Premium Essay

Business and Law

In: Business and Management

Submitted By HASHIMDHARI
Words 4560
Pages 19
LAWS20028 BUSINESS LAW TERM 1, 2013 ASSESSMENT

Name:

ADNAN SAIFUDDIN

Student Id#:

S0233208

Question 1:

a) In the case of Steggles Limited v Yarrabee Chicken Company Pty Ltd,[1] there was significant disagreement over the interpretation of a particular clause that was set out in the contract between the processor, Steggles and the Grower, Yarrabee. Specifically, clause 7.4(a) of the contract which had to do with “extra shed capacity” stated that growers who had entered into a contract with Steggles were entitled to receive any extra shed capacity first and in preference to any third parties during the duration of their contract. From the perspective of Steggles who owned a processing plant in Beresfield in Hunter Valley, this clause meant that the company would provide growers with any additional shed capacity (in terms of the size and number of sheds) should they have a need for it during the length of their contract, and would do so prior to providing any additional shed capacity to third party growers. However, Yarrabee understood this clause very differently and took it to mean that growers were also entitled to be allocated more chickens that needed rearing on a preferential basis by Steggles. Therefore, the main issue in this case was over how this particular clause was interpreted by both parties and what actual purpose this clause sought to serve.

b) On appeal, the judges determined that the proper method in understanding a particular clause in a contract was to construe (or interpret) it with reference to the principle of objectivity, as determined in the cases of Pacific Carriers Ltd v BNP Paribas[2] and Toll (FGCT) Pty Ltd v Alphapharm Pty Ltd.[3] In saying that, this means that a contract is to be interpreted by the Court not on the basis of the subjective understandings or beliefs of...

Similar Documents

Premium Essay

Business Law - Law of Contracts

...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......

Words: 991 - Pages: 4

Premium Essay

Law/531 Business Law

...Week 3 Individual Assignment Luis A. Campudoni LAW/531 Business Law Prof. Marlene Wilhite February 19, 2010 Legal Issues in Contract Fulfillment Agreements are a hot and critical topic in business agreements today. How do entities engaging in business contracts conclude in a consensus of the clauses, terms, and expectations of the project seem to fail at times due to expected and / or unexpected factors. This seems to be the case of the business contract between Span Systems and Citizen-Schwarz AG (C-S) where performance and deadline problems have emerged and is presenting a risk to the project status. Due to these factors C-S is now considering closing the contract with Span Systems terminating the project as it is. This request presents certain legal aspects that need to be considered before proceeding to minimize losses from both parties. In order to determine the proper path to follow I have provided a summarized analysis on the identification of problems, actions to avoid risks, legal principles in favor, and the recommendation of a final solution below. Situation: a) C-S is requesting Span Systems to conclude operations immediately due to poor quality on delivered project results so far and because Span Systems has not been able to stay on agreed schedule. b) Span Systems states that the approval and review process from C-S for the project was to extent because of an internal change in the project management structure from C-S’s part. As a result of......

Words: 1512 - Pages: 7

Premium Essay

Business Law

...Role and Function of Law Ron Metz January 13, 2013 LAW/421 Tom Poulton Role and Function of Law The definition of law is “a body of rules of action or conduct prescribed by controlling authority, and having a legal binding force (Melvin, 2011, pg. 4).” Laws create duties, obligations and rights that reflect the accepted views of any given society. The most obvious purpose of laws is to provide order that defines crimes and levies punishment for violation of the crimes. It also helps to resolves disputes by providing a basis for deciding the legal interest and rights to every party involved in the dispute. Modern law in the United States regulate businesses and individuals in a combination of constitutional law, statutory law, common law and administrative law on a federal, state, or local level. (Melvin, 2011) The function and role of law in business can help with the planning process and gaining access to opportunities. Laws help the business gain access to opportunities that may help avoid law suits and gain the competitive advantage through advertisement and strategies. Laws are also put in place to help protect business secrets. (Melvin, 2011) The function and role of law for individuals is to protect the property of individuals and to keep order among individuals. These laws are in the form of civil laws, criminal laws, substantive laws and procedural laws. Civil law is law to protect individuals and businesses against any loss in the result from another’s......

Words: 919 - Pages: 4

Free Essay

Business Law

...Positive law as the ethic of our time. Business Horizons | September 01, 1990 | Fisher, Bruce D. | Copyright Positive Law as the Ethic of Our Time The number of businesspersons, political leaders, TV ministers, sports personalities, educators, and other role models for American society who in recent years have been fined, imprisoned, left private or public office in disgrace, or been denied Olympic medals starlets many. Others not only are alarmed by the rash of apparently unethical conduct by society's leaders, but also wonder if there is some character flaw in the present generation of achievers that dooms their ultimate success - and threatens the commitment of the average member of society to the ethics of work and integrity. It is not unusual to read of self-studies by leading business firms that question the propriety of basic organizational values and ask hard questions about the institution. Certainly it makes institutions such as businesses and governments appear ridiculous to line personnel, who are micro-managed to death by institutional guidelines covering the minutes aspects of their work yet see leaders who appear to violate laws governing major phases of their business. This article advances the notion that the "law on the books" - positive law - has become the basic ethic of our business and social culture today. That is, people have come to accept the notion that if they have followed the law on the books in a democratic society, that is probably......

Words: 9312 - Pages: 38

Free Essay

Business Law

...Nature of Law | Definition of Law “a rule of civil conduct prescribed by the supreme power in a state, commanding what is right, and prohibiting what is wrong’ (Blackstone)Functions of Law to maintain stability in the social, political, and economic system through dispute resolution, protection of property, and the preservation of the state, while simultaneously permitting ordered change. Legal Sanctions are means by which the law enforces the decisions of the courts.Law and Morals are different but overlapping; law provides sanctions, while morals do not.Law and Justice are separate and distinct concepts; justice is the fair, equitable, and impartial treatment of competing interests with due regard for the common good. | Classification of Law | Substantive and Procedural Law * Substantive Law: Law creating rights and duties. * Procedural Law: Rules for enforcing substantive law.Public and Private Law * Public Law dealing with the relationship between government and individuals. * Private Law governing the relationships among individuals and legal entities.Civil and Criminal Law * Civil Law dealing with rights and duties the violation of which constitutes a wrong against an individual or other legal entity. * Criminal Law establishing duties, which, if violated, constitute a wrong against the entire community. | Source of Law | Constitutional Law fundamental law of a government establishing its powers and limitations.Judical Law * Common Law body of law......

Words: 833 - Pages: 4

Premium Essay

Business Law

...suppliers, and customers that it cares about them.  employees, Suppliers, and Customers Recommendation for Treatment of Employees: After several months of observing ABC Production Company and its business practices, I recommend that the company establish company policies that address Equality and fair treatment of employees. The company should make a commitment to follow State and Federal Laws and Regulations. I further recommend that ABC Company establishes policies and procedures surrounding the state and federal law. The company should keep records of job performance and disciplinary actions, provide management and employees with a handbook would ensure all staff understands particular company policy and procedures. Keep employees informed of all policy changes and updates. Establish an employee concerns committee that will address the concerns of their employees. Recommendation for Treatment of Suppliers: The company should bid its business to multiple vendors making know to each supplier their standards. Present each supplier a copy of its compliance guidelines. The company must understand their relationship with the vendor could determine the success of their company; therefore, must develop a working relationship the supplier. The company at this point in the business process is also acting as a customer. To keep the relationship between the company and the supplier solvent, it is important that ABC Company does the following provide the supplier with a......

Words: 469 - Pages: 2

Premium Essay

Business Law

...certain issue, the UCC governs; when the UCC is silent, the common law governs. Sales contracts are not governed exclusively by Article 2 of the UCC but are also governed by general contract law whenever it is relevant and has not been modified by the UCC. A sales contract is a contract for the sale of goods under which the ownership of goods is transferred from a seller to a buyer for a price. Article 2 deals with sale of goods; it does not deal with real property such as real estate, services, or intangible property such as stocks and bonds. If a dispute involves real estate or services, the common law applies. In some situations, the rules under the UCC can vary quite a bit, depending on whether the buyer or the seller is a merchant. A sale is the passing of title to property from the seller to the buyer for a price. To be characterized as a good, the item of property must be tangible, and it must be moveable. Tangible property has physical existence; it can be touched or seen. Intangible property is such as corporate stocks and bonds, patents and copyrights, and ordinary contract rights, has only conceptual existence and thus does not come under Article 2. A moveable item can be carried from place to place. Tangible property is property that has physical existence and can be distinguished by the senses of touch and sight. A car is a tangible property; a patent right is intangible property. (Miller, Jentz. Business Law Today: Comprehensive. 9. VitalSource Bookshelf. South......

Words: 1342 - Pages: 6

Premium Essay

Law Business

...Institutional Affiliation: Date: In the current century, it is evident that numerous changes have been observed in the law firm business. The traditional law firm practice model has as a result been passed by time and firms or any person attempting this model have always found themselves struggling in this dynamic market. The traditional law practice has also been marked by constant consternation as the law firm does not produce good results. The incorporation of the new law firm practice model is evidenced by the rising number of law firms over the years. This means that to start a firm in the 21st century, then you definitely have to use the business models applicable in the current century and not the ones that were used in the 19th century. With these, it follows that successful lawyers are those who have changed their modus operandi and embraced the latest legal practices, something that my friends and I would use to establish a successful law firm. The turning point in the establishment of the modern law practices came about as a result of the high court decision by the U.S Supreme Court (Bates & O'steen V. State Bar of Arizona, 1977) in (Munneke, 2012, p. 4). It is worthwhile noting that the success in the Law firm requires a proper identification of a legal niche to practice in. According to Munneke (2012), the competition that the law practice faces from other professionals necessitates the careful niche selection to make a firm successful......

Words: 4650 - Pages: 19

Premium Essay

Business Law

...------------------------------------------------- Law and Legal Reasoning ------------------------------------------------- N.B.: TYPE indicates that a question is new, modified, or unchanged, as follows. N A question new to this edition of the Test Bank. + A question modified from the previous edition of the Test Bank. = A question included in the previous edition of the Test Bank. | TRUE/FALSE QUESTIONS B1. Laws and government regulations affect almost all business activities. ANSWER: T PAGE: 2 TYPE: N BUSPROG: Analytic AICPA: BB-Legal B2. The U.S. Constitution is the basis of all law in the United States. ANSWER: T PAGE: 4 TYPE: + BUSPROG: Analytic AICPA: BB-Legal B3. The U.S. Constitution reserves to the federal government all powers not granted to the states. ANSWER: F PAGE: 4 TYPE: N BUSPROG: Analytic AICPA: BB-Critical Thinking B4. The Uniform Commercial Code has been adopted in all fifty states. ANSWER: T PAGE: 5 TYPE: + BUSPROG: Reflective AICPA: BB-Critical Thinking B5. Federal agency regulations take precedence over conflicting state agency regulations. ANSWER: T PAGE: 5 TYPE: + BUSPROG: Analytic AICPA: BB-Legal B6. Common......

Words: 2244 - Pages: 9

Premium Essay

Business Law

...National Transport Corp. Applying the relevant rule of law to the facts of the case requires Karen to find previously decided cases that, in relation to the case under consideration, are |  as similar as possible. | | Much of American law is based on | | |  the English legal system | | The best definition of a precedent is | | |  a court decision that furnishes an example or authority for deciding subsequent cases involving identical or similar facts. | | As a judge, Bonnie applies common law rules. These rules develop from | | |  court decisions. | | The best definition of a remedy is | | |  a relief given to innocent parties to enforce a right or to prevent or compensate for a wrong. | | Miley and Otis are involved in a case. The best definition of a case is | | |  a judicial proceeding for the resolution of a dispute. | | If a provision in the California state constitution conflicts with a provision in the U.S. Constitution |  the U.S. Constitution takes precedence. | | Diana is a state court judge. In her court, as in most state courts, she may grant in a particular case | | |  equitable and legal remedies. | | Civil law is | | |  the branch of law dealing with the definition and enforcement of all private or public rights. | | | In studying the legal environment of business, Professor Dooley's students also review ethics in a business context. Ethics includes the study of what......

Words: 481 - Pages: 2

Premium Essay

Business Law

...have Miriam, who is a wealthy investor wanting to invest in their dream. Miriam will provide the capital with minimal participation in the business, but is wanting to profit from the business. Business Entity, Control, Taxation, Liability Since there are three individuals wanting to gain and contribute to this sports bar and restaurant the best suitable entity would be as a general partnership. A general partnership is recognized as being one in the same as its owners. Lou and Jose will be constituted as the general partnership, whereas Miriam would be known as partnership by estoppel. An estoppel is classified as one who is not permitted to deny the partnership. Control in a general partnership is based on the agreement by all partners. A general partnership only has one level of taxation, and is considered a tax-reporting entity and not a tax-paying entity. The profits that will be acquired from the sports bar and restaurant, each partner will be granted their share. Since each individual gets their amount as agreed upon, it goes into an individual account meaning that each need to report their earnings on tax forms individually. The liability that exists in a general partnership include unlimited personal liability. Each partner in a general partnership is liable for maintaining the partnership’s obligations. In the event of a law suit, joint partnership is sued as a group, and several liability individual partners are sued. There are three main rules that apply......

Words: 835 - Pages: 4

Premium Essay

Business Laws

...Business Entities, Laws, and Regulations Trudy E. Hartis BUS/415 November 20, 2011 Mark Rorem Business Entities, Laws, and Regulations A business assumes limitations and liabilities when building the structure of the organization. There are several types of business entities, hiring an accountant or attorney can help you decide what type of business structure best fits the need of the organization or business that you want to establish. Sole proprietorship, is a form of business with the least amount of legal formalities and the owner assumes sole responsibility for finances and operations of the business. “C” Corporation, are separate entity from its owners. Providing shareholders protection from liability and debts. “S” Corporation, similar to a corporation and is exempt from federal income tax. General Partnership, require an agreement between two or more individuals or entities to own and operate a business. Limited Partnership, form of business that offers some of the partner’s limited liability. Limited partners contribute capital and have limited liability but assume not active role in the daily business affairs. Limited Liability Partnership, LLP’s is organized to protect individual partners form personal liability for the negligent acts of others partners or employees not under their direct control. Limited Liability Company, LLC is a combination of the corporate and partnership forms of business (Types of Business Entities,......

Words: 1121 - Pages: 5

Premium Essay

Business Law

...1. Introduction 1.1 definition of Law: [MASS NOUN] (Often the law) The system of rules which a particular country or community recognizes as regulating the actions of its members and which it may enforce by the imposition of penalties: The purpose of this report is to evaluate the purpose of Alternative Dispute Resolution (ADR) paying particular reference to the serves that Acas provides. The extent of its success as a way of resolving disputes outside of formal judicial process. Furthermore this report will look into why European Law has more power over United Kingdom’s domestic law. And lastly the two employment rules a new business in the UK is required to conform too. This will be followed with a conclusion. 1. Purpose of Alternative Dispute Resolution (ADR) The work environment is one tough place to be as it is very difficult to avoid any type of conflict that can arise between work colleagues or with the employer and employee. For this reason it is valuable for an organisation to have a resolution of work place conflict, safeguarding this is very effective for employees and employers as well as members of the business shareholders Teague et al (2012). The main issues that are faced in the work place are usually disputes occurring in work groups or sometimes involving people in work groups these are usually to the way someone is doing their job, personality clash the difference in age, race could also be a cause for work conflict. Teague et al (2012). The......

Words: 2649 - Pages: 11

Free Essay

Business Law

...Common Law, Statutory Law and Administrative Law Common Law Judge-Made Law: Sum total of all cases decided by appellate courts. 200 yrs ago almost all laws were common laws. Today most laws are statutory. Disadvantages: Each state has a body of law different from other states (problems for businesses) Stare Decisis Stare Decisis is the essence of common law. It means “Let the decision stand”. Law by precedent (by state). So there should be a precedent in that. Disadvantages: This is not easy. How to balance between predictability and flexibility? Because common law is trying to accommodate both above goals. The more flexibility, the less predictability. Bystander cases Bystander cases - where common law says no duty to assist someone in peril unless you created the danger. But common law changes slightly over time. For example bystander law changed in cases where bystander is an employer or a doctor or even a public place where one can make phone calls. Statutory Law Most new law is statutory law. It affects each of us in business, professional and personal lives. This is more a people-made law or a law made as a result of people electing local legislators who pass state statutes; people vote for senators and representatives who create federal statutes. Example: Criminal Law. Bills Bill is a proposed statute (proposed either by House of Representatives or the Senate). A bill must be voted on passed by both houses. Once both houses pass the bill they send it to......

Words: 615 - Pages: 3

Premium Essay

Business Law

...CHAPTER 1 – KNOWLEDGE OF LAW AS A BUSINESS ASSET • Business law – a set of established rules governing commercial relationships, including enforcement of rights o Defines general rules of commerce o Protects business ideas and tangible forms of property o Provides mechanisms allowing selection of desired participation and exposure to risk in business ventures o Ensure losses are borne by those responsible o Facilitates planning by ensuring compliance with commitments • Law – set of rules and principles guiding conduct in society; provides protection o Rules have penalties to encourage compliance o Those who break the law are accountable for misconduct o Laws facilitate personal and professional interactions • Breach of contract – failure to comply with contractual promise • Age of majority – age at which a person becomes an adult for legal purposes • Contract law – rules that make agreements binding; facilitate planning and enforcement of expectations between two parties o Functions to prevent disputes and facilitate relationships o Important contribution: creating certainty in business relationships • Litigation – process when one person sues another • Disputes should try and be resolved before being taken to court o Try and negotiation resolution o Mediation – parties try reaching resolution with help of a neutral party o Arbitration – Neutral party makes a (binding) decision to resolve dispute o Liability – legal responsibility for event/loss that......

Words: 280 - Pages: 2