Simon Owns a Computer Repair Shop. One Evening, His Neighbor: Business Law Assignment, SIM, Singapore

Assignment Details:

Simon owns a computer repair shop. One evening, his neighbor, Peter, ran into him. Peter complained that his 1-year old lap-top had not been functioning properly as the lap-top screen often freezes, runs too slow and the touch-screen is unresponsive. Simon said, “Come by my repair shop and I will have a look”. The next evening after work, Peter went to Simon’s shop and left this lap-top wit.

When Peter saw the quotation, he sent a WhatsApp message to Simon:

“Hi Simon, do not need to send over the quotation. We have been neighbors for 5 years and I trust you will do a good job. Save us this trouble”. After reading the message from Peter, Simon instructed his staff to dismantle the whole laptop in order to check and replace the laptop screen in addition to the removal of viruses, malware, and spyware. The repair and replacement works took almost the whole day.

Two days later, Peter collected the lap-top from Simon’s shop. Simon’s staff handed Peter his lap-top and an invoice for repair and replacement costs of $400. Peter was surprised and said, “I know your boss who is my neighbor for 5 years. He will do it for me for free! Keep the invoice!”

Peter took his lap-top and immediately sent a WhatsApp message to Simon:

“Hi Simon, I thought you were going to be my good friend and neighbor by repairing my lap-top for free! I was going to sell it and get a new laptop!

Required:

Explain whether there is a valid contract formed between Simon and Peter for the repair of the lap-top. Your answer should identify and discuss all the four (4) elements required to form a contract.