Legal Research Assignment:
In November, Ariana went with her mother Taylor to a Sydney outlet of Marine Paradise Expeditions Pty Ltd (‘MPE’) to enquire about their Great Northern Reef cruises. Ariana wanted to treat Taylor (who turned 70 in March) to an amazing holiday, and it had been her life-long dream to see the Reef. Ariana had budgeted to pay $8,000 for the cruise and Taylor
had agreed to cover any cost above that, they laughingly joked about this in front of the sales representative.
79018 Advanced Commercial Law Assignment-University of Technology Sydney College.

The sales representative said that MPE were able to offer a three-night tour of various reefs and islands off Cook town, Queensland that coincided with Taylor’s birthday in March for a total price of $8,000 for a standard twin cabin. The deluxe cabin would be $12,000. Ariana and Taylor decided the deluxe cabin would be the best for them.

The representative added that MPE was replacing its vessels and the new vessel for this cruise, ‘Dazzling Blue’, would have an excellent and spacious ‘viewing gallery’ that sat beneath the water line. Taylor was delighted to hear about the viewing gallery as she had a phobia about swimming in the open sea.

The representative said that if Ariana wanted to book now, she would have to pay an immediate deposit of $1,200. The balance of $10,800 would be due a month before the cruise when she would receive the tickets. Taylor diarised this, and planned to transfer $4,000 to Ariana before the due date.
Ariana agreed to continue with the cruise plans and paid the $1,200 deposit.

The representative then gave her a document called ‘Booking Form’ and advised Ariana to take some time and read it carefully. The form indicated that the contract would be for the Great Northern Reef cruise in a Deluxe Cabin for two people (Ariana and Taylor were named as passengers). The contracting parties were identified as Ariana and Marine Paradise Expeditions Pty Ltd.

On the front page of the Booking Form it was noted that a deposit of $1,200 had been received from Ariana and that the balance was due one month before the cruise at which point the tickets would be issued. At the bottom of the front page in bold print, under a section headed “Special Notes”, it said:

79018 Advanced Commercial Law Assignment-University of Technology Sydney College.

The Contract of Carriage for travel as set out herein will be made only at the time of the issuing of tickets and will be subject to the standard terms printed on the tickets. These standard terms are available to all passengers at any MPE office or online at (assume this link works!)

Ariana took the Booking Form home with her and the next day returned to MPE with the signed form advising she was ready to proceed. Ariana did not ask to see the standard terms at the MPE office and did not access the web link that was on the Booking Form as she was still waiting for NBN to be connected.

One month before the cruise Taylor promptly transferred the extra $4,000 to Ariana, Ariana returned to the Sydney MPE outlet and paid the balance owing. She was handed the tickets.

On the back was the following:
STANDARD TERMS

1.Sundry expenses.
All passengers, whether a party to this contract or not, agree that they are jointly and severally liable for any extra charges incurred on the cruise that are legitimately attributed to the passengers’ Cabin number.

2.Cancellation due to natural phenomena.
Marine Paradise Pty Ltd may elect to cancel the cruise due to a naturally occurring phenomenon such as rough seas, storms or cyclones. If Marine Paradise Pty Ltd cancels a cruise under this section, Marine Paradise Pty Ltd is entitled to retain the deposit paid by the Client.

3.Right to terminate the contract.
Marine Paradise Pty Ltd reserves the right to terminate the contract at any time at their discretion. If this clause is invoked the customer shall be entitled to a full refund of any payments less 10% administration fee.

4.Exclusions and Limitation of liability.
a) Marine Paradise Pty Ltd, will not be responsible for any loss or
damage whether by way of tort, breach of contract or other legal or
equitable duty arising in any way out of any activity undertaken
pursuant to this agreement.
b) The liability of Marine Paradise Pty Ltd for any claim arising
out of or in connection with the relationship established by this
agreement is limited to $100.

Please provide an answer to the questions in the following scenarios:

Scenario 1
Two weeks before the cruise there was a major coral bleaching event that turned the reefs around Cook town into a wasteland. Ariana no longer wants to go on the cruise. Can Ariana avoid the contract and get all her money back? Alternatively, can MPR cancel the cruise and keep the deposit pursuant to clause 2 of the Standard Terms?

Indicative Areas: Frustration, Incorporation and Interpretation of terms Indicative value of total grade for the assessment task 35%

79018 Advanced Commercial Law Assignment-University of Technology Sydney College.

Scenario 2
Assume that the coral did not bleach and Ariana and Taylor went on the holiday. However, once on board they realised that the viewing gallery was no more than a few very small windows in a tiny corridor, each set about 5 metres apart. It was nearly impossible to access this area at important viewing times due to the large number of elderly passengers on board.
Taylor was very disappointed. Can Ariana successfully sue for damages for breach of contract? If Ariana were to be successful will clause 4 of the Standard Terms have an impact on the outcome? (Do not consider misrepresentation. This question does not require calculation of damages).

Indicative Areas: Terms, Breach, Incorporation and Interpretation of Exclusion and Limitation Clauses.
Indicative value of total grade for the assessment task 25%

Scenario 3
Assume that the coral did not bleach and the departure date is imminent. Johnny Deep and his new companion Amble Herad have requested to charter ‘Dazzling Blue’ over the Corona ISO period which coincides with the time that Ariana and Taylor have booked. MPR now propose to activate clause 3 of the Standard Terms as the Deep/Herad offer is too good to
refuse.

What is the likelihood of MPR being able to successfully rely on clause 3 of the Standard
Terms?

Indicative Areas: Incorporation and Interpretation of terms, Implied terms.
Indicative value of total grade for the assessment task 20%

79018 Advanced Commercial Law Assignment-University of Technology Sydney College.

Scenario 4
Assume the cruise proceeded albeit with unhappy customers due to a poor reef display and basic viewing amenities. Ariana hits the Blue Bar on the last evening and runs up a $2,000 bill. To record the transactions at the Blue Bar she swipes her Cabin Card. MPR have requested payment of $2,000 from Ariana who refuses to pay due to her bad experiences. MPR now wish to force Taylor to pay. Is Taylor contractually obliged to pay pursuant to
clause 1 of the Standard Terms?

Indicative Areas: Incorporation and Interpretation of terms, Consideration, Privity Indicative value of total grade for the assessment task 20%

Please see the subject outline and UTS Online for all the important submission requirements for this assessment task.