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Nature of English Legal System Law on Business

University: UKCBC COLLEGE

  • Unit No: 7
  • Level: Undergraduate/College
  • Pages 16 / Words 4000
  • Paper Type: Assignment
  • Course Code: H/508/0492
  • Downloads: 2
Question :

Business law regulates the working of the business where it governs their action in order to prevent any legal consequences. This project is based on the ability to test the unde4ratanding of students about business law. It covers the following-

  • What is the nature of English legal system.
  • What is the potential impact on business of law.
  • What the legal solutions available for business problem.
  • Recommend the legal solutions for different legal framework
Answer :

INTRODUCTION

Business law consist of rules and regulations which is used to govern each and every commercial activities occurring within an enterprise. These norms are created by government bodies for setting peace and disciple in business world. It is to be noted that only authorised person is able to take particular decision regarding making of law. They undergo a long procedure to pass a bill and enacting the same into an act. Such acts helps in providing fundamental rights to all civilians living in United Kingdom. Additionally, it also assist in reducing the current level of corruption and generating a healthy environment in society. The present report is highlighting different sources of UK laws. Apart from similar, role of legal body in creation of law and polices is also going to explain. Some light has thrown on various regulations which is already present in country such as health & safety, General Data Protection Regulation (GDPR) and Equal opportunities (Bagley and Dauchy, 2011). In addition to this, influence of contract and employment law upon the businesses is also described in context to appropriate mentioned case. In last section solution to business problems is provided along with suitable recommendation.

TASK 1

P 1 Various sources of law

Parliament is sovereign means Parliament is the supreme power which is liable to form new principles and change the identical if needed. Parliamentary sovereignty is nothing but a principle of constitution in United Kingdom. According to this, parliament is considered as superior legitimate authority which is having power to make as well as end any norm. It has been observed that usually tribunals are not able to overrule legislation created by them. In addition to this, no legislative assembly could pass jurisprudences  that future parliaments cannot modify. Hence, it can be said that parliamentary sovereignty is one of the essential component of UK constitution (Bagley, 2010).

Sources of law can be stated as eminent factors that is responsible for origins of specific norm and policy.  There are different sources of laws which are described as follows :

  • Precedents : It is a legitimate case that is used for establishing a principle or any rule. After its establishment, norms are utilised by the courts and various other judicial system for taking decision on later cases having identical facts or problems.
  • Acts of parliament : An Act of Parliament generally create new law and also do alteration in existing one. This is also known as primary legislation.  An Act can be defined as a bill that is designed after the approval of House of Lords and House of Commons. Additionally,  Royal Assent is also given by the Monarch. In simple words, it could be stated that  these are nothing but statues which is being passed by legislature (Cheeseman and Garvey, 2014).
  • International Court : It is considered as principal judicial organ of the UN (United Nation) and generally refereed to as the World Court which is obligated to settle conflicts occurring between member states. Besides this, it also provides advisory ideas to accredited UN organs and special administrative units.
  • ECJ : It stands for the European Court of Justice that is falls in the category of highest level tribunal within the European Union. Its first & foremost function is to give interpretation of legislation existed in European Union level. Members present in assembly is liable to insure that  treaties are being applied across each and every branches of the European Union. From a survey, it has been investigated that court is comprised of around twenty seven (27) judges and eight (8) advocates general.
  • Common law : This also refereed as case law or judicial precedent. It is described as a system of law that is normally formed on the basis of judgement provided by judges and on customs.
  • Statues : This is treated as legislation which is made by Parliament of UK and other delegated parliaments (Crane and Matten, 2016).
  • Custom : It can be outlined as an established form of behaviour which could be objectively verified in specific societal settings. Some of the norms are framed by examining the nature and tradition of society , particular community, locality, trades, etc.

Some of the important people that takes part in legitimate subjects are highlighted below :

  • Judges or decision makers : They are authorised person who is having obligation to give final judgement on certain cases present in the court.
  • Barristers : These are a kind of lawyer who are present in common law jurisdiction. Their main goal is to represent clients among members of higher court.
  • Solicitors : This is also a type of lawyer who receives training for preparing any case. The main motto of doing the same is to make them more able for giving suggestions on legal matters. Solicitors used to express issues of their consumers in lower assemblies. 

P 2 Role of government in making law

Governing body is liable to create rules and regulations for country. But this is not a simple task, in-fact they go through several stages for brining a bill into action within society. A bill can be defined as a proposed legislation which is keep under consideration by legislatures. It can not get converted in a law until and unless it is being passed or approved by the executive & the legislature (Czinkota, Ronkainen and Moffett, 2011). The steps which are used in the formation of specific law are following :

  • First reading : Initially, the suggested title of bill is being read by members existed in assembly and then it is send for publishing if found correct.
  • Second reading : In this stage discussion get begin on the basis of common principle of bill which is converted into a debate after some time as each person has its own point of view.  It is to be noted that these kind of discussion took place in the House of Commons. The main motive of doing this is to find out whether the bill is suitable or not.
  • Committe stage : This is treated as most crucial stage since examination of bill is done in detailed way. During investigation, if bill is not proved to be correct, then amendments and modifications get started. Members who are present in Committee are having duty to recommend changes.
  •  Report stage : This step is needed after the changes made in the bill. Herein , votes are taken by the people existing in House. The major reason of doing is observing how many participants are agreed from the alteration associated with bill. Thereby, disputation get again started as every one is ready to represent their opinions and are trying to prove their stated changes are valid in nature (DiMatteo, 2010).
  • Third reading : This is found as concluding stage whereby changed bill is kept into consideration. Apart from similar, authorised person present in parliament is able to give their views on amendments which has been occurred. In fact, they can also give vote for those considerations. If the majority will agree with modifications of bill then, it is passed to next step. On the other hand, if objections are made on that matter or adequate votes are not come, then amendments get cancelled.
  • Final stage : House of Lords are involved after the passing of amended bill. They show their perspective and check the bill again. If not found well, then it is send back to the House of Common. This process remain continue until it is being approved by members existed in House of Lords (Foss and Knudsen, 2013). At last final bill get ready after receiving approval of all. In addition to this, it is being send to the Royal Assent for their consent. Thereafter, it is transformed into an act. Each and every people surviving in UK are forced to follow this act without arguing on the same. If it is violated by any one , then he or she is treated as guilty in the eyes of government and punishment in given by governing body of a specific location.

Thus, it can be said that governance is playing eminent role in forming a law. Without them, it is not possible make a corruption free surroundings. By the implementation of appropriate laws and regulations, they are able to establish discipline in social as well as business groups.

Statuary and Common laws are two different term which is being implemented within judicial arena. The prior one is usually enacted by an authorised system in order to explain written norms. These rules are specially farmed by courts. But it is to noted that before formation of those laws are passed via different channels known as executive agency, supreme tribunals and many more. On the other side, Common law is unique in nature as in this case judgement is made on the ground of past as well as foregoing conventions.

TASK 2

P 3 Impact of employment & contract law on business

According to a given case study, JPM publishing is a small company which want to become public company to raise fund from public for expansion. Directors plays an important role in each and every organization as they are central supporting and supervision in public governance structure (Grundfest, 2010). It helps in determining group management to act interest of public as well as shareholders. The boards of directors plays an essential role in a business enterprise, these are described in detailed as below :

  • Helps in decision-making : Directors of an organisation helps in strategic decision making  which helps employees to perform their individual task on time. By using directors opinion and their past experience assist in simpler and easy form. It will improve and enhance overall production and increase efficiency among existing employees.
  • Monitoring performance : Directors helps in monitoring the performance of a business firm which helps in to evaluate their work through their overall report. It will helps in evaluating problems and issues related to a work. It includes achievement of strategic, business plan and outcome of annual budgets which help them to regularly upgrade (Kinicki and Kreitner, 2012).
  • Reporting back : Directors has a responsibility to report back the performance of an organization to their stakeholders in their general meetings.
  • Regular scanning : By doing scanning of external environment, it ensure strategic directions which are used at the time of scrutiny the market.
  • General Data Protection Regulation : This regulation is adopted to control over cyber crime and stealing data from other computer and hardware equipments such as pen drive, hard disk. In a business enterprise no one is allowed to use other personal data for private use whether it is employees or employers.
  • Health and safety regulations : This act was established in 1996 to provide protection to employees at workplace in the form of health and safety. It include wide range of things proper maintenance of machinery,safe entry and exit,safe environment,protection from heat, diving, working at height, rescue from mines and protecting from hazardous chemical and substance. Every types of employees who visit business place or site comes under this whether casual, permanent,visitors,retailers and general public. To employ new individual it is very necessary that respective company follow all the rules and regulation of health and safety act (Kitagawa, 2016). Every person life is precious so director have to look after that all norms of act are fulfilled or not. This help the JPM Publishing as they can instruct the employees what activities they are allowed to undertaken in the business or what not. Employees are not allowed to do drinking ,smoking mishandling and disrespect.
  • Equal opportunities regulations : The act was established on 1 October 2010 by amending existing some civil laws. This act is to protect rights of the individual and provide equal opportunity to every individual. It discourages partiality in the work place which are based on age, religion, disability, race ,sex, gender,nation origin and maternity. According to this every employee of the organisation is equal whether private or public. Every individual want equality in the work place in every respect. JPM Publishing when appoint new employee should take care that every person have equal authority and responsibility who share same post. It is beneficial for respected company  that every employee get satisfied and give their performance at their best capacity (Kubasek,  Brennan and Browne, 2016).

TASK 3

P 4 Appropriate solutions to several business problems

This has been seen that there are different issues associated with business that needs to  be deal with appropriate lawful solutions.  According to first case study, Champion Ltd is going to develop a new stadium and because of this, they are moving from its former site which was existed in North London. For proper development, they require cash payment instantly. Thus, organisation has loan from different creditors and banks. But due to the declination in the expected number of consumers, company had suffered from great loss and that is why they are  not able to return the revenues which has been taken by them. As a bad result, creditors are giving threats to Champion Ltd and telling them that they are knocking the door of court for attaining their payments as well as for winding up their petition also. Some troubles get rises are listed below :

  • Closing of Champion Ltd as they are unable to payback the loan to his creditors and banks.
  • Corporation is continuously being tortured and threaten for the procedure of liquidation.
  • Champion Ltd might suffer from loss of property as well as existing wealth (Mann and Roberts, 2011).

In order to resolve this, few legal solutions are stated below which is proved to be beneficial :

  • Meditation : Company can hire a mediator and make him understand about all facts so that he receive clear idea regarding the case. The recruited third party is liable to play the role of negotiation. In this process, he could talk to each and every person from whom Champion Ltd has borrowed money. In – fact, he should convince another parties to provide some more time  for paying rest sum of wealth as venture is not having so much funds. Therefore, by expressing weak financial condition and providing valid reasons, action of treaty can be maintained for long period of time. In those frame, firm can attempt to build strong customer base and earn profitability. Thus, they would be able to return all amounts and prevent their commerce from such a big disaster.
  • Involvement of court : Champion Ltd is having right to present their issue of liquidation (Miller, 2015). They can hire an experienced lawyer and provide him accurate information affiliated with the current case. As creditors were threatening venture which is not correct in the eyes of law, recruited advocate can easily represent their issues in front of members existed in court. By presenting valid facts and figures, company can request for justice.

In second case, Mr. Anderson is working at the designation of CFO within an enterprise named as Amber Ltd. He is having access to extremely confidential data. But after some period of time one of the rival of Amber Ltd titled as Beta Ltd  has given a golden opportunity to Mr. Anderson to join them at the post of CEO (i.e. chief executive officer). Therefore, Anderson come to the conclusion of leaving job as he do not want to miss such a good chance in his professional life. Thus, he decided to give resign from his position of CFO the company but without serving notice period. On the other hand, Amber Ltd is not ready to accept his resignation since they know that he consist of secret information regrading their business activities. Hence, so many issues get created due to these conflicting matters. The major problems along with the solution are following :

Issues :

  • Loss of secret facts and figures from the corporation as Anderson has decided to join another firm which is most challenging competitor of Amber Ltd.
  • Mr. Anderson is not able to leave that venture until and unless he is ready to serve notice time period of 12 months (Nichols, 2012).
  • Disputes would get more strengthen since no one is ready to negotiate.
  •  Breaching of contract is happening in this case as Mr. Anderson since he wish to break that concord and become member of another venture.

In order to resolve this matter, some important steps should be taken which is explained below :

  • Termination of contract : If Amber Ltd want to receive justice, then they have to terminate Mr. Anderson on the ground of breaching of contract as he is violating the norms and regulations stated by firm.  Thus, they can give command to his worker to leave organisation by paying equivalent amount which is provided as their salary immediately.  On the other side, corporation can charge guilty by proving the crime of breaching his duty of good belief, trust and fidelity.  Amber Ltd is also free to knock the door of tribunal and ask for fair justice. This will assist them definitely in gaining appropriate outcome.
  • Negotiation : This is another better option which is suitable for both the company as well as culprit. According to this solution, Amber Ltd ought to give proper wages to Mr. Anderson so that he get satisfied. This aids in preventing him from leaving the firm. This will be profitable for venture since his employee is having confidential info regarding their commerce (Posner, 2014). If he may migrate to another firm which is a challenger then, they have to suffer from loss of all information.

P 5 Justification of selected solution

In the case of Mr. Anderson, it is better to select the action of termination as he is found guilty. He is supposed to join other rival of  Amber Ltd, thereby along with him lots of private data got leaked which is not profitable for corporation. Thus, they could take decision of termination. This will also provide them adequate amount of wages which are offering to his employee. At the same time, negotiation could also performed wherein Amber Ltd should provide higher salary in comparison to present one. This will assist in preventing him from leaving the venture as he get quenched from his wages and designation also and may change his decision of migration. 

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On the other hand in the case of Champion Ltd, negotiation can be considered as good solution since they are not having so much money so that he could return loans to the creditors. A negotiator is able to convince other party and make them ready for the treaty. Whereas Champion Ltd can also involve legitimate tribunal in their case. They can show evidences of threatening amongst the authorised person in court and ask them for justice as creditors is not having legal power to force them for paying their funds back to them.

TASK 4

P 6 Recommendations of legal solutions

In this section, Alternate Dispute Resolution (ADR) consist with different process that can assist them in resolving major conflicts or disputes in better manner. Such are major procedures which are less formal and low stressful which compare with traditional proceeding of court. Through this, parties can solve their internal as well as external issues without gong in the authorities (Snyder and Deaux, 2012). Along with this, there are various types of ADR which are negotiation, Mediation and Arbitration. This will help the parties for saving their cost or value on given time frame.

In current period of time, ADR is famous so that court also need parties who resolve their major issues and disputes outside before the litigation. In addition to this, they solving solving problems within the parties, a third party is appointed to whom from which problem is discussed, now they are responsible for solving conflicts or disputes. Through this, parties can easily deal with major disputes which are associated with civil, family, criminal, labour and commercial effectively.

Different types of ADR which are described as follows:

Negotiation – In this part, parties undertaken self counseling which help in achieving results or outcomes. Along with this, it is usually voluntary procedures which has been set certain standard and patterns. This is the wish of parties for enter in the negotiation. It can mainly resolve small and medium scale issues in which parties are capable for solving such type of problems and barriers in better manner. In big issue case, negotiation will become complex to each task or its work.

Arbitration – In this part, third party is present for solving various issues and barriers between two parties. Third party role is to firstly listen the problem and after that give necessary suggestions. So third party is known as arbitrator. Apart from this, arbitration clause mainly added employment contracts which assist in reducing workload from court and through this people can solve their problems from outside the court. This is mainly prefer while conflicts or disputes will occur within an enterprise.

Meditation – In this part, third party is known as mediator and they require to make full attempt for achieving with mutual agreement. It is that procedure which is very simple or easy and also mediator can easily solving main issues by adopting effective communication process and negotiation method. In addition to this, mediator can not able for deciding anything but this will assist both parties to interacting with each other so that they can settle their conflicts in better way. When one party is in control and power with others so this procedure will became ineffective (Spalding, 2011).

Amber Ltd can choose negotiation process so this is effective process for negotiating with their worker named as Mr. Anderson since he is having private data and he could leak the same to other company. The problem can be settle down by company senior member and some other person of party. They are discussing about employment contracts for taking the right conclusion. This is major issue which is not sufficient for solve and this can easily resolve out in proper manner, both of them can come for single results that can be useful for both the parties.

Read about: Impact of Law on Business

CONCLUSION

Per above report, it has been concluded that their are certain regulation and legislation within English system of workers safety and limit of enterprise. The laws of employment not only aid managers to secure their fundamental rights from being exploited, but it also help the organisation in managing workers relation as well as effective functioning of the whole operations. It is the responsibility of team manager or leader to give the information linked to their rights. In case of being victim by the organisation, worker can claim their case within the court against the company. An business are legally bound to follow those regulation and rules within their system. Court case can effect their image or decrease market share. Alternative solution is a useful approach which an worker or manager can use for resolving their problems. In this report, several stages of creating a law has been described. In addition to this, impact of various acts such as health and safety law, General Data Protection Regulation, equal opportunities, etc. upon the commercial activities of JPM corporation is also explained in effective manner. This shows the benefits of these legislations on the performance of venture. Apart from this, on the basis of given cases of Mr. Anderson and Amber Ltd, some of the issues which could be arisen during business is mentioned in above assignment along with legal solution. 

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