Competition Law & Intellectual Property Rights

This assignment delves into the complex relationship between competition law and intellectual property rights. It examines how competition law aims to prevent anti-competitive practices while intellectual property rights protect intangible assets created by individuals. The document discusses various aspects, including the role of agents in sales transactions, the impact of technology on competition, and the challenges posed by intellectual property infringement.

BUSINESS LAW

Table of Contents
BUSINESS LAW.............................................................................................................................1
NTRODUCTION.............................................................................................................................4
Task 1...............................................................................................................................................4
1.1 Analyze and advice Ben on the legal rules of implied terms relating to the sale of goods
and supply of services..................................................................................................................4
1.2 Analyze and advice Ben on statutory provisions on the transfer of property and possession.
......................................................................................................................................................5
1.3 Evaluate the statutory provisions on buyer's and seller's remedies in sale of goods
contracts.......................................................................................................................................6
1.4 Analyze and advice on the product liability legal rules and statutory provisions ...............7
Task -2.............................................................................................................................................8
2.1 Differentiate between types of credit agreements which Ben as a consumer could use to
buy a car.......................................................................................................................................8
2.2 Analyze the legal rules on termination rights and default notices for Ben as a consumer in
case he had problems in future paying the debts as required in the contract...............................8
2.3 Analyze the general features of Agency and differentiate between the different types of
agents...........................................................................................................................................9
2.4 Evaluate the rights and duties of an agent to assist Ben understand this position once he
becomes an agent himself............................................................................................................9
Task 3.............................................................................................................................................10
3.1 Outline and explain the monopolies and anti-competitive practice legislation in the UK.. 10
3.2 Explain the role of competition commission within the context of monopolies and anti-
competitive practices ...............................................................................................................11
3.3 Define dominant positions within the EU common market giving examples of such
businesses...................................................................................................................................11
3.4 Consider instances when under EU law, exemptions wil be made to potentially anti-
competitive practices.................................................................................................................12
Task 4 ............................................................................................................................................13
4.1 Identify and explain different forms of intellectual property rights....................................13

4.2 outline the principles relating to the protection of inventions through patent rights and the
legal rules preventing their infringement...................................................................................13
4.3 Describe the principles relating to copyright protection and the legal rules preventing their
infringement...............................................................................................................................14
4.4 Compare and contrast the protection of trademarks and business names giving practical
examples....................................................................................................................................15
Conclusion.....................................................................................................................................15
REFERENCES..............................................................................................................................17

NTRODUCTION
The report begins with identifying the legal rules of the sale of goods and services which
specifies the conditions pertaining to the buyers and sellers and specifies the remedies which are
available with the buyers and sellers. It further covers consumer credit and agency and types of
credit which are available with the persons and types of agents and their rights and duties which
after having an understanding one can becomes an agent as well. And further deals with the
competition law and the intellectual property rights which includes the restrictions on the anti-
competitive agreements. And towards the end it deals with the patents copyrights and
trademarks.
Task 1
1.1 Analyze and advice Ben on the legal rules of implied terms relating to the sale of goods and
supply of services.
In the above case as per the Sale of Goods and Services Act, 1980 there is a implied
condition or warranty it is said that the buyer who buy the goods should not be the person who is
buying the motor vehicle is not in the business of motor vehicle or he is not the dealer in it only
then he will be able to oppose the implied condition at the time of delivery of the vehicle that the
said vehicle will be free from any defects which would be a danger to the public and also the
persons who are traveling in the vehicle (Bridge, 2012). If the buyer has already disclosed the
purpose for which he is purchasing the vehicle. When any of the above condition is breached
then it would be termed as breach of the implied condition. In the given case, as in the
description of the car it was wrongly mentioned that it had only one owner but later on when the
car was actually driven and there were problems seen in the car and found out that there were
previously two owners of the car and the purpose for which the second owner drove the car was
for the cab services and due to this the condition of the car got worsened. Ben appeal is correct
on the grounds of full disclosure which was not done by the car dealer. Hence Ben has the right
to return the car.
Section 12: Implied terms about the title specifies that the that the goods should remain free from
all the encumbrances. And the same has been disclosed to buyer at the time of sale. This also
specifies that the seller should not disturb the buyer's quiet possession after the contract of sale
has been taken place.

Section 13: Sale by Description which means that the entire sample should be same like the
description but is the sale is by sample and as well as description than it should correspond to the
description and not the sample. E sale is not regarded as sale by description when the same is
considered as sale or hire if they are selected by the buyer.
Section 14: Implied terms about the fitness or quality it is understood that if the seller sells the
goods as per the contract of sale then the goods must be of the reasonable quality. Here
satisfactory quality means they are meeting the standards as prescribed considering the price of
the goods and quality of the goods. The quality of the goods means they are of appropriate
nature, durability, safety and they should be free from even the minor defects.
Section 15: Sale by sample means that the contract will be considered as the sale by sample if it
is mentioned in the contract in the express or implied way. In this the entire bulk should
corresponds the quality and the same should be free from all the defects.
1.2 Analyze and advice Ben on statutory provisions on the transfer of property and possession.
As per the transfer of property and possession act, transfer of any movable or immovable
property by a living person whether in present or in future one or ore persons or to himself comes
under this. Here living person also includes company or even an association. But there are
certain restrictions which exists are: a mere right to sue cannot be transferred. Just the right of
future maintenance cannot be transferred. Owner's personal interest in the property which is
enjoyed just by himself cannot be transferred. The person who is competent to contract are
entitled for the transfer of property which can be done either wholly or in part either absolutely
or conditionally under the law which is being in force. The transfer can take place not necessarily
in writing and can be done orally as well but with the necessary conditions. The transfer can also
be done even for the benefit of the unborn person but the same interest is shown distinctly. The
enforce ability should be there and will be allowed up to the lifetime of the person, the same will
not be effective after lifetime of the person (Alemani,2016). When any condition is there and
only on the fulfillment of that condition only the same will be proceeded further. Even if the
ulterior disposition is not valid, it will not affect the prior disposition.
Section 12: condition making the interest determined on the insolvency or attempted alienation
this specifies that if any limitation is attached on the account of alienation or insolvency then the
same limitation will be considered void but the same is not applied to the lease as for the benefit
of the lessor or any other person.

Section 18: Transfer in perpetuity for the benefit of public specifies that the restriction against
perpetuaty, failure of prior interest and giving the direction for accumulation will not be applied
to them as they are for the benefit of the public.
Rules for transfer of property
The rules are mentioned below
1. when the property is transferred it is the owner who bears all the risk relating to the
property.
2. If during transfer the goods are destroyed then the buyer has the right to take actions
against the person who destroyed it.
3. In case of insolvency, the official assignee will take the entire responsibility of the
property and the same cannot go in any others hand.
4. When the transfer is of specific property then the same can pass the ownership only after
delivery of the goods.
5. In the transfer execution the goods should be put in the deliverable state.
1.3 Evaluate the statutory provisions on buyer's and seller's remedies in sale of goods contracts.
There are various remedies available to both buyers and sellers in the breach of contract.
For the buyer when seller does not fulfill the conditions then buyer has the right to reject the
goods if they are not appropriate as per the terms and conditions specified. If come of the aspects
are found to be defective and not up to the mark then the buyer can ask for the repair and
replacement of the product. Buyer can also ask the seller to reduce the price of the product when
it is found to be defective and even he can claim the additional compensation. Here the burden of
proof lies with the seller if he is not meeting the standards or requirements mentioned at the time
of the contract (Helfer, 2014) . The remedies which are available to the seller are that he can suit
for price and he can suit for damages. If seller founds that the buyer has become insolvent then
he may refuse to deliver the goods to the buyer unless he pays the price in full. If seller has
delivered the goods to the buyer and the buyer is unable to pay the required amount to the seller
then he may sue the buyer for the price. This will make sure that the buyer makes the payment.
Seller can also sure for damages if found that buyer is not performing the part he was assigned to
as per the contract.

Ben as a buyer of the goods can approach if the goods are not according to the sample
and they should be according to the description as shown by the seller and if the seller has
destroyed the goods then buyer should be compensated for the same if the goods are of specific
nature as the same goods will no be able to recover but if the goods are not of the specific nature
than the seller has to quantify the buyer with other goods.
1.4 Analyze and advice on the product liability legal rules and statutory provisions
In the above case the goods were faulty as they were not according to the specification
told by the seller, but when buyer is using the car and unfortunately met with an accident and
which may lead to any injury to the family member due to the faulty nature of the car, the Ben as
well his family member has the right to sue the seller for not revealing the exact situation before
the actual purchases of the car was made. As the seller sod the car as per the said description but
as the car was not as per the outcome the the seller has the right to return the goods to the seller.
Here as the seller was not accepting the goods as buyer has signed the terms and conditions but
the decryption which was previously specified at the time of the contract was not correct as the
condition of the car was not at all good as the second owner used it for the cab purpose so. In the
given case, as in the description of the car it was wrongly mentioned that it had only one owner
but later on when the car was actually driven and there were problems seen in the car and found
out that there were previously two owners of the car and the purpose for which the second owner
drove the car was for the cab services and due to this the condition of the car got worsened. Ben
appeal is correct on the grounds of full disclosure which was not done by the car dealer.
Here the product liability rules apply to the manufactures, retailers, wholesalers, distributors for
injury to a person or even the goods are of defective nature and are hazardous in nature the main
aim is protect the consumer form the hazardous nature of the goods which was there in case of
Ben also this was the same and Ben was uninformed about the same and for this the civil
likability arises under the consumer protection act etc.

Task -2
2.1 Differentiate between types of credit agreements which Ben as a consumer could use to buy a
car.
Various modes of credit are available with the buyer to enable the purchases which are-
 Credit Card- For buying anything, one can use the credit card. In this one can spend the
amount to a particular limit. There is always a lite of credit card and only until that
amount the payment can be done. Anyone who wish to do a credit payment can get a
credit card from the lender and he will ask you to spend the amount and the payment for
the same can be done on monthly basis. The bill of the credit card shows us the amount
which we owe to the lender (Ohlhausen, 2015). Credit card is not available for free one
has to make some payment in order to get a credit card. The payments includes the
application amount, and any late payment fee is also added. And even the limit for the
credit card can be increased by giving some amount to the lender and he will increase the
limit as per our usage.
 Car Loan. This can be used to buy a new car or used car. In this the lender which is
generally the bank gives us the amount on loan and the repayment of the amount is done
in installments. The interest on the car loan is generally fixed for the entire period of the
loan.
2.2 Analyze the legal rules on termination rights and default notices for Ben as a consumer in
case he had problems in future paying the debts as required in the contract.
When Ben is unable to make the payment of the credit card or any of the modes then
difficuilties would arise.
 If because of any unfortunate conditions the buyer was unable to pay the amount the he
may request the lender for the hardship variation.
 When one has applied for the same then the lender may change the conditions for the
terms of the loan contract for a while. If any person is unable to make the payment or has
made the late payment then a default notice can be given to the person (Chowdhury,
2016).
 The notice gives the details of the time for how long one has missed the payment and
some help which can be provided in case of any difficulty arises. If the person is found

missing and not contacting the lender in the time of not paying the amount then, the debt
collectors will be contacting the person who has made a default for the payment.
 Debt collectors may contact you over the phone or may visit the home in case no other
address is been provided. The debt collectors can also right to inspect or recovering the
goods if the buyer is unable to pay the amount.
2.3 Analyze the general features of Agency and differentiate between the different types of
agents.
The general features of the agency are-
 agency contract is basically a contract between the principal and agent.
 Agency contract cannot be formed with the minor. If done so it will be void.
 In the agency contract, there must be an intention of the agent to act on behalf of the
principal. The activities of the principal can personally be performed by the agent. The
agent cannot act personally.
 For the contract of agency there is no requirement of any consideration.
The different types of agents are-
 'General Agent' carries out a broad range of activities on the behalf of the principal
(Ohlhausen, 2015). Normally the general agent is a business agent.
 'Special Agent' can act only in the special circumstances for some designated
transactions.
 'Subagent' for agent to carry his own duties he may appoint some agents to perform the
work on behalf of the agent. He may not necessarily be authorized by the principal but as
he works for the agent he may not be required for the principal to approve.
 The final category is of 'Servants' these are employed by the master to perform the
service.
2.4 Evaluate the rights and duties of an agent to assist Ben understand this position once he
becomes an agent himself.
For Ben to be an agent,
 he should be aware about the rights and duties of the agents in order to function like that.
 Agent has the right to retain the amount due from the principal, to recover the amount
due from the principal he may stop the goods in transit till the amount is not recovered.
 Agents also has the right to receive remuneration from the principal for the work done.

 To effectively recover the amount agent can use the right to lien the good till the receipt
of final payment.
Apart from the rights, there are various duties at the part of the agent.
 He should follow the instructions of the principal and never try to become principal, he
should always act in the capacity of an agent and not principal.
 Agent should not make any secret profits by utilizing the reputation of the Principal.
 He is also responsible for safeguarding the property of the principal in the event of death
of principal.
 If there is any complications faced by the agent he may communicate the same to the
principal and ask for this advice on the same.
 The proper accounting records should be maintained by the agent which can further be
referred by the principal as and when required.
Task 3
3.1 Outline and explain the monopolies and anti-competitive practice legislation in the UK.
As we know that competition is very important for any firms to sustain in the market. But
apart from competition monopolies are the serious threat to the UK market. A company enjoys
its monopoly position when he acquires the 25% share in the market. Mainly after merger, the
position becomes stronger. In UK the main legislation regulating the competitive laws are the
Competition Act 1998 and Enterprise Act 2002. In the competition Act, is basically deals with
the provisions of the anti-competitive practices. Anti-competitive practices are those which aims
at reducing the competition in the market. This can include Dumping, Exclusive dealing, price
fixing, limiting the price etc. In the enterprise act 2002. Apart from this, the office of fair trading
comes under the Enterprise act 2002 (Shelanski, 2015). It deals with not only the mergers but
also the matters related to the insolvency. If any individuals forms cartels or price rigging are
considered to be under the criminal prosecution and considered to be serious offences. The
penalties varies from six months and fine whatever is applicable. This was formed to stop the
harm the people which is caused to them. This was aimed at increasing the productivity of the
business and the enterprise which will benefit the entire economy. On one hand competition is

considered to be very important but when the industries misuse their competitive spirit it leads to
the criminal liabilities.
3.2 Explain the role of competition commission within the context of monopolies and anti-
competitive practices
The competition commission was set up in 1998. It was established to regulate mergers
and the monopoly power which replaced the Monopolies and Mergers Commission. It deals with
the issues pertaining to and by Office of Fair Trading (OFT). The work of giving
recommendations is that of competition commission and enforcement of rules of rules is done by
OFT and the government. Whether the mergers are in public interest to not following points have
to be looked upon which are the local monopolies, the market share of the new firm, industry's
economies of scale and research and development's importance. Competition commission being
an independent public body which conducts in-death inquiries in the markets, mergers and the
major regulation of industries in order to endure healthy competition between UK companies in
for the benefit of companies, economy and customers. Its main role is to avoid the anti-
competitive arrangements in the country and maintaining the healthy and competitive spirit
among the various competitors in the market (Alemani, 2016). Competitive commission aims at
maintaining fair trading among the various players in the market. It gives decisions to the parties
with the matters related to mergers, market investigation etc. The individuals which are not
satisfied with the decisions given by the regulatory bodies can further appeal and their grievances
can be further handled by the competition commission.
3.3 Define dominant positions within the EU common market giving examples of such
businesses.
A firm who has the dominant position in the market can standstill in the market. It does
not require any support. Its huge market share is enough to stay independent in the market. The
firms having the dominant position makes it differentiated form the competitors and can sell its
individual products even at higher prices than those of competitors. Under the competition law, it
is never illegal to hold a dominant position, infect its considered good as dominant position is
achieved when the company produces a better and innovative product. It’s not necessary that
only one firm can enjoy the dominant position in the market. It can be enjoyed by two or more
than to firms. The company which enjoys the dominant position helps in the economic
development as it results in the economies of scale. Some examples of companies having a

dominant position are Barclays, Citi group etc. The companies are such that they do not have any
competitors in the industry and thus enjoy the dominant position in the market (Haucap, 2014).
Whenever there is a formation of a new company after merger and the resultant company so
formed created more than 25% of market share the that matter is automatically referred to
competition commission. Further the OFT can see the matters, if any company is misusing its
powers like if they are forming collusion, predatory pricing, vertical restraints, collusive
tendering etc.
3.4 Consider instances when under EU law, exemptions wil be made to potentially anti-
competitive practices.
Apart from the competition, there are various anti-competitive practices which are
exempted from any legal actions. These are a task of negotiating wages by the group of persons
of the trade unions from the employer and many conditions of employment is known as
collective bargaining. This is allowed to meet the needs of the people in the organization and
providing better working conditions in the workplace. Another way which is exempted under the
anti-competitive practices is the underwriting of the insurance and the securities. It is the way of
guarantying the issue from the person known as underwriter who gives the guarantee that in the
non-issue of the securities and the insurance. Another is if the anti-competitive agreement is
formed for the sole purpose of the exports then that will be allowed. Like for example in the
article 5 of the Farmers Association Act, if the activates which are related to the farmers and the
fisherman affairs may jointly engage in the operation of these activities. So these activates has
been effectively granted by the statutory bodies (Bosworth, 2013). Another example, Architects
act article 37 allowed that the architects assertion to form the rules to govern the architects
business and also the remuneration of the architects. Hence this price collusion was previously
considered illegal by the law but now they are provided with the exception from the anti-trust
liability.
Task 4
4.1 Identify and explain different forms of intellectual property rights.
Intellectual property rights means the intangible assets which are related with the
intellectual, non-physical. This law is basically aimed at protecting the individuals from the hard

earned property creations and their ideas from getting copied by their competitors. Their main
aim is protecting them from the unfair competition. The different forms of intellectual property
rights are- Copyrights, this is originally concerned with the literary works, music, sculptural,
artistic works etc (Korah, 2004). For getting this right one has to pay some amount in form of
the money. Whenever any new work is created, it is copyrighted from the very beginning.
Another form is Patents, this is basically for protecting our inventions like inventing any new
machine, softwares, chemicals, etc. to protect them over the utility meaning the use of the
product, from the design and plant. The patents are regulated by the Patents Act 1977. After
getting a patent over the invention, anyone who even tries to copy the patent, the company have
the legal right to stop the person from doing so one has the rights to use the patents for the years
which is 20 years without any disruption only if they have registered their invention from the
patents office. Another is Trademark, is a symbol, word, phrase or even design. For example-
the logo of Apple. Another form is that of a Trade Secret which means the secret of the company
which when revealed may lose the competitive position in the market. This may include the
recipe of Coca-Cola which when revealed will in turn loses the market share in the market as
there are many people waiting to get the recipe and use that to build their own market share.
4.2 outline the principles relating to the protection of inventions through patent rights and the
legal rules preventing their infringement.
As we know, patent protection is very important as this prevents anyone to copy the
invention from the person. The application should be given in the very beginning as if delayed
the same can be copied in no time. The registration of patents is dealt in the section 1-4 of the act
which determines various conditions which are to be fulfilled when the registration is done. This
sections tells us the conditions that the patent should be brand new and not an existing one as that
will have no any in the registration process. As this is the most cost effective way of protecting
our invention and getting an edge over the competitors. Like IBM, in 1997 has 1800 patents in
its name and this number has increase many a times as IBM is very successful in innovating
products and getting new technology (Sales of goods act 1979, 2017). And a patent provides a 20
years of protection to its invention which a very huge time to come up with something new. Even
after getting a patent for the inventions, but there exists certain people who still try to copy the
patent and this lead to the infringement of the patent rights. As they patents are granted for a
particular territory and not the entire world, hence the protection of the patents is an important

job to do. For this one must clearly check the location of the patents (Shelanski, 2013). This can
be seen by seeing the scope of the patents covered. As per section 39 of this act, it determines
that the person would be considered as owner only if the invention was carries out during the
course of employment. It would not cover the inventions being carried out outside or beyond the
scope of the workplace. This was also seen in the case of Elecrolux v Hudson in which the wife
of Hudson invented a vacuum cleaner but the same was not registered as patenets as the
invention was carried out at home and not at the workplace hence Mrs. Hudson cannot claim for
being an owner. After this, one must see that what are the products which are covered by the
patents before actually investing in that areas. From the above ways, one can stop the
infringement of patents to a certain point.
4.3 Describe the principles relating to copyright protection and the legal rules preventing their
infringement.
All the literary works are formed with a lot of time and efforts hence to protect them is a
very important task to perform. Section 1 of the copyright act deals with the scope of copyright
act.A copyright can be protected by ensuring that the work is properly marked. Next is that the
work performed should be registered as this will provide us with the evidence and if there are
issues regarding infringement one can show the certificate and protect himself. Section 2 deals
with the originality of the copyright means that the copyright should not be copied from the
another person. Section 3 of the act deals with the literary aspect means anything which is
anything in written form. Section 4 deals with the artistic aspect.The evidences or any support
documents which one is getting should be protected and kept safely as when this is lost then
there is no way of showing the proof of the same. If the work is performed by more than one
person than it is important to mutually agree to this and the rights if in case one leaves (Simon,
1982). To avoid the infringement of copyrights, one has to go with caution if the related work is
not theirs. The urban legends are not to be believed as not every time whatever they say is true so
one should check the license before proceeding. If the work is done by the fair terms then there
will be no issues. Infringement can be caused by the ways if the person has downloaded the work
without paying. If something or even a part of it has been copied there should be a proper
agreement before doing so. Even recoding movies in the theatre comes under the infringement of
copyrights.

4.4 Compare and contrast the protection of trademarks and business names giving practical
examples.
For the protection of trademarks the first thing which is done is developing or designing a
trademark which is strongest and it becomes very difficult for copying the same. For any
business trademarks are considered very important as they are the means of communication.
People recognize the brand from the trademark. If trademarks is unique it becomes very easy for
the people to remember the trademark as well as the brand. Like Nike’s swoosh sign is very
common and it becomes for the customer to find that brand. As the brand identity comes from
the trademark it becomes a valuable asset for the company (Lianos, 2013) . It benefits the
company also as it makes the hiring process easier another feature of the trademarks are that they
never expire. Section 1 of this act provides the definition of the trademarks and the Section 2 of
the said act deals with the ownership of the design.
As more and more people are aware of the brand through the trademarks it leads to more and
more traffic on the social media sites which ultimately leads to the higher rankings of the brand
which in turn attracts more and more customers and leads to the brand recognition. As the
trademarks is restricted to a particular territory but when is successfully recognized it becomes a
quality brand for the world. Like coca cola bottle has variety of colors on the bottle. Which
prevents the competitors from copying the brand as it is only designed for the person to hence
the sole right to use that trademark and helps differentiating the same from other brands.
Conclusion
This particular assignment deals with the rights and duties of the buyers and sellers in
case of goods and services act which when breached has legal remedies to the buyer as well as
on the part of the seller. For Ben to become an agent one has to see the rights and duties of it and
can become an agent himself and recover the amount. As completion is very important for the
business but some people playing with the methods of developing some malpractices in
disturbing competition. Intellectual property rights deals with the intangible assets which are
created by the individuals.

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