What is Business Law Assignment? Describe with Sample and Example
What is a business law?
A legal case study involving a dispute is often given to a law student in order for him or her to come up with a legal solution. A business law dispute involves two parties over a dispute regarding a contract, a sale, a merger, a contract etc. Here are some business law case samples with possible solutions:
Sample Business Law Cases: Case No 1
A lady named Jenny received a circular from Beauty and the Beast Hair Salon. It had advertised massages and manicures for 10 dollars. Jenny was pleasantly shocked when she saw the deal. She realized that it was a lucrative deal. However, she was not surprised since they had just opened and wanted to attract new customers. When Jenny arrived at the salon, she was told that there was a mistake in the circular and the amount would be 100 dollars and not 10 dollars. The manager of the salon explained that this was still a good price because normally a massage and manicure would have cost $150.
Jenny was livid as it had taken her 30 minutes to drive down, the cost of which when added to the manicure cost would still be more than 100 dollars. As a lawyer give legal advice to Jenny. Would your advice be any different if she was told about the price after she had taken the massage and manicure?
When a seller places some information about his products in the form of a catalogue or a circular and invites others to buy the products, then it is considered as an ‘invitation to treat’ (a contract law term which means a person is willing to negotiate) In such cases, the buyer makes an offer to buy and upon the acceptance of such offer by the seller, an enforceable agreement can arise.
We can refer to an old legal precedent in this case: In the matter of Harris v Nickerson (1873) L.R. 8 Q.B. 286 there was an advertisement of sale by the defendant through auction. The plaintiff saw the advertisement and reached to the place of auction. He came to know after reaching the auction site that the auction has been cancelled and thus brought an action against the defendant. It was held by the court of law that the advertisement notice was just an ‘invitation to treat’. Hence, the plaintiff cannot claim his travel expenses from the defendant.
The circular of Beauty and Beast Hair Salon is an ‘invitation to treat’ on which Jenney acted and made a booking. She came to know the real price upon reaching the salon and thus had an option to either reject or avail their services. She would have paid $ 100 if she got the massage and manicure done by the salon without knowing the price. In that case, the transaction would have been a legally binding contract.
However, since she already knew the real price and had a choice, the mere placing of the ad could not have been considered as a legally binding contract. In the second scenario, she could have just paid 10 dollars as quoted in the newspaper. But since, she already had a choice and decided to exercise it rationally, we cannot argue that there has been any legal violation.
Sample Business Cases: Case Number 2
Once, a charity auction was taking place. Bruce who was extremely drunk went to the auction and under the influence of alcohol made a successful bid. It was apparent to the auctioneer that Bruce did not know what he was doing. Meanwhile, Bruce sobered up and accepted having made a bid. However, later on, he refused to fulfill the obligations of his contract. Give legal advice to Bruce.
We have with us a legal contract which was entered into by two people: one who was in his senses and was legally bound to fulfill his contract and another person who was not fully in his senses and was not legally bound to his contract. Here the auctioneer was in his full senses to understand the terms of the contract while the buyer was drunk and as such was not in a position to fulfill the legal obligations.
The general rule about legal contract is that any person can enter into a contract but he has to have the mental capacity and intellectual maturity to understand the terms and conditions of it. The principle of contractual law stipulates mental lucidity to be an abiding feature of the both the contractor and the contractee. Generally, courts do not approve of a contract which entered into by a person who is voluntarily drunk because he is not in a position to understand what the contract entails.
In this case, Bruce was so drunk that he did not knew that he was actually bidding at the auction. The auctioneer, however, knew this. Under the contractual laws, Bruce was technically not bound to the legal obligations. However, there is a catch in the story. In this case, Bruce was owed up to his legal obligations once he sobered up. He would have escaped the liability of the auction contract by simply disavowing it as soon as he sobered up but he did not do this. As a matter of fact he reiterated the terms of his contract once he had sobered up. As a result, this contract would be legally binding.
Therefore, the contract will be a valid contract and Bruce will be bound by the contract with auctioneer. Further, he will have to fulfill all his obligations under the contract
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