Engineering Law Flashcards
What is the law
The law is a system of rules established by authority.
It can forbid behaviour, impose duties, and grant powers.
Social Conventions & Laws
Not all social conventions are legal rules.
Morality & Law
Morality and law can have differences.
Sources of Law
Legislative Law
Common/Case Law
Legislative Law
Consists of Constitutional Law and Statute Law
Legislative Law: Constitutional Law
structure, power and function of government and citizen’s rights
Legislative Law: Statute Law
laws passed by legislative body e.g. parliament
Common/Case Law
Legal precedents established through judicial decisions on past cases
Common/Case Law: Tort Law
wrongs committed by one party against another
Common/Case Law: Contract Law
formation, interpretation, enforcement of agreements between parties
Common/Case Law: Equity Law
remedies to injustices from strict application of common law
Categories of Law
International
Domestic
International Public Law
governs relationships between countries
International Private Law
Governs which country’s laws should apply to individuals with links to at least two countries
Domestic Public Law
Involving the state
Domestic Private Law
relationships of citizens and corporations, state establishes rules but is not concerned with punishment
The Three Institutions of Government & Their Functions
Government: Executive
Parliament: Legislative
Courts: Judicial
Seperation of Government Branches
Needs to be as much separation as possible for a fair democracy and ensure not branch has too much power. Rule of Law is upheld, ensuring laws are applied fairly and consistently.
Rule of Law
all citizens and institutions within a country, state, or community are accountable to the same laws, including lawmakers and leaders
No one is above the law
Government’s Role
govern, implement, enforce laws. Defend state, maintain international relations
Parliament’s Role
making and passing laws
House of Commons
Elected, debate, propose, amend laws. Challenges government’s work
House of Lords
Appointed and hereditary peers with expertise. Review and revises legislation from house of commons.
Court’s Role
interpreting laws, ensure fair application
Tribunal
Independent from courts, handles specific cases (e.g. employment, immigration)
Tribunal Advantages
Accessible, includes 2 experts in relevant field, decisions can be appealed to higher tribunals or courts, cost effective and faster
Tribunal Disadvantages
: Reduced legal precedent, fewer legal protections, lacks same level of legal expertise as judges
ADR
Alternative Dispute Resolution
Not under judicial branch of government. Range of methods to resolve conflicts as an alternative to litigation
ADR Litigation Alternatives
Negotiation
Mediation (Neutral third party during discussions)
Conciliation (Mediation for more legal disputes)
Arbitration (Neutral arbitrator to make a binding decision)
ABSs
Alernative Business Structures
Professional service with a comprehensive range of legal services
Solicitors
Provides legal advice to clients. Ensure barristers are chosen properly and collect relevant evidence
Barristers
: Provide legal consultation and advice, directly address judges on behalf of clients
Judges
Preside over court cases, make legal rulings. Appointed from pool of barristers. Administrative function of summons, warrants, and issuing licences. Cannot be sued except for conduct outside courtroom.
Judgicial Independance
Judges shoukd not be influenced by politics, personal beliefs etc.
Judges Responsibilities: Interpretation of Statues
Apply any clear and comprehensive legislation whether they agree or not. Unclear statues allow judges to take into account intention of legislation
Judges Responsibilities: Application of Precedent
Cases with similar facts are treated the same. Lower courts are bound by decisions of higher courts. Can overturn precedent but is rare. Ensures certainty and consistency and saves time and money
Civil Justice System
One dividual brings case against another. State is not involved. Judge only trial. Outcome is usually compensation. Standard of proof is lower. Impact must be considered i.e. cost, stress, time. Most cases are settled
Criminal Justice System
Crown prosecution service brings action against individual. Outcome is sanction imposed by state
Summary Offence
Minor offences tried in Magistrates’ Court
Indicable Offence
Serious offences tried in Crown Court
Triable Either Way Offence
Middle ground, tried in either court. Depends on defendant’s preference and seriousness of offence.
Complex cases tried in Crown court
Magistrates are more lenient but there is a higher likelihood of conviction than Crown
Contracts: Interpretation of Intent
Used to determine what parties to a contract meant
Contracts: Subjective Approach
Seeks to understand what each party had I mind. Difficult to apply and prove. Emphasises Meeting of Minds, when a contract is formed each party has a common understanding
Contracts: Objective Approach
Concerned with how a reasonable person interprets actions, words, and conduct. Provides legal certainty
Contracts: Bilateral Contract
Exchange of two promises e.g. Sale of goods – promise to pay, promise to deliver
Contracts: Unilateral Contract
A single conditional promise i.e. one party does something if the other party does something
Contracts: Offer
An expression of willingness to enter a contract on specified terms
Contracts: Invitation to Treat
Invitation for others to make offers
Contracts: Acceptance
Final expression of assent to terms in an offer.
Contracts: Communication Rule
Acceptance must be communicated to the offeror. Acceptance Produced + Acceptance Communicated = Valid Acceptance -> Contract
Contracts: Mirror Image Rule
Valid acceptance must mirror terms and conditions of the offer
Contracts: Postal Rule
Offers made through mail are contracts when the offeree posts the acceptance letter. Only for non-instantaneous communication
Contracts: Consideration
Price given in exchange for goods/services. Cannot have already been provided or promised before contract. Given from Promisee to Promisor. Value of consideration need not be proportionate to goods/services
Contracts: Representations
Statements of fact that may cause a party to enter the contract. Misrepresentation may lead to remedies for the innocent party e.g. Car sale: The car has been serviced regularly
Contracts: Terms
Promises made that are intended to be legally binding e.g. Lease: Tenant agrees to pau £1,000 in rent per month for a period of 12 months
Contracts: Express Terms
Explicitly stated in contract, oral/written
Contracts: Implied Terms
Implied through statue, case law, and trade customs
Contracts: Conditions
Fundamental terms that must be strictly and precisely fulfilled. Breach of condition entitles innocent party to terminate the contract and seek damages
Contracts: Warranties
: Less essential terms secondary to the main purpose of the contract. Breach of warranty entitles innocent party to seek compensation
Contracts: Innominate Terms
Importance is determined by impact of the breach
Contracts: Exemption Clauses in contracts
Limits freedom of parties to agree to terms in contracts. Intervenes when there’s is an extreme asymmetry of exchange between parties. Protects parties with less bargaining power.
Contracts: Unfair Contract Terms Act (1977)
Restricts unreasonable exemption clauses in contracts where both parties act in course of business (B2B).
Applies to clauses that try to exclude liability for death or injury through negligence
Other exemptions are allowed if they meet the test of reasonableness
Contractual interpretation
Discover the meaning of a contract by interpreting as a reasonable person.
Background must be considered, all relevant info that was available to parties when contract was formed)
Excludes previous negotiations and discussions between the parties.
Meaning of words in context is considered, not dictionary definitions.
Common sense should prevail, people do not tend to make mistakes in formal contracts.
Termination of Contract
Performance: Both parties perform their obligations
Agreement: Both parties agree to terminate the contract. The agreement to discharge a contract is a contract
Frustration: The occurrence of a frustrating event e.g. a contract to use a theatre that then burns down
Breach: Conditions are breached and the innocent party can terminate the contract
Contracts: Anticipatory Breach
: One party indicates their intention to breach the contract allowing the innocent party to sue
Damagesfor Breach of Contract
Remedy for breach of contract
Monetary compensation based on expected losses ust not be punitive
(party is put in position should the contract be completed) or reliance losses (party is put in position before the contract was established). M (used as punishment).
Breachof Contract Remedy: Action for Agreed Contract Price
Innocent party can claim full contract price when contract has been fully performed but not paid
Breachof Contract Remedy:Quantum Meruit
Reasonable sum for paid work when there’s no expressed contract but work was done with expectation of payment.
Breachof Contract Remedy: Specific Performance
Court orders breaching party to fulfil obligation.
Breachof Contract Remedy:Injunction
Prohibits a party from taking certain actions or requires them to perform a specific action
Breachof Contract Remedy:Repudiation
When one party clearly indicates they won’t perform obligations, allowing the innocent party to treat the contract as terminated and seek damages
Unincorporated Business
Business and owner are not separate legal entities. Owner is liable for debts and legal obligations. Their assets are at risk
Sole Trader
Single individual liable for business. No formal requirements to form the business therefore increased autonomy. To cease trading, inform relevant authorities (due to tax obligations)
Partnership
Two or more persons form business
- Typical Partner
Right to take part in management
- Silent Partner:
Invests money but no role in management
- Salaried partner
Appears on letterhead but does not have rights and obligations of other partners
- Partner by Estoppel:
: Appear as partner even with no active participation. Behaving like a partner incurs liability
Partner Rights
- Right to Share Profits Equally
- Right to be Indemnified (Compensation for personal losses using partnership account)
- Right to have a Role on Management (Except silent partners)
- Entitlement to Inspect Accounts
- Right to Veto Entry of New Partners
applicable unless contract says otherwise
Partner Duties
- General fiduciary (legal & ethical) duties: must act in good faith and loyalty
- Duty of Disclosure: All info submitted to partner and legal representatives in matters affecting the business
- Duty to Account: Submit true financial accounts, including benefits obtained without consent from any transaction on behalf of the firm
- Non-compete Duty: partners competing with the business without consent from other partners must account to those partners for any profits or benefit produced during that business