Exam in Business Law

BUSINESS LAW 302

NAME:




Final Exam, April, 2021


Please answer all questions on the Question Sheet.


10 Marks
1 Steve intends to purchase a newly constructed house in Stratford for $400,000.00. He is not using a realtor but has come to you as his lawyer to ask about the steps involved in the purchase? He is approved for a mortgage in the amount of $300,000.00. He is wondering about your role as a lawyer. He has asked whether you would draft the purchase agreement. He has asked if a title search necessary and if so, what constitutes a good chain of title. Please explain the role of the lawyer in this transaction, indicate whether HST is applicable and what documents would be prepared by you as a lawyer to accomplish this purchase. Also, please answer Steve’s questions regarding the title search and chain of title.
The role of the lawyer is to ensure all the conditions are met before the client signs the purchase agreement. The lawyer reviews all the necessary documents to eliminate any legal hurdles. They also review any municipal and provincial taxes on the property. The lawyer can also draft the purchase agreement which is a legally binding contract that a buyer and seller sign. Other documents the lawyer would prepare include: mortgage documents, transfer of title deed document, and bill of sale. To complete this real estate transaction, a lawyer must conduct a title search. This is a necessary action since it evaluates public records to ensure there are no claims against the property and confirms legal ownership. It ensures a clean real estate transaction is conducted and a buyer avoids any future unexpected issues. A good chain of title takes a historical view by tracing the ownership of the house including the land from the original owner to the current owner. This will show all the paperwork involved in the transfer of ownership and will guarantee that the seller is the legal owner of the property. In this case HST is applicable because Steve is buying a newly constructed home and this type of tax is charged on new property.
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15 Marks
1 Scott has written a self-help book entitled “How to Survive the Carona Vires in the Year 2021". He has asked you to explain the law relating to copyrights. Do they have to be registered. What is a copyright? Is it a federal or provincial law? How long do they last? He also has a idea for a life coaching, yoga and meditation business called “Peace Out” that he thinks he could franchise. Please explain how Trademarks are used in relation to franchises. What is a Trademark? How long do they last and how are they registered?
Copyright is legal right granted to an individual over their publication. This provision gives original owner of a literary or artistic production the legal authority to prevent anyone from reproducing their work. So, Scott has sole ownership of this self-help book and no one can copy his work without his permission. Copyright is an automatic provision for the author of a work and doesn’t need any registration. It falls under federal jurisdiction and the right covers the lifetime of the author plus an additional 50 years after their death.
Trademark...