Business Law Essay

Business Law Essay Business Law Essay Nature and Terminology Contract law - the formation and keeping of promises-legally binding Source of contract law-common law-except where modified or replaced by statutory law -UCC -sale or lease of goods, checks or administrative law Two parties Promissor - making the promise - PR Promissee - person to whom the prime is made - PE Contract - agreement between two parties (or more) is legally binding, agree to perform or refrain from performing an act now or in the future Objective theory of contacts - element of intent is very important - judged by outward objective facts - as interpreted by a reasonable person standard Objective - One answer, subjective - multiple answers Three factors What the party said How the party acted or appeared Circumstances surrounding the transaction Elements (Requirements) Agreement - Need an offer and an acceptance (more in chapter 12) Consideration - Must be supported by legally sufficient bargained for value (more in chapter 13) Contractual capacity - must have this (age, sober, lack mental capacity) (more in chapter 14) Legality - must be (contract’s purpose) to accomplish a goal that is legal and not v. public policy (more in chapter 14) Let’s assume we meet all four requirements - possible defenses Voluntary consent - both parties agreed (more in chapter 15) Contract must be in a form with respect to whatever the law requires (more in chapter 16) Contract classification Bilateral contract v. unilateral contact Bilateral - Promise for a promise eg one part offeror makes a promise, offered may accept by promising to perform, contract exist at the moment promise made Unilateral contract if the offer can accept the offer by performance (promise for performance)- contract exist moment contract is performed Potential problem - PR attempts to revoke (take back) the offer after the PE began performance Present view - offer to perform becomes irrevocable once performance has begun Formal v. informal Formal - contact that requires special forms or method or formation, to be enforceable Informal - simple contract - no special form is required Express v. Implied Express - specific terms of agreement are fully and explicitly stated in words, oral, or written Implied - contract is implied from the conduct of the parties For implied, need three elements P must furnish some service or property P expected to be paid for that service or property and D knew or should have known that payment was expected D had chance to reject the services or property and did not Executed v. executory Executed - fully performed by both parties Executory - not fully performed by both parties Contract enforceability Valid contact- one that has all four elements Voidable contract- valid contract, one of the parties may be able to avoid the contract at their option (or both) can avoid it or ratify it Minor - contact may be unenforceable because of certain legal defense Void contract - not a contract at all, no legal obligation to any Business Law Essay Business Law Essay Business Law Law- the body of rules that can be enforced by the courts or by other government agencies. Sophisticated Client- Person who understands the role of a lawyer and knows when to represent himself/herself and when to get the help of a lawyer. They understand the cost associated with a lawyer and how the process works. Legal Aid- Legal help for people who cannot afford a lawyer. Civil Law- A list of codes that judges apply to cases. Common Law- Law based on past decisions made by the courts with regard to cases with similar circumstances. Stare Desists- â€Å"To stand by previous decisions† Law of equity- A system of law in which the rule of presidents was not followed every case is treated as a new one. Statute- A law passed by properly constituted legislative body. â€Å"Parliament† Paramount- When provincial and federal laws conflict the federal law will prevail. Chapter 4 Tort- Civil wrong, it occurs when one person causes injury to another person, harming his or her person, property or reputation. Vicious liability- An employer may be held responsible for torts committed by employees while on the job. 1. Intentional torts- Torts done on purpose, deliberate torts. 2. Assault- both the actual striking of a person (battery) of the threat of striking a person (assault) Defences A. Consent- the victim gives permission for the action to take place. B. Self-defence- reasonable force being used to protect one’s self, people under the care of a person or the person’s property. C. Lawful Authority- some people have the right to administer disciplinary action to others. 3. Trespass to land- involves someone who goes onto another person property without having the lawful right of the owner’s permission to do so. 4. False imprisonment- occurs when people are restrained against their will and the person doing the restraining has no lawful authority to do so. 5. Private nuisance- anyone who carries out an action that interferes with the use and enjoyment of another person’s property. 6. Defamation- A statement that ruins or lowers the reputation of another person. The statement can be oral or spoken (slander) or written, printed (libel). Defences of Defamation 1. Truth 2. Privilege- A defence which allows certain people in certain situations to make untrue statements without incurring liability for defamation. (Statements made imperilment and provincial legislation) 3. Qualified privilege- allows certain people not to be liable for defamation if it occurs in the course of the job duty. 4. Fair comment- when people put their work up before public viewing, they invite criticism. Chapter 5 Unintentional torts- the inflection of a wrong though careless conduct Reasonable person test- what would a reasonable person do in the same situation. A: A duty to exercise care must exist B: Breach of the standard of care C and D: Causation and damages Misfeasance- when a person acts in a social undesirable way. The courts will likely provide compensation or remedy. Nonfeasance- when a person fails to do something unless it is their duty, courts are not likely to provide compensation. Plaintiff- The person doing the suing Defendant- The person being sued Res-ipsa-loquitor- Instead of the plaintiff proving that negligence acquired, the defendant must prove that negligence did not acquire it has been abolished in Canada. Prima facie- The plaintiff has proven their case from the facts that negligence has acquired. Dangerous premises- The occupier of land or property is responsible for keeping is safe for people who come on to it. People that come onto another person’s property can be divided into three categories. 1. Invitee- any business visitors (salesperson) 2. Licensee- anybody who enters a person’s property without permission. The occupier is not responsible to keep the place safe for this group; however the occupier is not allowed to intentionally