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Module Booklet
Course: EDEXCEL BTEC
Module Credit: 15
QCF Level: 4
Lecturers: 15 weeks
Day: Thursday
Room: TBA
5. ASSESSMENT DETAILS
INTRODUCTION
The unit introduces the law of contract, with a particular emphasis on the formation and operation of business contracts. Learners are
encouraged to explore the content of these agreements and then develop skills relating to the practical application of business contracts,
including offer, acceptance, intention, consideration and capacity. Relevant case law examples will be covered. Learners will consider when
liability in contract arises, the nature of the obligations on both sides of the contract, and the availability of remedies when a contract is not
fulfilled in accordance with its terms.
Additionally, the unit will enable learners to understand how the law of tort differs from the law of contract and examine issues of liability in
negligence relating to business and how to avoid it.
Aim:
The aim of this unit is to provide learners with an understanding of aspects of the law of contract and tort and the skill to apply them,
particularly in business situations.
Key Objectives:
1. Explain the essential elements of a valid contract in a business context
1.1 explain the importance of the essential elements required for the formation of a valid contract
1.3 analyse terms in contracts with reference to their meaning and effect
4.1 apply the elements of the tort of negligence and defences in different business situations
Definition of a contract
types of contract
define the various contractual terms :condition; warranty; innominate term; express; implied; exclusion clauses and their validity
analysis of terms
the conditions necessary for an action in negligence to succeed duty of care, breach of duty of care, damage causation and remoteness
Liability - employers liability, the vicarious liability, health and safety issues
application of the relevant principles of negligence and regulatory and case law to business scenarios
defences for negligence
Programme Specification
Accrediting Body: EDEXCEL
7 Elements Review the contents of a standard form business contract Listen and ask questions, Lecture power points
Specific terms Apply the law on various terms in the contract group discussion, case study White board
Content of standard form Explain the effect of various contractual terms
business contract, analysis of
express terms, implied terms, Question and answer Module booklet
and exclusion clauses Review of task LO2.2
8 Discharge of contract Explain different ways to discharge a contract Question and answer, group Power points
Breach of condition, Explain how a contract can be breached discussion, case study White board
warranty and innominate Discuss the effect of breach of condition, warranty and Internet, Videos
terms, innominate terms
Remedies, damages Outline the remedies for breach of contract Module booklet
Explain the rules relating to the award of damages
Textbooks
Adams A , (2010), Law For Business Students, 6th edition, Pearson Education Ltd, ISBN9781408278802
Maclntyre E, (2011), Essentials of business law, 3rd Edition, Pearson Education Ltd ISBN 9781408278765
McKendrick, E,(2008),Contract Law: Text, Cases, & Materials: Text, Cases, andMaterials (OUP Oxford, ISBN: 9780199208012
Peel E and Treitel G H (2007),Treitel on the Law of Contract, Sweet and MaxwellISBN: 9780421948402
Riches S and Allen V (2011), Keenan and Riches Business Law,10th Edition, Pearson Education Ltd, ISBN 9781408278839
Journals
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Lecturer: Mr. James Tamabang
Please read the instructions carefully while addressing the tasks specified.
Outline Details: Individual report approx 4500 words. Details enclosed in the assignment brief.
The module tutor(s) will aim to combine lectures with tutorial activities. This environment will provide opportunities for the student to
understand the course material through case study and text and to apply it in a practical way. The intent is to facilitate interactive class activities,
and discussion about the significant role of research in a global and local business environment.
The colleges approach towards teaching and learning is simple and effective. The main aim of UKCBC is to assist learners in maximising their
potential by ensuring that they are taught clearly and effectively. This will enable students to engage in the learning environment and promote
success in both their academic studies and subsequent career.
These will be developed around the key concepts as mentioned in the indicative course content and will use a range of live examples and cases
from business practice to demonstrate the application of theoretical concepts. This method is primarily used to identify and explain key aspects
of the subject so that learners can utilise their private study time more effectively.
SEMINARS:
These are in addition to the lectures. The seminars are designed to give learners the opportunity to test their understanding of the material
covered in the lectures and private study with the help of reference books. This methodology usually carries a set of questions identified in
advance. Seminars are interactive sessions led by the learners. This method of study gives the learner an excellent opportunity to clarify any
points of difficulty with the tutor and simultaneously develop their oral communication skills.
CASE STUDIES:
An important learning methodology is the extensive use of case studies. They enable learners to apply the concepts that they learn in their
subjects. The learners have to study the case, analyse the facts presented and arrive at conclusions and recommendations. This assists in the
assessment of the learners ability to apply to the real world the tools and techniques of analysis which they have learnt. The case study serves as
a supplement to the theoretical knowledge imparted through the course work.
Plagiarism:
Any act of plagiarism will be seriously dealt with according to the colleges and awarding bodies regulations. In this context the definition and
scope of plagiarism are presented below:
Plagiarism is presenting someones work as your won. It includes copying information directly from the web or books without referencing the
material; submitting joint coursework as an individual effort; copying another students coursework; stealing coursework form another student
and submitting it as your own work. Suspected plagiarism will be investigated and if found to have occurred will be dealt with according to the
college procedure. (For further details please refer to the plagiarism policy and the student code of conduct.)
ASSESSEMENT and ASSIGNMENT BRIEF
Unit 5 : Aspects of Contract and Negligence for BusinessUNIT CODE: Y/601/0563
Learning Hours: 63 Hours. Self-learning hours: 87 hours.
Course: HND Business Level 4 Credits: 15
Term: Autumn Batch 2
Lecturer: Mr. James Tamabang Verifier: Mrs Sunita Kotta
Learners Name
Registration Number
Learners Declaration: I certify that the work submitted for this unit is my own:
Signed:
Hand out Date:
Submission Date:
The Following Sections to be completed by the assessor:
Center Name: UKCBC
Center Number:
Please note that the assessors signature below denotes conformation that he/she has in no way
influenced the outcome of the assessment:
Assessors Name: James Tamabang
Assessors Signature:
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Unit 5: Aspects of Contract and Negligence for Business
Learning Outcomes
TASK 1:
Students are required to demonstrate their knowledge and understanding
about essential elements of a valid contract, the impact of various forms of
contract, and to analyse various terms. You are required to carry out a research
by using supportive materials like Statutes, Decided Cases, books, journals,
websites, etc., and give a feedback of the findings on P1.1, P1.2 and P1.3.
Answers without application to an organization or appropriate examples will
be referred.
P1.1 explain the P1.1 P1.1
P1.Understandi importance of the (P,M,D) (P,M,D)
ng the essential elements
essential
required for the
elements of a
formation of a valid
valid
contract in a contract
business
P1.2- discuss the impact P1.2 P1.2
context
of different types contract (P,M,D) (P,M,D)
Summarized
Feedback for
Task 1
(reflecting 1.1,
1.2 and 1.3, Pass
merit and
distinction.)
IV comments
towards
Task 1
TASKS 2, Students are required to apply their skills and learning of essential
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elements and terms of a business contract to business scenario given in the
assignment and a standard form contract from an organisation of their choice.
You are required to apply the law with the materials like Statutes, Decided
Cases, books, journals, websites, etc in your arguments. Students skills and
learning will be assessed against the learning outcomes labelled as P2.1, P2.2
and P2.3. Answers without application to business scenarios given in the
assignment, standard form contract from a specific organisation and/or
appropriate examples based on decided cases will be referred. Please select two
scenarios.
P2.1- apply the elements P2.1 P2.1
of contract in a given (P,M,D) (P,M,D)
P2. Be able to
business scenarios
apply the
elements of a P 2.2 apply the law on P2.2 P2.2
contract in terms in different (P,M,D) (P,M,D)
business contracts
situations
Summarized
Feedback for
Task 2
(reflecting
2.1, 2.2 and
2.3, Pass
merit and
distinction.)
IV
comments
towards
Task 2
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Task 3
Summarized
Feedback for
Task 3
(reflecting
3.1, 3.2 and
3.3, Pass
merit and
distinction.)
IV
comments
towards
Task 2
TASK 4
Students are required to apply principles of liability in negligence in business
situations and submit a report. Students need to apply the elements of the tort
of negligence and defences and vicarious liability to the business scenarios
given in the assignment. In their report students are required to answer P4.1
and P4.2. Answers without use of the business scenarios given in the
assignment and appropriate examples from decided cases and statutes will be
referred.
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Be able to P4.1 apply the elements P4.1 P4.1
apply of the tort of negligence (P,M,D) (P,M,D)
principles of and defences in different
liability in business situations
negligence in
P 4.2 apply the elements P4.2 P4.2
business
of vicarious liability in (P,M,D) (P,M,D)
situations
given business situations.
Summarized
Feedback for
Task 4
(reflecting
4.1, and 4.2,
Pass merit
and
distinction.)
IV
comments
towards
Task 4
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IV Grading Check: Comments if any:
Agree
IV signature:
Date:
Students feedback:
Plagiarism:
Any act of plagiarism will be seriously dealt with according to the colleges and awarding bodies
regulations. In this context the definition and scope of plagiarism are presented below:
Plagiarism is presenting someones work as your won. It includes copying information directly
from the web or books without referencing the material; submitting joint coursework as an
individual effort; copying another students coursework; stealing coursework form another
student and submitting it as your own work. Suspected plagiarism will be investigated and if
found to have occurred will be dealt with according to the college procedure. (For further details
please refer to the plagiarism policy and the student code of conduct.)
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ASSIGNMENT
Unit 5: Aspects of Contract and Negligence for Business QCF Level: 5 Credit value: 15
TASK 1:
Students are required to demonstrate their knowledge and understanding about essential
elements of a valid contract, the impact of various forms of contract, and to analyse various
terms. You are required to carry out a research by using supportive materials like Statutes,
Decided Cases, books, journals, websites, etc., and give a feedback of the findings on P1.1,
P1.2 and P1.3. Your answer should be in essay form. Answers without application to an
organization or appropriate examples will be referred. Due date is 07/11/2013
P1.1 explain the importance of the essential elements required for the formation of a valid
contract
(Explanation should be supported with an example from business practices of daily life for each
and every element)
P1.2- discuss the impact of different types contract
(Such as face to face, written, by conduct, distance selling etc. and its impact)
P1.3- analyse terms in contract with reference to their meaning and effect
(Content of the agreement, Express term, implied term and relative importance of contractual
terms)
TASK 2
Business Scenario 1
Miss Kaur, a keen Fine Watches, Pens and Luxury Accessories collector, saw a notice for an
auction of Montblanc, Catherine the Great, Limited Edition Patron of the Art's Series fountain
pen in the July edition of Antiques News. She travelled 264 kilometres from London to attend the
auction in Manchester in order to bid for a particularly Limited Edition Patron of the Art's Series
fountain pen which was specifically mentioned in the lists of items to be auctioned.
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The auction was to last two days. However, on the second day the lot for luxury pens was
cancelled. Miss Kaur went into a nearby antique shop and saw a similar type of fountain pen she
had come to bid for. The price ticket stated that it was 1,050, but Kaur said she was only willing
to pay 800 for it. The shop assistant, Harry said he would sell it for 950 and Miss Kaur said she
would like time to think about it over lunch, Harry agreed not to sell it before Kaur returned.
After Lunch Miss Kaur came back to buy the fountain pen, she found that Harry had already
sold it to another customer, who had paid 1000 for the fountain pen.
In the context of contract law, advise Miss Kaur whether she can take action against the
auctioneer for the expense of her travel to the auction and Harry for not selling the fountain pen
to her.
Business Scenario 2
In September 2011 Charles bought a grade 1 listed building which was in a dilapidated state
from an auction with the intention of converting it into a guest house. The building is located in a
busy tourist area and the busy tourist season begins in April and ends in October. Charles
entered into a contract with Murphy in October 2011 to do all the necessary renovations for a
fixed price of 50,000. Murphy received initial payments of 20,000 and agreed to have the work
completed on 1 March 2012, as the guest house had to be ready for its opening on 1 April.
At the end of January, Murphy wrote to Charles that he would not complete the renovation in
time unless he agreed to increase his payment by a further 10,000. After a bitter argument
Charles reluctantly agreed to pay the increased sum in order to ensure that the job was done on
time.
After completing the work on time Charles refused to make the additional payments to Murphy
outside the original contractual price.
You are required to advise Murphy whether he has any rights in law to enforce Charless
promise to pay the extra 10,000.
Business scenario 3
To give him a start in his career, his brother Hakim, who ran a retail estate agency business, said
he would give him 2,000 if he repairs the bathroom and a roof in one his properties. At the same
time, his friend Jane asked him to do work for her business for a fixed price of 1,000.
However, after completing the two projects Hakim and Jane have failed to pay for the work they
had commissioned.
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Hakim said he would not pay anything as he had only offered the work to help his brother out to
gain more experience. Jane said she would not pay anything either, on the basis that she had only
given her work to do on the basis of their friendship to help him gain more experience.
You are required to advise Mia whether he can demand Hakim and Jane to pay the full amounts
of their initial promises.
Students are required to review contents of a standard form contract from an organisation of
their choice and apply express terms, implied terms and the legality of the exclusion clauses.
Your answer need to be supported with relevant statutes and case laws. You need to select three
to five sections as supporting evidence. Answers without application to standard form contract
of a specific organisation and appropriate examples based on decided cases and statutes will be
marked as fail.
Business scenario 4
In March X engaged Miss Y for 3 years as his research assistant at a salary of 25000 under a
written agreement which included the following clauses:
6- The research assistant will dress smartly at all times. It is understood that trousers are
not an acceptable form of dress under any circumstances.
7- The research assistant will work whatever hours are necessary to complete the
assignments given to her.
On 1st June X asked Y to produce certain statistics for a meeting with an important client at 9 am
on 2nd June. In spite of staying in the office until midnight, Y was not able to complete the
statistics on 1st June. She returned to the office at 7 am on 2nd June but had still not quite
finished the work when X arrived at 8:30.
X was angry. He then noticed that Y was wearing trousers and told her, in front of several
colleagues, that her contract was terminated. Y was extremely upset and humiliated. She is now
receiving medical treatment for depression.
TASK 3
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P3. Understanding the principles of liability in negligence in business activities
TASK 4:
P4.1 Apply the elements of the tort of negligence and defences in different business situations
using the scenarios given below.
Business Scenario 5
A UK ship was taking on oil in Sydney harbour. Oil was spilled onto the water and it drifted to a
wharf 200 yards away where welding equipment was in use. The owner of the wharf carried on
working because he was advised that sparks were unlikely to set fire to furnace oil. Safety
precautions were taken. A spark fell onto a piece of cotton waste floating in the oil, thereby
starting a fire which damaged the wharf. Advise the owners of the wharf if they can sue the
chatterers of the ship.
Business Scenario 6
Bell was employed by Shell on vehicle maintenance. Bell had already lost the sight of one eye. It
was not a normal practice to issue protective goggles since the risk of eye injury was small. A
chip of metal flew into Bells good eye and blinded him.
P4.2 Apply the elements of vicarious liability in given business situations given in the scenarios
below.
Business scenario 7
Alf is employed by safe care Homes ltd a company which runs care homes for vulnerable
children in London. Alf is a warden of a care home and has been accused of sexually abusing
boys under his care. The parents and guardian of the children are angry and are suing Safe Care
Homes ltd for being vicariously liable as Alf is an employee of the company. You have been
contacted by Safe Care Homes ltd for advice as to whether the company may be vicariously
liable for the torts of Alf.
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Business scenario 8
Amos Bridge is a pump attendant employed by AB and Sons garage ltd. While on duty on Friday
he challenged a customer Mr Alex Khan believing that he wanted to drive off without paying for
the diesel. After a heated argument Mr Khan accused Mr Bridge of disrespect and threatened to
report him to his manager. In response the attendant hit him on the chin. Mr Khan has taken the
case to court suing both the employee and his employer.
You have been approached by the manager for AB and Sons Garage ltd for advice as to whether
the company is vicariously liable for the torts of Mr Bridge.
Assignment Guidelines:
Use a standard report structure, Word-process the report and use Normal script of a proper font
size 12.
Produce an academic report, detailing the above issues with a word limit of 4000 to 4500 words.
Complete the title page and sign the statement of authenticity.
The Assignment sheet should be attached in the front.
Submit the document in a folder in the form of a file as well as a soft copy on the submission date.
It should be uploaded on E-Learning platform before the deadline and submitted to -------- and
sign the submission form of the college.
Assignments submitted after the deadline will not be accepted unless mitigating and may be
entitled for a late fee.
Collusion and Plagiarism must be avoided.
Start each answer on a new page and pages should be numbered. Highlight each question clearly.
Include a Bibliography at the end of the assignment and use the Harvard referencing system.
All work should be comprehensively referenced and all sources must be fully acknowledged, such
as books and journals, websites (include the date of visit), etc.
Try to give the page numbers, publishers' details and the year of publication
In order to pass you need to address all the LO
In order to get a merit you need to address the characteristics of Pass and then M1, M2,M3
In order to get a Distinction you need to address the characteristics of Pass, Merit and then D1, D2
and D3.
Use a common format for the questions, for example:
Introduction (analyze the question.)
Underpinning Knowledge (write about the relevant theory/points)
Applied knowledge(Data Analysis)
Conclusions and Recommendations (summarizing the whole scenario keeping in view pass, merit,
distinction criteria.)
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Student feedback form with the Assessment Grid indicating their pass, merit and distinction:
Name: Registration Numb er:
Task 2
P2. Be able to apply the
Do
elements of a contract in
business situations
P3 Understanding the Do
Task 3
principles of liability in
negligence in business
activities
Merit Description:
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. The selection of methods and
techniques justified.
. A range of methods of
presentation has been used.
Distinction Description:
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The unforeseen has been
accommodated.
The importance of
interdependence has been
recognized.
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