Elements of Tort and Negligence in Business Law

The provided report discusses the importance of terms and conditions in business law, emphasizing that proper elements of a valid contract are essential for establishing agreements between parties. Additionally, it highlights the significance of vicarious liability, where an organization is held responsible for the actions of its employees, including negligence and tort of liability. The report provides examples of cases where this concept applies, such as a hospital's responsibility to provide correct medication and a chauffeur company's liability for a driver's negligence. It concludes that parties must adhere to UK government regulations and be aware of their responsibilities in case of harm or injuries caused by negligence.

ASPECTS OF
CONTRACT AND
NEGLIGENCE FOR
BUSINESS

Table of Content
INTRODUCTION...........................................................................................................................1
1.1 Description of various elements of valid contract.................................................................1
1.2 Discussion about the impact of various types of contracts...................................................2
1.3 Assessment of the valid contract terms and condition..........................................................3
TASK 2............................................................................................................................................4
2.1 Implimentation of various elements of contact.....................................................................4
2.2 Implementation of various terms of contract.......................................................................4
2.3 Assessment of the influence of different terms in the given contract...................................5
TASK 3............................................................................................................................................5
3.1 Similarities and difference between the contractual liability................................................5
3.2 Explanation about how liability for negligence can arise....................................................6
3.3 Explanation about the vicarious liability and its impact in the given case..........................7
TASK 4............................................................................................................................................7
4.1 Elements of tort and negligences..........................................................................................7
4.2 Understanding of vicarious liability in various cases...........................................................8
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
There are different laws and regulation which has developed by the UK government.
These laws and legislation assist to business parties in to engage in legal and valid contractual
agreement. With assistance of laws and legislation, no business parties can engage with unethical
and unfair activities. The following report provided the depth knowledge and understanding
about the contractual liability and tort liability (Appleman, Appleman and Holmes, 2013).
Various kinds of element of valid contract and its implication in the case scenario has been also
included in this assignment. In addition to this, different terms and condition has also discussed
and it impacts with respect of case scenario has addressed in this assignment. In addition to this
the entire report is bifurcated into various case study which defined various aspect of business
law and legislation and its implication.
1.1 Description of various elements of valid contract
As per the given case scenario, Peter Abraham needed to start its business in building
development. He has very little idea and understanding development of contract. Thus, he is
required to consider various essential elements of valid contract. As per the UK government,
valid contract is that which is enforceable by law. Following are some components of valid
contract which required to understand by Peter Abraham- Proper offers and acceptance- In the valid contract, it is very essential element under
which between two parties there must be proper acceptance and offer. While Peter
Abraham will operate his business then he must offer to someone for something. An offer
is proposal by one person to other person under which some intension are included. On
the other hand, acceptance is a willingness to enter into the contractual obligation.
Acceptance may be in the form of oral and written form (DeMitchell, 2006). It must also
includes all terms and condition related to the contract. Intension to create legal relationship- This is one another major element in the valid
contract under which parties must have intension to create legal relationship while it
enters in the valid contract. In the case if there is no such intension then there is no
contract. Peter Abraham must have intension to develop the contract if he wants to
involve in his won business.
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 Free consent- Peter Abraham must have free consent while he enters in the valid contract
with someone. It should not any misrepresentation, fraud, coercion, undue influence and
mistake.
 Capacity to enter into the contract- This is another major element under which both
parties Peter Abraham and other who will deal with him must have capability to enter
into contract (Giliker, 2010). Moreover, both parties must have sound mind, age of
majority and capable to deal in agreement.
1.2 Discussion about the impact of various types of contracts
As per the above discussion it has been ascertained that Peter Abraham requires
considering various essential element of valid contract while he starts his own business. There
are various types of valid contract which he has to understand. Following are some kinds of valid
contract and impact in the business- Written and verbal contract- A written contract is that document under which all terms
and condition are included. In addition to this, in this contract bot parties signed upon the
document which is being prof for both parties. It is very safe and secure manner to
develop the valid contract among the person. On the other hand in the verbal contract,
there is no need to sign upon the document. In this both parties verbally engage in the
agreement as they involved by the words or expression (Nystén-Haarala, Lee and Lehto,
2010). Peter Abraham have to focus on this type of contract under which he can design
the contract by either in written or verbal form. While any contract made between the
party then there must written and oral consideration should include. Distance and face to face contract- In this contract both parties must have physical
present at the place where contract is developed. In addition to this they must fully
involve and aware about the terms and conditions. In this agreement, both parties agrees
upon terms and condition of contract verbally and no written proof is discussed (Sutton,
2010). Peter Abraham can develop the contract by face to face conversation under which
party who are offered for product and services by peter are aware about the terms and
condition in verbal way.
 Unilateral and Bilateral contract- In the bi;lateral contract both parties have to fulfil
their promises that are required in the contract. They are supposed to fulfil their duties
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and responsibility for accomplish the contract. On the other hand in the unilateral
contract, promise is made by only one party. For example, health care services of
Doctors.
1.3 Assessment of the valid contract terms and condition
In the corn about valid contract, terms and condition is very essential by which legal
agreement can develop. Term is a rules and regulation which has been developed by the UK
government and person who are involving in contract are supposed to follow that rules and
regulation. Peter Abraham have to consider on the all terms of contract which assist in
maintaining the consent and interest of parties and it also aids in reducing the situation of
negligence, fraud etc. Following are some terms which have to follow and consider by Peter
Abraham- Condition- A breach of condition is usually known as a repudiator breach. While any
party involve in the valid contract then they have to follow all given condition (Walker
and Townley, 2012). This will discharge the parties of their obligation under the contract
and give the innocent party the right to claim damages or to continue with the contract
but right to sue for damages. In the case of Peter Abraham, while he engages with parties
in the business then they must have to follow the condition of contract. Warranty- It is general legal binding assurance which is less important terms to contract.
In this manner it does not go to the root of the contract. By this warranty, innocent party
have right to claim for damages for breach of warranty. Peter Abraham have to give
warranty along with its business service to other parties. Innominate terms- It is a kind of floating term and it is limbo between condition and
warranty. By this court have to decided that what is actual influence in the contract while
it does not follow the rules and regulation Implied term- In this term, contractual parties are supposed to follow all terms and
condition. In addition to this in this alos involve the third party like institution,
government and other. In a simple word it can be said that the contract under which some
other party are charged and have interest is known as implied term.
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 Expressed term-In this contractual parties engage by mutual consent and discussion. It
may be in the form of verbal and written manner which objective is to create an
impressive influence in the contract cycle. Expressed terms includes conditions,
warranty, innominate term etc (Freedland and et.al., 2016).
 Exclusion clause- In this term, parties restrict to the contract. In this includes three
exclusion clauses that is true exclusion, limitation and time clause.
TASK 2
2.1 Implimentation of various elements of contact
Case 1 One day coral student has saw the advertisement about the leather coach in the
online paper. In this included various images of coach and contact information. By this statement
it can be said that there was offer under which all information like prices, features, design,
location about the product and service are effectively published in the advertisement. By this
case it can be said that there are valid contract elements has applied in this case under which
brown leather couch offered for sale. From this case it has been also analysed that there are also
proper acceptance as she accepts the offer of brown leather couch of 600.She has accepted the
offer and mailed the contract about statement that she wanted to buy the couch. In this case, free
consent and intension to create a legal relationship element has also been included because both
parties are free to develop the contract as there are not any kind of pressure and force for enter
into the contract. In addition to this, there are intension to create legal relation because there are
proper offer and acceptance of both parties (Lawful consideration.2011). By this case it can also
say that there was a written contract as offer has made in the written form of advertisement.
2.2 Implementation of various terms of contract
In the given case a couple entered in the restaurant for a meal. While they enters in the
restaurant then man handed over his coat which obtained wallet with 500 dollar inside. In the
resurgent, there are board placed on which clear stated that it will not responsibility of restaurant
if any customers important item like wallet and other lost. While man take his coat for pay the
bill of food then he was shocked to knew that his wallet was lost and he realises that his purse
and money was theft by someone. In this case it is very huge liability of the restaurant to keep
secure the things of people and customer who came in the restaurant for food. But according to
express contract if terms and condition are clearly state in written manner then both parties have
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to follow that terms and condition. In this express term can apply under which because all terms
and condition of the contract can write in clear manner. In this contractual parties engage by
mutual consent and discussion. It may be in the form of verbal and written manner which
objective is to create an impressive influence in the contract cycle. Expressed terms includes
conditions, warranty, innominate term etc In this case restaurant is not liable to pay the remedies
or any compensation to the man as it has already clearly mentioned in the statement that all
valuable item of customer must be removed from the pockets as restaurant will not be liable for
any missing item of customers. By this statement, there is not responsibility of restaurant to pay
the remedies. In this case express term can implied. On the other hand , exclusion clause can
also apply in this case under which unfair practices and illegal manner which eventually result in
reduction of the number and forms of liability existing in the contract. In this case implied term
can alos apply because according to this implied term In this term, contractual parties are
supposed to follow all terms and condition. In addition to this in this also involve the third party
like institution, government and other. In a simple word it can be said that the contract under
which some other party are charged and have interest is known as implied term.
2.3 Assessment of the influence of different terms in the given contract
In this case 5 , In this case implied term can applied according to which there are other
party like government and other institution are involved. In this case policy holder reject to the
policy of customer which is issued for the five year. In this case customer have right to get the
remedies because owner have terminated the terms and condition which have imposed by the
government. In this case insurance have right to void the policy under the implied term of valid
contract. In this given case policy holder should follow the terms and condition which decided at
the time of building the contract about the policy.
TASK 3
3.1 Similarities and difference between the contractual liability.
Similarities and differences between liability of tort with contractual liability-
Liability of tort Contractual liability
 Tort stands for a wrongful act or civil
wrong in which damage, harm or
injury to another person which may
 It is a kind of liability in which party
assume on behalf of other on the basis
of contract is called contractual
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leads to the breach of duty. It is a
fraudulent activity.
 Tort is never based on consent
(Bochicchio, Longo and Mansueto,
2011).
 In the case of tort, person have right to
sue in the court for the remedies. In the
tort person have right to get the
remedies from the another person
through which harm and looses
occurred of the individual.
 In this compensation is generally
known as remedy of damages or it
provides relief to the other party.
person have right to get compensation
in the tort law.
 Tort may be of many kinds such as-
 1. Intentional tort
 2. Strict liability tort
 3. Negligent tort
liability. Its cannot be said as fraudulent
activity.
 In this a person should have idea about
what they are dealing with or person
cannot force to another person to enter
into contract without their consent.
 Contractual liability exits where the
parties of parties together voluntarily
bind.
 In this compensation made in the form
of money.
 Contractual liability may be many kind
such as-
 1. Unilateral contracts
 2. Bilateral contracts
3.2 Explanation about how liability for negligence can arise
In the negligence if any person neglect to keep secure and care about the things of other
person then it is in negligence- Duty of care- In this element of negligence, In case if person forget to the take care of
things or person then it has great responsibility of person to pay the remedies for losses.
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 Breach of duty- It is major responsibility of the person to keep secure the good and stuff
of other.(Stirling, Kilpatrick and Orpin, 2011).AS per this, no one have right to hurt and
damage the things of other person.
 Remote of damage- Under this element if person is able to show the losses about
financial and physical then that person have right to get remedies from that particular
person.
3.3 Explanation about the vicarious liability and its impact in the given case
UK government has developed vicarious liability for person who have injured due to
another negligence. In this liability, it is great responsibility of the organisation to pay the
remedies for loss to that person who got injured by the activities of its employees. If employees
are engaged with any wrongful act then it is responsibility of company to conduct monitoring
and control. If any losses occurred with any person due to employees then firm have to pay the
losses and expenses on behalf of employees. Following are some major elements of vicarious
liability-
 All activities of employees must control and monitor by the organisation.
 Any losses occurred due to employees then company have to pay remedies on behalf of
its employees.
 It is great responsibility of the organisation to keep control and strict monitor the
performance and activities of employees in the organisation.
TASK 4
4.1 Elements of tort and negligences
As per the given case scenario, Mr Brown have chest pain for this he went to hospital but
doctor asked to the nurse for give pain killer to patient. Due to that medicine, doctor has died a
day. In this case, the tort of negligence can apply because there are negligence of nurse and
doctor who gave wrong medicine to patient. Tort stands for a wrongful act or civil wrong in
which damage, harm or injury to another person which may leads to the breach of duty. It is a
fraudulent activity. In this case tort of negligence and defences can apply because this is huge
responsibility of the hospital to take care of patient and provide correct medicine to patient Tort
stands for a wrongful act or civil wrong in which damage, harm or injury to another person
which may leads to the breach of duty. It is a fraudulent activity.(Walker and Townley, 2012).
On the behalf of the Mr Brown, his widow wife have right to get remedies or expenses for that
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loss .If a person can able to show his financial and physical loss then they have right to gte
remedies according to the tort of liability.
4.2 Understanding of vicarious liability in various cases
While any person get harms and losses through other person negligence then it is great
responsibility of that particular person to pay the remedies and expenses and losses to that
particular person. In the given case driver is employees of the organisation who is sent for
picking the client from the airport. In this case it have great responsibility of the chauffeur
company to pay the remedies and expenses of losses which occurred due to irresponsibility and
negligence of driver.
In the second case 9 Mr Jones of Biliercay in Essex was work as delivery driver for a
supermarket. One day while loading pallets into truck he slipped on the tail gate and pallet fell
over and injured another colleague. In this case injured person have right to get remedies for
losses and injured from the Billericay in Essex. (Walker and Townley, 2012).
CONCLUSION
From this report it has been concluded that terms and condition is very significant aspect
in the business law through which contract can made between parties. It has also concluded that
if any agreement establish between parties then it is very necessary that there must be proper
elements of valid contract lie proper acceptance, offers, free consent, intension to create legal
relation etc. It has also concluded that In such case, while due to other person, any individual get
harm and injuries then it is great responsibility of that particular person to pay remedies and
expanses for losses. From this report it has been also concluded that parties must have to follow
all rules and regulation which have imposed by the UK government.
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REFERENCES
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