Assignment Task:
SUMMARY OF FACTS
[1] Eunice works as a psychologist in Sydney. She decided to make an extension to her family house to enable her to set-up a remote, online counselling office to work from home. She contacted Bob, an old school friend who is a registered licensed builder, to carry out the work.
[2] Bob came to Eunice’s house, and upon inspecting the property and the plans for the extension told Eunice that the work should cost $22,000. Eunice replied, “Thanks Bob! Sounds like a fair price.”
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Get Help Now![3] As he was leaving, Bob said to Eunice “Great, I’ll head back to the office and arrange to have a quote sent for you to look over and sign. Is e-mail ok?” Eunice responded “Sure is. Please send it quickly. I need the work done as soon as possible!”
[4] Two days later, not having received the quote from Bob, Eunice sent Bob the following e- mail message: “Hi Bob. I really am in a hurry to get the building works done. Just start as soon as you’re ready, even if the quote hasn’t been sent yet. Don’t worry, I’ll sign it.”
[5] Upon leaving Eunice’s, Bob had telephoned one of his suppliers, Craig. He asked Craig if he could supply 1,000 bricks for Eunice’s construction job. Craig said he could supply 1,000 bricks for $1,200.
[6] In response, Bob told Craig, “Sounds like an ok price. Could you do it for $1,000?” Craig said, “I’ll have to check, but it shouldn’t be a problem. Leave it with me and I’ll get back to you.”
[7] About a week after receiving Eunice’s e-mail message, Bob began to work on the extension. Bob sourced materials from other suppliers, but was hoping that he would
hear back from Craig about the bricks.
[8] Bob and Eunice had numerous conversations about the progress of the work as the days went on. Bob did send Eunice the quote about the building project via e-mail before starting the work, but both him and Eunice forgot to follow up about it.
[9] A couple of weeks after Bob’s conversation with Craig, Bob began to worry because he was going to need the bricks soon. Bob contacted Craig via SMS message, stating, “I really need those bricks, mate, so just send them to me at the original price you quoted me.”
Craig replied, “Sorry, I can’t do that. Supplies are running short. If you still want them, you’ll need to pay $1,800.” Bob messaged back, “Listen, we had a deal. I want those bricks for $1,200.” Craig failed to respond to that message.
[10] As he was running late with Eunice’s extension, Bob decided to source the bricks from another supplier, who was charging $2,000 for 1,000 bricks. Due to the delay, Bob was also concerned that he may have to pay his workers extra to work longer on the extension.
[11] One day while Bob was on site he had a conversation with Eunice. Eunice explained that her whole family is stuck at home due to recent events, and that she needs to be able to run her counselling service from home without interruption for her patients. She stressed again that she needed the extension completed as soon as possible. Bob told her, “Eunice, the job will probably take longer than I originally told you. I can do my best to get it done quickly, but I’m going to need you to pay me an extra $5,000.” Eunice anxiously responded, “Sure, okay, just get it done!”
[12] After the extension to Eunice’s house was completed, Bob sent her the invoice with the additional $5,000 included, requesting a total payment of $27,000. Eunice, however, has refused to pay the bill. Eunice never signed the quote, and she argues that when they spoke about the $5,000, she thought this was part of the original $22,000 estimate.
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