Law for Business Managers

Law
for
Business Managers

Table of Contents
INTRODUCTION...........................................................................................................................1
PART 1............................................................................................................................................1
PART 2............................................................................................................................................3
PART 3............................................................................................................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................9

INTRODUCTION
Law refers to rules and regulations enacted by the legislative bodies in a country in order
to regulate the activities of organisations as well as individuals. There are numerous statues
applicable on entities for providing legal support to the structure and operations (Bebchuk and
Jackson Jr, 2012). One of the main elements in running a business is formulating contract which
are the foundation on which all the transactions are proceeded. Apart from this, the number of
disputes or conflicts are reduced by following relevant laws. This report is divided into three
parts viz. Part one which is about promises, part two is linked to doctrine of tort and the last part
i.e. part three is about explanation of artificial personality.
PART 1
In legal terms, a promise in an engagement which involves a promisor and a promisee
who form an agreement in order to perform some activities. If a promise is made in or reduced to
writing, it is called agreement which is put under the seal, then it is known as a covenant. There
is no such lawful element in a promise and it refers to mere declaration may by one person to
another for a good or valuable consideration. There are different kinds of promises which can be
formed by individuals. In this questions there three parts containing variety of situations where
three different promises are made by Sergio to his son Alexander, secretary and Natasha (local
newsagent) to pay three different amounts if the promises are fulfilled.
According to legal provisions, a promise can be made orally as well as in writing
depending on the requirement of the parties involved. There are certain rules related to a promise
which are as follows:
 To make a promise binding on the promisor, there must be sufficient consideration. This
is one of the main elements which states that promises can not be made if there is no
consideration (Fried, 2015).
 It the promise is conditional, it should be completed prior to any binding effect. In other
words, it means that if any condition is there in a promise then it should be given
preference.
 There should be two parties viz. Promisor and promisee who must have contractual
competent to make a promise.
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 There should be mutual consent to make the promise. A promise made by promisor is not
accepted by the promisee then it cannot be completed.
 It must be clear and definite which should not have any element of ambiguity within this.
Any double meaning condition or term should be removed or made clear before its
occurrence.
 The enforceability also depends upon the circumstances which provide that it is in the
best interest of the promise to make it enforceable.
Apart from this, there are ficticious promises which are implied promises. It is also
known as promises implied in law which are made due to the circumstances (Wilkinson-Ryan,
2012). Enforceability of the promises is done to avoid any injustice which may arise due to
issues between two parties. By taking these points in account, it can be said that a promise made
is absolutely valid and enforceable in certain cases. This part of the report covers three different
cases showing individual scenarios. These are all involves a promise which has been made by
Sergio to three different people by specifying the action be perfomed in return. It can be
understood from the past cases which have occurred previously in the UK legal system so that
these can be used for forming a conclusion in future cases.
In the landmark case of Balfour v Balfour [1919], it was provided that a promise was
made by the husband to pay his wife 30 pounds for a month when he went out of England. And
exchange for her agreement to support herself without calling on his husband for any other
manitenance. The court provided that a valiud consideration was paid in this promise but there
was no contract. It was an agreement which contained a promise but was outside the category of
contract. Hence, the performance of a new duty should not constitutes in new consideration.
The case of Hartley v Ponsonby [1857], the court held that a promise can be made
enforceable. This case involves a ship in which there were number of individuals as crew
member which was later reduced such a number that a dangerous situation was created for the
ship to sail on the water. Furthermore, captain was under no authority to demand the same. In
this case, the court mentioned that it was the general duty of Police to consider necessary things
for maintaining peace among the crew (Del Vecchio, 2013).
In the case example of Roffey Bros, they were builders conducting the business on
contract basis. They refurbished about 27 flats belonging to housing corporation. The contract
contained a clause for late completion. Therefore, Roffey Bros subcontracted for carrying some
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