include repealed statutes. Includes: 1.
Consolidating statutes, 2. judge-made law, and 3. equity.
2. Which are some of the main features of the Electronic Transactions Act 1999 (Cth): are
the validity of electronic transactions, recognition of writing by electronic means, and
recognition of retaining information in electronic form.
3. The doctrine of precedent: With respect to a case being decided under the appellate
jurisdiction of the Country Court of Victory, a decision of the appellate division of the
District Court of New South Wales on the same Commonwealth legislation is persuasive.
4. Extrinsic Materials: Which of the following is NOT an example of an extrinsic source of
material? The internet. An extrinsic source: 1. Law reform commission reports, 2.
Parliamentary Committee reports, and 3. Parliamentary Debates.
5. Simon and Stella, both of full legal capacity, agree to go on a date. Stella is to pay for the
dinner, but she is running late and does not meet Simon at all. Simon is embarrassed and
angry and calls Stella the next day to threaten to sue her for his taxi fares and dinner
expenses. Will Simon succeed in his claim? No, because Simon and Stella did not intend
the agreement to create legally enforceable obligations.
6. Which of the following statements about consideration is correct? Consideration need
not be adequate.
7. The rule of law: Which of the following concepts is closely related to the rule of law? The
due process. Not closely related: 1. Representative government, 2. a responsible
government, and 3. separation of powers.
8. In Crown Melbourne Ltd v Cosmopolitan Hotel (Vic) Pty Ltd [[2016]] HCA 26 why did the
High Court disagree with the decision of the Victorian Court of Appeal in finding there was
no case for promissory estoppel:
,a) The plaintiff could not establish that the statement that it would be “looked after at renewal
time” was capable of conveying to a reasonable person that it was a genuine offer of a
further lease, and
b) There was a need for certainty as to what the parties had agreed on at the end of the
negotiations to find a claim for estoppel.
9. Delegated legislation: Which of the following is not correct? Delegated legislation can
only be made by Government Ministers. Correct: 1. Delegated legislation is subordinate
legislation, 2. is made under the authority of an Act of Parliament, and 3. often contains
more detailed rules than those of the associated Act.
10. Which of the following is not a way in which an offer can be terminated? Revocation after
acceptance has been mailed where the postal rule applies. True: Lapse, revocation
before acceptance, or lapse where no time was stipulated.
11. Section 51 powers: Which of the following is not an area that the Commonwealth
Parliament has the power to legislate on under s51 of the Commonwealth constitution?
Education. Has power over 1. bankruptcy and insolvency, 2. foreign corporations, and 3.
banking and insurance.
12. Interpretation-extrinsic materials: In interpretation, extrinsic materials are allowed to be
referred to by a court.
13. Ratio decidendi: The ratio decidendi of a case is the reason given for deciding the case.
14. Illusory terms in a contract are problematic since they are vague or ambiguous so they
fail to create a legal obligation.
15. Native title: Native title was first recognised in the case of Mabo v State of Queensland
(No 2)(1992) 175 CLR 1.
,16. Changing the Constitution: Section 128 of the Commonwealth Constitution provides that
the Constitution can be changed by referendum that requires a “yes” vote by the majority
of voters and in a majority of States.
17. The main legal issue in Felthouse v Bindley (1862) 11CB (NS) 869 was generally silence/
lack of action does not constitute acceptance of an offer.
18. Which of the following is not a class of persons regarded by the law as wholly or partly
incapable of entering into legally binding contracts? Women.
19. Reporting obligations: What is a binding precedent? A decision of a court that brings
judges in a lower court in the same court hierarchy.
20. Separation of powers: Which of the following is not one of the three branches of the
Commonwealth government in Australia: The Governor. The three branches are 1. the
executive, 2. the judiciary, and 3. the legislative.
21. Criminal offences: Which of the following is incorrect with respect to criminal offences?
The committal hearing is held before most summary offense matters. Correct. Criminal
offenses are indictable offenses are generally the more serious offenses, summary
offenses are determined by a magistrate without a jury, and the prosecution must prove
its case beyond a reasonable doubt.
22. Australian Constitution: Which Act established the federal legal and political system and
converted the separate colonies into states? Commonwealth of Australia Constitution
Act 1900.
23. Public and private law: Which of the following is not classified as private law? Criminal
law (public law). Private law: 1. The law of contract, 2. the law of property, and 3. the
corporations law.
24. Farah agreed to take care of an elderly woman Marge and in return was provided with a
house to live in that was promised by Marge to be Farah’s after she died. Farah cared for
the woman for 23 years, but upon Marge’s death, Farah discovered that their oral
, agreement was never put into writing. The woman’s son moved into the house and Farah
made a claim to the house. The court is likely to apply the doctrine of part performance.
25. Andy promises Ellie $100 on her 21st birthday. If this promise was contained in a simple
contract, the legal position is that such a promise is never binding as it must have
consideration supplied by Ellie.
26. The High Court’s decision in Waltons Stores (Interstate) Ltd v Maher (1988) 164 CLR 387
is that they extended the doctrine of equitable estoppels such that it applies even where
there is no pre-existing contractual relationship between the parties.
27. Which of the following statements about acceptance is false? Acceptance can be in any
manner chosen by the offeree. True: 1. Acceptance can be by telephone or email or
conduct, 2. acceptance must be unconditional, and 3. acceptance can only be made by
the person(s) to whom the offer was made.
28. Section 15AA of the Acts Interpretation Act 1901 (Cth) provides that the purpose of the
statute or its object should be preferred method of determining the statute’s meaning.
29. Separation of powers: Which of the following statements about separation of powers in
Australia is correct? The executive is the body that administers the law.
30. Equitable remedies: Which of the following is incorrect? Equitable remedies must be
awarded in a separate proceeding to common law remedies such as damages. Correct:
Equitable remedies are discretionary, and include specific performance, and injunctions.
31. Civil and criminal law: Which of the following is not correct with respect to civil law? The
document filed by the defendant is called a writ. True: 1. The typical purpose of a civil
action is to obtain damages, 2. under civil law, one person may sue another who has
committed a wrongful act, and 3. interrogatories and discovery are procedures that are
available in civil proceedings.
32. Federal system: Which of the following statements is correct? Australia is a federal
system, with two legal systems for each citizen.
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