Business 311 Final Essay
Business
Introduction
Joe started his demolition company without apparent papers to legitimize the business. However, Joe’s with an advice of a friend did not comply with the required papers for business proceeded with his first job. Apparently, a fatal mistake occurred were Joe demolished the wrong customer’s house, which puts him and his business in a legal conundrum. The discussion will examine the three legal problems that Joe is facing as a result of not having business legitimacy and wrong job done.
Joe’s business is primarily involved in a contractual job, which makes him a contractor and in this nature that makes contract vital in the process of transacting job orders with clients. However, this vital part was undermined, hence, the violation of contract law has been committed by Joe. In the case of Joe, he entered into a unilateral contract, which requires him to accomplish a job in return for an agreed payment. Unfortunately, there was no contract involved in the demolition request, which necessary to protect the interest of both the client and Joe. Contracts don’t have to be in writing as the Courts recognize the merits of an oral agreement provided that the statute of fraud is not implied in the case (Judicial Education Center, N.D.). Since Joe failed to comply with the conditions of the request and ultimately because Joe demolished the wrong house, he is a breach of contract with the client. In this regard, the client is entitled to a relief or a remedy in a form damages, restitution, or specific performance.
Business Law
Joe entered into a sole proprietor business, which do not require formal creation. However, a sole proprietor business is defined as legally no separate existence from the owner, hence, the losses and income are taxed according to Joe’s individual income tax return. In this regard legal compliance are necessary such as filing Schedule SE with Form 1040 (FindLaw, 2016). Furthermore, the sole proprietorship business will subject Joe to liabilities arising from the activities of the business operations. In addition, registration of the business should protect Joe’s interests including the name of the business or any trade secrets that, patents, and copyright that he might need to protect from infringement (Eisenberg, 2008). The same goes with the house that Joe demolished by mistake, the property is subjected to the provisions of the patent law, which provides that the owner of the property is protected from acts resulting to the defiling of the property (Chernoff and McClung, 2008).
Consumer Law
Most importantly, Joe is violation of the consumer law, which when the client and Joe being the seller entered into a transaction can enforce their rights and are subject to fulfill their obligations. In sale of goods or in this case a demolition service by Joe, the client is entitled to certain rights and responsibilities, and it should be determined by a contract. Under the law, the client has the right to revoke acceptance of the result of the contracted service from Joe and the client has the right to claim for damages, which is calculated between the contract price and the market price of the demolished property (Judicial Education Center, N.D.). Furthermore, the violation of the consumer law also asserts the responsibilities of the service provider (Joe) in terms of providing remedies as also indicated in the mandatory relief in the contract law in cases when a breach of contract has occurred.
Conclusion
Joe’s decision to undermine the need for business formality appears to put him in in violation of certain legal boundaries. It is imminent that Joe needs to address the problem of the mistakenly demolished property by providing remedy
References
Chernoff, V. & McClung, S. (2016). Patent Law You Can Use, Part 2 - FindLaw. Findlaw. Retrieved 29 May 2016, from http://corporate.findlaw.com/litigation-disputes/patent-law-you-can-use-part-2.html
Eisenberg,. (2008). Patent Law You Can Use, Part 1 - FindLaw. Findlaw. Retrieved 29 May 2016, from http://corporate.findlaw.com/intellectual-property/patent-law-you-can-use-part-1.html
FindLaw,. (2016). Business Organizations - FindLaw. Findlaw. Retrieved 29 May 2016, from http://corporate.findlaw.com/corporate-governance/business-organizations.html
Judicial Law Center,. Contract Law — Judicial Education Center. Jec.unm.edu. Retrieved 29 May 2016, from http://jec.unm.edu/education/online-training/contract-law-tutorial
