Business Law: Contract Breach, Remedies, and Legal Positions Analysis

This essay delves into a business law case concerning a contract dispute between Raymond and Samantha. The contract involved Samantha preparing business accounts for £800, but due to financial constraints, she settled for £200 after arguments. The essay explores the remedies available to Raymond for the breach of contract, including monetary compensation and legal action. It also examines the legal implications if Samantha had paid in advance or if Raymond had requested a £400 settlement. Furthermore, the essay provides advice to both Raymond and Samantha, emphasizing ethical considerations and the importance of fulfilling contractual obligations. The conclusion highlights the significance of adhering to business law regulations and the compliance with the contract act, particularly the consideration clause.

INDIVIDUAL ESSAY

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Business law is referred to as the law and the rules and regulations which the company
need to follow in order to manage the business in proper and effective manner (Livingston,
2019). The major reason underlying this fact is that when the company will follow the rules and
regulations then this will provide a guidance to the employees that how they have to work. In the
present essay the case will be discussed wherein the remedies available for the solution will be
discussed.
MAIN BODY
Advice to Raymond
From the above case it was viewed that the contract was not fulfilled as Raymond signed
contract with Samantha with the sum of £800. But Samantha was not able to generate much
profit and because of this after a lot of argument the settlement was made at £200. Thus, in this
case Raymond was at loss and for this some of the remedies are as follows-
The major remedy can be that Raymond can demand the monetary compensation from
Samantha over and above the amount which he need to recover from the person. In simple words
this means that except the different of 600, Raymond can also ask for the monetary
compensation for the loss which he bared for the breach of contract by Samantha.
In addition to this another major type of remedy available for Raymond is that they can sue
Samantha for the breach of contract. The major reason for this is that when the contract is not
followed then Raymond can file a case against Samantha and for can fight a case with Samantha
and can recover their amount.
In addition to this another major remedy for Raymond is that they can follow that ADR
that is Alternate Dispute Resolution. Out of the options available in ADR the best suited is the
arbitration. The major reason for this is that under this method an arbitrator which is a third party
will hear the argument of both the parties and then will provide their judgement.
Case if Samantha had paid in advance that is before the debt was actually due
If in case Samantha paid Raymond £200 three weeks earlier only from the time the debt
was actually due and if Raymond has agreed to this, then also the answer would be same (Awdry
and Newton, 2019). The major reason for this is that if Samantha do the advance payment but the
remaining amount is not paid then also the contract has not been fulfilled. The major reason

underlying this fact is that the contract was signed for the amount of £800 and only 200 was
paid. So this is not ethical working from the side of Samantha. Thus, with respect to the terms of
contract it was the duty of Samantha to pay the sum of 800 but as her condition was not good so
after a lot of argument she settled the payment at 200 only. This was not valid as the
consideration of the contract was 800 but this was not achieved and this affected the whole of the
contract to a great extent (Contract law basics: making a legally binding contract, 2020). Even
in case if Samantha paid the amount in advance of 200 then also the rest of the payment is not
cleared and this is not good with respect to the consideration clause of a valid contract.
On the other side if in case the after paying the amount 200 in advance, Samantha will
pay the remaining amount as well after the work is being accomplished then this will be a good
contract. The major reason for this is that if the remaining payment will be paid in full settlement
then this will be good as all the terms and condition of the contract have been fulfilled and this
reflects that the work has been completed in proper and effective manner. Thus, this will result in
successful completion of the contract and the interest of all the parties in the contract will be
accomplished resulting in satisfaction of the all the parties to contract.
Legal position in case Raymond request for 400 payments from Samantha in full and final
settlement
In the present case of the Raymond and Samantha the full and final settlement as done at
£200 instead of 800. But in case is Raymond demands for 400 from Samantha for the full and
final settlement the also the legal position can be the same. The major reason for this is that in
case of 400 as well the total amount of the contract is not being attained. Thus, this means that
even if Raymond will agree at 400 then also the actual contract will not be attained. Hence, for
the case of 400 as the settlement amount as well Raymond has the same legal position.
The major thing which Raymond can do as for his legal position is that they can file a suit
or case against Samantha. The major reason underlying this fact is that the contract was having
the amount of 800 and even if Raymond agrees with the partial payment then also the contract
will be void (Wood, 2020). The major reason for this is that the contract was signed for the
consideration of 800 and if the consideration will not be met then this contract will be null or
void. The major reason for this is that the major requirement of contract to be fulfilled is to give
the consideration which has been agreed in the contract.

Thus, as per the contract the major thing which need to be fulfilled was the amount to be
paid in full settlement. But this was not done as the Samantha was not in condition of earning
good sum of money and because of this she settled the account with 200 only and this was also
done after a long argument. Hence, even if the settlement is being agreed on the amount of 400
then also the contract will not be fulfilled and because of this the legal position will be same as in
case of the 200 (Miller, 2016).
Advice to Samantha
From the whole of the case study it was seen that the contract was signed among
Samantha and Raymond for the amount of 800 for the preparation of some of the drafts business
accounts covering the last three years. But as the Samantha was not in condition to pay off 800
so she said that she can afford only 200 as the full and final settlement relating to the payment.
After the full final settlement in 200 Raymond noticed that the after sometime of the settlement
painting of Samantha began realising good amount of profit. Thus, some of the advice to
Samantha are as follows-
The first and foremost advice to Samantha is that as per the ethical working now if she
has started earning a good amount of money then she must pay back to Raymond. The major
reason for this is that because of not earning profit Raymond agreed the settlement at 200. But
now Samantha has started earning profit and because of this now as per the moral values and
ethical working she must clear the payment of Raymond.
In addition to this another major advice to Samantha is that they must also pay for the
loss which Raymond has faced in order to manage and maintain the case against Samantha. In
addition to this when Samantha will give the payment back to Raymond then this will improve
the position of Samantha in the market. The major reason for this is that if person will not be in
position to manage the market position of themselves then this will create a negative impact over
the working and the position of the company to a great extent.
Hence, in the end the only thing for Samantha which is recommended and advisable is
that if she comes within any contract then they must follow all the requirement and the terms and
condition which are being highlighted within the contract. This is majorly pertaining to the fact
that when the company will not be able to manage the details of the company then this will
highlight the negative reviews for the company and Samantha as well (VINOKUROV, 2017).

Thus, this will reduce the working efficiency and the market value and goodwill of the patient to
a great extent.
CONCLUSION
In the end it is concluded that business law involves the rules and regulations which the
business or the company has to follow in any condition. Along with this if the business will not
follow or comply with the rules and regulation then this will create a negative impact over the
working and market value of the company. Thus, the essay highlighted that the use and
compliance with all the laws and regulations is very essential and this will improve the
operations of company. the current study evaluated that complying with contract act is the most
important thing for the company or the business. Also, the most important thing within the
contract act is to pay attention towards the consideration which is being finalised for the contract.

REFERENCES
Books and Journals
Awdry, R. and Newton, P.M., 2019. Staff views on commercial contract cheating in higher
education: a survey study in Australia and the UK. Higher Education, 78(4), pp.593-610.
Livingston, D., 2019. Freedom of Contract–a Justified Override? The Business Contract Terms
(Assignment of Receivables) Regulations 2018. Business Law International, 20(1), pp.63-
3.
Miller, R.L., 2016. Business Law Today, Comprehensive. Cengage learning.
VINOKUROV, S., 2017. THE REQUIREMENT OF GOOD FAITH IN CONTRACT LAW OF
ENGLAND AND THE UNITED STATES. In Мы говорим на юридическом
английском, немецком, французском, испанском= We speak Legal English, German,
French, Spanish (pp. 176-178).
Wood, P.R., 2020. Ten Points for Choosing the Governing Law of an International Business
Contract. Business Law International, 21(1), pp.5-22.
Online
Contract law basics: making a legally binding contract. 2020. [Online]. Available through: <
https://hallellis.co.uk/contract-law-basics-formation/>