Business Law Report: Credit Agreements, Agency, and Competition in UK

This business law report comprehensively examines several key areas of business law, including credit agreements, agency relationships, and competition law within the UK legal framework. The report begins with an analysis of the Sales of Goods Act 1979 and the Consumer Rights Act 2015, focusing on the rights and remedies available to both buyers and sellers in the context of a car purchase. It then explores various types of credit agreements, such as credit cards and bank loans, and discusses the legal implications of debt repayment and termination rights under the Consumer Credit Act 1974. The report further delves into the different types of agents, their rights, and duties, emphasizing fiduciary responsibilities and the avoidance of conflicts of interest. Finally, the report examines legislative and statutory frameworks related to monopolies and anti-competitive practices, including the Enterprise Act 2002 and the Fair Trading Act 1973, highlighting the role of the Competition Commission in promoting fair competition and its impact on the economy.

BUSINESS LAW

TABLE OF CONTENTS
1.1.................................................................................................................................................3
1.2.................................................................................................................................................3
1.3.................................................................................................................................................4
1.4.................................................................................................................................................4
2.1.................................................................................................................................................5
2.2.................................................................................................................................................5
2.3.................................................................................................................................................5
2.4.................................................................................................................................................6
3.1.................................................................................................................................................6
3.2.................................................................................................................................................7
3.3.................................................................................................................................................7
3.4................................................................................................................................................8
4.1.................................................................................................................................................8
4.2.................................................................................................................................................9
4.3.................................................................................................................................................9
4.4...............................................................................................................................................10
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INTRODUCTION
Business law are legislative frameworks that have been created by government for
regulating the business activities (Conley, 2016). Present report mentions about difference
between types of credit agreements that can be used by a consumer. Other than this analysis of
general features of agency and difference between different types of agents also have been
mentioned in the report.
TASK 1
1.1
According to the case study Ben decides to get a new car and for that he searches for new
cars that are available in market. There are diverse range of fields in law that gets applied to
corporate world. Sales of goods act 1979 Section (12) mentions that there is an implied term on
the part of the seller that in the case of a sale he has rights for right to sell the goods. In contract
of sales also there is implied terms that the goods are free and will remain free till the time the
property is to pass. Consumer Right act 2015 has replaced the earlier sales of goods act 1979
(Clarke, 2017). This law mention about some implied terms and section 17 of this act describes
about implied terms that the seller has right for transferring the ownership of goods. Along with
this, section 11 of the consumer rights act mention that it is necessary that features of products
sold should match with the description that has been described by the seller while selling the
products (Patterson and et.al, 2015). Buyers deserve the rights for rejecting the goods if they fails
in meeting with the product description. It is been given in the section 13 of sales of goods act
and this is relevant in the present case also. According to the section 9 of Sales of goods act
implied term has been mentioned that goods sold should match with the standard quality.
1.2
There are some statutory provision that needs to be known by Ben and these are related
with transfer of property and possession. Details about transfer of property have been mentioned
under the Part 3 under the sales of goods act. This ownership is applied when the products are
sold and significance about determining the time of transfer is been mentioned under the section
20 of sales of goods act. This section imposes liability for damages or losses on the owners who
sold the goods (Mahoney, 2013).
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Section 17 of sales of goods act defines that property in goods is transferable if the parties
concerned should execute transfer or pass it to another pass. Contrary to this it is been described
in the Rule 1 mentioned under the section 18 and it defines that ownership for the products is
transferable only when the contract are unconditional contract. At the time of formation of
contract this ownership is transferable only if the particular goods are in the conditions of being
delivered (Tyler and et.al, 2014). If this type of case arises than it will become immaterial about
when the payments and deliveries have been made. One more important consideration defined
under the section 20 of Sales of goods act that it is relevant if delivery of goods has been delayed
by the seller. The delay has been made after entering into the contract and in this type of cases
parties responsible for making such types of delays. Along with this, if such cases rises when
delays have been made than due to that parties accountable for the delay will be responsible for
the same.
1.3
There are various remedies and specific actions that are being available for the both the
sellers and buyers if there are conditions for breach of contract. It has been defined under the part
4 of sales of goods act that remedies are available for buyers and sellers that have a remedy
under the Section 49 of the sales of goods act. In case the buyers fails in making such type of
payments, the sellers deserves the right for making this type of payments (Clarkson and
Coleman, 2015).
With this as per section 50 of the sales of goods act sellers have right for taking actions if
the buyer has failed in making such type of payments. In this type of cases sellers have right for
various types of proprietary remedies and these are described as the right to stoppage, right to
lien, right to resale and right to retaining the title under these acts (L'Homme and Focant, 2014).
Other than this, remedies have been provided in section 51-53 when the purchasers have acted in
breach of contract. One more remedies have been described under section 51 for non delivery of
goods that has been done by the seller in pursuit of direct refusal.
1.4
Product liability legal rules and statutory provisions have been mentioned for faulty
goods. If conditions arises when Ben is using his car and an accident happen in which a member
of his family are caused any kind of personal injuries. The legal actions that could be taken for
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the case comprise of contractual liability in which the doctrine of privity of contract gets
applicable to this situation (Irwin and Githinji, 2016).
It excludes the claims of third type of parties. Implied terms in this type of situations gets
applied to rule the cases that are linked with defective products. If breach of this type of
conditions occur than due to that strict liabilities can be imposed on to the seller of the car. One
more liability is Tortuous liability in which tort of negligence is applied and innocent party who
got injured deserves the right to claim.
TASK 2
2.1
According to the case study there are different types of credit agreements that can use by
Ben for purchasing a car. Credit card agreements could be used for taking loan from bank for
purchasing a product or service. One more method is Bank loan and under it Ben can take bank
loans against the payment of monthly installment (Holt, 2013).
Money can also be withdrawn through overdraft in which money can be withdrawn for
excess of money that is being available in the bank account. Although there are some limits for
withdrawing the money and Ben needs to consider those limits.
2.2
It is essential that debts should be paid on due time and in case Ben fails in paying the
debts than there are some legal rules on termination rights that gets applied to Ben. As per
section 87 of Sales of goods act there is obligation on the creditors for properly serving the
notice to the debtor who got failed in duly fulfilling the obligation (Boeger, 2017).
Creditors deserves the rights for terminating the agreements and they can also demand for
making earlier payments. Creditors can also recover the possessions and creditors also deserves
the rights for enforcing different form of security. Consumer credit act 1974 mentions that
debtors have right for terminating their hire purchasing agreements
2.3
There are different types of agents and wide difference among different type of agents.
Different types of agency relations comprise General agents, gratuitous agents, agents that are in
the form of employees, special agents and general agents. In agency specific relation one
individual gets agree for acting on behalf of another person (Hillman, 2014).
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Agents have some specific legal rights for taking action against the third parties. When a
agent works under the agency than duty of fiduciary are owed by the agent. There exist some
different types of agency relations and it comprised gratuitous agent and sub-agents.
2.4
Rights and duties of an agent with objective to understand his position needs to be known
by Ben. If situations arises when Ben becomes agents for respective agencies than he is under
obligation for fulfilling the fiduciary duties. Ben owe duties for avoiding situations in which
conflict occurs and he also owes a duty of loyalty to the situation so that conflicts could be
avoided (Jukes, 2013).
It becomes accountability of Ben to take actions and act with reasonable diligence and
care. Ben owes his position under this agency Right of retainer, right of identity, right of lien,
right of stoppage in transit, right to claim remuneration. All these rights are enjoyed by Ben for
his position in the agency in which he is working.
TASK 3
3.1
There are some legislative and statutory frameworks that are operated in nation and under
it monopolistic and anti competitive practices are being defined :-
The Enterprise Act 2002 :- This act has been framed by the government and under this
guidelines have been mentioned. According to this act Parliament of the United Kingdom and
through this changes have been made in the competition law. This act has been framed for
establishing and providing the functions of fair trading. In this act legislation have been formed
for governing and controlling the bankruptcy and insolvency practices (Conley, 2016). Five
major type of competition policy objectives have been discussed under this act and through this
all the competition decisions are taken through the independent regulatory bodies.
Through this additional powers have been given to Office of fair trading and it has helped
for creating vary strong effects. Under this act Commission Appeal Tribunals (CAT) also have
been established. In this companies can make appeals against the decisions taken by competition
commission authorities. In this act role of Director general of fair trading also have been
described (Clarke, 2017). The Enterprise act also makes substantial changes and amendments in
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the administrative procedures for the firms that have been failed in complying with the
guidelines.
Fair Trading Act 1973 :- This act has been framed by parliament of United kingdom.
Guidelines have been given under this act for regulating and mergers and the activities for nature
of monopoly power that is being exercised by an organizations in the market (Patterson and et.al,
2015).
Restrictive trade practices act 1976 :- According to this act guidelines have been made for
enforcing competition. It required that proper agreements should be made with objective to
enforce competition (Mahoney, 2013). As per the guidelines mentioned it is critical that any type
of agreement that is done between companies should be mentioned in public register. It is
required that any type of changes that are being made in the agreement should be notified. Every
agreement required to be mentioned in the registers.
3.2
Role of the competition commission within the context of monopolies and anti
competitive practices. Major role of this commission is to work as a Non departmental public
body. This body is accountable for investing mergers. It is a competition commission which has
been formed under the commission law and this commission has been formed with objective to
ensure healthy competition among companies that are working cross UK so that benefits could
be received for the consumers and the economy (Tyler and et.al, 2014).
This commission has replaced the existing monopolies and mergers commissions and it is
being created under the Competition act 1998. the commission has powers for making decisions
on the inquiries and giving recommendations to the government. This commission is also
accountable for undertaking appropriate measures so that issuers related to competition can be
resolved (Clarkson and Coleman, 2015). The commission conducts in depth inquiries into
mergers and markets and the regulations for major regulatory bodies. It will aid for ensuring that
positive impact should be developed in economy. Fair trade practices impact on the economy
and due to that different functions that are performed in nation gets influenced. Competition can
be developed in the economy and businesses can achieve their targets and goals in effective
manner (Mahoney, 2013). When competition in market increases than due to that competition in
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market can be enhanced and through this performance of the company can be improved.
Influence of monopoly market can also be reduced and due to that effective outcomes can be
gained. High competition can be developed and with this profitability of the organization can be
increased.
3.3
Dominant position within the EU common market is about effective and strong position
that is hold by the company in market. If a firm enjoys stronger and better position in market
than due to that that firm can become sole player in the market. Present competition of market
gets influenced due to that and other firms finds it difficult to maintain their existing position in
market. Dominant position of the firm is acceptable in the UK economy (Holt, 2013).
Commercial position of an organization also gets improved and European Union can also
makes roles and responsibility that can create hybrid element for ensuring better outcomes and
results at the work place. Laws and regulations framed by EU are mandatory to be followed by
all the organizations that are working in this sector and through this effective and better
outcomes could be generated at the workplace (Boeger, 2017).
3.4
There are some instances under which exemptions are being made for potentially anti
competitive practices. EU provides some exemptions and through this requirements have been
satisfied and it exempt a agreement. Agreement made by EU aids for making positive
improvements in the distribution channel and through this economical and technical status is
improved (Hillman, 2014).
Buyers are given significant shares in revenues, profits and other facilities that are being
available for them. Along with this various contracting parties that are being involved have not
been imposed with the disproportionate restrictions. Various types of agreements that have been
formed are take for to be in compliance with the various requirements. It is essential that
different companies that are working at various levels should be making efforts for meeting with
the compliance for meeting with the requirement (Holt, 2013).
TASK 4
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4.1
There are different form of intellectual property rights and that supports a firm for
exercising rights over intellectual property. Patents is a right that is rendered for the organization
and it provides the holder of patents with an exclusive right for restricting other users for not
copying the content that is being prepared by the firm. Copyright is one more intellectual
property rights that provides authentic protection to the holder for protecting the work that is
being completed by them. Trademark is one more intellectual property right in which one brand
is represented against the another brand (Conley, 2016).
There also exist a close link among the trademarks and with this identity of the brand or
the business is maintained. Trade secrets is explained as practices a practice practice, formula
and design and information that could be used by a company for attaining good and high position
in the industry (Mahoney, 2013). One more reason behind it is that it will become impossible for
copying the content and information that has been prepared by the management. There are some
specific requirements that needs to be followed so that original products and services should not
be copied. Intellectual property rights protects the original work so that original work should not
be copied.
4.2
There are some principles that are related to the protection of inventions through the
patent rights and legal rules preventing their infringements. There are some principles that needs
of followed so that protection of patents right and legal rules for preventing the infringements so
that intellectual property rights from getting sold not be intimation in advance. The aspects of
copyright supports for ensuring that any creation and developer (Patterson and et.al, 2015).
Other than this suitable and appropriate measures have been taken by the organization
for securing the original work that has been created by them. New products can be launched and
developed. It will help for launching new products so that every authentic product created by the
organization should be protected. Copyright and patent act 1988 defines about the support that is
being required for securing the intellectual property rights. In addition to that patents are
designed by the firm and new products and services created by the organization are protected.
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4.3
There are some principles that are related to copyright protection and the legal rules that
preventing infringement. Various principles that have been designed for copyright protection and
preventing infringements helps for ensuring long term success and organizational growth. New
innovation and ideas that have been created in the company supports for ensuring that goods and
services that are being developed by the company should be protected (Clarkson and Coleman,
2015).
When any creation gets duly registered than it gets protected and due to that it becomes
vital that rights related to property should be secured. Once art of creation gets copied than due
to that new concepts and ideas gets protected. It also helps for getting better benefits and due to
that it becomes possible for attaining secured rights that are associated with the property. With
this, these rights will also support for receiving benefits in economic terms and due to that
various types of privacy and security issues will not be faced by the firm. Other than that
different aspects that are related with the securing and protecting the art of creation will get
benefited through this.
4.4
Compare and contrast the protection of trademarks and business. Laws and regulations
that have been formed by the government will help for giving impact on the different laws and
legal regulations. This will also be benefiting the organization and through this innovative ideas
and concepts that are developed in the organization will be secured (Legislations, 2017).
Buyers can be informed regarding the existence of specific brand and through this unique
identity for products and services will be helping for developing unique identity for the
organization. Along with this, whenever a new product is developed by the firm than it is
required that it should be protected from getting copied so that organization should secure the
legal rights for the products and services that have been developed by the organization.
CONCLUSION
Summing up the present report it can be concluded that legislative frameworks that have
been developed for the organization are mandatory to be followed. With this it is also essential
that proper security and copyright for patents should be designed and developed so that required
objectives of the organization could be accomplished.
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