Assignment Front Sheet

Qualification

Unit number and title

Pearson BTEC Level 5 HND

Diploma Business (Accounting)

Unit 5: Aspects of Contract and Negligence for

Business Unit code: Y/601/0563
Credit value: 15 credits

Student name

Assessor name
Muhammad Suleman Afzal

Date issued

Completion date

Submitted on

Validity

Assignment title

Assignment no

05AOCANFB- Y/601/0563-13PKISL7002

Hand-in Policy
You must complete this assignment on time. If you experience difficulties, you must inform your tutor
accordingly.
Late Work Policy
Consideration will be given to students who have valid reasons for late submission (eg, illness).
Plagiarism
In cases of plagiarism, college regulations will be applied. You must declare that this assessment is your own
work by signing the following statement:

Learner declaration
I certify that the work submitted for this assignment is my own and research sources are fully acknowledged.

Student signature:Date:

Assessment Criteria
Learni
ng
Outco

LO1

LO2

LO3

LO4

Learni
ng
outco
Understand
the
essential
elements of
a valid
contract in
a business
context
Be able to
apply the
elements of
a contract
in business
situations
Understan
d
principles
of liability
in
negligence
in business
activities
Be able to
apply
principles
of liability
in
negligence
in business
situations

Assess
me nt
Criteria
1.1

In this assessment you will have

the opportunity to present
evidence that shows you are able
to:
Explain the importance of the
essential elements required for the
formation of a valid contract

Ta
s
k
1

1.2

Discuss the impact of different types

of contract

1.3

Analyse terms in contracts with

reference to their meaning and effect

2.1

Apply the elements of contract in

given business scenarios

2.2

Apply the law on terms in

different contracts

2.3
3.1
3.2

Evaluate the effect of different terms

in given contracts
Contrast liability in tort with
contractual liability
Explain the nature of liability in
negligence

2
3
3

3.3

Explain how a business can be

vicariously liable

4.1

Apply the elements of the tort

of negligence and
defences in different business situations

4.2

Apply the elements of vicarious liability

in given business situations.

Evidenc
e (Page
no)

In addition to the above PASS criteria, this assignment gives you the opportunity to submit evidence in order to achieve the following
MERIT and DISTINCTION grades
Grade Descriptor
M1 Identify and apply strategies to
find appropriate solutions

Indicative characteristic/s
Effective judgements have been made.
An effective approach to study and
research has been applied.

M2 Select / design and apply

appropriate methods / techniques

Contextualisation
To achieve M1, you will identify and apply strategies to
find appropriate solutions
(Task 1)
To achieve M2, you will have select/design and
apply appropriate methods/techniques

Appropriate learning methods/techniques

have been applied.

To achieve M2, you will have select/design and

apply appropriate methods/techniques
To achieve M2, you will have select/design and
apply appropriate methods/techniques
To achieve M2, you will have select/design and
apply appropriate methods/techniques
(Task 1,2, 3, 4)

M3 Present and communicate

appropriate findings
Communication is appropriate for familiar
and unfamiliar audiences and appropriate
media have been used.

To achieve M3 the work you present will be presented in

suitable business formats and will use business
terminology accurately.
To achieve M3 the work you present will be presented in
suitable business formats and will use business
terminology accurately
To achieve M3 the work you present will be presented in
suitable business formats and will use business
terminology accurately.
(Task 2, 3,4)

D1 Use critical reflection to evaluate

own work and justify valid conclusions

D2 Take responsibility for managing

and organising activities

Conclusions have been arrived at through

synthesis of ideas and have been
justified.
Realistic improvements have been
proposed against defined characteristics
Activities have been managed.

To achieve D1 you will have use critical reflection

to evaluate own work and justify valid conclusions
(Tasks 1)
To achieve D2 you will have demonstrated an
effective approach to independent research and study
and will have met the deadline to submit the tasks and
achieve the unit assessment criteria.

To

Achieve D2
autonomy/independence
been demonstrated
To Achieve D2
autonomy/independence
been demonstrated
(Tasks 2,3,4)

has
has

D3 Demonstrate convergent /lateral

/ creative thinking
Please note that for unit assignments assessors should use these or other exemplar indicative characteristics for the individual grade
descriptors from Annexe C of the HN specification or any other relevant indicative characteristics for the particular assignment. The
indicative characteristic should then be contextualised. Only one indicative characteristic per grade descriptor, M2, M2, M3, D1, D2, D3 is
required.

Assignment brief
Unit Name number
and title

Unit 5: Aspects of Contract and Negligence for

Business Unit code: Y/601/0563
Credit value: 15 credits

Qualification

Pearson BTEC Level 5 HND Diploma in Business (Accounting)

Start date

7 October 2013

Deadline/hand-in

Assessor

Salman Haider

th

th

November 2013

Assignment title

You are an internee at Legis Inn, a famous corporate consultant, and are required to report
on the following scenarios as per the task mentioned in Part A and Part B below, your report
will help clients to understand the law on contract and tort.
Part A- Scenario1
th

Car dealer Raza Shabaz sends a telex to Yayha on 12 October at 9:00 am on Thursday. Offering
to sell him a special vintage Ferrari 250 Testa Rossa car for 80,000 GBP.
Yayha receives the telex at 9:15 am and sends back his acceptance at 2:00 pm.
Yayha is aware that Razas office is closed for lunch break between 2:00 to 3:00 pm.
Raza on his way back to the office does not bother to check that he has received a telex from Yahya.
At 3:30 pm he accepts an offer from Toyota.
At 4:30pm Yayah hears from Shahzad- another car dealer that Raza has sold the car to Toyota. He
advised that it will cost him an additional 2000 to buy a similar car and he immediately sends
Raza another telex demanding that the original car be sold to him.
Raza receives this telex at 6:00 pm, and at the same time as he reads the acceptance
telex. Part A- Scenario 2
Amjad Ltd had used the services of Lahore Transport Ltd for a number of years. On this occasion,
the managing director of Amjad Ltd telephoned the offices of Lahore Transport Ltd and arranged
for the Lahore Transportation of some expensive machinery to a customer. Lahore Transport Ltd
confirmed the order by sending a notice to this effect. Unfortunately, due to driver error, the
vehicle carrying Amjad Ltd's equipment crashed and the equipment was badly damaged. Lahore
Transport Ltd has advised Amjad Ltd that it intends to rely on the following clause:
'Lahore Transport Ltd will not accept any liability for loss or damage caused to customers'
property during Lahore Transportation, no matter how the loss or damage was caused. Customers
are advised to take out their own insurance.'
Lahore Transport Ltd has pointed out that the clause appears in a notice prominently displayed
outside the entrance to the company's offices, and is reproduced on the back of all invoices,
receipts and confirmation of order notices issued by the company.
You are required to:

Task 1 (LO1: 1.1, 1.2, 1.3 and M1, M2, D1)

1. Explain the importance of the essential elements required for the formation of a valid contract
2. Discuss the impact of different types of contract
3. Analyse terms in contracts with reference to their meaning and effect
To achieve M1, you will identify and apply strategies to find appropriate solutions
To achieve M2, you will have select/design and apply appropriate methods/techniques
To achieve D1 you will have use critical reflection to evaluate own work and justify valid conclusions
Task 2 (LO2: 2.1, 2.2, 2.3, and M2, M3, D2)
1

Apply the elements of contract in given business scenario

Apply the law on terms in different contracts

Evaluate the effect of different terms in given contracts

To achieve M2, you will have select/design and apply appropriate methods/techniques
To achieve M3 the work you present will be presented in suitable business formats and will use
business terminology accurately.
To achieve D2 you will have demonstrated an effective approach to independent research and study
and will have met the deadline to submit the tasks and achieve the unit assessment criteria.

Part B - Scenario1
Amjad is the audit partner of Accountants4U and regularly advises on takeovers. He was asked to
speak at a board meeting of IBL Ltd which was planning a takeover of Alexander Ltd (a client of
Amjads's) as the latest audit report showed very good profits. During the meeting she said that
she absolutely stood by the results of Alexander Ltd which she had signed off.
The takeover went ahead, but soon after IBL Ltd found that Alexander Ltd was in fact close to
insolvency rather than being profitable. It is now looking to sue Accountants4U for negligence
Part B Scenario2
Aslam was a truck driver employed by Lahore Waste Management Company to port the wastages
collected to the dumping site away from Lahore city every morning. However company outlined a
proper code of conduct for driving such trucks to ensure public safety. One morning while carrying
wastages to dumping site, Aslam drove truck so negligently and rashly that truck struck a person
jogging on track alongside the road. Lahore waste management company is sued for vicarious
liability.
You are required to:
The above case gives you a brief overview of a specific business situation. You are required to
write a report on the following with relevant examples to illustrate the key concepts wherever
required.
Task 3 (LO3: 3.1, 3.2, 3.3, and M2, M3, D2)
1

Contrast liability in tort with contractual liability

Explain the nature of liability in negligence

Explain how a business can be vicariously liable

To achieve M2, you will have select/design and apply appropriate methods/techniques
To achieve M3 the work you present will be presented in suitable business formats and will use
business terminology accurately.
To Achieve D2 autonomy/independence has been demonstrated
Task 4 (LO4: 4.1, 4.2 and M2, M3, D2)
1. Apply the elements of the tort of negligence and defenses in different business situations.
2. Apply the elements of vicarious liability in given business situations.
You are required to produce a business report fulfilling all the above requirements.
To achieve M2, you will have select/design and apply appropriate methods/techniques
To achieve M3 the work you present will be presented in suitable business formats and will use
business terminology accurately.
To Achieve D2 autonomy/independence has been demonstrated

Eviden
ce
checkli
Task 1

Summary of evidence required by student

Report on understanding of essential elements of a valid contract in a
business context

Task 2

Report on application of element of contact and law term in different

contracts

Task 3

Report on understanding principles of liability in negligence in business

activities

Task 4

Report on Application of principles of liability in negligence in business

Evidenc
e
present