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law for business

Questions and Answers of Law for Business

Marie-Sophie is the owner of Tixe-one of Canada's most exclusive online luxury stores for women. Paul is the vice-president in charge of online security, and he has retained you to provide legal
What is “net neutrality” and how might it affect a business?
You are the owner of a small digital content provider based in Brandon, Manitoba. Your content is marketed under your Canadian registered trademark, dFOX. As well, you are the registered owner of the
Discuss three kinds of liabilities and risks associated with allowing user-generated content on your website.
You are the information manager of an electronic mailing service, BadNews.ca. Your primary customers are collections agencies. BadNews.ca assists these agencies by locating debtors and delivering
What is “personal information” and when should a company decide not to collect certain types of personal information?
Catharina is about to create a small start-up ISP somewhere in Canada. Like other ISPs, her company will offer a number of services, including blog hosting, photosharing, bulletin boards, and the
Why might a court find that a provision in your terms of use is not binding on a visitor to your website?
After witnessing all the publicity that Quiznos received through its user-generated advertisement contest (see Ethical Perspective 18.1), Giant Giovanni's Subshop has decided to give Quiznos a little
What factors should a business consider when choosing between dispute resolution and litigation in the context of a domain name dispute?
ShareEverythingForever is a large social networking company with a Canadian office located in Ontario. They have hired you to revamp the social network's privacy policy. Your new boss asks you to
Describe three typical disputes arising from the domain name registration system and provide an example of each. How can business managers avoid domain name disputes?
Ejay's Éclairs is a small, exclusive pastry shop that has recently decided to use its website to deliver catered goods locally on Prince Edward Island. With the hope of cutting down on roaming
BuyEvenMoreStuff Inc is a company incorporated under the laws of Minnesota. It is also the registered owner of several Canadian trademarks, including Hire-a-Dweeb®, DweebCity®, DweebMobile®, and
When are goods considered “merchantable”? Can imperfect goods be merchantable? Outline the situations in which the Act implies a term of merchantability.
What is an “exclusion clause”? Identify and briefly explain the rules that govern exclusion clauses.
Why are the courts more willing to grant injunctions than specific performance?
Sperry Rand makes farm machinery. To promote its products, Sperry published a sales brochure that includes the following representations:You'll fine-chop forage to one centimetre season after season!
What is “phishing” and how might it affect a legitimate business?
Describe several simple measures that a business could adopt to reduce the risk of a privacy breach.
What is “spyware” and how might it have a negative impact on a business?
Why would you appoint an agent to act on your behalf? What are the risks of using an agent?
Magda is an artist. She entered into a contract with Karl under which she gave Karl the authority, for six months, to try to find a buyer for one of her paintings. After three months, Karl had not
Describe three ways that a principal can be held liable for the actions of an agent.
Tatiana was looking for a BMW to lease. She went to Reston Sales and Leasing Inc and met with Joe Reston, the manager and sole owner of the business. After some discussion, Reston said he could
You have a business leasing photocopiers. You are negotiating a contract with Zoltan, who is acting on behalf of Bridgeworks Manufacturing Inc. You have visited Zoltan at the offices of Bridgeworks
Jennifer is an agent of MB Forest Products Inc. Under her agency contract, she has authority to buy raw logs from independent logging companies. While Jennifer is visiting some logging companies in
You negotiate an agreement on behalf of Tom to rent Ellen’s ski chalet. Tom did not know you were doing this but is happy with the deal that you have arranged when you tell him about it. Has a
The president of a corporation you are dealing with tells you that Alton has authority to sell you one of the corporation’s cars. You find out that the president was mistaken, because Alton’s
Geomedia Inc helps retailers promote sales by arranging to distribute advertising flyers to consumers, usually in the form of newspaper inserts. Red Rose Inc sells arts and crafts supplies across
You are negotiating to rent an apartment from Island Property Management Inc. The person you are dealing with is Arif. Arif says that he can offer you a discount of 50 percent off the advertised rent
Beauty Media Inc (BMI) publishes several magazines, including eGaming Review. Kristine Fish owns a company called DXD Gaming Inc. Like most magazines, eGaming Review generates much of its revenue
‘White-collar crime’ and ‘corporate crime’ are two phrases that mean exactly the same thing.” Is that statement true? Explain your answer.
What is “in-house counsel”? Identify an advantage and a disadvantage of in-house counsel.
Briefly explain how incorporation may be used for the purposes of risk management.
What are the three steps that are involved in risk management? Illustrate your answer with an example.
The Nagatomi Corporation is Canada's largest manufacturer of farm machinery. It specializes in custom-designing equipment to meet its customers' individual needs. Inga Raimani operates a farm in the
Briefly define the term “risk management.” Why is risk management important in the business world and how is it related to the study of law?
What is the difference between public law and private law? Can the government ever be involved in a private law case?
What is administrative law? Explain how it is relevant to business.
Briefly explain the nature and significance of section 217.1 of the Criminal Code.
Briefly outline three areas of private law. Provide an example of each that is important to business.
What is the significance of section 52 of the Constitution? How is that section related to the concept of ultra vires legislation?
Define the phrase “indirect tax” and explain why that concept limits the types of tax that one level of government can create.
“People usually have a closer connection to their provincial government than to their federal government. As a result, although the doctrine of paramountcy favours the federal government, the
Briefly explain how the introduction of the Canadian Charter of Rights and Freedoms changed Canadian constitutional law. Did it increase or decrease the grounds upon which laws can be declared
Does the Charter contain general property or economic rights? Explain why the drafters of the Charter did or did not include such rights.
Describe four restrictions to the application of the Charter.
“Damages require one person to pay money as compensation for another person’s loss. Damages are therefore a private matter. Since the Charter is part of public law, damages cannot be awarded in
“Subordinate legislation is a type of law that only a municipality can create.” Is that statement true? Briefly explain the nature of subordinate legislation.
What is a “by-law”? Which level of government creates by-laws?
Does a trust arise under the “common law” or under “equity”? Explain your answer.
Explain the historical difference between law and equity. Are law and equity still separate systems of law?
Kwik Office Supplies hired Jackson to act as its manager. The employment contract spelled out, in substantial detail, the various rights and obligations that the parties assumed under the agreement.
Dave Woodstock was hired to clean and deliver vehicles for EconoCar, a car rental agency. Although Dave drives very safely in his own vehicle, he tends to be rather careless when he is behind the
Strand Rentals Inc is in the business of renting electrical equipment for use in the entertainment industry. Some time ago, it rented an electronic switchboard to Brisford Entertainments Ltd. The
Dina Papadopoulos is a journalism student at Metro University. Since her goal is to become an investigative reporter, she joined her university's newspaper-the Metro Squawker-as a writer. Jiang Lee,
Dean Zastowny began taking drugs when he was in Grade 9, and he was addicted to crack cocaine by the time he was 18. After committing a string of crimes to support his habit, he was convicted and
Although tort law is generally concerned with striking a balance between the desire to provide compensation and the desire to protect socially useful activities from liability, that issue is
“Causation is determined on a balance of probabilities in an all-or-nothing manner.” What does that statement mean?
Jake was stopped in his car at a red light. A pair of teenagers unexpectedly ran up to the vehicle and smashed the windshield with a baseball bat. Jake put his car into park and leaped out to chase
“Good consideration usually cannot be based on a pre-existing contractual obligation owed to the same party.” Describe three ways by which business people can avoid that rule. What commercial
Fraser River Inc owned a boat called The Squamish. Fraser River did not actually use the boat. Instead, it chartered (rented) the boat to other people. Until recently, it had chartered The Squamish
List and briefly describe the non-statutory exceptions to the general rule that payment of a lesser sum does not discharge a debt of a larger amount.
Explain why it would be undesirable if contractual parties were free to assign contractual obligations, even though contractual rights generally can be assigned. Illustrate your answer with examples.
Provide an example of a statute that allows a contract to be enforced by or against a person who would not normally be classified as a “party” to a contract. Explain how that statutory provision
Provide suggestions of steps a person should take to avoid affirming a contract if misled during pre-contractual negotiations.
Mac’s Machines Ltd, an importer of high-tech German industrial equipment, had an ongoing shipping arrangement with Take Care Tankers Inc. According to Clause 4 of Take Care Tankers’ standard form
Is it ever possible to receive and enforce more than one remedy for the same breach of contract? Explain your answer and provide examples.
Redwood Inc, which owned a parcel of land that contained dense forests, entered into a contract with Bunyon Corp. Bunyon was required to cut and remove the trees from a 40-hectare area. In exchange,
Identify and briefly explain the types of monetary relief that may be available for a breach of contract. What purpose is served by each type of relief?
Pacific Guano Ltd wanted to mine phosphate on Ocean Island in the South Pacific. The small population of that island formed the Ocean Island Residents Co (OIRC) and entered into an agreement with
How are expectation damages calculated?
Classique Cars Ltd rents out limousines for $1000 per day, almost invariably to people arranging wedding parties. It is one of several companies to do so. On one occasion, Classique found that it was
What is the difference between loss of value damages and cost of cure damages? Present arguments for and against cost of cure damages.
Marta Ferreira is a hard-working and very talented investment adviser. Until recently, she worked for Globo Finance Inc, one the leading companies in the field. She earned approximately $750 000 a
Briefly explain the Supreme Court of Canada’s most recent approach to the issue of compensation for intangible losses.
Paolo owns an apartment complex in a poor area of town. The building contains a large number of identical apartments. Because demand is low, there are always several empty apartments. Paolo leased an
The calculation of damages often requires the court to estimate the value of the plaintiff ’s loss. When, if ever, will a court refuse to speculate on the appropriate amount?
Cornwall Gravel wanted to submit a tender (offer) for a government contract. It contacted Purolator Courier to arrange delivery of the offer to the government office. Purolator collected the envelope
Under what circumstances will damages be considered remote and therefore unavailable?
Donald Evans Inc (DEI) supplies materials to the oil industry in Alberta. Although the company deals in several types of equipment, the vast majority of its profits are generated by a device called a
Briefly outline the rules regarding mitigation of loss.
CanPro, a Canadian film company, hired Alan Smithee, a relatively unknown actor, to star in a biographical movie about Pierre Trudeau. Although the contract called for payment of only $15 000 in
Do the rules governing mitigation seem fair to you? Is there any justification for requiring the plaintiff to minimize the losses that are caused by the defendant’s breach? Explain your answer.
In September, Marcy's Department Store placed an order with Fuego Toys Inc for the upcoming holiday season. While it is difficult to predict which toys will be popular with children, both parties
Can a party escape the consequences of a bad bargain by claiming reliance damages rather than expectation damages?
Five years ago, Vladimir Ulyanov, a professional hockey player, signed a contract with the Rebels Hockey Club, which contained these terms:Vladimir Ulyanov agrees to perform for the Rebels Hockey
What is “disgorgement”? When it is available as a remedy for a breach of contract?
Rodeo & Blue Inc (RBI) has been a remarkable success story over the past four years. Starting from a small basement operation, it has quickly grown to a worldwide leader in the music industry. It
What are “nominal damages”? How are they calculated? What purpose do they serve?
The city has a set of by-laws that control the availability and operation of taxi cabs. To be a taxi driver, a person must hold both (i) a special driver's licence and (ii) a special permit for their
Does the “duty to mitigate” apply if the plaintiff claims an account of profits? Explain your answer.
What are “liquidated damages”? How do they differ from penalties? Are liquidated damages recoverable? Are penalties recoverable?
What are “punitive damages”? How are they calculated? Under what circumstances are they available? What purpose do they serve?
Explain the main reason why the courts prefer to award monetary damages rather than specific performance.
When will the courts allow a party to bring a claim in unjust enrichment?
“Once a contract is discharged, the plaintiff has the option of suing for breach of contract or for unjust enrichment. The remedy for unjust enrichment, however, can never be more valuable than the
MGM Auto Sales Ltd (MGM), a company situated in Red Deer, Alberta, owned a truck that it wished to sell. A former employee named Bayliss informed MGM of a potential buyer-Frontline Ventures Inc
“A knowledge of the Sale of Goods Act is important only in those provinces that happen to have the statute.” Is that statement accurate and correct? Explain your answer.

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