Get premium membership and access revision papers, questions with answers as well as video lessons.

Hbc2112;Business Law I Question Paper

Hbc2112;Business Law I

Course:Bachelor Of Commerce

Institution: Meru University Of Science And Technology question papers

Exam Year:2012

QUESTION ONE (30 MARKS)
a) Carlill vs Carbolic company facts
Carbolic smoke company was the manufacturers of smoke balls. They offered a reward of 100 pound to anyone who contracted influenza after using their smoke balls for a fortnight. Carlill relying on the advertisement bought the smoke ball and used it as prescribed, but still contracted influenza. She sued for the advertised reward.
Judgment
The advertisement was a true offer, and not a more advertisement puff and the defendants were held liable to pay the regard.
Required
i) Advance reasons that make you think that this was valid contract out of the offer made and whether all elements of a valid contract are present. (8 Marks)
ii) Advance reasons that make you think this was not a valid contract and that Carlill was not entitled to the reward. Point out the missing elements. ( 8 Marks)
b) Explain any four limitations under which African customary Law cannot be applied. ( 8 Marks)
c) Briefly explain any three functions of the law of tort. ( 6 Marks)
2
QUESTION TWO (20 MARKS)
a) Discuss, citing examples, how a contract may be terminated by frustration (12 Marks)
b) Define the term defamation and distinguish between a slander and libel. ( 8 Marks)
QUESTION THREE ( 20 MARKS)
a) Briefly explain any four rules of valid offer. ( 2 Marks)
b) What is a countermand? ( 2 Marks)
c) State and explain with examples the duties in a banker-customer relationship. ( 10 Marks)
QUESTION FOUR ( 20 MARKS)
a) Critically discuss the relevance of the law you have studied in business environment.
( 14 Marks)
b) The general rule is that an agent who contracts within the limits of authority, the principal is liable. Explain any three exception to this rule. ( 6 Marks)
QUESTION FIVE ( 20 MARKS)
a) Write short self explanatory notes on the following terms:-
i) Executory and executed contract. ( 5 Marks)
ii) Written and unwritten laws (5 Marks)
b) Outline any five characteristics of a negotiable instrument ( 10 Marks)

Hbc2112;Business Law I Question Paper

More Question Papers

Popular Exams