C310

C310

1. 1st Case: Capacity

   • s 85
     • Is Simone a minor?
       • Yes, she is younger than 18
         • s 92
           • But because its a work contract she will be treated as if she were of full age
             • Because of this she cannot claim that she lacked full legal capacity when entering the contract

2. 3rd Case: Unconscionable Bargains

   • s 93
     • the court may make orders if service contract has unconscionable terms
       • Bowkett v Action Finance
         • 1.Did she have any special disability?
           • Perhaps, she was young, inexperienced in business matters, possibly pressured by Ramesh's status as a well-known art critic and as a mentor
             • 2. Should Ramesh have known about her special disability?
               • Yes, as an art critic himself he should known that ordinary person would'nt have agreed to his imbalanced offer
                 • 3. Victimisation - did Ramesh actively extrort Simone?
                   • Yes he did - there was a glaring disparity in terms of benefits to be received from the contract - and Ramesh took advantage of Simone's naivety.
                     • s 93(1) is satisfied, and the court can make an order per ss (2)(1) to cancel the contract
                       • The courtunder s 93(2)(b) may also make an order for compensation brought under s 95

3. 2nd Case: Undue Influence

   • Royal Bank of Scotland v Etridge
     • 1. Was there a special relationship?
       • Yes, Simone was being mentored by Ramesh for a few months prior to the contract (mentor & mentee). An actual relationship of trust and confidence existed between the two.
         • 2. Was there a transaction that called for explanation?
           • Yes, the contract placed higher fees on her work than the standard rate
             • 3. Can Ramesh rebut the claim?
               • Allcard v Skinner
                 • Has she already affirmed the contract due to the time elapsed?
                   • Possibly - it has been 2 years since the contract was established
               • She Received independent advice?
                 • No - No evidence in the case