Law & business 1Law & business 1

OUR Business FOCUSOUR Business FOCUS

Contract law Contract law commoncommon

Negligence Negligence commoncommon

Theft Theft criminalcriminal Robbery Robbery criminalcriminal

Public behaviour Public behaviour criminalcriminal

Legal capacityLegal capacity

Consumer lawConsumer law

CONTRACT LAWCONTRACT LAW – – commoncommon (emphasises remedies)(emphasises remedies)//civil law (rights)civil law (rights)

Contract Contract = either a written, oral or implied agreement between two parties, who may be = either a written, oral or implied agreement between two parties, who may be

individuals or organisations. It can be repudiatedindividuals or organisations. It can be repudiated (broken – can sue for damages) (broken – can sue for damages) or frustrated or frustrated

(impossible to complete – fire, flood, war).(impossible to complete – fire, flood, war).

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ELEMENTS OF A CONTRACT

1. Legal object: The purpose must be legal.

2. Possible to perform: It must be possible for both parties to carry out the contract.

3. Consideration: Both parties must benefit in some way from the contract. The benefit does NOT need to be equal.

4. Legal object: Must have a legal right to enter into a contract (18 or over and mentally fit at the time of signing) However, a person U18 can still be a party to the contract.

5. Intention: Both parties must have intended to enter into a legally binding contract.

6. Offer & acceptance: There must be an offer by one party that is unconditional and accepted by the other party

ELEMENTS OF A CONTRACT (continued)

3 essential elements

– the offer, the acceptance & the consideration

offer – a proposal that forms the basis of the agreement

acceptance – occurs when the other party agree to the proposal

consideration – the passing of something of value or the promise to do something in return for what has been promised by another.

Features of a simple contractInvolves the exchange of money for a product or service.

RETAILERS are NOT making an offer, it is an invitation to treat.

TYPES of contracts• Formed expressly (express contract) or• Implication (implied contract)

Examples of contracts• employment – leases – purchase or mortgage

of property – to insure goods – sale of goods

TORT LAWTORT LAW – – commoncommon (emphasises remedies)(emphasises remedies)//civil law (rights)civil law (rights)

Tort =Tort = is the infringement of the rights of one individual by another. It is the infringement of the rights of one individual by another. It covers both property & person. There are 4 types:covers both property & person. There are 4 types:

negligence – nuisance – defamation – trespassnegligence – nuisance – defamation – trespass

Three requirements that have to exist before a tort of negligence can occur:

1. one person must owe a duty of care to another

2. the duty of care must have been breached

3. as a result of the breach of duty, damages must have been suffered

Negligence =Negligence = occurs when someone who should exercise a duty of care occurs when someone who should exercise a duty of care fails to do so and the other party suffers loss or damage.fails to do so and the other party suffers loss or damage.

Nuisance =Nuisance = when a person interferes with another’s rights.when a person interferes with another’s rights.

Defamation =Defamation = when one person’s reputation is damaged by the actions when one person’s reputation is damaged by the actions of another.of another.

Trespass =Trespass = when property is interfered with. when property is interfered with.

1 -1 - CRIMES AGAINST PROPERTY CRIMES AGAINST PROPERTY - - criminal/public lawcriminal/public law

crimes that result in property being stolen or damaged. Typical are:crimes that result in property being stolen or damaged. Typical are:

LarcenyLarceny = removing a person’s property without = removing a person’s property without permissionpermissionBreak & enterBreak & enter = illegally entering a building to commit an = illegally entering a building to commit an offenceoffenceRobberyRobbery = using violence or the threat of violence to = using violence or the threat of violence to another’s propertyanother’s property

2 - 2 - CRIMES AGAINST PERSONS CRIMES AGAINST PERSONS - - criminal/public lawcriminal/public law crimes involving injury to another person. These include:crimes involving injury to another person. These include:

HomicideHomicide = the intentional killing of another person = the intentional killing of another person

ManslaughterManslaughter = killing of another whether accidental or justifiable= killing of another whether accidental or justifiable

Assault Assault == causing or threatening to cause injury to another personcausing or threatening to cause injury to another person

CRIMINAL LAW – considered to be acting against society, Police, on behalf of society investigate and bring a case against the accused.

six main types of criminal activity, as follows:

3 -3 - WHITE COLLAR CRIME WHITE COLLAR CRIME - - criminal/public lawcriminal/public law

usually committed by professional people, NOT associated with usually committed by professional people, NOT associated with violence or damage to property. violence or damage to property. Eg Tax evasion & computer hacking.Eg Tax evasion & computer hacking.

4 -4 - PUBLIC ORDER OFFENCES PUBLIC ORDER OFFENCES - - criminal/public lawcriminal/public law

crimes that disrupt the activities of our society. crimes that disrupt the activities of our society. Eg. swearing/drunk in Eg. swearing/drunk in publicpublic

5 –5 – CRIMES AGAINST THE STATE/COUNTRYCRIMES AGAINST THE STATE/COUNTRYSEDITION – encouraging a hatred of the stateSEDITION – encouraging a hatred of the stateTREASON – actively tries to bring about the collapse of TREASON – actively tries to bring about the collapse of the country or assists the enemies of the countrythe country or assists the enemies of the country

6 –6 – TRAFFIC OFFENCES TRAFFIC OFFENCES - - criminal/public lawcriminal/public law

the most widely committed offences in our society. Most get on the the most widely committed offences in our society. Most get on the spot fines but more serious end up in court proceedingsspot fines but more serious end up in court proceedings

The legal rights and The legal rights and responsibilities associated responsibilities associated with a person’s age.with a person’s age.

In Australia 18 is seen as a critical age because that is when the law recognises that person as an adult. This is known as the age of majority. They are legally responsible for all their actions. NOTE: In Qld the age is only 17.

So, if I am under 18 I am a minor and it is safe to commit a crime?

NO, some states say that those aged 10 & over can be charged with criminal offences, but with special protection. It is heard in the children’s court unless it is murder.

Most common are:Most common are:

wagging school & shopliftingwagging school & shoplifting

drunk & disorderlydrunk & disorderly

vandalismvandalism

bashings & robberiesbashings & robberies

stealing carstealing car

gate-crashing private partiesgate-crashing private parties

YOUNG PEOPLE & CRIMEYOUNG PEOPLE & CRIME

In most states in Australia:

U10 : cannot be charged with having committed an offence

10-14: court has to prove they knew what they were doing was harmful or wrong.

14+: treated as understanding the rights & wrongs as an adult

U18: all charges heard in a Children’s Court or Youth Court (unless the charge is murder – Supreme Court as per an adult.

Over 18: treated as an adult

CONSUMER LAWCONSUMER LAW

Legislation to protect consumers• Trade Practices Act 1974 (Commonwealth)

deals with anti-competitive & unfair practices, product safety, conditions and warranties and actions against manufacturers and importers.

• Price Surveillance Act 1983 (Commonwealth)

allows the ACCC the power to monitor and report on the prices, costs and profits of companies and government authorities. The ACCC can also launch a public enquiry into prices.

Both are administered by the Australian Competition and Consumer Commission (ACCC)

• Consumer Affair Act 1970 reflects some of the T. P. Act

Advertising - Consumer Tribunals

Goods - Motor Traders

Consumer Credit -

Travel Agents & builders are also subject to regulatory control

Trade Practices ActTrade Practices ActProtection against unfair business transactionsProtection against unfair business transactions

the Trade Practices Act stands with the State legislationthe Trade Practices Act stands with the State legislation

Some of the unfair practices covered by the T P Act are:

• Misleading or deceptive conduct – hiding rust when selling a car

• False statements or representation – NEW style

saying new when they are not

• Unfair, offensive or deceptive selling practices – offering GWP and no intention of supplying them

• Inertia selling – sending unsolicited credit cards

Perfect condition NO RUST

All our paper items are recycled

State level Consumers Affairs covered are:

• Advertising – false or misleading advertising

• Goods – safe design, construction & instructions for use, date stamping of pre-packaged food

• Consumer Credit – hire purchase, lay-by sales, credit sale agreements

• Consumer Tribunals – arbitration of consumer-trader disputes or small claims tribunals or in court

• Motor Traders – the licensing of motor dealers, repair warranties, disputes.

The Queensland Office of Fair Trading are always looking at new markets to ensure that consumers wishing to participate in those markets are protected.

In Queensland the Fair Trading Act 1989 + a number of laws administered by the Qld Office of Fair Trading protect consumers

DID YOU KNOW?DID YOU KNOW?

Australian consumers have rights:Australian consumers have rights:

make free choices about what they buymake free choices about what they buy

decide whether or not to buy a particular productdecide whether or not to buy a particular product

receive the goods and services for which they have paidreceive the goods and services for which they have paid

be informed about productsbe informed about products

not be misled or tricked by dishonest or unfair tacticsnot be misled or tricked by dishonest or unfair tactics

BUYER BEWARE

SCAMS & RIP OFFS – they DO happenSCAMS & RIP OFFS – they DO happen

Misleading advertisingMisleading advertising – bait & switch strategies – bait & switch strategiesRetailers must ensure they stock a reasonable quantity of goods Retailers must ensure they stock a reasonable quantity of goods they have advertised and let consumers know when the period they have advertised and let consumers know when the period when the goods are on offer and if they are limited in number. when the goods are on offer and if they are limited in number.

Fake advertising Fake advertising – – a reduced ticket price MUST be lower than a reduced ticket price MUST be lower than the original price the items were being sold atthe original price the items were being sold at

Double ticketingDouble ticketing – – if two or more stickers are on the item and if two or more stickers are on the item and the consumer does not charge the lower pricethe consumer does not charge the lower price

Unsolicited goodsUnsolicited goods – sending goods to people they did not ask – sending goods to people they did not ask for and then demanding payment for themfor and then demanding payment for them

Door-to-door salesDoor-to-door sales – retailers or their representatives making – retailers or their representatives making uninvited visits to private homes and offices in an attempt to sell uninvited visits to private homes and offices in an attempt to sell goods and servicesgoods and services

Pyramid schemesPyramid schemes – You pay a joining fee and members you – You pay a joining fee and members you get to join pay money to you, eventually it fails – bottom loose outget to join pay money to you, eventually it fails – bottom loose out

absolutely

NO REFUNDS

A bluff for the uneducated consumer

http://www.consumersonline.gov.au/

http://www.accc.gov.au/content/index.phtml/itemId/142

Dealing with warranties and after-sales service

Keep the original packaging

Do not try to fix it yourself

Keep your receipt

Get any promises in writing

REMEMBER a price ticket is NOT a contract

Books used for referencingBooks used for referencingand available from Mrs. Rogers for loanand available from Mrs. Rogers for loan

Commerce.dot.com Concepts and SkillsCommerce.dot.com Concepts and SkillsBusiness Education w/online supportBusiness Education w/online supportBack to Business 1Back to Business 1Essentials of Australian Business LawEssentials of Australian Business LawCommerce ZoneCommerce ZoneExamining Rules & Laws Examining Rules & Laws Introductory Legal Studies for Queensland Introductory Legal Studies for Queensland Senior StudentsSenior StudentsFirst Steps in Retail ManagementFirst Steps in Retail Management

Available on school curriculum network and Blackboard website