This study note provides a comprehensive overview of the basic law understandings that all engineers should know. This should help you understand what goes on in a real-life engineering situation
Law Notes
Contents
1. Contract Law ............................................................................................................................................................. 1
1.1.1 Components to a Contract ........................................................................................................................ 1
1.1.2 Breach of Contract .................................................................................................................................... 3
1.1.3 Frustration................................................................................................................................................. 4
1.1.4 Misrepresentation..................................................................................................................................... 5
1.1.5 Duress and Economic Duress .................................................................................................................... 5
1.1.6 Undue Influence: ....................................................................................................................................... 7
1.2 Past Questions .................................................................................................................................................. 8
2. Intellectual Property Law ........................................................................................................................................ 10
2.1 Confidentiality ................................................................................................................................................. 10
2.1.1 Copyright ................................................................................................................................................. 11
2.1.2 Moral Rights ............................................................................................................................................ 11
2.2 Trade Marks .................................................................................................................................................... 11
2.2.1 Common law tort of passing off.............................................................................................................. 12
2.2.2 Registered Trademarks ........................................................................................................................... 13
2.3 Patents ............................................................................................................................................................ 14
2.3.1 Patent Act 1977....................................................................................................................................... 15
2.3.2 The Application Procedure...................................................................................................................... 15
2.3.3 Search and Examination — Patent Act Rules 1977 ................................................................................. 16
2.3.4 Validity .................................................................................................................................................... 16
2.3.5 Granting Criteria...................................................................................................................................... 17
2.3.6 Infringement ........................................................................................................................................... 18
2.3.7 Defences.................................................................................................................................................. 19
2.3.8 Exhaustion of Rights ................................................................................................................................ 20
2.4 Past Questions ................................................................................................................................................ 20
3. Tort .......................................................................................................................................................................... 21
3.1.1 Negligence ............................................................................................................................................... 22
3.1.2 Duty of Care ............................................................................................................................................ 22
3.1.3 Negligent Misstatement.......................................................................................................................... 22
3.1.4 Nervous Shock......................................................................................................................................... 22
3.1.5 Breach of Duty......................................................................................................................................... 23
3.1.6 Causation................................................................................................................................................. 23
3.1.7 Remoteness............................................................................................................................................. 23
3.1.8 Extent of Injury ........................................................................................................................................ 23
3.1.9 Remedies ................................................................................................................................................. 23
,1. Contract Law
English law: Is a common law jurisdiction with a long history of a single standard of law common to the whole land.
The emphasis is on organic development of law through real cases in court. These then (depending on the position
of the court in the hierarchy), become binding on future cases of ‘like facts ‘(from cases we have looked at we know
the care and thought that has to be given to the issue of ‘like facts’
Contract is an agreement giving rise to obligations which are enforced or recognised by law, legal obligations based on
agreement of contacting parties, freely entered into freely negotiated
Judge made law – law from like cases material facts compared to previous cases and some judgement made
Why enter into a contract – facilitate exchange made bargains, plan commercial relations, provide certainty (avoid
dispute or provide framework for settling disputes)
Civil Law: In the civil law an action is brought by the individual who feels that they have suffered and the action is
brought against the party they see as having done them wrong. Any sum of damages identified as payable by the
court goes to the party bringing the action.
Criminal Law: In criminal law the rules are set out by society for all our benefit with any fines imposed in relation to
an infringement being paid to the state.
Public Law – Public sector undertaking public functions
Private Law – But even public sector must enter private contracts – hospitals buying paper and pens
Privity – Generally only parties to the contract can enforce it in court, reflects personal interest in contract
Contract may be assigned (passed on) as property and so becomes propriety interest
Contracts are common law not equity
Judge made law is rule based = certainty, Equity (discretionary) use courts discretion to address injustice
Contract law is generally rule based but equity is significant in some pockets
• Estoppel – contract exists without consideration
• Specific Performance
In common Law strength of an authority will depend on it having like facts to the case in hand, generally that is was
decided in a higher court
Question of what amounts to like facts is not always easy
There are no standard terms and conditions
Cases: Because the common law relies on real cases going before the courts in order to develop or refine the legal
position, lawyers refer to those cases as authority (evidence) of the legal position.
Statue: Also referred to a Acts of Parliament, or Legislation. This represents a designed solution to a problem with
the law and is provided by Parliament. Contract law is largely governed by case law, but there are Acts of Parliament
which are relevant to the area eg Unfair Contract Terms Act 1977.
Contract law is civil not criminal
Contracts me be written or oral except for in the case of land
1.1.1 Components to a Contract
Offer: Things that are less than an offer include: price lists, advertisements, window shop displays (shopkeeper
retains the right to say no to age specific goods) etc.
Intention to create legal relations - made to one person group or the whole world
Unilateral offer only accepted once the party does a certain performance, you do this and we will pay you
Bilateral contracts are where two or more parties promise to do something
Advertisement only an invitation to treat but can form a unilateral offer if is in sufficient detail to form basis of a
contract and communicate a willingness to be bound
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, Invitation to tender – essentially an invitation for other parties to submit offers
Note if invitation to tender promises to remain open for a period of time parties have right for their tender to be
considered
At an auction bids constitute offer auctioneer may choose to accept, but auction is an offer if advertised with no
reserve price
Acceptance: Must be absolute and unconditional assent. Attempt to counter offer is a rejection of the offer. Mere
silence (saying and doing nothing) is not enough. Must be communicated to the part making the offer and will not be
effective until then.
➢ Postal Rule: A rule of contract law that makes an exception to the general rule that an acceptance is only
created when communicated directly to the offeror. An acceptance is binding and the contract is said to be
perfected when the acceptor places this acceptance in the mail box for return mail even if, in fact, it never
reaches the offeror.
Counter offer kills the original cannot go back and accept the original offer without it being remade
Conduct may constitute acceptance
Offer may be terminated at any point until acceptance
Offer will lapse after reasonable time – what public may consider reasonable, or on the failure of a condition precedent
(item/service is substantially different from when the offer was made) protects against substantial changes in an item
Consideration: “The price for the promise” pollock, something of value in the eyes of the law but not necessarily
cash. Doesn’t need market value.
Law will not enforce gifts
Must be sufficient but no necessarily adequate
Performance of an existing public duty generally not consideration
Performance of an existing contractual duty generally not consideration
Exception for – specialty contracts by deed (documents made under seal) (gift within a deed may be enforced)
Intention to Create Legal Relations: Generally, business context = intention presumed and social/ family context =
no intent presumed. In each case the presumption may be rebutted by evidence to show that the contrary is true.
Child with learning disability generally cant give intention
Assessed objectively
Certainty: The less certain the facts/ law, the greater the likelihood of dispute (although only certain types of
contracts are required in writing). The courts may imply a term because of practise in the geographical area or
industry, or in the light of consistent and repeated previous dealings. Also, the courts may imply a term on the basis
of the ‘officious bystander’ test. i.e. it would have been so obvious that a term had been assumed.
Terms of a contract must be clear
Only certain types of contract must be in writing (land) but more significant the contract more sense there is in putting
it in writing
Contract may not be enforceable due to lack of certainty, unless its been performed for long period of time would be
wrong to decided no contract existed
Content of a contract – Express terms – contained in the offer, Implied terms – court may retrospectively imply terms in
a contract (not simply to make fair but if its not fair to do so will not imply a term)
Will imply if its common practice in the geographical area or industry, in light of consistent or previous dealings,
‘officious bystander’ test so obvious that a term has been assumed
Exclusions and limitations clauses: in addition to positive obligations contracts may also include terms excluding or limiting
liability (must be within contract not at end), may agree to exclude or limit liability in certain circumstances, requires very careful
wording to be done properly
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