BUSINЕSS АND СОMРАNY LАW
Emilia is an avid Art investor who likes hanging beautiful paintings in her house. As she was reading the local paper, she sees an advertisement for a painting by Popular Artwork Pty Ltd which read as follows:
“Vincent van Gogh – The Red Vineyards near Arles. Original, painted in 1868. Currently located in Pushkin Museum of Fine Arts, Moscow. Selling for $20,000. For more information, call 1800ART”
She telephones 1800ART and organises a time to meet with the local sales representative to discuss the painting. She explains to the local sales representative that she is really keen to purchase the painting.
She tells the representative the following “I am very eager to purchase a painting from 1868 and one that is currently located in Pushkin Museum of Fine Arts, Moscow”. Both of these qualities are very important to me, and the reason I am considering purchasing the painting because we need a painting from 1868 in our house and we are looking to showcase more artwork in our house which is currently located in Moscow.”
The local sales representative replies with “Yes, it is an amazing painting from 1868, currently located in Pushkin Museum of Fine Arts in Moscow and Vincent van Gogh’s finest original”. The local sales representative actually knew that the painting was a 1888 painting and it wasn’t located in Moscow but in New York.
Based on the information provided by the local sales representative Emilia replies that she would like to buy the painting. However, Emilia asks if the sales representative can do a better deal. The local sales representative tells Emilia that Popular Artwork Pty Ltd will sell her the painting for $15,000 and she has until 10 September at 5:00PM to decide if she wants to purchase the painting. If she wishes to purchase the painting, she needs to send a letter to the following address with a cheque for $15,000:
Popular Artwork Pty Ltd
348 Drummond Street`
Emilia goes to the post office on 10 September and sends the letter and the cheque at 4:59PM.
The following week Emilia finds out that the painting was not painted in 1868 but in 1888. Also, that the painting is not located at the Pushkin Museum of Fine Arts in Moscow but actually in the Metropolitan Museum of Art in New York.
Is there a contract between Emilia and Popular Artwork Pty Ltd? Refer to relevant case law and principles in answering this question.
Emilia tells you that had she known that the painting was not painted in 1868 but in 1888 and also that the painting was located at the Pushkin Museum of Fine Arts in Moscow but actually in the Metropolitan Museum of Art in New York she would never have purchased the painting. What rights does Emilia have under the common law? Refer to applicable case law and principles in answering this question. What remedies are available to Emilia under the common law?
Does Emilia have any rights under the Australian Consumer Law (Competition and Consumer Act 2010) (Cth), Schedule 2? Discuss any applicable legislative provisions and relevant case law. What remedies can Emilia obtain under the Australian Consumer Law?