Business Law: Types of Business Organizations, Employment and Contract Law, Duties of Directors

This report provides an overview of business law, covering topics such as the different legal types of business organizations, the potential impact of employment and contract law on Green Courier Services, and the duties of directors under company law. It discusses the formation of companies, the rights of employees, and the responsibilities of companies during capital raising and company/shareholder meetings.

Business law

TABLE OF CONTENT
INTRODUCTION.......................................................................................................................................3
PART 3- Case study....................................................................................................................................3
1. The different legal types of business organisation and the steps taken to form a company..................3
2. The potential impact of employment and contract law upon a Green Courier Services.......................5
3. Duties of Directors under company law...............................................................................................6
4.Responsibilities of the Company when raising capital, during company meetings and shareholder
meetings..................................................................................................................................................7
CONCLUSION...........................................................................................................................................8
REFERENCE..............................................................................................................................................8

INTRODUCTION
Business law Deals with branch of law that helps out to maintain all the corporative laws in act
with civil rights and laws in order to protect the business organisations. Business legislation is
mainly the status through which all the important regulations of business can be framed by civil
law as it helps out to maintain the issues of public and private laws (Ansari, 2019). It helps in
maintaining the changes with all the intellectual areas which has been faced in the business
practices in various types and sizes. In order to maintain the business law there are various
enactments of legislations that are being needed like employment law, company, contract and
many more this report will cover different forms of business organisations and their further
impact in the laws and on the firms.
PART 3- Case study
1. The different legal types of business organisation and the steps taken to form a company.
Business organisation has different legal types they are as follows:
 Partnership: It is mainly when two or more individuals mutually discuss and decide to
open any business in a partnership firm then they are meant to be partners. In such
business practices there is a mutual contribution of capital and also the sharing of profit
and loss by the partners will be in equal manner as that will be set out through the
partnership agreement. It covers out unlimited liability with various debts and assets with
liabilities area. This mainly require registration in order to form from HMRC And also
through the partnership agreement. One more partnership that is being made is through
limited liability as it cover partners who have limited liabilities in debts and it can
maintain the capital contribution in the firm. But in order to form both the partnership
there is the registration from HMRC and company house is being needed.
 Sole proprietorship: Such kinds of business practice have a single owner used to carry all
the business practises alone. All the personal liabilities and debts are being handled by
the owner of the firm (Bobyleva, and Lvova, 2018). It mainly covers the formation
through the registration processes in HMRC with appropriate names of the sole
proprietorship. They usually are not involved in any kind of formation of business
practices of organisation.

 Company: It is the artificial personality which covers a common seal. Company a Bing
known as a separate legal entity which has the distinct owners. All the companies are
near general public in which all the share capital of the company are being covered by the
public and the other one is private company which is being handled by the private
individuals. Registration of company is being made by companies house as it requires all
the formalities in the incorporation through a lengthy process.
Steps for formation of company
In order to frame a company that is important that all the important documents are being
properly filled by the help of registrar of the company at companies house. It can be made
through the certification of incorporation that can be made into existence by issuing it on a
proper date. There are several documents that are being needed for incorporating the company
they are like:
 Details of company: This mainly includes the company’s name with that the registration
is being made as it is important that the name should be given to the company without
which the registration is not being possible. Also the registration address is being needed
with proper appointment of at least one director through which the company is going to
deal. All such documents are being served from the form IN01 that covers important
information (Davies, 2020).
 Memorandum of association and article of association: This is mainly being covered all
the important subscribers at an initial former states through which the companies act is
being covered. It mainly imply all the important contract That is being needed between
the shareholders and all the members of the company through which it is being regulated.
As when the documents are being filled the company will be on through the registrar as it
provides a final decision. Registrar of the company implicates the firm through which the name
of the company is being selected and all the share capital is with that the shareholders are being
mentioned in their ownership. The name that is being interest-rate of the directors are being
made to carry various role in the operation of company. With that all the responsibilities and
laws are being framed through the firm IN01 in the company. And finally all the important

formalities are being regulated through companies house in the certificate is being issued on the
name of the company.
2. The potential impact of employment and contract law upon a Green Courier Services.
Employment law: it merely serves out all the rules and regulations that are being made for
the employees and employers relationship by protecting the rights of all the employees from
discrimination and exploitation. There are certain rights that are being covered in employment
law which are as follows:
 Employers or not being allowed to discriminate any of the employee been working on the
basis of any characteristics and they should be provide proper fair and equal chances and
opportunities of working (Demel, and et.al.,2019).
 All the employers will have to maintain and obliged important contract of employment as
within the time period of 2 months of joining.
 Employee should get a proper safer environment in their workplace as employers should
have to make proper arrangements regarding the health and safety of the employees being
working in the organisation.
 The minimum wages should be given to all the employees been working who are being
entitled in order to pay for the holidays as according to the salary that is being discussed.
Green courier services should try to provide proper rights to their employees so that their
employees will feel confident and satisfied towards their organisation and also try to maintain the
goals and the targeted objectives satisfactorily.
National minimum wages act: It is a law that helps out to protect all the rights of the
employees being working in the companies and organisation through minimum wages that as
being entitled them to get as an equal pay. It provides the minimum renumeration that has been
made with the legal requirements of all the age of workers. And also provides the employers to
legally make the clause through which the employers are being paid their wages. Green courier
company should maintain to pay all the workers whether they are working in the zero hours or
not having the contract.
Data protection act: It is mainly the statue that has been governed in order to maintain
the personal data and also the flow of the relevant information in UK. It covers important

guidelines regarding the organisation and also about the data of the employees being working as
an unlawful manner with a fair and transparent opportunities. The green courier services should
try to implement employees data in a safer and confidential manner through fair practises.
Equality act and diversity act: It is mainly legislation which is been made in order to
provide equal and fair opportunities to all the employees working in the workplace it helps out to
remove the discrimination and also to eliminate all the issues and protect the employees working
according to their age, sexual orientation, pregnancy, marriage etc (Eccleston, and Elbra, 2018).
The green courier services should try to maintain fair and equal chances to their employees in the
working environment.
Health and safety at Work act: It is mainly the legislation which provides all the
important duties of the employers and employees to properly ensure the health and safety
measures in the working place. The employees should try to ensure to maintain all the safety
equipments and also the training and techniques within important hazardous equipment to their
employees being working in the company (Story,2020). Green courier services should try to
maintain proper retention and also the goodwill for the employs Indians working area. As a
proper safety and health measures should be taken by the company in order to ensure the safety
of workers.
3. Duties of Directors under company law.
Duties of director of company law
Companies act 2006, covers out from section 171-177. As it implies various duties of directors
which are mentioned below:
 Section 171 duty to act within the powers: It mainly covers the directors duty to maintain
the Constitution of the company. And also to include the memorandum of association
with the article of association in order to exercise all the powers by the director through
the conferred mean.
 Section 172 duty to promote success: All the directors are being involved to work in a
good faith and also to promote success of company. It is being needed in order to
maintain the decision which is not being adverse in the company.

 Section 173 duty to exercise all the independent judgement: All the directors will act
within the Independent power and will also framed the advice which are not being used
blindly and in order to maintain the independent judgement.
 Section 175 duty to avoid all the conflict of interest: All the directors are being needed
to maintain a peaceful environment and also to avoid conflict interest in the company and
all the situations of conflicts (Gourinchas, and et. al.2020).
 Section 176 duty in order not to accept the benefits of the third-party: All the directors
should not take any kind of virtual benefits or gift they should try to ensure that all the
hospitality policy regarding the duty should not come under the foul.
 Section 177 duty to provide the interest for the arrangement and also for propose
transactions: All the directors will thereby provide proper areas in which the declaration
and no conflicts can be maintained within the contract.
4.Responsibilities of the Company when raising capital, during company meetings and
shareholder meetings.
The company have to maintain all their finance with equity and debts. It is mainly being
made through the limited of shares that are being maintained by the finance of equity. Debts and
shares are different from each other as deaths used to cover the capital letter being arranged from
the loans in the bank and also cover the contract that has been raised by the creditors in order to
maintain the interest for security on all the assets of companies for the insolvency the creditors
will amount to maintain the secured asset. All the companies have to maintain the promotion
with various material facts regarding to the reach of prospectus in capital (Rabia, 2017).
Meetings are mainly of two kinds general meetings that covers the directors and with that
the board members. As according to companies act 2006 they will not be required of any
statutory meeting as various directors and board members are being allowed and if such meetings
are not being held then their strategy requirements are being complied. All the records are being
taken care of regarding the attendance in the time period of meeting. It used to cover the
resolution through which registration in the office of the company is being registered. And it also
maintain the details about the companies house. All the general meetings are also being known
as shareholders that covers 5% of per share capital. The will not lie any statutory holdings for the

shareholders in order to issue their key decisions like for payment, dividend and all the
approvals.
The company resolution of mainly the legal binding areas in agreement that used to cover
the members and the directors of the company. It used to cover the resolution through which the
votes can be cast end a majority can be reached with through which the resolution has been
passed there are various different types of resolution which are being mentioned below:
 Special: It used to cover 75% of the majority and also being filed within 15 days of the
companies house the Copies are also being required of all such registered office within the
period of 10 years it is mainly being passed after the Constitution of the company is being
framed and affected (Rhee, 2020).
 Ordinary: It used to maintain all the simple majority vote through which the decision is
being maintained by the legislation through article of association and also frame the special
resolution in all the car cases in matters.
CONCLUSION
It is concluded from the report that business law is an important field in order to maintain
all the legislation and cover various laws like employment, company, contract and many more.
Contract law implicate the offer acceptance and all the legal implications. All the rights are being
involved for the minimum wages and also for the employment terms and pay holidays with the
safety and health measures of the employs. Further it is also analysed that it is the duty of
directors to maintain the statues and also to act in good faith by avoiding conflicts.
REFERENCE
Ansari, 2019. Reminding State Owned Enterprises (BUMN) Management Using the Principle
of’Business Judgment Rule’: A Preliminary Note. Budapest International Research and
Critics Institute (BIRCI-Journal): Humanities and Social Sciences, 2(3), pp.27-38.

Bobyleva, and Lvova,2018. Insolvent business rescue in modern Russia: lessons for new
legislative approaches. Economic and Social Development: Book of Proceedings, pp.34-
41.
Davies, 2020. Introduction to company law. Oxford University Press.
Demel, and et.al.,2019. Job preferences of business and economics students. International
Journal of Manpower.
Eccleston, and Elbra, 2018. Business, civil society and the ‘new’politics of corporate tax justice:
paying a fair share? Edward Elgar Publishing.
Gourinchas, and et. al.2020. COVID-19 and business failures. NBER Working Paper, (27877).
Rabia, 2017. Business Law, ed 2, Tehran, Samat.
Rhee, 2020. Essential concepts of business for lawyers. Aspen Publishers.
Story,2020. Commentaries on the Law of Agency. BoD–Books on Demand.