law

FOUNDATIONS OF BUSINESS LAW - ASSIGNMENT 1(10%)

DUE DATE: 9pm Friday 8 th

November 2014

INSTRUCTIONS TO STUDENTS

All assignments must be submitted electronically using Turnitin by 9 pm Friday 8

th November.

(SAIBT students please find out if you are also required to provide your

teacher with a hard copy of the assignment).

This assignment comprises FIVE questions that are based on the

information covered in Week 2: TOPIC 2 – Sources of Law and Week 3:

Tort of Negligence.

ALL questions must be answered and the assignment is worth a total of

10 marks.

The maximum word limit for Assignment 1 is 500 words.

Note: extra marks will NOT be given for additional information that

exceeds the word limit. Marks may in fact be deducted.

This assignment is not an essay; therefore, an introduction and conclusion

are not necessary. You must, however, specifically answer the questions

provided in a series of numbered sentences and paragraphs.

As this assignment is not a research assignment you can get all the

information you need from the lecture notes. The lecture notes can be

referenced as: “FBL – Lecture Notes 2014”. If you copy the information

directly from the lecture notes then you must use “inverted commas” and

indicate the page number.

Referencing Cases

When referring to a case in your assignment the complete citation (or

reference) for that case must be provided either in text or as a footnote or in a reference list at the end of your paper.

The following is an example of in text referencing:

The High Court has interpreted the Constitution to expand the

Commonwealth’s powers beyond that which the Founding Fathers

expected as shown in Amalgamated Society of Engineers v

Adelaide Steamship Co Ltd (1920) 28 CLR 129. This case supported

the High Court’s tendency to give an expanded meaning to the

words and terms used in the Constitution.

If the case is referenced in text (as above) or as a footnote, there is no need to reference it again.

If you choose to reference a case (or cases) at the end of your paper it

(they) must be referenced in alphabetical order according to the first

letter of the case name.

For example:

Case References

Bolton v Madden (1873) LR 9 QB 55

R v Clarke (1927) 40 CLR 227

SVT v Best & Less (2001) 187 ALR 302 Williams v Roffey Bros & Nicholls (Contractors) [1991] 1 QB 1

Note: If you choose this option then the cases must be referenced in an

exclusive list separately from other sources, such text books or the

lecture notes.

Please attach a cover sheet and be sure to label your assignment with

your name and student identification number.

READ THE FOLLOWING CASE STUDY

Tony is a chef and proprietor of a restaurant called ‘Taste of Italy’. Tony’s pasta sauces are highly acclaimed and his restaurant is always busy. Max,

a real estate agent, often eats at Tony’s restaurant, where he also

entertains his clients. To celebrate a recent successful deal in which he

earned a good commission, Max invited his client, Joe, a builder, to have

dinner with him at Taste of Italy. Max insisted on paying for the dinner.

He went up to the counter and ordered a ham and cheese pizza for

himself and a plate of pasta for Joe. Max also purchased a bottle of

expensive champagne to toast the sale of Joe’s property.

Tony personally brought their meals to the table and stopped for a chat.

After a brief conversation about business, family and the weather he left

Max and Joe to enjoy their meals. The champagne went down well and

the meals were delicious. It was a wonderful occasion until something unexpected occurred!!! As Joe chewed and swallowed what he believed

to be part of a black olive the bitter taste alerted him to something

unusual on his plate. Upon closer examination it was revealed to be part

of an insect, a cockroach in fact, and that he had already eaten most of it.

He pushed back his chair and ran to the bathroom where he was violently

ill for some time. He was eventually taken to hospital by ambulance

where he remained for a week recovering from a severe case of food

poisoning.

Tony quickly learned that the tomato sauce he had used in the pasta that

day was obviously contaminated by more than one cockroach. The sauce

had been obtained from Presto Products, manufacturers, in sealed plastic tubs. Obviously the insects were already in the container before it was

filled with the sauce. Since pasta sauces often contain black olives Tony

assumed that the particles in the sauce he was using in his cooking were

bits of olive.

Joe incurred medical expenses and was unable to travel to Sydney to

attend the Australian Builders’ Conference held in the week he spent

recovering in hospital. Since he could not get a refund for accommodation

costs he forfeited $1,000. In addition, Joe has now developed an eating

disorder which his counsellor attributes to the trauma of the food

poisoning experience. He will be required to attend ongoing counselling

sessions and needs to take a further 3 months break from his building

business.

Joe is contemplating taking legal action for his loss against Taste of Italy

and Presto Products and has come to you for advice.

ANSWER ALL OF THE FOLLOWING QUESTIONS

Question 1

Advise Joe against whom he should take legal action for his loss?

(You need to explain why you have advised Joe to choose this party) [2 mark]

Question 2 Is the action that Joe is considering taking described as civil or criminal?

(Explain why you have made this choice)

[1 mark]

What cause of action will Joe take?

[1 mark]

Who is the plaintiff and who is the defendant?

[1 mark]

TOTAL = 3 marks

Question 3 List the elements of the cause of action that must be proved by Joe in order to

succeed in his action.

[2 marks]

Question 4 Which earlier decision could be used as a precedent for Joe’s case?

What was the ratio decidendi of that case.

[2 marks]

Question 5

What remedy is Joe seeking from a sucessful action against the defendant? [1 mark]

TOTAL: 10 MARKS

“buon appetito”