Business Law and Ethics: Essential Elements of Contract Law and Remedies for Breach

This essay discusses the essential elements of contract law, including offer, acceptance, consideration, and legal obligation, and the remedies for breach, such as damages, specific performance, recession, and injunction. It also covers the rights and obligations of parties in a contract, including the right to sue, monetary payment, exclusive ownership, transfer of ownership, and disclosure of facts.

Business law and
ethics

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK ..............................................................................................................................................3
CONCLUSION ...............................................................................................................................5
REFERENCES................................................................................................................................7

INTRODUCTION
Business law is the obligations and the body of rules which use to have major laws and
the legislation that are being required for the company and the organisations. It enforce different
laws through which the companies use to gain the advancement in order to work efficiently and
in proper way without any breach. This contains several important laws they are like Contract
law, employment law, Intellectual property right, Companies act and many more. Contract law
helps out to maintain an essential body of law through which the parties can enter in an
agreement and it use to comply with different sources in which they can maintain the benefits
and the enforcement of the agreement (Hesselink, 2021). In this essay their will be be brief
discussion about the case scenario with the essential elements and the rights of the parties in the
contract.
TASK
CASE 1
Contract law is the general agreement which is being made between the parties as it
helps out to maintain a mutual agreement that are being related to business and its implications.
When two or more individuals are in concern to complete any task or to enter in an agreement
mutually decides about the obligations (Rödl, 2021). Then they can enforce it with the help of
contract law, as this implicates out the general laws and the terms through which all the company
can maintain their working and the general obligations. In all the agreement it is important to
frame the essential elements, as contract law use to carry major elements through which the
binding can be made they are like:
Offer this is the first and the foremost important element which is mainly that when any
individual wants to make their task completed or want to complete any work accordingly then
when that person use to make an offer in front of any other person as an invitation to treat then it
amounts to offer, it is being given by the offerer to the offerree which is majorly an invitation to
complete any work (Mak, 2020).
Second is Acceptance, which is the mere agreeing on the invitation that is being given by
the offerer for completing the task that is being framed for them. The acceptance can be in

expressed or implied. It is majorly the consent that is being given by the other party that they are
ready to complete that assigned work and their will be general agreement being framed.
Thirdly, Consideration this is generally the monetary value which is being fixed by the
parties for completing the contract as no agreement can be made without consideration and it is
majorly the value or the fixation of sum that is being led by the parties by there mutual
agreements. The parties cannot enter in the contract without consideration as it is important to fix
the monetary value for the contract (O'connor, 2018).
Lastly, Legal obligation to do so this is the major element in which the parties will have
to show their legal intention for entering in the contract and their cannot be any contract being
made without the intention to create it. This is generally that the mere acceptance is not
necessary but it is important to enter in the agreement for the contract (Horner,2017).
Counter Offer, is a general response which is being given to the initial offer that is being
made by the parties. It is generally all the revocation of the earlier offer that were being made
between the parties and can also be termed as the negotiation which is being framed in the
contract. This provides three implication as to accept the new offer, reject it or can make any
other offer (Famiyeh and et. al., 2017).
In case of Hyde v. Wrench, (1840) court dismissed the claim and said that their will not
be any kind of contract between the parties as once the counter offer is being made. They made it
clear that counter offer use to supersedes all the prior agreements which were made between
them (Woebbeking, 2019).
Thus, in this case scenario Avril use to run a construction business and as she advertised
about it in the local news paper through which Belinda contacted her for the work to which she
had made the made the price £750 for 7 days of quotation period. But she didn’t respond to that
in the given time period and later on agreed to enter in an agreement for which Avril increased
the amount with £900, Now in case if Belinda wants to make the contract or to perform that task
she will have to agree on the terms which were made by her or can imply to counter offer for the
amount which is proposed by Avril. this is the counter offer and if she want to make an
agreement then will have to accept or make negotiation according to it as no contract will be
framed till then.
CASE 2

Remedies for the Breach of Contract, in the contract law there are being given some
important remedies they are like: Damages this is the foremost remedy which is being given for
all the losses that are being incurred to the party because of the breach of the other party at the
time of agreement being made. This use to cover the compensation which is being awarded to
the aggrieved party for all actual loss that has made affected to them. Here court use to provide a
particular amount of consideration for the individual (Velencoso,2020). Specific performance of
contract, this is an equitable remedy which is being given by the court in order to perform the
act which was being breached by them, generally monetary payment is being fixed for all such
activities and the issues but when the court seems that the monetary payment is not the adequate
remedy for all such agreements then they use to order the party to perform the act which is being
decided.
Recession is generally the termination of the contract and make the party to be in the position as
they were earlier. This remedy is made to protect the party from all the losses that are being-
suffered. Injunction is the general remedy in which the court use to order the party to restrain
from doing any act or it is an equitable remedy in which court implements the party to do or not
to do something in the contract (Aragão and et. al., 2019).
As in this case scenario Charlie advertised about the services of electrical fittings through
which Darwash contacted him through email. And their was the price being fixed of £3,500 from
both of them later on Charlie send Eddie for that work as Charlie was the person which manages
all the workers to do the task and he send Eddie. Their after completion of work Eddie asked for
£3,500 and Charlie asked for £500 and the work made by them was incompetent needed to be
redone again.
Darwash can go to the court to ask for the damages that are being incurred to him by the
act of Charlie and Eddie. As they were being in agreement and the loss was being made by them.
Rights in contract, Some important rights that are being given in the contract are like, Right to
sue, this right use to provide that all the party can go to the court as in the case of any kind of
breach being made in the contract. Right to monetary payment, all the parties in the contract will
have to pay the consideration on timely basis in which there should be given proper monetary
amount which s being decided by them (Chen and et. al., 2019). Right to exclusive ownership, is
the mere right which helps out to protect the parties and made them to use the property as there
own. Right to transfer ownership, is a general right which protects all the individual and make

them to transfer the ownership at the specified time period when needed (McCamus, Huyssteen,
and Maxwell, 2021) . Right to disclosure of facts, as the parties have the right that they should
get all the knowledge about the material fact and all the relevant information should be given by
them.
Thus, Darwash has the right to disclosure against Eddie and Charlie as they didn’t told
him about the inability to perform the electrical fittings Charlie was not an electrical contractor.
So he can go to the court and ask for the damages which were caused to him by there negligent
act.
CONCLUSION
This above essay concludes that businesses need to be applied with all legal rules and
regulation through which they can work in smoother manner. Contract law provides the mutual
agreement as in which both the parties can assign and enforce a work. It use to have four
essential elements like offer, consideration, acceptance, and legal intentions. This law also
protects the parties from breach that can be made by providing general remedies like injunction,
specific performance of contract etc. further more it is also analysed that certain rights are being
given to the individuals like ownership, disclosure of facts, file suit against them and ,any more.

REFERENCES
Books and Journals
Hesselink, M.W., 2021. Justice in Transactions: A Public Basis for Justifying Contract
Law?. European Review of Contract Law, 17(2), pp.231-244.
Horner, C., 2017. My Child, Your Womb, Our Contract: The Failure of Contract Law to Protect
Parties in Gestational Surrogacy. In Reproductive Ethics (pp. 137-149). Springer, Cham.
Mak, V., 2020. Legal Pluralism in European Contract Law. Oxford University Press, USA.
McCamus, J.D., 2020. The Law of Restitution. Thomson Reuters Canada.
Rödl, S., 2021. The Public of Contract, and of its Justification. European Review of Contract
Law, 17(2), pp.184-197.
Van Huyssteen, L.F. and Maxwell, C.J., 2021. Contract Law in South Africa. Kluwer Law
International BV.
Velencoso, L.M.M., 2020. Excessive hardship due to the COVID-19 outbreak (an analysis from
modern european contract law). Actualidad Juridica Iberoamericana, pp.326-339.
Woebbeking, M.K., 2019. The impact of smart contracts on traditional concepts of contract
law. J. Intell. Prop. Info. Tech. & Elec. Com. L., 10, p.105.
Chen and et. al., 2019, July. A full-spectrum blockchain-as-a-service for business collaboration.
In 2019 IEEE International Conference on Web Services (ICWS) (pp. 219-223). IEEE.
Famiyeh and et. al., 2017. Major causes of construction time and cost overruns: A case of
selected educational sector projects in Ghana. Journal of Engineering, Design and
Technology.
O'connor, T.M., 2018. Understanding government contract law. Berrett-Koehler Publishers.
Aragão and et. al., 2019. An agent-based approach to evaluate collaborative strategies in milk-
run OEM operations. Computers & Industrial Engineering, 129, pp.545-555.