BM0742: Required to apply the legal concepts acquired in this module and prepare a report in the capacity of students as part of the selection criteria: Business Law, Individual Written Assignment, NYP

1. Project Outline

This individual written assignment constitutes 50% of the overall assessment for the module, BM0742 Business Law. This assignment covers the topics of the laws on Sale of Goods and Introduction to Intellectual Property as well as other contract law and principles that are covered in this module. Learners will be presented with a case study, and they are required to analyse and apply the legal concepts taught from the module.

2. Learning Outcomes

After the completion of this assignment, learners will be able to:

1. Identify, explain and apply the relevant Business Law to solve a real-life case study.

2. Apply legal methods to answer/solve the case(s) efficiently.

3. Derive appropriate conclusions for the legal issues presented in the case study.

3. Requirements

Learners are required to apply the legal concepts acquired in this module and prepare a report in the capacity of students as part of the selection criteria for an exchange program for a business law module. When preparing the report, learner should make reference to the relevant Business Law concepts covered in this module.

This assignment will be completed individually. Learners are to prepare the reports using the following as a guide:

1. Identify and state the legal issues presented in the case study.
2. State and explain the applicable laws.
3. Apply the applicable laws to the material facts presented in the case study.
4. Propose and recommend appropriate conclusions for the legal issues presented in the case study.

4. Submissions

There are TWO (2) parts to this assignment, with each part presenting different legal issues and which together (parts 1 and 2) form one case study. You are to submit ONE (1) report covering both parts 1 and 2. Your report (comprising parts 1 and 2) should be type-written in full-sentences (Times New Roman font size 12), single spacing and should not exceed 2,000 words, excluding cover page and appendices. Each page must be properly paragraphed and numbered. Learners are advised to write concisely and to keep to the word limit. Any case report that exceeds the word limit requirement may attract an appropriate penalty. Your report should consist of the following parts:

1. Cover page – Include a cover page with the assignment title, name and admission number, tutorial group and name of tutor.
2. Legal Issues – State the legal issue(s) presented in the case study.
3. Laws – State and explain the applicable/relevant laws.
4. Application of Laws – Apply the applicable laws to material facts of the case study through an analysis of both the facts and the law.
5. Conclusion – State the key conclusion(s) and recommend the legal remedies or actions that should be taken.
6. Appendices – Sources of legal research or any other supporting resources.
Students should submit ONE (1) report covering Parts 1 and 2. Please do not submit separate reports for each part.

Case Study

PART 1 

In early 2020, Tan (a Singaporean doctor with a background in engineering) conceived the idea of designing a hospital grade mobile air purifier, which can be used as a movable air purifier in large scale pandemic outbreaks. The idea for his invention was principally inspired by the 2002 SARS outbreak and the recent Covid-19 pandemic.

Tan’s hospital grade mobile air purifier – named the Mobile Air Purifier System (MAPS) – is essentially a massive mobile air purifier for mobile medical treatment facility. Such a purifier – which can be deployed in a matter of hours and is capable purifying the air of mobile treatment facility for up to four (4) football fields size – is extremely useful where hospitals are overwhelmed, and immobile patients are unable to travel to hospitals. Such air purifiers can therefore be deployed in the event of a major pandemic outbreak.

To help him build his MAPS, Tan approached Lim, an entrepreneur whose business is in the manufacture of air purifiers. Over several meetings, Tan discussed his air purifier system with Lim and also shared the design specifications and technical drawings for the air purifier. Unfortunately, negotiations broke down along the way and the parties fell out.

Then, in early February 2021, Tan was surprised to read in media reports that The Tan Ah Lim Hospital was to unveil their “Mobile Air Purifier” in June 2021 at a medical conference in Singapore. The publicity materials for the mobile air purifier read as follows: “The mobile air purifier– which can be deployed in a matter of hours and is capable purifying the air of mobile treatment facility for up to four (4) football fields size”. It transpired that The Tan Ah Lim Hospital had earlier approached Lim in June 2020 to help them build this air purifier for medical use and that the air purifier had been deployed in several neighbourhood mobile clinics in Singapore since August 2020.

Tan was highly disturbed by this development because it was clear to him that Lim had made use of his idea, design specifications and technical drawings for the MAPS. Tan also noticed that Lim’s version of the MAPS has a filter size capable of purifying the air of mobile treatment facility for up to four (4) football fields size. Tan then decided to file a patent application for his MAPS invention with the Intellectual Property Office of Singapore (IPOS) on 1 March 2021. Tan was granted a patent on 1 March 2022. Apart from The Tan Ah Lim Hospital, Lim continues to design and build similar air purifiers for other organisations and corporate entities. In fact, the latest order was just delivered by Lim on 1 May 2022.

PART 2 

In June 2022, Lim launches the mobile air purifiers for mobile general practitioners in Singapore. The mobile air purifiers (see picture below) are proudly made in Singapore with the following features:

Ventilation filter
Built in air valve
Built in air fan
Built in automatic sanitizer spray
Rechargeable battery – 12 hours continuous use when fully charged.
Charging Port

Tang, the CEO of Mobile Medical Group comes across the air purifiers. He immediately calls up Lim to ask about the purifying capabilities as the welfare of its patients are of utmost importance. Currently, Mobile Medical Group operates out of void decks and make-shift tentages that are poorly purified, hot and humid. Lim assures Tang that ventilation and purification of the air in the mobile medical vehicle is as good as a physical medical hospital and that the air is purified periodically. Lim also informs Tang when fully charged, the power supply of the air purifier can last up to 12 hours of continuous use and can be conveniently recharged at any electrical charging point in Singapore. Tang is convinced by the features of the air purifiers and places an order for 10 such purifiers.

In July 2022, Mobile Medical Group receives delivery of the mobile air purifiers and started using them. After a week of using the purifiers, the feedback was one of general disappointment with all clinic staff and patients complaining about breathlessness, stuffy conditions and that the rechargeable battery only lasted 2 hours, resulting in shorter operating hours and loss of revenue. This resulted in disruptionsin clinic operations.

Tang contacts Lim to express his displeasure at the mobile air purifiers and asks for a refund. Lim informs him that there is nothing he can do about the situation. Moreover, Lim points out that the invoice clearly stated that goods sold are not returnable.

On 1 August 2022, Lim receives his largest order for the mobile air purifiers to date, from the newly established Super Mobile Clinic to start operations on 1 September 2022. The clinic places an order for 100 air purifiers and for delivery to be made before 1 September 2022. Unfortunately, in the second week of August 2022, Taiwan is hit with a major typhoon, resulting in the closure of factories for weeks. As all batteries used for the mobile air purifiers are supplied by Taiwanese manufacturers,thisresulted in a disruption in supply. Although there are local manufacturers of the same type of batteries, local manufacturers were selling the batteries at twice the price of the Taiwanese manufacturers.

Lim immediately emails the clinic to inform them of the situation, and that he is unable to deliver the mobile air purifiers by 1 September 2022. Lim also states that he has been advised that the contract has been discharged for frustration, and he is willing to give a full refund. The following day, a representative from the clinic sends Lim the following e-mail response:

“Dear Lim, We have a binding agreement and have made full payment for our order. We expect you to make delivery of our order by 1 September 2022 in accordance with our contract.”

Your Assignment

Please prepare a report on the following:

Part 1: Potential Claims by Tan

Tan would like to know (1) whether he can successfully bring an action against Lim for (a) patent infringement and (b) copyright infringement, and (2) if Lim is able to raise any defences against each of these claims.

Tan would also like to know if he can file a trade mark application with IPOS for the word “MAPS” in Class 11 of the Nice Classification for “Air purifiers; Industrial air purifiers; Air purifiers for household purposes”. The class heading for Class 11 reads – “Apparatus and installations for lighting, heating, cooling, steam generating, cooking, drying, ventilating, water supply and sanitary purposes.”. A quick search of IPOS’ trade marks register reveals that the word “MAPS” is a registered trade mark in Class 11 (for “air-conditioning apparatus and installations”) belonging to Maps Airconditioning Corporation. Apparently, the “MAPS” bagged the Singapore Air-conditioner of the Year Award in 2020.

Part 2: Potential Claims by Mobile Medical Group and Super Mobile Clinic

Mobile Medical Group would like to know whether Lim’s company is in breach of any of the implied terms under the Sale of Goods Act and if so, what legal remedies they might have. Mobile Medical Group is also worried about the statement on the invoice and wonders if the statement will affect their right to make a claim against Lim’s company. Besides the Sale of Goods Act, Mobile Medical Group is also keen to find out whether there is any other legislation that might assist them in obtaining legal remedies.

Mobile Medical Group would also like to know if Lim would still be able to reject the air purifier assuming that Tang rejected the air purifiers some years after taking delivery as opposed to immediately after taking delivery.

In addition, Super Mobile Clinic has asked for your views on whether they will be able to sue Lim’s company for breach of contract in not delivering the contracted mobile medical vehicles by 1 September 2022.

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