Consumer Law and Intellectual Property

This assignment delves into the complex relationship between consumer law and intellectual property rights. It examines various aspects of consumer protection, including contract law, unfair practices, and remedies for breaches. Additionally, it analyzes key concepts in intellectual property law such as trademarks, copyrights, and patents, exploring their relevance to consumer transactions. The assignment utilizes a range of legal sources, including scholarly articles, case law, and legislation, to provide a comprehensive understanding of these interconnected legal domains.

Table of Contents
INTRODUCTION...........................................................................................................................2
TASK 1............................................................................................................................................2
1.1 Terms regarding the sale of good and supply of services.....................................................2
1.2 Statutory provisions on transfer of property.........................................................................3
1.3 Buyer and seller remedies.....................................................................................................4
1.4 Product liability for faulty goods..........................................................................................4
TASK 2............................................................................................................................................5
2.1 Different types of credit agreements.....................................................................................5
2.2 Rules of termination right.....................................................................................................5
2.3 Features of general agency....................................................................................................6
2.4 Rights and duties of agent.....................................................................................................7
TASK 3............................................................................................................................................7
3.1 Monopolies and anti-competitive practices..........................................................................7
3.2 Role of Competition Commission.........................................................................................8
3.3 Dominant position in EU common market...........................................................................9
3.4 Exemption are available to potential anti-competitive practices..........................................9
TASK 4..........................................................................................................................................10
4.1 Different forms of intellectual property rights....................................................................10
4.2 principle for protection of invention through patent right..................................................11
4.3 Principles relating to copyrights..........................................................................................11
4.4 Protection of trade mark and business names.....................................................................12
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Business law has defined various laws and regulation in which both the parties are bound
with legal terms. It covers different types of laws. The person is entitled to gain all the
knowledge which are related with business law which help them how to form and run the
business. The government has framed many regulation which provide rights to consumers in
order to protect their duties (Zimmerman, 2011). Business law include many federal laws are
included. These laws are made by the parliament and government. In business law various rules
has been establish and every business have to follow. In present report, different types of law has
been discussed such as contract act, sale of goods act and so on. Further, Competition Act 1998
has been discussed. In this act government has imposed some restriction on overseas companies
for entering into in anti competitive practices.
TASK 1
1.1 Terms regarding the sale of good and supply of services
According to Sale of Good Act 1979, this act applies when where two or more than are
changing the tangible products in terms of money. As per the provision of section 2(1) of this act
defines that a contract is made between two parties where they agree to transfer the property in
terms of consideration. The contract which has been done by the seller it may be absolute or
conditional. It depends on the party that in which they are entering in contract (Urice, 2010). On
other side Supply of Goods and Services Act 1982, it covers all the work which are carried out
by the people who provide services in terms of trade. The services should be provided in
reasonable price.
As per given scenario, Ben was the buyer who decided to purchase the car. One day he
checked out that there was a car available in dealer and the price of that car was within his
budget. Next day he went to car dealer and paid the advanced amount 150 pond which was non-
refundable. After few days, when he purchased the car, he took his family for an inter-city
motorway cruise. At some point of time, the engine of car was slow down and stopped and it is
overheating. From this situation Ben got annoyed and decided to return the car. But the car
dealer refuse to take the car back. The reason was behind that he already signed clause 9 which
clearly show that, “after purchasing of from the seller it is not the responsibility of their. It the

responsibility of buyer to check the products before buying them”. The sale was made in
absolute.
The following are some terms and conditions which are implied at the time of selling the
goods to customers. These implied conditions are applied on buyer and seller.
Title – When the goods are sold by the seller to buyer then along with this title also
transfer to buyer. Through the title it indicates that whether the products is belonging to right of
seller or not.
Sale of description of goods – It the responsibility of buyer to provide proper description
of products and services to customers (Tushnet, 2016). The products can be classified according
to their features, brand etc. If seller does not do that then it became his/her liability to
compensate the amount to buyer.
1.2 Statutory provisions on transfer of property
There are numerous rules and regulations which has been made in the provision of sales
of good act. These provision are applied to both the parties buyer and seller while making any
sale of products and services. There are some provision which has to be followed by the buyer
and seller at the time of selling the goods. Ben also have to considered all the provision.
Intention of parties – While making any contract with anyone it is responsible of both
the parties to clarified. Through this it will be came to know about that whether the party is
interested in selling or purchasing the goods. In given case scenario, it clearly showed that the
nature of Ben is serious about the purchase of car.
Transfer of ownership – When the goods has been sold by the seller to buyer then along
with the all the rights of buyer are also transferred. It also transferred all the risk which are
associated with the goods.
Specific goods – The seller has to specify all the goods which they are selling to buyer
(Renke, Roestoff and Haupt, 2017). When there is formation of contract then seller should
convey that these goods are going to sale. In given scenario, there is a unconditional sale.
Case law, Rowland v Divall [1932] 2 KB 500, In this decision of court held that the
defendant have not any rights to sell the goods in which he have not obtain the title from the
thief. The ownership of products ever remain with the primary buyer. The claimant is not entitled
to pay any compensation for the activity which was carried out by the car.

1.3 Buyer and seller remedies
In sale of good act, it has also defined the remedies of buyer and seller in regard to
purchase and sale of products and services. These are as follows.
Buyer's remedy:
Damage of non delivery of goods – When the seller wrong fully refuses or neglects to
deliver the goods to buyer, the buyer have right to to claim against the seller ( Qi, and et. al.,
2010). If there is measure damage of goods which is estimated by the natural resulting in the
ordinary course of business the buyer can breach the contract.
Remedy for breach of warranty – If seller has breach the warranty, then buyer have right
to breach such warranty to reject the entitled goods; but they have to prove that, seller of breach
of warranty is in diminution of the prices or have to maintain the action against the damages for
breach of warranty made by the seller.
Seller remedies:
 If buyer had not paid the amount as per the contract the seller have right to take the action
against them. For an example, C buy the goods from D and C did not paid the amount to
D. then D have right to claim against him.
 If buyer refuses to accept the goods, the seller can also claim for compensating the
amount.
 The seller have right to resale the products if they in perishable in nature.
1.4 Product liability for faulty goods
According to the Consumer protection act, the person have right to claim against the
other person to compensate the amount. If any person is suffer from the injury and it is just
because of defective products which are produced by the manufacturer. Then the person is
responsible for the products to sue against the tort of negligence. The Consumer protection act
1987 was amended by the General Product and safety Regulations 2005. This act introduced the
strict liability on the manufacturer of defective goods (Nayak, 2015). Section 2 of consumer
protection act indicates that producer, supplier, importers are responsible for the defective goods.
The claimant amount should be above 275 pond.
As per given case, Ben has purchase the car from the dealer. After a few days, he took his
car at motor cruise and his car was found with defective. In this case, Ben is liable to recover he

amount from the deal because seller has sold him defective products. The product liability rules
are classified consumer protection act.
TASK 2
2.1 Different types of credit agreements
Credit agreements are legal terms which are using when bank make nay agreements with
the customers. In credit agreement it clearly states the outline of the contract. Both the parties are
required to fulfil all the terms and conditions. The government has framed many rules and
regulations to protect the rights of customers (McKenna, 2010). This act was amended by the
official notification which was now given as consumer credit act 2006. The following are the
different type of credit agreement which can be used by Ben while making any purchase.
Hire purchase – In this when the consumer are ready to take the possession of property
paid to real owner. This purchase is considered as type of borrowings. In this the person can hire
the goods and pay the amount on instalments which is agreed between them. The lender can take
back the goods if person is not able to pay the payments.
Case law, Helby v Matthews 1895, the customer cannot transfer the goods if they are
not having the ownership. This decision was held by the court.
Conditional sale – In this consumer can buy the goods at the end of the contract. The
consumer have right to transfer the goods to third person. Until the final payment has not been
paid by the buyer then lender have right to take the product back.
Credit sale – This is method, where ownership and possession are passes from the start of
the credit agreement by the consumer (Goodwin-Groen and Kelly-Louw, 2016). In this consumer
have right to transfer the ownership to third person. In given case scenario, Ben can purchase the
goods on credit sale.
2.2 Rules of termination right
The termination of credit agreements take place when it was terminated prior to the
agreed time period by both creditor and debtors. The termination is also occurred when debtor
returns the goods due to inability to perform the terms which are made at the time agreements. In
this case, the debtor have to pay the outstanding minimum amount. The creditor can also
terminate the agreement when debtor has done any default in the goods. According to section 94
to 97 of credit agreement the both the parties have to settlement the amount in specific time

period (Galiani and Schargrodsky, 2010). The following are the termination rules in which Ben
can also terminate the agreement.
 When the contract has been terminated by both of the parties due to some circumstances
then termination takes place.
 The creditor have rights to demand the unpaid amount from the debtor.
 When the contract has been terminated, then debtor have to return all the goods with in
the specific time period.
Default notice
In case, if debtor is no able to pay the full amount then creditor have right to first serve
the notice period for recovery of amount. If debtor doe not reply of the notice the creditor can
take the further actions. In given case, when Ben was unable to pay the full amount to creditor,
then creditor have to serve the notice period. In default notice, it should contain all the
information which are required under the consumer credit.
2.3 Features of general agency
The agency occurred when there is legal relationship between the principal and agent to
perform their duties. In this the agent have right to make any contract with the third person on
behalf of principal. In following ways the agency is created between the principal and agents.
Agency by holding out – It is part of law of estoppal. The principal is liable for all the
activities which have been performed by the agent (Feltkamp and Vanbossele, 2011). Agency of
holding out, is an affirmative act so that the principal can establish the proper relation with the
agent.
Agency by rectification – When any wrongful activity has been conducted by the agent
with out any information given to principal or which is not authorised by the principal, then it
agency by rectification.
The following are some some features of agency which has to be properly performed by
agent and principal.
 The principal and third party have capacity to make contract. But the agent does not have
right to do contract.
 When the contract has been done by the agent and any loss has been occurred to party
then principal is liable to pay the compensation amount.

 The reason for making the agency is that it save the time, resources for the principal and
provide benefit form the expert knowledge.
The following are different types agents:
Estate agent – In this these are those agent, who deal in the business of real property
which works on the behalf of the owners.
Commercial agents – These are those agent who have power to sale and purchase the
products and services for the principal (Drobnig, 2010).
Directors – Normally directors are agent of companies. In this partners are also working
who are agent of each other while performing any activity.
2.4 Rights and duties of agent
There various rights and duties of agent which has to performed by the agent and
principal while doing any activity. While performing any duties then it is not necessary to do a
contract between the principal and agent. If Ben has became the agent then following are the
right and duties which has to be considered by him;
Fiduciary duty – In this agent have to be honest with the principal while performing any
duty. There should not be any secret between them regarding the profits so that conflicts will not
take place (Cornish, Llewelyn and Aplin, 2013). The agent have to perform his all function in
good faith.
Duty of skill and care – When the agent is performing any function then they have to
take care that these duties should be performed with due care.
There are some rights of agent
 They are having right in regard to the take the remuneration amount as per the contract.
 The expenses which has been made by them, can be recover by the principal.
 The principal can protect the agent from the illegal rights.
 In some cases the agent has right exercise the lien power.
TASK 3
3.1 Monopolies and anti-competitive practices
Competition Act 1998, provides the update framework in identifying and dealing with the
restrictive business practices. The main purpose of this act is that to harmonise the UK with EU
competition policy and to monitor articles 81 and 82 of Treaty of Amsterdam. The competition

Law in UK is regulated by the Competition Act 1998. this protect the rights of domestic
companies. This act is prohibited with the agreements which are intended to effect on the
domestic companies (Azar, Schmalz and Tecu, 2016). Through this it prevent, restrict and distort
the competition in UK. It covers those situations where there is no actual agreements. There are
many organisations who are using the dominate position in UK. This act provides the penalty of
up to 10% of UK turnover.
In monopolies, there are single supplier in the country who gives harm to domestic
companies. These companies are controlling the market about 25%. The government has to
impose the duty on organisation which are causing damage to domestic companies. The
regulations should also make according to the domestic companies. So that this will be beneficial
for them. In business cartel two or more organisation are not competing with each other in
certain cases.
Case Law, BT group/ IP Trade merger inquiry, The decision of Competition and
Market Authority is that, they cleared that anticipation acquisitions by BT group plc, through it a
subsidiary of of BT (Netherlands) holding BV.
3.2 Role of Competition Commission
Competition competition is the UK body which are set in the 1998, which regulate the
mergers and monopoly powers in UK. It has replace the Monopolies and mergers Commission.
The role competition commission in monopolies and anti competitive practices is that they
makes the recommendations and enforcement the rules which are done by the Office of Fair
Trading and authorities. Competition commission have major responsibilities in merger is for the
public interest or not (Bridge, 2015). There are some factors on which these commission are
looking for; the market share of new firm, local monopolies, importance of research and
development and many more.
They have also see that if any international company is causing any damage to their
domestic companies. Then they have right to imposed penalty on them. They hear the cases on
appeal when the decision was taken by other regulatory bodies. Competition act are also pursue
in the Enterprise and Regulatory Reform Act 2013. they have responsibility to investigate and
control the merger in EU dimension.
Case Law, TESCO plc/ Fresh express store, This case is affected by grocery retailing.
In this case the parties were TECSO which is the large retail store in UK. Another party is

Somerfield Limited which is also grocery store. This store was acquired by Co-operative Group
Limited in February 2009. Last party is FreshXpress Retail Limited which is currently in
administration.
Transaction, In this the contract had been made between TESCO and Somerfield which
was signed for transferring Somerfield's lease to TESCO. This property was located on Four
Acre Lane. The property is not freeholder of Somerfield. It is a lease property which was allow
to FreshXpress to operate.
Jurisdiction, There are relevant facts which are as follows. From FreshXpress, TESCO
had not acquire any tangible and intangible assets. Regarding the goodwill, there are bulk of
customers which are found with the increase in the frequency of grocery shopping. TESCO
passed the material degree but it does not expect by the OFT, then after two or three months the
stor is cloded. For this the consideration was not paid by TESCO to FreshXpress.
Decision, as per information available, the decision of Office of Fair Trading is that the
assignment of lease of property at site are not qualifying under the investigation. This is not
covering in the acts of merger because this is not defined in the section 129 of enterprise act. The
situation of merger has been created but it did not take the place.
3.3 Dominant position in EU common market
Dominant position is strongest position in market. In this the companies are going in
other countries and using their position irrelevancy. So ultimately it impact on the overall
performance of the market. The government of UK are restricting to other companies in order to
trade their business in domestic market (Bridge, 2012). A dominant position is not a itself anti-
competitive but it exploits the position to eliminate the competition. So it is considered as to
have abused. The opinion of EU is that they have many laws regarding this so that domestic
companies and people will feel safe from discrimination.
3.4 Exemption are available to potential anti-competitive practices
In context of EU laws, their aim is enhance and promotes the maintenance of competition
in domestic market. They have to make proper laws and regulations in order to meet with the anti
competitive practices. It can be done by imposing several practices in order to minimise the anti
competitive practices in the country. They have to assure that the parties are doing contract in
appropriate manner which are not causing damages to anyone (Capobianco and Christiansen,
2011). The transaction of business should not engage in any kind of anti-competitive practices

along with them they does not form any cartels and monopolies. The following are the practices
which are available in anti-competitive practices.
 The price of products and services should be fix in appropriate manner which also
include in trading.
 To control the cost of production in context of improvement or for auy ivestment
purpose.
 To restrict the entry of those companies which are becoming barriers for the domestic
market.
The are also some exemption which are provided in relation to anti-competitive practices.
 Abuse of dominance can be considered as for the development of the economy.
 If any company has found with that they have been practice with the abuse of dominant
position then this will be considered as benefit for society.
Case law, Fenin v Commission. In this case Fenin hold the dominant position. The other
companies sue against this country because it is harming to them. The judgement of court is that
this company is providing those goods which cannot provide by other company. So this company
can hold the dominant position in selling of medicines.
TASK 4
4.1 Different forms of intellectual property rights
Intellectual property protects the rights of new invention which has been introduced by
the person. For the innovation of new products and services the government has recognized the
exclusive rights for the innovators. The innovators, artists are granted these exclusive rights for
assessing of some intangible assets (Chong, 2014). The time period is given for a particular
period. For example, business owners have taken the right over the use of their trade mark which
was establish by them. The following are the different types of intellectual property;
Copyright – In this it protect the right of original work of authorship. These works are
include the music, dramatics, sculptural and many more. The duration of copyright are depend
upon the several factors. But generally the right is given for the life of author plus 70 years and
which are non-renewable.
Patent - In this patent is grant the right for the invention. It allows the patent holder to
exclude from using or making the invention (Gallagher, 2012). The person are developing new

and better process for the developing new products and services so that they can gin the
competitive advantage. These rights are related with the industrial process. These rights are
given for a period of 20 years.
Trade mark – Trade mark refers to word, symbol, and many more which distinguish the
source of products and services from their competitors. In order to qualify with the patent
protection, then these mark should be distinctive.
4.2 principle for protection of invention through patent right
The patent rights are using for the suitable innovation. There are many rules and
regulations which are governed by government in order to protect the right of people. The
invention of any product and services should be fall under the category which are demonstrate by
the government (Greaney, 2010). The person to whom patent right is allocated is known as
patentee. If any person prohibits their rights then they are punishable under the provisions. The
infringement regarding these provisions are;
 If any person are selling the new products without the prior approval form the owner
then on that person the penalty will be imposed.
 The owner have right to take the against the person using their rights without their
permission.
 Patentee can claim for the damages amount from other person.
As per case law, Apple and Samsung electronic company, the decision of court held
that Samsung is infringed upon the two products which are same belonging to Apple company.
Beside this, Apple Inc. was also infringed on the product of Samsung company.
4.3 Principles relating to copyrights
The legislation of copyright in UK is coming under the Design and Patent Act 1988 of
part 1 and 2. In part 1 it illustrate all the scope of copyright which is quite wider. Under two, the
original of products and services are unique it does not required any copied. In every country the
government has framed many laws and regulations in order to protect the rights (Vickers, 2010).
The owners have right to make number of copies regarding the their original work so that they
can protect their rights.
The infringement of copy right is that no person has right to use the copyright of the
person without the prior permission from the owner. If anyone found with that the person is
copying something then penalties will be imposed. There are many rules which has been made in

according to infringement can be reduced. One of the best method is to reduce the infringement
is that the person can take the permission from the owner of copyright.
Case law, Star Wars vs Battle star Galactica, the decision of court held that, Star wars
has stolen the new ideas and techniques of Battle star Galactica for the infringement of
copyright. The result of this case was came after the two years in favour of Battle Galactica.
4.4 Protection of trade mark and business names
The person has to protect their rights and trade mark with the using of different rules and
regulations. Business name is used by the person or company for trading business legally. They
registered their names in context of trademark (Whish and Bailey, 2015). The business name are
regulated by the business name act 1985. the following are the difference between trade mark
and business name are as follows.
Business Name Trade Mark
In this the person protects their name from the
competitors while registering the name. A
trade mark for the business person has given
for the 10 years.
These rights are given for the new invention.
The time period for these rights are for 20
years. The time period can also renew after the
period of time.
CONCLUSION
It has been concluded from the above report that the government has framed many rules
and regulation in order to protect the rights of person. It is essential for every business entity to
comply with all rules and regulation in order to provide legal products and services. The owner
of every right holder have to protect their rights. If anyone found with that then they can charge
penalty against them. The government of country have also to see that if any international
company is causing damage to domestic companies then they can take action against them.

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