BUSINNESS LAW (BBUN 2103)

1.0 INTRODUCTION

A contract is an agreement between a guarantor and a guarantor with a valid return.

Contracts need to involve more than one party and there must be mutual agreement. An
agreement will be a contract if it meets the requirements of the contract. If in an agreement
there is something contrary to any of the elements, then the agreement cannot be enforced.
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According to Wikipedia, a contract is a law that governs all matters of the agreement.
Pursuant to section 2 (h) of the Act, the meaning of the contract is "an agreement that can be
enforced by law, which the contract will legally bind to the parties involved". Further, a
contract also means an agreement between the guarantor and the recipient with a valid
return. A valid contract is a contractual matter that must be accompanied by intent whether
the transaction is commercial or for profit.
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There are six elements in a valid contract. If any of these elements do not exist, the contract
may be considered invalid and unenforceable. These elements will be discussed in detail as
follows:

1.1 Offers
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Pursuant to Section 2 (a) of the Act of 1950 an offer is defined as “When a person
declares his willingness to do something or to refrain from doing something,
with the intent of obtaining the person's consent to do something or refraining
from doing so, it may be said. that person made a proposal. "

Example: Ahmad tells him that he is willing to sell his mobile phone to burn for RM1,
500. In this case Ahmad has offered to burn.
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2.0 DISCUSSION ON CONTRACT FACTORS

A contract is considered valid if all of the elements discussed above are fulfilled. There are
several factors that allow the contractor to cancel the contract Among these factors are
coercion, improper influence, deceit, fraud and misrepresentation. This is provided in
section 14 of the contract of the 1950s and is described in sections 15 to 23. Section 14
defines "Free Will", and free will is said to be independent without being caused by:
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(a) Forces, defined in section 15 of this Ordinance:,

(b) Invalid influence, defined in section 16 of this Ordinance;

(c) Deception, defined in section 17 of this Ordinance;

(d) Obviously, defined in section 18 of this Ordinance;

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(e) The Caliphate, subject to the provisions of sections 21, 22 and 23 of this Ordinance

Here we will discuss more about the three elements: “Fraud, caliphate and improper
influence.

However, this principle is subject to several exceptions. In some cases, silence can be
considered a fraud. The condition of the exemption is stated in section 17 (Explanation):
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'The silence on a fact which may induce a person to contract is not a fraud, unless the
circumstances of the case establish the duty of the silent person to speak, or unless the
silence is deemed to be the same. by saying '.

2.1 False / False Facts

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Section 21 states the mistake is "Where both parties agree to a matter of fact
which is essential to the agreement, the agreement is void".

Example: Couturier vs. Hastie

The two parties have entered into a contract to sell the corn. Both sides thought
that at the time of the contract, the corn was on a voyage from Salonica to
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England. Unbeknownst to them, a few days before the contract was formed, the
corn was sold by the ship's captain at Port Tunis as the corn began to deteriorate
due to storage.

2.2 The 'Impact of Effect'

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The effect of improper influence in reference to Section 20 of the Contract Act 1950, any
agreement entered into on an unreasonable effect, would render the agreement void at the
will of the parties concerned. The 'affected' person may recover his or her loss in
accordance with Section 66 of the Contract Act 1950. But if the party who has canceled it
has benefited from the other party to the contract, he or she must return the benefit in
accordance with the terms prescribed by the Court.
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3.0 STATEMENT FOR LIABILITY OF LAWS OF MALAYSIA

3.1 Mute is also considered Fraud

According to section 17 of the 1950 Act: "It is merely a matter of fact that a person's
readiness to enter into a contract is not a hoax".
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It is my suggestion that it is the seller's responsibility to disclose the defects and defects
of a contractual matter without the specification of the potential buyer. As such, the
seller's actions are also subject to fraud and to me fraud should be extended to safeguard
the interests of both parties.

3.2 Effect of legal error in Malaysia and abroad

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Pursuant to section 22, a contract cannot be revoked because of the invalidity of any law
in Malaysia. In the event of a misdemeanor with regard to foreign law, the effect is the
same as the error of fact, that the agreement is void.

My suggestion is that in the event of a legal error in Malaysia or abroad, the sentence
should be the same, as Malaysian law is also influenced by English common law. As this
law does not require additional double standards, one cannot assume that if they are not
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well versed in the law they will be spared the punishment. Therefore, the law needs to be
amended so that it is not a mistake for an agreement to be made.

4.0 REMEDY FOR THE CONTRACT OF THE CONTRACT

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A remedy means a right that one party can claim against another that has breached the
contract. The victim may apply for one or more remedies depending on the breach of
contract he or she is facing. We will discuss the remedies in detail below.

4.1 Damage type

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Although there is no clear indication of these damages, in the lawsuit and judgment
there are several terms including:

i) Special Damage

ii) General damages

iii) Nominal Damage

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iv) Loss of Damage

v) Exemplary Damages

The damages cannot be claimed indefinitely by the victim. If the rate of loss suffered
can be reduced by the victim, then the rate of damages will be calculated based on the
inevitable loss only.
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Specific implementation is a court order for the contract to be as specific as agreed in

the terms of the contract. Specific implementation pursuant to the Specific Recovery
Act 1950, this directive may be made either jointly or severally.

i. If there is a real or implied contract to provide the service, but payment is not
specified in the contract, then the amount paid is a reasonable sum.
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5.0 Conclusion
Overall, contract law in Malaysia is based on the Contract Act 1950. A contract is valid
and enforceable by law when it contains the necessary elements such as offer,
acceptance, consideration, intention, ability to contract and certainty. If any of these
elements do not exist, the contract may be a voidable contract or a voidagreement.
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Section 14 of the Contract Act 1950 defines "Free Will". Free will is said to be free
without compulsion, improper influence, deceit, misrepresentation and error. The detailed
description of this section is described in sections 15 to 23.

Remedies are provided to allow the injured party to claim rights against the other party
for breach of contract. The victim may apply for one or more remedies depending on the
problem they are facing. In addition, the attentiveness and responsibility of the minister
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in drafting, enforcing amendments and sections and the new provisions of the Contract
Act 1950 are greatly welcome.