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Commercial Law 1 Question Paper

Commercial Law 1

Course:Bachelor Of Laws

Institution: Kenyatta University question papers

Exam Year:2013

KENYATTA UNIVERSITY
UNIVERSITY EXAMINATIONS 2013/2014
FIRST SEMESTER EXAMINATIONS FOR THE DEGREE OF BACHELOR OF LAWS
LCC 309: COMMERCIAL LAW 1
Date: Monday, 9th December 2013 Time: 3.00 p.m. – 5.00 p.m.
INSTRUCTIONS:
1) Answer question ONE and any other TWO relevant questions.
2) Support your answer with relevant case law, statutes and any other relevant references.
3) Write neatly and legibly.
4) Your answer sheet must bear your student registration number.
5) Do not write on the question paper.
QUESTION ONE (COMPULSORY)
Ben owned a Jaguar which he entrusted to Sam to do some repairs to it. Sam did not do so but instead used it for his purposes and had a crash in it. Without any authority Sam sold the car in its damaged state for Kshs. 3,000,000/- to Hellen, an innocent purchaser. Ben has sued Hellen for the vehicle.
Give a well-considered decision setting out the principle involved in the case, with the aid of case law and statutory provisions, assuming that all submissions have been made. (30 marks)
QUESTION TWO
John, authorised by George to buy tea at a given price, exceeded his authority and bought at a higher price from Phillip. John bought in his own name, but intended to buy for George. George agreed with John to take the tea at the price, but failed to take delivery. Phillip has sued George. On the above facts, determine the case using decided cases while setting out the requisite conditions in scenarios of this nature. (20 marks)
QUESTION THREE
Discuss, using appropriate case law, the concept of authority with regard to agency relationships.
(20 marks)
QUESTION FOUR
Although Section 16 of the Sale of Goods Act provides that there are no implied conditions or warranties as to the quality of goods, both Section 14 and 16 expressly imply into every contract for sale of goods specific conditions and warranties in addition to those expressly agreed by or implied from the conduct of the parties.
Discuss these implied conditions and warranties and demonstrate how the exceptions to the rule of caveat emptor mitigate an otherwise draconian rule that threatens the interests of the buyer.
(20 marks)
QUESTION FIVE
Write explanatory notes on ALL of the following:-
i) Circumstances that give rise to agency of necessity. (5 marks)
ii) Statutory presumptions as to the intention of the parties to a contract of sale. (5 marks)
iii) Duties of an agent. (5 marks)
iv) Circumstances under which lien is available and lost. (5 marks)

Commercial Law 1 Question Paper

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