Legal Issues in Business Contracts Case Study

Discover the importance of climate risk assessment and the legal implications of not adhering to climate change acts in the UK. Learn about strategies to mitigate legal risks and reduce carbon emissions in business operations.

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Business Contracts and Climate Risk Assessment Case Study

Part 1


Ellie belonged from Paris in France and got an old painting from her grandmother. Ellie's grandmother lived in London and Ellie wished to sell this painting to earn money. Therefore, she contacted Memoona through email to sell that old painting. Memoona had an art gallery in London and this could be a benefit to her to sell paintings to people. Memoona analysed that painting and assumed that it could be a painting of Rembrandt. However, she was not fully sure about this and offered Ellie 5000 Euros for that painting. Ellie agreed to sell this painting to Memoona and replied to Memoona through text message and told them that she expected to come to London next week to sell this painting. In addition, Ellie met with Herve to show that painting as Herve was an art critic and after viewing the painting Herve identified and assured the painting as a Rembrandt painting. The person also assumed that the worth of that painting could be 500000 Euros and shared this value with Ellie. Therefore, after assuring the larger value of the painting, Ellie refused to sell the painting to Memoona as per the agreed offer.

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The legal issues occurred in this case in terms of two aspects Ellie send replied to Memoona about the agreed deal and possible selling dates through text messages and another aspect was the absence of any formal written agreement between the two parties. The contract needs a binding agreement as per the rule of the UK government and this states that two or more parties need to agree with a binding agreement before completing any contract (, 2022). This also includes that a person can not comply with legal steps unless following steps of contract, control, direct costs, party transactions, open book agreement, procurement and indirect costs of a contract. Open book agreement in this act also delivers information regarding the transparent process of cost calculation and "at cost" requirements will be included in an open book agreement to ready an agreement as legal. Agreement of this related party transaction act includes norms of the agreement for products and services and discrete transactions between two or more parties. This agreement includes various planned transaction that needs to be present in an agreement to declare it as a single agreement. In addition, "the Consumer Rights Act 2015" includes rules for the installation of a contract and provides requirements for having custom-made curtains and payment details (, 2022). Therefore, Ellie can refuse the deal as no written agreement and transaction occurred between them and Ellie could not face legal issues due to this.

However, Paragraph 9 of subsection 3 in section 1, includes that agreement can be refused by providing a legal reason for refusing the agreement (, 2022). This also includes that if any party fails to submit any legal reason then the person needs to pay a penalty for refusing agreement to the other party or parties. Therefore, as Ellie agreed on the deal with Mamoon through text messages and refused the deal after knowing the large prices of that painting, she can face legal issues due to considering any further deal with Mamoon. However, if Ellie continues a further deal with Mamoon regarding this, then legal issues cannot occur in this case. In addition, after providing a new deal to Mamoon, if Mamoon refuses the new large price deal then Ellie can provide a legal reason for refusing the agreement. In this case, no legal issue will occur and Ellie will not face any issues due to this.


Memoona considered conveying an art exhibition in the gallery and scheduled for this exhibition on 2nd January 2022. Therefore, Memoona contacted ERIC Suppliers Ltd to ready the gallery to conduct a good art exhibition in the gallery. Memoona considered this contract with this supplier to complete the installation of new heating facilities in the hall room and to paint the entire hall room to develop the attraction of the gallery. The deal was finalised at a cost of approx 10000 Euros and the contractor dealt to finalise the entire contract within 27 December 2021. However, the contract was not fully ready within the mentioned timelines. In addition, Eric only completed the installation of new heat systems on 26th December and failed to complete it until 1st January 2022. The painting was not completed as per mentioned contract as the painting was the wrong type and toxic smells spread throughout the entire hall. This occurred due to a wide range of work pressures on Eric to complete the contract within mentioned timelines. Therefore, Memoona was anxious and disappointed due to this and searched hall another hall room to complete the exhibition.

However, she could not able to find out a quality hall room as one gallery refused Memoona to conduct an exhibition and one gallery provided a small space in there as the setting capacity of that hall room was 50 As a result of that Memoona considered cancelling the entire exhibition process. Therefore, in this case, the legal issue occurred due to not meeting the promise of the contract as Eric failed to complete the entire work within the mentioned time and also failed to complete the painting until the 1st of January. Therefore, a breach of contract occurred in this case and Memoona did not want to deliver payment to Eric. According to "the breach of contract law" in the UK includes that a breach contract includes non-compliance material with a legally binding contract and delivers the importance of enforcement of contracts in a binding contract (, 2022). This act includes information regarding the lack of benefits and breaches of parties and this includes that an innocent party gets the legal right to retrieve compensation due to facing loss in the contract. Therefore, Memoona can consider the legal claim in it as she faced issues in conducting the art exhibition program and was compelled to cancel the entire program.

However, Eric can claim about not have any proper written agreement between them to complete the contract. A breach of contract law also provides information regarding a contract breach and includes terms of the condition of this as this stated that if a party or parties do not meet perform perfectly as per mentioned performance, then this can declare as a breach of contract. This includes three types of performance such as defective performance delayed performance and completes non-performance. Defective performance includes the contract meeting partial performance and not meeting the standard requirements of the contract (, 2022). Delayed performance includes delays in completing activities or not completing performance as per the time limit of completing a contract. Complete non-performance includes irrelevant performance in a contract. Therefore, as per the case scenario, Eric breached all of these three as Eric partly perform the total performance in the mentioned time limit and was considered delayed in the performance as he did not complete the entire performance by the 27th of December 2021 and the wrong painting included his performance in complete non-performance breach of contract list.


Memoona decided to take steps against Eric for her loss in the art exhibition as she planned to earn a total of 500000 Euros from it. This loss occurred due to cancel the entire exhibition program. The legal step Memoona can consider in this case as the breach of contract occurred by Eric in this case. A breach contract law in the UK includes remedies to show a list of causes of action. This includes that an innocent party can have the authority to monetary compensation due to failure occurring in performance and has the right to terminate any contract (, 2022). Therefore, Memoona can terminate the entire contract and can demand compensation from Eric due to facing a loss of approx 500000 Euros. Remedies include breach of contract law as this includes compensation rather than punishment. As an illustration, this considers providing compensation as per the party's loss and includes rules for a guilty party for paying a penalty to another party.

However, suing any party for conducting breach of contract does not consider a straightforward process as this process can require a large amount of cost to continue the entire justice process and the relationship between parties can be damaged due to this (, 2022). Therefore, Memoona can face both positive and negative outcomes in this case as she needs to invest a large cost for investigation and justice in this case and her relationship with the party will get damaged due to this. However, she can get compensation for her losses after complete verification of the entire case and this can deliver a positive impact for Memoona to recover her loss. In addition, an Alternative dispute resolution process can deliver support to solve disputes regarding breach of contract and this can consider less time and cost to complete the entire verification and justice process (, 2022). Therefore, Memoona can consider the ADR process to have benefits of time and cost both by declining the court process in this case and can get compensation through this resolution process.

Part 2


The case scenario shows that Hiades Ltd. is a UK-based organisation that introduced innovative software to provide technological solutions. This technology considers delivering the facility to the administrative and operative department through an easy-to-use interface process to meet with entire pilotage requirements. In addition, a wide number of European port organisations raise demand to use this software in their business process. However, several organisations use this software without having any type of authority. Therefore, data protection is required for this organisation. Software protection processes can consider symmetric encryption and asymmetric encryption in it to protect the data of software. Symmetric encryption considers advanced encryption standard (AES) and asymmetric encryption include elliptic curve cryptography (ECC) and RSA in systems to protect software from hacking. Copyright can provide effective support in maintaining the security of software as this protection includes structure protection and sequence protection of software. Copyright law and patent law provide a wide range of protection facilities to software systems. Copyright protection includes expression, procedures and modes of operation and mathematical concepts to protect the data of software. In addition, the patent includes the invention that grants the right to provide an innovative technical solution to the systems. Copyright includes a formality-free protection process as this process does not consider any formalities and registration process (, 2022). In addition, the patient considers the analysis process through a government agency. The demand for copyright protection for software is more than compared to patents and most countries include this to protect their software.

According to Memon et al. (2007, p249), included that multi-block hashing scheme can deliver an encryption facility in the software. This includes a binary program of different independent blocks and provides encryption protection to software. Those blocks consider hash values of the previous block and according to this sequence hash value, the last block is encrypted with the second final block of this system. The primary block is not encrypted in the system and this considers a basic block. A programmed controller includes decrypting routine in it and a program controller includes the last of the program. In addition, each block includes a pointer to decrypt its prior block and consider its hash value in the program controller. Therefore while the execution of the program occurs, the basic block encrypts its prior block and the sequentially entire process will go through with the encryption process of the hash value. Obfuscation transforms can be another effective encryption technology of software. this solution-based protection approach includes transient secrets protection in programs, algorithms protection, software license management and digital watermarks protection in programs (Memon et al. 2007, p249). This also includes temper resistance through software-based processes and mobile agent protection processes to deliver effective software protection processes in the systems.

In addition, Canavese et al. (2020, p7), this research included information regarding software requirements such as primary security needs and this requirement includes non-functional elements of requirements to deliver integrity and confidentiality. Mate integrity requirements consider constraints of the code execution process and this includes various requirements in "the software development life cycle (SDLC)" to deliver protection of software and reduce the risk of software hacking. Therefore, Hiades Ltd. can consider the above-mentioned protection models and cycles to avoid the risk of hacking and leaking of software authority in public. In addition, this organisation can consider a copyright protection process to prevent unauthorised users of this software and prevent unauthorised systems to access this software.


Hiades can follow a list of software protection act in the UK as this country inlcudes "intellectual property rights" and delivers information regarding copyright, patents and trademarks in it. Copyrights include literary activities such as songs, computer programs, websites, software, code, test content, commercial documents, newsletters, articles and scripts. This includes specific rights about the activities and prohibition of unauthorised actions in it. This also includes consideration of legal action for preventing infringement and plagiarism. Trademarks also indicate the business name, design, slogan, word, design and symbol in it. This also provides information regarding R marks and TM indications to reduce confusion about customers regarding actual business products (, 2022). Patents act also provide rules and regulation for industrial and invention processes and include activities to protect unauthorised implementation in innovation. However, intellectual property includes information regarding the authority of the organisational process as this includes one or more owners of a property and having the right of selling and transferring products. Therefore, this organisation can get benefit from following these property rights in the business process to avoid software breaching cases. This can provide support to develop their business market in the US and can develop revenue for this organisation.

Part 3


Death star Group Ltd is a worldwide aerospace industry and this company considers to brings down carbon emission intension of the business. However, this company published only greenhouse gas emission data every year and did not upload the entire pollution data of the organisation. Therefore, the AGM and shareholders of this business initiated publishing entire pollution, climate change and financial information in the financial reports. However, this business provided arguments as other organisations are not provide proper information about pollution and climate change due to their business process. Therefore, this company assume that negative impacts can occur in their business process as this company has more chance of vulnerability in the business market. This organisation can face legal issues due to not considering climate risk assessment in the business process. The UK government consider risk assessments in the business process to identify organisational pollution level and development in the business process to reduce carbon emission. "Independent climate risk assessment of UK" delivers information regarding risk assessment and the climate change committee (CCC) includes these rules in the UK (, 2022). This risk assessment considers 61 opportunities and climate risks in different multiple sectors. These risks include diversification in water and terrestrial, soil health, carbon emission and its hazards, crops and climate hazards and climate change risks in the UK. Therefore, this organisation can face legal issues due to not delivering more information about climate change and risk assessment in the financial year report. In addition, business needs to play the responsibility of awarding their employees about risks associated with the organisation and delivering proper information regarding the working environment.

However, if an organisation fails to meet the criteria and fails to submit risk assessment details every year then, the company can face large fines and issues in the business process. Legal issues can occur due to breaching the approach of “the climate change act 2008" in the UK. The climate change act 2008 considers a basic approach in the business process to tackle climate change and to provide effective support through responses against climate change. This considers an approach to reduce the emission of greenhouse gases from the business process and considers adapting changes in the risk management process (, 2022). This act also considers the objectives of covering a significant reduction of emission of greenhouse gases in the UK by 2020 and follows a target to meet net zero carbon emission by 2050. The climate change act considers commitment to reducing the emission of carbon by 100% of 1990 levels by 2050. This considers the reduction of carbon in various administrations such as Scotland, Northern Ireland and Wales as these administrative countries are the reason for occurring 20% of carbon emissions in th UK. Therefore, this act also considers these countries in a net zero carbon emission approach to achieve a reduction of carbon emissions by 2050. CCRA in the UK considers the introduction of a programme named "national adoption programme (NAP)" to provide rights to the government to collect information about climate change in various organisations in the UK. Therefore, Death star group ltd can face legal issues due to breaching the climate change approach in the UK and can face penalties and bans in the business process.

However, Death star group ltd. can follow the approach of risk assessment and the climate change act 2008 and 2009 to reduce climate change risks and financial risks due to this in the business process. The NAP program can deliver support to this organisation to publish reports and to get suggestions about needed requirements to reduce carbon emissions in the business process. The climate change approach considers carbon emission reduction in different steps such as 56% by 2020, 75% by 2030 and 100% carbon emission reduction by 2045. Therefore, following this approach and considering modern technologies and processes such as the utilisation of renewable energies, consideration of non-conventional energy sources and utilisation of battery systems in electricity can reduce carbon emission in this business process. In addition, biofuels, aerodynamic designs, 3D printing of parts in aerospace and lighter engines and bug protection coatings can deliver effective support in reducing carbon emissions and financial expenses of the business process. The approach of following risk assessments and their guidelines can deliver effective support in maintaining legal formalities and activities to reduce legal issues in the business process.



Canavese, D., Regano, L., Basile, C., Coppens, B. and De Sutter, B., 2020. Software Protection as a Risk Analysis Process. arXiv preprint arXiv:2011.07269.

Memon, J.M., Khan, A., Baig, A. and Shah, A., 2007. A study of software protection techniques. In Innovations and Advanced Techniques in Computer and Information Sciences and Engineering (pp. 249-253). Springer, Dordrecht.

Websites, 2022. Your consumer rights when buying goods Available at: [Accessed on: 01/12/2022], 2022. Intellectual property rights Available at: [Accessed on: 01/12/2022], 2022. Breach of contract Available at: [Accessed on: 01/12/2022], 2022. UK Climate Change Risk Assessment 2022 Available at:,and%20species%20from%20multiple%20hazards [Accessed on: 01/12/2022], 2022. Breach of Contract Law: Legal Claims for Breach, Termination, the Consequences & the Remedies Available at: [Accessed on: 01/12/2022], 2022. Sale of Goods Act 1979 Available at: [Accessed on: 01/12/2022], 2022. A legal duty to act Available at:,20%25%20of%20the%20UK's%20emissions. [Accessed on: 01/12/2022], 2022. Copyright Protection of Computer Software Available at: [Accessed on: 01/12/2022]


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