Business Law

Instructions: Students are to come prepared with short written answers for the following Questions.

Note: A few students will be asked to share their answers with the class.

1. What is the effect of a vitiating factor?

2. Name six vitiating factors.

3. What are the three types of contracts one can get into with a minor?

4. Provide an example of voidable contract with a minor.

5. In what circumstances would a contract be deemed illegal.

6. Provide a definition for misrepresentation.

7. What remedies would a victim of fraudulent misrepresentation have?

8. What is the main difference between misrepresentation and mistake?

9. Andre operates an underground ‘chap gee kee’ betting syndicate. Bob who is in terrible shortage of money places a bet with Andre using all the money he has. Much to Bob’s surprise and shock he wins the top prize. When he approaches Andre to collect his prize he is turned away rudely. Advise Andre?

10. Carol is a wealthy investor who is keen on putting money into Dave’s factory. She approaches Echo Pte Ltd which specializes in providing reports on the investment worthiness of companies. What Carol does not know is that Dave’s cousin Stinky owns Echo Pte Ltd. Before Stinky’s report is forwarded to Carol it is shown to Dave. Dave realizes that there is much in the report that does not reflect well on the investment worthiness of his factory. He asks Stinky to change major portions of the reports. The end result is that Dave’s factory is reflected as an excellent investment choice. Carol who looks at the report is suitably impressed and invests a very large amount of money into Dave’s factory. A year later, Dave’s factory suffers huge losses. When Carol threatens to sue Dave he kidnaps her daughter Penelope and forces Carol to sign a document stating that she invested in her factory on her own initiative. After her daughter’s safe return she approaches you for legal advice. What can Carol do?