Contract Law and Business Disputes

This assignment delves into the complexities of contract law within a business context. It analyzes various sources, including academic journals and online resources, focusing on topics like contractual governance, negotiation strategies in disputes, and the role of control mechanisms in offshore development projects. The assignment also considers practical aspects of contract performance and dispute resolution in industries such as construction and agriculture.

Business law

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
1...................................................................................................................................................3
2...................................................................................................................................................4
TASK 2............................................................................................................................................6
3...................................................................................................................................................6
TASK 3............................................................................................................................................8
4...................................................................................................................................................8
5...................................................................................................................................................8
TASK 4............................................................................................................................................9
6...................................................................................................................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
The term law can be defined as the set of rules and regulation which are enforced by
certain governmental authority for the society. The main motive behind the implementation of
laws for the society is to safeguard and to protect the rights and the duties of an individual.
Besides rights and duties of an there are certain laws which are implemented for safeguarding the
activity conducted by business organisation(Hoffman, 2014.). It is a very well known fact that
half of the world is governed business activities that is why it is very important fro the
government of implement certain rules and regulation for the protection of the rights and duties
of business organisation. One of the example of such laws is business law which will cover all
the aspects related top business. The main motive of this project is to showcase the important
aspect of business law. The aim of the project is to create a better understanding about different
provisions of law.
TASK 1
1
A particular process to be followed by the different governmental bodies in order to make
law into force. When a law has to be made by the government, they analysis the situation and
collect the information from various sources to frame an effective law. It is very important that
whenever a law is implemented, then such establishment should benefit the person or the
organisation as well as such la shall protect the rights and duties of the particular. For extracting
the original law, there are many kind of resources such as:-
Primary legislation- in simple words, primary legislation can be explained as all those statutes
and acts which are implemented by the parliament(Einzig, 2014.). There are basically 3 branches
of parliamentary system that is the judiciary, executive and the legislation. The most powerful
branch of the parliamentary system is considered legislation which shall possess the power to
make laws as it contain the maximum right to vote for any bill which will turn into act if it get
passed. The other two bodies shall be bind to follow those statutes and the acts which are passed
by legislature(Pathak, 2013.).
Secondary Legislation- it is also known as the subordinate or the delegated legislation. When
the legislation branch delegate the power to form an act to ministers for making a secondary
legislation. These includes directive principles, regulations and decision made by the

commissions or the council. Secondary legislation is also considered as open of the important
source of law as because these are passed ministers who are delegated by the legislation.
Prerogative legislation are those powers given to certain official to create laws, rules or
regulation(Haapio,Siedel, 2013.).
Judicial Precedence- case laws are considered as one of the source of law because, in many
cases landmark judgements are passed as well as it has been seen that in certain case laws, many
new regulation get established so case laws which has been passed by the court of law are also
considered as very important source of law. They also helps in deciding various kinds of cases
foo various conditions.
EU Law-the law which has been implemented by the European Union is know as EU law. It
basically consist of the primary and secondary legislation. As European union is the mix of many
countries, so it is a possibility that many treaties shall be signed between them and those treaties
are dependent upon various kinds of agreements which will again work as the source of law.
Sources of law are really important for any country as they help in establishing the new law
which will safeguard sole traders from various kind of situations. Sources of law also give idea
to legislation or the court of law that what necessary changes could be brought(Rosias, 2012.).
2
Government plays a very important role in making the law as it is the only body which
will assist and analysis the situation and propose an ideas to the other governmental bodies so
that a particular law shall be made. When a new law has to be passed in the parliament, a
proposal came to it by government(Kolker, 2012.). The aim for establishing a proposal in the
parliamentary body is to shape and address the society for the particular problems they have
been facing related to the rights and the duties of an individual. Generally when a proposal is
introduced in the parliament then, it take a period of time to create them. For making a law a
particular process is to be followed by the government that is
first of all the government agenda regarding making a law is to find the problem which the
society is facing. Without the assessment of the problem, no proposal can be made and no idea
can be frame. Then after the problem is being identified a particular solution is being taken out
by the government and in regard to that idea several group of people are considered that whether
the idea made by the government on a particular situation is right or not(Porwal, Hewage, 2013.).
After taking opinion from a group of people, a proposal is to be made by the government and

that proposal is put in front of cabinet minister. If the majority of cabinet minister get agreed on
the proposal then such shall be made into a bill. If any kind of proposal is not approved by the
cabinet minister then such proposal will not turn into a bill. When the bill is being made then
ministers can draw their instruction towards the making of a bill. Such bill goes into the
parliament for the final voting. There are three stages which is to be followed by the parliament
in making of a bill to an Act.
First reading- in this bill title is simply read out in the chamber(Edwards, Ogilvie, 2012.). Then
the bill shall be available to all the members of parliament.
Second Reading- after the bill has been read out in front of all the MPs then a discussion shall be
conducted between all the MPs in which main principle of the bill shall be discussed. Mp may
vote at the end of the stage.
Third reading- Mps debate and vote on the bill in its final form(Subramanian, Ramanathan,
2012.). In the Lords, further may still be introduced.
When all the stages of reading are finished then a final draft of bill shall be prepared which will
be turn into act.
When any of these law get infringed, then the remedies are granted by the court of law. There is
totally different kind of court system which is being followed by UK the court shall comprises
of:-
Supreme court:- it is known as the highest authority of court. No further appeal shall be made of
the case which is heard by the supreme court and the decision which is passed by supreme court
shall be considered final
senior courts of England and wale- iot will comprise of court of appeal, High court and the
Crown court
Subordinate courts- it comprises of Magistrates, family proceedings and youth court
Country court
special courts and tribunals- it shall comprises of coroners courts, Ecclesiastical courts, Military
court and other court.
When any case is filled in the court of law then according to the facts and the situation, the court
of law shall apply different statues and common law. For an example, a case came in the court of
law related to the breach of contract then such case shall be solved with the application of
contract law(Huitsing, Veenstra, 2012.).

TASK 2
3
When a new company began to set up and start establishing its business, it is very
important to choose a particular name for the company. In order to avoid clashes between the
company and considering that no rights and the duties of an individual or the organisation get
violated, an Act has been passed by the legislation which is known as companies act. The act
consist of the provision to the registration(Guo, Parker, 2012.). As it has been seen in the
scenario that Matthew and mark are two different people who are planning to open their own
business organisation but they are little confused regarding the selection of the name for the
organisation. So according to the companies act, the things to be considered while in registering
a name for the company are:-
the name of the business organisation shall only given to the companies who are-
a private limited company that is Pvt
a limited liability company that is Ltd.
A limited partnership company that is LP
an ordinary business partnership or as a sole trader.
 The name selected shall not be the same of any registered company and the registered
company and a limited liability partnership company's name cannot be similar.
 The name which is to be selected for the registration should not contain any sensitive
word or expression until a prior permission is granted by authority
 the name shall be in connection with any governmental or local authorities
 the name selected shall not be offensive in nature.
The name which is to be selected by the owner shall be different from the existing name and
such difference shall be made with a punctuation or any special character for an example adding
plus sign in the name. The company law also provide a provision to use different name for the
registered name of the company(DA, FERREIRA, MARQUES, 2012.). This process is known as
business name. When a business name is registered then there are certain thing which are to be
included that is, it shall include Ltd if it is a limited company. Its should include LLP if it is kind
of limited liability partnership company. If it is a public company then it must include PLC in
their name. The company need to register its name as trade mark if the company wants to stop
people from trading their business name.

The business name of a company can be used at stationary and correspondence but such usage
shall be dependent upon the legal structure which may include
the name of the partner of the company.
The company name
personal name if the company deals in sole trading.
It has been seen in this case that Matthew had instructed Maria not to take order from the people
who belong to Italy as he had bad experience. Hearing to this news Maria leaves the job. In this
case it was held that a clear form of race discrimination had appeared on the part of Matthew as
he discriminated between customer which is considered as offence against right to equality. Here
Maria can bring claim against Matthew as he did an offence of direct race discrimination(Reim,
Parida, Örtqvist, 2015.).
Case Law:- weathersfield v Sargent [1999].
one more law or act is implemented by the government is consumer protection act. This act
provide a provision which will safeguard the interest of the people who are consumer of any
goods and services. Such rights come under Consumer rights Act 2015. in this case it has been
found that there is late delivery of goods and services to Carl. It has been further seen in this case
that section of 28(3) of consumer protection rights 2015 has been violated and according to
section 28(6) of consumer protection act explains about late delivery(Mason, Simmons, 2014.).
Its has been further seen in this case that the goods which were received by Carl were not
satisfactory and according to the section 9 of Consumer protection act, goods must be of
satisfactory quality. If goods do not confer to the contract under section 19(3) of consumer
protection act. So, if Carl had received any defective delivery of goods then he has the right to
reject the goods. Hence, in this case Mark and Matthew shall be held liable for the the late
delivery of goods. According to consumer protection act, the delivery of goods shall be on time
and in the manner in which they are ordered. If delivery of goods are late then the company of
delivery shall be held liable and if defective goods are delivered then also the company would be
held liable(Lumineau, Henderson, 2012.).

TASK 3
4
In this situation the legal principle is law of contract and contract is defined as legally
enforceable agreement between two parties and violation of which arises a liability on either
party to compensate other one. Further in contract there is a series of essentials that should be
followed and in this situation the essentials like offer, acceptance and consideration are in
existence but the contract in this case contains that after completion of work i.e., after converting
the old restaurant into a three bedroom detached house then Daniel will be provide by 12% of
total sales of property but before completion of work Daniel caught illness and sue to that he
was unable to further contain the work(Srivastava, Teo, 2012.). So according to the principle
Beautiful house Ltd. Is not held liable because the contract was not fully executed and due to that
the consideration should not be paid to Daniel.
Further in this case around from previous year beautiful house Ltd. Struggled a lot for profit but
unfortunately their business was fallen down. Due to this in reply to that an order of winding up
of business was released against beautiful house Ltd. On 30th June 2016 and there was also a
creditors petition filed against beautiful house Ltd. On 8th June 2016. A woman named Helena
was appointed as liquidator in this case. A liquidator is a person who solve all the current affairs
of company and manage all the issues regarding monitory affairs. The company have to pay the
dues of creditors. The current value of company is £140,000 and the total debt is of £65,000
including the expenses of Helena. So the company may satisfy there debt by the profit earned by
them and during the distribution of profit company may create an equal share for creditors. Due
to this the liabilities of Beautiful house Ltd. may be resolved(Donaldson, 2012.).
5
In this case it was happened that Daniel contracted with beautiful house Ltd. To convert an old
restaurant into a new three bedroom detached house and in reply to it company from a contract to
pay 12% of the total sale price of property. Further in case Daniel initiated work but was unable
to complete it because of illness. The old restaurant was already demolished and all seats, doors
and tiles of the restaurant was removed by Daniel. The unfinished work creates a lots of
problems to its surroundings and passers-by(Altman, Baruch, 2012.). Daniel is claiming the
payment for the part of work he completed but in this scenario the reasoning is that Daniel is not

entitled to recover damages from Beautiful houses Ltd. Because the contract made by both the
parties are not fully executed by Daniel on his counterpart.
Further in this it was found that company was really struggled a lot since from previous year for
earning profits but unfortunately they are facing sudden fallen in business. Due to that a winding
up order against beautiful house Ltd was released on 30th June 2016 and on other side a creditors
petition was also filed by creditors against company. In that situation a woman was appointed
as liquidator to settle all disputes. Liquidator is a person who is appointed for the resettlement of
company issues regarding the claims. In this situation the current value of company is £140,000
and additional debt of £65,000 should be satisfied by company. So it that case there is certain
profit which was earned by the company and while distributing that profit among their members
company may create a share or part for the creditors and due to this company may satisfy their
liabilities(Oya, 2012.).
TASK 4
6
There are different judicial systems in different countries. Specifically in Italian judicial system
first there is a series of courts and second is the body of judges who are specifically civil
servants. The whole judicial system of Italy is unified and every court is the part of a national
network. According to Italian constitution, the judiciary is independent over legislative and
executive therefore jurisdictional functions are only performed by magistrates and judged cannot
be dismissed. The highest court in Italy is Supreme court of appeal having appellate jurisdiction
and it only gives judgements on points of law. The legal system of Italy is inordinately very
complicated(Fayezi, O'Loughlin, Zutshi, 2012. ).
In the dispute of Mittal Ltd. And Kawai motors initially they contracted with other for the
exchange of steel and in that contract they added a clause that in situation of breach of contract
both the parties will go for the arbitration first. In contract if there is any term which was
mentioned by the parties then it is the legally binding obligation on both the parties to primarily
follow the terms written in contract and in this the term for solving dispute in front of arbitration
was already written so both the parties held an obligation to go for the arbitration first and after
that they may file an appeal in front of court.
The difference between Institutional and ad-hoc arbitration is as follows:

1). Institutional Arbitration :- In this there is a specific institution by which arbitration process
will be conducted and they follow their own organizations rules and regulations to resolve
dispute between two parties.
2). Ad-hoc Arbitration :- In this type of arbitration the parties are not administered by any
kind of arbitration institution and parties themselves define every aspect, every rule of
arbitration that they may follow to solve dispute between them(Alzahrani, Emsley,
2013.).
CONCLUSION
It has been concluded from the above project that law is very important aspect for a
country's peaceful co-existence and for that there are many sources to form a good law. In
formation of laws government has very vital role because legislature is responsible for the
formation of laws which as a part of government. For execution of laws courts are the primary
medium to provide justice. In laws consumer protection laws are very important aspect to protect
rights of consumers. Further by a case law separately it was illustrated that ADR is very
important for the peaceful settlement of dispute between two parties. In the end the importance
of terms and conditions mentioned in a contract are discussed by an example of case law.

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