Business Law

Civil Law

-Disputes between private individuals/organisations

-Claimant and defendant

-Burden of proof on claimant

-Balance of probabilities

Criminal Law

-Party is accused of criminal offence

-Prosecutor and accused

-Prosecution must prove their case

-Beyond reasonable doubt

Civil Courts

-Small cases under 10,000- Small claims court

-Simple cases between 10,000-25,000- County Court

-Complex, high value cases- High Court

-Appeals heard in Court of Appeal/ Supreme Court

Criminal Courts

-All cases start in Magistrates Court

-Serious offences move to Crown Court

-Appeals heard in High Court, Court of Appeal, Supreme Court

Essential elements of a contract

-Offer

-Acceptance

-Consideration

-Intention

Factors that affect validity of contract

-Lack of capacity

-Absence of free will

-Illegality

-Misrepresentation

Revocation

-Must be communicated at any time before acceptance

-Must actually received by the offeree

-Communication may be via a reliable third party

Consideration

The element of value in an agreement

Executory consideration

A promise given a promise

Executed consideration

-An act already performed in return for a promise

Past Consideration

Consideration is given before agreement -invalid

When contracts are discharged through frustration

-Destruction of subject matter

-Personal incapacity

-Non-occurrence of an event

-Government Intervention

A repudiatory breach

-A fundamentally important term has been breached

-Injured party has been deprived of substantial benefit

-Anticipatory breach

Remoteness of damage

Loss must either arise naturally from the breach or;

be reasonably foreseeable

Specific performance

Contractual obligations not be awarded when:

-Performance requires supervision

-A contract is for personal service

-Damages are adequate

Mandatory Injunctions

Defendant is required to undo something that was in breach of contract

Prohibitory Injunctions

Defendant must observe a negative promise in a contract, being a promise not to do something

Asset-freezing injunction

Defendant is prohibited from dealing with an asset

If Agent has authority and is known to be an agent

-Principal and third party may sue and be sued

-Agent has no rights and liabilities

If Agent has authority but is not known to be an agent

-Agent or principal may sue or be sued

If Agent has no authority

-Agent may be liable

To prove a claim of tort

-A duty of care to the claimant

-Breach of that duty by the defendant

-The breach of duty caused the harm

Things considered to prove a duty of care

-Reasonable foreseeability

-Proximity

-Fair, just and reasonable

-Public Policy

A special relationship between auditor and client

-Client requires professional opinion from auditor

-Auditor gives opinion in professional capacity

-Client relies upon opinion

-Client suffers economic loss

Unlimited liability company

-Private only

-Doesn’t need to file annual accounts

Limited by guarantee company

-Liability limited to amount that members agree to contribute to company’s assets

-Cannot be registered with share capital

-Private only

Limited by shares

-Private or public

-Liability of members is limited to amount of nominal value