C: General principles of the legal system, contract and employment law

Question 1

What is the definition of law

Answer 1

System of all the community recognises that is punishable

Question 2

Is a

Answer 2

Legally binding agreement between two parties

Question 3

What does subject to contract mean?

Answer 3

The parties are not legally bound until the contract has been

Question 4

What is a standard form contracts?

Answer 4

Reused contract that has a cool off period

Question 5

The essential elements of a valid contract:

Answer 5

Offer: definite and unequivocal
Acceptance: and qualified an unconditional, must be communicated
Consideration: both parties provide something of value
Intention to be legally bound: intend on legal relationship

Question 6

Is an invitation to treat an offer?

Answer 6

No, it’s an indication that a party is prepared to receive an offer

E.g. adverts/shop window displays/tenders

Question 7

Is supply of information and offer

Answer 7

No it is not

Question 8

A vague statements an offer?

Answer 8

No they are not

Question 9

what are the four ways you can terminate an offer?

Answer 9

Rejection and current offer
Revocation (withdrawal)
Lapse of time
Failure of precondition

Question 10

Unilateral contract? Can it be revoked?

Answer 10

Offer made to the whole world e.g. a reward

There is no revocation

Question 11

What is the postal rule?

Answer 11

Acceptance is complete as soon as the letter is posted properly i.e. no communication needed

Question 12

Are the three types of consideration that are valid?

Answer 12

Executed consideration: had carried out at the time contract was made
Executory consideration: exchange of promises for the future
Sufficient consideration: something of monetary value but not necessarily equal

Question 13

What are the three types of invalid consideration?

Answer 13

Pass consideration: involving something already done
Existing statutory duty: i.e. legal duty
Existing contractual duty: existing work rather than additional amount

Question 14

Are domestic or social agreement is legally binding?

Answer 14

No they are presumed not to be

Balfour vs Balfour: married so no binding

Merritt vs meritt: separated so legal relationship

Question 15

are commercial agreement legally binding?

Answer 15

Yes unless there is strong evidence on the contrary

Question 16

what is binding in honour only?

Answer 16

Expressed denial of the intention to create a legal relationship i.e. blinded by honour not legally

Question 17

What is a collateral contract?

Answer 17

An exchange/deposit given for

Question 18

What is misrepresentation?

Answer 18

A full statement made to induce the other party into legal relationship

Question 19

What does voidable mean vs Void?

Answer 19

Voidable: valid and will continue to innocent party cancels
Void: revert to original position

Question 20

What are express terms?

Answer 20

Specific terms that are written, oral or a combination

Question 21

What are implied terms?

Answer 21

Not expressly included in contract but can be implied by:
– nature of the contract
– Customer and usage
– legislation

Question 22

What are the conditions for a valid employment contract?

Answer 22

Offer: employer to employee
Acceptance: employee to employer
Consideration: remuneration for work
Business agreement: presumed to intern legal relations

Can be written or oral

Question 23

What is wrongful dismissal?

Answer 23

Termination of employment without proper notice or during the fixed term

Question 24

What is a summary dismissal?

Answer 24

Dismissal without notice

Question 25

When is a summary dismissal not wrongful?

Answer 25

– If employees rights or excepts payment

– is in fundamental breach

Question 26

What is unfair dismissal?

Answer 26

Dismissal without justification

Question 27

What is constructive dismissal?

Answer 27

When employee terminates contract with or without notice due to employers conduct

Question 28

What are the two types of remedies available due to unfair dismissal?

Answer 28

Reinstatement: return to same job

Re-engagement: comparable job

Question 29

When is redundancy acceptable?

Answer 29

– End of business
– end of business where employee worked
– end of type of work employee was applied for

Should consult trade unions

Question 30

What is corruption? Give three examples

Answer 30

And abuse of trust in order to gain an unfair advantage

– bribery: giving or receiving something of value to influence the transaction
– facilitation payments: giving or receiving something of value to induce an Existing obligation
– conflict of interest

Question 31

What is the English bribery act 2010?

Answer 31

Bribing to induce or reward
Requesting excepting receiving a bribe
Using a bribe to influence a foreign official
Failing to prevent bribery

Question 32

Whistleblowing? What has to be disclosed in order to be protected by law?

Answer 32

Disclosing information that the business is doing something illegal or gross misconduct

Must reveal:
– Qualifying disclosure: information of the right type
– protected disclosure: information to the right person in the right way

Question 33

What is money laundering? What are the three phases?

Answer 33

Process by which criminally obtained money is exchanged for cleaning money or other assets

1. placement: placed in the financial system, most at risk of detection
2. layering: hide origin through a complex transactions
3. integration: money appears as a legitimate