1 - Law and Legal Systems

Question 1

What is Public Law? What does it include?

Answer 1

Public Law is concerned with the legal structure of the state and relationships between the state and individual members of the community. Also governs the relationship between one state and another.

Includes:
1. Constitutional law
2. Administrative law
3. Criminal law

Question 2

What is Constitutional law?

Answer 2

Concerned with the main institutions of government and their relationship to each other, including the relationship between the two houses of Parliament in the UK and that between central & local government.

Also includes:
- the making of treaties with foreign states.
- the status, function and powers of the Monarch, members of Parliament, Government ministers, the Judiciary, the Civil Service and the Armed Forces.

Question 3

What is Administrative law?

Answer 3

Regarded as a branch of constitutional law. Concerns the legal relationship between private citizens & the various agencies of local and central government, and the impact of their activities on ordinary individuals.

E.g.
- taxation
- the powers of local boards
- health & education
- granting of licenses for trades & professions
- questions of local rating

Question 4

What is Criminal law?

Answer 4

Concerned with the control of behaviour which harms or threatens the peace and stability of the community.

Control is exercised by punishing persons who commit serious wrongs which are likely to damage the interests of society as a whole.

Question 5

What is Private law? What is Private law also known as?

Answer 5

Governs the relationships between legal persons such as individuals, businesses and other organisations.

Private law is also known as Civil law.

i.e.
- the law of contract
- the law of torts
(above 2 most applicable to insurance)
- the law of trusts
- the law of property
- the law of succession
- family law

Question 6

What are some characteristics of English law?

Answer 6

Age and continuity
- Long history of English law

Little codification
- Only certain parts of English law have been codified, i.e., criminal law, and in recent years parts of civil law.

Judge-made law
- The decisions of UK judges affect the growth & development of English law.

Independence of the judiciary
- Judiciary is effectively free from government control.

Adversarial system
- The court, consisting of judges, remains NEUTRAL. The role of the court is not to investigate but simply to listen to the evidence presented by the two sides and give judgement for one side or the other. This is known as the Adversarial system.

No written constitution
- English law differs from other countries in that it has not traditionally defined for its citizens any fundamental, unchangeable rights or freedoms (i.e. a constitution). In England there is freedom to do anything which is not specifically prohibited by law.

Rule of law
(Is regarded as embracing the following principles):
- the powers exercised by politicians & officials must be based on the authority given to them by law.
- law should be generally reasonable & predictable.
- people should be treated equally by the law.
- no one should be deprived of their property, status, or other rights unless they are given a fair hearing by an impartial court.
- every person should have a right of access to the courts.

Question 7

What is the Adversarial System?

Answer 7

The court (consisting of judges) is neutral. The role of the court is not to investigate but simply to listen to the evidence presented by the two sides and give judgement for one side or the other. This is known as the Adversarial system. This system is used in the UK.

Guilt must be proven ‘beyond reasonable doubt’. i.e. court must be sure that the allegations are completely true before the defendant can be convicted.

The claimant must prove their case ‘on the balance of probabilities’, i.e. more likely to have happened than not.

Question 8

What is the opposite system of court used commonly in Europe?

(opposite to the UK adversarial system)

Answer 8

The inquisitorial system.

The court does not remain neutral, but plays an active part in discovering the truth.

Question 9

What happened after the conquest of 1066?

Answer 9

The Normans sought to establish a strong central government.

Before this justice was administered in local courts so law was not centralised.

Question 10

What is Equity?

Answer 10

Being fair and impartial.

Literally means fairness.

Question 11

Explain what Common Law and Statute Law are? And the difference between them?

Answer 11

Common Law = the body of laws created by judges or within the courts.

Statute Law = formal written legislation, i.e. acts of parliament.

Question 12

What is the Law of Trusts?

Answer 12

A trust is a legal relationship created when assets are placed under the control of a trustee either for the benefit of a beneficiary or a specified purpose.

Question 13

What is an order for Specific Performance?

Answer 13

A court order compelling a party to perform its promise it has given to another.

Question 14

What is an injunction order?

Answer 14

A court order requiring a person to do or cease doing a specific action.

Question 15

What are the 2 main sources of new law?

Answer 15

• legislation
• judicial precedent

Question 16

What are the 2 minor sources of law?

Answer 16

• local custom
• legal books and treatises

Question 17

What is Legislation?

Answer 17

Legislation is law which has been created in a formal way and set down in writing.

In the UK, Parliament is the only body that has power to make general rules.

Question 18

What is parliament made of?

Answer 18

• the House of Commons
• the House of Lords
• (as a formality the Monarch)

Question 19

In what form does Parliamentary legislation take?

Answer 19

The principal form is acts of Parliament or Statutes.

Question 20

In theory, is there any limit to what Parliament can do?

Answer 20

There are no legal limits as to what Parliament can do.

In theory, they can:
- create entirely new law
- overrule existing law
- modify/extend existing principles of law
- repeal/modify existing statute law

Question 21

In reality, who has the power to legislate UK?

Answer 21

Power to legislate rests almost completely with the government.

The government has effective command of a majority in the House of Commons, which is the focus of law-making power.

Before new legislation is introduced both houses of Parliament must approve it.

Question 22

What are Green and White papers?

Answer 22

Before new legislation is introduced, the Government will often consult interested parties & the public generally.

‘Green papers’ are published to invite responses to proposed changes in the law.

‘White papers’ may be published giving advanced notice of more definite proposals.

Question 23

What is a Bill? And what 2 forms do they come in?

Answer 23

A bill is a proposal for a new law, or a proposal to change an existing law that is presented for debate before parliament.

Bills may either be Public or Private. If they pass, they become known as Public or Private laws.

Question 24

Describe a Public Bill.

Answer 24

A Public Act is one which contains law affecting the whole community.

e.g. theft acts are part of the general criminal law.

Question 25

Describe a Private Act.

Answer 25

A Private Act is passed for the benefit of a particular individual, organisation or group.

Question 26

Where are bills introduced?

Answer 26

Bills may be introduced in either the House of Parliament or the House of Lords, but it is more usual for the Bill to be introduced into the House of Commons first.

Question 27

What are the purposes of Codifying or Consolidating Acts?

Answer 27

Parliament tidies up the law through codifying or consolidating acts. (More often than not, when a new law is introduced, there are existing laws on the subject matter, so codifying/consolidating acts tidy this up).

Question 28

What is a Consolidating Act?

Answer 28

An act which repeals all previous legislation on a subject and re-enacts it in one logically arranged statute. No new law is created but existing statutory enactments are brought under one ‘umbrella’. E.g. Road Traffic Act 1988.

Question 29

What is a Codifying Act?

Answer 29

An act which arranges all existing statute and case law on a particular topic into a single code. E.g. the Marine Insurance Act 1906.

Question 30

What is The Law Commission?

Answer 30

A body responsible for the consolidation and revision of statute law. Established by the 'Law Commission Act 1965'. The Commission also has the role of reviewing English Law as a whole and recommending ways it can be updated, simplified and developed.

Question 31

What is Retroactive (or retrospective) legislation?

Answer 31

Legislation which affects acts done or rights acquired before it came into effect. The legislation operates on matters taking place before an acts enactment.

Question 32

What is Delegated Legislation?

Answer 32

Legislation that is not made directly by an Act of Parliament, but made by a government minister, a delegated person or an authorised body under powers given to them by an Act of Parliament.

Question 33

Name the most important forms of delegated legislation?

Answer 33

- Statutory instruments - Orders in council - Bye-laws

Question 34

Judges have aids to interpretation, what are the 2 ways they are classified?

Answer 34

1. Statutory aids. 2. Common law rules.

Question 35

Aids to interpretation: What are Statutory Aids?

Answer 35

Certain rules of interpretation which apply to statute law generally, such as; - words used in the singular are deemed to include the plural - use of masculine gender includes the feminine - acts of parliament have an 'interpretation' section

Question 36

Aids to interpretation: What are Common law rules?

Answer 36

Rules which the courts themselves have developed to assist with interpretation. There are 3 rules of interpretation: 1. Literal rule 2. Golden rule 3. Mischief rule

Question 37

Aids to interpretation: What is the Literal rule?

Answer 37

This rule is the primary rule which takes precedence over the others. According to the rule, words & phrases should be constructed by the courts in their ordinary sense, and ordinary rules of grammar and punctuation should be applied.

Question 38

Aids to interpretation: What is the Golden rule?

Answer 38

Is an extension of the literal rule. If the literal rule gives an absurd result, which is obviously not what parliament intended, the judge should alter the words in the statute to produce a satisfactory result.

Question 39

Aids to interpretation: What is the Mischief rule?

Answer 39

This rule requires the court to look to what the law was before the legislation was passed in order to discover what gap or mischief the legislation was intended to cover.

Question 40

Name some presumptions which apply to the construction of a statute.

Answer 40

The statute: - is not intended to create a criminal offence - applies only to the UK - does not bind the crown - is not intended to interfere with existing rights or allow confiscation of property without compensation

Question 41

What courts deal with minor civil cases? Who judges it?

Answer 41

The Country Courts deal with minor civil cases. Most cases are heard by a circuit judge, who usually sits alone.

Question 42

What courts deal with major civil cases (usually those involving claims for substantial sums of money)?

Answer 42

Major civil cases are heard first by one or other of the 3 divisions of the high court.

Question 43

What are the 3 divisions of the high court? (SEE CH.1 P16 FOR DIAGRAM ON COURT SYSTEM)

Answer 43

1. Queens bench division (QBD) (in the textbook) King's bench division (on google - now because Charles is King?). 2. Chancery division. 3. Family division.

Question 44

What matters do the Chancery and Family division deal with?

Answer 44

Chancery division: - company matters - partnerships - trusts - mortgages - revenue matters Family division: - matters of family law including disputes about family property - matters concerning children such as adoption and guardianship

Question 45

What does the Queens Bench Division (QBD) deal with?

Answer 45

QBD deals with every type of common law civil action (common law cases), the principal areas of which are contract and torts.

Question 46

Where do appeals from the high court go?

Answer 46

The Court of Appeal.

Question 47

Where do appeals from the Court of Appeal go?

Answer 47

The Supreme Court.

Question 48

What is the final court of appeal in the UK?

Answer 48

The Supreme Court. This replaced the House of Lords on 1 October 2009.

Question 49

How many justices are there in Supreme Court? But what is the normal amount to hear a case?

Answer 49

12 justices. The normal amount to hear a case is 5.

Question 50

Where are minor criminal offences dealt with? And where are they sent if there is an appeal?

Answer 50

Minor criminal offences are dealt with by Magistrates' Courts. If there is an appeal they are sent to the Crown Court or High Court.

Question 51

Where are more serious criminal offences dealt with?

Answer 51

More serious offences are dealt with at first instance in the Crown Court after 'transfer for trial proceedings' in the Magistrates Court.

Question 52

Trial in the Crown Court is before how many judges? And how many in the jury?

Answer 52

Trial before a single judge. Trial before a single jury, normally of 12 people.

Question 53

What is a 'Precedent'?

Answer 53

A precedent is a decision in a previous legal case where the facts were similar to the case before the court.

Question 54

What does the doctrine of binding precedent require a judge to do?

Answer 54

Requires a judge to base their decision on the law established in earlier cases where the facts were the same. The judge is bound to follow the principle established in the earlier case.

Question 55

Meaning of 'Ratio Decidendi'? What is it based on?

Answer 55

'the reason for deciding'. Ratio decidendi is the reason for a court's decision and is part of the judgement delivered at the end of a case. Based on: 1. The material facts of the case. 2. The decision of the judge/judges. 3. The reason (s) for the decision.

Question 56

Meaning of 'Obiter dicta'?

Answer 56

Statements made by the judge which are not essential to the decision. Essentially comments said in passing. 'Obiter dicta' are not part of the 'ratio decidendi'.

Question 57

As a general principal, when is a judge bound by a decision?

Answer 57

As a general principle, a judge is only bound by decisions made in a court higher than their own or, in some cases, a court of equal standing.

Question 58

Is the supreme court bound by its own decisions?

Answer 58

The supreme court is no longer bound by its own decisions --> In 1966 it was declared that, where too rigid an adherence to precedent would lead to injustice in a particular case.

Question 59

What 2 types of cases does the Supreme Court hear appeals from?

Answer 59

Both: Civil and criminal cases.

Question 60

1. For the Civil Courts, explain how each court on the hierarchy is bound by decisions above it.

Answer 60

(Civil): Supreme Court: - The decisions of the Supreme Court are binding on all lower courts. Court of Appeal: - Court of appeal is bound by decisions of the Supreme Court. - A decision of the Court of Appeal binds the lower courts; High Court (Chancery, Family, QBD) & County Courts. High Courts (Chancery, Family, QBD): - A decision of the High Court is binding on inferior courts (i.e. county courts). County Courts: - Are bound by all decisions of the higher courts.

Question 61

2. For the Civil Courts, explain how each court on the hierarchy is bound by decisions above it.

Answer 61

Supreme Court: - Decisions of the Supreme Court are binding on all lower courts. The Crown Court: - Bound by decisions of the Supreme Court AND the Court of Appeal. Court of Appeal: - Decisions of this court are binding on the lower criminal courts (Crown & Magistrates' Courts). Magistrates' Court: - Bound by decisions of the higher courts. - But are not bound by the decision of a Crown Court hearing appeals from Magistrates' Courts.

Question 62

What is 'Reversing'?

Answer 62

Where a court higher in the hierarchy deems a lower courts decision incorrect on appeal in the same case.

Question 63

What is Overruling?

Answer 63

To set aside the decision of a court in an earlier case. Because of the doctrine of precedent, a court can generally only overrule decisions of courts lower than itself.

Question 64

What is Disapproving?

Answer 64

When a court thinks a case is wrongly decided, but is not in a position to overrule it.

Question 65

What is Distinguishing?

Answer 65

When a court declines to follow a previous decision on the grounds that there are important differences in the case before it. The two cases are distinguished 'on the facts', and a court can avoid following a precedent which would otherwise be binding on it.

Question 66

What is a 'Persuasive Precedent'?

Answer 66

A precedent that is influential, and should be seriously considered, but is not binding (does not have to be followed).

Question 67

What are some examples of Persuasive Precedents?

Answer 67

- Decisions made in lower courts or of equal standing. - Decisions of courts outside the English system. - Textbooks, learned treaties. (The above is rarely followed, but should be influential.)

Question 68

What are some advantages of Precedent?

Answer 68

- Precedent provides certainty. - System allows for development and growth because precedent can be extended to new situations. - Precedent means English law is based on real situations rather than legal theory.

Question 69

What are some disadvantages of Precedent?

Answer 69

- Rigidity - Once a rule is laid down as binding it's not easy to change, even if the decision is considered wrong. - The bulk and complexity of law makes it difficult to navigate, so it depends heavily on expertise. - The system depends on legal action for rules to emerge. - The principle of law contained in some decisions is sometimes obscure.

Question 70

What is vital for the system of precedent to work well?

Answer 70

Law reports. System of precedent can work well only if it is supported by an effective system of law reporting.

Question 71

Who publishes Law Reports? How often are separate volumes of Law Reports published?

Answer 71

The Incorporated Council of Law Reporting - (ICLR). Annually.

Question 72

What is Local Custom?

Answer 72

Customs which exist in a certain geographical locality and are thus part of that place's culture.

Question 73

After the transition period, what was the new body of UK law called by the EUWA?

Answer 73

Retained EU law. This was any EU law that applied to the UK at the end of the transition period.

Question 74

What did the EUWA repeal at the end of the transition period?

Answer 74

EUWA repealed the principle of the supremacy of EU law over UK law passed.

Question 75

What did the Treaty of Rome 1957 do? What was its aim?

Answer 75

Established the European Economic Community (EEC), which aimed to set up a large European 'free trade area'.

Question 76

What is The Maastricht Treaty officially known as? What did it do?

Answer 76

Officially known as the Treaty of the European Union. Created the European Union (EU) as we know it.

Question 77

What are the 4 main institutions of the European Union (EU)?

Answer 77

1. Council 2. Commission 3. European Parliament 4. Court of Justice

Question 78

Explain each institution of the European Union (EU)?

Answer 78

1. Council: - Has the greatest legislative power. - Made of representatives of the Member States. 2. Commission: - Each member state is represented by 1 commissioner who has the power to initiate legislation. 3. European Parliament: - Members are directly elected in elections every 5 years. - Has supervisory power but limited legislative power. 3. Court of Justice: - Based in Luxembourg, is the ultimate court of appeal on matters of European law. - The Court sits in 'chambers' of 3 or 5 judges or in 'plenary' sessions of 7 to 17. - Judges have renewable terms of 6 years (3 years in the case of the president).

Question 79

Name the main sources of EU Law?

Answer 79

1. The Treaties - especially the Treaty of Rome 2. Regulations 3. Directives 4. Decisions 5. Recommendations 6. Opinions

Question 80

What are 'Treaties' regarded as?

Answer 80

Treaties are regarded as the 'constitution' of Europe. They set out the basic framework/fundamental principles of European law (such as the right to free movement of goods, people, services).

Question 81

What are 'Regulations'?

Answer 81

Laws made by the Council or Commission which have general application. They are automatically binding on all Member States without any action by national governments - this is why they can be described as 'self-enacting'.

Question 82

What are 'Directives'?

Answer 82

Legislation setting out a goal that all EU countries must achieve. However, it is up to the individual countries to devise their own laws on how to reach these goals.

Question 83

What are 'Decisions'?

Answer 83

Decisions do not have general application and are binding only upon those to whom they are addressed.

Question 84

What are 'Opinions'?

Answer 84

Recommendations and opinions have no binding force and are only advisory.

Question 85

Is international law applied by the English courts?

Answer 85

No. It is only applied by the English courts if it has been incorporated into English law by domestic legislation.

Question 86

What are the 3 broad categories of court cases involving insurance companies?

Answer 86

1. Cases where there is a dispute between the insurance company and the policyholder. Generally involve disputed claims. 2. Disputes between insurers themselves. Generally disputes over the sharing of claims. 3. cases where insurance companies defend their own policyholders who are themselves being sued for compensation by third parties. These are liability insurance claims (employer's liability, public liability).

Question 87

Generally, are insurance claims resolved without legal action/intervention?

Answer 87

Yes - the vast majority of claims are settled without resorting to legal action. Only about 5% of cases started in civil courts get as far as a full trial.

Question 88

What is the 'Wolf Report' form 1996? How many recommendations did it make?

Answer 88

The current system of civil justice is based on reforms recommended by Lord Woolf in his 'Wolf Report'. The Woolf Report made 303 recommendations.

Question 89

What was one of the main aims of the 'Wolf Report'? What has been issued to to facilitate the 'Woolf Reports' main aim?

Answer 89

To encourage people who are in dispute to give information to each other at an early date. T to facilitate negotiation and possibly avoid court action altogether. Pre-action protocols (essentially a list for parties to do before they start legal action) have been issued for different types of claim to help facilitate this.

Question 90

If a case is started in a specific court, does it mean they are tried there?

Answer 90

No, cases begun in one court may not be tried there because cases may be transferred from one court to another at allocation stage.

Question 91

How is the issue of a claim started?

Answer 91

The claimant draws up a statement of their case called the 'Particulars of Claim', which includes; - name of claimant & defendant - details of the claim - amount of money being claimed - details of the court in which the claim is being brought

Question 92

What are the options for defending a claim?

Answer 92

When the defendant receives a copy of the 'Particulars of a Claim': 1. Defendant may admit the claim & pay the full amount (case ends). 2. If they defend the claim they must send either an acknowledgement of service or a defence to the court within 14 days. 3. If only an acknowledgement of service is sent the defendant has a further 14 days to serve a defence. 4. If the defendant does none of this; claimant can ask the court to order the defendant to pay the amount claimed.

Question 93

Courts allocate cases to the most appropriate 'track'. What are the 3 'tracks'?

Answer 93

1. Small claims track: - Claims less than £10,000, or personal injury claims less than £1,000 (before May 31st 2021) or £5,000 (after May 31st 2021). 2. Fast track: - Claims exceeding £10,000, up to £25,000. 3. Multi track: - Includes cases with a value exceeding £25,000. - Includes cases with a lower value if the court believes the trial to last longer than 1 day.

Question 94

In short, describe the financial limits/brackets for each of the claims tracks?

Answer 94

Small Claims Track = Claims less than £10,000, or personal injury claims less than £1,000 (before May 31st 2021) or £5,000 (after May 31st 2021). Fast Claims Track = Claims exceeding £10,000, up to £25,000. Multi-track cases = Claims exceeding £25,000.

Question 95

What is a 'stay of proceedings'? How long is a stay for?

Answer 95

A ruling by a court to stop or suspend a proceeding or trial temporarily or indefinitely. The initial stay will be for 1 month. A court may later lift the stay & continue the proceeding.

Question 96

What does ADR stand for? What is it?

Answer 96

Alternative Dispute Resolution (ADR). When a 'stay of proceedings' is ruled, either party may attempt to settle outside court by way of ADR.

Question 97

Does court have the power to strike out? What is a strike out?

Answer 97

The court has the power to strike out (i.e. dismiss) either party's statement of case (in whole or in part only). A strike out will usually end the claim.

Question 98

Describe some features of a 'small claims track'?

Answer 98

1. Each party must file & serve copies of all documents at least 14 days before the final hearing. 2. Aim is to have a relatively cheap & simple procedure, so the use of lawyers is discouraged. 3. A district judge will hear the case.

Question 99

Small Claims Track: What was the limit for personal injury claims before and after 31st May 2021? And what is the limit for personal injury claims after 31st May 2021?

Answer 99

Accidents before 31st May 2021 the SCT personal injury limit remains at £1,000. Accidents after 31st May 2021 the new SCT personal injury limit is £5,000.

Question 100

Describe some features of a 'fast claims track'?

Answer 100

1. General aim is to have the case heard within 30 weeks, and to conclude the trial in 1 day. 2. Case heard by a district or circuit judge. 3. Usually only 1 expert witness allowed. 4. Proceedings are more formal than for small track cases.

Question 101

Describe some features of a 'multi-track case'?

Answer 101

1. A Circuit judge or High court judge will hear the case from allocation through to conclusion. 2. Judge will give directions for the management of the case.

Question 102

What is a 'Part 36 offer or payment'? What is the aim of a 'part 36 offer or payment'?

Answer 102

When a person offers the other party an offer in hope of settling the case before it comes to trial. Essentially an attempt to force one party to compromise (any party can make a part 36 offer). The aim is to encourage the acceptance of reasonable offers, and avoid unnecessary court hearings.

Question 103

What happens if a 'part 36 offer or payment' is accepted? And what if it is declined?

Answer 103

If an offer/payment is accepted: the case ends. If an offer/payment is declined, and this party loses the trial: they normally must pay extra costs.

Question 104

What is one major problem in taking civil cases to court for people of ordinary means?

Answer 104

Cost.

Question 105

As a result of a claimant's potential exposure to legal costs, what has the insurance industry developed?

Answer 105

The insurance industry has developed Legal Insurance Industry (LEI) products. Some LEI policies can be bought after an incident, this is known as After the Event (ATE) cover.

Question 106

What 2 groups are practicing lawyers split into in the UK & Wales?

Answer 106

Solicitors and Barristers.

Question 107

Describe some features of Solicitors Vs Barristers.

Answer 107

Solicitors: - Primarily perform legal work taking place outside of the courtroom. - Offer professional advice on all kinds of legal matters; i.e. buying a home, family law, selling a major corporation. - Most work in private practice. - Can represent their clients in court, but do so mainly in the lower courts. Barristers: - Mainly defend people in court, publicly speaking as an advocate on their behalf. - Generally act on instructions from solicitors. - Barristers represent clients in higher courts; i.e. Crown Courts, High Courts, Courts of Appeal, Supreme Courts.

Question 108

What does 'Legal Personality' mean?

Answer 108

Is the lawful characteristics & qualities of a person or entity. Includes their legal rights and duties, the capacity to enter into contract and to be subject to the requirements of the law. Generally, all persons are subject to legal rules which protect them, give them rights and impose duties on them. But, the law does not affect everybody in the same way.

Question 109

What 2 broad categories does the law divide persons into?

Answer 109

1. 'Natural persons' (i.e. human beings) 2. 'Juristic persons' (i.e. corporations) (there are a further 2 types of corporation)

Question 110

What does a persons 'Status' indicate? What does their 'Capacity' refer to?

Answer 110

Status indicates a persons class or group. Capacity refers to what that person is legally entitled to do.

Question 111

Give some examples of a 'natural persons' 'Status'?

Answer 111

1. British citizen (imposes a duty of loyalty and entitlement to protection of the crown) 2. Married (obligation to maintain the partner in marriage and gives rights in respect of children) 3. Have attained their majority (unrestricted capacity to enter into contracts and the capacity to vote) 4. Minors (those under 18 - they are treated differently by the English legal system - i.e. cannot legally marry under 16 or without parental consent before 18). 5. Person lacking mental capacity 6. Bankrupts (if a person is unable to pay their debts, they may be subject to a bankruptcy order)

Question 112

What are 'juristic persons' (i.e. Corporations)? What are the 2 types of Corporation?

Answer 112

Corporations are non-human legal entities. 2 Types: 1. Corporations sole 2. Corporations aggregate

Question 113

What is a Corporation Sole?

Answer 113

The first type of corporation (1/2 of 'juristic persons'). They are legal entities distinct from the people holding the position, who merely act on behalf of the corporation. E.g. the Queen, the Bishops of the CofE. A Corporate Sole can only be created by statute and cannot die.

Question 114

What is a Corporation Aggregate?

Answer 114

The second type of corporation (2/2 of 'juristic persons'). This is a legal entity consisting of a number of people, but separate from its associated human beings. E.g. the Cii (the corporation itself does not change but its members do).

Question 115

What are the 3 ways a Corporation Aggregate can be formed?

Answer 115

1. Chartered corporations by Royal Charter - (formed by the crown, e.g. Chartered Insurance Institute). 2. Statutory corporations by private act of Parliament - (corporations sole or corporations aggregate that are created by a statute, e.g. the Ministry of Education). 3. Registered corporations under the Companies Act - (most common form of corporation, e.g. public limited companies or private limited companies).

Question 116

What is an Unincorporated Association?

Answer 116

Groups of people who have not been formed in the same way as corporations. e.g: - amateur football team - small social clubs - small businesses - trade unions Unlike Corporations, unincorporated associations are not generally treated as separate legal entities.