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CM Term 3 > Construction Law > Flashcards

Construction Law Flashcards

1
Q

When enforcing order, societies make rules. What do these rules govern (or control)?

A

These rules govern patterns of behaviour of individuals in society

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2
Q

What does “beyond a reasonable doubt” mean?

A

It means that there is enough proof for the person accused of a crime to be found guilty.

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3
Q

In construction, project managers deal with laws in which state?

A

Municipal and Provincial

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4
Q

What is Tort Law and who does it apply to?

A

The Tort Law is a private law that applies to a person and their neighbour.

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5
Q

What is non-performance?

A

Non-performance is a breach of contract due to failure by a party to perform any of its obligations under the contract, including defective performance or late performance.

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6
Q

What are the three things needed to form a contract?

A

An offer (or offerer)
An accepter (or offeree)
A sufficient or adequate
consideration (money or
promise)

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7
Q

What is a contract?

A

A contract is a legally binding agreement between two parties that requires an offer, an acceptor, and sufficient or adequate consideration.

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8
Q

What is the difference between sufficient and adequate in terms of value?

A

Sufficient means that there is some kind of value, whereas adequate means a full value.

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9
Q

What are the reasons to appeal?

A

There was something unfair
about the way the trial took
place
A mistake was made in their
trial
The verdict could not be
sustained on the evidence.

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10
Q

Who developed the common law (or case law) and how?

A

Common Law or Case Law is a law developed by judges through the decisions of courts rather than through written codes.

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11
Q

What does “null and void” contract mean?

A

Null and Void mean that the contract was never valid, as it is illegitimate and unenforceable from the moment it is created. (e.g. slapping someone in the face for $20)

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12
Q

What is a capacity in contract law?

A

Capacity is a consideration of whether a person is in the right mental state and has the legal competence to commit to a legally binding document.

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13
Q

What is a remedy?

A

A remedy is a solution or course of action to make right a wrongdoing or harm done to an individual or group.

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14
Q

Civil Resulution Tribunal (Online) deals with ___ ?

A

Claim dispute up to $5,000

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15
Q

Provincial Court of BC (or Small Claims court) deals with ___ ?

A

Claim dispute up to $35,000 excluding lien claims and award of costs

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16
Q

Supreme Court of BC deals with ___ ?

A

Claims with unlimited amount and jurisdiction

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17
Q

What is an unjust enrichment?

A

Unjust enrichment is a benefit acquired at the expense of another in circumstances that are unjust.

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18
Q

What is quantum meruit?

A

Quantum Meruit is an equitable remedy that provides restitution for unjust enrichment

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19
Q

If a landowner within their private land saw a builder wrongfully construct a shed that cost $5020.89 on that land, would they own the shed?

A

No, this would be an unjust enrichment, as the landowner has knowledge of the builder building the shed. There should be a quantum meruit where a small claims court judge determines equity according to the market rate.

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20
Q

What are the contract formality requirements?

A

A contract must be signed, dated, witnessed, and delivered.

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21
Q

What does privity mean?

A

Privity means that you can only sue people you have a contract with.

22
Q

What are the factors contributing to negligence?

A

Lack of due care/skill
Omission/Error

23
Q

What does Agency Act refer to?

A

Agency Act refers to a legal relationship in which one party (the agent) acts on behalf of another party (the principal) to perform certain tasks or make decisions.

24
Q

What does a business involve?

A

An exchange of goods/services
for money
The expectation of profit & risk
of loss
Power of control (not
volunteering, investment or
acquisition of assets)

25
Q

What are the relevance of determining whether an endeavor is a ‘business’?

A

Taxes / reporting income
Permits (Business Permits)
Legal rights and
obligations / Contracts
Legal liabilities to end users
Standard of care

26
Q

What are ways of carrying on a business in BC?

A

Sole Proprietorship
Partnership
Corporation

27
Q

What is a sole proprietor?

A

A sole proprietor is an individual carrying on a business in his/her name or under a business name.

28
Q

What are the advantages and disadvantages of sole proprietorship?

A

The advantages are that it is easy to set-up and manage.

The disadvantages are that the sole proprietor incur taxes and liability on his personal account.

29
Q

Who can form partnerships in business?

A

Sole proprietors
Partnerships
Corporations

30
Q

What is the process of creating a partnership?

A

By agreement (oral or written)
By implication

31
Q

What are the advantages and disadvantages of partnerships?

A

The advantages are that the partners share wisdom, energy, risk, and profits.

The disadvantages are that they also share statutory obligations and liabilities, and may have management problems.

32
Q

What is express agreement?

A

An express agreement is an agreement that gives the agent the power to act on behalf of the principal.

33
Q

How is an agency relationship created?

A

An agency relationship is created through an express agreement under the Partnership Act.

34
Q
A
35
Q

What determines the duties and responsibilities of the agent in every agency agreement?

A

Express terms
Implied terms

36
Q

What is an express term?

A

An express term is a term that is expressly set out (orally or in writing) in the agency contract.

37
Q

What is an implied term?

A

An implied term is a term that applies to any person who is deemed by law to be an agent, even if they have not set out an agency contract.

38
Q

What are the legal duties of an agent?

A

Apply reasonable skill and
diligence
Avoid conflict with own interests
Act within the scope of agent’s
authority
Obedience - carry out
instructions and keep Principal
informed
Undelegated personal
performance
Duty of Good Faith (known and
Fiduciary Duties)

39
Q

What are the Duty of Good Faith (known and Fiduciary Duties)?

A

Separate account for money
(prudence)
Put Principal’s interests/own
(good faith)
Disclose conflicts of interest
(disclosure)
Not serve competing Principals
(loyalty)
Not accept third party
commissions (confidentiality)
Not be party to contract made
by principal (duty of care)

40
Q

What is a Statutory Liability Partner according to the Partnership Act?

A

Statutory Liability Partner is a person who becomes personally responsible, together with the other partners, for the debts and liabilities of the partnership.

41
Q

What are the Liability of Partners?

A

Joint and several (individual and
collective) liability
Wrongful (negligent) acts and
omissions of any partners
acting in the normal course of
the partnership business
Debts and liabilities of the partnership

42
Q

What happens if the debts and liabilities exceed the assets of the partnership?

A

In this case, the creditors may look to the personal assets of the partners jointly and severally.

43
Q

What are the two partnership variants?

A

Limited Liability Partnership
(LLP)
Joint Ventures

44
Q

What is an LLP?

A

A Limited Liability Partnership is a hybrid form of business entity
that is neither a partnership nor a company (a corporate body with a separate legal identity).

45
Q

What are the factors for the LLP members regarding liabilities and the partnership?

A

Regarding the liability, the LLP member’s liability is limited. The relationship between the LLP members is governed by a private agreement like a partnership.

46
Q

What are the factors for the LLP members regarding taxes and shares?

A

LLP does not have shareholders or directors and is taxed like a partnership.

47
Q

What is a Joint Venture?

A

A Joint Venture is a business arrangement in which two or more parties agree to pool their resources for the purpose of accomplishing a project. They disband after the project.

48
Q

What is the Creation of Statute?

A

The Creation of Statute is a legal fiction created by BC Corporations Act.

49
Q

What is a corporation?

A

Corporation is a Creation of Statute with separate legal entity.

50
Q

What is Powers of a Corporation

A

Corporation is the same as a natural person (except the right to vote) with internal shareholders.

51
Q

Why is Tort Law important to individuals?

A

It provides compensation for people who have been injured; or whose property has been damaged by the wrongdoing of others, whether it is done accidentally or intentionally.

CM Term 3 (6 decks)

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