BUS 311 Business Law Business Entities – GM

Focus of the Final Paper

You are
the manager of Acme Fireworks, a fireworks retailer who sells fireworks, puts
on ground display fireworks, and large aerial display fireworks. The company
started in the owner’s garage two years ago and now has 15 employees that you
manage. The company started as a sole proprietorship, and the owner has never
changed the entity. The owner has informed you that the company has received
inquiries from several large businesses wondering if the company could create
several fireworks displays on a regular basis. The owner told the inquirers
that the company could fill such display orders, and a price per display was
agreed upon. It was discussed that most of the cost for a fireworks display is
for skilled labor, insurance, and the actual service of setting off the
fireworks. No other details were discussed. The owner is anticipating that new
employees will need to be hired, but he is worried that if the large orders for
fireworks displays do not continue, the company will not have the funds to pay
the new employees. The owner is now considering changing the business entity,
but he does not know what entity to form or how to form it.

The owner
has asked you to do the following:

• Determine
  if the contracts with the businesses will be governed by common law or the
  Uniform Commercial Code (UCC), and explain why.
• Analyze
  whether the owner formed a contract with the businesses, and apply the
  five essential elements of an enforceable contract.
• Explain
  the potential personal liability to Acme Fireworks if a spectator is
  injured by a stray firework from a fireworks display.
• Discuss
  the different employment types and relationships relevant to agency law,
  and analyze the advantages and disadvantages of each type specific to Acme
  Fireworks.
• Explain
  why Acme Fireworks should not operate as a sole proprietorship. Recommend
  a new business entity, and provide rationale to support your
  recommendation.

For each
task, be sure to analyze the relevant law, apply the facts to the law, and make
a conclusion.

Writing the Final Paper

The Final
Paper:

Must be
eight to ten double-spaced pages in length (not including the title and
reference pages), and formatted according to APA style as outlined in the
Ashford Writing Center.

1. Must
   include a title page with the following:
1. Title
   of paper
2. Student’s
   name
3. Course
   name and number
4. Instructor’s
   name
5. Date
   submitted
2. Must
   begin with an introductory paragraph that has a succinct thesis statement.
3. Must
   address the topic of the paper with critical thought. That is, describe
   what your response is to the content, either positive or negative, and
   defend your position. If multiple options, alternatives, and/or positions
   are present and are being rejected, you must also defend the reasons for
   rejecting an option.
4. Must
   end with a conclusion that reaffirms your thesis.
5. Must
   include at least five scholarly sources, two of which must be from the
   Ashford University Library, in addition to the course textbook.
6. Must
   document all sources in APA style, as outlined in the Ashford Writing
   Center.
7. Must
   include a separate references page, formatted according to APA style as
   outlined in the Ashford Writing Center.