Business Law Assignment (Mgmt 212)

This assignment covers various topics related to business law such as common law legal system, federal distribution of power, legal risks in business, contract law, and more. It also provides recommendations and solutions to resolve legal issues in a business. The subject is Mgmt 212 and the college/university is not mentioned.

Business law assignment (Mgmt 212)

TABLE OF CONTENTS
Question 1..................................................................................................................................3
Question 2..................................................................................................................................3
Part A.....................................................................................................................................3
Part B......................................................................................................................................4
Part C......................................................................................................................................4
Question 3..................................................................................................................................4
Question 4..................................................................................................................................4
Part A.....................................................................................................................................4
Part B......................................................................................................................................4
Part C......................................................................................................................................5
Part D.....................................................................................................................................5
Question 5..................................................................................................................................5
Question 6..................................................................................................................................5
Part A.....................................................................................................................................5
Part B......................................................................................................................................5
Question 7..................................................................................................................................5
Part A.....................................................................................................................................5
Part B......................................................................................................................................6
References..................................................................................................................................7

QUESTION 1
In a general law legal system, an authority, or a precedent is termed as a principle or a rule
that is developed in a historic legal case which is binding or influential for a court or related
committees while making decisions on following cases having same issues or matter. Further,
a common law legal system poses higher value on making a decision on the case in
accordance with the stabilized principle rule, by this, the same facts will be able to generate
same and expected results, and the precedent observance is the means by which the
attainment of the goal is facilitated Law (Connection, 2018). The stare decisis is referred to as
the principles; wherein there is binding on judges towards the precedents.
The common law precedent principle is the fundamental principle, or in a Latin way it can be
considered as stare decisis, that means ‘to stand by the decision’. Furthermore, the precedent
doctrine is an aspect in which judges of Canada are obliged to follow the judgements made
from Canadian courts of higher jurisdiction in the same cases while reaching onto a judgment
(Daly, 2015).
It is stated by the doctrine that in the English courts hierarchy, a judgement made by the
superior court would be entirely binding over the inferior courts, which stated that if a judge
attempts cases, then they must consider whether the same case has been previously attempted
by a court or not . In a situation where precedent was set by a supreme or equal court, then
the judge is required to follow that specific precedent, and if a precedent is set by an inferior
court, then the judge is not bound to follow the same but is required to consider it.
QUESTION 2
By considering the given case scenario, due to unethical behaviour of Cranbrook Company
environment is adversely affected. In this case; the concern of local ecologist is viable as it is
his human right to live in clean environments where surrounding parties behave in a
reasonable manner.
Part A
Within Canada, the federal distribution of power as well responsibilities based on legislation
is the fact, which is concerned by individuals while considering significant country’s social,
economic, political and cultural issues (Ryngaert, 2015). In the present case, concurrent
jurisdiction refers to a breach of Canada Business Corporations Act and non-compliance of
duties towards the public which relates to the law-breaking behaviour of Cranbrook

Company(. Further, this case can either be dealt in Federal court or in Administrative boards
and tribunals.
Part B
In the constitutional law of Canada, the paramountcy doctrine has stated that when there is
the presence of conflict among valid provincial and federal laws, then the federal law would
exist and the provincial law would be effective to the scale that it does the confliction with
the federal law(Brouillet& Ryder, 2017). In accordance with the doctrine, the present case
will be addressed in the federal court, due to the paramount of the paramount the law-
breaking behaviour of Cranbrook Company. Further; provisions of Canadian company law
and corporate governance will be applied to resolve the issue.
Part C
In the present era, there is a constant issue of scarcity of natural resources and increasing
adverse impact on the environment of nature. However, irrational decisions of companies are
making this situation worst. Therefore as per Ktunaxa’s Stewardship Principles, for future
sustainability, it is important for companies to consider the requirements of future generation
along with their present needs. Voluntary responsibility will not be a sufficient solution for
this issue. Therefore, compulsory provisions are required to be issued under corporate
governance norms. With these norms, companies must be penalised with the substantial fine
to set an example for other companies and such actions can be avoided. This responsibility
should be provided state jurisdiction as they can be aware of the situation in a better manner.
QUESTION 3
It is essential that the founder of bike guiding business considers the legal risks and its impact
on the business from the start, so as to reduce the chances of the same. There are various
legal risks that engage in any business, and these can come in the form of mistakes that are
ineffective in terms of costs, time and contributions, and even can also damage the reputation
and relationship.
Further, it is advised to the founder of bike guiding business, that they are required to prepare
a legal risk management plan, with a detailed action plan for addressing legal risks engaged
in the business operations (Olson & Wu, 2015). It is also recommended that the business
must consider the manager collaboration and corporation at each level and must make use of
various risk mitigation methods and strategies to reduce the impact at the minimum level.

When it comes to the business of bike guiding, there is a requirement of well-versed
insurance, secured education regarding cycling, and schedule of maintenance and bike usage
parameters and safety gear, so these all aspects are to be assured by the business to be
successful and secured in the industry,
The best method is to have a carefully developed plan that is inclusive of all the aspects that
business can consider in reducing the legal risks. The liability of the company and the risk
management plan should be inclusive of concerned tactics meant for bike security, constant
employee communication, secured cycling education, insurance, maintenance and repair of
bike, helmets, light, employee engagement requirements, system for check in and out,
employee contracts, program process and policies and tips for navigation (Văduva, Alistar,
Thomas, Lupiţu & Neagoie, 2016).
Initially, the business is required make the identification of the legal risks, and then critically
evaluates the same risks and following to this plan a risk management plan and lastly
executes the effective risks management plan (Sadgrove, 2016). The cited business can do the
legal environment by considering the legal environment, development of a risk management
plan, responding timely to the changes held in the risk environment and mitigating the legal
services.
Risks Severity Impact
Safety laws High If there is no proper
compliance towards the
safety, then anyone can file a
case and by this business can
suffer from larger fines and
damaged the reputation
Insurance High If there is no proper
insurance for the business
and its bikes then the
damage that adversely
impacts the business and call
for the higher amount of
costs to offset the same.
Resources Medium If there would be the

absence of skilled staff and
resources, then the business
would be able to get success.
QUESTION 4
Part A
At my previous workplace, I had witnessed significant dispute among senior manager and
union trade leader. Union trade leaders were asking for pay raise, but the company were not
in favour of demand made by them due to reduced profits. As a consequence of argument,
union leader had provided the threat of a strike which can cause significant loss to business as
their operations will get adversely affected. To resolve the cited issue, four methods are as
follows:
 Litigation
 Mediation
 Negotiation
 Arbitration
Part B
For the cited dispute, a method of arbitration will be more feasible as the procedure is similar
to litigation and decision provided by the arbitrator is binding for both the parties. The
process to resolve above cited dispute by making use of arbitration as an alternative dispute
resolution (ADR) to litigation are enumerated as below:
In Arbitration, a third individual or party who makes decisions known as an arbitrator will be
invited to hear the arguments of both the parties. It is generally as same as litigation wherein
it contains hearing at where their representatives or the parties create obedience and the
resolution is outside the reach and supervision of parties (Carbonneau, 2015). As compared to
the litigation, Arbitration is considered more informal, and generally, this is proposed to
offers less time-consuming, streamlined and cost-effectual method for the intention of solving
their possible lawful issues.
The arbitration process is established union leader received the notice from the company
aiming to the judgment of a dispute, informing the parties regarding the nature and base of
the proceeding. After then the second party takes little time for answering the notice in terms

of writing, it represents that either the party is accepted to solve this argument through
arbitration or not. Once an argument is solved with the help of arbitration, the procedure of
arbitration is started, that depends on the rules, regulations and processes that are chosen by
the parties or that is particularly mentioned in the contract (Morgan, 2018).
If the parties create any type of disputes earlier than the arbitrator, then it calls to their
eyewitness and then presents the proof for and against the cases. The rules and regulations of
both arbitrator and courtroom are different from each other, nevertheless, and chances of
cross-examining or queries of the witness might be more restricted. After the completion of
hearing, a certain period of time is given to an arbitrator for thinking about the decisions and
then creates a ruling.
Part C
In the case where the dispute will not be resolved by the application of the arbitration process
then the company will union leaders may file for litigation process for claiming their right. In
this form of resolving the dispute, the company will get a chance to defend themselves by
keeping their point of view and on the basis of the arguments of the parties decision will be
taken by the court of law.
QUESTION 5
A contract refers to an agreement between two or more parties, which is enforceable by law
(Andrews, 2015). A contract is said to be valid only if it comprises the following five aspects:
 Offer and acceptance
 lawful purpose
 capacity and consent
 Consideration
In a valid contract, offer, acceptance and consideration are considered to be significant
aspects. Firstly: an offer is made only in a situation where all the cited essential is included in
the agreement. Secondly, this offer becomes binding with the acceptance of the other party.
Thirdly, this offer and acceptance must be something of value (i.e. either monetary or non-
monetary) to be interchanged among parties with their consent (Stoica and Bostan, 2015).
For forming a valid contract, both the parties should have the capacity to comprehend the
contractual nature and the terms. Both the parties involved in the contract should provide
their free consent, or agree towards the terms that are mentioned in an agreement. Last but

not the least, each contract initiated in Canada should be supported by a lawful objective or
purpose; or in simple words, contract term may not violate any law (O'Sullivan, and Hilliard,
2016).
QUESTION 6
Part A
In the given case situation, Arjun is required to make modifications in the contractual terms
to meet up the expectations for his wife. As per the provisions of traditional contract law,
initially, Arjun is required to provide an offer to the WeBuild4U Inc. with modified terms
supported by clear consideration. Given the offer is required to be accepted by WeBuild4U
Inc. to make it enforceable.
Part B
A modern approach to resolve situation described in Part A is enumerated as below:
As per Modern doctrine, an action conducted prior to providing promise to make a payment
or to confer any other benefit in against for the performance provided. In this Arjun is
required to satisfy the following three requirements:
 The act shall be conduct at the request of the promisor, i.e. Arjun.
 There shall be an understanding between parties that the act was required to be
remunerated by payment or by conferment by considering some other advantages.
 Payment or the benefit’s conferment shall be enforceable lawfully which is in advance
been promised.
QUESTION 7
Part A
Consideration is considered as a value in terms of law shifting from the promisee that does
the agreement invoke. It generally comes in the form of a benefit meant for the promisor to
the promise(Barnett & Oman, 2016). As per the contract law, there is the absence of a
contract, is there is the absence of consideration. On the other hand, the consideration does
not require to quantify or quantifiable in a financial way. Also, any of the discernible
detriment towards the parties can be the consideration of that party.

Part B
There is the presence of one exemption to the need of consideration, and it is a deed, which is
stated as either an under seal or a speciality contract. Further, deeds are generally used in
contracts that are engaged in real estate(Albert, 2015).In a situation where a contract is seen
as a deed, then there will be no requirement of consideration.

REFERENCES
Albert, R. (2015). The Theory and Doctrine of Unconstitutional Amendment in
Canada. Queen's LJ, 41, 143.
Andrews, N. (2015). Contract law. Cambridge University Press.
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& Business.
Brouillet, E., & Ryder, B. (2017). Key Doctrines in Canadian Legal Federalism. The Oxford
Handbook of the Canadian Constitution, 415.
Carbonneau, T. E. (2015). Cases and Materials on Arbitration Law and Practice. West
Academic Publishing.
Daly, P. (2015). The Principle of Stare Decisis in Canadian Administrative Law. RJT ns, 49,
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Law Connection, (2018). The Role of Judges – Backgrounder. Retrieved from
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Sadgrove, K. (2016). The complete guide to business risk management. Routledge.
Stoica, A., &Bostan, I. (2015). The relative conditions for the valid conclusion of a contract,
under the New Civil Code. ActaUniversitatis George Bacovia. Juridica, 4(2), 511-
530.
Văduva, S., Alistar, V. T., Thomas, A. R., Lupiţu, C. D., & Neagoie, D. S. (2016).
Management of Risks. In Moral Leadership in Business (pp. 77-92). Springer, Cham.