Business Law Report: Sales, Credit, and Intellectual Property Rights

This report delves into various aspects of business law, commencing with an examination of the Sales of Goods Act, 1979, including implied terms, transfer of property, and remedies for buyers and sellers. It then explores product liability, consumer credit agreements, and the distinctions between various credit types, including rules, termination rights, and default notices. The report further addresses monopolies, anti-competitive practices, and the role of the competition commission. Finally, it covers intellectual property, detailing different forms, patent rights, copyright protection, and trademarks. The report provides a comprehensive overview of key legal concepts affecting business operations and consumer protection.

BUSINESS LAW

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Legal rules on implied terms related to sales of goods and supply of services................1
1.2 Statutory provision on the transfer of property and possession.......................................2
1.3 Statutory provision on buyer's and seller's remedies........................................................2
1.4 Product liability statutory provisions................................................................................3
TASK 2............................................................................................................................................4
2.1 Difference between types of credit agreements................................................................4
2.2 Rules, termination rights and default notice.....................................................................5
2.3 Difference between different types of agents...................................................................6
2.4 Rights and duties of agent................................................................................................6
TASK 3............................................................................................................................................7
3.1 Outline monopolies and anti – competitive practice legislation......................................7
3.2 Role of competition commission in relation to monopolies and anti-competitive practices 8
3.3 Dominant position within the EU common market..........................................................8
3.4 Application of EU exemptions.........................................................................................9
TASK 4..........................................................................................................................................10
4.1 Forms of intellectual property........................................................................................10
4.2 Principles relating to protection of invention through patent rights...............................10
4.3 Principles relating to copyright protection and their infringement................................11
4.4 Comparing and contrasting the protection of trademarks and business names..............12
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................14

INTRODUCTION
Business law is a combination of laws or legislation and helps manager to run business.
Each and every kind of company has to follow rules and regulations which is connected to their
organisation (Business law, 2017). It may consists all rules which can start from initial phase and
ends with liquidation. In this assignment there is a description of various cases. Fundamental
purpose of this report is to determine principle which can affect legal relationship amongst
business organisations and their clients (Bagley and Dauchy, 2011). If people are going to make
a contract then there must be some consideration amongst them. If there is monopoly in market
then firm can develop polices as per their own. Along with this, it is essential to know
intellectual rights for people so that they can use it in an adequate manner.
TASK 1
1.1 Legal rules on implied terms related to sales of goods and supply of services
Sales of goods act, 1979: When an individual get into an agreement into under
consideration for sale then it is essential to accomplish Sales of goods act. It may include offer,
consideration and acceptance along with many other.
As per section 2 which is associated with sales of goods act, person who is selling his
property has to agree that he will transfer ownership of it for some consideration i.e. price.
Some of the essential prerequisites for this act are mentioned as beneath: Consideration of money: It is essential that while seller is selling his goods to buyer then
he has to pay some price for that (Cameron, 2017). Sale and contract to sell: If possession of property is immediately conveyed to the
purchaser then it is considered as sale. Whereas, if it will be going to happen in the future
then it is known as sell agreement.
 Goods: Existence of items are mandatory and along with this it has to be transfer from a
person to another.
Terms which are implied in nature can be used for both the parties and thus, they can
solve their conflicts.
 As indicated by section 12 of sales of goods act, it is related with the title of goods.
According to this, items have to be as per their title and along with this, it may consist of
private sale circumstances as well as purchasing can be done on online basis also.
1

 As per section 13 of sales of goods act, it is connected with the description of items. With
reference of case while Steve is selling a car, he has to describe each and every thing
about it but he don't do this. Same with the buyer whose name is Paul; he noticed some
patches in the car and for this, Steve gave him some discount. But after some months, he
noticed that there are also some other problems in it, but it is the mistake of both of them
equally (Clarkson, Miller and Cross, 2014).
1.2 Statutory provision on the transfer of property and possession
Fundamental purpose of agreement which is associated with the sales of goods act is that
an individual who is selling items get some consideration i.e. price and along with this, buyer
acquires possession of property which is provided by the vendor. If items pass and conflicts arise
then it is not much easy to determine that parties has become bankrupt and merchandise has been
damaged.
There are various rules which can be identified when items are passed is prohibited in
Sales and goods act. Regulations basically depend on the property and along with this, it has to
be a specific item (Law and business, 2017).
 If stocks are determined then possession of property can be easily conveyed. It is stated
under the section 16 of sales of goods act.
 Purpose is essential while selling or buying any item to people, then it does not matter
that it is specific in nature. It is presented in section 17 which is related with sales of good
act, 1979.
 Section 19 of SGA, 1979 gives privilege to vendor that he can discard goods title which
he is going to cater to the buyer (Czinkota, Ronkainen and Moffett, 2011).
 While seller is selling product then risk is also passed to him which is associated with it.
It is stated in section 20 which is connected to sales of goods act, 1979.
Hence, it has been concluded that Henry has to comply all the provisions while he is
selling computers. Along with this, there is entire mistake is related to him only and along with
this purchasers alos and their names are Arthur, Ben and Carl can sue him.
1.3 Statutory provision on buyer's and seller's remedies
There are various remedies which are associated with legal condition on the purchaser as
well as vendor. These are mentioned as below:
2

Redress which is connected with seller deals in both section 49 as well as 50 of Sales of
goods act, 1979.
 If buyer is refuses that he is paying amount of property, then seller has a right to take
immediate action against him. Purchaser will get remedy that he can counterbalance for
payment of vendor or value can be calculated according to the delay of payment and
buyer has to pay that amount on the day on which he gets item. It is stated in section 49
which is connected with sales of goods act, 1979.
 Section 50 of SGA, 1979 is related with when purchaser refuse that he is going to accept
the property. Then vendor will get compensate from buyer and it can be calculated as
distinction amongst price of agreement and along with this existing time when items has
been transfer to client (Crane and Matten, 2016).
There are several remedies linked with the buyer which are discussed as below:
 Damages: An individual who purchases any item can claim for his or her right, but it is
essential for him or her that he/she has to represent the loss from which he is undergoes.
 Rejection: Customers have privilege that they can reject entire merchandise if it is not
according to the terms as well as conditions which are mentioned in the agreement.
 Specific performance: Tribunal can pass an order to both the parties that they have to
perform their right while contract is breached by them.
1.4 Product liability statutory provisions
Product liability statutory provisions are basically related with inaccurate or defective products.
Some are mentioned as beneath:
 Liability in context of consumer protection act, 1987: As indicated by this act, if any
person gets injured due to inappropriate product then he can take legal action in against
of vendor. But it is necessary for the buyer to prove that products are inaccurate. In many
situations, tribunal can determine that items are imperfect. If it has been proved then
supplier has to compensate the client for his loss. Along with this, if customer finds that
goods are faulty then he can sue within 3 years from the date of purchase (Dickerson,
2011).
 Liability in agreement: Whenever clients buy items from vendor then they are
automatically get into the contract. As a result, if products are in appropriate quality then
customers can easily claim for the harm.
3

 Liability in tort: If there is no written agreement in between the buyer and seller, then
obligation of tort will arise. Along with this, third person can also claim for the privilege.
But it is essential for him to prove that merchandise is inappropriate.
With reference to the case, the entire fault is related with Jane. He purchased Apple cider
from Robert who was a local retailer. At this, there was a written warning that in a day person
can only take 50ml but he consumed 500ml. As a result, buyer cannot sue on the purchaser
because whole fault is of him i.e. Jane.
TASK 2
2.1 Difference between types of credit agreements
Consumer credit agreement act, 1974: This act is formulated so that interest of clients
can be protected. This is also get modified through consumer credit act, 2006.
Meaning of Consumer credit: As per this, customers can acquire loan from their business,
hire purchase agreements and so on for limited period of time and when it is complete then it is
essential for the person to pay principal value to debtor (Fitzgerald and et. al., 2011).
Credit sale agreement  It can be utilized by people if they want to buy any
luxurious item.
 As per this, client will get loan for limited time period and
then after they have to pay amount equivalent monthly
instalments.
 Possession can be conveyed to client when agreement is
made.
Hire purchase  As indicated by this, payment has to be made each and
every month.
 Control cannot be transferred until complete amount is
paid.
Hire contract  Items can be hired and payment has to be made on
monthly basis.
 Ownership of products has not been conveyed.
 After ending up of an agreement, goods will get back to
4

the supplier (Folsom and et. al., 2012).
Conditional contract  It is much similar as a hire purchase contract.
 Along with this, ownership will not be transferred until
payment is not fully paid.
Debtor – creditor supplier
agreement
 It can be created by creditor amongst vendor and can be
related with current contract or any reflection of
forthcoming agreement.
2.2 Rules, termination rights and default notice
Obligations which are associated with the right of termination have been utilized by
Elena when she got trouble while she is paying debts which is necessary as per the agreement.
 As per hire purchase as well as conditional sale contract, it is essential for the debtor to
provide notice in written to creditor stating that she needs to end agreement.
 When it is terminated then it is essential for the debtor to pay negligible value in contract
and it is important to return items in proper condition.
 As per the section 94, 95, 96 and 97, it is necessary that settlement has to be done as early
as possible (Foss and Knudsen, 2013).
 Along with this, there are many circumstances under which both the parties can end
credit contract before period of time.
Default notice: It has to be provided by payable to receivable. As indicated by the
section 87 (1) which is related with consumer protection act, 1974, it is important for creditor to
send a notice to debtor. Along with this, almost 14 days are provided which started from the date
received to pay liabilities. There are some important information which will be consist as default
notice, such as:
 Enforcement of client credit
 Default notice
 Notice of termination which is related with agreement
If notice which is of default nature is not comprising required data as well as information
then it is not much effective. Along with that, creditor never allows for item recovery. Thus, it is
significant for the debtor to cater permission in context of recovery of merchandise.
5

2.3 Difference between different types of agents
Agency: An agent is an individual who act like a representative of chief. Thus, as per
this, agency of relationship has been developed. It is like a valid agreement amongst the principal
as well as third party. It can be formulated through an expressed contract. There is no ceremonial
prerequisites is essential for persons, if they want to create agency. It can be developed through
written, verbal as well as any deed also (Kinicki and Kreitner, 2012).
There are several features which are associated with agency as mentioned beneath:
 It is essential that both kinds of parties have to be much competent and thus, they can
enter into the agreement.
 With assistance of agency, people can save their time as well as assets.
 In this, there is no deed developed amongst the agent and principal where it has to be
made in between third party and principal.
The types of agents are stated as below:
Estate agents They are those individuals who deal in real or tangible property on the behalf
of proprietor.
Factors These people trade with properties which are tangible in nature.
Brokers They basically deal in non-physical assets.
Auctioneers These individuals fundamentally deal with physical assets and along with this
made auction also.
Commercial
agents
People who do their work as a commercial agent have much power, so that
they can sell as well as buy item. They are also known as autonomous
contractors.
Directors Individuals who are working as an agent for the organisation are called as
directors. People who do their work on the behalf of each other known as
partners (Kitagawa, 2016).
2.4 Rights and duties of agent
There are several duties and obligations which are associated with agents.
Duties: When there is no need to make an agreement amongst agent as well as principal:
6

 Primary responsibility is associated with fiduciary and it is in contest with honesty. It
portrays that they are not making any secret revenues, there is no dispute in relation of
power as well as have better belief.
 Another duty of agent is related with skills, knowledge and care along with diligence.
When it is essential to formulate an agreement amongst agent as well as principal:
 He has to perform all his rights and duties.
 It is essential for him to do their work in good faith and obediently.
Rights: There are certain privileges which survive if there is an existence of a deed.
 They have right to get salary as per their work (Kubasek, Brennan and Browne, 2016).
 They have right to lien over assets at the time of their disposal.
If there is no existence of an agreement then agent will acquire some reasonable expenditures.
TASK 3
3.1 Outline monopolies and anti – competitive practice legislation
Monopoly: If any organisation who has dominance in the marketplace, then it will be treated as
a contention in market of UK.
 If any enterprise has control on market more than approx. 25%.
 If any organisation do merger with any other firm then also it is essential for them to
acquire more than 25% market to be a monopoly firm.
Monopoly can also be created in free market:
 Growth of item at marketplace.
 Merger which are of horizontal in nature can be done amongst enterprises who are
working as a similar kind of business.
Regulatory body of United Kingdom is much concerned with their market. Commission
of monopolies as well as merger have much power and thus, they can easily examine cases and it
will decide as per competition and in addition competition legislation.
There is huge significance in context of competition as mentioned below:
 It is much advantageous for the rivals (Latimer, 2012).
 If there is high competition in the market, then buyer will easily get items at low value.
 Customers will have variety of options.
 Merchandise quality is also adequate.
7

 People have too much choices.
Anti-competitive practices: It is restricted in many ways under competition act of United
Kingdom:
 Parties can prohibit competition by formulating an agreement.
 They are much related but they can easily influence in UK as well as EU.
Competition act, 1998: This act helps to run contention in the marketplace. It basically restricts
monopoly as well anti-competitive contracts. Article 101 is fundamentally connected with
agreements which are anti-competitive.
3.2 Role of competition commission in relation to monopolies and anti-competitive practices
Contention commission is like an aspect which is accountable for examining mergers as
well as other enquiry which is connected to many industries which are basically control in
United Kingdom. It replaced mergers as well as Monopolies commission (Mann and Roberts,
2011).
There are many duties of competition commission as mentioned beneath:
 It is necessary for them to analyse merger, market as well as other industries, thus they
can develop a healthy competition at marketplace.
 Commission of competition deals with many cases in context of fair trading office.
 It basically deals with requests.
Office of fair trading: In the United Kingdom, it is important for company to get ensured that
all business is fulfil each and every rules as well as regulations.
 If an individual finds that there is breach of an agreement then they have all power to
examine it in an appropriate way.
 Along with this, if there is any sort of enforcement then it must be taken into under
consideration.
3.3 Dominant position within the EU common market
Dominant position: As per this, company has market share and they have an appropriate
control over circumstances of market (Miller, 2015). If any organisation has an independent
position in the market then they can easily do their work in an effective way with their clients
and rivals. This form of enterprise has almost more than 50% part of the market.
8

If there is any abuse regarding dominant position then it can be dealt under article 102
which is associated with competition act. In UK as well as EU, it is considered as an illegal sort
of business as they have proper control over the marketplace. As they impose prices and
conditions as per their choices, thus, they usually exploit customers. Many a times, they develop
a strong market position so that they do not cater an adequate facilities to their buyers.
As per the article 102, there are many kinds of instruments which can be utilized so that
people can check out insult in relation to dominant position as mentioned beneath:
 If any organisation is imposing unfair practice on sell and purchase value of item
 Sometimes, they make a limit of their production of an item.
 Company applies various conditions if people are doing similar nature of transactions.
 Manager is charging different amount from their clients.
Exemptions:
 If company represents that insult is essential then they can secure their business.
 If organisation shows an appropriate justification regarding their bad behaviour (Posner,
2014)
3.4 Application of EU exemptions
Each and every kind of association who are utilizing dominant position at marketplace
then it will be restricted, as it can influence trade individuals of nation. Along with this, it is not
much compatible in commercial centre.
There are many exemptions in this context as described below:
 If any organisation believes that their bad behaviour is important to save their business or
can say that they provide valid justification of their inappropriate actions.
 In market, sometimes, there are various situations in which abuse of clients is essential. If
association renders valid explanation of this, then it will be considered as an exemption.
 Advantages in context of profits must be equally divided between the clients and it is
done without any sort of discrimination.
 Items as well as services which are developed by organisations have to improve the
economy of country (Snyder and Deaux, 2012).
9

TASK 4
4.1 Forms of intellectual property
Fundamentally, it is related with actual work of people which cannot be bought as well as
sold in the marketplace. Along with this, there is no physical existence of intellectual properties.
There is an act which is created in the UK in this regard and it is known as Intellectual property
act, 2014. It comprises of each and every registration procedure, remedies and so on.
There are many kinds of intellectual property as described below:
 Patent: This is basically provided when there is creation of any new innovation, but it is
not given for the discovery. As per this right, owner of creation has privilege to secure
their creation so that no person can sell or utilize it without the approval of him. It can be
granted to people for not more than 20 years and time will be calculated from the day
when it gets certified (Spalding, 2011).
 Trade mark: With assistance of this, people can easily make difference amongst their
own items with other people. With the help of this, clients can easily identify their choice
of product.
 Copy right: If any individual has any unique thought then he or she can take copyright
on it and protect from other people from using it.
 Design: It can also get secured and consists of colour, shape, item text and so on.
4.2 Principles relating to protection of invention through patent rights
Fundamentally, patent is provided to innovation rather than any kind of discovery. It is
catered to patentee and they have privilege to secure it form other individuals from selling as
well as using. But if anyone wants to utilize it then he or she can grant permission regarding this
from patentee. If person wants to take patent right then he or she has to fulfil some essential
conditions which are stated as below:
 Individual has to create something new.
 Phase which is associated with invention need not to be evident.
 Innovation has to be utilize in company (Bagley and Dauchy, 2011).
It can be catered for maximum 20 years and again can be renewed for at least 4 more
years. But if patentee forget about renovation then any person can use it without their approval.
10

In context of scenario, there are many rights of Jimmy when there is infringement of patent and it
is discussed as:
 If any individual utilizes their invention without taking permission then there will be
existence of conflict.
 Patentee can take a legal action against the people who are using or selling their
innovation.
 Person who use creation of patentee has to pay for the damages.
4.3 Principles relating to copyright protection and their infringement
Copyright is an intellectual property right which can be provided by regulatory body to
people for their unique thought and actual work (Cameron, 2017). There is an act which is
connected with this named copyright, design and patent act, 1988 in the United Kingdom. Work
will comprise of:
 Any kind of writing work such as novel, songs and so on
 Dance as well as drama
 Musical work
 Work which is related with broadcasting
 Any form of recording work like music and so forth
It can be rendered to people for maximum 70 years in which almost 50 years for security
of work if it is developed with assistance of computer. If there is a contract which is associated
with typographical then time limit will be 25 years.
As per the section 16 (1), there are some exclusive privileges:
 Proprietor has right that he or she can display their work in public.
 They can develop many copies of their actual work.
 For presentation of their work, they can use many mediums such as film, drama and so
on.
Hence, no individual has any right that he/she can sell the owner's work to others without
taking approval of actual proprietor. If anyone can do that then he has a right to compensate for
their damages and he can file a case against him (Clarkson, Miller and Cross, 2014).
There are many remedies which can cater to the owner of copyright as mentioned below:
 Injunction
 Damages
11

With reference to the given scenario, Adam can file a case on Daniel as he copied his ideas
of writing the book.
4.4 Comparing and contrasting the protection of trademarks and business names
Trademark Business names
 Fundamentally, trademark is use by
people so that they can make
differentiation amongst their products
and services from others.
 If an individual wants to registered it
then he has to go to the office of
intellectual property. It will consists
logo, words or may be aggregation of
both.
 Trademark is provided for maximum
10 years.
 By using trademark any people can
restrain others from using it.
 Whereas, name of business is utilized
by persons, thus they can operate their
business.
 It is not essential that name of business
is registered, but if any person is using
the name of other then registration is
must.
 Whereas there is no fix time period in
context of business name (Czinkota,
Ronkainen and Moffett, 2011).
 But as per name of business, they do
not have any right to stop any one.
CONCLUSION
As per the above report, it can be concluded that every company has to follow rules and
regulations that are imposed by government in their business. If there is monopoly in the market
then there is lack of competition. In this report, there is a description about the role of
competition commission which is in context of monopolies and anti-competitive practices. Along
with this, it is essential to determine many kinds of agents so that differences can be identified.
Additionally, there is a comparison in between trademark as well as business names.
12

REFERENCES
Books and Journals
Bagley, C. E. and Dauchy, C. E., 2011. The entrepreneur's guide to business law. Nelson
Education.
Cameron, P., 2017. International Energy Investment Law: The Pursuit of Stability. OUP
Catalogue.
Clarkson, K., Miller, R. and Cross, F., 2014. Business Law: Texts and Cases. Nelson Education.
Crane, A. and Matten, D., 2016. Business ethics: Managing corporate citizenship and
sustainability in the age of globalization. Oxford University Press.
Czinkota, M., Ronkainen, I. A. and Moffett, M. H., 2011. International business. Wiley.
Dickerson, C. M., 2011. Informal-Sector Entrepreneurs, Development and Formal Law: A
Functional Understanding of Business Law. The American Journal of Comparative Law.
59(1). pp.179-226.
Fitzgerald, A. M. and et. al., 2011. Internet and e-commerce law, business and policy. Thomson
Reuters (Professional) Australia Ltd.
Folsom, R. H. and et. al., 2012. International business transactions: a problem-oriented
coursebook. ThomsonReuters.
Foss, N. J. and Knudsen, C. eds., 2013. Towards a competence theory of the firm (Vol. 2).
Routledge.
Kinicki, A. and Kreitner, R., 2012. Organizational behavior: Key concepts, skills & best
practices. McGraw-Hill Irwin.
Kitagawa, Z., 2016. Administrative Regulations (Vol. 4). Doing Business in Japan.
Kubasek, N. K., Brennan, B. A. and Browne, M. N., 2016. The legal environment of business: A
critical thinking approach. Pearson.
Latimer, P., 2012. Australian Business Law 2012. CCH Australia Limited.
Mann, R. A. and Roberts, B. S., 2011. Smith and Roberson’s business law. Cengage Learning.
Miller, R. L., 2015. Business Law Today, Standard: Text & Summarized Cases. Nelson
Education.
Posner, R. A., 2014. Economic analysis of law. Wolters Kluwer Law & Business.
Snyder, M. and Deaux, K., 2012. Personality and social psychology. In The Oxford handbook of
personality and social psychology.
13

Spalding, A. B., 2011. The Irony of International Business Law: US Progressivism, China’s New
Laissez Faire, and Their Impact in the Developing World.
Online
Business law. 2017. [Online]. Available through:
<http://www.martintolhurst.co.uk/site/services/business-law-solicitors/>. [Accessed on
21st August 2017].
Law and Business. 2017. [Online]. Available through:
<http://hls.harvard.edu/dept/academics/programs-of-study/law-and-business/>. [Accessed
on 21st August 2017].
14