Business Law and Ethics Case Study: Remedies and Settlements

This case study delves into the complexities of business law and ethics, specifically focusing on a contractual dispute between Raymond, a tax consultant and sole proprietor, and Samantha, a struggling artist. Raymond prepared draft accounts for Samantha, who initially agreed to pay £800 but only...Read More

Business Law and Ethics

Table of Contents
INTRODUCTION...........................................................................................................................4
PART 1 ...........................................................................................................................................4
About case study.........................................................................................................................4
Some possible remedies available for Raymond........................................................................4
Another situation.........................................................................................................................6
Determining Legal positions at full & final settlement:..............................................................6
Conclusive Suggestions for Samantha........................................................................................7
CONCLUSION................................................................................................................................7
REFERENCE...................................................................................................................................8

INTRODUCTION
The legal frameworks carried on by organisation for their businesses come under
business law and ethics. For carrying out various operations of a business entity, provisioning of
legal documents and policies has to be implemented and followed on a consistent basis (Barth
and et.al., 2020). English law of contract in businesses states regulations on agreements done in
England and Wales in consent with the entity or people involved. The law therefore has various
provisions to solve the situation of unsatisfactory in the case with respect to the human rights
given to every individual under the contract.
PART 1
About case study
In present case there are two parties involves based on contract- Raymond and Samantha.
Raymond is tax consultant as well as run their small business as a sole proprietor and offers
advices related to personal taxes. Along with he also works as accountant in taxation depart on
prat time in an organisation. On the other hand Samantha is another one part which is a
struggling artist. On personal basis Raymond comes in contact to Samantha. During that, he
agreed to prepare her some draft accounts business that covers the last three years. In this
Samantha agreed to pay him £800 for his work. He complete his part of contract with full
dedication and prepare accounts for Samantha while Samantha shoes her inability in order to
honour her part of contract and she only pay him £200 for full & final settlement and that
reluctantly accepted by Raymond. After some time Samantha start performing good and one of
her painting sold in £20,000 and that Raymond has just got to know from newspaper. Afterwards
he thinks to get remaining balance £600 from Samantha. Underneath mentioned question are
answered based on above discussed case study:
Some possible remedies available for Raymond
A lawfully valid contract refers to that contact which voluntary involves two or more
parties on the basis of some consideration and that is implemented by law. Contract laws are
those statues which acts as defence tool in term of right and obligations among contractual
parties. It holds some provision that impose relationships along with their terms, validity &
legality among parties to contract with relation to goods, services exchanges or any other matter
like partnership, ownership and possessions (Marchant and Wallach, 2020). In context of breach

contract, one of the most important provision is contract in between both parties. In this either of
party violated the condition of contract or may be the contract has not been fully applied. This
provides aggrieved party a claim in order to seek remedy against it. Remedies tends to an action
which are mentioned under law and that provides relief as well as compensation to innocent
party of breach case. There are many remedies in contract law and that consist compensation
against right related to terminations contract, damages, injection, rescissions along with specific
performance.
In relevance to this, one of remedy is compensation again damages that refers to situation
which involves monetary compensation or replaced goods or services. This curative offers relief
to innocent party and impose claimant back to hat position where the conditions of contract are
meeting. Another remedy to this could be Repudiation which trends to determination of that
conditions which have been breached (Rauf, 2020). If the breached condition are series then
contract many be intermitted or null and void. Also permits calming compensation to innocent
party for their losses or which they suffer. Apart from this, one more remedy is to obtain specific
performance of contract. In it court order to defaulting party that they need to execute some
conditions which are presented in contract but were unfilled and in case of default, damages will
be claimed and due to this contract will be dismiss by restoring pre-contract situations. Further
remedy can be used by aggrieved party could be taking injunction order (West and Buckby,
2020). In it, a court restrict to carry out contractual conditions or entire contract/ rescission of
contract and that involves setting aside of whole contract and restoring the status if contract had
never been entered.
In this case study, it has to be ascertained that £200 has been agreed as a full & final
settlement by Raymond. Sine the amount was accepted in form of cheque. Now two situation
arose either he may be agreed in written form that £200 are for full and final settlement and the
another situation could be that it may be accept that in oral agreement. In context of above all
remedies, if the payment acceptance was in written form then no remedy mentioned above is
applicable as both the parties completely agreed to all contract before agreement and therefore,
no case of breach is included but if there is no written agreement that £200 will be paid to
Raymond as a full & final settlement then Raymond act as innocent party and he have options to
seek renaming balance with the assistance of contract considerations. In this case Raymond have

option to visit court and appeal for specific performance as well as request to lawyer for ordering
Samantha to pay him remaining balance of his fees.
Another situation
Now alternative situation is if Samantha had paid Raymond £200 three weeks earlier than
debt was actually due and Raymond agreeing it on. In this condition it can be often said that
either the amount has been paid as a full & final settle or not if it is agreed by Raymond. So it
required essential checking related to Samantha that she is earning well by performing good and
possess capabilities to pay full addressed amount (YE and CHEN, 2017). Now condition is to see
that whether the part pre payment was carry out with goof faith or not and if it was made in good
faith then it could be proved in court. Additionally in this case two situation arose related to oral
and written agreement. If there will be written agreement then it is a case of breach law
according to pre part payment and that was mutually agreed and no damages will be claimed to
any party in this. Where as for another situation, if part pre payment was agreed with vindictive
intentions then it become a case of Tort law. It incudes jurisdiction over civil wrong, other than
breach of contract, it creates loss and harm to clamant.
In this situation, had tortious act been committed by Samantha can outcome in Raymond
seeking civil remedy that can be left balance. Tortious act can be understood by case law of
Addis v Gramophone Co Ltd, in that claimant work there as a employees. Addis replace and
removed him from his position in a schemed & humiliating way. He visit to court against
company for causing him financial, reputation and mental injury. Jury decide and order to
company for paying commission to claimant (Addis v Gramophone Co. 2021).
Determining Legal positions at full & final settlement
In discussed case , there is a possibility that Raymond might try to cover up his losses.
This may come up with wanting Samantha to pay Raymond £400 to reduce maximum losses in
past at the time of full and final settlement of requests and claims. The above situation calls up
for legal provisioning of losses which may consist of low power of bargaining, loss of reliability,
or liquidation damages leading to loss of prospects in future etc. The disadvantage faced in above
case is loss of reliance where person claiming for approval faces difficulty because there are very
less chances of the expenses recovery after the contract.
Another case familiar to the same situation above of Reed vs. Anglia Television
showcased following provisions of applicable case law. The situation was about Anglia

Television who hired Oliver Reed for a role play which he did not attend. The pack-up of
television play incurred huge loss expenses for Anglia driving her to the court. Hereby, the result
was in favour of Anglia helped her recover losses from Oliver who was help responsible for the
contract by court (Anglia Television v. Reed. 2021).
Conclusive Suggestions for Samantha
One significant solution to come out of the situation problem for Samantha is formulation
of a new contract agreement with Raymond in written regarding £200. The agreement should
prove the voluntary agreement of both parities of the previous amount received in full and final
settlement. This will freed Samantha from any revising-contracts and legal provision in future as
it will be proved that the original contract is complete. The following case example of Wrench
and Hyde case may support the above situation. Hyde here wanted to buy land from Wrench at
£950 in full and final settlement but Wrench offered the contract of £1000 not-negotiable. Hyde
then agreed to buy land at £1000, to which now wrench refused top sell. This made Hyde go to
court and since there was no written agreement of any transaction, Wrench won the case having
right to refuse with no obligations (Hyde v Wrench. 2021). In a similar manner, Samantha may
also have the right to put up original contract conditions, declaring the counter- agreement void.
CONCLUSION
It can be concluded from above studied case, that here are many aspects that can be
adopted before approaching to the court. . The case study given showcases some of the
fulfilment challenges faced by attendees of painting contract. Also many provisions of English
Contract Law are stated showcasing different options availability on a legal basis. Agreement of
both parties is important and should be carefully examined before filing a case.

REFERENCE
Books & Journal
Barth, J. R., and et.al., 2020. Cryptocurrency valuation and ethics: a text analytic
approach. Journal of Management Analytics. 7(3). pp.367-388.
Marchant, G. E. and Wallach, W. eds., 2020. Emerging technologies: ethics, law and
governance. Routledge.
Rauf, A. A., 2020. New moralities for new media? Assessing the role of social media in acts of
terror and providing points of deliberation for business ethics. Journal of Business Ethics,
pp.1-23.
West, A. and Buckby, S., 2020. Ethics education in the qualification of professional accountants:
Insights from Australia and New Zealand. Journal of Business Ethics. 164(1). pp.61-80.
YE, M. and CHEN, G. H., 2017. Problems of and Solutions to Business Ethics in the View of
Anti-Unfair Competition Law. Journal of Southwest University of Political Science and
Law. (5). p.9.
Online
Addis v Gramophone Co. 2021. [Online]. Available
through:<https://www.oxbridgenotes.co.uk/law_cases/addis-v-gramophone-co>
Anglia Television v. Reed. 2021. [Online]. Available
through:<https://www.casebriefs.com/blog/law/contracts/contracts-keyed-to-calamari/
enforcement-remedies/anglia-television-v-reed/>
Hyde v Wrench. 2021. [Online]. Available
through:<https://www.oxfordlawtrove.com/view/10.1093/he/9780191883750.001.0001/
he-9780191883750-chapter-12>