1. What is meant by Law?

Explain the sources of law and scope of law in

engineering activities?
Engineering law (or law in engineering) is the empirical study of the application of laws and
legal strategy in engineering. Applied law aims to explain how law interacts with industry. The
current school of thought within the academic community of lawyers and engineers is
the pragmatic paradigm. Commonly, professionals have a Bachelors in Engineering and
a Bachelors in Law, and increasingly commonly a Masters of Business Administration.
Pragmatic application of laws means the empirical study of how a corporate legal framework
should be adopted.
Sources of law in its narrow sense means the origins of law, i.e. the binding rules governing
human conduct. More generally, it means any premiss of a legal reasoning.
The term "sources of law" also refers to the sovereign or the state from which the law derives
its force or validity. In civil law systems, one has only to look at the appropriate code; but
in common law systems one needs to look at legislation (primary and secondary) and at the
decided cases that comprise judicial precedent

Define and differentiate Moral and Ethics. Explain the factors influence the
moral of a Profession.

Ethics and morals relate to right and wrong conduct. While they
are sometimes used interchangeably, they are different: ethics refer to
rules provided by an external source, e.g., codes of conduct in
workplaces or principles in religions. Morals refer to an individuals
own principles regarding right and wrong.

Comparison chart
Ethics versus Morals comparison chart

Ethics
What are The rules of conduct recognized in respect to
they? a particular class of human actions or a
particular group or culture.

Morals
Principles or habits with respect
to right or wrong conduct. While
morals also prescribe dos and
don'ts, morality is ultimately a
personal compass of right and
wrong.

Where do they Social system - External

come from?

Individual - Internal

Why we do it? Because society says it is the right thing to

do.

Because we believe in something

being right or wrong.

Flexibility Ethics are dependent on others for

Usually consistent, although can

Ethics versus Morals comparison chart

Ethics

Morals

definition. They tend to be consistent within

a certain context, but can vary between
contexts.

change if an individuals beliefs

change.

The "Gray" A person strictly following Ethical

Principles may not have any Morals at all.
Likewise, one could violate Ethical
Principles within a given system of rules in
order to maintain Moral integrity.
Origin Greek word "ethos" meaning"character"
Acceptability Ethics are governed by professional and
legal guidelines within a particular time and
place

A Moral Person although perhaps

bound by a higher covenant, may
choose to follow a code of ethics
as it would apply to a system.
"Make it fit"
Latin word "mos" meaning
"custom"
Morality transcends cultural
norms

The factors influence the moral of a Profession are given below

1. The Organization : The first factor affecting the employee morale is the organization itself. The
organization influences the worker's attitudes to their jobs. The public reputation of an organization
may build up for better or worse, their attitudes towards it.
2. The Nature of Work : The nature of the work, the worker is expected to perform also affects his
attitude towards job as well as his morale. If the employee is expected to perform routine or
specialized job, he will feel bored and alienated, Repetition of the same task again and again makes
the working situation worse. Another factor is the large impersonal organizational structure.
Sometimes, if the employee feels that he is just a cog in the machine instead of a person, his morale
will become very low. Lack of understanding of organizational goals may also affect the morale.
Another factor which causes low morale is the assembly line operations moving at a constant speed.
3. The Level of Satisfaction : The level of satisfaction, a worker derives from his job is another
determinant of morale. If the job factors and the satisfaction they bring is perceived to be favourable
by the employee, morale will tend to be higher than if these factors seem to be unfavorable. The job
factors include the factors such as opportunities for promotions job security, steadiness of
employment, opportunities to learn the job and to use his own ideas, pay, working conditions,
recognition, co-cooperativeness of co-workers, group relationship etc.

4. The Level of Supervision : The level of supervision received by an employee has a

tremendous influence on his morale. High rate of employee turnover indicates that the leadership is
ineffective. On the hand, if employee are given freedom to do the job, their morale will be high.
Nobody likes to be supervised all the time.
5. Concept of self : What is the employee's concept of himself? The answer to this question
influences the attitudes of the employees to the organizational environment. How an employee
perceives himself, is a very important question. The morale of persons who have lots of selfconfidence or who enjoy good mental and physical health is generally high as compared to those
who lack self-confidence or suffer from poor physical or mental health.
6. Worker's Perception of Reward System : The worker's perception of past rewards and future
opportunities for rewards affect their morale to a substantial extent. If the workers regard the rewards
as fair and satisfactory, their morale will tend to be higher than if the perception is in the opposite
direction. Moreover, if the rewards and opportunities for the future tend to be bleak, morale will tend
to be low as compared to the situation where the worker perceives opportunities for satisfaction and
for attainment in the rewards that lie ahead in the future.
7. The Employees's Age :Studies have reported that age and morale are directly related. Other
things being equal, elder employees seem to have higher morale. This is because of the reason that
perhaps younger workers are more dissatisfied with higher expectations than their elders. The older
employees have more stability which comes with maturity, a serious attitude towards job, more
reliability, less absenteeism, proven steady work habits, a sense or responsibility and loyalty and less
tendency to be distracted by outside interest as influences.
8. The Employee's Educational Level : Studies have concluded an inverse relationship in the
educational level of the employee and his morale. Higher the educational level, lower will be the job
satisfaction and vice versa. The higher he thinks he should be, the more dissatisfied he will be.
9. The Employee's Occupational Level : The occupational level of the employee also influences
his level of morale. The higher up in organizational hierarchy an employee is, higher will be his
morale. The morale of the people who are lower in the levels of hierarchy is generally low, because
they compare their own attainment with those of others.
10. The Off the Job Activities of the Employee : The relationship of an employer with his family
and work group influences his behaviour and attitude while he is on the job. His off the job activities,
e.g., whether his family life is happy or not, whether he has excessive drinking habits etc., also
influence his behaviour. The influences and pressures of a formal and informal group have a
significant effect on the morale of workers.

Define Ethical Dilemma. Highlight the contemporary ethical issues in Nepali

Engineering Profession.
An ethical dilemma is a complex situation that often involves an apparent mental conflict
between moral imperatives, in which to obey one would result in transgressing another. Sometimes
called ethical paradoxes in moral philosophy, ethical dilemmas are often invoked in an attempt to
refute an ethical system or moral code, or to improve it so as to resolve the paradox
There are three conditions that must be present for a situation to be considered an ethical dilemma.
The first condition occurs in situations when an individual, called the agent, must make a decision
about which course of action is best. Situations that are uncomfortable but that dont require a
choice, are not ethical dilemmas. For example, students in their internships are required to be under
the supervision of an appropriately credentialed social work field instructor. Therefore, because
there is no choice in the matter, there is no ethical violation or breach of confidentiality when a
student discusses a case with the supervisor. The second condition for ethical dilemma is that there
must be different courses of action to choose from. Third, in an ethical dilemma, no matter what
course of action is taken, some ethical principle is compromised. In other words, there is no perfect
solution.

Highlight the contemporary ethical issues in Nepali Engineering Profession.

8
3.6 On
NECs Effectiveness
Role and activity of professional society plays very important role in regulating the concerned profession. In
this regard only nine percent engineers strongly supported the role and activity of NECas adequate
in regulating engineering profession in the country followed by 18 % who simply agreedwith this statement but
majority of engineers (i.e 40 %) moderately agreed and 34 % did not agreewith this statement.
9.
Figure 9: Effectiveness of NEC
3.7 On Teaching of Ethics and Responsibility
Teaching of ethics in engineering in Nepal was started in 1998 with the introduction of
E n g i n e e r i n g Professional Practice
course in undergraduate engineering programs (civil, electrical, and electronics)in Institute of Engineering of
Tribhuvan University. The engineers surveyed were asked about theiropinion on importance of
teaching ethics to engineering students. Among the engineers surveyed,74 % strongly agreed and further 22 %
said that teaching of ethics to engineering students isimportant. The result is presented as figure 10.
9
It showed that teaching of ethics to engineering students is important.
A little ethics knowledge is
certainly better than none because it introduces the commonly overly engineering student to a newrealm of
professional reality. Some ethics knowledge can alert an engineering practitioner to an issuethat can be investigated
further and about which he can obtain help

ix

. Furthermore, teaching ethics

can increase student se
nsitivity to ethical issues simply by making students aware that they, as
engineers, will have to resolve certain ethical problems.
x
The professional integrity and image can be maintained only through the individual professional.
Theconsequence of the professional decision-making should be borne by individual professional and awellestablished and well functioning system will only assist the individual professional bywithholding the professional
from any circumstances where he/she is likely to commit unethicaldecision or action.In the above-mentioned
context, the study also tried to know the feeling of the engineers on who
should start building up engineers/engineering professions image in the country.
The study revealedthat the role of Nepal Engineering Council is of paramount importance followed
by the role ofindividual engineer and the senior engineers of the country. The finding is presented in table 3.
Table 3: Role to Build Up Engineers/ Engineering Professions Image
S. No. Causes Making Difficult to FollowCodes of Conduct(In descending
order)WeightedMean(Max. Value=3)Rank
1 Nepal Engineering Council (NEC) 2.61 I2 Individual engineer 2.48 II3 Senior engineers of the
country 2.41 III4 Nepal Engineers Association (NEA) 2.34 IV5 Political leaders of the country 2.14 V
4.
Conclusion and Recommendations
Engineering is a profession because to practice engineering one needs to acquire an engineeringdegree (of 4-5
years duration) and may be some years of experience and in these modern days this profession is
regulated by the council established through the Act of the parliament.
In the aftermath
of World War II we see the emergence of organizations and journals that would specifically address
the responsibilities of scientists and engineers for the consequence of their professional work.
xi
Practice of a profession requires knowledge and skill. In Nepal NEC is the engineering professionregulating
council, which has already completed a decade of its establishment on the one hand andimplementation of rules
and regulation is becoming weak day by day in the country weakening theeffective operation of the NEC as
well as professional integrity of the engineers in the country on theother. In this context, this paper has
revealed the status of practice of engineering profession in Nepaland come up with recommendations for
strengthening professional practice and enhancing image ofengineers in the country.
Recommendations
Based on the analysis and discussions made above following recommendations are made for
upliftingengineering profession of the country:i.
NEC should strictly implement the existing rule and increase its effectiveness in monitoringthe
practice of engineering profession.

10
ii.
NEC is strongly recommended to start taking

Professional Licensing Examination

(ProfiLE)
for registration of engineers as its members and renewal of membership at certain timeinterval (3-5 years).
iii.
NEC is recommended to form a task force to develop and recommend syllabus and modalityfor
ProfiLE
and renewal of the license.iv.
Ministry of Physical Planning, Works, and Transport Management (MOPPWTM), as afunctional ministry, is
recommended to conduct a study to explore the hindrances that areimpeding effective functioning of NEC.v.
An independent mechanism is essential to monitor and control the engineers from acceptingassignments that are
likely to create
conflict of interest
and for this
Construction Business D e v e l o p m e n t C o u n c i l ( C B D C )
is recommended to take a lead role. If required a joint opencommitment of SCAEF and FCAN may also be
sought.vi.
Universities in the country is recommended to review its existing syllabus of engineeringethics and teaching
methodology so that teaching of ethics in engineering should not be only aformality but it could be a meaningful
and important subject for students. The point to bementioned here is that senior professors having adequate
practical experience should beencouraged to teach engineering ethics

1 Explain the characteristics of Ethical problems. Describe the approaches

to ethical decision making
Ethics problems are as varied and diverse as the people and cultures of our institutions.
There are certain characteristics of the problems, however, that are relatively common.
Interestingly, the more intense the conflict, the more they seem to share these common
properties. If you are aware of these characteristics you can recognize what you are getting
into and take remedial action before the situation gets out of control

The Rights Approach An important approach to ethics has its roots in the philosophy of the
18th-century thinker Immanuel Kant and others like him, who focused on the individual's
right to choose for herself or himself. According to these philosophers, what makes human
beings different from mere things is that people have dignity based on their ability to choose
freely what they will do with their lives, and they have a fundamental moral right to have
these choices respected. People are not objects to be manipulated; it is a violation of human
dignity to use people in ways they do not freely choose. Of course, many different, but
related, rights are thought to exist besides this basic one. These other rights can be thought
of as different aspects of the basic right to be treated as we choose. Some other rights might
include such things as rights to the truth, privacy rights, a right not to be injured, and a right

to what is agreed (i.e., we have a right to what has been promised by those with whom we
have freely entered into a contract or agreement). In deciding whether an action is moral or
immoral using this approach, then, we must ask, Does the action respect the moral rights of
everyone? Actions are wrong to the extent that they violate the rights of individuals; the more
serious the violation, the more wrongful the action.
Identifies certain interests or activities that our behavior must respect, especially those
areas of our lives that are of such value to us that they merit protection from others.
Each person has a fundamental right to be respected and treated as a free and equal rational
person capable of making his or her own decisions.
This implies other rights (e.g., privacy free consent, freedom of conscience, etc.) that must
be protected if a person is to have the freedom to direct his or her own life.
Keep in mind that is often difficult to agree on exactly which rights we have.
The principle states: "An action or policy is morally right only if those persons affected by
the decision are not used merely as instruments for advancing some goal, but are fully
informed and treated only as they have freely and knowingly consented to be treated."
The Utilitarian Approach
Utilitarianism was conceived in the 19th century by Jeremy Bentham and John Stuart Mill to
help legislators determine which laws were morally best. Both Bentham and Mill suggested
that ethical actions are those that provide the greatest balance of good over evil. To analyze
an issue using the utilitarian approach, we first identify the various courses of action
available to us. Second, we ask who will be affected by each action and what benefits or
harms will be derived from each. And third, we choose the action that will produce the
greatest benefits and the least harm. The ethical action is the one that provides the greatest
good for the greatest number.
Focuses on the consequences that actions or policies have on the well-being ("utility") of all
persons reasonably foreseen to be directly or indirectly (but rather immediately) affected by
the action or policy.
Keep in mind, that different people often identify benefits and harms differently.
The principle states: "Of any two actions, the most ethical one will produce the greatest
balance of benefits over harms."
The Virtue Approach
The virtue approach to ethics assumes that there are certain ideals toward which we should
strive. These ideals provide for the full development of our humanity, and are discovered
through thoughtful reflection on what kind of people we have the potential to become.
Virtues are attitudes or character traits that enable us to be and to act in ways that develop our
highest potential. They enable us to pursue the ideals we have adopted. Honesty, courage,
compassion, generosity, fidelity, integrity, fairness, self-control, and prudence are examples
of virtues frequently cited throughout the world.
Virtues are like habits; that is, once acquired, they become characteristic of a person.
Moreover, a person who has developed virtues will be naturally disposed to act in ways
consistent with moral principles. The virtuous person is the ethical person. In dealing with an
ethical problem using the virtue approach, we might ask, What kind of person should I be?
What will promote the development of character within myself? within my community? Etc.

 Focuses on attitudes, dispositions, or character traits that enable us to be and to act in ways
that develop our human potential.
Examples might be: honesty, courage, faithfulness, trustworthiness, integrity, etc.
Keep in mind, different communities may identify differing virtues.
The principle states: "What is ethical is what develops moral virtues in ourselves and our
communities.
The Fairness (or Justice) Approach
The fairness or justice approach to ethics has its roots in the teachings of the ancient Greek
philosopher Aristotle, who said that "equals should be treated equally and unequals
unequally." The basic moral question in this approach is: How fair is an action? Does it treat
everyone in the same way, or does it show favoritism and discrimination? Favoritism gives
benefits to some people without a justifiable reason for singling them out; discrimination
imposes burdens on people who are no different from those on whom burdens are not
imposed. Both favoritism and discrimination are unjust and wrong.
Focuses on how fairly or unfairly our actions distribute benefits and burdens among the
members of a group.
Fairness requires consistency in the way people are treated.
The principle states: "Treat people the same unless there are morally relevant differences
between them."
The Common Good
Approach This approach to ethics assumes a society comprising individuals whose own good
is inextricably linked to the good of the community. Community members are bound by the
pursuit of common values and goals. The common good is a notion that originated more than
2,000 years ago in the writings of Plato, Aristotle, and Cicero. More recently, contemporary
ethicist John Rawls defined the common good as "certain general conditions that are...equally
to everyone's advantage." In this approach, we focus on ensuring that the social policies,
social systems, institutions, and environments on which we depend are beneficial to all.
Examples of goods common to all include affordable health care, effective public safety,
peace among nations, a just legal system, and an unpolluted environment.
Appeals to the common good urge us to view ourselves as members of the same community,
reflecting on broad questions concerning the kind of society we want to become and how we
are to achieve that society. While respecting and valuing the freedom of individuals to pursue
their own goals, the common-good approach challenges us also to recognize and further
those goals we share in common.
Presents a vision of society as a community whose members are joined in a shared pursuit
of values and goals they hold in common.
The community is comprised of individuals whose own good is inextricably bound to the
good of the whole.
The principle states: "What is ethical is what advances the common good."
2. What is code of ethics? Why it is important in engineering profession?
Critically evaluate the compliance of Code of ethics of Nepal
engineering council in current situation.
A code of ethics is a guide of principles designed to help professionals conduct business
honestly and with integrity. A code of ethics document may outline the mission and

values of the business or organization, how professionals are supposed to approach

problems, the ethical principles based on the organization's core values and the standards
to which the professional is held.
2 Define the term contract. Explain the elements of a valid contract. List
the types of defective contracts.
A written agreement which explicitly states a fixed duration that the contract will be in
effect. The signing parties are obligated to adhere to the terms and conditions within the
contract until the expiration, or end date, of the contract
a written or spoken agreement, especially one concerning employment, sales, or tenancy,
that is intended to be enforceable by law.

The requisite elements that must be established to demonstrate the

formation of a legally binding contract are (1) offer; (2) acceptance; (3)
consideration; (4) mutuality of obligation; (5) competency and capacity;
and, in certain circumstances, (6) a written instrument
1. Offer and Acceptance
To have a valid contract, there must be a meeting of the minds (mutual assent), nominally
evidenced by an offer and acceptance.
An offer is made by an offeror and expresses that person's willingness to enter into a particular
agreement. The offeree is the person to whom the offer is made. When the offer is accepted by the
offeree, a contract is formed. Unless the offer specifies a particular period of time for acceptance, it is
considered to be held open for acceptance for a reasonable time. A newspaper on online advertisement
usually is not regarded as an offer but merely an invitation to negotiate.
If an offer states a time for acceptance but fails to indicate "time is of the essence," the courts could
allow acceptance after the period for acceptance expires. If time is of the essence is stated in the
offer, acceptance must generally occur within the period specified or the offer is canceled
automatically.
If the offer fails to specify the form for acceptance (letter, telephone call, telegram or even
performance), the offer may be accepted in any reasonable manner. Under the Statute of Frauds
(below), offers and acceptances for real estate transactions must be in writing. Acceptance does not
take place until the offeror is notified, which usually is by delivery of a signed accepted copy of the
offer to the offeror.
A contract is an agreement between two or more parties that is enforceable by law.
In order for a contract to be considered valid, there must be:
1. Offer and acceptance
2. Consideration
3. Capacity
4. Consent
5. Lawful purpose
Offer, Acceptance, Consideration
In every valid contract, offer, acceptance and consideration are vital aspects. First: An offer is made
that contains all of the important and relevant terms of the contract.
Second: Another party agrees to, or accepts, the offer.
Third: After the offer is accepted, something of value (an item or service) is exchanged between the
parties involved in the contract. This is called consideration.
Capacity, Consent, Lawful Purpose
In every valid contract, both parties must have the ability, or capacity, to understand the terms and
nature of the contract. Each party involved in the contract must also freely consent, or agree, to the

terms in the agreement. Finally, every contract that is negotiated in Canada must have a lawful
purpose or objective; in other words, no contract can violate any law.

4 KINDS OF DEFECTIVE CONTRACTS

1.
RESCISSIBLE
valid until rescinded; has ALL essentialrequisites but because of
injury/damage
to one of theparties, the contract may be rescinded.2.
VOIDABLE
valid until annulled; has ALL essentialrequisites but because of
defect
in consent, contractmay be annulled.3.
UNENFORCEABLE
cannot be sued/enforced
unlessratifed
; n o e e c t ! " # b u t m a y t a $ e e e c t u p o n rati%cation.&
. VOID
!" eect at all;
cannot be ratifed/validated.
3 Define Tort and its major types. Explain the principles of Negligence. How
negligence is defended in a court?
A tort is simply a civil wrong. There are three general types of torts that may cause injury to
another person. In civil law, torts are grounds for lawsuits to compensate a grieving party for any
damages or injuries suffered.
Tort Law: Three Types of Torts
Torts are wrongdoings that are done by one party against another. As a result of the wrongdoing,
the injured person may take civil action against the other party. To simplify this, let's say while
walking down the aisle of a grocery store, you slip on a banana that had fallen from a shelf. You
become the plaintiff, or injured party, and the grocery store is considered
the tortfeasor or defendant, the negligent party.
Simply said, you would probably take civil action against the grocery store to recoup
compensation for pain, suffering, medical bills and expenses incurred as a result of the fall.
Negligence is just one tort category. There are three general categories of torts. Regardless of the
tort action, three elements must be present:

Tortfeasor, or defendant, had a duty to act or behave in a certain way.

Plaintiff must prove that the behavior demonstrated by the tortfeasor did not conform to
the duty owed to the plaintiff.

The plaintiff suffered an injury or loss as a result.

Because torts are a civil action involving private parties, punishment does not include a fine or
incarceration. The punishment for tortious acts usually involves restoring the injured party
monetarily. Sometimes a court order may force the tortfeasor to either do or not do something.
Think trespassing, defamation or slander. Let's explore the three types of torts:

Intentional torts

Negligence torts

Strict liability torts

Intentional Torts
An intentional tort is an act that is intentionally committed against another person with the aim
of causing harm. There are several intentional torts that fall into this category, like assault,
battery, conversion, fraud, false imprisonment, trespassing and invasion of privacy. Not every
injury-producing action is cause for an intentional tort lawsuit. The court will look at the conduct
of the defendant to determine whether the actions were, in fact, intentional or just mere willful
and wanton behavior not specifically meant to cause fear or injury, but is considered reckless.
Betty Geeslin, a personal representative of Bill Geeslin in Bill Geeslin v. Kobe Bryant, is one of
those cases. Back in November of 2005, Geeslin and a friend attended a Lakers/Grizzlies game.
The fans held courtside seats for the event. At some point during the game, famous basketball
player Bryant ran to retrieve an out-of-bounds ball. As he reached for the ball, he lost his footing
and fell atop Geeslin, leaving him with injury to his chest and lungs. After several days, Geeslin,
now home, began experiencing uncomfortable pain in his chest severe enough to visit an
emergency room. Once examined, it was diagnosed that he suffered a bruising and a crushed
lung. He was prescribed several pain medications and a breathing machine and sent home.
After a few weeks of home treatment, Geeslin decided to sue Bryant for assault, battery and
infliction of emotional distress. Geeslin claimed that when Kobe attempted to remove himself
from Geeslin's chest, he used extreme force to push away, causing injury. Geeslin also claimed
that he could no longer sleep at night, suffered anxiety and felt embarrassed by the incident in
general.
When the court analyzed the case, it felt that the elements for tortious behavior were not present.
Specifically, Geeslin assumed the risk of injury by choosing courtside seats. Bryant in no way
intended to cause injury to Geeslin at the time of the initial fall or as he attempted to return to the
court, and a reasonable person would not conclude that the incident was so seriously traumatic
that Geeslin suffered emotional distress to the degree he claimed. In a motion for defendant's
summary judgment, the court ruled in favor of Bryant.
On a side note, Geeslin died prior to final judgment and a personal representative maintained the
claim against Bryant until time of final judgment. However, Bryant settled with the estate out of
court for the sum of $75,000 to put a rest to any further appeals or complaints against him. Our
next torts deal with actions that cause injury that do not have intentional characteristics.
Negligence Torts

Negligence occurs when a party fails to demonstrate the kind of care a prudent person would
take in the same situation and an injury results from the action or inaction. There are five
elements necessary to prove a negligence case:

Defendant owed a duty of reasonable care.

Defendant did not behave in a reasonable manner to demonstrate care.

Plaintiff suffered an injury as a result of the defendant's actions or inactions.

The injury caused actual damages.

Proximate cause: defendant's actions or inactions were the cause of injury.

While these elements seem repetitive, they are necessary for a negligence case. Let's see what
happens in a comical case involving negligence.
In Byrne v. Boadle (1863), Byrne was walking down the street when a barrel full of flour fell out
of a window and landed upon him, causing the plaintiff injury. In this case, the flour shop owed
anyone walking on the sidewalk below the window a duty of care. In other words, a flour barrel
should not be in a window where it could fall. The defendant should have used reasonable care
that the flour barrels are stored in an area of the shop where injury to a passer-by could not
possibly happen. Byrne was injured because of the flour shop's negligence in storing flour barrels
appropriately, leaving the flour shop solely responsible for this injury. Needless to say, this was
a prima facie case because the evidence was strong enough on face value to convince a court to
rule in favor of the plaintiff.
Strict Liability Torts
Cases involving strict liability are similar to negligence. In these instances, the defendant may
be responsible for damages even if the defendant was not negligent. This may seem counterintuitive, but it makes sense.
Negligence is defined as a failure to take reasonable care. A person is obliged to take
reasonable care in regards to other people in situations where it is foreseeable that other
people could be harmed by their actions or omissions.
There are four key principles for negligence:
1) Duty of Care
2) Breach of a Duty of Care (standard of care)
3) Causation
4) Loss or Harm

Duty of Care
When bringing an action for negligence it must be proved that the person who was
negligent owed a duty of care to the person injured. This is referred to as the duty of care.
A person owes a duty of care if there was a risk that was foreseeable or the risk was
significant. They also need to have the duty of care if in the circumstances a reasonable
person would have taken precautions to minimise the possible risks.
Breach of a Duty of Care (standard of care)
This refers to when a person does not take the care they should be taking. Breaching
the duty (or breaking it) is when the defendant does not meet the expectations and
fails to do what a reasonable and average person would have done. Depending on
the case this will vary, circumstances also play a part.
When determining whether a reasonable person would have taken the precautions
expected against a risk of harm, the court considers things such as:
The likely risk of harm
The likely seriousness of harm
The burden of taking precautions to avoid the risk of harm
The social benefit of the activity that creates risk or harm

Causation
An unbroken link to prove that their was a breach of duty of care. This is important for
cases that have been going for a long time. It also needs to proved that one persons
actions led to another getting injured. If their was harm that was to remote in claiming
negligence. If a person suffers from certain shocks, like hearing a car accident no one will
be sued.
Loss or Harm
As a general rule, the plaintiff can only rely on a legal remedy through the law of
negligence if it can be proved that he or she suffered a loss or harm, even if it is minor
The loss or harm can be physical, mental or damage to property.
Defenses to Negligence
A business may defend against a negligence claim by attacking any of the four
negligence elements. Possible defenses include (1) challenging the status of the
plaintiff (e.g., invitee v. licensee) and the corresponding duty of care, (2) asserting
that it acted in accordance to the requisite standard of care, (3) attacking the

causal link between act or omission and harm or injury, or (4) questioning
whether the plaintiff suffered any actual loss.
In addition, some jurisdictions allow an otherwise negligent party to escape some
or all of its liability if it can prove that the injured party was also negligent.

4 What is insurance? Explain the term insurability and principles of

Insurance.
Insurance is a means of protection from financial loss. It is a form of risk management primarily
used to hedge against the risk of a contingent, uncertain loss.
An entity which provides insurance is known as an insurer, insurance company, or insurance
carrier. A person or entity who buys insurance is known as an insured or policyholder. The
insurance transaction involves the insured assuming a guaranteed and known relatively small
loss in the form of payment to the insurer in exchange for the insurer's promise to compensate
the insured in the event of a covered loss. The loss may or may not be financial, but it must be
reducible to financial terms, and must involve something in which the insured has an insurable
interest established by ownership, possession, or preexisting relationship.
The insured receives a contract, called the insurance policy, which details the conditions and
circumstances under which the insured will be financially compensated. The amount of money
charged by the insurer to the insured for the coverage set forth in the insurance policy is called
the premium. If the insured experiences a loss which is potentially covered by the insurance
policy, the insured submits a claim to the insurer for processing by a claims adjuster

Insurability Sum of all conditions and circumstances pertaining to an insurance applicant,

such as health, life expectancy, risk profile, and susceptibility to injury, judged according to the
insurance company's requirements or standards
Insurability can mean either whether a particular type of loss (risk) can be insured in theory, or
whether a particular client is insurable for by a particular company because of particular
circumstance and the quality assigned by an insurance provider pertaining to the risk that a given
client would have.[2]
An individual with very low insurability may be said to be uninsurable, and an insurance company
will refuse to issue a policy to such an applicant.[2] For example, an individual with a terminal
illness and a life expectancy of 6 months would be uninsurable for term life insurance. A similar, and
stereotypical, example would be earthquake insurance in California.

Characteristics of insurable risks

Risk which can be insured by private companies typically share seven common characteristics.
1. Large number of similar exposure units. Since insurance operates through pooling
resources, the majority of insurance policies are provided for individual members of large
classes, allowing insurers to benefit from the law of large numbers in which predicted losses
are similar to the actual losses. Exceptions include Lloyd's of London, which is famous for
insuring the life or health of actors, actresses and sports figures. However, all exposures will
have particular differences, which may lead to different rates.

2. Definite Loss. The loss takes place at a known time, in a known place, and from a known
cause. The classic example is death of an insured person on a life insurance policy. Fire,
automobile accidents, and worker injuries may all easily meet this criterion. Other types of
losses may only be definite in theory. Occupational disease, for instance, may involve
prolonged exposure to injurious conditions where no specific time, place or cause is
identifiable. Ideally, the time, place and cause of a loss should be clear enough that a
reasonable person, with sufficient information, could objectively verify all three elements.
3. Accidental Loss. The event that constitutes the trigger of a claim should be fortuitous, or at
least outside the control of the beneficiary of the insurance. The loss should be pure, in the
sense that it results from an event for which there is only the opportunity for cost. Events
that contain speculative elements, such as ordinary business risks, are generally not
considered insurable.
4. Large Loss. The size of the loss must be meaningful from the perspective of the insured.
Insurance premiums need to cover both the expected cost of losses, plus the cost of issuing
and administering the policy, adjusting losses, and supplying the capital needed to
reasonably assure that the insurer will be able to pay claims. For small losses these latter
costs may be several times the size of the expected cost of losses. There is little point in
paying such costs unless the protection offered has real value to a buyer.
5. Affordable Premium. If the likelihood of an insured event is so high, or the cost of the event
so large, that the resulting premium is large relative to the amount of protection offered, it is
not likely that anyone will buy insurance, even if on offer. Further, as the accounting
profession formally recognizes in financial accounting standards, the premium cannot be so
large that there is not a reasonable chance of a significant loss to the insurer. If there is no
such chance of loss, the transaction may have the form of insurance, but not the substance.
(See the U.S. Financial Accounting Standards Board standard number 113)
6. Calculable Loss. There are two elements that must be at least estimable, if not formally
calculable: the probability of loss, and the attendant cost. Probability of loss is generally an
empirical exercise, while cost has more to do with the ability of a reasonable person in
possession of a copy of the insurance policy and a proof of loss associated with a claim
presented under that policy to make a reasonably definite and objective evaluation of the
amount of the loss recoverable as a result of the claim.
7. Limited risk of catastrophically large losses. Insurable losses are
ideally independent and non-catastrophic, meaning that the one losses do not happen all at
once and individual losses are not severe enough to bankrupt the insurer; insurers may
prefer to limit their exposure to a loss from a single event to some small portion of their
capital base, on the order of 5 percent. Capital constrains insurers' ability to sell earthquake
insurance as well as wind insurance in hurricane zones. In the U.S., flood riskis insured by
the federal government. An instance where the question whether insurability exists is
contested is the case of nanotechnology.[4] In commercial fire insurance it is possible to find
single properties whose total exposed value is well in excess of any individual insurers
capital constraint. Such properties are generally shared among several insurers, or are
insured by a single insurer who syndicates the risk into the reinsurance market.

SEVEN INSURANCE PRINCIPLES

1) Principal of Utmost Good Faith

Both parties, insurer and insured should enter into contract in good faith

Insured should provide all the information that impacts the subject matter

Insurer should provide all the details regarding insurance contract

For example - John took a health insurance policy. At the time of taking policy,
he was a smoker and he didn't disclose this fact. He got cancer. Insurance
company won't pay anything as John didn't reveal the important facts.

2) Principle of Insurable Interest

Insured must have the insurable interest on the subject matter

In case of life insurance spouse and dependents have insurable interest in
the life of a person. Corporations also have insurable interests in the life of
it's employees
In case of life or marine insurance, insured must be the owner both at the
time of entering of entering into the insurance contract and at the time of
accident.

3) Principle of Indemnity

Insured can't make any profit from the insurance contract. Insurance
contract is meant for coverage of losses only
Indemnity means a guarantee to put the insured in the position as he was
before accident
This principle doesn't apply to life insurance contracts

4) Principle of Contribution
In case the insured took more than one insurance policy for same subject
matter, he/she can't make profit by making claim for same loss more than
once
For example - Raj has a property worth Rs.5,00,000. He took insurance from
Company A worth Rs.3,00,000 and from Company B - Rs.1,00,000.

In case of accident, he incurred a loss of Rs.3,00,000 to the property. Raj can

claim Rs. Rs.3,00,000 from A but after that he can't make profit by making a
claim from Company B. Now Company A can make a claim from Company B to
for proportional loss claim value.

5) Principle of Subrogation
After the insured gets the claim money, the insurer steps into the shoes of
insured. After making the payment insurance claim, the insurer becomes the
owner of subject matter.

For example :- Ram took a insurance policy for his Car. In an accident his car
totally damaged. Insurer paid the full policy value to insured. Now Ram can't
sell the scrap remained after the scrap.

6) Principle of Loss Minimisation

This principle states that the insured must take all the necessary steps to
minimize the losses to inured assets.
For example - Ram took insurance policy fo his house. In an cylinder blast, his
house burnt. He should have called nearest fire station so that the loss could be
minimised.

7) Principle of Causa Proxima

Word "Cause Proxima" means "Nearest Cause"

An accident may be caused by more than one cause. In case property
insured for only one cause. In such case nearest cause of the accident is
found out.
Insurer pays the claim money only if the nearest cause is insured

5 What is public Procurement? Explain the principles of public procurement

act 2063. Critically evaluate the Nepals public procurement scenario at
present.
Public procurement refers to the process by which public authorities, such as
government departments or local authorities, purchase work, goods or
services from companies which they have selected for this purpose.
Examples include: building a state school, purchasing furniture for a public
prosecutor's office or contracting cleaning services for a railway station.