Question? Call Us  +1 (817) 546-4770

BAMG2107 Business Law

Academic Anxiety?

Get an original paper within hours and nail the task

156 experts online

Free Samples

BAMG2107 Business Law

.cms-body-content table{width:100%!important;} #subhidecontent{ position: relative;
overflow-x: auto;
width: 100%;}

BAMG2107 Business Law

0 Download6 Pages / 1,295 Words

Course Code: BAMG2107
University: De Montfort University is not sponsored or endorsed by this college or university

Country: United Kingdom


1. Andy wants to buy Billy’s drinks manufacturing business. Accordingly, Billy takes Andy on a tour of his drinks manufacturing factory. A few of the drink manufacturing machines in the factory are broken down and need major repairs, but Billy neither shows Andy these machines nor informs him of this problem during the factory visit.
Billy tells Andy that he has 20 excellent and experienced staff members at the factory. However, Billy does not tell Andy that 15 of these staff have recently submitted their notice of resignation as they will be joining a rival company.
In addition, Billy tells Andy that he is of the view that there will be an increase in sales over the next few months as the economy is improving and consumers are spending more on drinks.
Andy is a professional accountant and asks to see the past earnings statements of Billy’s drinks manufacturing business. Billy then provides Andy with an exaggerated statement of the business’ past earnings. Andy studies these statements of past earnings but fails to notice that the statements are exaggerated.
Andy buys the drinks manufacturing business from Billy. Six months after the sale, the business has many problems and loses money. The 15 staff members have left and started working for a rival company. As a result, Andy is having great difficulty in finding staff to operate the factory and he is unable to meet many of his orders. Andy also discovers that a few of the drink manufacturing machines are broken down and has to spend a considerable sum of money to have them repaired. At the same time, he realizes that consumers spend less on drinks and the statements of past earnings were exaggerated.
Separately, Andy has entered into another contract with Chris to purchase 1,000 cardboard boxes. At the time of entering into the agreement, both Andy and Chris thought that the boxes were in a warehouse in Indonesia. However, unknown to both Andy and Chris, there was a fire in the warehouse a few hours before the agreement was entered into. This fire had caused all the boxes to be completely burnt, and Chris is unable to deliver the 1,000 cardboard boxes to Andy. Advise Andy as to his legal position against Billy and Chris.
2. “The distinction between representations and terms is important because different remedies are available in relation to breach of a term as opposed to a misrepresentation.” Discuss the above statement with reference to decided cases.
1. Any untrue statement of fact or law has been made by a party or its agent and when such statement induces the other party to enter the contract with and thereby resulting in a lost to the second party known as misrepresentation. The Action for misrepresentation can be brought regarding a mispresentation of fact or the misrepresentation of law. 
In this way, a misrepresentation striped as a false statement of fact or law, other party is induced to enter into a contract. The law provides that when the statement has been made in the course of negotiations, it can be termed as a representation instead of a term of the contract and an action for misrepresentation may be available to the other party where the statement has turned out to be untrue. In this regard it needs to be noted that there are three types of misrepresentation. These are fraudulent misrepresentation, regent misrepresentation and innocent misrepresentation (Smith v Land & House Property Corp, 1884). When it is discovered that a contract has been made on account of a misrepresentation the effect is that the contract is considered as voidable. This means that the contract is present but it can be set aside by the party to such misrepresentation was made. The remedy available depends on the nature of misrepresentation. Generally the remedy consists of the recession of the contract and at the same time the party me also claim damages. However, there are certain circumstances where the right to rescind the contract may not be available to the other party.
A statement can be described as an actionable misrepresentation if the criteria mentioned below is satisfied:-False statement: A party to the contract should have made a false statement of fact or law as compared to an opinion or an estimate regarding future events (Bisset v Wilkinson, 1927).
The law provides that a statement of opinion may amount to an actionable misrepresentation if the party making the representation was in a position to know the facts (Smith v Land & House Property Corp., 1884).   
It is further provided that a statement regarding chain cannot be considered as a misrepresentation unless seeking the Representation had no intention of carrying out the stated intention. The law further provides that silence will not be considered as misrepresentation. Therefore unless the contract is of uberrimae fidei or in other words the contract of utmost good faith like a contract of insurance or where the party making the representation in a fiduciary position, even silence may be considered as misrepresentation. In case of contacts, there is a duty present on part of the representor to disclose material facts and similarly any failure to disclose all the material facts may result in an action for misrepresentation (With v O’Flanagan, 1936).
The significance of a misrepresentation been classified as fraudulent misrepresentation is that the measure of damages may be higher under certain circumstances. As mentioned above, the two remedies that are available in case of fraudulent misrepresentation are the recession of contract and damages.
A fraudulent misrepresentation has been defined by the court in Derry v Peek (1889). The court stated that a false statement that has been made knowingly and without believe in the truth this statement organ comment has been made recklessly without caring too it is true or false, can be described as a fraudulent misrepresentation.
In order to decide if a particular statement can be described as made fraudulently, it needs to be considered if the party making the statement was aware that statement made is false and if the party making the statement has reasonable grounds to believe that the statement is true even if the statement is false. Therefore in the first case, this statement will be considered as clearly a fraudulent statement. On the other end in the second case, if the party making the statement has made a false statement but reasonable Grounds to believe that will not be considered as a fraudulent statement. The reason is that in this case the statement is not been made recklessly or carelessly. A statement that has been made recklessly needs to be the statement that has been made by the party without having any believe in the truth of the statement.
In this case, Andy was willing to purchase the drinks manufacturing business of Billy. Therefore Billy took Andy on a tour of the factory. However, Billy did not show Andy the machines that were in need of major repairs. Billy also told Andy that he has 20 experienced staff members while the reality was that 15 out of these staff members had already given notice of resignation as they were going to join a rival company. Billy also made a statement that there was going to be an increase in sales in the next few months with the improvement in the economy and more spending by the consumers. He also provides an exaggerated statement of the past earnings of the business.
 All this amounts to a fraudulent misrepresentation.
 Andy also entered into a contract with Chris for purchasing 1000 cardboard boxes. However, at the time of the contract, both of them were not aware that the cardboard boxes had a warehouse fire. This is a case of impossibility of the performance of the contract. Impossibility involves the cases where the party is unable to perform the contract due to a supervening event that has taken place after the contact. In such a case, the law excuses the performance of the contractual duty. In the present case also the contract between Andy and Chris had become impossible to perform. Under the circumstances both the parties are relieved from their obligations under the contract.
2. The major difference that is present between a representation and a warranty is related with the remedy that is available to the other party in case of the breach of contract. Therefore, a representation can be described as a statement of fact on which the other party has relied upon and such party was induced to on account of that statement. Generally such statement is made before the parties have entered into the contract but the statement may also be repeated in the contract also (Oscar Chess v Williams, 1957). Misrepresentation be claimed by the other party when a false representation has been made. In such a case, the injured party may be able to get the contract rescinded. This means that the contact set aside and angel party may also be entitled to claim damages so that the party may be placed in the same position where the party would have been is the contract was never entered into by the parties (Dick Bentley v Harold Smith Motors, 1965).
On the other hand, a warranty can be described as a statement of fact that has been made in the contract. If such a statement turns out to be untrue, the other party and bring your claim for the breach of contract. In case the breach is a fundamental breach of the contract, the party gets right to terminate the contract apart from the right to claim damages. However in this case, as against a claim for misrepresentation, the contract is not undone.
In view of the legal position discussed above, it appears that statement is true according to which the distinction between representations and terms of a contract is important due to the reason that different remedies are available in case of a breach of a term as compared to a misrepresentation.
Bisset v Wilkinson  [1927] AC 177
Derry v Peek [1889] UKHL 1 
Dick Bentley v Harold Smith Motors [1965] 1 WLR 623
Oscar Chess v Williams [1957] 1 WLR 370
Smith v Land & House Property Corp (1884) 28 Ch D 7
With v O’Flanagan [1936] Ch 575

Free Membership to World’s Largest Sample Bank

To View this & another 50000+ free samples. Please put
your valid email id.


Yes, alert me for offers and important updates


Download Sample Now

Earn back the money you have spent on the downloaded sample by uploading a unique assignment/study material/research material you have. After we assess the authenticity of the uploaded content, you will get 100% money back in your wallet within 7 days.

UploadUnique Document

DocumentUnder Evaluation

Get Moneyinto Your Wallet

Total 6 pages


*The content must not be available online or in our existing Database to qualify as

Cite This Work
To export a reference to this article please select a referencing stye below:


My Assignment Help. (2021). Business Law. Retrieved from

“Business Law.” My Assignment Help, 2021,

My Assignment Help (2021) Business Law [Online]. Available from:[Accessed 19 December 2021].

My Assignment Help. ‘Business Law’ (My Assignment Help, 2021) accessed 19 December 2021.

My Assignment Help. Business Law [Internet]. My Assignment Help. 2021 [cited 19 December 2021]. Available from:

.close{position: absolute;right: 5px;z-index: 999;opacity: 1;color: #ff8b00;}


Thank you for your interest
The respective sample has been mail to your register email id


$20 Credited
successfully in your wallet.
* $5 to be used on order value more than $50. Valid for
only 1

Account created successfully!
We have sent login details on your registered email.


Password: has become one of the leading assignment help provider in New York City and Boston. We provide top class auditing assignment help. Not only auditing, but we also cover more than 100 subjects and our writers deal with all types of assignments with utmost expertise. To make writing process faster and accurate, we have segmented our assignment experts’ teams as per their expertise on writing different types of assignments. We guaranteed that students who buy our assignment online get solutions worth their investment.

Latest Business Law Samples

div#loaddata .card img {max-width: 100%;

BU1112 Business Law
Download :
0 | Pages :

Course Code: BU1112
University: James Cook University is not sponsored or endorsed by this college or university

Country: Australia

Part A
Whether Stella is considered as an employee of PRX?
The main difference between employee and independent contractor is stated below:
Employee entered into contract of service, but contractor entered into contract for services.
Employer exercise control over the employee but no control was exercised by employer on contractor. It is considered as traditional test which was developed in Zuijs v Wirth Bros(Zuijs…
Australia South Lake Management health finance management  University of New South Wales 

BSBWHS605 Develop Implement And Maintain WHS Management Systems
Download :
0 | Pages :

Course Code: BSBWHS605
University: Swinburne University Of Technology is not sponsored or endorsed by this college or university

Country: Australia

Work Health and Safety Management System (WHSMS) is a collection of plans, tools, activities and processes. List 3 of these plans, tools, activities or processes and explain what they are,
The means, nitty gritty beneath, can be utilized whether the arranging procedure is straightforward or complex. They are:
Evaluating the current word related to wellbeing and security status including the ‘administration framework’ Lussier, R. N…
Australia Brisbane Management Work Health and Safety Management System (WHSMS University of Brisbane MBA 

BUSN331 Business Law
Download :
0 | Pages :

Course Code: BUSN331
University: Centennial College is not sponsored or endorsed by this college or university

Country: Canada

In Alberta, the Residential Tenancies Act applies to all the people in this jurisdiction, who rent their space out (Alberta Queen’s Printer, 2016). Through this act, the rights and responsibilities of the landlords and tenants are brought forward (Landlord and Tenant, 2015).
Question 1
Before a tenant can move in the rented accommodation, the tenant and the landlord have to reach an agreement, with regards to the…
Australia Edmonton Humanities Management University of New South Wales Masters in Business Administration 

LA1040 Contract Law
Download :
0 | Pages :

Course Code: LA1040
University: University Of London is not sponsored or endorsed by this college or university

Country: United Kingdom

A contract is an agreement between the parties which is enforceable legally in the courts. There are several provisions of law which governs how the terms related to the contract would operate. A contract consists of a set of provisions which are known as contractual terms. The weightage of such terms are not equal as one term may have a more significant consequence as compared to the other in relation to their brea…
United Kingdom London Economics Management University of London 

TLAW202 Corporations Law
Download :
0 | Pages :

Course Code: TLAW202
University: Top Education Institute is not sponsored or endorsed by this college or university

Country: Australia

If any person wants to carry out his business in the form of a company, then, it is necessary that the registration or incorporation requirements of such country must be met. In Australia, the Corporation Act 2001 and the guidelines laid down by ASIC provides with the steps that must be accomplish in order to establish a corporate entity.  (Malbon & Bishop, 2006).
A company is of great significance as it is treated as a …


Need an essay written specifically to meet your requirements?

Choose skilled experts on your subject and get an original paper within your deadline

156 experts online

Your time is important. Let us write you an essay from scratch

Tips and Tricks from our Blog

PROJ6016 Employer Based Project

Free Samples PROJ6016 Employer Based Project .cms-body-content table{width:100%!important;} #subhidecontent{ position: relative; overflow-x: auto; width: 100%;} PROJ6016 Employer

Read More »

PPMP20009 Marking Rubric

Free Samples PPMP20009 Marking Rubric .cms-body-content table{width:100%!important;} #subhidecontent{ position: relative; overflow-x: auto; width: 100%;} PPMP20009 Marking Rubric

Read More »