Sources of Law and Dispute Resolution

The assignment discusses the various sources of law, including statutes, directives, and case laws. It highlights the mandatory application of statues and the discretionary power of judges in applying common laws. The document also delves into the reforms and developments in the UK legal system, specifically focusing on company, employment, and contract laws. Furthermore, it compares and evaluates different sources of legal advice and support, concluding that alternative dispute resolution methods can be a viable solution to disputes.

Business Law

Table of Contents
INTRODUCUTION........................................................................................................................5
ACTIVITY 1...............................................................................................................................5
Presenting different sources of law..............................................................................................5
Role of government in making law.............................................................................................5
Application of statutory and common law in the justice court....................................................6
Evaluation of effectiveness of the legal system of recent reforms and development..................6
Impact of various laws on the business.......................................................................................7
Identification of difference between legislation, regulation and standards and their impact on
the business..................................................................................................................................8
Coherent and critical evaluation of the legal system and law.....................................................8
Different typos if business organisation, there legal formation, management and funding........8
Pros and cons of their formation..................................................................................................9
Critical review and evaluation of the different types of business organisation.........................10
Identification and recommendation of appropriate legal solution to resolve disputes..............10
Comparison and evaluation of different sources of legal advice and support...........................11
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................13
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INTRODUCUTION
The commercial law is that body of law which defines the rules and regulations to
governs the business operations. All the activities and transection be it monetary or non-
monetary transaction. In the present report the details of English legal system is discussed with
the sources of law, application of statutory and common law in the justice court. The different
forms of business organisation are defined along with the evaluation of legal as well as
alternative dispute resolution methods in solving the commercial dispute.
ACTIVITY 1
A)
Presenting different sources of law
Legislation: is of two types primary and delegated. The former one is the act of
parliament where statute laws are from the legal parliamentary procedure. In the delegated one
the public authorities, local bodies and ministers are given authorisation from the parliament to
make the laws over specific matter.
Directives: are the given by the EU which must be adhered by all the embers state of
EU as UK is still a part of the EU the directive given over the operation d of trade and commons
with in the EU with other member nation must be followed by UK.
Case laws: This is the actual source from where this legal system have initiate to make
the law. In this the decision given in the justice court becomes a law through the doctrine of
judicial precedent. This is applicable to all lower courts and tribunal for the case of same subject
matter.
Role of government in making law
The process starts with presenting a proposal to the public bodies or electing parties,
which form a draft legislation over the matter on which law is to be made. The draft is presented
to the cabinet minister for approval. After getting a consent is becomes a bill to be presented in
parliament for further proceedings. The bill is presented to one houses out of two that it houses
of commons and house of Lords (Partington, 2016). The introduction of bill is done by first
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reading where tile of the bill is read and discuss what the bill is about. The second reading is
where the principles of the bill is discussed and voted upon. After this bill is referred to the house
committee in the committee stage where the committee discuss the bill in detail and makes
amendments. The bill is again sent to the house to consider the changes and vote on the same in
the report stage. The bill goes to the final stage of their reading over accepting or rejecting the
bill before further proceeding. The bill is presented to another house of parliament which makes
changes and same is consider by the first house as we ll. After getting approval from both the
houses it is sent to the Queen for getting a consent and coveting the same into law.
Application of statutory and common law in the justice court
The statues are made through the act of parliament which required to be followed by the
courts as it is without any changes. The statures are interpreted through the internal and external
aids such as regulations, hansards, dictionaries (Melissaris, 2016). No Court can question the
statues and they can not deny to follow the same. All he courts have to interpret the law in there
actual sense and with appropriate meaning. On the other hands the common law is the original
source of law of English legal system and they are applied in the court by following the court
hierarchy. This mean a decision passed by a higher level of court is required to be referred by
lower courts. The courts are given with a discretionary power to deny the earlier decision when
there is an error in the decision of interpretation of the law or omission in considering the facts
or facts in deciding the cases for instance to sole a dispute over the wages and salary of an
employee the court will see the Employment Rights Act, 1986 to solve the dispute and see the
statutory provision related with the wages. Conversely to decide the employment status of
independent contractor giving services to a business the case laws of Pimlico plumber and Uber
V Aslam will be seen and as per circumstances of the case decision will be given by the court.
Evaluation of effectiveness of the legal system of recent reforms and development
The recent reforms and development in the UK legal system can bu outlined for last 15-
20 years in two different phases. In the phase 1 the changes are made in transferring
responsibility for offender managements services (prisons and pobation) from the Home Office
to the Ministry of Justice and ensuring that the Secretary of State for Justice Chancellor was a
member of the House of Commons, not the House of Lords – and indeed did not have to be
legally qualified; creating the Legal Services Commission, to run legal aid and pioneer new
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approaches to the delivery of legal services to the poor. Moreover in 2009 the authority of the
court of Appeal was taken from the House of Lords and given to other authorities (Edge and
Harvey, 2017). In the phase 2 institutional changes were made which includes creation of the
college of police, national crime agency, family courts, courts to hear commercial disputes of
international level. Furthermore the unions and other parties are referring to the methods of
alternative dispute resolution to solve the commercial disputes over the litigation process.
B)
Impact of various laws on the business
Contract law:
The contract Act, 1999 and the sale and Supply of goods Act 1994 governs the
contractual relation between the parties under a business transection. In the UK to form a legal
contract a business need to abide by all the requirement of the contract act. For the breach of any
of the provision the business can face legal consequences in the form of imposition of heavy
penalties or imprisonment under the civil law. For instances a promise is made a party to
business to fulfil certain requirement for another party and if business fails to abide by the same
in stipulated time it can be considered as breach and rules in penalties or jail.
Employment law:
The Employment Act, 2015 and the employment rights Act 1996 governs the relationship
between employer and employee. These act define the rights and powers of the employers and
employee along with defining their duties and responsibilities under the employment contract.
Both the employee and employer need to act in accordance with the prescribe guidelines
business (Draper and Newton, 2017). For instances the employer have duty to treat each and
every employee equally, to have non-discriminatory practices in the office, to follow rules of
Equality act 2010. If business fails to follow the same it can face serious charges against itself in
form of imprisonment and heavy fines.
Company law:
The companies Act 2006denifes the rules and regulation to form, run and end a
company. In UK each and every company need to be incorporated as per the rules of this act and
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business activities and operations must be carried out in accordance with the provision of the act
as well. Furthermore it must be dissolved through the legal procedure only. For instance for
registration the business is required to file Memorandum and article of association, statement of
equity of shareholder and of legal compliance. In a company lag in any of these it can never get
registered to the companies house.
Identification of difference between legislation, regulation and standards and their impact on the
business
The legislations are made through the act of parliament and a need to be followed on
compulsory basis whereas regulations are the extension of the of the statue law which defines
the laws and its certain provision detailed explanation and how the laws can be applied in the
common practices (Deacon and Wring, 2016). The standards are the set bar or the level of
performance to be achieved by the business organisation. This can be stated that the legislation
are the basic laws which are mandatory to follow and regulation as there explanation and
extension are also required to follow strictly. On the other hand to follows the standards is
voluntary and on the discretion of the business.
Coherent and critical evaluation of the legal system and law
The evaluation of all three above mentioned terms can be done as the legislations such
as Employment Act 2015 is required to be followed by a business compulsorily whereas the
Employment regulation 1999 are explanation to the act so it is also required to be achieved
compulsorily. Whereas the health and safety standards 2010 are the definite bar to maintain and
health and safety under occupation and this is not the choice of the business to follow it or not.
For this it can be stated that the regulations and regulation is the buondation of the company to
follow while the standard have a voluntary power to follow or not.
C)
Different typos if business organisation, there legal formation, management and funding
Sole trader: is the simplest form to start and run a business as it forms by a single person and is
operated by the same individual. Capital to start and run the business is brought in by the owner
itself and the/she is responsible for all the action of the business (Mason and Harrison, 2015).
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The owner and business is a single unit have the liability of owner is unlimited as the personal
property can be sold off to meet the obligation of business.
Partnership: business is formed by two or more person to carry on the firm by all under one
name. This is not a registered business so no need to follow the legal rules for its formation as
well dissolution. The partners bring in the capital proportionately (Sullivan and Hannis, 2015).
The profits of the business is shared among the partners in a pre determined ratio. Moreover the
business is managed by the partners all together and each of them have definite set of duties and
responsibilities towards the business. The liability of the partner is also unlimited and they and
business are not separate legal person under the eyes of law.
Company: is a registered from of business under the provision of the company act 2016. The
capital of the business is funded through equity, crowd funding and angle investors. It is
managed by the directors and the mangers who are appointed in the annual general meeting of
the business. Moreover the business from its incorporation become a legal person and have a
separate legal entity statues distinct form its members and directors. This means the liability of
them are limited to the extent of their investment level in the business part from that they can not
be held liable for the obligation of the company. The company being a legal person have a right
to be sue and it also sue others.
Pros and cons of their formation
Sole trader: the advantages of forming a sole trader is that it is easy to start and do not
require outside funding. The owner bring in the capital to start the fund so no legal requirement
is need to follow to from such business. moreover all the profits of the business belong to a the
single person responsible to incorporate and operating it (Lyons, Reader and Stephan, 2017).
The Sole trade business is a boon to those who wants to start a small business with small
funding. The disadvantage of forming this busies is that it do not have a legal back up as it is
non registered from of business. further the owner is requires to bring all the funds to start and
run the business. in this type of business the liability of the owner is also unlimited so t his/her
personal property can be sold to meet dues of the sole trader business.
Partnership: the pros of form this type of business is that the capital to start this type of
business is brought in the partners so burden do no fall on a single person. The partners share the
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duties and responsibility to run the partnership firm. Furthermore with more mind comes more
ideas so aids the decision making process. The con of forming tis type of business is that the
profits get shared among the partners. With more minds changes are likely of arising disputes as
there are chances that the interest and ideas of partners conflicts with each others. In this type of
business the liability of the business is also unlimited hence each partners is responsible to meet
the financial dues of the firm
Company: the benefits of starting a registered company is that for starting this business
the owners are not required to being on all the capital rather outside funding can be done to
invest in the business. The business is a separate legal entity distinct form its members and
directors so the liability of these people is limited to the level of their investment. The company
is a legal person have a right to sue others for breach or wrong actions (Countouris, 2016).
Moreover, a company is backed up the legal provisions of the companies act 2006. The Cons of
forming a company is that the profits of the business do not belong to the owners rather it
belongs to the shareholders. Moreover the owners lost the control over the business ones it gets
incorporated. As a legal entity it can also be sues by others as well under the company name. to
gets the funds of the business is not easy and the startup cost of a company is too high.
Critical review and evaluation of the different types of business organisation
All the three businesses that is sole trader, partnership and the company are altogether
different from each other. The sole trader is not registered and owned and operated by a single
person where as partnership is also not registered but it is owners and operated by 2 or more
person but the number is limited to 10-15 (Hassan and et.al., 2016). Conversely the company is
registered form of business which is owned by the shareholders and operated by managers and
directors. Moreover sole trader and partnership is easy to start with no or less legal formalities
as compared to the company which needs more legal requirement to get incorporated.
D)
Identification and recommendation of appropriate legal solution to resolve disputes
Facts of the case: An independent contractor A is working in ABC led and have a written
employment contract with the employers. The worker is required to work as per the terms and
conditions of the employers, he is also asked to work in the company by wearing the uniforms
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and can leave with prior approval form the manager. Furthermore, the contractor is given the
tools to carry work by the company and is not allowed to replace in his position to work.
Legal solution: as per the provision of Employment Right Act there is a difference
between the employment condition of employee and self contractor (Creutzfeldt and Bradford,
2016). The independent worker do not work as per terms and condition of employers with
having on contract, they bring in their own tools and equipment and can ask someone else to do
their work. Also as per the decided case law of Pimlico Plumber case in 2018 if an independent
worker do not fulfill the requirement of being one he/she is said to be the employee of the
company, in this case A is determined to be the employee of ABC. This makes him eligible all
the rights and powers as that of an employee.
Alternative solution for the same case: A and ABC can refer mediation method of the
alternative dispute resolution to solve the dispute between them. Here a third impartial party will
act as an mediators and try to bring both A and ABC on talking term to negotiate over the terms
of dispute to solve the same. Here as the many of the case have already been decided for
determining the employment status on independent contractor such as Pimlico, Uber. So the
parties can decide upon giving A status of employee and avoid the litigation process which is
time consuming and also expensive.
Comparison and evaluation of different sources of legal advice and support
This can be stated that both the legal and alternative advice gives solution to the dispute,
in the legal one the courts is refer to solve the case which gives a biding decision and have a right
to appeal (Becker, 2015). Conversely in the alternative one the dispute is solve without going to
court and decision is taken by the parties themselves and it can be made binding by taking an
order of the court on the same as a legal solution to the dispute. Furthermore, legal solution is
time consuming and expensive as compared to the alternative dispute resolution method.
CONCLUSION
To conclude it can be stated that the sources of laws are the legislations, directives and
case laws. The application of statues is mandatory and common laws are applied compulsorily
but with discretion power of judge. The recent reforms and development in the UK legal system
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have changed the outlook of the legal structure and application. Moreover it can be articulated
the company, employment and contract laws have a direct impact on the business organisation.
The different types of organisation have been identifies as sole trader, partnership and company.
All of them have different legal structure, management and funding sources. For the last section
of the report it can be concludes that to solve dispute legal advices is good but same can be
resolved through ADR methods.
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REFERENCES
Books and journals
Becker, G., 2015. EU Competition Policy. Wiley Encyclopedia of Management, pp.1-6.
Countouris, N., 2016. The changing law of the employment relationship: comparative analyses
in the European context. Routledge.
Creutzfeldt, N. and Bradford, B., 2016. Dispute resolution outside of courts: procedural justice
and decision acceptance among users of ombuds services in the UK. Law & Society
Review, 50(4), pp.985-1016.
Deacon, D. and Wring, D., 2016. The UK Independence Party, populism and the British news
media: Competition, collaboration or containment?. European Journal of Communication. 31(2).
pp.169-184.
Draper, M. J. and Newton, P. M., 2017. A legal approach to tackling contract
cheating?. International Journal for Educational Integrity. 13(1). p.11.
Edge, P. W. and Harvey, G., 2017. Law and Religion in Contemporary Society: communities,
individualism and the state. Routledge.
Hassan, K.H and et.al., 2016. The use of technology in the transformation of business dispute
resolution. European journal of law and economics,\. 42(2). pp.369-381.
Lyons, B., Reader, D. and Stephan, A., 2017. UK competition policy post-Brexit: taking back
control while resisting siren calls. Journal of Antitrust Enforcement. 5(3). pp.347-374.
Mason, C.M. and Harrison, R.T., 2015. Business angel investment activity in the financial crisis:
UK evidence and policy implications. Environment and Planning C: Government and
Policy. 33(1),. pp.43-60.
Melissaris, E., 2016. Ubiquitous law: legal theory and the space for legal pluralism. Routledge.
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Partington, M., 2016. Introduction to the English legal system 2016-2017. Oxford University
Press.
Sullivan, S. and Hannis, M., 2015. Nets and frames, losses and gains: Value struggles in
engagements with biodiversity offsetting policy in England. Ecosystem Services. 15. pp.162-173.
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