Business Law and Dispute Resolution in the UK

This assignment delves into the crucial role of business law in regulating UK commercial activities. It emphasizes legislation designed to safeguard employees in the workplace. The report highlights the significance of Alternative Dispute Resolution (ADR) processes for effectively resolving disputes within a business context.

Business law
Contents

INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Structure of English legal system and diverse source of laws which company must adhere
with:........................................................................................................................................1
P2: Role of governing bodies in law making.........................................................................4
TASK 2............................................................................................................................................6
P3 Impact of business law on organisation:...........................................................................6
TASK 3............................................................................................................................................8
P4 Legal solution to business problems:................................................................................8
(a)............................................................................................................................................8
(b)...........................................................................................................................................8
TASK 4............................................................................................................................................9
P6............................................................................................................................................9
(a):...........................................................................................................................................9
(b).........................................................................................................................................10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
Business law is an essential tool for incorporating business objectives in an effective
manner. If someone is going to incorporate the business, then senior manager has to adhere the
business law appropriately. This is an essential task for following whole regulations rendered by
these authorities. Business law is a legal Act under which all the provisions related to the
business are covered (Newburn and Stanko, 2013). Main aim of the government behind
emerging of these rules and regulation is to render a fixed process related to smooth running and
closing of business activities. Complying of these laws by companies prevents the firm from
legal prosecution. In this study, Judiciary layout of the English Legal System which is followed
by companies in accordance with their functions, role of government in emerging of laws and
obligations of the employer related to diverse laws would be elaborated.
TASK 1
P1. Structure of English legal system and diverse source of laws which company must adhere
with:
English law is constituted in the 18th century. It includes legal system which is applied on
England and Wales. English legal system contains law regarding Criminal and Civil procedure.
Both laws have a high importance to guide individuals and organisations of UK. The two types
of law govern different activities (Friedman, 2011). Such kind of laws are called as statutory
laws and Common laws.
Statutory Law: This law is proposed by the government and approved by members of
parliament. After approval of bill by parliamentary authorities, laws are made on such guidelines
which are mentioned in such bill.
Common law: This law is prepared by judiciary in the absence of statutory laws. These
laws are provided by sitting judges on the basis of previous principles and decisions. This is an
important law for running the state in order to overcome civil disputes and redress them
effectively.
Criminal law: This law includes all such laws which are prepared by the government
regarding all such offences which are of cognizable nature or not. Main reason for enacting this
law is to run the state effectively.
1

Business law renders legislations which are connected to incorporating of diverse kinds of
organisation types. These kinds of businesses cover the sole proprietorship, HUF, partnership
firms, and the registered entity.
Structure of the English legal system:
Both criminal and civil law have their own courts and diverse judiciary system. The process
adhered by the courts of both legislations are diverse from each other. The Judiciary layout of
Civil law which is adhered in the UK is mentioned as below:
 Firstly, there comes to Supreme Court which named as the largest court of the
Judiciary body. The verdict made by the Hon’ble Supreme Court shall be binding
in the country and entire parties and all the Subordinate Courts.
 Then comes, Court of appeals in the judiciary layout of the civil legislation.
 High courts and the country’s session courts, where diverse rules and regulation
which controls behaviour of the individual and company. Diverse sources of law
are elaborating as below:
Different source of Law:
Sources of law refers to those authorities which does accountabilities related to forming
of diverse rules and regulation which directs individual and the organisation. Diverse sources of
law are elaborated as under:
2

 Constitution: This is adopted as an essential source of law which renders power to
diverse authorities (Trakman, 2011). The key reason behind adopting of constitution as a
source of law in order to render power to jurisdiction, government authorities, etc. the
key aim of constitution is to render rules and regulations to govern the tasks of state and
companies.
 Legislatures: This is known as the primary source of the law which assist in making
smooth running of the firm. apart from this, it can be said that the legislature is a kind of
enactment made the parliament for smooth running of state operations.
 Administrative law: This is the law which is made by the administrative authorities. The
main purpose of the agencies is to close monitoring of laws, rules and regulations which
is provided by the government. The key aim of the major agencies which are covered in
this contains boards, commissions and etc.
 Executives: In this, president of the state is presumed to be the highest authority. The
crucial role of the purpose of the agencies is to pass the bills which are demonstrated by
the parliamentary authorities. they likewise have the power connecting to the provisions
of orders.
Laws adhered by the companies: Entire companies want to incorporate their business and close
down enterprise needed to adhere entire laws, rules and regulations rendered by the government
(Newburn and Stanko, 2013). This can’t be possible for any individual to introduce business
tasks in the UK without applying these laws. Huge number of benefits are attained by the firm
such as avoidance from penalties, confidence of consumers and employees, enhanced brand
image, effective management, etc. these diverse laws are elaborated as below:
 Employment Rights Act, 1996: This act provides an equal right to the employees so that
they can protect their right by using the ERA,1996. The application of this law assists in
forming of legal environment in the firm. This law covers about handling of contract with
employees which renders that no employee is dismissed from their services without any
adequate reason and earlier notice.
 NMW Act 1998: This enactment renders about minimum wages needed by employer to
their employees. This means not any employer renders salary to their employee below
such limit rendered by such Act. This is adopted as a flagship policy.
3

P2: Role of governing bodies in law making
It has been observed that only parliament is one of the governing authorities which is
having right to pass any bills or ordinance those crucial for the development of an organisation
(Medema, 2012). At the international level there are mainly three core business operations like
that can represent citizens interest, to formulate laws and regulate every action which is being
made by local government. It has been observed that law making in an effective or hard process
for every legal bodies or financial service institutions.
This happens to be very tough role for UK government in order to make plan for the
process of implementing any laws in to force. This would consist of different types of stages
which is required during the formulation of specific policies and practices for a concern business
firm. This will be useful for parties to operate its operations in more reliable and efficient manner
(Kritt and Law, 2012). It has been seen that legal system is implemented by the order of
parliament and concern law making authority. A proposal is bind design before taking any
critical decision regarding development of rules and laws. This describe various phases of law
making steps in which they can transfer the bills into house of lord.
It has been determining that parliament is sole right to appoint maximum number of
people for preparing correct bills for the economy. The primary role of local government is to
make crucial decision regarding any changes required in present legal system. In the manner to
make alternation in some legal laws and rules they require to go through certain procedures. In
this process, main authorities which known as house of lord as operating in regards with
parliament can provide crucial contribution those are mention underneath:
Issues arises on a specific matter of governance: Under this, it summarises with various steps
that could be determine as per the mention topic which is based on common election (Kraakman
and Armour, 2017). It has been observed that there are few people those are operating in UK
have the right to select government.
 Ideas to deal with issues: It includes some crucial process in which determination of
accurate solution in regards to resolve plenty of issues those are arises at the time of law
making process.
 Discussion with interested parties: Under this process, a panel of groups sit together for
the purpose of making discussion about requirement of rules and sections. The perception
each member is taken into consideration.
4

 Formulation of green paper: It is said to a well organise structure of bill which is form
by local bodies. Its main objective behind formulation of this specific paper is to obey
permission of related parties of parliament.
 White paper: This policy is a well organise document which is develop by UK legal
authorities in order to think about its coming laws. It consists of various rules and
guidelines about the laws.
 Permission of cabinet member: After analysing every aspects of bill, it transfers their
various members of cabinet for the further approval. It is acceptable if everything is
mention correctly in it.
Asked for proposal to pass the bill: Under this, a well experienced lawyers are being appointed
in order to analyse guidelines those are mention under the bill in front of concern members
(Jones and Sufrin, 2016).
 Examination and acceptance of bills: Under this, it consists of selection of accurate
bills and make all necessary permission as per the requirement of an economy.
Stages of parliament:
First reading: According to this particular phase, it consists of initial reading of bills in
the court chamber and deliver a duplicate copy to every member exists in the parliament.
Second reading: In this process, bills is discussing with member whether rules are
effective for the nation. This will be known as primary aspects in regards with passing bills.
Committee stage: Under this phase, bill is conveying to reliable committee house for the
objective of analysis. This will be important stage because if bill is correct then it will be passed.
Report stage: This process of evaluation reviews every aspect which is being deliver by
committee member.
Third reading: In this stage, a well organise debate on bill is made in order to pass in the
parliament.
Approval from one department: If this bills is sufficient enough to pass all criteria in
the common house. After this house, it goes to house of lord for further approval.
Statutory laws Common law
It is propose by government and approve by
member of parliament.
This law is prepared by sitting judges on the
basis of previous decision and laws.
5

These are consider as main laws. Such kind of laws are amended and repeal by
the parliament.
TASK 2
P3 Impact of business law on organisation:
(a). Legal obligation of employer’s: This is the liabilities of the employer to satiate the legal
requirements and regulations that are needed by the government (Hanrahan, Ramsay and
Stapledon, 2013). There are various legal responsibilities of the employer in relation with
occupational health and safety, employee compensation, harassment, equal opportunities etc.
These are known as the crucial part of the firm and plays a crucial role in applying business
functions in an efficient manner in the United Kingdom. Because, the huge benefits are derived
by the employer such as confidence and trust of the employees, stopping from penalties and
prosecution, enhancement in the brand image, government assistance, timely fulfilment of their
objectives etc. Henceforth, Legal obligation of the employer in relation to all regulation is
mentioned as under:
Occupational safety and health: This responsibility of the employer is controlled by the Health
and Safety at work Act, 1974. According to this Act, employer is required to consider legal
obligation in order to consider of health of the employees in the company not only from the
physical injuries but likewise protect from mental illness (Gunelius, 2011). As per this, employer
has the obligation to render an efficient training to their employees related to implement of
techniques and render an adequate safety guards at the workplace. According to this, employer
has the legal responsibility to render an appropriate training to their employees so that they can
use equipment effectively.
 Workers compensation: Employer has the legal responsibility which has to
compensate employees against the injuries that are conceived at the workplace. This
covers about the obligation of the employees of the employers in order to render
medical advantages and wage replacements for wounded employees. The common
damages of pain and punitive damages which occurs due to the negligence of the
employer which arise due to the workers’ compensation.
6

 Harassment: This is a kind of behaviour which are adopted by the superior in order to
molest their subordinates specially ladies. However, this can be done due to the
influential power of the superior. In other words, this normally means that any kind act
or behaviour done by any individual which completely destroy other employee soul, is
known as the harassment. This is the responsibility of the employer in order to eliminate
the condition of the harassment from company by implementing of the applicable laws.
They are required to render major importance on the safety of the female employees of
the firm because they extremely suffer.
 Equal opportunities: Organisation has the legal responsibility to treat entire employees
equal and there should be no discrimination between them by relying them on the basis
of religion, cast, creed, gender etc. by evaluating the performance of the employees in
the workplace, employer needs to provide an equal opportunity to them. For instance,
NMW Act 1998, According to this, employer is required to measure wages of entire
employees on the basis of rules, policies described under this Act.
(b). Fact: Under this case, 16 years old girl is working at the fast food store to cook fries. She
slipped and fall into the deep fryer which comprise oil which boiled at 360 F. Due to high
accident at the workplace, she burns in her left hand (Ellison and Boyd, 2013). This is quietly
seen that the team leader is busy in doing routine work due to the deficiency in the staff members
and not executing his actual function of monitoring safety measures at the workplace.
Provision: According to this, Health and Safety at work Act 1974, this is the duty of the
employer in order to take efficient measures of safety during workplace. This Act renders
that employer has the duty to appoint one person whom have responsibility to control safety
measures and guides employees in performance of their work which assist in limiting of
number of accidents.
Conclusion: From the above mentioned case, this can be observed that the 16 is the age
in which anyone can work legally in UK. In the referred case, the main reason behind the
incident happen is that the team leader did not have the close monitoring in the safety
standard at the workplace. This reflects that fast food outlets did not comply the safety
standards at workplace while having operation, which causes the accident. The team leader
breaches the obligation that is the reason he and employer would be liable to pay damage to
the 16-year-old girl. This likewise visible from earlier case law of Lord McLaren in Bett v
7

Dalmey Oil Co (1905), under which the employer has the obligation to render safe working
atmosphere and effortlessly deploy their facilities.
TASK 3
P4 Legal solution to business problems:
(a).
Fact: Calvin is the fashion designer who employ with the vast fashion house and render their
services since 4 years. Donna is the owner of such fashion house (Disch, 2016). On Monday,
when he reached at workplace which noticed Calvin is acting in a suspicious manner. After cross
check of petty cash box, this is found that £ 100 is missing. After these act, Donna originates and
dismissed Calvin on spot from his services by saying that we don’t require thief in our firm
instead of that other four employees likewise in neighbourhood when finds in doubtful situation.
This is adopted as the case of unfair dismissal under which no earlier enquiry is convened and
notice is not rendered to Calvin for dismissal.
Provision: According to this, Employment Right Act 1996, employer needed to render an
appropriate notice and a valid cause behind the termination of employee from their services. The
justified time period for which notice is rendered by the employer to employee is 12 weeks. This
is rendered under this case, if employer does not satiate by employer not satiate these regulations
and terminate employees from services without notice is considered as the situation of
inadequate dismissal.
Conclusion: From the above case, this is situated that, termination of Calvin is the situation of
inadequate dismissal (De George, 2011). This is because, no notice of 12 weeks is rendered by
the Donna and no adequate enquiry is convened in order to address an actual reason of mission
£100. From the provisions of above mentioned Employment Right Act 1996, Calvin has various
legal solutions which are specified as below:
 Render adequate notice and reason of termination.
 To convene adequate enquiry related missing of £ 100.
 To entitled compensation from Donna related to his inadequate dismissal.
(b).
In this case, this is convened that Den is the person who loss due to fire in shop. He
privileges fire insurance where one question is asked related their earlier claim in the previous
8

two years. Dan has misconception that the earlier claim considered by him which was exceeding
2 year ago. But practically, the reason is that the time period of 23 months has been exceeded
from the earlier claim. Due to this cause, insurance company is entitled to give claim of Dan.
Legal solution: As per the Limitation Act, the compensation can be claimed with 3 years
from the cause of action arise in case of moveable property. But this can be varying that this can
be change if the case is related to the immovable property and the claim can be entertaining if
these can claim within 12 years from the date of arisen (Chemerinsky, 2016). Under this case,
Mr. dan sue for getting the compensation because he files it after completing 23 months from the
cause of action arise. However, he can claim for the compensation and the insurance company
can-not refuse to entertain the case only on behalf of the time barred. Although, he can also
entertain after having three years only if he has the sufficient cause for not filling the case. In that
case, the doctrine of sufficient cause can be applied under this.
TASK 4
P6
(a):
ADR: This is the structure which covers the procedure of resolving disputes without going into
litigation in simple and cost effective manner (Biondi and Zambon, 2013). This assist in
resolving arguments between two parties by interfering third party. Huge number of approaches
are available under this procedure in order to gain comprehensive solution with consent of both
parties.
Approval of ADR procedure by company in order to address disputes smoothing operations of
the firm.
There are diverse benefits which derives by implementing of ADR procedure which are
elaborated as under:
Advantages:
 Limit burden from the courts
 Render adequate direction of the experts in solving dispute.
 Protects crucial time of parties of disputes.
 Matter of disputes does not cover any kind of litigation procedure.
 Assist in saving cost of both of the parties of dispute.
9

 This refers to the informal process in order to resolve disputes which are having huge
number of flexibility due to the higher number of methods.
(b).
Antwon and Tyrell they both are having business relation which are having working relationship
with each other. Tyrell incorporates software for Antwon investment firm. On the basis of such
software, employees of Antwon incorporate market forecasting. Both of the abovementioned
parties confront disputes due to few reasons which would be quite complicated (Biondi and
Zambon, 2013). Both of employers are striving hard to protect their relation and they are trying
to save their business relation by using effective action. For this aim, they consider ADR
procedure in order to resolve ADR procedure in order to solve their dispute in an easy manner.
The major steps that covers under this process which are:
 Arbitration: This is the process which is used by agreeing both of the parties and
appoint an arbitrator so that the arbitrator can reach to the conclusion. The award
given by the arbitrator will be applicable to both of the companies. The main
advantage of this is that it saves time.
 Mediation: This covers about appoint of mediator which makes an effort to emerge
on the final conclusion by taking consent of both the parties.
 Negotiation: This covers about negotiate with parties of disputes in order to attain
common objectives.
CONCLUSION
From the above mentioned report, this can be said that the business law is most important aspect
for regulating the activities which are related to the business in the UK. these kind of various
legislations renders by the government which ultimate aim is to save employees at the
workplace. Alternate Dispute Resolution process plays crucial role in order to solve the disputes
in the most effective manner.
10

REFERENCES
Books and Journals
Biondi, Y. and Zambon, S. eds., 2013. Accounting and business economics: Insights from
national traditions. Routledge.
Biondi, Y. and Zambon, S. eds., 2013. Accounting and business economics: Insights from
national traditions. Routledge.
Chemerinsky, E., 2016. Constitutional law. Wolters Kluwer Law & Business.
De George, R. T., 2011. Business ethics. Pearson Education India.
Disch, L., 2016. Representation. InThe Oxford Handbook of Feminist Theory.
Ellison, N. B. and Boyd, D. M., 2013. Sociality through social network sites. In The Oxford
handbook of internet studies.
Friedman, L. M., 2011. Contract law in America: a social and economic case study. Quid Pro
Books.
Gunelius, S., 2011. 30-minute social media marketing: Step-by-step techniques to spread the
word about your business. McGraw-Hill.
Hanrahan, P .F., Ramsay, I. and Stapledon, G. P., 2013. Commercial applications of company
law.
Jones, A. and Sufrin, B., 2016. EU competition law: text, cases, and materials. oxford university
Press.
Kraakman, R. and Armour, J., 2017. The anatomy of corporate law: A comparative and
functional approach. Oxford University Press.
Kritt, B. A. and Law, D. A., International Business Machines Corp, 2012. Spellchecking
electronic documents. U.S. Patent 8,201,086.
Medema, S. G. ed., 2012. Coasean Economics Law and Economics and the New Institutional
Economics (Vol. 60). Springer Science & Business Media.
Newburn, T. and Stanko, E. A. Eds., 2013. Just boys doing business?: men, masculinities and
crime. Routledge.
Trakman, L. E., 2011. The twenty‐first‐century law merchant. American Business Law Journal.
Online:
Company & Commercial / Business Law, 2014. [Online]. Available through:
<http://www.sprakekingsley.co.uk/your-business/company-commercial-business-law/>.
11