Assignment 1This assignment deals with critical problem solving skills and comprises 20% of total marks forthis course. This assessment tests course objectives addressing:• Knowledge of relevant law,• Application of the law to factual business situations, and• Use of critical and analytical thinking skills.Please read the question carefully as well as the marking rubric supplied separately. Makesure you clearly understand the mark allocation for each question and the word limit.Instruction for assessment tasksStudents should read the discussion of the ILAC method of addressing problem basedquestions posted to the course activity page. It requires identification of ISSUE(S) as the initialstep in addressing problem based questions. Usually problem based questions in law have 2– 3 key issues in the question. However, this is a general directive only, and students shouldexamine the question and make their own determination about the key issues.You are applying the ILAC method to address the problem-based question. There is onequestion divided into three parts. Note the word limit and mark allocation for each part.Due Date: 9th August 2019Question 1 (20 marks)Problem scenarioFine Diamond Jewellery entered into a standard service agreement with Transglobal AlarmMonitoring Pty Ltd to provide security and alarm monitoring services for 3 years. From April2018 until April 2019, the alarm and monitoring system was working fine and there was noincident of any security nature. On May 2019, the owner of Fine Diamond Jewellery went asusual to open his business and noticed that the alarm and monitoring system was not workingproperly. He later found that many pieces of diamond Jewellery were missing and stolen fromthe shop. Unfortunately, Fine Diamond Jewellery had an insurance policy to cover stolenitems, but it was recently expired at the time of robbery.The owner immediately contacted Transglobal Alarm Monitoring Pty Ltd and wrote formallyto the business demanding compensation for the failure of the alarming and monitoringsystem that resulted in the robbery. The manager replied back and advised that TransglobalAlarm Monitoring Pty Ltd is not prepared to pay any compensation relying on the standardalarm agreement signed between the parties and particularly clause 10 that states thefollowing:10. Transglobal Alarm Monitoring Pty Ltd and its employees will not under anycircumstances be liable or responsible for any damage or loss that may be caused as a resultof using the alarming and monitoring security systemThe owner of Fine Diamond Jewellery wants to take legal action against Transgloabl AlarmMonitoring Pty Ltd and you have been appointed to advise him on his chances of success.Assessment tasks1. Please identify the legal issue(s) raised in the question and briefly state the law relatingto each issue (5 marks)(Hint: This is a contract law based question and you need to consider if the exclusion clausewill enable Transglobal Alarm Monitoring Pty Ltd to avoid liability. What is the effect of theexclusion clause? In order to address this matter, it is important to examine if the exclusionclause is part of the contract, and whether it covers breach).(Maximum word limit 500)2. Apply the law specifically to the facts of the question and advise Fine Diamond Jewelleryon their chances of success in receiving compensation for the losses resulting from thefailure of the alarming and monitoring system provided by Transgloabl Alarm MonitoringPty Ltd (10 marks)(Hint: it is important to demonstrate how you apply the law to the facts of the question. Thelaw effectively is a tool to fix the legal problem/issue/difficulty. Please think carefully aboutthis aspect of answering a legal problem. It is not enough to take a legal proposition, but youneed to explain its relevance, why you are using it and what it will achieve.(Maximum word limit 1000)3. Discuss whether the question, particularly in relation to any of the legal issues or factualcircumstances raised, created the possibility of alternative arguments. Critically assess onealternative position and briefly explain why this might arise. You only need to address onesituation here. If you are of the view there are no situations of that type arising, thenexplain why you feel that, again by critically assessing your position on this (5 marks)(Hint: note, you have to demonstrate critical thinking here, and you should read the textbook,case law, articles, and any other resources including those posted to the course StudyDesk toassist you in developing and supporting your argument and counter argument. Part of thecourse objectives involve using critical and analytical thinking skills. Sometimes in a lawquestion, there may be facts that suggest more than one possible answer. There is a degreeof ambiguity in the facts allowing for different interpretations. This is where critical andanalytical thinking skills are important.(Maximum word limit 500)