Abe Revision Paper Principles of Business Law

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TYPICAL EXAM QUESTIONS SOURCE LAW 1. Identify and explain three features of case law (9). 2. Discuss three disadvantages of case law(6) 3. Case Law is a source of law.Identify and discuss two advantages and two disadvantages of case law.(10) 4. There are three established rules which are applied by the courts when they are to interpret a statute.Explain each of the following,making reference to relevant case law: a) Literal rule(5) b) Golden rule(6) c) Mischief rule(4) 5. What is the doctrine of precedent?(3) 6. Explain how the doctrine works precedent works in practice, relating your answer to the English Legal System and case law.(10) 7. Explain the meaning and effect of delegated legislation, highlighting its advantages and disadvantages. Then elaborate on how parliament and the courts control it. Your answer should be supported by appropriate examples throughout.(15) 8. Explain what is meant by: a) Consolidation of law b) Codification of Law COMPANY LAW 1. Explain in context what is meant by the following terminology: a) Directors of a company.(9) b) Veil of Incorporation(6) c) Meetings of a Company(6) d) The winding up of a Company. (4) 2. Compare and contrast 3. Identify and discuss circumstances where the corporate veil may be lifted under the companies Act and the Insolvency Act 4. Preferably making reference to the Insolvency Act 1986(2000),explain what happens when the decision is taken to place a company into.

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Transcript of Abe Revision Paper Principles of Business Law

Page 1: Abe Revision Paper Principles of Business Law

TYPICAL EXAM QUESTIONS

SOURCE LAW

1. Identify and explain three features of case law (9).2. Discuss three disadvantages of case law(6)3. Case Law is a source of law.Identify and discuss two advantages and two disadvantages of

case law.(10)4. There are three established rules which are applied by the courts when they are to interpret

a statute.Explain each of the following,making reference to relevant case law:a) Literal rule(5)b) Golden rule(6)c) Mischief rule(4)

5. What is the doctrine of precedent?(3)6. Explain how the doctrine works precedent works in practice, relating your answer to the

English Legal System and case law.(10)7. Explain the meaning and effect of delegated legislation, highlighting its advantages and

disadvantages. Then elaborate on how parliament and the courts control it. Your answer should be supported by appropriate examples throughout.(15)

8. Explain what is meant by:a) Consolidation of lawb) Codification of Law

COMPANY LAW

1. Explain in context what is meant by the following terminology:a) Directors of a company.(9)b) Veil of Incorporation(6)c) Meetings of a Company(6)d) The winding up of a Company. (4)

2. Compare and contrast3. Identify and discuss circumstances where the corporate veil may be lifted under the

companies Act and the Insolvency Act4. Preferably making reference to the Insolvency Act 1986(2000),explain what happens when

the decision is taken to place a company into.a) A creditors’ voluntary liquidation(6)b) A members’ voluntary liquidation(7)

5. The liquidation process is mainly governed by the Insolvency Act 1986.Explain the following:a) The role of a liquidator following his/her appointment.(6)b) The duties/powers of a liquidator following his appointment(6)

6. Who may apply for an Administration Order under the Insolvency Act 1986(2)

7. Identify the main effects on a company of a court granting an Administration Order(4)

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8. Explain the term “Fraudulent trading” and identify who can be found guilty of it and the consequences of being found guilty.(6)

9. Explain the term “Wrongful Trading” and identify who can be found guilty of it and the consequences of being foundliable.

10. Explain and distinguish between the following three different types of meeting which can take place within companies:

a) An Annual General Meeting(AGM)(5)

b) An Extraordinary General Meeting(EGM)(3)

c) A Class Meeting(CM)(2)

11. Shares confer a bundle of rights. Discuss(13)

12. Discusshow the validity of the amendment of the Articles of Association would be determined by the Court, making reference to the Companies Act 1985 along with any relevant common law rules.

13. Identify and describe five matters that are regulated under Articles of Association when forming a Company (10)

14. Describe what is meant by the “ Doctrine of Separate Corporate Personality “ and “Lifting the Corporate Veil” in Company Law.

15.All companies must have Directors.Explain the main powers and duties they must perform(15)

AGENCY

1. Explain what is meant by the term “agency” and briefly describe what an agent does.(5)2. Identify and explain five duties which an agent owes towards his principal(10)3. Explain whether a principal can successfully sue an agent for secret commission obtained by

agent from third parties in the discharge of the transaction authorised by principal(5)4. Explain what is meant by the ratification of an agent’s act and comment on the various

conditions and circumstances.(10)5. Explain how agency can be created by ratification(10)6. Outline the different types of agents7. Identify and discuss:

a) The duties which an agent owes towards his principal.(14)b) The different ways in which an agency relationship can be terminated.(11)

8. Briefly explain the agency of necessity(5)

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PARTNERSHIP1. What constitutes a partnership under this Act ?(2)2. Explain the three fiduciary duties of each partner in a partnership.(5)3. Explain the idea of apparent authority of partners to act as agents for their firm and to bind

the firm by their acts.(5)4. Explain the Statutory rights that belong to all partners of a firm(9)5. Explain the grounds on which one partner may apply to the Court for a dissolution order

under the Partnership Act(9)6. How do you know when a business may be treated as a Partnership and therefore subject to

the provision of the Partnership Act.

EMPLOYMENT LAW

1. Explain the differences between contracts “contracts of service” and “contracts for service” in employment law.(10)

2. Outline the tests courts use to decide whether someone is an employee or self-employed.3. For an employer there are legal and economic consequences which follow from finding that

his worker is an employee in reality, and there therefore employed under a contract of service rather a contract of service.Explain these legal and economic consequences (15)

4. In relation to Health and Safety Law, the standard of care required of an employer under the common law, extends only to protection, against “reasonably foreseeable” risks to those workers who are their employees. Therefore an employer will only be liable to pay for damages in those cases where there has been some lack of care on his part,and he has failed to foresee a type of harm which was “reasonably foreseeable”.Discuss this statement together with the three fold nature of the duty to:a) Provide safe plant and machineryb) Provide a safe system of work;andc) Provide reasonably competent employees.(10 marks)

5. Explain why an employer would want a court to decide that a worker was employed under a contract for services as opposed to a contract of service.(4)

6. Under the common law,an employer owes implied duties to his employees. Explain each of these duties, which are listed below:a) To pay reasonable remuneration.(3)b) To indemnify his employees for expenses incurred in the course of their employment(3)c) To maintain mutual trust and confidence ie the employer has a duty not to behave in

such a way so as to damage the relationship of trust and confidence between him and her employees.

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CONTRACT

1. Identify and explain, using ,case examples,what is meant bya) An Offer(6)b) An invitation to treat.(8)

2. Explain the four equitable remedies of a breach of contract.(25)3. Using examples, explain the following terms in relation to contracts:

a) Conditions(10)b) Warranties(9)c) Innominate terms(5)

4. Explain each of the following ways by which a contract may be discharged:a) Discharge by Performance.(15)b) Discharge by Breach(including anticipatory breach).(6)c) Discharge by agreement.(4)

5. Outline the five rules regarding communication of acceptance.6. Explain what is meant by the term “consideration” under Contract Law.(5)7. Explain the three main principles of governing consideration.(10)8. Under the Law of Contract,a contract will be discharged by frustration where the obligations

under it have become subsequently impossible to perform due to the fault of neither partyApply the relevant law to the following two situations in order to determine whether or not the contracts have been frustrated:a) A contract involving the letting out of a manor house for a Wedding Reception and the

manor is destroyed by fire a week before the wedding(5)b) A contract involving the rental of a room overlooking a famous international tennis

ground, which has been hired out on this occasion for the purpose of watching the annual international tennis. The competition is subsequently cancelled due to bad weather conditions

c) A Claimant cannot recover any losses where they could have avoided incurring the m by taking reasonable steps to mitigate the losses concerned(8)

d) A claimant cannot recover any losses where they could have avoided incurring them by taking reasonable steps to mitigate the loss concerned.Discuss.(5)

9. Explain the meaning and effect of the doctrine of privity in relation to the law of contract.10. Explain the minimum requirements for the formation of a contract.(17)11. Explain what is meant by “ joint” and “several” liability in contract law(12)