BOOK:
An Introduction To The Law Contact, Stephen Graw, 7th Edition, Law Book Co 2012 (Please reference to this book).
QUESTION:
With reference to and discussion of relevant law and precedent cases, advise Carl as to whether or not there are any vitiating factors that may assist him against lovematchforyou.com and / or against Brandi. Do NOT discuss unfair contracts pursuant to legislation. Also advise Carl as to whether or not he can cancel the membership based on Romeo’s promise to him.
SCENARIO:
Carl, 30, is single and very lonely. He wants to find a wife to settle down with him and have a family. Unfortunately he is very shy and has never even dated before. His friends have told him to try online dating as this is an easy way to meet someone and chat online for a while before meeting and this may help him overcome his shyness. Carl sees an advert for lovematchforyou.com an online, membership based, dating site. There appear to be hundreds of eager young women looking to find a husband and settle down. Carl calls the number on the advert and speaks to Romeo, the sales consultant. Romeo explains the membership and emails him the membership contract.
The membership contract contains (amongst other things) the following clauses:
1. The membership term is 6 months.
2. The membership fee is $100.00 per month, debited from the member’s credit card on the first of each month.
3. If any payment is declined, a decline fee of $50 and the full balance of the remaining membership term will become due and payable immediately
4. After 6 months the membership will renew for another 6 months unless cancelled by the member.
5. Due to the varying costs of providing online services, the membership fee is subject to change by up to 10% per month without notice to the member and any fee
increases will be payable by the member.
6. Memberships cannot be cancelled prior to the expiry of the membership term or any renewed membership term.
7. Memberships may only be cancelled in writing. Cancellations must be requested at least 1 month prior to the end of the membership term.
8. Membership entitles the member to one ‘introduction’ per month where the
member will be introduced to a compatible partner selected by lovematchforyou’s trusted and patented partner matching formula.
Carl speaks to Romeo again, he is concerned about the 6-‐month term and Romeo tells Carl not to worry about it, he promises that if Carl wants to cancel the membership at any time he can.
Carl joins and in the first 3 months (January to March), he is introduced to a wonderful girl each month and he does try to chat to them but nothing progresses further than some brief online texting. Carl is still very optimistic and he does not mind that the membership fee has increased by 10% each month.
In April Carl is introduced to Brandi, a beautiful woman of 25 who seems just the type of partner for Carl. Moreover, Brandi seems very interested in Carl too and they hit it off in the chat sessions over a few weeks. In early May they arrange to meet on a date and the date goes very well. Carl is infatuated and Brandi seems to be just as in love with Carl as he is with her. They see each other regularly over the next few weeks.
In late May, Brandi tells Carl that her house is to be repossessed within a few days as she has lost her job recently and that she needs $20,000.00 to pay to the bank to ensure that she can keep her house. She tells Carl that she cannot borrow money and she cannot afford to make any repayments should anyone lend money to her anyway. She is most distressed and Carl immediately offers to give her the money telling her not to worry about repaying it, it is a gift from him because he loves her. At first Brandi refuses to take the money, but Carl insists and she takes it.
A few days later, in early June, Carl receives a call from Brandi. She tells him that her ex husband has returned into her life and that she will be reuniting with him. She feels bad because Carl and her had something special but she ‘has to follow her heart’.
Carl is devastated. He decides that he no longer wants to be involved in online dating. He calls the dating service and speaks to Lothario who tells him that Romeo has been fired for telling members that they can cancel their memberships at any time.
Carl tells Lothario that he wishes to cancel his membership. Lothario tells Carl that he must do so in writing and with at least a month’s notice. Since it is now June, Carl cannot give a months notice before the end of the 6 month term and so the membership will renew for another 6 months. However, the good news is that if Carl submits a written cancellation request ASAP, he will definitely have his membership cancelled at the end of the next 6 month term.
Carl is furious and comes to you for advice.QUESTION:
With reference to and discussion of relevant law and precedent cases, advise Carl as to whether or not there are any vitiating factors that may assist him against lovematchforyou.com and / or against Brandi. Do NOT discuss unfair contracts pursuant to legislation. Also advise Carl as to whether or not he can cancel the membership based on Romeo’s promise to him.
SCENARIO:
Carl, 30, is single and very lonely. He wants to find a wife to settle down with him and have a family. Unfortunately he is very shy and has never even dated before. His friends have told him to try online dating as this is an easy way to meet someone and chat online for a while before meeting and this may help him overcome his shyness. Carl sees an advert for lovematchforyou.com an online, membership based, dating site. There appear to be hundreds of eager young women looking to find a husband and settle down. Carl calls the number on the advert and speaks to Romeo, the sales consultant. Romeo explains the membership and emails him the membership contract.
The membership contract contains (amongst other things) the following clauses:
1. The membership term is 6 months.
2. The membership fee is $100.00 per month, debited from the member’s credit card on the first of each month.
3. If any payment is declined, a decline fee of $50 and the full balance of the remaining membership term will become due and payable immediately
4. After 6 months the membership will renew for another 6 months unless cancelled by the member.
5. Due to the varying costs of providing online services, the membership fee is subject to change by up to 10% per month without notice to the member and any fee
increases will be payable by the member.
6. Memberships cannot be cancelled prior to the expiry of the membership term or any renewed membership term.
7. Memberships may only be cancelled in writing. Cancellations must be requested at least 1 month prior to the end of the membership term.
8. Membership entitles the member to one ‘introduction’ per month where the
member will be introduced to a compatible partner selected by lovematchforyou’s trusted and patented partner matching formula.
Carl speaks to Romeo again, he is concerned about the 6-‐month term and Romeo tells Carl not to worry about it, he promises that if Carl wants to cancel the membership at any time he can.
Carl joins and in the first 3 months (January to March), he is introduced to a wonderful girl each month and he does try to chat to them but nothing progresses further than some brief online texting. Carl is still very optimistic and he does not mind that the membership fee has increased by 10% each month.
In April Carl is introduced to Brandi, a beautiful woman of 25 who seems just the type of partner for Carl. Moreover, Brandi seems very interested in Carl too and they hit it off in the chat sessions over a few weeks. In early May they arrange to meet on a date and the date goes very well. Carl is infatuated and Brandi seems to be just as in love with Carl as he is with her. They see each other regularly over the next few weeks.
In late May, Brandi tells Carl that her house is to be repossessed within a few days as she has lost her job recently and that she needs $20,000.00 to pay to the bank to ensure that she can keep her house. She tells Carl that she cannot borrow money and she cannot afford to make any repayments should anyone lend money to her anyway. She is most distressed and Carl immediately offers to give her the money telling her not to worry about repaying it, it is a gift from him because he loves her. At first Brandi refuses to take the money, but Carl insists and she takes it.
A few days later, in early June, Carl receives a call from Brandi. She tells him that her ex husband has returned into her life and that she will be reuniting with him. She feels bad because Carl and her had something special but she ‘has to follow her heart’.
Carl is devastated. He decides that he no longer wants to be involved in online dating. He calls the dating service and speaks to Lothario who tells him that Romeo has been fired for telling members that they can cancel their memberships at any time.
Carl tells Lothario that he wishes to cancel his membership. Lothario tells Carl that he must do so in writing and with at least a month’s notice. Since it is now June, Carl cannot give a months notice before the end of the 6 month term and so the membership will renew for another 6 months. However, the good news is that if Carl submits a written cancellation request ASAP, he will definitely have his membership cancelled at the end of the next 6 month term.
Carl is furious and comes to you for advice.
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