BL A1
BL A1
BL A1
Case law, or binding precedent, mandates that rulings from subordinate courts be
enforceable and susceptible to review by higher courts. Hence, a court's ability to enforce
a precedent is contingent upon its standing in relation to the court that set it. Thus,
theoretically, the only court that may depart from the precedent court is the UK's
Supreme Court, which has the authority to overturn both its own and other courts' rulings.
Higher court precedents can be overruled by lower court judges or lower courts
themselves in a number of ways. One of those instances is when a lower court might
make the argument that a precedent is out of date and irrelevant in light of current
ideas.
Another strategy is to contend that the earlier case's facts and the case under review are
not identical in some significant ways, and as a result, the rule set does not apply to the
facts of the current case.
The lower court may also defy the higher court's binding precedent by establishing the
point of law and arguing that the legal question in the current case is different from
precedent.
When Mr. A hurt Mrs. B, the lower court may ignore higher court precedence. When
reviewing the present and past cases, the lower court must assess how many times B was
struck, how many injuries were caused, and how A intentionally or accidently hit Mr. B.
If there are contradictions, the lower court need not follow the previous decision's binding
case law.
TASK 2
Parliament is undoubtedly the most significant force in English law. Parliament makes
laws as part of its legislative role. Parliament consists of the Houses of Lords and
Commons.
The Lords hold a draft bill for 1st reading. This phase is formal, and the Bill is
clear.
2nd reading: Chamber discussion on bill's basic themes. Currently, the bill cannot
be altered. After debate, the House will vote on the bill.
During the committee stage, a Standing Committee (20-50 MPs, depending on
party strength) or the entire House of Representatives debates the Bill in detail.
Article by article, the legislation is read and voted on.
At the Report Stage, the Bill is submitted in the House of Commons and any
Committee amendments are examined.
The 'clean up' process in the third reading seeks to close any gaps. Last chance to
vote and amend.
The Consumer Right Act changes consumer rights and interests legislation, gives
regulators investigatory powers, and handles private actions under competition law and
the Competition Appeal Tribunal. On March 26, 2015, this Parliament enacted the
Consumer Right Act with the advise and agreement of the Lords Spiritual and Temporal
and Commons. The Customer Right Act 2015 specifies 'Good to be saticsfactory quality'
in Chapter 2 of Article 9.
First, "the quality of goods" includes not only the items' state and condition but also other
important factors, according to paragraph 3 article 9 of the Customer Right Act.
Consumers anticipate great quality, and some elements determine product quality in
relevant circumstances.
A key factor is the suitability of goods for their intended use. The items should fulfill the
minimum standards and excel in functionality, exhibiting variety that meets consumers'
different wants.
• Aesthetic appeal, including appearance and finish, is crucial. Visual appearance
influences product value, therefore careful design and execution are essential to
meeting consumer expectations.
Quality assessment includes avoiding minor defects. Customers expect their
products to be flawless and defect-free for a smooth experience.
Safety is a top priority, emphasizing the need for items to be free from dangers that
might harm users. Safety is key to customer trust and ethical business operations.
TASK 3
Law enforcement falls under the jurisdiction of the executive branch of government.
Despite lacking legislative authority, the government has made notable contributions to
diverse sectors and industries.
According to Norton (2012), the Government possesses constitutional authority to enact
laws and exercise legal power in two scenarios: when explicitly mandated by Parliament
or when immediate action is required in response to an emergency. The Cabinet's
legislative process consists of three key steps: evaluating the legal soundness of bill
provisions, assessing the conformity of proposed bills with the Constitution and current
laws, and supervising the daily execution of legislation. The Cabinet will assess bills to
create Greenpapers, which summarize legislative deliberations and suggest new
legislation for submission to Parliament for review. The Cabinet has the power to create
Secondary Legislation to support and make small changes to the Primary Law. The
Cabinet does not possess the necessary authority or involvement in the adjudication of
case laws, as these decisions are reserved for higher courts to address specific
circumstances.
Case law pertains to judicial decisions rendered by judges in the legal system. The
Cabinet's choice of Supreme Court justices can impact case law. Legal precedents are
mainly set through court decisions. This suggests that the government will not play a role
in establishing new norms..
TASK 4
Issue
John parks his motorbike on the sidewalk with both wheels off but the base still on. Is
this illegal?
Rule
Business Law says the mischief rule elevates a statute's objective over its words. The
legislature's objective in establishing a legislation goes beyond words, since language
alone may not be enough. Constrained by circumstances and progress. In Smith v Hughs
[1960] 2 All ER 859, the Street Offences Act 1959 (UK) made loitering or soliciting on
the street with the purpose to prostitute a crime. The defendant claims innocence since
she dragged people on her balcony, not the street. Parliament's goal was to curb prostitute
harassment and prosecute the offenders, the court ruled.
Precedent: Wolman v. Islington LBC (2007) established that Wolman routinely parked
his motorbike at two locations near his home and business. While one or both wheels
were off the pavement, a central rack on the sidewalk supported the motorbike.
Controlled road segments prevent parking on pavement. This covers wheels and all
vehicle parts. John's activity is nonetheless illegal even though his wheels aren't on the
sidewalk. Wolman committed the crime.
Application
According to case law, John and Wolman parked their cars on the sidewalk rather than the
driveway, with their wheels partially extend over the racks. The corrective principle
allows the court to cite past instances like Wolman and rule that parking a motorbike on
any road, including beneath it, is illegal.
Conclusion
John may face charges for parking his motorcycle on the sidewalk.
TASK 5
Issue
Do builders have a right to receive payments from homeowners? For what reason?
In 1952, Hoenig v Issacs set a precedent. A £750 deal was inked for one-room apartment
decoration. Contractor services and labor will cost £350 when the job is finished.
Bookcases and wardrobes may need £55 repairs. After failing to meet contractual duties,
the employer's reluctance to pay the remainder is a repudiatory breach.
Despite certain errors, the court awarded the plaintiff the contract amount less the repair
costs because the contract was mainly performed. The court stated that executing the
mandate is a condition of appointment, not a payment request.
Application
This warranty breach is caused by poor window glazing. The homeowner moved in after
the builder finished all other work. The construction arrangement did not need window
glass. Thus, the builder can get paid for his job, but not £150,000. This is half contract
fulfillment. If another glazer costs £500 to repair a window, the builder will deduct it
from the rent. Here, £150,000 minus £500 yields £149,500 for the builder.
Conclusion
Poor builder window glazing voids the guarantee. His negotiation duties were met, save
for unglazed windows. Therefore, he was entitled to £149,500 for the plaintiff's
expenditures in engaging an extra enameler to fix the window.
Task 6
Issue
Rule
Breach of conditions: If a provision is important to the contract, the non-breaching party
can cancel it. They can also demand damages and regain contract-transferred property
(ADAMS, 2020).
As per Article 55(3) of the Consumer Rights Act, a If it is impossible to execute the
service as contracted, a consumer cannot seek a repeat performance.
Poussard, an opera singer, had a contract with Spiers to debut on November 28. After
Poussard became unwell before the performance, the defendant hired a replacement
vocalist for the three days she missed. Poussard sued for wrongful termination. The jury
concluded that the defendant may claim £83 from the plaintiff for their basic breach of
contract by not appearing.
Application
Food was served at 10 p.m. instead of 6 p.m. as per the contract, which may have fallen
short of expectations. Next morning, Selena must move to a new city. Selena cannot and
will not pursue a contract extension.
Delays in delivery are serious violations. Job correctness and progress are key to client
satisfaction. Unmet conditions prevented Selena's contract from fulfilling its purpose.
Main requirement: merchant delivers party time at 6am. The party must be presented by
6am to be held and used. After Selena's companions left, the party was delivered at 10
a.m., rendering the contract insufficient.
The 3-hour buffet dinner delay affected the basic provision and might affect the contract,
as in Poussard v Spiers. Timely food delivery is the agreement's main goal. Thus, this
violation violated the contract.
Conclusion
Selena possesses the legal entitlement to seek financial compensation and request
termination of the contractual agreement.
Task 7
Issue
Whether Jessica, Belinda, Tom, Matthew, and Belinda's claims against High Heaven for
theoretical damages of carelessness and nervous shock will succeed.
Rule
The tort of negligence grants individuals who have experienced harm to themselves or
their property the ability to seek compensation from a party who did not exercise
reasonable care for their safety (ADAMS, 2020).
Nervous shock (psychiatric harm) The defendant's carelessness injures the claimant,
generating a duty of care. When the defendant causes extreme shock or agony, duty of
care is tougher to prove. The shock or pain cannot be regained, but a medically confirmed
illness or condition caused by it may be. Psychological issues like post-traumatic stress
syndrome are becoming acknowledged with cardiac attacks.
The House of Lords concluded in Page v Smith that a duty of care in nervous shock cases
depended on whether the claimant is a main or secondary sufferer of the defendant's
accident. Primary victims are those directly affected by the accident, either physically or
fearfully.
Primary victim means someone who suffered nervous shock due to the defendant's
carelessness.
A secondary victim seeing a defendant's negligent accident harms a nervous shock
claimant.
Precedent:
Notable cases include Page v Smith (1995, HL). Due to negligence, the defendant's car
hit the plaintiff's. Minor vehicle damage did not appear to hurt the plaintiff. His fatigue
and health didn't improve. He relapsed with mental ME, which had sporadic symptoms.
Page claims D's negligence produced chronic illness. Defendant: The defendant must act
responsibly since his recklessness might hurt the plaintiff. Plaintiff need not establish
mental harm. These situations cause little bodily and mental harm.
1982 McLoughlin v O'Brian Law case considered by Lords. Witnessing her spouse and
children's devastating injuries from the defendant's irresponsible driving made the
plaintiff depressed and change her attitude. Being "held" is possession. Her explanation is
solid. Though she wasn't there, the trauma department's awful images and seeing her
husband and children recuperate caused her tremendous sorrow and psychological agony.
Dooley v Cammell Laird (1951) He employed a poorly maintained crane from his
contractor. He saw a damaged crane line hastily load the massive container into the
bunker. He broke down after blaming his crane truck operation for his comrades' deaths.
Because the plaintiff believes he caused the accident and his colleague's anxieties were
expected, the employer is responsible for his response.
The 1967 Chadwick v British Rail case. After treating critically injured and dying
victims in a train disaster's tightly packed wreckage, the person developed profound
depression. Hypothesis: Volunteers aiding victims may suffer psychologically, thus
claimants must care.
Application
Jessica: a secondary sufferer of nervous shock under McLoughlin v O'Brian since she
knew her daughter Belinda was hospitalized. As a secondary victim, Jessica was able to
prove that she had a close relationship with the primary victim, Belinda, her daughter.
High Heaven's irresponsibility left Jessica horrified to find her daughter Belinda in the
hospital following the disaster.
Belinda: sitting in the cabin, was directly involved in the accident and suffered physical
and psychiatric injuries, making her the primary victim of High Heaven Park's
mechanical maintenance negligence and nervous shock. Page v Smith precedent applies.
High Heaven must compensate Belinda for injuries caused by improper maintenance
since it is responsible for consumer safety, especially minors.
Matthew: a wheel driver, was nervously shocked by the collision. When High Heaven
had inadequate machine maintenance and Mathew was the wheel operator when the
cabins were detached from the wheel, he felt responsible for causing the other children's
accidents. The court can decide based on Dooley v Cammell Laird.
Conclusion
The main sufferer, Belinda, sued High Heaven for nervous shock and negligence. Jessica,
a subsequent sufferer owing to her close friendship with the first victim, sued High
Heaven for nervous shock. Matthew's injuries caused psychological issues for which he
was qualified for corporate compensation. Tom is a traumatized rescuer qualified for
High Heaven Company perks.
TASK 8
Issue
Rule
Under Section 44(a) of the Partnership Act 1890, "Losses, including losses and
deficiencies of capital, shall be paid first out of profits, next out of capital, and lastly, if
necessary, by the partners individually in the proportion in which they were entitled to
share profits."
Application
Section 44(a) of the Partnership Act 1890 and Garner v Murray may apply. At the
partnership's dissolution, all three partners will share losses equally as earnings will first
cover losses.
All three persons must lose 50000 euros – 20000 euros = 30000 euros after settling
external obligations.
Conclusion
G contributed 25000, H 14000, and I 11000 pounds, therefore each partner lost 10000
after sharing the 30000 loss. The remaining capital of G, H, and I is 15000, 4000, and
1000.
TASK 9
Power of directors
Articles of incorporation define directors' powers. The board of directors often has
authority to run the company and "use all of the company's powers for any purpose
related to the company's activities." Therefore, they can make whatever decision the
business can make, unless the Act or articles compel the members in general meeting to
decide. Legislation or articles of incorporation may limit directors' rights. The board of
directors owes the firm its honest opinion of how to best serve the company and its goals.
2020 (Alix Adams)
a. Power of directors
Articles of incorporation define directors' powers. The board of directors often has
authority to run the company and "use all of the company's powers for any purpose
related to the company's activities." Therefore, they can make whatever decision the
business can make, unless the Act or articles compel the members in general meeting to
decide. Legislation or articles of incorporation may limit directors' rights. The board of
directors owes the firm its honest opinion of how to best serve the company and its goals.
2020 (Alix Adams)
b. Duties of directors
- Directors' key duties to their corporations are outlined in the 2006 corporations Act.
Common law and equity created many of these duties, or fiduciary responsibilities have
been codified to make the law clearer and more accessible. 2020 (Alix Adams)
- All directors under the Act have duties to the firm. Past directors are subject to some
conflict of interest and third-party advantage obligations. This prevents directors from
resigning to take advantage. Courts grant shadow directors work when they are qualified.
2020 (Alix Adams)
- Directors are required by law to:
• Act within their authority.
• Promote the company's success.
• Use your independent judgment.
• Use appropriate skill, caution, and diligence.
• Avoid potential conflicts of interest.
• Third-party advantages should not be accepted.
• Declare your participation in a planned transaction or arrangement.
TASK 10
TASK 11
Supreme Court, Court of Appeal, High Court, County Court, Crown Court, Magistrates
Court make up the UK court system.
The UK Supreme Court is the last appeals court for civil and criminal disputes. The Lord
Chancellor, a cabinet member, chooses 12 Supreme Court judges on an independent
committee's proposal.
The Appeal Court: The Court of Appeal instantly reviews lower court civil and criminal
rulings. Appeals can reach the Supreme Court. Criminal and Civil Divisions are Court of
Appeal divisions. The civil branch of the Court of Appeals hears Supreme Court and
County Court civil law and family justice appeals.
The High Court: Its three divisions try civil disputes outside the County Court's authority.
The three High Court divisions are:
1 the Queen's Bench Division, which handles contract and tort disputes. The Commercial
Court hears commercial disputes on imports, exports, insurance, banking, and agency.
2 the Chancery Division, which hears copyright, patent, design, bankruptcy, partnership
dissolution, land, trust, mortgage, and will issues.
3 the Family Division, which handles the most difficult family and marital law issues
such contentious divorce, foreign marriage and divorce, legitimacy, and adoption.
County Court: The County Court has broad civil jurisdiction over contract, tort, land,
trusts, mortgages, partnerships, contested wills, divorce, bankruptcy, and corporation
insolvency. Since the Courts and Legal Services Act 1990 (CLSA 1990), the County
Court can hear practically any High Court matter, hence the following cases must be
handled there:
1. Actions up to £25,000;
2. Personal injury cases under £50,000, unless specialized or difficult enough for High
Court trial.
Crown Court: The Crown Court employs mostly High Court, circuit, and recorder
judges. Offense severity affects judge type. A bench of magistrates can assist a judge or
recorder in appeals.
Magistrates' Court: Over 95% of all criminal offenses, including summary and triable
offenses, are prosecuted in magistrates' courts, which are very busy. Magistrate courts
have limited sentencing authority.
Alpha and Beta Ltd. are suing one other for contractual damages, making this a civil
issue. As the County Court handles £25,000 claims (Judiciary England, 2023), a £25,000
contract damages action might be heard there.
TASK 12
Litigation Arbitration
Arbitration is a "alternative dispute
One side sues the other in court resolution" strategy. It is an
Definition before a judge or jury to resolve a arbitrated conflict settlement
dispute (Cornell, 2023). between two business partners
(Cornell, 2023).
Similarities
Process Both lawsuit and arbitration are formal conflict resolution.
The ultimate aim is a ruling on the parties' rights and responsibilities.
Goal and Outcome
Awards are binding and enforceable in both methods.
Differences
Arbitration is generally private.
Court proceedings are public. This
This implies the arbitration facts
Confidentiality implies that the public may access
and verdict are kept confidential
the facts, support, and arguments.
unless required by law.
Parties can often appeal a lower With limited appeals, the verdict is
court's decision to a higher court definitive. The court cannot resolve
Appeal available
because the legal system allows other disputes if there is
parties to request a review. disagreement.
Internal court procedures choose The parties may choose the arbiter
Selection judges. It depends on judge based on credentials and expertise.
availability and protocols. Arbitration must be agreed upon.
Procedure duration and schedule
This is a lengthy process owing to
are more up to the parties. Time
judicial action and complexity. It
Time and cost usually determines costs. This
may also be expensive due to court
approach is cheaper since it saves
expenses, legal counsel, etc.
time.
(Hendershot, 2021),(Spencer, 2022)
Arbitrators help courts solve problems and reduce burdens. Arbitration awards must be
registered with a state office before enforcement. Since jurisdiction is like a court but not
a government agency, they may need judicial help. The state permits awards to have the
same legal weight as court decisions. After arbitration, the parties are bound by the
verdict and need not appear in court or appeal.
Litigation Arbitration
- Decision binding - The product is affordable.
- Transparent processes and - Saves time (months-years).
consequences. - Private and discreet.
Advantages - Court precedents may be used - The ruling is binding.
in future cases. - Allows for customization to meet
- Conduct of hearings is parties' needs.
governed by procedural laws - UK arbitration rulings are often
and safeguards. enforceable in over 160 countries.
- The legal system may be The arbitral ruling is binding and
costly leaves little room for appeal.
- time-consuming, and difficult - Limited transparency due to
to grasp. privacy concerns.
Disadvantages - Lack of privacy and -Arbitrators can only impose
confidentiality. limited interim remedies.
- No precedent exists.
REFERENCE
Elliott, C., & Quinn, F. (2008). English legal system. Pearson Education.
MACINTYRE, E. (2018) Business Law. 9th Ed. London: Pearson
Riches, S., & Allen, V. (2009). Business law. 9th Ed. Pearson.
ADAMS, A. (2020) Business Law for Students. 11th Ed. London: Pearson
GOV.UK (1890) Partnership Act 1890. [online] Available at:
https://www.legislation.gov.uk/ukpga/Vict/53-54/39/contents Accessed in 11th
December 2023.
GOV.UK (2015) Consumer Rights Act 2015. [online] Available at:
https://www.legislation.gov.uk/ukpga/2015/15/contents/enacted Accessed in 11th
December 2023.
Garner v Murray [1904] 1 Ch 57
Wolman v Islington LBC and City of London Corporation [2007] EWCA Civ 823;
[2008] 1 All ER 1259
LawTeacher. November 2013. Chadwick v British Railways Board - 1967.
[online]. Available from: https://www.lawteacher.net/cases/chadwick-v-brb.php?
vref=1 [Accessed 11 December 2023].
LawTeacher. November 2013. Hoenig v Isaacs - 1952. [online]. Available from:
https://www.lawteacher.net/cases/hoenig-v-isaacs.php?vref=1 [Accessed 11
December 2023].