Block -1

1. Business Environment
2. Components of Business Environment
3. Indian Legal Environment
4. Types of Laws
5. Types of laws - Examples
6. International Legal Environment
7. Nature & Types of Contracts
8. Essential Elements of Contract
9. Consideration Object Capacity to Contract
10.Free consent & Void Agreement
11.Performance of Contract
12.Discharge of Contracts
13.Breach of a Contract
14.Contingent Contract
additional material :-
1. Introduction to Business Law , Law of Contract
2. Contract of Guarantee

Block – 2

1. Bailment & Pledge

2. Contract of Agency
3. Law of Partnership
aditinal material :-
1. BAILMENT AND PLEDGE
2. Contract Of Agency
3. The Partnership Act, 1932

Block – 3

1. Meaning & Definition

 2. Essential Elements
3. Principle of Tort
4. Classes or Tort
5. General Defences in Tort
6. Sale Agreement to Sell
7. Hire Purchase Agreement
8. Goods Price
9. Conditions & Warranties
10.Caveat Emptor
11.Passing of Property in Goods
12.Performance Delivery
13.Unpaid Seller
14.Buyer Remedies
15.Negotiable instrument act Characteristics
16.Promising Note
17.Bill of Exchange
18.Cheque
19.Holder and Holder in due Course
20.Material Alteration
aditional materials :-
1. Law of Sale of Goods, Negotiable Instruments, Law of Torts

Block – 4

1. Need for consumer protection

2. Who is consumer
3. Defect ,deficiency ,service
4. Complaint
5. Application
6. Forums
7. Penalty & Benefits of Acts
8. Competition Act
9. FEMA
 aditional material :-
1. Consumer Protection act
2. Competition Act
3. FEMA

Block – 5

1. Characteristics
2. Classification
3. Formation
4. Memorandum
5. Articles
6. Prospectus
7. Public issue & Share Capital
8. Share
9. Director
10. Winding
11. IPR
12. Patent- Introduction
13. Patent-Process of grant
14. Patent-Infringement
15. Patent-Foreign Appl.
16. Copyright-Intro
17. Copyright-Infringement
18. Trademark Introduction
19. How to Select Trademark
20. Trademark Registration
21. Trademark-Procedure of Renewal
22. Trademark-Infringement & Penalty
23. Information Technology Act
24. Right to information Act
aditional material :-
1. Company Law
2. Information Technology Act
block -1

Business Environment

General Environment is the most important dimension of business environment as

businessman cannot influence or change the components of general environment
rather he has to change his plans and policies according to the changes taking place
in general environment.

(i) Economical Environment:

Economic Environment consists of Gross Domestic Product, Income level at

national level and per capita level, Profit earning rate, Productivity and
Employment rate, Industrial, monetary and fiscal policy of the government etc.

Some Aspects of Economic Environment:

1. Role of Private and Public sector

2. Rate of growth of GDP, GNP, and Per Capita Income

3. Rate of Saving and Investment

4. Balance of Trade

5. Balance of Payment

6. Transport and Communication System

7. Money Supply in the Economy

8. International Debt

(ii) Social Environment:

Social Environment consists of the customs and traditions of the society in which
business is existing. It includes the standard of living, taste, preferences and
education level of the people living in the society where business exists.

(iii) Political Environment:

Political environment constitutes all the factors related to government affairs such
as type of government in power, attitude of government towards different groups
of societies, policy changes implemented by different governments etc.

(iv)Legal Environment:

Legal environment constitutes the laws and various legislations passed in the
parliament. The businessman cannot overlook the legislations because he has to
perform his business transactions within the framework of legal environment.

(v) Technological Environment:

Technological environment refers to changes taking place in the method of

production, use of new equipment and machineries to improve, the quality of
product.

Contract

The term contract is defined as an agreement between two or more parties which
has a binding nature, in essence, the agreement with legal enforceability is said to
be a contract. It creates and defines the duties and obligations of the parties
involved.

Types of Contract

 On the basis of validity

o Valid Contract: An agreement which is enforceable by law, is a valid
contract.
o Void Contract: The contract which is no longer enforceable in the
court of law is a void one.
o Voidable Contract: A contract in which one of the parties to the
contract has a choice to avoid performing his/her part, then it is
termed as a voidable contract. When the consent of the party is not
free, the contract becomes voidable, at the option of the aggrieved
party.
o Illegal Contract: A contract which is forbidden by law is termed as
an illegal contract.
o Unenforceable Contract: The contract whose substance is good, but
due to some issues, it is not enforceable, is called unenforceable
contract.
 On the basis of formation
o Express Contract: When the terms of the contract are expressed
orally or in writing, it is known as an express contract.
o Implied Contract: The contract which is constituted by implication
of law or action, is an implied one.
o Quasi-Contract: These are not real contract, but are identical to a
contract, which is formed out of some circumstances.
 On the basis of Performance
o Executed Contract: When the contract is performed, it is known as
an executed contract.
o Executory Contract: When the obligation in a contract, is to be
performed in future, it is described as an executory contract.
 Unilateral Contract
 Bilateral Contract
block -2

Bailment

A contract in which the goods are handed over by one party to another party for a
specific reason, which is expressed or implied for a short period. The person who
delivers the goods is termed as bailor whereas the receiver of the goods is termed
as bailee.

When the purpose of delivering the goods is accomplished, the bailee should return
the goods to its actual owner. Here the word goods may include all the movable
items, but property and money do not come under the definition of goods. While
the transfer of goods the ownership of goods remains with the bailor only the
possession of goods transfers for a limited period.

The Bailment is divided into two categories:

 Gratuitous Bailment – Either for the sole benefit of Bailor or Bailee.

 Non-gratuitous Bailment – For the Mutual Benefit of both the parties.

Example: Clothes given in laundry for cleaning are an example of bailment.

Pledge

The pledge is a variety of bailment in which goods are transferred from one party
to another party as security for the payment against debts owed by him. The person
who delivers the goods is known as Pawnor whereas the receiver of goods is
known as Pawnee.

When the objective of the transferring the goods is completed or say when the
payment for debt for which goods are pledged, is met, then the receiver shall return
the goods to its real owner.

Example: Money taken as debt from the money lender by pledging gold as
security against it is an example of Pledge

law of agency
The law of agency is an area of commercial law dealing with a set of contractual,
quasi-contractual and non-contractual fiduciary relationships that involve a person,
called the agent, that is authorized to act on behalf of another (called the principal)
to create legal relations with a third party

He agent is, thus, required to negotiate on behalf of the principal or bring him or
her and third parties into contractual relationship. This branch of law separates and
regulates the relationships between:

 agents and principals (internal relationship), known as the principal-agent

relationship;
 agents and the third parties with whom they deal on their principals' behalf
(external relationship); and
 Principals and the third parties when the agents deal.
block -3

Tort law
tort law is the name given to a body of law that creates, and provides remedies for,
civil wrongs that do not arise out of contractual duties.A person who is legally
injured may be able to use tort law to recover damages from someone who is
legally responsible, or “liable,” for those injuries.

Types of Torts
Intentional – The Act or Omission That Caused Damage Was Intentional
Negligence – The Act or Omission That Caused Damage Was an Accident.
Types of Torts
a. Battery
b. Assault
c. Defamation
d. Nuisance
e. Conversion
f. Fraud

Characteristics of tort

1. Tort is a private wrong, which infringes the legal right of an individual or

specific group of individuals.
2. The person, who commits tort is called "tort-feasor" or "Wrong doer"
3. The place of trial is Civil Court.
4. Tort litigation is compoundable i.e. the plaintiff can withdraw the suit filed
by him.
5. Tort is specie of civil wrong.
6. Tort is other than a breach of contract
7. The remedy in tort is unliquidated damages or other equitable relief to the
injured.

A bill of exchange is a writing by a party (maker or drawer) ordering another

(payor) to pay a certain amount to a third party (payee). It is also referred to as a
draft. If the bill of exchange is drawn on a bank, it is called a bank draft. If it is
drawn on another party, it is called a trade draft. A bill of exchange drawn on a
bank account is a "check."A non-interest-bearing written order used primarily in
international trade that binds one party to pay a fixed sum of money to another
party at a predetermined future date.
Negotiable Instruments Act

In India, the Negotiable Instruments Act was enacted in the year 1881. Before its
enactment, the provision of English Negotiable Instrument Act was relevant in
India, and the present Act is also based on English Act with certain amendments. It
extends to the whole of India apart from Jammu & Kashmir state. The Act works
on subject to the provisions of Sections 31 & 32 of Reserve Bank of India Act,
1934.

Important characteristics of Negotiable Instruments are:

1. Property: The possessor of negotiable instrument is acknowledged to be the

owner of property contained therein. Negotiable instrument does not simply
give ownership of the instrument but right to property as well.
2. Title: The transferee of negotiable instrument is called ‘holder in due
course.’ A genuine transferee for value is not affected by any flaw of title on
the part of transferor or of any of the previous holders of instrument.
3. Rights: The transferee of negotiable instrument can take legal action in his
own name, in case of dishonour.
4. Presumptions: Certain presumptions are applicable to all negotiable
instruments i.e., a presumption that deliberation has been paid under it.
5. Prompt payment: A negotiable instrument facilitates the holder to
anticipate prompt payment because dishonour refers to the ruin of credit of
all persons who are parties to the instrument
block -4

Consumer law

Consumer law involves all of the regulations and statutes that seek to create a more
equitable balance for buyers in the marketplace and prevent sellers from using
dishonest tactics. A consumer is any individual who purchases goods or services,
which may be sold by manufacturers, wholesalers, or retailers.

Consumer protection movement is a part of global recognition and concern that

consumers are a weak party in buying goods and services as compared to the
manufacturers and traders producing and selling them.

The important ways for consumer protection are:

1. Imposition of self-regulation and discipline by the manufacturers and suppliers

of goods and services for working in the interests of consumers.

2. The role of government which can enact laws for the protection of consumers
and make arrangements for their enforcement.

3. Voluntary organization of consumers to form groups such as NGO, cooperative

societies to safeguard the interests of consumers.

Consumer protection is needed because of following:

1. We need physical protection of the consumer, for example protection against

products that are unsafe or dangerous to his health and welfare.

2. Consumer want protection against deceptive and unfair trade and market
practices.

3. Consumers protection is needed against all types of pollution so that they can
enjoy a healthy environment-free from water, air and food pollution.4. Consumer
protection is also needed against the abuse of monopolistic and restrictive trade
practices. Protection delayed is protection denied.

Penalty for contravention of Act by employer

(1) If any employer fails to pay any amount of maternity benefit to a woman
entitled under this Act or discharges or dismisses such woman during or on
account of her absence from work in accordance with the provisions of this Act, he
shall be punishable with imprisonment which shall not be less than three months
but which may extend to one year and with fine which shall not be less than two
thousand rupees but which may extend to five thousand rupees:

(2) If any employer contravenes the provisions of this Act or the rules made
thereunder, he shall, if no other penalty is elsewhere provided by or under this Act
for such contravention, be punishable with imprisonment which may extend to one
year, or with fine which may extend to five thousand rupee.

FEMA

The (Foreign Exchange Management Act, 1999) (FEMA) is an Act of the

Parliament of India "to consolidate and amend the law relating to foreign exchange
with the objective of facilitating external trade and payments and for promoting the
orderly development and maintenance of foreign exchange market in India".[1] It
was passed in the winter session of Parliament in 1999, replacing the Foreign
Exchange Regulation Act (FERA). This act makes offences related to foreign
exchange civil offenses. It extends to the whole of India.,[2] replacing FERA, which
had become incompatible with the pro- liberalization policies of the Government
of India. It enabled a new foreign exchange management regime consistent with
the emerging framework of the World Trade Organisation (WTO). It also paved
the way for the introduction of the Prevention of Money Laundering Act, 2002,
which came into effect from 1 July 2005.

 Activities such as payments made to any person outside India or receipts

from them, along with the deals in foreign exchange and foreign security is
restricted. It is FEMA that gives the central government the power to impose
the restrictions.
 Without general or specific permission of the MA restricts the transactions
involving foreign exchange or foreign security and payments from outside
the country to India – the transactions should be made only through an
authorised person.
 Deals in foreign exchange under the current account by an authorised person
can be restricted by the Central Government, based on public interest
generally.
 Although selling or drawing of foreign exchange is done through an
authorized person, the RBI is empowered by this Act to subject the capital
account transactions to a number of restrictions.
 Residents of India will be permitted to carry out transactions in foreign
exchange, foreign security or to own or hold immovable property abroad if
the currency, security or property was owned or acquired when he/she was
living outside India, or when it was inherited by him/her from someone
living outside India.
block -5

Share capital
Share capital consists of all funds raised by a company in exchange for shares of
either common or preferred shares of stock. The amount of share capital or equity
financing a company has can change over time. A company that wishes to raise
more equity can obtain authorization to issue and sell additional shares, thereby
increasing its share capital.

Public Issue
If a company decides to raise capital by issuing stock, it must file a formal
registration statement with the Securities and Exchange Commission (SEC) that
details the business's financial history, current financial situation, the proposed
public issue and future projections. The company must also prepare a preliminary
prospectus that contains information similar to that of the registration statement for
potential investors.

Trademark

A trademark is anything that is used, or intended to be used, to identify the goods

of one manufacturer from the goods of others. It is a brand name. Trademarks are
important business tools because they allow companies to establish their product's
reputation without having to worry that an inferior product will diminish their
reputation or profit by deceiving the consumer. Trademarks include words, names,
symbols and logos. Anything that distinctly identifies your company can be a
trademark, provided that it is for goods.

Information Technology Act

The Information Technology Act, 2000, serves as a useful illustration of the dearth
of dynamism in digital rule-making in India. Though it forms the legislative
bedrock of the country’s online edifice, it has only been significantly amended
once in 2008. And while it witnessed minor revisions from time to time since then,
these were largely informed by political exigencies rather than any long-term
digital vision.
RTI Act is most revolutionary act which empowered Indian Citizens to seek
information directly from the Government/Public Authorities. The 3 key building
blocks of Right to Information Act, 2005 are Responsibility, Transparency and
Accountability. Right to Information Act, 2005 is an extension of Freedom of
Information Act, 2002 enacted by Parliament of India. Under RTI Act, it is
mandatory for Public Authorities to provide information sought by the citizens
within prescribed time limit (Within 30 days) else there are provisions of
monetary/other penalties.

Right to Information Act Exclusions

1. Central Intelligence Agencies like CBI, Directorate of Revenue Intelligence,

DG of IT (Investigation), Central Economic Intelligence Bureau, Directorate of
Enforcement, Narcotics Control Bureau & Aviation Research Centre

2. National Security agencies like IB, RAW etc.

3. Special Forces/Criminal Agencies like Special Frontier Force, NSG, CISF,

ITBP, CRPF, BSF, Assam Rifles, Special Service Bureau, Special Branch (CID)
Andaman and Nicobar, Crime Branch, CID, CID-CB & Special Branch,
Lakshadweep Police.

4. Agencies specified by the State Governments through a Notification. It varies

from state to state