Principles Of Commercial Law

Human Resource Management · Level 5  ·  10 Chapters

Compiled by: Ann Chebet

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What Principles Of Commercial Law covers

In this unit, you will be able to confidently navigate the fundamentals of commercial law, understanding how laws shape business and property dealings in Kenya. You will learn to identify key legal principles, classify property and contracts, and explain the roles of courts and agents, empowering you to make informed decisions and protect your interests in real-world trade situations. By the end, you’ll have the skills to apply essential legal concepts with clarity and confidence in your professional journey.

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Careers after Principles Of Commercial Law

Understanding Kenya’s commercial law equips you to navigate the legal landscape of businesses, property, finance and insurance. Whether you join an organization or launch your own practice, these skills are in demand across the country’s formal and informal economies.

  • Law firms in Nairobi’s Central Business District - you apply common-law principles, identify sources of law and advise clients on disputes, earning professional fees for each case you handle.
  • Corporate legal departments in manufacturing firms around Kiambu - you draft and review contracts, ensure they meet the essentials of contract law, and distinguish sales from agreements to sell, earning a steady salary while protecting the company’s commercial interests.
  • Real-estate agencies in coastal towns such as Mombasa and Diani - you classify land and buildings under the Property Act 2020, guide buyers through title transfers and advise on lease terms, earning commissions on each successful transaction.
  • Insurance brokerage offices in Westlands and Kilimani - you interpret the Insurance Act 2020, explain policy coverage to clients and help settle claims, earning commissions or a fixed remuneration for each policy you place.
  • Banks and micro-finance institutions in Eldoret and Nakuru - you handle negotiable instruments, draft hire-purchase agreements and ensure compliance with the Hire Purchase Act, earning a salary plus performance bonuses tied to loan processing.
  • County court clerkships and court-administration units - you explain the constitutional court structure, file tort-liability claims and manage case dockets, receiving a government salary and allowances.
  • Small-business owners and market traders in Kisumu’s Central Market - you use agency law to appoint sales agents, avoid disputes and protect your merchandise, increasing profits through better contract management.
  • Hire-purchase companies in Thika and Machakos - you draft hire-purchase agreements, verify that all legal essentials are met and counsel customers on their rights, earning commissions on each financed sale.
  • Trade-union or employer-association advisory panels in Nakuru - you counsel on tortious liability and contract enforcement for member organisations, receiving consultancy fees for each advisory session.
  • Freelance legal consultants offering online services nationwide - you provide contract reviews, property-law advice and insurance-contract guidance to startups and SMEs, charging per-hour or per-project fees.

Master these concepts and you’ll be ready to turn legal knowledge into real-world opportunities across Kenya’s vibrant economy.

Chapters

What Principles Of Commercial Law covers: 51 main topics in 10 chapters

1. Demonstrate Understanding of Nature of Law

  1. 1.1 Nature of law
  2. 1.2 Purpose of law
  3. 1.3 Sources of law
  4. 1.4 Classifications of Commercial Law
  5. 1.5 Comparison between Law and Morality

2. Illustrate Structure of Court System In Kenya

  1. 2.1 Court structure in Kenya
  2. 2.2 Composition of Kenyan courts
  3. 2.3 Jurisdiction of Courts
  4. 2.4 Procedure of appointment and removal of magistrates and judges
  5. 2.5 Tribunals
  6. 2.6 The role of the JSC, AG, LSK, and ODPP in the Kenyan legal system

3. Apply law of Tort

  1. 3.1 Nature of tortious liability
  2. 3.2 Tort, crime vs breach of contract
  3. 3.3 Capacity to sue/be sued by the law of tort
  4. 3.4 Types of tort
  5. 3.5 General defences in tort
  6. 3.6 Elements of tort

4. Apply law of Contract

  1. 4.1 Essentials of a valid contract
  2. 4.2 Types of Contracts
  3. 4.3 Methods of discharging a contract
  4. 4.4 Remedies of breach of a contract
  5. 4.5 Terms of contract

5. Apply law of Agency

  1. 5.1 Formation and classification of agents
  2. 5.2 Agents' authority
  3. 5.3 Duties of agents
  4. 5.4 Rights of Agents
  5. 5.5 Methods of terminating an agency

6. Apply law of Sale of Goods

  1. 6.1 Sale and agreement to sell
  2. 6.2 Capacity to buy and sell
  3. 6.3 Terms of Sale of Goods
  4. 6.4 Caveat emptor
  5. 6.5 Factors affecting the transfer of title
  6. 6.6 Rights of parties in the sale of goods
  7. 6.7 Auction process
  8. 6.8 Duties of the seller
  9. 6.9 Duties of the buyer

7. Apply hire purchase contracts

  1. 7.1 Nature of Hire Purchase
  2. 7.2 Hire purchase agreement
  3. 7.3 Conditions of Terminating Hire Purchase Agreement
  4. 7.4 Completion of hire purchase agreement

8. Apply law of negotiable instruments

  1. 8.1 Negotiable instruments
  2. 8.2 Characteristics of negotiable instruments
  3. 8.3 Elements of negotiable instruments

9. Apply law of insurance

  1. 9.1 Insurance contracts
  2. 9.2 Principles of insurance
  3. 9.3 Formation of insurance contract
  4. 9.4 Requirement for insurance contract
  5. 9.5 Discharge of insurance contract

10. Apply law of property

  1. 10.1 Classifications of property
  2. 10.2 Land interest
  3. 10.3 Intellectual property

Revise this unit

3 more for this unit

Beyond the syllabus

Other units in Module III