Business Law Essay Research Paper Agency law

Business Law Essay, Research Paper

Agency law – is concerned with any “principal”-”agent” relationship; a relationship in which one person has legal authority to act for another. Such relationships arise from explicit appointment, or by implication. The relationships generally associated with agency law include guardian-ward, executor or administrator-decedent, and employer-employee. The law of agency is based on the Latin maxim “Qui facit per alium, facit per se,” which means “he who acts through another is deemed in law to do it himself.” Agency, in its legal sense, nearly always relates to commercial or contractual dealings.

Antitrust- To prevent trusts from creating restraints on trade or commerce and reducing competition, Congress passed the Sherman Antitrust Act in 1890. The Sherman Act was designed to maintain economic liberty, and to eliminate restraints on trade and competition. The Sherman Act is the main source of Antitrust law. The Sherman Act is a Federal statute and as such has a scope limited by Constitutional constraints on the Federal government. The commerce clause, however, allows for a very wide interpretation and application of this act. The Act applies to all transactions and business involved in interstate commerce. If the activities are local, the act applies to transactions affecting interstate commerce. The latter phrase has been interpretted to allow broad application of the Sherman Act.

limited liability- the maximum amount a person participating in a business can lose or be charged in case of claims against the company or its bankruptcy. A stockholder in a corporation can only lose his/her investment, and a limited partner can only lose his/her investment, but a general partner can be responsible for all the debts of the partnership. Parties to a contract can limit the amount each might owe the other, but cannot contract away the rights of a third party to make a claim.

collective bargaining agreement- is the ultimate goal of the collective bargaining process. Typically, it establishes wages, hours, promotions, benefits, and other employment terms as well as procedures for handling disputes arising under it. Because the collective bargaining agreement cannot address every workplace issue that might arise in the future, unwritten customs and past practices, external law, and informal agreements are as important to the collective bargaining agreement as the written instrument itself.

Collective bargaining consists of negotiations between an employer and a group of employees so as to determine the conditions of employment. The result of collective bargaining procedures is a collective agreement. Employees are often represented in bargaining by a union or other labor organization. Collective bargaining is governed by federal and state statutory laws, administrative agency regulations, and judicial decisions. In areas where federal and state law overlap, state laws are preempted

what makes a contract valid.

To determine if a valid contract exists, it is necessary to prove the following:.

Consideration was given. Consideration is an essential element of an enforceable contract; it is something of value given or promised by one party in exchange for an act or promise of another. The amount of consideration paid in money is typically not important in determining whether the contract is valid (e.g., one dollar could be sufficient as consideration).

Consideration does not have to be money. It can be a promise to refrain from doing something, or a promise to do something. It cannot be a gift because one of the parties is not required to do anything in return for receiving the gift.

The subject matter was legal. For example, if you wish to sue someone for failure to pay for illegal drugs, you could not resolve the matter in court, because the subject matter of the underlying transaction was illegal.

Contracts can be express, implied by conduct, or implied in law. An express contract is either an oral or a written agreement whose terms are manifested by clear and definite language. An implied contract is an agreement inferred from the conduct of the parties. This occurs where the parties may not have precisely agreed on all key terms but the contract was performed anyway. An implied-in-law contract (also called a quasi contract) is created by operation of law to avoid unjust enrichment of one party at the expense of another. In a quasi contract there has been no agreement or meeting of the minds; one party has conferred a benefit on another under such circumstances that fairness and equity require compensation. This occurs for example when a doctor renders assistance to an unconscious patient. The patient later on receives a bill for the doctor s services. Since competent medical care was provided by the doctor with the expectation of being paid, the patient will be required to pay for the reasonable value of the doctor s services.

Although many contracts can be oral and still enforceable, certain types of agreements must be in writing to be valid. For example, contracts: involving the sale of land in most states or a property interest (except for leases of less than one year) ,involving the sale of goods exceeding $500 in value, not able to be fulfilled within a year, concerning one s offer to pay for the debt of another , involving promises made in considerat