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1. Write a note on the following: a. Bill of Exchange b.

Cheque Ans:Bill of Exchange

A non-interest-bearing written order used primarily in international trade that binds one party to pay a fixed sum of money to another party at a predetermined future date. Bills of exchange are similar to checks and promissory notes. They can be drawn by individuals or banks and are generally transferable by endorsements. The difference between a promissory note and a bill of exchange is that this product is transferable and can bind one party to pay a third party that was not involved in its creation. If these bills are issued by a bank, they can be referred to as bank drafts. If they are issued by individuals, they can be referred to as trade drafts.

A Cheque may be defined as an unconditional order drawn upon a specified banker, singed by the maker, directing the banker to pay on demand a certain sum of money only to the order of a person or to be the bearer of the instrument. When a trader wants to discharge his debts he sings a written order on his bank authorizing the bank to pay a certain sum of money to his creditor. The order is known as cheque. The cheques are drawn on printed forms made up into book and are supplied by the bank to the customer whenever required. There are three parties to a cheque, namely, Drawer, Drawee and Payee.


What are business laws? What are the sources of law?

Ans :(Business law) Commercial law (sometimes known as business law) is the body of law that governs business and commercial transactions. It is often considered to be a branch of civil law and deals with issues of both private law and public law. Rules, statutes, codes, and regulations that are established to provide a legal framework within which business may be conducted and that are enforceable by court action.

sources of law
(A) Customs

Customs are oldest source of law. It is the outcome of habits. When a particular habit is followed for a long time by the people regularly and habitually, the custom comes into being. When written laws were more conspicuous by their absence in the primitive society, it was customary laws that regulated human conduct in the primitive society.
(B) Religion

The religion is another important source of law. It played an important role in the primitive period when men were very much religious minded and in the absence of written laws the primitive people obeyed religion thinking it of divine origin.
(C) Judicial Decisions

Since the dawn of the human civilization the dispute between two parties is referred to a third party who acts as the arbiter. His decision is generally obeyed by both the parties. The arbiter may be a tribal chief or a priest.

(D) Scientific commentaries

Chief Justice Hughes of the U.S.A. opines that " We are living under a constitution and the constitution is what the judges say it is". The law needs interpretation and the scientific commentaries and interpretations by eminent jurists have contributed a lot for the evolution of a legal system.

(E) Equity

The term 'equity' literally means 'just', 'fairness' and according to 'good conscience'. When the existing law is inadequate or silent with regard to a particular case, the judges generally apply their common sense, justice and fairness in dealing with such cases.

(F) Legislation

This is the most important and modern source of law. The legislature is that organ of the state whose primary function is to make laws. To Leacock the legislatures deliberate, discuss and make laws.

3. Discuss the essentials of a contract. Ans :-Essentials Elements of a Valid Contract:

1. Proposal and acceptance When one person signifies to another his willingness to do or abstain from doing anything with a view to obtaining the assent of that other to such act or abstinence he is said to make a proposal. 2. Consideration -- lawful consideration with a lawful object When at the desire of the promisor the promisee or any other person has done or abstained from doing, or does or abstains from doing or promises to do or to abstain from doing something such act or abstinence or promise is called a consideration for the promise. 3. Capacity of parties to contract -- competent parties

Every person is competent to contract who is of the age of majority according to the law to which he is subject, and who is of sound mind, and is not disqualified from contacting by any law to which he is subject.

4. Free consent
Parties to a contract must give their consent. The parties must be ad idem, for example both the parties must agree upon the same thing in the same sense. Two or more persons are said to consent when they agree upon the same thing in the same sense.

5. An agreement must not be expressly declared to be void.

A void agreement is not enforceable by law (Sec 2(g)). It has no legal sanctity. It does not give rise to any rights and obligations. Various agreements are expressly declared void under the Act.

6. Writing and Registration if so required by law

Oral contract is a valid contact. However the contract must be in writing and registered, if so required by any law, for example, gift, mortgage, sale, lease under the Transfer of Property Act 1882, Memorandum and Articles of Association of a Company under the Indian Companies Act, contracts under sub sections (10 and 3) of section 25 of the Indian Contract Act, etc. Documents specified under section 17 of the Indian Registration Act, 1908, are required to be registered.

7. Legal relationship Agreements which create legal relations or are capable of creating legal relations are contracts, for example, an invitation to a dinner does not create any legal relation and therefore is not a contract. 8. Certainty The terms of a contract should be clear. In other words, the contract must not be vague. Contracts which are vague cannot be enforced. 9. Possibility of performance Contracts based on impossibility of performance are not valid. The contracts must be capable of being performed.

10. Enforceable by law.

A contract in order to be valid must be enforceable by law which element distinguishes agreement and contract. It is enforceable by law it is contract otherwise it is an agreement.

4. Define partnership. What are the modes of determining existence of a partnership? Ans:In determining whether a group of persons is or is not a firm, or whether a person is or is not partner in a firm, regard shall be had to the real relation between the parties, as shown by all relevant facts taken together.

The sharing of profits or of gross returns arising from property by persons holding a joint or common interest in that property does not of itself make such persons partners. The receipt by a person of a share of the profits of a business, or of a payment contingent upon the earning of profits or varying with the profits earned by a business, does not of itself make him a partner with the persons carrying on the business ; and i, particular, the receipt of such share or payment -

a) by a lender of money to persons engaged or about to engage in any business. b) by a servant or agent as remuneration. c) by the widow or child of a deceased partner, as annuity, or d) by a previous owner or part owner of the business , as consideration for the sale of the goodwill or share thereof does not of itself make the receiver a partner with the persons carrying on the business

5. Discuss the scope of the Competition Act.

Ans:The Competition Act, 2002 was passed by the Parliament in the year 2002, to which the President accorded assent in January, 2003. It was

subsequently amended by the Competition (Amendment) Act, 2007. In accordance with the provisions of the Amendment Act, the Competition Commission of India and the Competition Appellate Tribunal have been established. The Competition Commission of India is now fully functional with a Chairperson and six members. The provisions of the Competition Act relating to anti-competitive agreements and abuse of dominant position were notified on May 20, 2009.

The provisions of the Competition Act extend to the whole of India except the State of Jammu & Kashmir. The Act is applicable to goods which includes goods imported into the country and services as defined in the Act. The term Enterprise , inter alia, includes private sector undertakings, public sector undertakings, Government Departments performing non-sovereign functions for consideration. The term Consumer includes one who buys goods or avails of services for consideration notwithstanding whether such purchase of goods or availing of services is for ones own consumption or for resale or commercial purposes. The term Cartel has also been defined in the Act and cartel agreements are presumed to have adverse appreciable effect on competition, in market, in India.

6. E-Governance is used as a tool in modern technology. Discuss the different provisions laid down under the IT Act, 2000 with respect to e-Governance.

Ans:E-Governance? There are various benefits provided by the technology whether it is at an individual level, or development of the Country as a whole. Its a tool which makes a platform for the growth and development of the Country and is therefore important. The use by government agencies of the information technologies (IT) to improve and transform relations with the citizens, businesses and other arms of the government for availing services to its citizens, and providing them an efficient way of complying with the norms/rules/regulations set by the government, is known as e-governance. This kind of technological use is been introduced for the welfare of the marginalized sections of the society also, and is therefore an initiative for helping them join the mainstream of the society. Different provisions laid down under the IT Act, 2000 with respect to e-Governance are Section72 of the I.T Act 2000 : Provides protection against breach of confidentiality and privacy of the data. Person convicted shall be punished with imprisonment which may extend to two years or with fine which may extend to one lakh rupees or both. Section 43 of the IT Act 2000 This section provides protection against unauthorized access of the computer system by imposing heavy penalty up to one crore. Though we have systems like cryptography, passwords etc. to ensure the security of the document, but this still pose threat to the Government due to other measures adopted by hackers. Section 69 was incorporated under the I.T Act 2000 which says that the right to privacy can only be taken away by the

provisions established by the Law, but the provisions under the Section is not enough to curb the crime according to the procedure established by Law. In the Case of PUCL vs. UOI it was held that the procedure is inadequate as the Controller has been given discretionary power, and there is no mention of consultation with the accused before punishing him.