...LAW OF CONTRACT: VOIDABLE CONTRACT A formal agreement between two parties that may be rendered unenforceable for a number of legal reasons. Reasons that can make a contract voidable include failure by one or both parties to disclose a material fact. Circumstances or features that make a contract voidable include coercion, undue influence, fraud, misrepresentation and mistake. Based on our case review, we more focus on voidable contract under undue influence. In section 16 has defined undue influence a contract is said to be induced by undue influence when the relationship between parties is such that one party is able to dominate his will on the other and uses that position to gain unfair advantage. In particular and without prejudice to the generality of the foregoing principle, a person is deemed to be in a position to dominate the will of another: a) Where he hold a real authority over the other. b) Where he makes a contract with a person whose mentally capacity is temporarily or permanent. In section 16(2) implied or provide with example that in certain situation, a person is deemed to be in the position of dominating the will of the other if: • If the person holds a real or apparent position of power. • If stands in a fiduciary relationship with the other. • If the other person is mentally weak because of sickness, disease, or economic distress. ISSUES OF CASE There are three issues raised in this question. They are: 1) Whether induced by undue influence...
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...LAW CASE STUDY (Topic-2) "The core idea of negligence is that people should exercise reasonable care when they act by taking account of the potential harm that they might foreseeably cause harm to other people.”[1] INTRODUCTION: In this particular case are there many contractual terms that are used. So, to solve this case or before giving any judgement, we need to define these terms and gain sufficient knowledge about them. The first and the most important thing we need to know is: What is a contract? A contract is an agreement which is enforceable by the court of law. For a legal contract there has to be an offer and its acceptance. “Acceptance occurs when the party answering the offer agrees to the offer by way of a statement or an act. Acceptance must be unequivocal and communicated to the offer or the law will not deem a person to have accepted an offer merely because they have not expressly rejected it. Some modifications to the rules of offer and acceptance have been made to protect consumers by sections 18 and 41 of the Competition and Consumer Act 2010 (Cth) schedule 2 Australian Consumer Law (“ACL”) for example, invitations or offers to purchase cannot be misleading or deceptive.[2] Thus acceptance is a very important concept of contracts. Generally a valid contract has acceptance. The different types of contracts are: Formal Contracts and Simple Contracts. “A simple contract can be totally written, partly written and partly “oral” (verbal), or totally oral...
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...Business law and contracts Introduction There are quite a number of business entity that are lead and regulated by various laws.Theselawsensures that each business operates within its jurisdictions. In running a business, one has to deal with various types of contracts with other businesses or different individuals. Whatever types of businesses that one dealin, understanding of business contracts is an essential part of running a business and making sound agreements that can be defended in a court of law in the case that one party defaults on their original profit. Contracts governance by common law or the Uniform Commercial Code (UCC). A contract can be defined as an enforceable legal agreement undertaken by two or more parties, corporate or individuals that necessarily creates an obligation between the parties to do or not to undertake certain things (Brullote, n.d). In many countries, business and individual contracts are majorly guaranteed by two laws: the Uniform Commercial Code abbreviated as UCC and the common laws each having its distinct jurisdiction. To transact business properly, it is required that one understands both contracts (Brullote, n.d). Common laws contracts are those contracts that are controlled by a set of rules that are established by various states. These are traditionally basedlaws that are set by thelegislature and are always being changed to suit the various changes n business environments. Common law contracts are meant to guide various...
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...CONTRACT REVIEW ASSIGNMENT Instructor: Barb Eccles Business Law 3051-FA Matthias Majerczyk Due Date: Tuesday, November-27-2012 BigCo Agreement for Exchange of Confidential Information 2) Most people who have positions in a corporation are employees under the legal entity. So, therefore Really Smart Guy is the Vice-President and an employee of BigCo Limited. BigCo can use confidential draft patent application and some confidential information to compete with III. This is according to paragraph 4, “BigCo can use III’s ideas, concepts, know-how and techniques for its own business activities to compete with III, only if III’s Information is retained in the memories of BigCo’s employees who have had access to the Information under the BigCo Confidentiality Agreement.” BigCo was also given a draft business plan. BigCo cannot use the business plan to compete with III according to paragraph 4, “nothing gives the BigCo the right to disclose, publish or disseminate the business plans of III” 3) BigCo can terminate its agreement with III by providing a one month’s written notice BigCo. III’s and BigCo’s obligations for disclosing information will extend beyond the termination and will remain in effect until fulfilled. The Survival clause is really weird and it conflicts with the Confidentiality Period on paragraph 3. How can you say that it will extend for two years following the initial date of disclosure, then the survival clause states that any terms of the agreement will extend...
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...Audi R8, worth RM 900,000. The car has now been delivered but she is unable to pay for it. Discuss. First of all, the Law of Contract has been defined as an agreement which is legally binding between the both of parties. A contract simply means an agreement between the parties however the agreement has some important element within as it alone does not stand to have a binding contract. In a contract, there should have all the elements as proposed which will be offer, acceptance of offer, consideration, intentions to create legal relations, capacity, consent, legality and possibility of performance. In this particular situation, the element of capacity is lacking in this contract. Capacity to a contract defines us that parties in a contract must have the capacity to make a contract. In a simpler way, capacity is referred as legal ability to enter into a contract and the law generally states that everyone has the capacity to a contract except for certain circumstances which will be discussed in the following paragraph. Phing is 17 and underage, which makes her legally ‘incapable of capacity’ due to her minor status, and therefore any contracts made by Phing would be void ab initio except for certain exceptions, such as contracts for necessaries, scholarship contracts and insurance contracts. Section 11 of the Contracts Act 1950 is about contracts entered into by those who have no capacity. This section states that a person must satisfy the age of majority according to...
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...Assignment Topic: Laws that Affecting Business Name: Sumon Roy ID: 4050 MBA (Evening Program) Department of International Business University of Dhaka Submission Date: Saturday, 17th May 2010. Table of Contents: Contents | Page | Introduction | 1 | Definition of Business, Law & Business Law | 2 | Sources of law | 3 | Different laws affecting business | 6-11 | Laws regarding commerce in Bangladesh | 12 | Laws regarding Industry in Bangladesh | 13 | Conclusion | 14 | Introduction: In the present world business plays an important role in every sphere of life. Business determines one’s life style, standard of living, education and even cultural standard. So to lead a bette-r life we need to understand business and study business. Business is dynamic – always changing. Coping with both predictable and unpredictable events can be easier, more efficient, and less traumatic if we understand business. Study of business will help us to understand that today national economies are no more independent entities rather interdependent and taking an uniform global shape, economic depression in U.S.A. has an impact on the whole world, business and global warming are not different issues, war in Iraq or Afghanistan has some kind of link with business, China becoming a factor in the world economy because of excellent business skill and the system known as “Free Enterprise”. However the road to success will be easier for those who understand how business works. ...
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...ASSIGNMENT ON LEGAL ASPECTS OF INTERNATIONAL CONTRACT SUBMITTED TO SUBMITTED BY PROF. A K PANDEY PRABHAT ANAND(2K12B72) INTRODUCTION INTERNATIONAL CONTRACT: The international contract is a contract that has a foreign element, that is to say that the contract is in contact with one or more order (s) legal (s) abroad (s). Specifically, the foreign element may be resident abroad, a party to the contract, nationality, place of contract conclusion, and many other possibilities. The commercial contract is a contract for a commercial transaction or a contract made by a trader for the purposes of his trade. Therefore an international commercial contract is the addition of foreign elements in a commercial contractual relationship. Example is a contract between a French commercial agent to an American entrepreneur. Or it may be a contract between a French company and a provider of electronics in China. The formation of a contract Main points that need to be addressed: • Agreement: who decides that an argreement has been reached (objective/ subjective approach) • Offer and acceptance: offer of invitation, display of goods, advertisements etc leading to acceptance • Certainty and agreement mistakes • Consideration and form • Intention to create legal relations: domestic...
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...CONTRACT LAW KENNETH D ROBINSON JR BUSINESS LAW 311 GARY GENTRY 9 JUNE 2014 Abstract A Body of law that governs oral and written agreements associated with exchange of goods and services, money, and properties is recognized as contract law. Contract law includes topics such as the nature of contractual obligations, limitation of actions, freedom of contract, privity of contract, termination of contract, and covers also agency relationships, commercial paper, and contracts of employment. Contract law is one of the many different aspects of business law and must be understood in the world of law. From valid contracts, to voidable, enforceable and unenforceable contracts they must all be understood and taken into account. If you were starting a business you would first need to know what contract law is, its history and why is in important in the world today. CONTRACT LAW Over the last several of weeks since announcing it was banning Los Angeles Clippers owner Donald Sterling for life, The NBA has had hopes of getting approval from the league's owners to force him to sell the team, little has been known of the NBA's exact legal strategy. While the league's constitution, publicly revealed for the first time by the league last Tuesday, made it clear that grounds exist to remove an owner if that owner "fail(s) or refuse(s) to fulfill its contractual obligations to the Association," it remained unclear what contracts Sterling might have violated when he made...
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...Introduction: Simply, law can be explained as a collection of rules which are mainly created by a particular state or state government & the state, as an authority, is responsible for enforcing the law made within its jurisdiction via using various kind of sanction. While talking about law we should have a clear idea about three basic concept power, fascination & importance.Sources of law are also importance which can be constitutions, statue, common law, administrative law, equity etc. In business world, we use different kinds of law & law of contracts is one of the most widely used business law which is basically used to understand future business related The Aspects of Contracts & Negligence for Businessissues in more predictable manner by people engage in contracts. Contract is basically a promise that gives the official commitment that the law will be enforced.Judicial activism, which creates law to be less predictable & more flexible, & judicial restraint, which makes law more predictable & less flexible, is two important issues closely related to contracts that need to be defined properly. Task 1: P1- The essential element of valid contracts in a business context: A contract, to be valid in a business context, must have some essential elements which can be basically classified in four major categories- ð Agreement- In every contract, there must be an agreement between two parties where one party needs to make any kind of valid offer & the other party needs...
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...Law 1. Define company? How many kinds of companies? Distinguish between private Ltd. and public Ltd. company. 2. What is Memorandum of Association? What are the elements of Memorandum of Association? What are the stages in the formation of a company? 3. What is capital? Describe briefly the source of companies’ capital? Define share? Describe briefly the classification of share? 4. Define contract? Describe briefly the essential elements of contract? Define Law? Describe briefly the classification of law? 5. Define partnership? The essential elements of partnership? Classes of partners and classes of partnership? 6. Short Notes: a) Article of Association. b) Difference between Memorandum of Association and Article of Association. c) Authorized Capital. d) Paid-up capital. e) AGM f) EGM. Q: What is contract? Describe the elements of contract? Ans. Section 2(h) of the Contract Act, 1872 provides that, “An agreement enforceable by law is a contract.”Therefore, in a contract there must be (1) on agreement and (2) the agreement must be enforceable by law. Agreements which are not enforceable by law they are not contract. Elements of contract: The essential elements of a contract are explained below: (1) Offer and acceptance: There must be a lawful offer by one party and a lawful acceptance of the offer by the other party or parties. “Lawful” implies that the offer and acceptance must conform to the rules laid down in the contract act 1872. (2) Intention...
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...Week 5 Final Paper Betty Poppins Bus 311 Instructor Brandy Krectzburg 7/01/13 Business Contracts: Protocol, Laws & Ethicality There are various kinds of contracts which arise within our business world today; contracts are an essential component to business livelihood. Although a contract is an agreement, not all agreements are valid contractual obligations. In order for any contract to be an official and legally binding agreement, there are essential requirements which must first be fulfilled. Because contracts are vital to the organization and its success, it is important that the organization has an inclusive understanding of the inner workings of business contract and law and sustaining ethicality within these agreements; this will help ensure that each and every business transaction is a smooth and successful endeavor from beginning to end. What is a contract, and what makes it valid? According to Essentials of Business Law, by Susan Rogers (2012), a contract is described as being “a legally enforceable agreement between two or more people.” Therefore, a contract emerges from the voluntary consent of two or more people with mutual accordance to enter into this agreement. Contracts are helpful to business, as these agreements are binding to both parties involved. In order for a contract to be a valid and binding agreement there are five fundamental yet essential elements that must be present, and these are: 1. The Offer, 2. The Acceptance, 3. Consideration...
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...Role and Function of Law Law/421 September 2013 Instructor Name (A PAPER) The Roles and Functions of Law There are different functions and roles of law in the modern business society in the justice system. The business law is a specific set of rules regarding oversees businesses and can take measures to correct injustices. These rules of law provide the social functions in peacekeeping, balancing government power, providing individuals’ freedom, implement plans with appropriate expectations, establishing social justice, and safeguarding the environment. Peacekeeping is an important role of law in the modern business society. These laws provide rules for appropriate conduct are to ensure peace for between each party participating to resolve dispute. The act of peacekeeping is more difficult today since the businesses are subject to civil and private disputes the predetermined business laws assists in solving the disputes. When these disputes happen the options are to file a lawsuit can be costly and a length of time to resolve or agree to a compromise. Another alternative is to use alternative dispute resolution (ADR), or arbitration, or mediation. Through these methods, a settlement can be create closure and achieve an agreement between both parties. Balancing government control and providing individual freedom dealing with United States Constitution has a built-in system of checks and balances with limitations. The government duty is to question if businesses...
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...CORPORATE AND BUSINESS LAW I—Course Outline Instructor: Professor Charles O. Kwarteng References Materials Books Required: K. Adjei-Mensah, Principles of Business Law, Volume ONE (ISBN 9988-0-0944-5). (good for business law) Recommended. K. Adjei-Mensah, Principles of Business Law, TWO (ISBN 9988-0-0945-3) (good for companies) . Internet Materials: www. kkaufhold.net/files_/Bussiness_Law_Outline 2.pdf (good outline for business law) www. Ekconsultinggroup.com/assets/resources/Business_Law_Notes.pdf (good outline for company law) OUTLINE 1. Sources of Law a) Constitutional Law b) Statutory Law (Ghana Company Code) c) Executive Decisions: Executive Decrees, Proclamations, Orders Judicial Decision-Case Law: Doctrine of Stare Decisis (Salomon v Salomon) Treatises of Eminent Jurists Restatement of Torts/Restatement of Contracts International Law Treaties (Bilateral and Multilateral). Compare AGOA (Ghana and US) and ECOWAS Treaty (West African sub-region). Readings: Adjei Mensah, Principles of Business Law, Volume I, Part 3 2. Law of Contracts Types (Oral/Written; Bilateral/Unilateral; Executed/Executory, Terms : Express/Implied: Express Contract/Implied Contracts Oral Contracts and the Statute of Frauds (“MYLEGS” Contracts) 1) Marriage 2) Contract for Years 3) Land Contracts 4) Contract of the Executor 5) Guarantor’s Contract 6) Contract of Surety 2) Writing required in the ff cases (i) Real Property Contract including...
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...Issues Contemporary Business Law-LAW/421 Dina Centifanti Gledhill May 28, 2012 International trade is important and beneficial to business. However international trade must be guided with a safeguard of interests, specific business contract, defined law, forum of dispute settlement, and understanding of contract clauses. “A working knowledge of international law helps business owners and managers with global interests reduce risk and increase profits” (Melvin, 2011, P. 631). This enlightenment will address the international legal and ethical issues involved in international business transactions and compare such to domestic business operations. Resolving legal disputes Business internationally, enviably creates change in legislation, interest conflict, and rise of ethical dilemmas. When international business arises, business owners, and management must use precaution to avoid ethical, legal, and cultural issues. Business must prepare for the unexpected to ensure success. Often conducting foreign business requires the parties to set standard law, determine how to settle disputes, and define contract clause to determine the correct business decision applicable through contracts. Foreign businesses commonly use contracts for the international sale of goods as standard law. “Contracts for the international sale of goods was created by the U.N. Commission on International Trade Law to establish uniform rules for drafting certain international sales contracts” (Melvin, 2011...
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...Level 5 HND in Business Module Handbook Unit 5: Aspects of Contract and Negligence for Business Unit code: Y/601/0563 QCF level: 4 Credit value: 15 credits Module Tutor: Anila Mushtaq Contact Details: anila.mushtaq@yahoo.co.uk Preferred style of contact: In the first instance, if you have any queries regarding the teaching or assessment for this module, please ask question during the lecture. If you do not receive a satisfactory response then e-mail me with your query for an appointment. Introduction: The aim of this unit is to provide learners with an understanding of aspects of the law of contract and tort and the skill to apply them, particularly in business situations. Unit abstract: The unit introduces the law of contract, with a particular emphasis on the formation and operation of business contracts. Learners are encouraged to explore the content of these agreements and then develop skills relating to the practical application of business contracts, including offer, acceptance, intention, consideration and capacity. Relevant case law examples will be covered. Learners will consider when liability in contract arises, the nature of the obligations on both sides of the contract, and the availability of remedies when a contract is not fulfilled in accordance with its terms. Additionally, the unit will enable learners to understand how the law of tort differs from the law of contract and examine...
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