Business law

• Business Law (IBSM and LOG 2 113)
• Name of Instructor: Ahmed Al Mukhaini & Jalpa Mehta
• Date of Examination


  Thursday, 08-04-2021
• Start of Examination


  1. 00 pm
• Duration


  2 hours
• Usual stationery may be used for this examination
• Students must at all time abide by the University's Academic Regulations. In particular, students must refrain from cheating, plagiarising or any act that may compromise academic integrity
• Rule of Law


  Supremacy of law
• Guardian of Law


  Judiciary
• Sources of knowing your obligation or right in a particular situation/ matter


  Contract
• Ordinary judicial system


  • Appeal Court
  • Primary Court Martial
• Company ABC has been awarded a construction project by Company XYZ

  Dispute must be settled by Arbitration
• Alternative Dispute Resolution Means

  Arbitration
• Important element for the validity of a claim

  The jurisdiction of the courts
• Important aspects of business

  • Entering to contracts and negotiations
  • Minimizing risks
• Chain of governance


  • The Civil Code
  • The Sharia Law
  • The custom
• Right conferred to a Merchant by registration of his trade name


  To prevent others from using his trade name
• Drawee to a Bill of Exchange (BoE)

  The Acceptor who pays the payment
• Appropriate type of cheque for a transaction where payment is made to the seller's account after 7 days

  Post-Dated cheque
• Initiatives / efforts / steps taken by the Government to boost and encourage foreign investment in Oman


  • Establishing free zones
  • Permitting complete foreign ownership for certain businesses
• Share capital in a Partnership

  • Land
  • Bonds and securities
• Correct statement in relation to a Closed Joint Stock Company

  The shares cannot be listed on Muscat Securities Market
• Legal term used for Profits in relation to Joint Stock Companies

  Dividends
• Charter of Joint Stock Companies

  The Articles of Association
• Main feature of a Limited liability Company


  Liability of shareholders limited to value of its shareholding
• New forms of company introduced by the new Commercial Companies Law

  The Single Shareholder Company
• Company A has acquired 51% share capital of Company B


  Company A as a Holding Company of Company B
• Form of business vehicle that does not have a legal personality

  The Joint Venture
• Form of business vehicle that permits the foreign companies to sell their products in Oman through the local expertise without setting up a company


  The commercial agency
• The doctrine of judicial precedent does not apply to Omani legal system
• Legislation must be retrospective
• An independent judiciary is not an essential characteristic of Rule of Law
• Morality can be legislated, but behavior cannot be regulated
• Omani Law of Arbitration is based on UNCITRAL rules of Arbitration
• Oman is a signatory to the 1958 New York Convention on Recognition and Enforcement of Foreign Arbitral Awards which means an Omani arbitral award is enforceable in another signatory state, and vice versa
• From 2013, since the Civil Transactions Law was enforced, it took precedence over all the existing laws
• A merchant must maintain his commercial books in a manner that accurately states his financial situation for a period of 5 years
• The validity of a cheque is 6 months from the date the cheque is given to any person
• Payee as a party to a cheque means the Bank who pays the amount stated in the cheque
• The Commercial Companies Law applies to only foreign individuals willing to set up a company in Oman