2023 2024 Student Forum > Management Forum > Main Forum

 
  #2  
19th January 2013, 10:58 AM
Super Moderator
 
Join Date: May 2012
Re: Mercantile Law Notes MBA

Here I am suggesting you Mercantile Law Notes for MBA course.

Capacity of parties to Contract:

An agreement becomes a contract if it is entered between the parties who are competent to Contract.

Every person is Competent to contract

1. Who is of the age of majority according to the law.

2. Who is of sound mind.

3. Who is not disqualified by any law.

Monor’s Contract

Void-ab-initio

Can’t rectified by minor on Majority

Cant asked to refund benefit

No Estoppels to plead minority

Partner for benefit in firm

Minor’s Estate liable for necessaries of life

Parents/Guardian not responsible

Agent/ Not Bankrupt

Free Consent

"Free consent" - Consent is said to be free when it is not caused by –

1) Coercion,

2) Undue influence

3) Fraud,

4) Misrepresentation,

5) Mistake.
  #3  
19th December 2015, 09:56 AM
Unregistered
Guest
 
Re: Mercantile Law Notes MBA

Hello sir, here I want Mercantile Law Notes for MBA. Will you please provide me notes of LAW mercantile for MBA?
  #4  
19th December 2015, 10:11 AM
Super Moderator
 
Join Date: Apr 2013
Re: Mercantile Law Notes MBA

LAW is an enforceable body of rules that governs the conduct of individuals in society i.e. with each other and with the society as whole.

Basic features of LAW:
Law is a means of preserving the social order

It provides penalties for violation of such order

It provides a model code for conduct, at least to the extent that what conduct is considered illegal (e.g. ticket less travel, drunken driving, child marriage etc.)

It is also provides for rights of individuals in society (is right to property right to education, right to marry, right to speech etc.)

It acts as a compromiser i.e. takes into account the different segments/sections of society and their views and provides for a common set of enforceable laws.

Sources of Law:

History
Traditions
Culture
Past Practices
Customs
Contribution by eminent scholars
Legal decisions.
Legislation
Religious Texts

With these sources three broad categories of law evolved over a period of time

Common Law
Civil Law (Statutory Law)
Religious Law

Common Categories of Law

Criminal Law Vs Civil Law
Substantive Law Vs Procedural Law
Public Law Vs Private Law

Mercantile Law Notes MBA

1) Law is a means of preserving the social order

(2) It provides penalties for violation of such order

(3) It provides a model code for conduct, at least to the extent that what conduct is considered illegal (e.g. ticket less travel, drunken driving, child marriage etc.)

(4) It is also provides for rights of individuals in society (is right to property right to education, right to marry, right to speech etc.)

(5) It acts as a compromiser i.e. takes into account the different segments/sections of society and their views and provides for a common set of enforceable laws.

Law is not monolithic: – That is consisting of a commonly accepted and unchanging set of rules. It changes over time; (it is repealed like TADA, amended like PPOTO or sometimes scrapped altogether). People in society can agree on the need for law, but differ on what it should be the how it is to be implemented. This conflict of ideas are due to different belief, races, culture, custom that section of society hold. Which in turn leads to different structure and implementation of law differently in different countries. The study of the different belief and value bases of law is called ‘Jurisprudence’ or the study of legal Philosophy.

Sources of Law:

(1) History

(2) Traditions

(3) Culture

(4) Past Practices

(5) Customs

(6) Contribution by eminent scholars

(7) Legal decisions.

(8) Legislation

(9) Religious Texts

With these sources three broad categories of law evolved over a period of time

1- Common Law

2- Civil Law (Statutory Law)

3- Religious Law

Common law:

It means, law based on past practices, traditions and precedence. Precedence means what has happened in the past judgements in similar cases. These judgements are referred to and they form the basis of new decisions given by the courts. This law operates on the premise that it is not possible to codify change contingency and the courts often look to past judgements.

Usually followed in erstwhile colonies of the British inAmericas, Asia,Africaand Australian continent. The origin of common law can be traced toU.K.around 1066 A.D. when William the Conqueror, conqueredEngland. At that timeEnglandwas divided and as such no law and order prevailed in different sections of the country. He tried to bring about uniformity in the law by ordering local courts to go by local traditions and decision of other courts of the country. By which he tried to bring about a consistency in the law over a period of time.

Civil Law \Code Law:

This type of law has all the laws written down in commercial, civil and criminal codes. Every possible contingency is intended to be covered. (If not legislation, ordinance and statutes can be framed. Origin of code law can be traced back to times of Hammurabi even before the birth of Christ. Code of Hammurabi and the Roman Code of the era of Julius Caesar are testimony to the codification of laws. Recent codification can be traced to the Napoleanic Code or the French code of 1804 A.D.

Most of continental Europe includingFrance,Germany,Italy,Spain, Portugal etc., and their erstwhile colonies in Latin America, Africa andAsiafollows civil law system. While MainlandChina,Japan,Taiwanand erstwhile Socialist countries follow civil laws with slight modifications.

Religious Laws: Law based and derived from religious texts and its interpretation by religious leaders. Usually with civil law but rarely with common law. Examples are Nepal, which follows Hindu Law, and few Islamic countries, which follow Islamic Law (Sharia), which covers all aspects of life from dress code to basis contracts.

Common Categories of Law
(1) Criminal Law Vs Civil Law: – It deals with the wrongs done to the society. (Such as ticket- less travel, murder, kidnapping, arson, rioting etc.). -While Civil Law deals with wrong dove to individuals in society. Usually the distinction is the basis of penalty; if fines are paid to the state or/and imprisonment then it is a criminal case, or if payments are made to the affected party, then it is a case of Civil Law. (E.g. divorce, property disputes, harassment etc.). Usually most violation, tend to be the violations of both Laws.

(2) Substantive Law Vs Procedural Law:-

Substantive law deals with the content of law i.e. what does the law say about a particular thing. While procedural law is concerned with the implementation of law. Such as to how the court notices are to be served, how should the trial be conducted, how to present the evidence, how the judgement is to be enforced etc,

(3) Public Law Vs Private Law:-

Public Law: – Is the law enacted by the state or the central governments while Private Law is a set of rules agreed upon by individuals or groups. Most corporate dealing come under private law. But these laws here to conform to pubic law and must not violate them.

Business Law:

In broad sense all laws are applicable to individuals as well as business firms. But in the narrow sense business law is that part of law, which directly affects the management of business enterprise. Business Law deals with those laws which directly affect and regulate the Management of Business activity.

Business law as a discipline is dynamic; that is it keeps on changing with time and change in value system. There can be additions, deletion, modification etc such as FERA scrapped and FEMA put in place.

Business law comprises of

1- Contract law Sales of good act

2- Product Liability laws

3- Negotiable instrument laws

4- Registry law

5- Law of Torts

6- Intellectual Property rights

7- law of agency,

8- law of bailment

9- sale of goods

What is contract?

A contract is an agreement, which is enforceable by law.

Agreement: – is the result of a proposal or an offer by on party to another and its acceptance by the other .

Example: A offers to sell his watch to B for Rs.1000. B accepts the proposal.

Consideration for A is the money (Rs.1000)

Consideration for B is the watch.

So basically both the parties promise each other something of value to them, which implies that consideration is the price of promise.

Consider the following

1- A offer to take B for dinner/movie. B accepts.

2- A offers to sell be his car for Rs.200,000. B accepts.

In the first case it is an invitation to treat and there is no intention to create a legal relationship while in the second case there is an intention to create a legal relationship i.e. duly enforceable by law in case of non-performance by the parties. If B take delivery of the car but does not pay A, then A can take legal action against B. But in the first example it is not the case as non-performance is not enforceable by law. This is because in the first case there is no intention to create a legal relationship while it is so in the second case. Law makes a distinction between social, religious and legal obligations.

From the above discussion it follows that


‘All contract are agreements but not all agreements are contract. In light of the above let us discuss the essentials of a contract’.



Essentials of a valid contract:

1) There should be an agreement between the parties.

2) Intention to create legal relationship

3) Lawful consideration.(must be legal and should not be fraudulent or opposed to public policy).

4) Lawful object( subject matter should not be illegal e.g. kidnapping).

5) Capacity to Contract( Parties must be are 18 years, of sound mind and should not be disqualified by law to enter into a contract).

6) Free Contract (The parties must give their consent freely and it should not be obtained through force, coercion, duress or by fraud and misrepresentation)

Voidable Contracts: is enforceable by law but the parties have the right to avoid it. Such as in a case where consent is obtained through fraud, such a contract will remain a valid contract until the aggrieved party cancels the contract.

Void Contract: Contracts, which are valid but subsequently became void. This can be due to impossibility, destruction of subject matters, illegality etc.

For a Contract you need offer and acceptance.

Acceptance: the act of consenting to a proposal. When a proposal is agreed upon it is called acceptance.

Acceptance is made:-

1- Either through an act of writing or verbal announcement

2- Or by doing something which is required. (by conduct)

Example: A merchant receives an order from a customer to supply some household items. The merchant delivers the good to the customer.

(the acceptance in this case is by conduct/ or by performance of the act) i.e. the act of sending the goods to the customer


Quick Reply
Your Username: Click here to log in

Message:
Options

Thread Tools Search this Thread



All times are GMT +5. The time now is 04:36 PM.


Powered by vBulletin® Version 3.8.11
Copyright ©2000 - 2024, vBulletin Solutions Inc.
SEO by vBSEO 3.6.0 PL2

1 2 3 4