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Answer the following question 1. Jane deals in the supply of home-made cakes. Her cakes are in high demand and normally she makes £2,000 a month. Cakes are even more in demand in December when the Christmas season begins and normally she makes £4,000 in December. In November her oven breaks and she sees an advert from OvenCo Ltd. in a local newspaper ‘industrial ovens at a bargain price of £1,000.’ She immediately calls the company to buy an oven. However, no-one answers the phone so she leaves a message saying ‘I’d like to buy an oven, I have put the cheque in the post. Please deliver as soon as possible.’ She then posts the cheque for £1,000 to the address on the advert. 15 day later she receives the cheque back with a note saying ‘sorry, no ovens are left.’ Advise Jane on her contractual rights in the scenario. 1. 2. John, a sweet shop owner has been running his business (as a sole trader)for many years. His daughter Sarah has recently joined the business and would like to be more involved. Eventually Sarah will take over the business when her father retires. They want to set up the most efficient business structure and may want to expand to more shops in future. John has one employee, Tony, who has worked in the business for 5 years. With Sarah now working full time Tony is not required. John tells Tony not to come in anymore As to all of the following, advise John and Sarah as to: (a) the available choices of legal business structure; (b) the advantages and disadvantages of their choice of legal business structure; (c) the extent to which their liability for debts will be limited; (d) the degree of management and control they will each be able to exercise in the business; and (e) their possible liabilities to Tony.

Answer the following question

1. Jane deals in the supply of home-made cakes. Her cakes are in high demand and normally she makes £2,000 a month. Cakes are even more in demand in December when the Christmas season begins and normally she makes £4,000 in December.

In November her oven breaks and she sees an advert from OvenCo Ltd. in a local newspaper ‘industrial ovens at a bargain price of £1,000.’ She immediately calls the company to buy an oven. However, no-one answers the phone so she leaves a message saying ‘I’d like to buy an oven, I have put the cheque in the post. Please deliver as soon as possible.’ She then posts the cheque for £1,000 to the address on the advert. 15 day later she receives the cheque back with a note saying ‘sorry, no ovens are left.’

Advise Jane on her contractual rights in the scenario.

1.
2. John, a sweet shop owner has been running his business (as a sole trader)for many years. His daughter Sarah has recently joined the business and would like to be more involved. Eventually Sarah will take over the business when her father retires. They want to set up the most efficient business structure and may want to expand to more shops in future.

John has one employee, Tony, who has worked in the business for 5 years. With Sarah now working full time Tony is not required. John tells Tony not to come in anymore

As to all of the following, advise John and Sarah as to:

(a) the available choices of legal business structure;
(b) the advantages and disadvantages of their choice of legal business structure;
(c) the extent to which their liability for debts will be limited;
(d) the degree of management and control they will each be able to exercise in the business; and
(e) their possible liabilities to Tony.

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