Write a professional report to your manager explaining and advising on the following issues:

1. A Hainan employee arranged for an advertising company, DigiPlus to provide digital advertising displays in the public areas of Indigo. Although there is no written contract, the arrangement has been operated for the last year and in exchange for allowing DigiPlus to use the displays, Hainan receive half the advertising fees. Hainan now wish to end this arrangement and install their own advertising displays because they think that this will make them more money.

Explain, giving full reasons, whether such an oral contract can be legally valid and discuss the benefits and drawbacks of contracts made orally as opposed to those made in writing. Advise if Hainan are bound by the arrangement with DigiPlus and if so, how they can end it.

2. A visitor shopping in the mall has slipped on a wet floor in the central atrium of Indigo which is maintained by Hainan. She has broken her arm. How and why could Hainan have any liability in these circumstances? Consider any recommendations you can make for avoiding such claims in the future.

3. You been offered two cases of expensive wine by a promotions company who are hoping to secure a contract for the advertising and marketing of Indigo. What are the implications of this offer and what steps should Hainan take to ensure that similar problems are avoided in the future?

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