Comprehension Check

1. Look through paragraph 1 and expand the following statements. Add your own information if possible.

1. It’s necessary even to a small business owner to have general business law knowledge.

2. A contract is a legal agreement between people.

3. It is important for the contracts to be understood by people.

1. Reread paragraph 1, 2 and 3 and draw up a list of main principles of making a contract. Give a written example of a contract signed by you as a lawyer.

2. In paragraphs 5 and 6 find the places to prove that

1. While renting business space a special agreement should be signed by both sides.

2. The type of lease best suited for a new business is a renewable short-term lease.

3.The term lease is a popular type of lease.

4. Look through the text and find the answer to the following questions.

1. Why is it essential to understand business law?

2. What is a contract? What are its main features?

3. What happens if you don’t honour a contract?

4. What is a consideration and what forms does it have?

5. What should a person do to make up the lease?

6. Why the length of the lease is so important? What are the different forms of making up the lease?

5. Look through the text and match the term and their definition. Consult the glossary if necessary. Translate the definitions.

1. Insurance	a) a legal agreement by which money is paid in order to use (land, a building) for an agreed period of time.
2. Lease	b) the business of insuring lives and property against harm, damage or loss in return for the payment of a sum of money according to the degree of risk.
3. Contract	c) the right to use land or live in a building on payment of rent.
4. Tenancy	d) a legal document that states and explains a formal agreement between two different people or groups, or the agreement itself.

Written Practice

1. Render the following in English.

1. Аренда – это форма землепользования, при которой собственник земли передает в пользование земельный участок на определенное время другому лицу за плату.

2. Контракт представляет собой письменный договор, включающий существенные аспекты условия труда и его оплаты, а также условия трудовых отношений.

3. Для заключения контракта необходимо взаимное согласие сторон: существование предложения и принятие этого предложения сторонами.

4. Стороны в контракте должны быть правоспособными.

5. Конкретные условия страхования были определены при заключении договора страхования.

6. Наниматель подписал договор о найме жилого помещения сроком на 5 лет.

2. Render the following into Russian and entitle the text.

Every business must have a business structure. Each of the available options carries with it certain benefits, risks, and rules of operation that must be followed. The nature and condition of a business's structure is a significant part of the information that other businesses consider in making credit and contract decisions. The stability of the structure, the adequacy of capitalization, and the amount of liability of the owners are all critical factors in the decision to buy, sell, or extend credit. The way even boards conduct business is subject to judicial scrutiny, and board members can experience personal liability for failure to honor business structure rules.

When a business first begins, its owner or owners must decide what structure or form it will take. This structure will determine many things about the business, including the liability of its owners under various circumstances. It also will affect those who do business with the firm, controlling how much sellers and customers will be paid or will receive on arrangement. It thus becomes important to understand the structure not only of one's own business but also of the other firms with which one deals.