Law Project: Ellen's Negligence and Breach of Contract Analysis

This law project analyzes a business law case involving Ellen, who seeks to establish a meditation studio. The project examines three key issues: a potential claim against a local council for negligent advice, a breach of contract claim against her landlord due to non-payment of rent, and the responsibility of the council officer who provided the initial information. The analysis delves into the tort of negligence, contract law, and relevant legal principles, including duty of care, breach of duty, and damages. The project concludes that Ellen has grounds to claim compensation from the council officer for providing misleading information and that the court might consider Ellen's financial difficulties when addressing the breach of contract. The project utilizes case law and legal principles to evaluate the legal positions of each party involved in the dispute.

Law Project

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
Issue 1: Claim against council regarding advise she received from them..................................1
Issue 2 breach of contract between landlord and Ellen for non payment of rent.....................2
Issue 3: responsibility of officer of local council.......................................................................3
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
Business law is considered as body of law which ensures that companies follow regulations
effectively and conduct operations accordingly (Burrows and Burrows, 2016). Present study is
based on case of Ellen who come into lease agreement with the person. He has consulted with
council officer regarding the place and disturbance near about it. Council officer ensured her
that she can open a shop there without any issue. Current assignment will discuss Tort of
negligence and contract law. Furthermore, it will explain whether Ellen has right to claim against
council officer of not. In addition, it will give justification for negligence misstatement by
council officer.
Issue 1: Claim against council regarding advise she received from them
Issue: Ellen a graduate from alternative mediation wanted to start her business of
meditation studio. For which she need an apartment or house where there is not noise and peace
in the vicinity. She found a place and before entering in lease contract went to local council for
getting information about buildings and raised questions about any building work in that area.
The officer of council stated that relax everything will be fine. After making herself sure she
entered into lease agreement with landlord and after 2 days found out that renovation work
started in neighbouring last and will take 6 months for completion.
Relevant rule:
Civil Law (Wrongs) Act 2002
Chapter 4
Tort of negligence: This can be defined as negligence on part on a person or an entity
causing a significant harm of damage to another. There are three main elements of tort of
negligence, they are duty of care, breach and damages (Civil Law (Wrongs) Act 2002, 2018).
First duty of care must be owed, a breach of the duty must be done and aggrieved party shall
suffer certain damage, it can be in form of mental or physical harm or results in death.
Claim for damages: As per provision of this act a person who is in breach of care of duty can
claim for compensation for damages occurred to aggrieved party. The amount of compensation
for damages suffered are to be decided by the court or tribunal to whomsoever case is referred.
The damages can be physical, mental or death of the person.
Application: In this case officer of local council owe a duty of care to toward Ellen, as
they are responsible for providing correct information to a citizen. Here, a breach of the
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responsibility is done by the officer without duly checking the building works which are going to
take place in the vicinity where Ellen was leasing apartment. She suffered nervous disorder and
her carried was also threatened as she was not able to conduct meditation classes due to noise of
renovation work. She can file a case against the officer of the council who gave did not provide
her relevant information which was significant for her business.
Conclusion: Ellen is liable for getting compensation from the officer/council as he was
in breach for duty of care. Officer's negligence, in performance of his duty is clear and he can
be held liable for payment of compensation to Ellen for mental harm (nervous disorder) and loss
of pay (reduction in meditation classes).
Issue 2 Breach of contract between landlord and Ellen for non-payment of rent
Issue: Ellen rented a house on lease for 12 months for starting her mediation studio.
Upon entering the lease contract and shifting to the house she found out that renovation work is
being started in nearby flat, and this caused sever nerve trauma to her and risk to her business.
As mediation activity require silence and peace. This in turn led to the fact that her meditation
classes were cut short and she faced a financial distress and fallen behind in payment of rent.
Rule:
Contract law: In case of lease contract, rent payment can be done in full or part and non-
payment of rent can result into breach to the contact and tenant can be sued, after expiry of
certain time period as mentioned in the contract terms (Non-payment of rent, 2018). The tenant
can be ordered by court to vacate the leased apartment or pay full rent to landlord before expiry
of the lease term.
Application: Ellen was breach on lease contract for non-payment of rent and in this case
will further be carried to court as per the contract of lease contract.
Conclusion: In this case it can be concluded that court upon hearing the case, can pass a
decision that Ellen was not in breach of the contract as she was not able to pay the rent due to
loss of her income. It was not her intention to default her rent payments and court can direct
local council officer to pay her rent till she recovers her business fully.
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Issue 3: Responsibility of officer of local council
Issue Ellen has medicine degree and has planned to open a medical business. He has
consulted with council officer regarding any kind of disturbance near the selected location. But
council officer has said that everything is well and he can open his shop in this area ( Cavico and
et.al., 2016). On the bases of information given by him, he has signed lease contract. But later on
he has realised that builder is renovating a building near shop and it is causing noise in this spot.
This noise has created stressful situation for Ellen and have affected business revenues as well.
Rules and relevant law
In the present scenario tort of negligence applies. It has five major elements duty of care,
breach of duty, cause in fact, proximate cause and damage (What Is the Tort of Negligence,
2017). According to this law both parties have equal rights and obligations, it is essential to fulfil
their duties carefully. Both are responsible for fulfilling their responsibilities. Duty of care is
essential element that states that individual is responsible for ensuring care so that any kind of
harm can be avoided. Negligent action leads to monetary damage or personal injury. Barnett v
Chelsea and Kensingtom HMC (1969) is the great example of tort of negligence. In order to get
success in negligent action, applicant needs to prove in negligent tort claim for losses that
individual has faced. In order to prove own self, claimant has to give evidence of breach of duty
of plaintiff and loss that has been faced by them due to negligence action (Elements of a
Negligence Case, 2018).
Application: In the present case council officer was responsible to conduct appropriate
research about the location and confirm whether there is any kind of disturbance or not. But he
failed to fulfil his responsibility effectively. He has ignored renovation work near to shop. It was
the duty of council officer that to care for Ellen and give correct suggestion (Cavico and et.al,
2016). Ellen has signed lease contract on the bases of review given by council officer but later on
it is realised that this place is noisy because one builder is renovating a building near to shop.
This was completely breach of duty and due to which Ellen has reduced his operating hours. This
has resulted financial stress and physical illness to person. Thus, there is negligent misstatement
by council workers due to which Ellen has faced financial and physical stress. In this case Ellen
has right to claim for all the issues that have been faced by her (Burrows and Burrows, 2016).
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Conclusion: From the above statement it can be concluded that Tort of negligence states
that individual is responsible to fulfil their responsibilities. If there is breach of duty and other
person has faced any kind of financial or physical loss, then person has right to claim against it.
CONCLUSION
From the above study it can be articulated that contract law and Tort law helps in
analysing and dealing with business problems. By using these regulations individual can identify
their rights and obligation. It is found that Ellen has right to claim against the council officer
because the officer has failed to fulfil his duty appropriately and due to which Ellen has faced
huge trouble.
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REFERENCES
Book and Journals
Burrows, A. S. and Burrows, J. H., 2016. A Shocking Requirement in The Law On Negligence
Liability For Psychiatric Illness: liverpool Women's Hospital Nhs Foundation Trust V
Ronayne [2015] Ewca Civ 588. Medical law review. 24(2). pp.278-285.
Cavico, F. J. and et.al., 2016. The Tort of Negligence in Employment Hiring, Supervision, and
Retention. American Journal of Business and Society. 1(4). pp.205.
Online
Elements of a Negligence Case. 2018. [Online]. Available through <
https://injury.findlaw.com/accident-injury-law/elements-of-a-negligence-case.html >
What Is the Tort of Negligence?. 2017. [Online]. Available through <
http://www.etheringtons.com.au/blog/what-is-the-tort-of-negligence/ >
Civil Law (Wrongs) Act 2002. 2018. [Pdf]. Available through
:<https://www.tenants.org.au/factsheet-05-rent-arrears>.
Non-payment of rent. 2018. [Online]. Available through
:<https://www.fairtrading.nsw.gov.au/housing-and-property/renting/during-a-tenancy/non-
payment-of-rent>.
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