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CASE STUDY PBS 3233

Case Study 1 : Civil Law In Germany

Background

Civil law in Germany is governed by the German Civil Code (BGB). This law covers various aspects of everyday life, including contracts, property, family, and inheritance.

Case Overview: Breach of Contract Parties Involved:

1. Anna Müller: A freelance graphic
2. Max Schneider: A small business owner.

Facts: Anna Müller was hired by Max Schneider to design a logo and promotional materials for his business. They agreed that Anna would finish the work in two months, and Max would pay her €2,000.

Anna completed the work on time and delivered the designs to Max. However, Max refused to pay, claiming the designs were not good enough.

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Legal Issues:

1. Did Max Schneider break the contract by refusing to pay Anna Müller?
2. Were Anna Müller’s designs of acceptable quality?

Relevant Laws:

1. Contract of Sale (BGB 433): States that the seller must deliver goods and the buyer must pay.
2. Contract for Work and Services (BGB 631): States that the contractor must complete the work and the client must pay for it.

Court Proceedings:

1. Anna’s Lawsuit: Anna filed a lawsuit demanding the €2,000 payment.
2. Max’s Defense: Max argued the designs were not satisfactory.
3. Court’s Consideration: The court looked at the contract and the quality of Anna’s work.

Court’s Analysis:

1. Contract Terms: The contract had general quality standards but no specific criteria.
2. Work Quality: The court reviewed Anna’s work and communications between her and max.
3. Notification of Problems: Max did not formally complain about the designs before refusing to pay.

Judgment:

The court ruled in favor of Anna Müller:

1. Breach of Contract: Max Schneider broke the contract by not paying.
2. Work Quality: Anna’s work met the general standards in the contract.

Outcome: Max Schneider was ordered to pay Anna Müller the €2,000 plus interest and legal fees.

Conclusion:

This case shows how German civil law handles contract disputes. It highlights the importance of clear contract terms and good communication between parties.

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Case 1: National Differences In Political Economy

1. Identify the main issue of the above case. (5m)
2. Analyze how does the German Civil Code (BGB) define the obligations of parties in a contract? (5m)
3. In your opinion, how could similar contract disputes be prevented in the future based on this case? (5m)
4. What actions constitute a breach of contract under German law? (5m)

Case Study 2: Assessing the Evolution of MERCOSUR: A Case Study on Economic Integration and Regional Cooperation

Introduction:

Established in 1991, MERCOSUR aims to promote economic integration and cooperation among its member countries—Argentina, Brazil, Paraguay, Uruguay, and Venezuela. This case study focuses on the economic and social implications of MERCOSUR over the years.

Background:

Before MERCOSUR, the South American region faced trade barriers and economic disparities among its nations. The formation of MERCOSUR sought to address these issues through a comprehensive framework for regional cooperation.

Social and Environmental Impact:

MERCOSUR made strides in addressing social issues through initiatives promoting education, health, and poverty reduction.

Environmental concerns, such as deforestation and resource management, posed challenges that required collaborative efforts.

Institutional Framework:

The effectiveness of MERCOSUR’s institutional structure, including its decision-making processes and dispute resolution mechanisms, played a crucial role in its success.

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Conclusion:

MERCOSUR, as a regional integration initiative, has significantly impacted trade, economic development, and social issues among its member countries. While facing challenges, its successes in creating a common market and addressing social concerns highlight the importance of ongoing cooperation and adaptation to evolving regional dynamics.

Case 2: Regional Economic Integration

1. Identify the main issue of the chosen case. (5m)
2. Discuss TWO (2) negative effects of this integration. (5m)
3. Provide suggestion to reduce these effects. (5m)
4. In your opinion, how does integration affect economic system of one country? (5m)