Business Law for Commercial Transactions Week 4 Assignment 1
Assignment 1: Discussion Questions
The discussion assignment provides a forum for discussing relevant topics for this week based on the course competencies covered. To support your work, use the textbook, lectures and scholarly outside sources. As in all assignments, cite your sources in your work and provide references for the citations in APA format. Post the answers to both parts in one discussion post and do not attach documents.
The discussion assignment consists of two parts. Select one of the two questions for Part 1 and answer Part 2. By Week 4, Day 3, submit your answers to Part 1 and Part 2 to this Discussion Area. Start reviewing and responding to your classmates as early in the week as possible. You should review and critique the work of other students in as outlined in the rubric by Week 4, Day 7.
Discussion Question Part I
Select ONE of the scenarios below and explain the best solution.
Scenario 1 - Bankruptcy Debate
Discuss the pros and cons of the following statement. Be sure to provide scholarly support for your responses.
Instead of being allowed to file Chapter 7 bankruptcy petitions, individuals and couples should be forced to make an effort to pay off their debts through Chapter 13.
Scenario 2: Secured Transactions:
The day after receiving a promotion to Vice President of Finance, Tessa's husband, Dan, purchased a 2016 Lexus GX460 for $52,000 and financed $45,000 through Home Banc. The bank took a security interest in the vehicle. Dan was out of town when Tessa found out he had been having an affair. Tessa took a hammer to the Lexus and then dropped the car off at the girlfriend's apartment. Dan was furious. After taking the car to a mechanic for repairs, Dan was unable to pay the bill due to the divorce, so he negotiated terms with the mechanic. Dan stopped making payments to the bank. The repair shop claimed a lien on the car for services and materials in the amount of $21,250. Home Banc claimed priority. Discuss the rights of each party and determine which party is in the best position to prevail.
Discussion Question Part II:
Based on the business you started in Week 1, answer the following questions in one to two paragraphs. Use laws, examples or cases to support your response.
- Consider the product or service you selected in Week 2. Describe how you plan to structure extension of credit to your customers to ensure the most protection for your company in the event the customer falls behind on payments or files for bankruptcy.
- What type(s) of insurance policies will you need for your business? Identify a company located in your state that can supply at least one of the insurance policies you will need.