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BBM204/05 Business Law TMA 2 Semester 1, 2018

Answer ALL questions.
1. (a) In relation to the law of insurance, explain the term “contracts of indemnity”. Support explanation with examples. (8 marks)
(b) Explain the meaning of “contract of sale”. (12 marks)
2. (a) Describe the various classifications of agents. (20 marks)
(b) Aaron acted as an agent and purchased some goods on behalf of Martin at RM100,000. Later, seller of goods was informed by Martin’s wife that her husband passed away. George then offered the seller RM200,000 for the same goods.
Can seller sell to George, or is seller bound to sell to Aaron? State the legal implications. (20 marks)
3. Donald bought a car from Robert and used it for four months before discovering that it had been stolen. Donald then had to hand over the car to the true owner.
Advise Donald whether he could recover the full amount he had paid from Robert even though he had used the car for four months.
(20 marks)
4. (a) Explain the conditions and warranties which are to be implied in every hire-purchase agreement. (10 marks)
(a) Describe the rights of a hirer under the Hire Purchase Act 1967.
(10 marks)


It covers knowledge acquired from Unit 3 and 4

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