Insurance and Contract Law Essentials

This assignment explores various aspects of insurance and contract law. It delves into the Canadian insurance industry, outlining its structure and key players. The role of the Alberta provincial court system is examined, highlighting its jurisdiction and functions. A case study involving John Smith and Robert Brown analyzes the formation of a contract based on the Civil Code of Quebec principles. Finally, the assignment discusses essential elements required for a valid contract under Quebec law.

Running head: INSURANCE AND ESSENTIALS OF CONTRACT
INSURANCE AND ESSENTIALS OF CONTRACT
Name of the student:
Name of the University:
Author Note

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INSURANCE AND ESSENTIALS OF CONTRACT
Table of Contents
Answer one: Insurance industry in Canada.....................................................................................2
Answer two: Alberta provincial Court System................................................................................2
Answer three: Case study of John Smith and Robert Brown..........................................................3
Answer four: Essentials of a valid contract.....................................................................................3
References........................................................................................................................................4

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INSURANCE AND ESSENTIALS OF CONTRACT
Answer one: Insurance industry in Canada
The insurance industry covers the risks and threats to life and property of the citizens of a
country. For a person to insure his life and property, a certain premium is need to be paid by him
as stated by the Insurance Company (Vanderhoof & Altman, 2013). There are two main
categories of insurance; Life and non-life insurance (Law, Kratzer &Dhalla, 2014). The largest
insurance company of Canada in terms of total assets is Manulife Financials. It is to be
mentioned that home insurance is not mandatory for house owners but it is mandatory for
automobile divers to insure their vehicles (Shi, Zhang, & Boucher, 2016). Intact Insurance
Company, Security National Insurance Company and Alberta Motor Association Insurance
Company are some of the leading auto mobile insurance companies.
Answer two: Alberta provincial Court System
The provincial courts are the primary and the preliminary level courts where the offence
or the felony committed is initially judged (albertacourts.ca, 2017). These courts are the point of
entry into the judicial system. Once a person is convicted of a crime, he appears before the
provincial court of justice. The jurisdiction of provincial courts is limited to civil matters, family
matters, traffic related cases and crimes committed by the youth. However it is to be noted that
any crime or felony committed which does not exceed fifty thousand Candian Dollars. It is to be
mentioned that matters in provincial courts matters are heard by a single judge who gets
appointed by the provincial government. It is also to be mentioned that the cases falling under
the provisions of Family Act are heard by the Provincial Courts as well as by the Court of
Queen’s Bench.

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INSURANCE AND ESSENTIALS OF CONTRACT
Answer three: Case study of John Smith and Robert Brown
After analyzing and the case study with respect to the principles of contract as stated by
the Civil Code of Qubec, it can be mentioned that no contract has been formed between the
aforementioned parties. A contract is said to be formed when there is an offer and acceptance of
the same offer (McKendrick, 2014 ). It is to be noted that the consideration of the contract should
be explicit and known to both parties. However in this case the consideration amount was clearly
misrepresented and therefore misunderstood by the Robert Brown, the person accepting the offer
made by John Smith. It is also to be stated that the John Smith had no hand in the
misrepresentation to the facts as the same was the mistake of the newspaper agency. Therefore it
can be mentioned that no contract was formed between the aforementioned parties as the
essentials of a valid contract were fulfilled.
Answer four: Essentials of a valid contract
According to the Civil Code of Qubec it can be stated that there are certain essentials of a
valid contract (Dove & Zawati, 2014). A valid contract requires the consensus acceptance of the
terms of a contract and its consideration by the person accepting the offer (Smits, 2017). It is to
be stated that a response from the person, accepting the offer is required for the formation
contract mere silence does not account for acceptance. The terms of the contract should be
clearly specified and the same should be explicit (Jukier, 2015). There should also be valid
consideration which is lawful in nature. An error regarding the misrepresentation of facts of the
contract would make it void. If the acceptance happens on the basis of the misrepresented facts
such contract would cease to exit.

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INSURANCE AND ESSENTIALS OF CONTRACT
References
albertacourts.ca. (2017). Provincial Court. Albertacourts.ca. Retrieved 6 November 2017, from
https://albertacourts.ca/provincial-court
Dove, E. S., & Zawati, M. N. H. (2014). Amendments to the Civil Code of Quebec's Research
Provisions: A Legislative Comment. McGill JL & Health, 8, 79.
Jukier, R. (2015). The Impact of Legal Traditions on Quebec Procedural Law: Lessons from
Quebec's New Code of Civil Procedure.
Law, M. R., Kratzer, J., & Dhalla, I. A. (2014). The increasing inefficiency of private health
insurance in Canada. Canadian Medical Association Journal, 186(12), E470-E474.
McKendrick, E. (2014). Contract law: text, cases, and materials. Oxford University Press (UK).
Shi, P., Zhang, W., & Boucher, J. P. (2016). Dynamic Moral Hazard: A Longitudinal
Examination of Automobile Insurance in Canada. Journal of Risk and Insurance.
Smits, J. M. (Ed.). (2017). Contract law: a comparative introduction. Edward Elgar Publishing.
Vanderhoof, I. T., & Altman, E. (Eds.). (2013). The fair value of insurance liabilities (Vol. 1).
Springer Science & Business Media.