Question 1 (a) Explain the term 'Judicial precedent' and state two of its advantages. (5 marks) (b) Kayode and Abinga had an agreement by which they contributed N500,000 each as deposits for the purchase of spare parts. By the agreement, they are to share the spare parts equally on continuous basis. Kayode recently received a consignment of spare parts at the cost of N600,000. Abinga demanded that the spare parts be shared equally with Kayodeon the ground that, by their agreement, they are partners. However, Kayode has sold two-thirds of the spare parts. Abinga, therefore, demands an account from the Kayode of the sales by him of the spare parts. Kayode insists that he cannot account to Abinga because they are not partners.

Required: Advise Abinga on the status of his relationship with Kayode.

B. The powers of the Board of Directors in running the company differ from those of the General Meeting in nature and limit. Required: Explain succinctly the nature and extent of the powers of the Board of Directors.

Question 2 (a) Isokari agreed to sell a cocoa plantation to Niger Cocoa Processing Industry Plc ("Niger") for N25 million. Just a few weeks after the agreement, the price of cocoa increased globally. Isokari decided not to sell the cocoa plantation to Niger any longer. Instead, Isokari formed Isokari Global Merchandising Limited ("Iso Global") and sold the plantation to it. Isokari and his wife are the only shareholders of Iso Global. Required: As the Company Secretary of Niger, explain the legal issues and remedy to the board of directors of Niger.

B. Kure, Falilat and Adakuagreed to form and finance an estate company to be named KFA Limited. The company would have four other members. The three were given various procurement assignments. Kure, who was to buy a mini-estate for the proposed company, sold his estate in Ikeja to it at a profit of N10 million. Falilat bought a Cinema Hall on Lagos Island for the proposed company and got a personal discount of N2 million from the transaction due to his exceedingly great negotiation skills. After the incorporation of KFA Limited, Adaku learnt of the outcomes of the two transactions, and has approached you for advice.

Required: Advise Adaku on the issues and remedies involved, with the aid of statutory provisions and decided cases.

Question 3 (a) Electronic evidence is a means by which the commission of some offences may proved. Required: State five ways of authenticating an e-mail message.

B.Section 3(1) of the Money Laundering (Prohibition) Act provides, inter alia, that a Financial Institution and Designated Non-Financial Institution shall verify its customer's identity before opening an account for, issuing a passbook to, entering into a fiduciary transaction with, renting a safe deposit box to, or establishing any other business relationship with the customer.

Required: Explain the mode of verifying the identity of (i) An individual; and (ii) A corporate body

C. Sunday is a dealer in Mercedes Benz cars spare parts. He purchased a carton of piston and rings from Chukwuma, a seventeen-year old shop assistant of Mr. Emeodi. Chukwuma, who was not in the shop when Mr. Emeodi brought in the goods, gave Sunday a carton of Nissan car piston and rings instead of that of Mercedes Benz. Sunday has just discovered that the goods he bought on credit were not what he ordered for. His counsel is of the opinion that there was no contract ab initio as there are vitiating elements.

Required Advise Sunday on the status of his contract with Mr. Emeodi.

Question 4 (a) Alternative Dispute Resolution (ADR) has some advantages. Required State FIVE advantages of ADR over litigation.

b. Under Section 32 of the Bills of Exchange Act, negotiation of a bill must satisfy some requirements of endorsement. State THREE of the requirements.

c. Liman is an employee of Asuka Limited ("Asuka"). Liman supervises all the distributors of Asuka's products. Konga also works in the haulage department of Asuka. The Police are interrogating Konga for alleged possession of illicit drugs while driving a truck belonging to Asuka and have impounded the truck. A distributor of Asuka has lodged an official complaint with the company secretary, alleging that Liman diverted some products of Asuka to a warehouse that belongs to Liman. Required Explain briefly the remedies that Asuka has against Konga and Liman respectively under employment law.

Question 5 (a) The directors of Kante Bank Plc intend to please the shareholders of the bank by ensuring that they distribute all the profits of the bank as dividends without any fund conservation. They plan to do that, so that shareholders may vote to retain them in office. The bank's paid up capital is less than its reserve. Required As the Company Secretary of Kante Bank Plc, with knowledge of the Banks and Other Financial Institutions Act, advise the bank on reserve funds.

B. Agents have some rights in law. Required State five of therights of an agent.

C. There are implied conditions in all contracts of sale of goods. Required Which conditions are implied where goods are sold by sample?

D. A hirer of goods has some remedies against the owner. Required State tworemedies of a hirer in a hire purchase contract.

E. A contract of insurance has elements of offer and acceptance. Required Explain briefly the making of offer and acceptance in insurance contract.

F. Hassan has just been appointed the receiver and manager of Sterling Innovation Limited, a private limited company in receivership. This is hisfirst experience of this kind of appointment after obtaining the requisite professional qualification. He has approached you for advice on the powers deemed to have been conferred on him by the debentures of the company. Required Advise Hassan on his power on: (i) Control of the properties of the company; (ii) Disposal or restriction on disposal of the property; (iii) Appointments that he may make; (iv) Bills of exchange; and (v) Lease and tenancy.

(c) Define negligence and state its elements.