Commercial Law Legal Contract

Question: Discuss about theCommercial LawforLegal Contract. Answer: Formation of Contract and Identification of Contracting Parties According to the regulations of Singapore Commercial Laws under chapter 08, law of contract, a contract is referred to an agreement that legally binds the parties involved in the agreed contract. For the purpose of forming a legal contract, certain requirements as per the contract law legislations should be followed stated as follows: Contracting parties are required to be competent together with the capacity to enter the contract. The clauses of the agreement must incorporate offer and acceptance clauses which states that one party should offer and other party should accept against the exchange of consideration (sg, 2017). In order to form a legal contract terms and conditions should be clearly mentioned which incorporates relevant details on the duration of the contracting objective, value of consideration, payment mode and product or service description (Tepe, 2015). In the present situation, Alan offered a contract for sale of textbooks on Introduction to Business Law in Singapore along with the class notes. Accordingly, Alan posted the relevant details on social networking site on November 1 2014 stating the description of books and contents of notes together with the consideration amount and details of payment (Singaporelaw.sg, 2017). As the sale terms of products incorporated the relevant details based on the regulations of commercial law with respect to the contracting details and consideration amount, formation of contract can be said to have formed (Andersen, 2015). It has been noted that Alan placed the information of sale contract on November 1 2014 and the date of payment stated was November 5 2014. As per the regulations of commercial law, contract is legally formed after the acceptance by other parties. Moreover, first party of the contract, Alan offered the contract of sale, which was accepted by Bernard for payment to be made on November 4 hence, the contract was formed on November 4 2014 while the contracting parties were Alan and Bernard. Besides, the contract was also entered between Alan, Damien and Charleen after their acceptance on November 4 2014. Bernards Legal Position and Remedies According to the regulations on contract discharge, if the contracting terms and agreement are completely performed together with the compliance of legal requirements, then the contract comes to an end (Manuela MARDIROS, 2015). In the given situation, contract entered between Alan and Bernard on November 4 2014 for exchange of books and class notes amounted to $200.00 which was duly paid by Bernard within due time. However, Bernard came to know that same book was available at the education center for free of cost. It is essential to create contract with the clear intention and the relevant information to be mentioned clearly by the party who offers the contract. In the given situation, Alan provided all the details on sale of books and class noted through the social networking site whereas the information on the availability of books at the education center for free of cost was not mentioned. Accordingly, regulations of commercial law states that disclosure of information related to contract is important to make the contract valid while disclosure of other facts in terms of other party is the offering partys responsibility (Westbrook, 2015). Hence, Alan is not required to provide the information of availability of books at the education centre for free. However, Bernard himself was accountable to enquire on the sales price or availability of books at different sources. Further, breach of contract happens when the contract states misstatements, erroneous details or any other statements that represents fraud (Fried, 2015). In the given case, contract offered by Alan did not contain any misstatements or error whereas if the intention of Alan to deceive the parties can be established then the contract can be considered as invalid contract. Accordingly, the remedy in this situation available to Bernard is to make application against Alan availing the compensation. Charleens Legal Position and Remedies In this case, Charleen considered the sales offer placed by Alan on making payment to buy the book on November 7 2014. Charleen, a student of GCE at level O hence she considered a minor for the purpose of regulations under commercial law. Provisions of Minors Contract Act under common law states that contract against the minors is not enforceable if the contract has been formed for the minors benefit wholly or partly. Besides, contract entered with minors for acquiring land, shares or partnership business as per section 2, are legally enforceable on the minors (Mascareo Mereminskaya, 2013). The present case, which involves contract on sale of Commercial Law Books, does not fall in the regulations provided under section 2. On the other hand, if a sales contract entered with minors associates with a guarantee then the contract will not be enforceable against the minors. In addition, legal matters in the contract entered between the parties may be binding on the guarantor if the contract is just and equitable (Agapiou Cheung, 2016). Therefore, contract between Alan and Charleen, a minor considering the sale of law books is an invalid contract according to the provisions of Minors Contract Act. Accordingly, no legal remedy is available to Charleen under the regulations of Commercial law since the contract was not established its validity. Damiens Legal Position and Remedies Damien, a friend of Bernard and a student of Kaplan Higher Education, entered the contract with Alan on November 4 2014 agreeing to make payment in exchange of law book as well as class notes. Besides, Damien found the same law book at the education center on November 23 2014, which was distributed for free. According to the provisions of Contract Act in the Business and Commercial Law, party that offers the contract is required to disclose all the facts with respect to the contract subject to other parties. If the contract is formed for the purpose of misleading or deceiving the accepting parties under the contract, then the agreement would be considered as breach of contract while the offering party would be accountable to reimburse the loss occurred to other party (Nolan-Haley, 2013). In the present situation, contract entered between Alan and Damien it has been observed that establishment of Alans intention to mislead the parties would be difficult for sale of books amounted to $200. Therefore, Damien was not entitled to receive any compensation for the loss as right to investigate on availability of books from other sources was Damiens own responsibility. Moreover, if the intention of Alan to deceive the party is being proved then Damien has the right to make application against Ala n and entitled to receive the compensation of loss. Various Alternative Dispute Resolutions Alternative Dispute Resolution refers to a procedure to settle the disputes arise in the agreed contract in compliance with the laws and regulations of the commercial or contract law. The resolutions in this respect that are available together with the variations referred as mediation, arbitration and neutral evaluation. Mediation resolution refers to a resolution in which third party is appointed to consider the negotiation and settle disputes between the parties (Zhuang Chen, 2015). In this resolution, the mediator considers the conflicting situation and provides solution without influencing the disputed parties decision under the contract. Arbitration procedure, on the other hand takes place to resolve the disputed mater in association with the help of third party referred as arbitrator. In case of arbitration procedure, arbitrator takes the decision to resolve the conflicts as both the parties represent their respective lawyers in from of the arbitrator (Trescak et al., 2014). T he process involves neutral evaluation for the conflicting situation and disputes, which is considered by third party stating fair arguments and reasoning that is based on the analysis of key evidence and best estimates. Accordingly, the evaluator is entitled to consider the dispute case by analyzing he relevant evidences and conflict situation between the parties. Considering the different dispute resolutions, there are several benefits and drawbacks for resolving the concerned disputes between the parties. Mediation dispute resolution considers the primary benefits with respect to maintain privacy and protect the relationships among the parties, which provides a faster resolution together with the fair communication among the contracting parties (Moore, 2014). On the contrary, one of the primary drawbacks of this resolution incorporates creation of problem for the contracting parties in case the opinion is diverted after the decision. It also incorporates a drawback on the willingness to communicate about the contract disputes among the parties. Dispute resolution in terms of arbitration involves certain benefits that states accuracy of the decision as the arbitrator follows the relevant evidences in accordance with the laws and regulations. Arbitration resolution is considered as cheap and faster resolution process comparative to other resol utions while the primary disadvantage involves is enforceable of contract is based on communication that may not be acceptable to the parties. Arbitration resolution involves disadvantage in terms of interpretation of the provisions since the conflicting parties appoint their respective lawyers who have different opinions (Mascareo Mereminskaya, 2013). Reference List Agapiou, A., Cheung, S. O. (2016). Apologies, apology legislation and civil disputes: the practical implications of apology legislation for dispute resolution practitioners and their clients.Arbitration, 1-13. Andersen, C. B. (2015). Equity in active learning and peer-review in designing international commercial law PG units.UW Austl. L. Rev.,40, 41. Fried, C. (2015).Contract as promise: A theory of contractual obligation. OUP Us. Manuela, R., MARDIROS, D. N. (2015). Considerations Regarding the Implications oi the Provisions Reporting in the Context of Current Accounting Regulations.Audit Financiar,13(131). Mascareo, A., Mereminskaya, E. (2013). The making of world society through private commercial law: the case of the UNIDROIT Principles.Uniform Law Review-Revue de droit uniforme,18(3-4), 447-472. Moore, C. W. (2014).The mediation process: Practical strategies for resolving conflict. John Wiley Sons. Nolan-Haley, J. (2013).Alternative Dispute Resolution in a Nutshell, 4th. West Academic. Singaporelaw.sg. (2017) https://www.singaporelaw.sg, Retrieved 15 February 2017, from https://www.singaporelaw.sg Tepe, B. (2015). Joint-Stock Corporation under Turkish Commercial Law and the Doctrine of Increasing Shareholder Commitments.Emerging Markets Journal,5(2), 79. Trescak, T., Sierra, C., Simoff, S., De Mantaras, R. L. (2014). Dispute resolution using argumentation-based mediation.arXiv preprint arXiv:1409.4164. Westbrook, J. L. (2015). Commercial Law and the Public Interest.Penn St. JL Int'l Aff.,4, 445. Zhuang, W., Chen, F. (2015). Mediate First: The Revival of Mediation in Labour Dispute Resolution in China.The China Quarterly,222, 380-402.