Commercial Law

EXECUTIVE SUMMARY

According to Wikipedia, “Commercial law (sometimes known as business law) is the body of law which governs business and commerce. It is often considered to be a branch of civil law and deals both with issues of private law and public law. Commercial law regulates corporate contracts, hiring practices, and the manufacture and sales of consumer goods.”

The Law is a system of rules usually enforced through a set of institutions. It affects politics, economics and society in numerous ways. Contract law regulates everything from buying a bus ticket to trading swaptions on a derivatives market. Property law defines rights and obligations related to transfer and title of personal and real property, for instance, in home loans (bonds) or renting a home.

As members of a society we need a set of laws which defines our rights and duties, a society cannot function effectively and efficiently without a set of rules governing human behaviour.

TABLE OF CONTENTS

EXECUTIVE SUMMARY 1

TABLE OF CONTENTS 2

INTRODUCTION 3

QUESTION ONE 4

QUESTION TWO 6

QUESTION THREE 8

QUESTION FOUR 10

QUESTION FIVE 12

The following are essential elements in a contract of lease: 12

Specified immovable property 12

Specific period 13

Express Renewal 13

Tacit Renewal 13

Specified Rental 14

The Formation of the Contract of Lease 14

Duties of the Landlord 14

Timeous delivery of the leases property 14

Warranty against interference 15

Maintenance 15

Damage to property of tenant 15

Special terms 15

The Duties of the Tenant 15

Payment of the rent 15

No misuse of the property 16

Return the property undamaged 16

Specific performance 16

QUESTION SIX 17

QUESTION SEVEN 19

A contract surety may terminate due to the following: 20

QUESTION EIGHT 21

Sole Proprietorship 21

Partnership 22

Close Corporation 23

Private Company 24

CONCLUSION 26

REFERENCES 27

INTRODUCTION

In this assignment I will distinguish between criminal or civil cases and the differences between real and personal rights.

The steps involved before one goes to trial will be discussed. I will be explaining how the court of law may handle a case of a mentally disabled or a minor who enters a contract.

The risk and liabilities to both the seller and purchaser will be discussed. The essential elements of a lease and the duties of the landlord and tenant under the contract of a lease will be discussed.

Breach of contract will be explained and the legal choices the injured party may have will be discussed. The concept of suretyship will be explained and the ways it can be terminated is explained.

The different forms of a business enterprise will be explained and examples will be given.

QUESTION ONE

Jury Duty Information defines a civil case as being “a lawsuit is called a civil case when it is between two or more individuals or corporations involved in a dispute and usually seeking a judgment awarding monetary damages.” McPhee (2003) defines a criminal case as “a case concerning an act considered harmful to the general public that is forbidden by law and punishable by fine, imprisonment, or community service.” Before we can say that someone has committed a crime, it must be proved beyond reasonable doubt that the person committed an unlawful act, and that he or she had a blameworthy state of mind at the time.

From the above definitions and statements I conclude that this is a civil case as a criminal act has not been committed, but a dispute has arisen between Joshua and Simon due to Simon’s non payment of the money that he owes Joshua in lieu of the sale of the vehicle. Simon has not fulfilled his monetary obligation towards Joshua.

Regent study aid states that “a civil case is brought by a person (referred to as “the plaintiff”) who feels that he has been wronged by another person (referred to as “the defendant”).

From the aforementioned we can see that Joshua is the plaintiff and Simon is the defendant, as Simon has not fulfilled his monetary obligation towards Joshua, therefore Joshua feels wronged by him and has decided to take Simon to court.

A real right, or ius in rem, is enforceable against the whole world, or any legal subject. This means that you can legally protect your real right in something from anyone in the world who tries to interfere.

A personal right or ius in personam, exists against a specific legal subject. This means that you can only legally protect your personal rights against interference from a specific person.

Joshua is enforcing his personal rights because Simon has taken his possession (vehicle) and has defaulted on payment. By taking Simon to court, Joshua is trying to recover money which is rightfully due to him.

QUESTION