Introduction to Law

1 Corporate Law (MGT 612) VU Copyright Virtual University of Pakistan 1 Lecture 1 Introduction to Law What is Law ? To answer the question, the following definitions are discussed:- Austin s definition of law John Austin is a renowned British jurist of 19th Century. He published extensively on the philosophy of law. He was Professor of Jurisprudence in the University of London (now University College London) 1826-33. His book: The Province of Jurisprudence determined was very popular. He gives the following definition of law: Law is the command of the sovereign Command (Order) Sovereign (Ruler) Thus it may be stated that law is the order of the ruler. Simple definition of law Law is the right of one, obligation of the other, maintained by law enforcing authority Right (Sheltered and recognized interest) Obligation (Duty) Maintained (Managed) Enforcing authority (Implementing power) Thus it may be stated that law is the sheltered and recognized interest of one, duty of the other managed and controlled by law implementing power.

2 Additional information Kinds of sovereign: De-jure sovereign (Constitutional ruler) De-facto sovereign (Unconstitutional ruler) Aristotle defines constitution as, A constitution denotes not only an arrangement of office, but, a manner of life. Aristotle s definition of law Law is the experience, developed by reason and reason, tested by experience . Experience (=Knowledge) Reason (= Rationale) Tested (=Checked) Thus it may be stated that law is the knowledge, developed by rationale and rationale, checked by knowledge. Corporate Law (MGT 612) VU Copyright Virtual University of Pakistan 2 Relevant Quotation: Experience is a very hard teacher she gives the test first, the lesson afterwards . Classical definition of law Law is the dispassionate reason and its content is the same as that of morality. Dispassionate (=Unemotional) Reason (= Rationale) Content (=Substance Why laws are made? Laws are made to regulate human actions.)

3 Advantage of law The supreme advantage of law is peace and harmony. Law governs both the ruler and the ruled. What is justice? Justice means every man given his legal right. Relevant quote on relationship of law and justice: Justice is an ideal like truth just as a sculptor tries to achieve beauty with his mallet and chisel, so law is the tool of a judge in the pursuit of justice. Ideal (Model) Beauty (Splendor or Prettiness) Mallet (Hammer) Chisel (Shape) Tool (Instrument) Pursuit (Search) Thus justice is a model like truth just as a sculptor tries to achieve prettiness with his hammer and a shape so law is the instrument of a judge in the search of justice. What are the kinds of justice? Justice is of two kinds: Natural justice Legal justice Natural justice deals with the enforcement of rights and punishments of wrongs according to moral standards as appeal to the mind of human being. It stands independent of recognition by state.

4 Legal justice denotes justice according to what the law declares to be just (=right). Legal justice may be divided in to the following kinds: a. Private justice b. Public justice a. Private or personal justice is what the person whose right is violated wants from the counter party. Corporate Law (MGT 612) VU Copyright Virtual University of Pakistan 3 b. Public or community justice is what a plaintiff demands and receives from the community through court if his counter parties have denied him personal justice. Private Justice is the object for which the public justice exists. (a) Civil justice (b) criminal justice The two kinds of public justice can be well understood by understanding their points of difference: Sr. Points of Difference Civil Justice criminal Justice 1 Nature of Wrong Wrong (breach of one s legal duty) Nature (Character) Civil justice is dispensed for private wrongs. Private wrong (breach of right of individual) Dispense (to give out) criminal justice is dispensed for public wrongs.

5 Public wrong (breach of right of community) Dispense (to give out) 2 Purpose The purpose of civil justice is to compensate the aggrieved party. Compensate (Reimburse) The purpose of criminal justice is to punish the offenders Offenders (Wrong doers) Punish (=Penalize) 3 Procedure For civil justice civil procedure is adopted. For criminal justice criminal procedure is adopted. 4 Nature of Court Civil justice is administered by Civil Courts. criminal justice is administered by criminal Courts. 5 Degree of Harmfulness Civil wrongs are relatively less harmful for the society. criminal wrongs are relatively more harmful for the society. 6 Style of Titling Civil cases are titled as Bashier versus Nazier criminal cases are titled as State versus Bashier 7 Relevant Procedural code The relevant procedural code is The Civil Procedure code , 1908. The relevant procedural code is The criminal Procedure code , 1898.

6 8 Prosecution In civil justice, government does not prosecute the case. In criminal justice, government prosecutes the case. 9 Measuring the liability In civil cases in determining the liability, the following factors are irrelevant: (1) Motive (2) Intention (3) Magnitude of the offense (4) Character of the offender. criminal liability is measured by keeping the following in view: (1) Motive (2) Intention (3) Magnitude of the offense (4) Character of the offender. Corporate Law (MGT 612) VU Copyright Virtual University of Pakistan 4 Who makes laws? Laws are made by super human wisdom. In modern political state they are made by Parliament. What is Parliament? The Supreme legislative body of a country is called Parliament . The parliament of Pakistan consists of National Assembly, Senate and President. Concept of supreme law (A Latin Physiology about law) Salus est poupli suprema lex (Latin Maxim) Salus (Welfare) est (is) Populi (People) Suprema (Supreme) Lex (Law) Thus it means welfare of people is the supreme law.

7 What law is considered effective law? Law that has the following characteristics is known as effective law: Issued by the un-commanded commander the sovereign; The commands are backed by threats of sanctions; and The sovereign is habitually obeyed. Some important quotations relating law: United States is the greatest law making factory the world has ever known . Laws are imperative in nature . Law helps the vigilante not the indolent; it means law comes to the assistance of the vigilant, not of sleepy . Violence is inimical to law . Inimical (Against) It means law does not like violence but peace . People follow truth; truth makes public opinion; public opinion makes law . Advantages of law (1) Uniformity and certainty (2) Equality & impartiality (3) Protection from errors Uniformity and certainty: The first of the advantages is that the law imparts uniformity and certainty to the administration of justice Uniformity (Evenness; sameness) Corporate Law (MGT 612) VU Copyright Virtual University of Pakistan 5 Certainty (Sureness) This advantage enable the people to know what the law is what would be the decision of the court.

8 Equality and impartiality: The law is made for no particular person or for no individual case and so admits no respect of person which is incompatible with justice. None can escape from the clutches of law. Protection from errors: The law serves to protect the administration of justice from the errors of individual judgment. The establishment of the law is the substitution of the opinion and conscience of the society at large for those of the individual to whom judicial functions are entrusted. Aristotle observes: To seek to be wiser than the laws is the very thing forbidden by good law itself . Disadvantages of law The law is without doubt a remedy for greater evils, yet it brings with it the evils of its own . The evils are discussed as under: (1) Rigidity (2) Conservatism (3) Formalism (4) Needless complexities Rigidity: The first disadvantage of law is its rigidity.

9 Because of its rigidity it applies without any allowance for special circumstances and without turning to the right hand or to the left. In other words rigidity is the failure of law to conform itself to the requirements of special circumstances. Conservatism: Conservatism is laws failure to conform itself to those changes in circumstances and in men s views of truth and justice. Progressive societies are in advance of law. The existing body of rules may be found in-applicable to such changed circumstances. Formalism: Another vice of the law is the formalism. By this is meant the tendency to attribute more importance to technical requirements than to substantive rights and wrongs. In modern time registration and attestation are examples of formalities. Needless complexities: The fourth defect of law is undue and needless complexity. The law becomes more and more complex due to the excessive development of legal system and it becomes too difficult to understand the law.

10 Formula of solving scenario based question: The scenario based questions are solved by applying the following formula: FOI+QRL+ALFI+D FOI = Framing of Issue QRL = Quoting relevant law ALFI= Application of the law on the framed issue D = Decision The most technical thing involved in the formula is as to how issues are framed; the following material will make you understand this process: Framing of issues: (1) Issue arises when a material proposition of fact or law is affirmed by the one party and denied by the others. Corporate Law (MGT 612) VU Copyright Virtual University of Pakistan 6 (2) Material propositions are those propositions of law or facts which a claimant must allege in order to show a right to sue or a defendant must allege in order to constitute his defense. Allege (assert; claim; contend) Law (rule as laid down by Parliament or by a precedent) Facts (whatever is perceived by our five senses are facts) (3) Issues are of the following two kinds: (a) Issue of law (b) Issue of fact Issue of law: An issue of which answer is already prescribed in some rule of law.