Business Law and Ethics: Impact of Brexit on UK's Parliamentary Sovereignty

This project report discusses the impact of Brexit on UK's parliamentary sovereignty and the relationship between business law and ethics. It explores the loss of foreign investment as a consequence of Brexit.

Business law and ethics

INTRODUCTION
Business law, also known as trade law or merchant law governs the relationship among
individuals in consumer contracts, whether it is through convention, contract or domestic or
international law (Werhane, 2019). The project report is based on the Brexit and its impact on
United Kingdom as well as on UK’s parliamentary sovereignty. For this purpose different kinds
of examples and situations are explained in a detailed manner.
MAIN BODY
EU law is a rules control system within the European Union Member States. The EU
adopted a goal "to bring about peace, its valuation, and a well being of its persons since the
establishment of the Coal and Steel society after the Second World War. The EU has democratic
structures, social and economic programs that reach beyond national states to collaborate and
grow citizens. The EU constitutes a "modern system in foreign law," according to the court of
appeal. Measure the strength of the EU is the Treaties on the EU and the Treaties on the
Functioning of the EU, which the governments of twenty seven participants States have agreed
uniformly. New shareholders are able to take part through legislature and ones government
bodies in shaping laws, and the member nations may leave in accordance with "own legal
provisions".
BREXIT- Brexit is the resignation from the European Union of the United Kingdom. In June
2016, the European commission officially declared the departure of the nation in March, after a
UK-wide poll of 52 percent opting to leave and 48 percent opting to stay in the Union (Crane,
Matten, Glozer and Spence, 2019). The resignation in the UK legislature was postponed by a
deadlock. The legislative body permitted the exit deal after the national elections of 2017 and
2019, and United Kingdom entered the EU at 11 p.m. 31/1/2020 for GMT. It is a transitional
time that will conclude on 31/1/2020 as the UK and the EU discuss their potential ties. The
United Kingdom will be subject to EU legislation and will continue to participate in transfer to

European Union and the Common Market, but will no longer belong to the EU agencies or
bodies. The removal has been supported by strong Euro skeptics and rejected by soft Euro
skeptics and pro-Europeans with the debate from both sides reflecting the political spectrum. In
1973 the UK joined in and preceded its participation in the European Communities – mainly the
European communities (EEC) – in a referendum in 1975. In the seventies and nineties, the EC's
removal was supported mostly by the right, e.g. in the 1983 election platform of the Labor Party.
The Maastricht Treaty of 1992 established the EU but it was not referred to (Chow and
Schoenbaum, 2020).
Impact of BREXIT on UK’s parliamentary sovereignty- The United Kingdom is separated from
other nations by having Legislature the sole legislative body. According to Albert Dicy, the
Parliament has 'the right, in accordance with the British amendment, to produce or to reject any
law as well as, in addition, no individual or authority has the right, through common law, to
supersede or reject the laws of the House. Thus a federal structure and codified law, there have
been many changes over the years in the workings of Parliament and the United Kingdom
Constitution, especially as the United Kingdom became a member of the European Union. As the
UK is preparing to leave the EU, judicial independence has now been restored as the United
Kingdom is no longer bound by EU legislation. The orthodox specification of parliamentary
democracy will not be reestablished while legislature retains power (Ciulla, 2020). The report
will discuss both the steady growth of the law and the increase in powers of the judicial system
in the UK.
Parliamentary Sovereignty and the Constitution:
United Kingdom is separated from other nations by having Legislature the sole legislative
body. Assembly, as per Albert Dicey, 'has the right to make, to undocumented, any law under the
English Constitution; and furthermore, the English Law does not acknowledge that any person or
entity is entitled to override or disregard parliamentary law.' Although the majority of nations
worldwide have a specific standard document outlining how the nation should perform and
laying down their nation's fundamental rules, the UK does not (Arnold, Beauchamp and Bowie,
2019). No Constitution is enforced or written; only legislative supremacy that was formed as the
foundation of the constitutional in the United Kingdom. As a result of the absence of a federal
structure and codified law, there have been many changes over the years in the workings of

Parliament and the United Kingdom Constitution, especially as the United Kingdom became a
member of the European Union.
The Courts and the Orthodoxy Constitutional Theory:
Courts, in particular judges, are largely responsible for protecting UK citizens ' rights, ensuring
respect to principles in legislation and for the application of UK law. They must also challenge
laws which do not align with the legal system, a principle that also safeguards civil dignity. This
is particularly noted in Enrick v Carrington when common law courts establish a court
framework, stating that government leaders could not use public authorities without a certain rule
of law-based legal basis. The European Convention on Human Rights presently protects these
human rights in the United Kingdom. It should be noted that, unlike European law, it is not
directly applicable, although this does not affect the secular parliamentary sovereignty in this
field. In addition to the ECHR, the Human Rights Act 1998 included new ways of enforcing
rights within UK domestic courts that had a positive effect on the UK. In R (Jackson and / or) v
Procurator-General Lord Hope observed that "the rule of law upheld by the courts is the supreme
governing principle about which our constitution is centered" (Appointee Hope, Jackson and
ors). Though the rule of law is ushered to as a significant part of the United Kingdom
Constitution, things haven't always been since they are and now Supreme Court did not always
have such power (David and James, 2019). In the Pickin v British railroads Council, the House
of Lords stated that, because the function of the judge is to apply the laws and practices of
legislature, the jury should not worry itself with how legislature exercises its operations. The
orthodox procedural principle does not apply to the loyalty of the courts towards the citizens or
to a super-legislative state. This approach, however, has slowly started to change and the UK
has slowly gone beyond the legislative ideology theory. As they start to ask the power of
Parliament the judicial branch's role started to shift; the superiority of the parliament was reduced
and laws were questioned. As a consequence of UK decisions, traditional statute
constitutionalism and the concept of the legislative authority have evolved into what it is now, as
it has taken on a significant position in protecting human rights in the United Kingdom because
foreign law has been enforced (Wilson, 2020).
Joining the EU and New Limitations to Parliamentary Sovereignty: The Orthodox parliamentary
authority varied considerably from European law, which made EU membership problematic. If

the UK were part of the EU, significant changes will occur (Bull and Ridley-Duff, 2019). Two of
the key adjustments stated that Collective laws should take priority over both legislative and UK
regulation. EU law will not allow a Legislative framework not consistent with EU law to be
adopted, and some legislative organizations such as legislature were granted immunity by
excusing the domestic rule of law. When the United Kingdom decided to enter the European
Union, Parliament’s power was limited by the direct effects theology. This was founded before
people joined the European Court of Justice, which stated clearly that EU law reigns supreme in
the event of a conflict between Member States and national legislation. This would be the case
with Van Gend en Loos, where the Netherlands customs officials needed the payment of an
importation tax, but Van Gend can rely on EU legislation to decline paying that tax. It was
expressed that, " The EU court defines that the Community as therefore another legitimate
application for the assistance of global law restricting the member countries 'and their national
teams' national sovereignty. The case established an important requirement: the instant effect of
national laws. It was noticed further in the case in Costa v ENEL, whereby the decision was that
'the EEC Convention formed its own legal structure which, when the Treaties acquired authority,
became a crucial part of Member States' valid structures and that their judges would, of course,
implement (Ciulla, 2020).
Example 1: Loss of foreign investment
After leaving the EU, the United Kingdom was confronted with this component, which reduced
its foreign direct investment following the Repay period when the United Kingdom was a part of
the Union, that nation was able to boost its massive foreign investment by supporting the extra-
ordinary economic ties of the European Union with the various Asian , African and Latin
America. The United Kingdom is actually reluctant to attract a significant number of MNCs to
participate in its own permission sector, as the EU has a closer alliance with other foreign
corporations than the United Kingdom. Essentially, this is the detrimental effect of the brexit on
this nation (Surdam, 2020). On the other hand, other euro nations which are still members of the
EU do not like to invest in the United Kingdom even though they give the United Nations a
higher priority than the United Kingdom. This is why this nation has confronted a lack of foreign
capital expenditure in recent years. Of sure, local governments are constantly trying to establish
central ethical in other developed nations that are not member of the Union, such as the United

States , Japan, Australia , Canada, Russia, etc. The key objective behind successful ties is to
greater subjective investment in the region. Essentially, foreign investment gives the United
Kingdom a chance to grow its economy internationally. Of note, the United Kingdom is actually
one of the wealthiest nations in the world. But the reality is, wealthy nations have also required a
large amount of foreign capital expenditure to always be listed in a wealthy nation. This is why
the move of the European commission to exit the EU has adversely impacted its overseas
investment factor. Lately, the current headquartered in the United Kingdom has confirmed that,
since no multinational investor invests inside the United Kingdom by creating its business
activities here, city authority will not enforce high taxes on that corporation.
CONCLUSION
On the basis of above project report this can be concluded that countries should follow
proper legislations and rules that are decided under constitutions. This project report concludes
about UK and its parliament. In the project report detailed information about brexit and its
impact on United Kingdom’s parliament is mentioned. The further part of report concludes that
the United Kingdom has had a major impact on its decision to leave the European Union (EU).
Now the nation is not in a position to take enormous account of the positive characteristics of the
United Kingdom, but after having to leave this federation the United Kingdom has also achieved
several other opportunities for growth. For example, the current United Kingdom is capable of
taking decisions on a stand-alone basis. With the approval of the EU, it can incorporate any
transformation in its nation. Essentially, this decision to leave the EU has had a positively and
negatively impact on the United Kingdom in both aspects.

REFERENCES
Books and journal:
Werhane, P.H., 2019. The normative/descriptive distinction in methodologies of business ethics.
In Systems Thinking and Moral Imagination (pp. 21-25). Springer, Cham.
Crane, A., Matten, D., Glozer, S. and Spence, L., 2019. Business ethics: Managing corporate
citizenship and sustainability in the age of globalization. Oxford University Press, USA.
Arnold, D.G., Beauchamp, T.L. and Bowie, N.E., 2019. Ethical theory and business. Cambridge
University Press.
David, M. and James, W., 2019. Business ethics. HAL.
Bull, M. and Ridley-Duff, R., 2019. Towards an appreciation of ethics in social enterprise
business models. Journal of Business Ethics, 159(3), pp.619-634.
Ciulla, J.B., 2020. Ethics and effectiveness: The nature of good leadership. In The Search for
Ethics in Leadership, Business, and Beyond (pp. 3-32). Springer, Cham.
Surdam, D.G., 2020. Overview of Business Ethics. In Business Ethics from Antiquity to the 19th
Century (pp. 15-37). Palgrave Macmillan, Cham.
Wilson, M.B., 2020. The Business Ethics of Recreational Marijuana.
Ciulla, J.B., 2020. Is Business Ethics Getting Better? Business Ethics and Business History.
In The Search for Ethics in Leadership, Business, and Beyond (pp. 165-175). Springer, Cham.
Chow, D.C. and Schoenbaum, T.J., 2020. International business transactions: problems, cases,
and materials. Wolters Kluwer Law & Business.