Business And Company Law Essay

2875 words - 12 pages

Question 1
Roland-Bernie

The issue in this case is whether there is a legally binding contract between Roland and Bernie. The things that needs to be considered is whether there is an agreement between Roland and Bernie. If there is an offer and acceptance, then there is an existence of agreement. According to Section 2(a) of the Contract Act 1950, offer can be defines as when one person implies his/her willingness to another in order to acquire their consent. (Abdullah et al, 2011) The person who make the offer is known as ‘offeror’ or ‘promisor’. (Lee and Detta, 2009) An offer can be made in the method of orally, by conduct, writing or by the mixture of these forms. An offer must require ...view middle of the document...

The shop owner was charged with ‘offering for sale’ the dangerous weapons without a license. The court was held that the display of the flick knife was only an invitation to treat and not a contractual offer. The shop owner was not guilty as he had not offered to sell the knife. (Mohammad Naqib and Abdul Jalil, 2011)

The principal is based on the case of Pharmaceutical Society of Great Britain v Boots Cash Chemists (Southern) Ltd [1953] 1 QB 401; [1952] 2 All ER 456. In this case, the defendant who operate a self-service chemist shop, was charged under the Pharmacy Poisons Act 1993 (UK). The act forbidden the sale of certain poisons unless the sale controlled by a registered pharmacist. The issue of this case is whether there was a sale when the customers choose items they wished to buy on display, placed them in the basket and took them to the cash counter. The court held that the display of goods with price tag was an invitation to treat. When the customers took the item to the cashier’s desk, then the proposal took place. The cashier can either accept or reject the proposal. (Yusof, 2007)

Obviously, Bernie is the proposer in this case. The other issue is whether Roland had consented to the offer made by Bernie. According to section 2(b), acceptance can be defined as when the person to whom an offer is made implies his consent to that, the offer come into acceptance stage. (Dass, 2005) From the facts, Roland obviously did not accept Bernie’s offer to purchase at the price marked RM10 000. On the other hand, Roland notified her that the actual price of the vehicle was RM30 000 which are actually a counter proposal and there is no acceptance as in the case of Hyde v Wrench (1840) Beav. 334. Hence, Roland did not making acceptance and no agreement beings and accordingly no legally binding contract between Roland and Bernie. As a conclusion, Bernie cannot bring any legal actions to Roland.

Roland-Kathy
In this question, Roland was making an invitation to treat when he displayed the price marked on the car vehicle. Actually, he is making the invitation for customers to form an offer to him. In this case, Kathy was making an offer as she implies her willingness to purchase the car at the price marked with the desire that Roland will deal the transaction at this price. However, Kathy was requested to give a specified period to arrange for finance. This problem is concerned with the situations in which offers can be revoked. In particular, it raises questions about the extent to which a promise to keep an offer for a particular period is binding.
Based on Section 26 of the Contract Act 1950, an agreement without consideration is invalid. (Vohrah and Wu, 1999) According to section 2(d), consideration can be defined as an offeree promises to do or to refrain from doing something, such act or abstinence or promise, at the desire of offeror. et al, 2011) The basic rule mentions that an offeror who promised to hold an proposal open for a...

Find Another Essay On Business and Company Law

Comercial and Business Law Questions Essay

3604 words - 15 pages Question (1a) Directors’ duties are to act within powers, promote success of company and avoid conflict of interest. Tracey had breached her contract as a director of the business. Under Companies Act (CA) 2006, this act places directors’ duties on a statutory basis although there are common law rules we can also refer to and further guidance can be gained via the case law. Directors’ duties are enforceable in the same way as any other

The Huawei Company and International Business

2141 words - 9 pages Introduction Multinational enterprise (MNE) is “a company that is headquartered in one country but has operations in one or more other countries” (Rugman and Collinson 2012, p.38) that has at least one office in different countries but centralised home office. These offices coordinate global management in the context of international business. MNEs have increasingly essential influence on the development of the global economy and coordinate

Business Law and Repetitive Strain Injury

2444 words - 10 pages Statistics, Annual Report 2005 (CM6799) (London, the Stationery Office, 2006) Claims An employee who is injured at work can make a claim under civil law, alleging the employer has breached its duty of care to provide a safe work place. The employer is legally responsible for the injury, in terms of both tort of negligence and/or breach of statutory duty. RSI claims are seemingly rising and reported to have cost business employers £300

Business Law - Contract Dispute and Negotiation

889 words - 4 pages Sallie Mae profitability gave the Flowers-led group pause for concern about the agreed-upon price; citing the College Cost Reduction and Access Act signed into law on Thursday by President Bush, would adversely affect the bottom-line of the newly acquired company, the Flowers group stated that this was grounds for renegotiation of the deal. Sallie Mae threatened to go to court to have the deal enforced. Sallie Mae stipulates that even if the

Australian Law and Business - case study

2464 words - 10 pages Mungallala Art Gallery in Toowoomba. Boris then agreed to enter into a contract with Fred’s company for painting his portrait at a price of $20,000 informally at a barbeque party.One day when Boris checking on the progress of the portrait, he found that Fred’s work was countered to his request. He immediately demanded Fred to stop working on the painting and intended to sue Fred and his company under the contract.Legal position under the Law

Every possible forms of business with advantages and disadvantages - Business Law - Assignment

550 words - 3 pages name or business name (art. 17-20 LPLE) -At least one person (founder) -constitutional status and certificate - initial declaration for legal person (REQ) -Federal or provincial -Private or public -Tax numbers -permits -contract -personal name or business name (art. 17-20 LPLE) -at least 12 founders - Initial declaration (REQ) -constitution status -request to MICT organisation -formalities -accounting -annual declaration at REQ -formalities

Ford Motor Company Code of Business Conduct and Ethics for members of the Board of Directors

657 words - 3 pages The Board of Directors for The Ford Motor Company has implemented an additional Code of Business Conduct and Ethics for their directors. It was created in order to help them access ethical risk factors, provide guidance and support when dealing with ethical issues, and uphold the integrity of the company (Ford Motor Company pg. 1). With these guiding principles set forth, all directors must comply and adhere to the codes, as well as promptly

Case study: electronic commerce and business - SHYT (china company in shanghai)

2562 words - 10 pages expand its market to national and international markets. Within minimal capital outlay, a travel company can easily and quickly locate the best travel suppliers, more customers, and the most suitable business partners worldwide so that solve the problems that it is difficult to find resource and customers and get the information feedback from customers. Meanwhile through internet, travel service enterprise can expand market share, develop brand

Analyzing business conditions in Spain and SWOT analysis of a Singapore company

1978 words - 8 pages IntroductionCompany Profile: Eubiq Pte LtdDuring the year 2000, Eubiq has successfully invented and patented a power outlet system that will revolutionize the conventional power outlet system that is being employed by many currently. Their invention is a track-based, ultra flexible power outlet system which can be widely used in residential, commercial and industrial sectors (Eubiq Pte Ltd: Company profile 2007) Eubiq recently won a Bronze award

Business Law and Ethics Can the Issue of Profitability and Ethics Be Balanced Against Each Other

918 words - 4 pages BUSINESS LAW AND ETHICS.Can the issue of profitability and ethics be balanced against each other:Businesses in today's world is a major part of everyday life some corporate are even larger than many economies of the world thus the businesses have a responsibility towards the very society in which they carry out their operations. This is known as corporate social responsibility according to (Kotler year missing)"corporate social responsibility is

P7 and M3 of BTEC Business Lvl3 Yr2 (Law module ) - Btec Buisness - Essay

2910 words - 12 pages damages that they may face throughout the contract. Furthermore, another advantage of liquidated damages would be both Jack and the supplier could settle any dispute regarding losses or damages without having to bring it to a court of law. For example, if Jack were to cancel the contract he may offer to pay for the kitchen even though he doesn’t want it, so that the business can regain as much of their losses as possible. Disadvantages of Liquidated

Similar Essays

Business And Company Ownerships Essay

1091 words - 4 pages The key differences that a lot of people notice among a sole proprietorship, a partnership, and a corporation is different things. A plan of action is needed to fulfill the goal of being your own boss and running a successful business. Success lies in the approach you choose to take. Once, you, the entrepreneur have determined the goods or services your new company will offer and whether there is a market for the product, a decision must be made

The Extent To Which The Rise To Dominance Of Company Law In The Nineteenth And Early Twentieth Centuries Was The Inevitable Consequence Of Technologi

3414 words - 14 pages The Extent to which the Rise to Dominance of Company Law in the Nineteenth and Early Twentieth Centuries was the Inevitable Consequence of Technological Advance During this period of history, Britain experienced what came to be known as the ‘second industrial revolution’ – a period of major industrialization with changes to British industry as a whole, and further to this, a change in the idea of the ‘company’ or firm. Hand

Business And Law Essay

1611 words - 6 pages Author' Last Name PAGE 1 [The Author's Name][The Professor's name][The Course Title][Date]Business Law and Product LiabilityProduct liability law has evolved from two bodies of law: contracts and torts. Contract law provides the rules for ascertaining the legal responsibilities of parties to formal agreements, including contracts for the sale of goods. Tort law provides the rules for determining whether a person has acted negligently towards

Agency Law And Business Entities Essay

2434 words - 10 pages for the LLC's debts, the company would be more likely to be approved for financing. Members of an LLC often share management duties of the company and may decide to appoint outside entities to manage the day-to-day operations of the company. Members of an LLC are not held responsible for the actions of the other members making the formation of an LLC valuable for some types of business partnerships such as law firms or medical offices where