UK Legal System and Business Law

This solved assignment delves into the intricacies of the UK legal system, examining its primary sources of law, including statute, common law, and European law. It analyzes the process of forming a company in the UK, highlighting relevant procedures. The assignment further explores Alternative Dispute Resolution (ADR) as an efficient method for conflict resolution. Additionally, it clarifies the roles and distinctions between solicitors and barristers in the legal profession.

Business Law

Table of Contents
INTRODUCTION.......................................................................................................................................3
TASK 1.......................................................................................................................................................3
TASK 2.......................................................................................................................................................5
TASK 3.......................................................................................................................................................7
TASK 4.......................................................................................................................................................7
CONCLUSION...........................................................................................................................................8
REFERENCES............................................................................................................................................9

INTRODUCTION
It does not matter whether an organization is big is small, they have to follow the rules
which is present is a country. Business law contains regulation which every company have to
follow at the time of operating in particular region (Adams, 2006). European business school of
management has many schools in different part Europe. They assignment will discuss about
English legal system and sources of law. The process of conversion of a bill into act will also
become part of this file along with role of government in completion of this procedure. The
impact of employment and contract law will be explained under this report. Various methods of
alternative dispute resolution will be included in this project. There are different kinds of legal
professions; an explanation about them will be given at the end of this assignment.
TASK 1
English legal system is considered as base law for legal system of various countries. It is
many divided into two parts i.e. criminal and civil law. But besides this there are some steps
which every petitioner has to follow. If someone wants to file a case then the first option which
is available to them is magistrate court. Cases relating to family proceeding and youth are fought
in initial level of court. Tribunals are also there for resolving matter relating to pension, tax, land
etc. If someone does not feel that they get justice in magistrate court then they can file a lawsuit
in high court. Every type of case is filed in high court i.e. civil as well as criminal. The next level
is Supreme Court. It is the highest body in English legal system and their judgment is considered
as final decision. Every petitioner has to follow a procedure i.e. they cannot directly knock the
door of Supreme Court. First they have to file lawsuit in magistrate and then high court. But
there are some special provisions which allow filing a case directly in Supreme Court.
Civil law – It contain rules about resolving disputes and providing justice in the cases
relating to family proceedings, contract property etc. It also includes basic rights & duties of
people in written form.
Criminal law – Criminal law is very important because it punished those people who
have done something wrong or committed a crime. Punished under this kind of law is much tuff
compared to civil law because acts under this law are related to safety and well being of society.
It is mainly divided into two types, misdemeanor and felony (Adams, 2010). Prior one contain
crime like assaulting minor, petty theft etc. while later one is deals with all the serious crime life
murder, robbery, selling and making of drugs etc.
Source of law
There are mainly three source of law in UK, first is constitution, second is common law
and third is European law. Below is their complete explanation:

Act of parliament – Laws made in parliament are considered as the primary source of
law. They are present in written form and making if government want to amendment them then
they have to follow a fix procedure. When government feel that they need to set some rules in
order to reduce confusions among public and decide punishment for some wrongdoing then they
present a bill in parliament. This bill contains all the provisions about a particular field, if it gets
majority in parliament then it become a law.
Common law – There are some laws which are created by the judgment which is given
by court. These decision become laws and other court or tribunal can considered them source of
law at the time of giving a decision. An important feature of common law is that it is not always
present in written form.
European law – There are some rules which is made by European Union. Every country
who is part of this group has to follow the European law. Earlier most of the regulations in this
source of law were related to business and economy but not it scope has widened.
Role of government in making of law
As discussed earlier, there are mainly three source of law. Act of parliament is considered
as most important among all because it is primary source and it is present in descriptive way.
Whenever government feel that they need to make a law in order to stop some wrongdoing then
first they make a team who get the responsible of making a bill which contain provision about
what should be done in a particular scenario (ADAMS, 2018). Ministers of government are
considered as significant part of this team. Once the bill get ready, then it come to the parliament.
Members of parliament discuss various aspects of the bill and then they propose some
amendment which, according to them, is essential. After all the discussion, voting happenings. If
bill get major of votes then it converts in to law but if some amendment get majority then bill is
again sent to parliament committee who try to modify it by adding to deducting something from
it. A bill do not become law until it get receive royal consent. The role of government is very
important in whole process because it is their responsibility to make and pass the bill in
parliament house. Ministers and other significant members of ruling party also do lobby so the
people who are not happy with bill can vote in the favor on government.
There is a major difference between legal system of major European countries and UK.
In United Kingdom, a judge can give decision by considered old judgment which is given by a
judge but in countries like France, civil law is present and jury can only give judgment if
something is present in law. European laws are inherited from Roman law while British law
developed in medieval England.
Impact of business on law
There are mainly two types of employment, one is self employed person and other is
working for someone else (Weatherill, 2014). If a person is self employed then he does not have

care much about employment law but if a person is employer or employee in an organization
then he/she has to follow some norms which is contain various things like worker right and
agreements under contract of employment. Below are some important provisions of employment
protection act 1996:
Unfair dismissal – When a person is fired without providing valid reasons then it means
that he/she is victim of unfair dismissal. Employer has to provide a good reason for firing an
employee.
Maternity/paternity leave – Female employees has legal right to take leave when they are
pregnant. Employer has to pay them some remuneration for fixed period of time. Provision of
paternity leave also allow male worker to take leave.
Sex discrimination – Employer or similar authority cannot selected or promote a person
in the organization on the basis of gender. There are hard rules in case of sex discrimination.
Disability and age discrimination – An organization cannot make a excuse that they will
not give job or promotion to a disable person because of their disability. Aged people and disable
employees should get equal opportunity.
Contract of employment – Employee and employee have to make a contract so they can decide
terms and condition of working. Although there is no legal binding of signing a written contact
because it there is oral agreement then it will also work (Nichols, 2012). But, oral agreement
cannot be considered as evidence in the court so normally people prefer written contract. Contact
contains details about pay, hours, dress code, leaves etc.
Consumer law – This law is about the rights of buyers. It creates a positive pressure on
seller by punishing then for executing dishonest tactics. Consumer is an individual who buy
goods and service from manufacturer, wholesaler or from retailer.
Sale and supply of goods act – This law focuses on some key terms like specific and
future goods. Other significant part of this act is related to quality of goods, sample given by
seller and transfer of ownership.
Unfair contract terms act – There are some terms in a contract which are not considered
legal according to act of parliament. Sometime business organizations sign a particular kind of
contract which is against the right of consumer or considered as reasonableness. This act is made
for putting restrictions on unfair terms of a contract.
Consumer right act 2015 – This is a new law which gave more right to the customer and
expands its reach to contract for digital content and other services. Unfair terms and other
miscellaneous provisions are also present in this act.

TASK 2
Various types of business organizations in UK
Sole Trader – It is a form of organization where a single person manages all the operation
of his/her business and his/her main aim is to earn livelihood for himself/herself and their family.
They do not think about expanding their business and they do not have to follow various kinds of
laws which is compulsory for other form of business because of their small size.
Partnership – When 2 -20 people, with same goal become partners and conduct business then it
is considered as partnership form of organization (Bishara and Westermann‐Behaylo, 2012).
Partnership deed is a contract which is signed by every partner and it contain all the terms and
conditions about distribution of profit and responsibilities of every partner.
Registered company – Forming a company in UK involve fulfilling of various
formalities. A registered company has their own Article of association and Memorandum of
association. Every organization has to file a return and if company has raised capital from public
then they have to provide detail about business to their shareholders.
Setting up a registered company
Assembling details for registering company – Before starting a registering process, first
promoters has to decide name of company. They have to decide an official address where all the
mails of company will be delivered. Some other significant details like what will be the business
activities and who will be the company’s director. According to the rules, one of the initial
shareholders has to become director of the company.
Preparation of MOA and AOA – Article of association is related to the general rules of an
organization which should be followed by every employee or other significant stakeholder of the
company. Memorandum and article of association are considered as constitution of company and
they are filed with companies house.
File incorporation with companies house – After collection of all significant details,
promoter have to file for incorporation of company. There are various modes of filing like online
by taking support of software or online portal. Paper filing is also available but it takes more
time. Once work related to filing is done then promoter has to wait for approval.
Hold first board meeting of company – After getting approval from company, first
meeting has to be organized. Some essential formalities are done in this meeting and share
certificate is produced in front of the first shareholder.
Role of director
 It is the responsibility of director to act within power i.e. he/she has to make sure that
they do not misuse their authority for own benefit.

 Focusing on growth of company is another key role which director has to play because he
is considered as one of the main employee of the organization.
 Director should provide reasonable care to company and use his/her for success of
enterprise.
TASK 3
Alternative dispute resolution
Solving every matter in court is not possible because there are many flaws in English
legal system (Bebchuk and Jackson, 2012). There are basically three popular ways of resolving a
conflict i.e. mediation, negotiation and arbitration. Below is their explanation:
Mediation – In this option, both sides has to appoint a mediator who tries to resolve the
problem. Appointing third parties minimize the chances of biasness in decision and make sure
that a neutral person takes decision about what can be done for resolving dispute.
Negotiation – This is considered as one first option in for resolving conflict. In
negotiation, both sides try to get and give up something. It is a voluntary process; it is
confidential and informal also.
Arbitration - Arbitration is an organized process where arbitrators try to understand every
aspect of a dispute and do in-depth study of complete case. It is similar to judiciary system but it
has various advantages which is not present in legal system of UK.
Advantages – For both disputing partiers, most important thing is to resolve the dispute without
breaking relationship with other and coming to a fair conclusion. Arbitration assures more
reliable decision which is free from biasness and technically sound. Arbitrators hire experts of
different field in order to analyze and understand all significant details of case. Arbitration
assures fast decision and it is flexible. Both sides can decide time of hearing according to their
suitable and confidentiality of significant details is another benefit of this option.
Disadvantages – One of the main disadvantages of arbitration is that it does not contain a formal
evidence procedure. Small companies cannot afford arbitration because it is expensive. One can
say that it is unbiased but arbitrators are losing this image because the cases of biasness have
increased.
TASK 4
In UK, the profession of legal advice has gained importance because scope in this filed
has increased. Solicitors and barristers are considered as most popular profession. Below is
explanation of these professions:

Solicitor – Solicitor basically do the work of completing paper work which is significant
part of legal procedure. There is a general perception that solicitors are less important than
barristers because they do not fight much case in court (Ragazzo and Fendler, 2013). They are
considered as expert of their field and they provide expert advice to their clients. Solicitor does
not wear wig and gown like barrister and they basically do the work of giving advice.
Barrister – Barrister is known for giving legal arguments and persuading others for
attaining best possible result and win case for client. Barrister fights a particular kind of case
because of their specialization like cases which require knowledge of criminal law.
Fused profession is related to not dividing legal profession into barrister and solicitor.
This term is basically popular in commonwealth countries and there is not a big difference
between barrister and solicitor.
CAB’s (Citizen advice bureau) is an association whose role is to provide advice to the
local community about employment, tax, family law etc. It is their responsibility to provide
services top those who lack knowledge about various field and who are unable to express their
needs. Trade unions are group of workers who make are responsible for raising the demand and
needs of employees. Although the concept of trade union lost importance because of the
generation of new department in almost every company i.e. HR department. This division is
responsible for resolving all the problems of employees.
CONCLUSION
At the end, it can be concluded that English legal system may have many loopholes but
still many countries has copied their legal system. Their mainly three source of law in UK but
European law may not remain applicable post Brexit. Forming a company in UK involve a fixed
procedure. ADR has gained importance because it resolve conflict in less time.

REFERENCES
Books and Journals
Adams, A., 2006. Law for business students. Pearson Education.
Adams, A., 2010. Law for business students. Pearson Longman.
ADAMS, A., 2018. ADAMS: Law for Business Students. PEARSON EDUCATION LIMITED.
Nichols, P.M., 2012. The business case for complying with bribery laws. American Business
Law Journal. 49(2). pp.325-368.
Eren, S.S. and et. Al., 2012. Caching message fragments during real-time messaging
conversations. U.S. Patent 8,255,473.
Bebchuk, L.A. and Jackson Jr, R.J., 2012. The law and economics of blockholder
disclosure. Harv. Bus. L. Rev.. 2. p.39.
Bishara, N.D. and Westermann‐Behaylo, M., 2012. The Law and Ethics of Restrictions on an
Employee's Post‐Employment Mobility. American Business Law Journal. 49(1). pp.1-61.
Ragazzo, R. and Fendler, F., 2013. Closely Held Business Organizations: Cases, Materials, and
Problems.
Weatherill, S., 2014. Cases and materials on EU law. Oxford University Press, USA.