H/W Week 2
Consider a marriage market where men come in two types: cads and lads. Lads are 60% of the
population; Cads the remaining 40%. Both types can act either nice or mean with probabilities
P(Nice|Lad) = 0.6; P(Mean|Lad) = 0.4; P(Nice|Cad) = 0.4;
Management 108 : Business Law
The 3 areas of Law :
Criminal enforced by the government not consented to.
Torts between two private parties, not enforced by government not consented to
Contracts Law of privaties and of deals, enforced by private
Why do we care about agency relationships? Because it is the fundamental concept on
which other business or other relationships are built, such as partnerships, corporations, trusts,
and the like!
An Agency relationship i
Business Law : Cours 2 : 13/01/2016 :
A mistake may make a contract voidable. Parties to a contract must have capacity, that is,
not labor under infancy, intoxication, or insanity.
Is the contract unforceable ? : Status of Limitation : Maximum period of t
01/02/2015 : UCC : Sales of Goods :
All American states except Louisiana (French Law influence), is ruled under UCC as regards
the sales of goods. It is included in their state law.
1) Is it sales of goods or is it something else ? Common law governs cont
Security Interest collateral gives administrative protection and bankruptcy protection. A
legal claim on collateral that has been pledged, usually to obtain a loan. The borrower provides the
lender with a security interest in certain assets t