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Aspects of Contract and Negligence for Business
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Table of Contents
INTRODUCTION................................................................................................................................ 1 Task 1 Essential elements of a valid contract.................................................................. 1 1.1...................................................................................................................................................... 1 1.2...................................................................................................................................................... 2 1.3...................................................................................................................................................... 3 Task 2 Elements of a contract in business situation..................................................... 3 2.1...................................................................................................................................................... 3 2.2...................................................................................................................................................... 3 2.3...................................................................................................................................................... 4 Task 3 Principles of liability in negligence in business activities.............................4 3.1...................................................................................................................................................... 4 3.2...................................................................................................................................................... 4 3.3...................................................................................................................................................... 5 Task 4 principles of liability in negligence in business situations........................... 5 4.1...................................................................................................................................................... 5 4.2...................................................................................................................................................... 5 CONCLUSION.....................................................................................................................................6 REFRENCES........................................................................................................................................7
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INTRODUCTION The English Legal System is the law of Wales and England and it was separately developed from other parts of the UK.
The essence of the system
is that it was formulated by judges sitting in courts and applying legal precedent to the facts before tem. This legal system has continuously developed since before the Norman Conquest of 1066. In the present competitive
environment
people
are
entering
into
the
contract
for
accomplishment of work effectively (Bledose, 2010). The contract can only made with the approval of both the parties. The law involved in the British Legal System is criminal law and civil law. The present report is prepared to analyze the essentials elements required for formulation of contract. Here in the essentials about the civil law and tort law is discussed. This report includes impact of different types of contracts, contrast liability in tort with contractual liability and the nature of liability in negligence is discussed. It includes the provisions of the contract act that are involved in the English Legal System (Dunham, 2011). Here in the report discussion has been made on different situations and solutions have been provided for them.
Task 1 Essential elements of a valid contract 1.1 Contract is an agreement between two or more parties that have lawful object. It is the deliberate, voluntary and legally binding agreement and it is usually written. Contract law is varies from one jurisdiction to another and involve differences in civil law compared to common law. The essential elements of a valid contract are as follows: The object of contract should be lawful. The consideration of contract must be legal. Parties who are entering into the contract should give free consent. Get rid off tedious business decision making essay writing and get help from the expert of Instant Essay Writing. We provide best essay writing solution for college students to make their essay writing task a smooth one.
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It must have possibility of performance (Bagley and Dauchy, 2011). It must be written. Intention of contract should be to develop legal relationship. Contract should expressly declare void. Contract should involve offer and acceptance
Possibility
of
performance:
Contract
should
have
possibility
of
performance and if it is unable to perform then it cannot be imposed by law.
Lawful Object: The object of contract must be valid otherwise it cannot be enforced by law.
Capacity of parties: The parties entering into the contract should be capable to perform the contract as they required to have sound mind and should be the age of majority (Elements of Law of Contracts, 2012).
Free consent: The parties entering into the contract must agree on the terms and conditions without any threat. The consent is said to be free when it is not caused by undue influence, mistake and fraud.
Lawful consideration: The consideration given by one party to another needs to be legal. It is the reimbursed which is provided by one contracting party to another (Miller, 2011).
Not declared to be void or illegal: It must be expressly declared void by any law in the nation it should be valid.
1.2 Contract is of two types i.e. face to face and distance contract. In face to face contract both parties are present at the time of contract. It gives importance to physical presence. In it terms and conditions of contract are established at the time of contract. On the other hand in distance contract the Get rid off tedious business decision making essay writing and get help from the expert of Instant Essay Writing. We provide best essay writing solution for college students to make their essay writing task a smooth one.
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parties are not present while formation of agreement. It is created through mailing or telephonic communication between parties. The contract between two or more parties must involve all the essential elements of the contract. All the elements of contract must be comprised in it and in the case of face to face to contract all essentials were included at the time of contract by both the parties and if these elements not included in then their agreement cannot be converted into contract (Burton, 2008). In the case of distance contract both the parties are required to disclose all the facts specifically so that valid contract can be made. Is response of other party is not attained in reasonable time then offer can be revoked. 1.3 In the given case study Sam display the books on the store for sale so he offer the invitation for sale of book but the book was already sold by him to another person so he was unable to sale the book to another party. There was an offer exist as the Sam made an invitation but he was not able to compel Bob to accept the offer. Sam was not competent to enter into the contract as he already sold the book. In the given situation the essential elements of the contract were absent so now it depends on Sam to reject of accept the offer.
Task 2 Elements of a contract in business situation 2.1 In the given case study, there is hire purchase agreement among the parties was replicate. In these types of agreement one party provide the products to another on preset consideration and for fixed time period. There are two types of terms is exist i.e. implied and express. The express conditions are those which are fixed and clearly defined by the contract. On the other hand implied terms are those in which conditions are understood to be obvious (Adams, 2010). In it both the parties agreed on terms and ownership of goods does not transfer in hire purchase contract. In these types of contract if any Get rid off tedious business decision making essay writing and get help from the expert of Instant Essay Writing. We provide best essay writing solution for college students to make their essay writing task a smooth one.
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party is damaged because of the consequences of contract then they have the right to claim for damages from another one. In the case of breach of contract damages are also beard by liable party. In hire purchase the party who is injured because of acts of another party of consequences of another then damaged party have the right to claim for damages beard by him. 2.2 The terms and condition are varied from one to another and it highly affects the contract. In hire purchase contract if the terms are express then the party cannot be liable for any kind of damages happened on the product or equipment taken on hire purchase. If there is discrepancy in the implied and express terms then the control of express terms will overcome as all parties agreed on it. If the express terms in the contract are absent then the liable party has the responsibility to pay damages which are beard by the injured party (Clarkson, 2010). The party who beard the losses due to consequences of contract has the right to ask for damages from liable party. 2.3 Here in the given situation the council written in the backside of tickets that they have no responsibility if any damages happened on the chairs provided by them. There is the express terms as council had not taken any accountability. This will be considered as exclusion clause which eradicates liability of party in situation of non-satisfactory performance. Barry entered into the contract when he paid the amount for tickets to the council. The express terms (Exclusion clause) were written on the backside of tickets so he had given his consent for the contract. So, if any damages happened to the chairs they had no responsibility for that as they declared it prior to the contract. Barry have no rights to ask for any damages to local council as they mentioned it in express terms that they have no responsibility to any injury for chairs. If there was severe personal injury or death injury then defendant cannot exclude their liability. Get rid off tedious business decision making essay writing and get help from the expert of Instant Essay Writing. We provide best essay writing solution for college students to make their essay writing task a smooth one.
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Task 3 Principles of liability in negligence in business activities 3.1 The contractual liability arises when there is either underperformance or non-performance of any terms in contract. Tort liability arises through the negligence of the party whether deliberately or innocently.
In the case of tort
the assessment of liability is done by court according to the situation to determine damages to the party (Beatty and Samuelson, 2012). In the situation of contractual liability the damages are decided on the basis of terms of contract. In the case of tort relationship is imposed by the law and on other hand in contractual liability parties enter into contractual relationship at their own will. 3.2 The duty of pertains has lawfully obligation to them and it is performed by one party. It is legally obliged on parties so that they can act practically. The duty of care takes place when there is lawful relation exists among parties of contract. The breach of duty is called when one of the parties of contract not fulfills the terms or conditions and if there is non-satisfactory of ethical, legal and moral obligations. At the time of contract if one party is not able to take effective care then the failure party is party is accountable for carelessness which is known as the infringement of the duty to perform (Dabydeen, 2004). The remoteness is referred as the responsibility of defaulting party for their mistakes. If any damages occurred to the property then the occupier is responsible for that, the real owner has no accountability for any damages. The defaulting party has the liability to bear all the damages which have taken place because of their actions. 3.3 In the given case study, with the help of advertisement an offer has made by Adam (it will be considered as unilateral offer because it is made to Get rid off tedious business decision making essay writing and get help from the expert of Instant Essay Writing. We provide best essay writing solution for college students to make their essay writing task a smooth one.
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general public and everyone is entitled to accept) and the Brain had carried out the performance in response to the advertisement. There is contractual relationship between parties. The second advert was also given by Adam for revocation of initial offer, by which Brian was not familiar. This situation can be linked to the case precedent Carlill v. Carbolic Smoke Ball Co. [1893] Q.B. 256 (C.A.). In this defendant had declared award in advert for particular performance but further they denied for the same through another advert. In this case court held that defendant will be liable to pay the amount to claimant. Similarly in this situation Brian is eligible to receive the award announced by Adam.
Thus Adam is liable to complete his duty by providing award as per
their agreement.
Task 4 principles of liability in negligence in business situations 4.1 When one party is not at the real fault then the defaulting party can avoid any liability with the help of certain defenses that are given by government. For tort of negligence’s there are certain defenses in different business situation according to Occupier’s Liability Act which are as follows:
Vicarious Liability: If one party has the legal relation with another party who is in default then penalty is obligatory on that party in this type of situation. In this kind of condition the employer employee relationship and the child parent’s relationship is involved (Schaffer, 2009). In this type of situation the management will be in dominating position and have the accountability for the fault of their employees.
Exclusion of liability: In these types of conditions the act allows the tenant to remove liability from him. In the case of harm or death the liability from the occupier cannot be eliminated. Get rid off tedious business decision making essay writing and get help from the expert of Instant Essay Writing. We provide best essay writing solution for college students to make their essay writing task a smooth one.
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Volenti-non Fit injuria: When a person willingly takes the risk then the responsibility of care is not exist as the person himself takes the risk and there is no role of care in damage of another party. 4.2 Statement A: This statement also holds the truth as the management is not responsible for the actions as the Roger did had not use the safety gloves and neglects it. So, the employer was not responsible for any damages to the employees. Statement B: This statement is also true as management have the responsibility to take proper care and no physical harm or violence in the firm take place. So Neil is accountable for the actions of their followers (Twomey, 2007). Statement C: According to the Occupier’s Liability act hotel is responsible for the safety and protection of their guest. So, Poshplace is accountable for the acts of their staff so this statement is also true. Statement D: The hotel had given the clear warring but the Mark had ignored it and had taken risk. So according to Act of Volenti-non Fit injuria managmenet is not responsible for acts of Mark Statement E: Mark had neglects the wrring given by hotel management so they are not accountable for the act which is performed by Mark. Statement F: The Mark took risk in spite of the warning so the hotel was not responsible for their actions. Statement G: Poshplace can be held liable for the robbery as it was made by employees of hotel. So, as per the act of vicarious liability hotel have responsibility for the actions of their workers.
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CONCLUSION From the above report it can be articulated that all the essentials elements of a valid contract is needed to involved in the contract. Parties entering into the contract are required to take proper care and should follow all the essentials of valid contract. People are required to follow all the legal obligations otherwise it will result in damage or harm to them.
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REFRENCES ● Adams, A., 2010. Law For Business Students. 6th ed. Pearson Education Lt. ● Bagley, C. E., and Dauchy, C. R., 2011. Business Law. Cengage.
The Entrepreneur’s Guide to
● Beatty, J. F. and Samuelson, S. S., 2012. Business Law and legal Environment. Cengage. ● Bledose, A., 2010. Business law for Business Men. BiblioBazaar. ● Burton, S.J.,2008. Elements of contract interpretation. Oxford University Press. ● Clarkson, K.W., 2010. Business law. Text and Cases: Legal. Cengage learning. ● Dabydeen, S., 2004. Legal and regulatory framework. IUniverse. ● Dunham, B., 2011. Introduction to Law. Cengage. ● Miller, R., 2011. Modern Principles of Business Law. Cengage. ● Schaffer, R., 2009. International Business Law and its Environment. Cengage. ● Twomey, D. P., 2007. Anderson’s Business Law and the Legal Environment. Cengage
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