Application of Law to Business Situations

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Contract Law

In today’s business environment, essential details should be considered in the contract negotiation process. This is a normal part of any negotiation process, and the parties should ensure that their decisions are legally right (Arvind, 2017). Sometimes, parties have commercial negotiations and illegitimate pressure, and it is difficult to distinguish between the two. Significantly, economic coercion in a firm can rise from unlawful pressure. Businesses should be aware of the risks they will face before signing any contract. Therefore, before joining any agreement, businesses should be aware of the consequences of their actions.

Based on the Legal circumstances, the contract between the Landlord and Friendly Dawg is avoidable to a large extent. To begin with, Friendly Dawg breaches contract agreements by disregarding clear and specific terms of the lease. At first, Lou and Dave’s late father had a signed leasing agreement that portrays the firm as a pet supply store. On the other hand, Dave began selling wild animals afterward, which was not part of the original deal. In an ideal world, the Landlord would have met the implied warranty of habitability of the pledge by maintaining good repairs, but unfortunately, he failed.

For a contract to be termed valid, there are essential elements that should be in place. They include capacity, consideration, acceptance, intention, and the offer. To begin with, an offer is a statement that is verbally or written by where the party making an offer signifies preparations to be contractually bond (Smits, 2017). Capacity refers to the standard requirements required before joining a contract. In contrast, acceptance is the expression of mutual consent to a given contract. Ideally, considerations consist of the rights of interest of both parties. The final element, intention, relates to both parties’ willingness to enter into a legally binding contract. In the scenario, an initial deal was made between Lou and Dave’s father, which was carried over through inheritance. The initial contract is legally binding since it establishes the parties’ obligations, rights, and remedies.

Without a doubt, Dawg has the right to grow his business, as neither the lease nor the initial agreement contains any condition prohibiting him from doing so. There is an insinuation that the Landlord’s declaration of the business expansion permitted Dave to proceed. He retains exclusive rights to remain and enjoy the property and may seek upgrades to improve his stay, such as improved air conditioning. On the same basis, Dawg is entitled to a return for damages caused by inadequate air conditioning, as Dawg pays more rent for the same dwelling than the neighboring company. The firm must exercise reasonable care with respect to leased property, including the responsibility to perform upgrades such as air conditioning.

However, the standard of care also relates to other people; since the business was selling animals, it should have ensured no harm to neighbors. Furthermore, he is obligated to pay his rent as initially agreed since an acceptance offer was made for both parties.

Conversely, the Landlord has full rights to stop Dave from expanding a business that was not mentioned in the lease. Alternatively, if it is determined that the animals may cause harm to other persons, they may be removed from the premises. Since the first lease agreement was between the Landlord and Lou, Dave can claim that the contract is null and void until the son inherits the validity. Notably, the Landlord should ensure that all inhabitants live in a habitable environment free of discrimination. A possible solution for Lou is to defend the duty of care that will pass the lease once the agreement has been made.

Tort Law

The tort law is applicable in legal circumstances where individuals are held responsible for the damages inflicted on others. Such individuals can be seeking compensation for the suffering, pain, or any form of loss experienced from a given situation. Tort cases can be in three settings, either intentional, strict liability, or negligence (Deakin & Markesinis, 2019). In an intentional tort, individuals engage in actions out of self-will to hurt others. Ideally, negligence tort is where individual acts are carelessly causing harm to other people. While in strict liability, responsibility can be placed on an individual without proof of fault.

In this case, Sunshine Yoga studio has accused Landlord Lou of disruption from dogs and parrots. Here, the concept of strict liability in Tort laws can be applied. In that Landlord Lou cannot entirely control disruptive noise from the dogs and parrots, however, should take responsibility for the damages caused because the animals are staying in the premises. On the other hand, Sunshine Yoga does not have a written lease. In any given circumstance, it is clear that a company should e fully responsible for the needs of its people. Thus, any form of negligence should lead to harm; a company should be fully responsible.

Given that Landlord Lou refused to improve air conditioning, Dave has the right to refuse to pay rent. Under Tort law, it is evident that Landlord Lou has failed to ensure the safety and security of tenants by neglecting their living conditions. A case of negligence should be filed against Lou for failing to care about the welfare of tenants. Last but not least, Torts are actionable when there is proof of damage. Tort laws are important when solving most issues.

References

Arvind, T. T. (2017). Contract law. Oxford University Press.

Deakin, S., & Markesinis, B. (2019). Markesinis and Deakin’s tort law. Oxford University Press, USA.

Smits, J. M. (Ed.). (2017). Contract law: a comparative introduction. Edward Elgar Publishing.

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