BBM204/03 BUSINESS LAW ASSIGNMENT 1 (35%) Total word count: no more than 2000 words Citation : APA style – maximum 6 references • You shall retain a copy of the answer to ASSIGNMENT 1 for easy reference

BBM204/03 BUSINESS LAW

ASSIGNMENT 1 (35%)

Total word count: no more than 2000 words

Citation : APA style – maximum 6 references

• You shall retain a copy of the answer to ASSIGNMENT 1 for easy reference.

• You are advised to adhere to the rubric stated in completing your assignment

Answer ALL the questions.

1. (a) Explain the “doctrine of precedent”.                                                              (10 marks)

1. 1. 1. 1. 1. 2. Explain the principle in the decided case of Donoghue v Stevenson [1932] AC 562.                   

NOTE : Based on the landmark case of Donoghue v Stevenson [1932] AC 562, which is commonly known as “the snail in the bottle” case, explain the principle established

1. 1. 1. 1. 1. 20. marks)

2. Elaborate the THREE (3) ways in which a contract may be discharged?    (30 marks)

NOTE : Elaborate with examples any of 3 from below

There are 4 various ways in which a contract may be discharged: -

1. Agreement

Both parties to either terminate or amend the terms of an agreement

2. Performance

Performance should be in accordance with what the parties have promised. s38(1) of the CA1950 provides that parties too a contract must either perform or offer to perform their respective promises, unless such performance has been dispensed with by any law.

3. Frustration

A contract is frustrated when there is a change in the circumstances which renders the contract legally or physically impossible of performance, s57(2) CA1950.

4. By breach

When a party fails to perform their obligations as agreed, they are in breach of contract.

3. Where there is a breach of contract, the party seeking damages is under a duty to mitigate the loss. Explain the phrase “mitigate the loss”.                                  (30 marks)

NOTE : Explain with examples

4. Describe the basic elements of a contract.                                                        (10 marks)

NOTE : 5 elements