Business Law

Good Essays
Question 1:

Issue

The issue of this question is whether Samuel willingly entered into a legitimate sale of goods contract with the shop in Orchard Road.

Rule of Law
The law on this issue is found in the common law and under stature law. In Preston Corporation Sdn Bhd v Edward Leong (1982), an offer was defined as a willingness to be bound by the terms of an agreement. Therefore, it is clearly stated that Samuel is willingly and has agreed to enter into a contract by signing on a receipt unknowingly that there is an additional of $8,500 to be paid. In the case of Gunthing v Lynn (1831), an offer cannot be vague, it has to be specific on every terms and conditions. Moreover, a receipt is not a contract. A cash receipt is a “simple document showing proof of a transaction that is often issued at the time of the completion of a sale” (www.wisegeek.org, 2013, paragraph 1). Thus, no agreement has been made as Samuel misinterpreted the amount as what was offered by Benson Ong earlier.

Under the Rules of Consideration, consideration must move from the promisee where the person to whom the promise is made must furnish the consideration. In Samuel case, he agreed to pay $1,500 for two mini ipads as quoted by Benson Ong initially before signing of the receipt.

After knowing that there was an additional amount to be paid and was asked for a refund, Samuel was threatened by another salesman, Hedges Ang to make the full payment. Since there was no valid contract and there is a threat to this issue, duress takes place: Inche Noriah v Shaik Allie Bin Omar.

Duress is defined as “the use of force, false imprisonment or threats (and possibly psychological torture or “brainwashing” to compel someone to ace contrary to his or her wishes” (www.insitelawmagazine.com, 2013, paragraph 17).

This situation also falls under the act of Undue Influence. It is the “unconscientious use of one’s own power or authority over another to obtain a benefit or achieve a purpose by

You May Also Find These Documents Helpful

  • Powerful Essays

    Business Law

    • 4785 Words
    • 20 Pages

    Curtin Business School School of Business Law and Taxation Unit Outline 11011 Business Law 100 Semester 1, 2013 Unit study package number: Mode of study: Tuition pattern summary: Credit Value: Pre-requisite units: Co-requisite units: Anti-requisite units: Result type: Approved incidental fees: Unit coordinator: 11011 Internal Seminar: 1 x 3 Hours Weekly This unit does not have a fieldwork component. 25.0 Nil Nil Nil Grade/Mark Information about approved incidental fees can be obtained from our…

    • 4785 Words
    • 20 Pages
    Powerful Essays
  • Satisfactory Essays

    Business Law

    • 421 Words
    • 2 Pages

    Addressing International Legal and Ethical Issues Contemporary Business Law/LAW 421 Monday, 18 February 2013 The issues involved in resolving legal disputes in international Transactions are the changes that are mad to international laws and regulations. The largest focus is the minimum wages. What is most discussed is China has a cheap labor force compared to America. This increases the profits for the company who outsources to cheaper labor cost. If the China manufacturing do not meet…

    • 421 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Business Law

    • 3800 Words
    • 16 Pages

    genuine requirement for a job, such as, for example, the need to wear a hard hat when working on a construction site. Bona fide occupational requirement is a defence that excuses discrimination o a prohibited ground when it is done for a legitimate business reason. Bona Fide occupational requirement can be rejected if a male does not have the care, attractiveness and delegacy a women would have. Physical capabilities have also been rejected example a women not getting hired because she cannot lift…

    • 3800 Words
    • 16 Pages
    Good Essays
  • Satisfactory Essays

    Business law

    • 2477 Words
    • 13 Pages

    Vietnam National University – HCMC International University SCHOOL OF BUSINESS ADMINISTRATION COURSE SYLLABUS1 BA167IU Introduction to Vietnamese Legal System Note: The outline with specific venue and time, and updated learning materials for the current semester will be provided to the enrolled students by the lecturer 1. COURSE STAFF Lecturer: LLM Ta Diu Thuong Room: L108 Telephone: 0822114034 E-mail: tdthuong@hcmiu.edu.vn Consultation…

    • 2477 Words
    • 13 Pages
    Satisfactory Essays
  • Good Essays

    Business Law

    • 1150 Words
    • 5 Pages

    regulation in Saudi that has specific implication when settling disputes. It is forbidden in Islamic law by Qur’an when the operation concerned is risky and could result in deceit of one of the parties (http://www.investopedia.com/terms/g/gharar.asp). In this case, the U.S could claim that the reparation cost of breaching the contract could be classified as Gharar as it is specific to Islamic law: Saudi being an Islamic country with applicable jurisdiction, the US could claim gharar as the cost of…

    • 1150 Words
    • 5 Pages
    Good Essays
  • Better Essays

    Business Law

    • 2364 Words
    • 10 Pages

    went to court to sue the bank for a breach of contract. The breach was as a result of the good faith covenant and fair dealing. Additionally, she felt that the mortgage transaction was an example of unfair practice of violations in business under the unfair competition law of the state of California concerning unjust conversion and enrichment. On the basis of the second amended complaint, the bank had maintained the activity of procuring costly replacement insurance when mortgagors made a default on…

    • 2364 Words
    • 10 Pages
    Better Essays
  • Satisfactory Essays

    Business Law

    • 631 Words
    • 3 Pages

    BUSINESS LAW ASSIGNMENT MANAGEMENT DEVELOPMENT INSTITUTE OF SINGAPORE UNIVERSITY OF BRADFORD DIPLOMA IN BUSINESS MANAGEMENT Comment [DT1]: Example: DBMD1070E COURSE CODE BUSINESS LAW ASSIGNMENT GROUP MEMBERS NO 1. 2. 3. Name Full Name Full Name FIN NO: FIN No: 12345678P PM Comment [DT2]: Write down date assignment was handed in DATE: _______________________ ANALYSIS RESEARCH ORGANIZATION PRESENTATION /40 /30 /15 /15 Comment [DT3]: Make sure it is…

    • 631 Words
    • 3 Pages
    Satisfactory Essays
  • Good Essays

    business law

    • 942 Words
    • 3 Pages

    the same consequences has taken place, where by a prominent member of the political party (Jonathan) threatened to persuade all Richard’s existing customers to award function tenders to Jonathan’s brother. This was a business threat to Richard, and due to fear of losing his business and model, Richard could have entered the agreement but not with his consent. Besides that, this case is also said to be induced by ‘undue influence’ (according to section 16 (1), where the relations…

    • 942 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    Business Law

    • 442 Words
    • 2 Pages

    Jonah Watson Business Law Case Analysis #3 IN YOUR COURT A remedy is the relief provided for an innocent party when the other party has breached the contract. There are two types of remedies; remedies in equity and remedies at law. Remedies in equity are only awarded only if the remedy at law is inadequate. Remedies at law normally award monetary damages Ken, the owner of a famous candy store, and Sweet, Inc. have entered into a contract, essentially designating Sweet, Inc. as his…

    • 442 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    Business Law

    • 31434 Words
    • 126 Pages

    ALGAPPA UNIVERSITY KARAIKUDI – 630 003 TAMILNADU DIRECTORATE OF DISTANCE EDUCATION B B A (II YEAR) PAPER 2.4 BUSINESS LAW Paper 2.2 Commercial Law : Business Law Indian Contract Act 1872 : Meaning and essentials of a valid contract Formation of contract – Performance of contract – Termination and discharge of contract – Remedies for breach of contract – Quast contract Special Contracts : Indemnity of guarantee – Bailment – Agency Sale of Goods Act…

    • 31434 Words
    • 126 Pages
    Powerful Essays