Mercantile Law CSS Syllabus | FPSC Topics & Marks

Mercantile Law FPSC syllabus

MERCANTILE LAW (100 MARKS)

I. Law of Contract, 1872

• Definitions
• Essentials of a valid contract (Proposal, Acceptance, Consideration, Free consent, Capacity of Parties, Not hereby declared to be Void)
• Kinds of Contracts (Valid, Void, Voidable, Not Voidable)
• Variety of Contracts (Contingent, Quasi, Bailment, Pledge, Indemnity, Agency)
• Performance of Contract, contracts that need not to be performed.
• Breach of contract, consequences of breach, damages for breach of contract.

II. Sales of Goods Act, 1930

• Definitions
• Differences: Sale & agreement to sell, conditions and warranties, express & implied conditions.
• Doctrines: Caveat emptor, Nemo dat
• Right and duties of seller & buyer, rights of unpaid seller.

III. Partnership Act, 1932

• Definitions
• Essentials of partnership
• Kinds of partnership (partnership at will, particular partnership, limited partnership)
• Rights and duties of Partners
• Relation of partners to third persons (implied authority of partner, doctrine of holding out)
• Incoming and outgoing partners (minor)
• Dissolution of firms (compulsory, by agreement, by court, by notice on happening of contingencies)

IV. Negotiable Instrument Act, 1881

• Definitions
• Types of negotiable instruments (Cheque, bill of exchange, promissory note)
• Parties to instruments, holder & holder in due course
• Rules (as to negotiation, presentment, payment & interest, discharge, noting and protest, compensation, acceptance, payment for honour)
• Special rules of evidence
• Special provisions relating to cheques & bills of exchange (dishonor, duties of banker)
• Provisions as to foreign instruments

V. Competition Act, 2010

• Definitions
• Prohibition and abuse of (dominant position, certain agreements, discipline, marketing practices)
• Approval of mergers
• Competition commission of Pakistan (established, composition, term)
• Functions and powers of commission
• Provisions as to penalty and appeals.

VI. Electronic Transaction Ordinance, 2002

• Definitions
• Recognition and presumption of electronic transactions (writing, signature, stamp duty, attestation etc.)
• Electronic documents (attribution, acknowledgement, time and place of dispatch)
• Certification of service providers
• Application to acts done outside Pakistan
• Offences & Nature (false information, false certificates, damage to information system etc)

VII. The Arbitration Law in Pakistan

• Definitions
• Appointment, number and removal of arbitrator
• Award by arbitrator
• Powers of court upon award (remittance, modification and setting aside of award)
• Types of arbitration (with or without intervention of court)
• Stay of legal proceedings in presence of arbitration agreement

VIII. Consumer’s Protection Act, 2006

• Definitions
• Consumer Commission (establishment, powers and functions, complaints before commission and disposal)
• Provisions as to compulsory recall of goods
• Duties and liabilities of provider of goods (return and refund of goods)
• Offences and penalties
• Contract between consumer and provider

IX. Companies Ordinance, 1984

• Definitions
• Types of Companies
• Fundamental papers of company (Memorandum of association, articles of association, prospectus)
• Transfer of shares and debentures
• Management and administration (promoters, share holders, directors, chief executive, auditors)
• Meeting’s and proceedings (statutory, general, annual general meeting)
• Winding up (voluntary, by court)

X. Electronic Fund Transfer Act, 2007

• Definitions
• Payment system and their operation (designation of payment system & revocation, real time gross settlement system, governance & operation arrangement)
• Payment instruments (designation, issuing and prohibition of instruments)
• Clearing and other obligations
• Supervisory Control of state bank
• Documentation of transfers
• Notification of error and liabilities of parties
• Law relating to action before court.

Suggested readings

1. Law of Contract Agarwala, M. Mehmood
2. Sales of Goods Act Pollock & Mulla
3. Bare Acts: Government of Pakistan i) Contract Act, 1872 ii) Negotiable Instrument Act, 1881 iii) Sale of Goods Act, 1930 iv) Companies Ordinance, 1984 v) Arbitration Act, 1940 vi) Competition Act, 2010 vii) Electronic Transactions Ordinance, 2002 viii) Consumers’ Protection Act, 2006 ix) Electronic Fund Transfer Act, 2007
4. Case Law Reading i) Carlil vs. Carbolic Smoke Ball Co. (1893) 1 QB 256 ii) Pharmaceutical Society of Great Britain vs. Boots Cash Chemicals Ltd. (1952) 2 QB 795 iii) Curie vs. Misa (1875) LR 10 Ex 153 iv) Byrne & Co. vs. Van Tienhaven & Co. (1880) 5 CPD 344 v) Mohri Bibi vs. Dharmodas Ghose (1903) 30 IA 114 vi) Derry vs. Peeks (1889) 14 App. Cas 337 vii) Mannu Singh vs. Umadat Panday (1890) 12 ALL 523 viii) Coggs vs. Bernard (1703) 2Ld Raym 909 ix) Lumley vs. Wanger (1852) EW HC (Ch)J 96 x) Manni Devi vs. Ramayan Singh AIR 1985 Pat. 35 xi) Lachhman Joharimal vs. Bapu Khandu (1869) 6 Bombay High Court Reports 241 xii) Mischeff vs. Springett (1942) 2 KB 331 xiii) Watson vs. Coupland (1945) 1 All ER 217 xiv) Ashbury Railway Carriage & Iron Co. Ltd. Vs. Riche (1875) LR 7HL 653 xv) Lee vs. Lee’s Air Farming (1960) 3 All ER420 xvi) Salomon vs. A. Salomon & Co. Ltd. (1897) AC 22 xvii) Royal British Bank vs. Turqnand (1856) 6 E&B 327 xviii) Ram Raja Ram vs. Dhirba Charan Jen AIR 1982 Ori 264 xix) Badridas Kothari vs. Megraj Kothari AIR 1967 Cal 25 xx) Hitachi Ltd. & others vs. Rupali Polyester & others (1998 SCMR 1618) xxi) Marflower Theatre Trust Ltd. Vs. HMRC (2007) STC 880 xxii) Pickering vs. Bux (1812) 15 East 38 xxiii) Liaqat Islam vs. State (2011 YLR 2280) xiv) Alamgir Khalid Chughtai vs. State (PLD 2009 Lahore 259) xv) United States vs. Forty Barrels and Twenty Kegs of Coca Cola, 241 U.S. 265 (1916) xvi) Hedley Byrne & Co. Ltd. Vs. Hella & Partners Ltd. (1964) AC 465

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