Business Law July 2015 Question Paper

Exam Year:2015

Free knec college past paper

CRAFT CERTIFICATE IN SUPPLY CHAIN MANAGEMENT
CRAFT CERTIFICATE IN BUSINESS MANAGEMENT
CRAFT CERTIFICATE IN ROAD TRANSPORT MANAGEMENT
CRAFT CERTIFICATE IN PROJECT MANAGEMENT
CRAFT CERTIFICATE IN CLERICAL OPERATIONS

Exam codes:1903-204,1906-204,1909-204,1922-204,1923-204,1924-204
MODULE II
BUSINESS LAW
SECTION A ( 32 marks)
Answer ALL the questions in this section in the spaces provided after each question.
1) State two kinds of property. ( 2 marks)
2) State two types of wills ( 2 marks)
3) Explain three deductions an employer may effect from an employee’s salary. ( 3 marks)
4) Explain four duties of an agent towards his principal. ( 4 marks)
5) State four general defenses in tort. ( 4 marks)
6) Outline four parties to a bill of exchange. ( 4 marks)
7) Explain three types of contracts. ( 3 marks)
8) State three arms of the Kenya government ( 3 marks)
9) Outline three limitations of African customary law. ( 3 marks)
10) Explain four sources of law in Kenya. ( 4 marks)

SECTION B ( 68 marks)
Answer ALL the questions in this section in the spaces provided after each questions.
11. a)Explain five circumstances when collecting bank may be deemed to be negligent (10 marks)
(b)State seven essentials of a valid bill of exchange (7 marks)
12. a)Petro asks his agent Albert to sell for him a house. however before the sale, Petro terminates
Albert`s agency and instructs him not to sell the house. Albert goes and sell the house to
Titowho buys it in good faith. Petro has found out about the sale. He is aggrieved and seeks
your legal advice. Stating the legal principles applicable, advise him. (10 marks)
(b)Outline circumstances when an agent is presumed to be personally liable. (7 marks)
13. (a)Explain five characteristics of joint ownership. (10 marks)
(b)State seven duties of a lessee towards a lessor. (7 marks)
14 .(a)Mambo, an old man suffers from mental illness and poor eyesight.He has two sons,Jeff and Jack
who he orally told would inherit his property.
However, his mistress Maria, wrote a will on his behalf and convinced him to append his
Thumbprint to it.The will transfers all of Mambo`s property to Maria upon his death.
Mambo has died and his sons have discovered about Maria`s deception and are aggrieved
i. Explain the legal principles applicable
ii. Advise Jeff and Jeff (10 marks)
(b) In relation to the law of succession,explain seven factors a court may take into account before it
can make provision for a dependent.(7 marks)
15. (a)Kawira and Muna own adjacent pieces of land. Kawira`s toilet has burst and raw sewage is
seeping into Muna”s land,causing damage to his maize crop.Muna is aggrieved and seeks your
advice on whether he can take successful legal action against Kawira. Advise him. (10 marks)
(b)In relation to the law of tort, describe:
i. four ingredients of defamation; (4 marks)
ii. three ways in which slander differs from libel.(3 marks)



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