Business Law and Ethics: Case Studies on Remedies and Rights in Contract Law

This report provides case studies on remedies and rights in contract law, covering essential elements of contract law, counter offers, remedies for breach of contract, and rights of parties in contract.

Business Law and
Ethics

TABLE OF CONTENT
INTRODUCTION.......................................................................................................................................3
MAIN BODY..............................................................................................................................................3
Case Scenario 1.......................................................................................................................................3
Case scenario 2........................................................................................................................................4
CONCLUSION...........................................................................................................................................6
REFERENCE..............................................................................................................................................6

INTRODUCTION
Business law is the study of all the important civil laws that Helps out all organisation to
maintain smooth functioning of business and also to implement rights and regulations on the
companies. It mainly covers Contract law, IPR, employment law etc. Contract law implicates out
an agreement that is being made between the parties which is in enforceable in them and it
provides essential elements between the parties (Alden,2017). In this report there will be a case
study for providing the remedies that are being available in contract law and all the rights and
duties of parties in contract
MAIN BODY
Case Scenario 1
Contract law provides the agreement that is made into parties in order to frame a legally
binding agreement in enforceable between them. When the party mutually agrees to bind in an
agreement there is being made a contract. This mainly provides individuals to get protection
while coming in an agreement as in order to frame a contract there should be four essential
elements that should be fulfilled they are as follows:
 Offer: When one party proposes an invitation of treat to another party in order to come in
an agreement that will be tends to be a contract. It mainly has an offerer and offree.
 Acceptance: When the offer is being made by one party and the other party except that
offer that will amount to acceptance it can be expressed or implied (Hernández-Bretón,
and et. al., 2021).
 Consideration: It is mainly the amount or the value which is being decided between the
parties in order of exchange of the contract that is being performed, as no contract is
being fulfilled without consideration.
 Legal obligation to do: There should be a legal intention and motive while coming in a
contract as both the parties will be legally binding once they agree for coming in a
contract so the contract will thereby be framed between the parties.
Counter offer is an offer that is being given by another person who at the time of negotiation
of consideration can’t thereby make any other offer to the person in order to fulfil that contract.

All such offers when being made it mainly revoke the prior offer as when once the counter offer
is being made then all contract is being maintained on the basis of it and if the party agrees on
the counter offer then it will be implemented as a new contract and the prior offers will not be in
force. All these offers are being made by the original offree at the time of negotiation.
In Hyde v. Wrench (1840), Defendant offered to sell his farm to the claimant at £1000 and
for which the claimant has made a counter offer of £950 for which defendant denied. Later on
when the claimant thereby accepted the original offer over £1000 for which defendant denies to
sell it to the claimant. Court held that, as the counter offer was being made by the claimant all the
prior offers were thereby being revoked and all the prior offers will no longer being available for
the parties. As counter offer made by parties use to revoke all those prior offers which were
made initially (Carrigan, and Radan, 2020).
Thus, in this case Avril has made the offer of £750 for which Belinda denies and there was
given a quotation period of seven days for that agreement. Later on, Avril Increased the amount
that the new price that will be offered is £900 and now the contract will be on it. This is a counter
offer that is made by Avril and in case if Belinda agrees for the services that are being given by
Avril then she will have to agree on the new agreement and the on amount that is being decided
at the time of counter offer. As in contract law once the counter offer is addressed all the prior
offers will be ineffective and will be revoked and all the important deals regarding to the contract
will be on the counter of that is being made (Militaru, 2021).
Case scenario 2
Remedies available for breach of contract
 Specific performance of contract: This is an equitable remedy provided by court as it
compels the party in order to perform all the contractual obligations that were being made
earlier between the parties. This remedy is being given when the damages are not
sufficient in adequate to be given to the party. Court use to order in to perform the
obligation that was being made between the parties earlier at a particular time period.
 Damages: It is a remedy that is being given when and party used to suffer a loss because
of an act of another party or from the breach of performance of contract. This remedy
was being amounted to the compensation to be awarded to the party who has suffered

loss this is mainly the substitution for the performance of the act and the defaulter party
will have to pay another party in failure of performance of contract.
 Rescission: This is the remedy where the court orders to the party to bring back another
party who has suffered loss to bring them back in original position in which they were
before making the contract. It can amount to cancel the contract between both the parties
and to move to a position in which they were earlier before entering into an agreement. It
helps out to specify the contract and to move the party in the earlier position (Południak-
Gierz, 2017).
 Injunction: This is the kind of equitable remedy which is being ordered by court where
the defendant party will be restrained from doing any breach or act to be performed in the
contractual area. It is a discretionary act where the court used to restrain one party and
compel the party to do an act which was being ordered to them.
Darwash can go to the court for claiming the damages so as to get the compensation and the
damages that has been suffered to him by the act of Charlie.
Rights of parties in contract
 Right to file suit: The parties have a right to file a suit if there is any breach in the
contract or if any of the party is doing any kind of bridge between the agreements.
 Right to timely consideration: Both the parties have the right to get the consideration on
a proper time period which is being a fixed by them in the contractual terms as there
cannot be delay in consideration (Smith, and Williams, 2018).
 Right to exclusive ownership: At the time of framing a contract both the parties used to
get the right of exclusive ownership for the agreement which is made in between them.
 Right to disclosure of facts: It is an important right as when the parties are coming in a
contract both the parties should be well aware about the material facts that are being
made between them and the party should thereby disclose all the matters that are being
linked to guarding to the contract. No party should thereby hide any kind of matter
between them (Posner, 2020).
 Right to monetary payments: While coming in and contract the party should get all the
payments for the services and products that are being given and perform between them

and both the parties have the right to get the monetary payment which is being agreed
earlier (Gramano, 2018).
In this case, Darwash have the right to get proper disclosure of all the relevant information
regarding their contract and to know about all the material facts from Charlie that is being
framed between them (Oranburg, and Tamasy, 2019). Charlie was unaware about the electrical
fittings as he was not an electrical contractor he would have told this to Darwash earlier and
inspite of this he hide that from Darwash, so he can ask for the damages that has been occurred
because of the non-disclosure of matter. Darwash can go to court for damages because of the loss
being suffered from Charlie’s negligent behaviour.
CONCLUSION
It is concluded from the above report that contract law helps out to make an agreement
between the parties that is being enforceable between them. For the contract law offer,
acceptance, consideration and legal obligation to do so are the essential elements that should be
fulfilled. Counter offer helps out to make a new offer between the parties and once it is made all
the prior offers are being revoked. Furthermore it is also analysed that there are certain remedies
which are being available for contract laws like injunction, damages, specific performance act.
REFERENCE
Alden, E., 2017. Promissory Estoppel and the Origins of Contract Law. NEULJ, 9, p.1.
Carrigan, F. and Radan, P., 2020. The Post-Employment Restraint of Trade Doctrine: A Critical
History. King's Law Journal, 31(1), pp.121-144.
Gramano, E., 2018. Working performance and organisational flexibility: At the core of the
employment contract. Available at SSRN 3118216.
Hernández-Bretón, and et. al., 2021. Use of the UPICC in Order to Interpret or Supplement
National Contract Law: Venezuela. In Use of the UNIDROIT Principles to Interpret and
Supplement Domestic Contract Law (pp. 395-409). Springer, Cham.
Militaru, I.N., 2021. The Administration of Another Person’s Assets. CECCAR Business
Review, 2(5), pp.58-62.
Oranburg, S.C. and Tamasy, D.D., 2019. Corporations Hybrid: A COVID Case Study on
Innovation in Business Law Pedagogy. Willamette L. Rev., 56, p.363.
Południak-Gierz, K., 2017. Dangers and benefits of personalisation in Contract Law: big data
approach. Queen Mary Law Journal, (Special Conference Issue: Autumn 2017)

Posner, E.A., 2020. The Antitrust Challenge to Covenants Not to Compete in Employment
Contracts. Antitrust Law Journal, 83(1), pp.165-200.
Smith, D.G. and Williams, C.A., 2018. Business Organizations: Cases, Problems, and Case
Studies. Aspen Publishers.