Business Law: An Analysis of Sales, Credit, and Intellectual Property

This report provides a comprehensive overview of several key aspects of business law. It begins by examining the legal rules relating to the Sales of Goods Act and the Supply of Service Act, including implied terms and provisions for transfer of property and possession. It then outlines the remedies available to both buyers and sellers under the Sales of Goods Act and offers advice on product liability legal rules for faulty goods. The report further discusses the types of credit agreements available for purchasing a car, focusing on consumer protection legal provisions and default notices. It also explores agency law, including the features and types of agents, as well as the rights and duties of an agent. Finally, it delves into intellectual property rights, comparing patents, copyrights, trademarks, and business names, and outlining principles for their protection and infringement prevention. This detailed analysis aims to provide a thorough understanding of these critical legal concepts in a business context.

BUSINESS LAW

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
1.1 Legal rules relating to sales of goods act and supply of service act.................................3
1.2 Provisions of the transfer of property and possession......................................................4
1.3 The statutory provisions that provides remedies to the buyer and seller in sales of goods
act...........................................................................................................................................5
1.4 The advice on product liability legal rules and statutory provisions for faulty goods ...6
TASK 2............................................................................................................................................7
2.1 Types of credit agreements that are available to buy a car by Mr. Ben...........................7
2.2 Legal provisions on termination of the rights and default notice for Ben as consumer in
case problem in future paying the debts.................................................................................7
2.3 The general features that the agency have and the types of agents.................................8
2.4 The rights and duties of an agent toward the Ben............................................................9
TASK 3..........................................................................................................................................10
Covered in Presentation........................................................................................................10
TASK 4..........................................................................................................................................10
4.1 Different types of intellectual property right..................................................................10
4.2 The principles relating to the protection of patent right and the rules that prevent its
infringement ........................................................................................................................11
4.3 Principles relating to the protection of copyright and legal rules that prevent its
infringement.........................................................................................................................11
4.4 Comparison and contrast the protection of trademark and business names...................12
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13
Books and Journals...............................................................................................................13
Online...................................................................................................................................14

INTRODUCTION
Commercial law is considered as business law and corporate law. It is the part of the law
that is applied on right, relation, working of individual and on the business of commerce and
sales. It deals with the private laws as well as with the public law. Laws are formed to provide
protection to the customer and to the market. There are many laws that provide protection to the
customer as sales of goods act, consumer credit and agency agreement law, competition law,
intellectual property law. These laws provide adequate safety to the people who are taking
services of the company (Halbert and Ingulli, 2011).
TASK 1
1.1 Legal rules relating to sales of goods act and supply of service act
Sales of Goods act and supply of service act provides adequate protection to the customer
who are taking services of the company. This act provides them protection against the
misconducts of the seller. If any hindrance arise in the goods and services of the seller then buyer
can make complain in this regard. Buyer also has power to move to the court, when seller does
not clarify the issue.
Implied terms-
These are the terms that are described in the contract. These are the terms that the company and
seller required to follow (Johnson, 2013).
The sources of such terms are-
 Court
 Customs
 Statute
Following are the Implied term in Sales of Goods and supply of service act are as follows:
1. Section 11 of the act describes that the conditions and warranties are different.
2. The conditions and warranties is different as described under the act under section 11.
3. As per section 12 of the act-
 The liability of the seller toward the buyer is to provide the goods according to the
conditions specified in the contract other will it will be treated as the breach of
contract.

 Warranty regarding the goods by the seller to the buyer that the goods is in good
condition as per the needs of the customer and purchaser has the right to take the
possession of the goods.
3. Section 13 provides that, if a person purchases the goods from internet then it is the
liability of the seller to provide goods as per the description mentioned, otherwise it will
be treated as breach of contract.
4. Section 14 is related to the terms of quality, the goods that is provided by the seller must
be of good quality and fit to use. It must be durable, effective, free from damage.
5. Section 15 is related to the sample, it considers that the bulk must have the same quality
as in the sample (Kubasek, Brennan and Browne, 2016).
1.2 Provisions of the transfer of property and possession
Following are the statutory provisions of the act that can provide safety to the Mr. Ben-
The statutory provisions of transfer of property covered under section 16 to 20 of the act.
Following are the specification of the sections:
 Section 16 says that to transfer the ownership of the goods, it is required that the goods
must be ascertained. The ownership of the unascertained goods will not be transferred to
any other person.
 Section 17 of the act deals with the provision that if the parties do not show their
intention then the goods will not be transferred to the others, whether the goods are
ascertained.
 Section 18 of the act provides five rules that are required to transfer the property.
Rule 1- If there is unconditional contract as well as the sale of ascertained goods then such can
be transferred at the time of execution of contract.
Rule 2- The property will not be transferred to others if something is done for the goods unless it
is not completed.
Rule 3- The measurement must be done before transferring the property.
Rule 4- If the approval is required for any goods then the ownership will be transferred only if
the approval is received (Bishara and Westermann‐Behaylo, 2012).
Rule 5- The ownership of the unconditional goods can be transferred to any other person. The act
also included determine by exhaustion and also ownership with others.

 The Right of disposal is covered under section 19 of the act. It tells that the right to retain
the disposal is under the hand of seller. If the goods is refused by the buyer then seller
can retain the title of such goods..
 As per section 20 of the act, risk that is associated with the goods is also passes with the
transfer of ownership of the property. When the company dissolves, the property and the
goods that is in control of the company does not belongs to the company.
1.3 The statutory provisions that provides remedies to the buyer and seller in sales of goods act
Following are the provisions in the act on buyer and seller remedies-
Section 49 and 50 deal with the personnel remedy of seller.
Section 49- related to the action of price
1) If the seller transfers the goods and buyer is not ready to pay for the same then the action
can be taken by the seller against the buyer (Ye and et. al., 2011).
2) Seller has the right to take the interest from the buyer if buyer do not make the payment
or make late payment. Interest will be started from the starting day when the goods was
transferred or from the day on which price was payable to the seller.
Section 50- is related to the provision when the buyer do not accepts the goods.
1) The seller has right to take action, when buyer refuses to accept the goods.
2) The damage is the estimated loss that occurs due to non acceptance of goods by the
buyer.
There is a market available to measure the damage. The contract price and the market
price is different from each other, the price of the goods at the time of acceptance or the price at
the time of refusal by the buyer. Buyer has the protection when the something happened wrong
by the seller. If the provider do not provide the goods according to the terms and conditions of
the contract then it is considered as the breach of the contract. Buyer has protection by the way
of compensation.
 Rejection- It is the right of the buyer to reject the goods if the goods do not provide to the
buyer with in the specified time (Spalding, 2011).
 Damage- Buyer has the right to claim for the damages, if the mistake is in the hand of
seller.
 Specific Performance- At the time of breach of contract then the court has power for
specific performance.

1.4 The advice on product liability legal rules and statutory provisions for faulty goods
Faulty goods mean the goods which do not cause personal injury but also cause damage
to the property. Component manufacturer and finished product manufacturer are liable for this.
In the present situation, due to the faulty car Mr. Ben got an accident and it causes personal
injury to his family member. Now, the person who got injured in accident wants to make a claim
then the person has to accomplish following guidelines in the tort, contact and statute.
 The defect is in product.
 If the seller provides defective goods to the buyer then such person is legally liable for
this.
 It causes losses to the applicant (Scholes, 2015).
Following are the statutory provisions as-
 Liability in tort-
Any person can make application for the claim for providing defective goods and it is not
necessary to have contractual relationship. In the present case family member of Mr. Ben can
also make claim for the personal injury. But it is required to prove that seller had provided
defective goods.
 Liability in Contact-
Person who make claim, it is required to have contractual relationship between the buyer and the
seller then buyer can get the losses from the seller. If the seller becomes insolvent then there is
no option available to the buyer to get the claim for damages.
 Liability in consumer protection act-
In it, it is required to show before the court by the buyer that seller had provided defective goods
and due to this buyer suffered loss. If the court finds that the goods was defective and buyer
suffered loss then seller has to compensate.
TASK 2
2.1 Types of credit agreements that are available to buy a car by Mr. Ben.
Consumer credit agreement is the agreement, in this consumer borrows the money by way of
loan from the business. Here, the consumer is the borrower and the business is the creditor. The
consumer credit act 1974, it is further amended by consumer credit act 2006 provides protection
to the consumer (Mann and Roberts, 2011).

Following are the Credits that are available at the time of making credit as-
1) Hire Purchase:
In this, user has possession of the property but not the right to transfer the property because
ownership of the property in not in his hand. The consumer has to make the payment to the
creditor with in the specified period.
2) Conditional sale:
In this, person has to purchase the goods as per the demand of the contact. The ownership of the
goods is passes to the other party. It is similar to the hire purchase but it is less favourable. Most
people use hire purchase.
3) Credit sale:
In this, possession of the goods is transferred at the time of start of contract to the user.
There are many loans that are furnished by the bank as-
 Overdraft- In this consumer can withdraw money over the the actual amount deposited in
the account but there is certain limit specified for overdraft (Latimer, 2012).
 Personal loan- In this, bank provides loan and charge interest for such facility.
 Ordinary loan- It is provided for the specific purpose and separate account is opened in
the bank to repay the such loan.
 Credit Card- This facility is provided by the bank to the buyer. It covers the credit card
that is issued by the bank, charge card, retailer card.
2.2 Legal provisions on termination of the rights and default notice for Ben as consumer in case
problem in future paying the debts
There are number of situation where any of the party can terminate the credit agreement.
 Section 94 to 97 covers that debtor can make the payment before the time period.
 Section 98 to 101 covers that debtor can terminate the goods if such goods is not as per
the agreement. It arises when the creditor gets the goods due to the default in the goods
made by the debtor. This is the duty of the debtor to pay minimal amount to the creditor
and give the goods back in good condition (Laycock, 2010).
 It is required by the creditor to issue the notice to the buyer, when there is breach of
contact is in the hand of the buyer. So that amount for the goods can be recovered by the
buyer to breach the contact.

 Creditor terminates the agreement and demand the payment form the buyer as earlier as
buyer can.
 The possession of the goods is recovered by the creditor and they make arrangement to
sell such goods to the others so that amount can be recovered.
 All the rights of the debtor on the goods are terminated and debtor do not carry any right
on such goods.
2.3 The general features that the agency have and the types of agents
There are 2 persons involved in the agency i.e. Principal that is the owner of the agency and the
agent. It is required for the success of the agency that there must be good relationship among the
principal and the agent. It is required for the success of the agency. There is a contact in which
agent enter into the contact with the other party on behalf of the agency.
Following are the general characteristic of the agency as-
1) The Principal and the other party both are capable to execute their contact (Kubasek,
Brennan and Browne, 2016).
2) The relationship among the principal and the agent is not the contractual relationship.
Agent is the one who make contract with the third party on behalf of the agency.
3) Agent saves time and the resources of the principal as the principal need not to make
direct relation with the client, this work is done by the agent.
4) The principal is liable for the acts of the agent that is performed within the authority of
the agent.
5) Agency is hire by the some businesses to check that everything is going smoothly or not.
Following are the different type of agents as-
1) Estate agent:
This agent deals in the real estate sector. It perform its duties on behalf of the owner. It is the
duty of such agent to provide adequate protection to the property.
2) Factors agent:
This type of agent deals with the tangible assets as the asset which is in physical form as
machinery, land, building (Johnson, 2013).
3) Brokers:
Such agents deals in intangible property as insurance scheme, life care scheme etc. Intangible
property means the property that has no physical appearance.

4) Auctioneers:
They deals with the real and tangible property. They generally deals in auction of the tangible
property held in public.
5) Commercial agents:
They buy and sell the goods for the principal. They make transaction on behalf of principal.
2.4 The rights and duties of an agent toward the Ben
Following are the rights of the agent as-
1) When there is contract between principal and agent then the remuneration is paid. Agent
receives the remuneration during the period when agent performs their duties in the
organisation (Halbert and Ingulli, 2011).
2) When the contract is in existence then the agent has right over the property.
3) When no contract exists then the agent has right to receive the expenditure.
4) Right to perform on behalf of the principal. In this agent has right to take the action and
the principal is liable for the act of the agent.
Following are the duties of the agent as-
1) It is the duty of the agent to not gaining profit when there is no contact exists among the
agent and the principal. Agent has right to take advantage when there is contact with the
principal but if there is no contract then such can not earn money.
2) To provide adequate protection to their customer. Agent perform on behalf of the
principal so it is the duty to provide protection to the clients and customer.
3) Work in good faith and in honesty. Customers correlate with the agent and they have
faith on the agent so it is important to put their best effort to prove the faith of the
customer right (Folsom and et. al., 2012).
TASK 3
Covered in Presentation
TASK 4
4.1 Different types of intellectual property right
Intellectual property right-

It is the protection of hard earned creations and ideas from the unfair competition. It helps the
company to the success and growth. It avoids the theft of ideas, design and other innovative ideas
(Eren and et. al., 2012).
There are four type of intellectual property right as-
1) Copyrights
It is related to the authorship. It provides protection to the author in regard of literary works,
music, dramatic work, pantomimes, pictorial, graphic work, artistic work, architectural works,
computer software etc. With the copyright the owner has right to create, display and copy the
work. It provides protection to the owner that his work can not be copied by others.
2) Patents
It grants right in relation to invention. Invention creates many advantages to the owner as it
develops the new and better processes and product that give competitive advantages on the
market (Disch, 2016). The patent can be get by any person by making application to USPTO.
There are following patent as utility, design and plant.
3) Trademark
Trademark is the symbol that makes a business different form the competitor's business.
Trademark may be word, phrase, symbol or any design. One can register its trademark through
USPTO. It is required to check before applying the trademark that same trademark is not
available to the someone else. If it so then same trademark will not be available to the others.
4) Trade Secrets
Trade secret means the formula, process and the device that give many advantages to a business
over the competitor and that make a company differ from the others company. It includes Soda
formulas, Survey results, Computer algorithms and Customer lists etc.
4.2 The principles relating to the protection of patent right and the rules that prevent its
infringement
Patent right provides the adequate safety to the patent holder and others can not use the same
patent with out the prior permission.
It is required to use the patent very carefully because it provides many advantages over the
competitor. There are many rules that provide protection to the holder (Bishara, 2011).
If the patent right is infringed then the patent holder can make a complain of this to the
department and department take the strict action against such person. Department has right to

take the legal action against such personal. The patent holder has the remedy to make a appeal to
the court if the rights are infringed. Court may issue the legal notice to such personal and has
right to impose the fine and punishment on such personal.
Patent infringement is the commission that protects the right of the patent holder. It says that no
body can use the same invention without the prior permission of patent holder. Permission may
be granted in form of licence. It usually considers the using and selling the patented invention.
4.3 Principles relating to the protection of copyright and legal rules that prevent its infringement
It is the protection that defend the right of the holder and others can not take the
advantage for the same. It is the legal that protects artistic, musical or other creative work which
has been meant for the sell (Bishara and Westermann‐Behaylo, 2012).
Rules relating to the protection of the copyright-
 It provides safety to the holder of the right.
 If any right of the holder is infringed by the others then the holder can make application
in this regard to the department.
 The holder of the copy right has the right to make the complain in this regard to the court.
 Court provides adequate safety to the the owner of the copy right.
 The fine and the penalties can be imposed by the authority on the person who cheated the
copy right of the others.
 Oner of the copyright has the right to claim the amount of loss that he/she suffered due to
the infringement.
Infringement of copyrights- It provides the safety to the owner that his right can not be used by
the others with his prior permission. If anybody found by doing this then shall be punishable.
There are many methods available through which owner can protect his right (Appleman,
Appleman and Holmes, 2015).
4.4 Comparison and contrast the protection of trademark and business names
Trade mark provides safety to the company so that their symbol, design can not be
cheated by their competitors. Trademark is the goodwill of the company and it is required to
protect by the company because if not protected then other business can take the advantages of
their business. Business name give the company a global recognition. All companies of UK has
to register the organisation under the Australian Business Number. This registration shows that

their business is legally conducted and registered in legal form. When the business is registered it
provide many advantages to company and provides the advantage to trade in multi state.
It is important for the business to register their trademark and the company name so that
other outsider can not take advantages of their business. Business name is the recognition of the
business in the market. It helps the company to trade in the market. It builds the trust of the
customer toward their organisation. Trademark is for the period of 10 years and when such
period lapsed then it is required for the company to renew their registration so that in the mean
time other can not register with the same trademark (Abdi and Aulakh, 2012).
CONCLUSION
From the above study it can be concluded that business laws are framed to provide
protection the business and to the customer. It helps the company to run their business in more
efficient manner. There are many laws in force that protect the customer and many laws and rule
that protect the company as intellectual property right laws a patent, copyright, trademark etc.
.
REFERENCES
Books and Journals
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Appleman, J.A., Appleman, J and Holmes, E.M., 2015. Excuses for Nonpayment and Defenses to
Actions for Premiums (Vol. 5). Appleman on Insurance Law and Practice.
Bishara, N.D and Westermann‐Behaylo, M., 2012. The Law and Ethics of Restrictions on an
Employee's Post‐Employment Mobility. American Business Law Journal. 49(1). pp.1-61.
Bishara, N.D., 2011. Governance and corruption constraints in the Middle East: Overcoming the
business ethics glass ceiling. American Business Law Journal. 48(2). pp.227-283.
Disch, L., 2016. Representation. In The Oxford Handbook of Feminist Theory.

Eren, S.S and et. al., International Business Machines Corporation, 2012. Caching message
fragments during real-time messaging conversations. U.S. Patent 8,255,473.
Folsom, R.H and et. al., 2012. International business transactions: a problem-oriented
coursebook.
Halbert, T and Ingulli, E., 2011. Law and ethics in the business environment. Cengage Learning.
Haselmann, R., Pistor, K and Vig, V., 2010. How law affects lending. Review of Financial
Studies. 23(2). pp.549-580.
Johnson, L., 2013. Unsettledness Delaware Corporate Law: Business Judgment Rule Corporate
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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.
Laycock, D., 2010. Modern American remedies: cases and materials. Aspen Law & Business.
Mann, R.A and Roberts, B.S., 2011. Smith and Roberson’s business law. Cengage Learning.
Miller, R.L and Cross, F.B., 2012. Business Law, Alternate Edition: Text and Summarized Cases.
Cengage Learning.
Scholes, M.S., 2015. Taxes and business strategy. Prentice Hall.
Spalding, A.B., 2011. The Irony of International Business Law: US Progressivism, China’s New
Laissez Faire, and Their Impact in the Developing World.
Ye, Q and et. al., 2011. The influence of user-generated content on traveler behavior: An
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Online
Goods and supply of services. 2017. [Online]. Available through:
<https://www.slideshare.net/DavidMark15/goods-and-supply-of-services>. [Accessed on 1st May
2017]