Civil liabilities, Business Law and Ethics

Assignment Help:

Civil Liabilities:

LIABILITY FOR FAILURE TO STATE ANY MATTER OR REPORT

At Common Law, a contract of allotment is not a contract Uberrimae Fidei. The company is therefore not under a legal obligation to disclose or state in its prospectus any relevant matter or report. The allottee of shares has, therefore, no remedy against the company if he bought the shares which he would not have bought had the company made the relevant disclosure. This rule has not been changed by the disclosure requirements of the Companies Act.

However, the allottee may have a remedy for an omission if the failure to state any relevant fact had the indirect effect of rendering a stated fact untrue, with S.48 (a) of the Act. For example, in COLES v WHITE CITY (MANCHESTER) GREYHOUND ASSOCIATION LTD the prospectus stated that the land to be acquired by the company was "eminently suitable" for greyhound racing. No mention was made of the fact that approval of the local council was required in order to build public stands and kennels. This was held by the Court of Appeal to be a ground for rescission by the plaintiff.


Related Discussions:- Civil liabilities

Explain the legal issue in law, WITH REFERENCE TO THE STANDARD FORM CONTRAC...

WITH REFERENCE TO THE STANDARD FORM CONTRACT (in isolation) 1. Explain the legal issue that clause 1 of the standard form contract is addressing and what it is aiming to achiev

Advantages of stare decisis - certainty and predictability, Advantages of S...

Advantages of Stare Decisis - Certainty and Predictability However the doctrine of stare Decisis includes an element of certainty and uniformity in the administration and mana

Publication of list of repeat offenders, Q. Publication of list of repeat o...

Q. Publication of list of repeat offenders ? As a part of the joint education campaign option, or separate to the education campaign, a ‘naming and shaming' approach could also

Constitutional law, Write one term paper (20 to 25 typed pages of actual te...

Write one term paper (20 to 25 typed pages of actual text). **The paper must be on a word, phrase, or clause within the U.S. Constitution. Ex. Establishment Clause, Free Exercise

Leases - voidable contracts, Leases - Voidable Contracts However a lea...

Leases - Voidable Contracts However a lease granted to an infant is binding on him unless he repudiates it then within a reasonable time after attaining the age for eighteen.

Regulations regarding experiments on animals, REGULATIONS REGARDING EXPERIM...

REGULATIONS REGARDING EXPERIMENTS ON ANIMALS : You may be aware that experiments on animals are performed in the laboratories of educational and research institutions. You should k

Domicile law of uk, Domicile law of UK However a person's domicile is ...

Domicile law of UK However a person's domicile is such country in where he either has or is deemed through law to have, his permanent home.  Hence it is the country of permane

Dormant Commerce Clause, In 2001, Puerto Rico enacted a law that requires s...

In 2001, Puerto Rico enacted a law that requires specific labels on cement sold in Puerto Rico and imposes fines for any violations of these requirements. The law prohibits the sal

Joint negotiating panel, QUESTION 1 (i) What are closed shop agreements...

QUESTION 1 (i) What are closed shop agreements and whether there are any legal remedies if such agreements do exist? (ii) Industrial relations are the relationships between

The policy process - advocacy coalitions and policy learning, The policy pr...

The policy process - Advocacy coalitions and Policy learning The mobilization of attention is what policy advocacy is primarily about. And the systematic mobilization of attent

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd