Business Law 1

Which of the following is most likely to

justify termination of a contract under

Irish law?

Breach of a condition

What is the legal effect of frustration in contract law

It discharges both parties from future obligations

Which remedy is most appropriate when

monetary compensation is inadequate?

Specific performance

In Irish contract law, what is the primary

purpose of compensatory damages?

To put the injured party in the position they would have been in if the contract had been performed.

Doctrine of precedent

The legal principle that requires courts to follow previous judicial decisions when making rulings in similar cases, ensuring consistency and predictability in the law.

Stare decisis

is a doctrine that underpins the doctrine of precedent, mandating that courts adhere to established case law to maintain legal consistency.

Tort Law

A body of law that addresses civil wrongs and damages caused to individuals, requiring the wrongdoer to compensate the injured party.

The Supreme Court

the highest court in Ireland and serves as the final court of appeal in both civil and criminal cases. It has the power to review cases from lower courts and interpret the Constitution. It plays a crucial role in shaping Irish law by setting legal precedents and ensuring the consistency of the law across the country.

The Court of Appeal

established in 2014, acts as a mediator between the High Court and the Supreme Court. It hears appeals from the High Court and, in some cases, from the Circuit Court as well.

The High Court

a court of general jurisdiction and is one of the most important courts in Ireland. It hears complex cases in both civil and criminal law, including constitutional matters, family law, and cases with large financial stakes. It also has the power to review decisions made by lower courts.

The Circuit Court

sits below the High Court and deals with a large volume of civil and criminal cases. It is a regional court with branches in different areas of the country, making it more accessible to the public. It hears more serious criminal offenses and civil cases that involve moderate sums of money. It has limited jurisdiction in civil matters, including contract disputes, personal injury claims, and property matters, with a monetary limit for the cases it can hear.

The District Court

is the lowest level of court in Ireland's legal system and handles a wide variety of less serious criminal and civil cases. It has jurisdiction over minor criminal offenses, such as public order offenses, traffic violations, and certain theft and assault cases, where the penalties typically involve fines or short prison sentences.

The Commercial Court

 was established in Ireland in 2004 as a specialized division of the High Court to handle complex commercial disputes. Its creation was part of a broader reform aimed at improving the efficiency, speed, and expertise with which commercial cases are dealt with in the Irish legal system.

Bunreacht na hÉireann

the highest legal authority in the country. Adopted in 1937, it defines the structure of the Irish state, outlines the separation of powers between the executive, legislature, and judiciary, and protects the fundamental rights of citizens. These rights include personal liberty, equality before the law, freedom of expression, and privacy.

Civil Law

involves disputes between private parties; Resolution of disputes, Case between plaintiff and defendant, Aims to resolve the dispute / compensation, Remedies include damages, injunctions, court orders, Proof “on balance of probabilities” Liable / not liable

Balance of probabilities

the party with the stronger case tips the scale in their favor, even slightly, proving their version of events is more probable

Criminal law

concerned with behaviour which the State has decided to prohibit and to deter by the threat of punishment, Conduct prohibited by law, Prosecution by the State, Aims to punish & deter, Remedies include prison, fines, community

service orders, Proof “beyond reasonable doubt”, Guilty / not guilty

Substantive law

covers most legal subjects that confer rights or impose obligations and liabilities on people

procedural law

details the processes by which the substantive law is implemented e.g. law of civil and criminal procedure and the law of evidence

Public law

governs the relationship between the individual and the state

private law

governs the relationship of individuals between themselves

legislative power

power to make the laws for the state

executive power

power to formulate and implement the law

judicial power

the power to deliberate upon and resolve disputes around the application of the law

arbitration

 a third party (arbitrator) gives a binding decision to resolve the dispute

mediation

a technique used to help parties to reach a settlement, non-binding

Bunreacht na hÉireann article 5

Ireland is "a sovereign, independent, democratic state"

nreacht na hÉireann article 6

recognises and establishes a tripartite separation of powers, dividing the powers of government between the legislature, executive and judiciary

Oireacthtas

the bicameral legislature (parliament) of Ireland, comprising the President of Ireland, the lower house Dáil Éireann (Assembly of Ireland), and the upper house Seanad Éireann (Senate of Ireland), responsible for making laws, electing the government, and holding it accountable, meeting at Leinster House in Dublin.

Statutory Interpretation

The process by which a judge decides what the words in a statute mean, in order to apply them to the facts in the case at hand and reach a decision

Literal Interpretation

requires courts to interpret statutes in their plain, literal and ordinary sense. The courts will not examine the intention of Oireachtas. This rule is used frequently as judges are not authorised to make laws and by following the statute to the letter judges cannot be accused of making law

The Golden Rule

The court investigates whether the statute wording conveys the intention of the Oireachtas. It is problematic though as judges have power to interpret the statute as they wish, changing or adding to its meaning. It flouts the separation of powers and judges cannot be influenced by injustice without the presence of absurdity.

The European Parliament

Members are elected for five years from the twenty seven member states. Their task is to develop acts and legislation but adoption of the legislation on its own is not in the range of their power, Parliament is essentially a deliberative rather than a decision making forum

The Council of Ministers

This is the real power body in the EU and represents the individual Member States governments, Ministers of national governments attend its meetings. The Council institution consists of nine different Council formations, Each country is represented by the relevant Minister for the issue on the agenda (eg foreign affairs, transport, agriculture etc)., The Presidency of the Council rotates every six months.

The European Commission

President is elected by the European Parliament, One of the roles is to propose legislations to Parliament and the Council, It also manages and implements EU policies and the budget as well represents the EU on the international stage, The main role is to negotiate with the rest of the world in terms of trade agreements.

The European Court Justice

main task is to ensure that EU laws and treaties are applied and used in the same manner in all EU member countries, consists of twenty seven judges from each EU member state each one serving for four years, It issues a single judgment and decision is not based on stare decisis or precedent as in Irish courts

European Convention on Human Rights (ECHR)

protects the human rights of people in countries that belong to the Council of Europe, All 47 Member States of the Council, including Ireland, have signed the Convention, became part of Irish law when the Oireachtas passed the European Convention on Human Rights Act 2003, does not have a direct effect in Irish law, All of the ECHR rights are included in the Charter

International Law

law which governs the relationship between the independent nations, Its provisions do not influence on the domestic law unless incorporated so by the Oireachtas

When did Ireland join the EU

1955

Common Law

originally developed in England in the beginning of the eleventh century by judicial decisions that were based on tradition, custom and precedent

Judicial Precedent

the legal principle of following previous court decisions when deciding cases with similar facts and legal issues

Binding Precedent

must be followed by lower courts in the same jurisdiction. For example, a decision made by the Supreme Court is binding on all lower courts in Ireland

Persuasive precedent

not binding, but can be used as a guide by judges in deciding similar cases. For example, a decision made by a higher court in a different jurisdiction may be considered persuasive, but not binding.

Overruling precedent

This occurs when a higher court decision explicitly overturns a previous decision made by a lower court. For example, the Supreme Court decision overruled a decision made by a lower court, that lower court must follow the new precedent set by the Supreme Court.

Distinguishing precedent

This occurs when a court decides that a previous case is not applicable to the current case because of differences in the facts or legal issues. For example, a court may distinguish a previous case because the legal issue at hand is different or the facts of the case are not sufficiently similar.

Obiter dictum

This is a statement made by a judge in a court opinion that is not necessary for the decision of the case, not binding precedents, but they may be persuasive in future cases

Contract

a legally binding agreement between two or more parties

Offer

a clear statement of terms upon which the person who makes the offer is willing to contract, should the person to whom the offer is addressed agree to accept

Acceptance

 the final and unequivocal expression of agreement to the terms of an offer

Consideration

the mutual exchange of value (money, goods, services, promises, or actions) that makes an agreement legally binding

Invitations to Treat

 a statement which is not intended to be binding on the person who makes it, but is showing a possible interest in entering into a contract

Puff

Never meant to be taken literally, no intention to create legal binding relations, Statement which cannot give rise to legal consequences, E.g. “ You will have the time of your life at the Beyonce Renaissance Concert”

Express Terms

 those which have been explicitly communicated between the parties orally or in writing. The intention of the parties is clear and there is little discussion to be had of these

Implied Terms

those terms which fill the gaps in the contract

Exclusion Clause

term that limits or eliminates one party's liability for certain issues, such as damages, delays, or specific losses

Statute

a written law

Officious bystander test

would both parties have clearly agreed to the term if asked about it?

Business Efficacy test

 is the term necessary to make the contract work?

Consumer Rights Act of 2022

Includes rules on sales, services, digital contracts, unfair terms, consumer information rights and cooling off periods, “short-term” right to end the contract which lasts for 30 days from the date of delivery of the goods, If a repair or replacement is not an appropriate remedy, the consumer is entitled to a proportionate reduction in price or a “final right” to terminate.

The Sale of Goods Act

provides that a description applicable to goods is a contract condition. Therefore, its breach entitles the other party to terminate the contract and recover damages. The description identifies the goods as such

Limitation Clause

limits the amount of damages payable in the event of breach

The Unfair Terms Directive

EU rules protect consumers from unfair terms inserted into contracts by businesses. These rules are now found in the Consumer Rights Act 2022

Excluding Terms

Excluding liability for death or injury

Excluding or limiting terms

Excluding or limiting the legal rights of the consumer in event of non-performance by the business

Extending Term

Extending a contract of a fixed duration without consent of consumer

Enabling Term

Enabling the seller or supplier to alter the terms of the contract unilaterally without a valid reason

Giving Term

Giving the business the exclusive right to interpret the contract

Warranty

a written guarantee, issued to the purchaser of an article by its manufacturer, promising to repair or replace it if necessary within a specified period of time

Condition

is a fundamental term essential to the contract's main purpose, allowing the non-breaching party to terminate the contract and seek damages

Innominate Terms

are contractual clauses that aren't strictly conditions (major terms allowing contract termination) or warranties (minor terms only allowing damages) but fall in between; their classification depends on the severity of the breach

Damages

monetary compensation, aim is to compensate the plaintiff for breach of contract by putting the plaintiff in the same situation they would have been in had the contract had been performed

Termination

refusal to perform your part of the deal or receiving a refund

Repudiatory Breach

is a serious contract violation where one party shows they won't or can't fulfill their fundamental obligations, giving the other party the choice to terminate the contract immediately and sue for damages, or to affirm it and continue performance

Employment Law

governed by common law, includes every aspect of the employer-employee relationship. Workplace safety, wages, pensions and unemployment compensation are all aspects

The Unfair Dismissals Acts of 1977 to 2015

provide that dismissals are deemed unfair unless the employer can show otherwise

The Terms of Employment (Information) Act, 1994

provides, among other matters, for the issue to employees of certain statements of terms of employment

Redundancy

Where an employer closes a workplace, or work of a particular kind is no longer needed, the affected employees who have worked for that employer for a minimum of two years are entitled to statutory redundancy payments calculated according to their length of service and rate of pay

Safety, Health, Welfare at Work Acts 2005 to 2014

All employers are required to take steps to ensure that their employees are working in as safe an environment as is reasonably practicable, Employees can bring civil claims against their employers for any loss suffered as a result of accidents at work or industrial illnesses and can also claim compensation from the State Occupational Injuries Benefit Scheme

Criminal Liability SHWAA

A criminal offence is committed when the duties imposed by the various sections of the SHW Acts are breached. Less serious offences the guilty person is liable on summary conviction to a fine not exceeding €3,000. For the more serious offences a person can be liable to a fine of up to €3,000,000 and/ or imprisonment for a term of up to two years.

The Protected Disclosure Act 2014 now Protected Disclosures (Amendment) Act 2022

Protects whistleblowing, provides a robust statutory framework within which workers can raise concerns regarding potential wrong-doing in their workplace, and significant employment and other protections to prevent such worker suffering penalization or detriment following their disclosure

The Law of Tort

a branch of civil law dealing with private wrongs (not breaches of contract) that cause harm or injury, aiming to provide remedies (usually money) to victims and hold wrongdoers accountable

Tort

A civil wrong, other than a breach of contract, that results in harm or injury to someone. The injured party can seek legal remedies

Liability

In tort law, the person or entity responsible for the harm is called the "tortfeasor." To hold someone liable, the plaintiff (the injured party) must show that the tortfeasor's actions caused the harm

Negligence

One of the most common grounds for tort claims. It occurs when a person fails to exercise reasonable care, resulting in harm to another.

Intentional Torts

These occur when someone intentionally acts in a way that causes harm. Examples include assault, battery, defamation, or trespassing.

Strict Liability

a person or company can be held responsible for harm caused by their actions, even if they were not negligent or intentional. This often applies in cases involving inherently dangerous activities or defective products

Duty of Care

the legal and ethical obligation to act with reasonable caution to avoid harming others

Breach of Duty

 Failure to meet the standard of care required in a given situation

Causation

The link between the defendant's actions and the harm caused

Damages

The actual harm or loss suffered by the plaintiff

Compensatory Damages

Covers actual losses

Injunction

A court order requiring a party to refrain from doing something (ex. stopping a harmful activity)

Punitive Damages

to punish the wrongdoer and deter future harm

Restitution

a remedy to return the injured party to the position they were in before the harm occurred

The Injuries Resolution Board

Independent assessment or mediation of personal injury claims and compensation for victims of workplace, motor and public liability accidents

Negligent Misstatement

statement that results in economic loss

Professional Negligence

when a skilled professional, like a doctor, lawyer, or accountant, fails to provide services with the expected standard of care, causing financial loss or harm to their client, often through errors, bad advice, or missed duties, leading to potential lawsuits and legal action

Contributory Negligence

where a plaintiff fails to exercise reasonable care for her own safety or property

The Safety, Health and Welfare at Work Act 2005 (as amended)

Sets out the rights and obligations of employers and employees, Provides for substantial penalties for breaches of legislation, applies to all employers, employees and self-employed people in their workplaces

The Irish Auditing and Accounting

independent body in Ireland responsible for the examination and enforcement of certain listed entities’ periodic financial reporting ( Financial Reporting Supervision Unit ), Supervision of the regulatory functions of the Prescribed Accountancy Bodies ( Regulatory & Monitoring Supervision Unit ), It aims to promote adherence to high professional standards by accountants, auditors and preparers of financial reports