Business Law and Legal Solutions

This assignment delves into the intricacies of business law within the English legal system. It examines various sources of law and provides practical legal solutions to common business scenarios, particularly focusing on dispute resolution through alternative dispute resolution (ADR) methods such as mediation and negotiation. The assignment also explores the importance of maintaining a harmonious working relationship between partners while addressing potential conflicts.

Business Law

Illustration Index
Illustration 1: Alternative dispute resolution method......................................................................9

INTRODUCTION
Rules and regulations that are important for running an organisation (Sandrini, 2017).
All the operations from starting, buying, managing to selling are governed by these laws. In this
learning, the nature of legal system of UK is explained. This study further encompasses various
case studies to understand the importance of applying rules according to situations. If similar
incidents happen then entities can take the corrective measures with the help of legal solutions
that are applied on these case studies. In addition to this, various sources of gathering knowledge
of business laws are also mentioned in this report. Besides this, legal obligations related to
employees are also stated in this assignment.
Section-1
P1 Structure of English legal system and different sources of law which organisations can
comply.
Legal system refers to a process for explaining and implementing laws. The major role of
this system is to elaborate the rights and responsibilities in numerous ways. The English system
of law follows a hierarchical legal structure. In this structure, the top-most place is reserved by
the Supreme Court who is formally the house of lords and the bottom position is taken by the
magistrates and the country courts (Stimson, 2016). The detailed structure is explained further:
Subordinate courts:
Tribunals: In these courts, the decision on the immigration, criminal and injury cases are taken.
If claimed, then the judgement is then judged of the higher courts. In addition to this, they solve
the cases related to the tax, lands, social security and employment cases (Simunic, Ye and
Zhang, 2017).
Magistrates Courts: There are three magistrates or a district judge who hear the cases of these
courts. Mostly, this level deals with the criminal cases and civil cases of family and youth
(Fanego and et.al., 2017).
Country Court: It is national court in which the decisions are taken by either a district or circuit
judge. It is also a segment of subordinate courts.
Senior Courts:

Crown Courts: These tribunals solve the cases that are passed on by magistrate courts. In this the
judgement is given by a judge or jury members. The person who are dissatisfied with the
decisions of this court, may claim to criminal division of high court (Sandrini, 2017).
High Courts: There are three divisions in high court of English legal system, the chancellor, the
family and the Queen's bench. In chancery division, the issues of companies and patents are
resolved. Whereas, the technological, constructional, administrative, etc. kind of issues are heard
by the Queen's Bench. In contrary to this, the family section handles the land, divorce, and injury
related cases. The request against the high courts may be made to the courts of appeal (Kingston
and Oke-Chinda, 2017).
Court of Appeal: There are two divisions of this court, they are Supreme courts and the judicial
committee of the Privy council. In the English legal system, the house of the lords is the supreme
court. The appeals of high court and the court of appeal are done to the house of lords for further
decision. The judicial committee of privy council is the one in which final appeals are made.
There decision are considered as important in the criminal and civil cases(Weiss and Blauberger,
2016).
In addition to these courts, there are some special purpose courts in UK such as military,
elections, patents, etc.
In order to understand the business laws, entities can use different sources. Organisations
should implement these rules and regulations in their operations so that the business runs with
legality.
European Laws: The laws of UK are mainly derived from the European Laws. These laws are
accepted directly without any modification. Thus, it is also a good source of attaining knowledge
of business regulations (Cohn, 2016).
Other than this, there are two main sources of attaining information of laws and they are primary
and secondary.
Primary Sources: These are the rules which are completely written and partially codified.
Companies can implement these rules and regulations directly (Porter, 2016). They can be
achieved from following source:
Case law made by courts – in this the rules are made by courts that are implemented in business.
The laws differ area wise.

Legislation- In this unit, the laws by the UK parliament are covered. This information can be
gained through acts of parliament, statutory laws and the electronic sources of legislation (Haag,
K. and Sund, 2016).
European law- in this laws and regulations are developed by European Union. It includes all laws
related to trade, tariff, etc.
Secondary Sources: In these source, the laws are not passed by the parliament but are made
based on the case and crimes committed. Knowledge from these sources can be gained through:
Legal encyclopaedia- in this report laws are taken from websites that states laws of UK
Parliamentary and non parliamentary documents. Laws are taken from books, documents related
to business cases.
Law journals- it includes journals and articles.
Textbooks – it contains textbooks from which laws are taken.
Case Laws- These regulations are based on the decisions that were taken in courts n earlier cases.
However, only the legal points become laws. The law reports are of four sub-categories:
Appeal Cases
Chancery Division
Queen’s Bench
Family Division
In addition to this, there are various books, journals, encyclopaedia that contains the
information of laws (Liinamaa, and et.al., 2016).
P2 Role of government in law-making and method to implement common laws and statutory
laws in an organisation.
Government plays a major role in law-making procedure of any country. In context to
UK, the stages of this procedure are as follows:
1. Bill- It is a written draft of the entire details of proposed law which is to be approved by the
cabinet minister. This is actually the thing which is converted into law. There are different types
of bills such as public, private and private members bill (Sandrini, 2017). When the public bill is
converted into law then it will impact the entire country or a larger portion it. In contrary to this,
the private members bill will only impact the persons who are associated with the written draft.

On the other hand, private bills influence few large public companies, local authorities and
public corporations.
2. First Reading- In this stage, the title and the content of the draft is read in the House of
Commons (Weiss and Blauberger, 2016).
3. Second Reading- In this stage, the details are further read and debates are held on the bill. The
draft is revised in this step depending upon the views of ministers. Later, voting is done by MPs
for further procedure of bill (Eddy, 2017).
4. Committee Stage- At this phase, the bill is referred to the House of Commons for a complete
examination. It is the stage the draft is considered line by line by the members of committee. If
needed, amendments are done in this stage (Dwyer, and et.al., 2016).
5. Report Stage- The bill is further voted in the house of lords. The draft with all the necessary
amendment is reported to the house by the committee members. Further, those MPs and other
peers who were absent in the first and second reading can review the bill till this phase (Nigro,
2016).
6. Third Reading- Bill is again presented to house following with a small debate. Further, voting
is done for accepting or rejecting it.
7. House of lords- After these 6 stages, the bill is sent to the house of lords for further
modifications and then the modified bill is reverted to the house of commons.
8. Royal Ascent- It is the last stage of the process where the bill is finally converted to a law,
after getting a formal approval from the Monarch.
Thus, this is the complete process carried out by government in law-making. There are
two different type of laws, the statutory and the common. Both differs in their way of creation.
Statutory laws are made by the government whereas the common laws are the decisions taken by
the judges or higher authorities in the court. Formal legal system is the statutory in nature. The
method of their application differs from each other because of variations in their creation method
(Schall, 2016). statutory laws are applied directly into entities as they are the acts of parliament
and cannot be modified according to convenience. In contrary to this, common laws cover the
steps of choosing the best suited decision, modifying them according to the needs and then
implying them in the workplace.

Government plays a vital role in developing laws and regulations. They are responsible for
developing a proper judicial structure. Also, they form constitution that decides the role of
courts. Government also controls and regulate these laws. Besides this they make changes in it so
according to change in political condition.
Section 2
P3 a). Briefly explain employer's legal obligation in relation to
i) Occupational health and safety
It refers to providing a proper health and safety workplace environment to employee. The
employer must install proper health and safety equipment to deal with any hazardous situation.
The worker contains several rights in this that are as follows :-
 Employees should be provided with complete self-protection measures. and safety
equipment.
 Ensuring that the machines and equipment’s are safe to use.
 Establishing safe working practices in the entity.
 Setting emergency facilities in the organisation.
There are some laws for the health and safety of the employers working in different
organisations, these are Health and Safety regulations 1996, Safety Representatives and Safety
Committees regulations 1977, etc.
ii) Workers Compensation
Under UK “National Insurance Act 1946” employers are bound to provide insurance to
worker if there is any accident at working hour. It’s their duty to provide medical facilities to the
attendee as well as wage replacement in case of any such need. In any case if the patron neglects
the need of operator then he has the right to sue his owner (Fanego and et.al., 2017). A company
has to pay fine of £200,000, or more if it cost the life of its worker.
iii). Harassment
Equity act 2010- it states that employee must not be discriminated at workplace. This act protects
employees from getting discriminated by caste, creed, colour, etc. it includes discrimination
practices that has to be followed by employer. There are three more acts under this that are as
follows :-

Sex discrimination act 1975
Race relations act 1976
Disability discrimination act 1995
Harassment can be related to age, sex, gender, disability etc. If the owner is accused, it may
result in fine and imprisonment and in extreme case he may lose his right to be company’s
director (Abrines-Jaume and et.al., 2016). There are three types of harassment at workplace that
are as follows :-
Sexual harassment
Unlawful harassment
hostile harassment
iv). Equal Opportunities
In equity act it states that all workers within an organisation should be entitled to have
access of all facilities that are available at every stage of employment
Under the “Protection from Harassment Act 1997” all the employee of organisation has access to
use any facilities provided by the company at any stage of employment where this also include
people before enlistment (Eddy, 2017). Some of these are as follows:
 It means an equal chance is given to all for proper training and promotions irrespective of
their age, sex, gender etc.
 A recipient have right to apply for the post he finds suitable.
 The selection for promotion should be merit based.
 Under this act employer have to make sure that the work place is accustomed with the
need of disabled person.
 It’s their job to treat each and every person working under them equally and fairly.
b). Potential effect of relevant employment and contract law on the case provided.
In this case study, a 16-year-old girl who works in a fast-food outlet accidently slips due
to water on the floor that was leaking from the ice-making machine. Unfortunately, her hand
went into a deep fat fryer having oil at a temperature of 360°F. This incident caused severe burns
on her arm and forearm (Dwyer and et.al., 2016). this incident will have negative impact on
organisation image. It will allow girl; to take legal action against firm. The business was not

having proper tools of safety that led to this accident. Also, it was not having sufficient staff to
work, so employees have to perform their role also without any training. The reason behind this
accident is not following the appropriate laws. There are many rules which were broken by the
entity and these are as follows:
1. Health and safety law- This is the most important rule that must be followed by all the
organisations. It is foremost duty of the employer to provide safety measures to the
workers. In the present case, the emergency facility was unavailable due to which the girl
did not get immediate treatment. Further, the task assignation of the entity was so poor
where engaging a 16-year-old girl in such job role is not likeable and risky as well. In
addition to this, a proper staffing was absent and ineffective (Dwyer and et.al., 2016).
2. Employment protection act – it states that employer must have all the necessary tools and
equipments in organisation to deal with any hazardous situations. It is the responsibility
of employer to provide a proper health and safety environment to employees.
2. Company standards- The standard of company fails here, as the leader was not present
and proper facilities too were lacking. Besides these, it must be noted that the fast-food
outlet was having damaged machineries which needs to be replaced soon. The girl
slipped due to the water leakage from ice-making equipment which signifies that
machinery was not in appropriate condition (Stimson, 2016).
Yes, local authority can prosecute the company as it was not having proper safety tools
and equipments. They may take legal action against it. This will force them to install necessary
equipments of health and safety.
Section 3
P4 Legal solutions for the given case studies.
1. In the first case, Calvin who is working for a large fashion store from 4 years. Her
employer Donna arrives at work and checks the petty cash box and discovers that some
money is missing. Four other employees were also present at the time when this incident
took place but Donna blamed Calvin for this and fired her saying- "she would not have a
thief like Calvin working there any more". In this case, there are so many solutions
which Calvin can adopt to prove that she was wrongly accused. First of all, Donna
harasses Calvin in front of other employees which is completely illegal (Weiss and

Blauberger, 2016). Calvin can use harassment act against Donna. Further, Donna was not
having any evidence of her wrongful act then she has no right to behave in a wrong
manner with Calvin. Besides this, the employer blames a single person irrespective of
the fact that there were four more employees present. In this way, Calvin can opt for
equity act too (Fanego and et.al., 2017).
Unfair dismissal- it means that employees are being dismissed in an unfair way, the employer is
not having a proper proof of dismissing the employee.
wrongful dismissal – it refers to dismissing of employee on the basis of employment contract.
The contract is been terminated by employer when one or more terms are breached by
employee.
Calvin is having right to take legal action against the employer as he is terminated due to unfair
dismissal.
2. In this case, Dan the owner of a small convenience store faces an incident in which his
firm got destroyed by fire. However, Dan opens a new store and applied for a fire
insurance. While signing the document he ticked the "no" box referring to the question
stating "Have you made any claims on an insurance policy in the last two years?" The
previous incident in fact happened 23 years ago. Unfortunately, fire struck the store again
and in order to recover the losses, Dan claimed for the insurance but the company refuses
to pay for fire losses as he had claimed the last one 23 months ago (McKee, Muir, and
Moore, 2017). The legal solution that Dan can choose is that it was a non-null void case.
Dan did not do this intentionally and hence, company has to pay him the sum (Abrines-
Jaume and et.al., 2016).
There are three types of misrepresentation :-
Fraudulent- It occurs when party makes untrue statement in a contract to induces other party to
enter in that contract,.
Negligent – In this a party induces other party to enter in contract to ensure that a reasonable
care is taken in regards of any representation of fact.

Innocent – in this a misrepresentation has been made by the party at the of making the
representation.
P5 Justifications of the solutions.
1. In the first case, the legal solutions that were provided according to the case are the
equity law, harassment act, wrongful act law. Firstly, when there were four more employees then
Donna has no right to accuse Calvin for the crime. Donna must examine all the employees who
were present there at the rtime of incident. Also, Donna harassed Calvin by saying that "she
would not have a thief like Calvin working there any more" and according to the harassment law
it is illegal to harass an employee (Dwyer and et.al., 2016). The justification for breaking the
wrongful act law is that Donna accused Calvin without any evidence and dismissed her.
2. In this case, the Dan signed the document without reading them thus, this recklessly
deprived him of getting the claimed amount. However, this was an unintentional event and only
one month was left to be eligible to receive the claimed amount according to policy. It is the
only solution that Dan can use.
Dan can claim for the insurance as he had made the representation without knowing the
actual time period. Also, Dan can go to court if insurance company refuses to pay the claim. This
case is of negligent misrepresentation.
Further, the justification of this solution can be understood with a relevant statue which be
accessed through-
<http://whoswholegal.com/news/features/article/33817/>
Section 4
P6 Explanation of alternative dispute resolution methods.
It’s a way to solve problems without going to court. If consumer have a dispute with
trader which they can’t solve themselves, they may go to an independent person who will listen
to their problem and try to solve the same to reach to an agreement on equal grounds ( Djankov,
2016). Even the court asks for ADR before listening to the problems.
The solution ADR offer are: Conciliation or Mediation: This is less formal way in which consumer and trader try to
find a midway, by solving the problem with such results that suited both the parties.

Sometime the conciliators are employed by trader who does not give independent view to
customer (Rendon, 2017). Mediation is deliberate and confidential form where an
impartial person gives there opinion, this person does not pass out any judgement but try
to help in discovering the cause of underlying problems and try to make them understand
that problem. They help in clearing the problem and to choose best option that can end
the contention. Adjudication: This expertly refers to the problematic area of the organisation, it is
approved by chartered institute of arbitrators” the written evidence is send to them
regarding the problems which help them to make decision.
 Arbitration: In this independent arbitrator is selected who is the part of Carib to make
decision about the problems that are arising from the paper company or organisation send
(Fowler, 2017). The decision made by them are legal, and the company cannot seek court
even if its dissatisfied with it.
 Collective bargaining- In this both parties meet and reach at an agreement. The parties
representative are allowed to discuss issues with each other . They focus on reaching an
outcome as both parties want to maintain relationship. There is no involvement of court
in this and it very effective method to be used.
 Settlement conferences- In this parties meet the judge that are known as settlement
officer. These conferences may be voluntary or mandatory. The officer do not make any
decision but forces them to negotiate.
Benefits of using ADR are as follows:
 money can be save by avoiding going to court. As ADR is free of cost and no amount is
paid for court fee.
 Going to the court can be more complicated than ADR, with ADR different option are
still available.
 Not satisfied with outcome of conciliation then adjudication is always an option.
 With ADR as an option there is still a chance to receive compensation (Choy and et. al.,
2016).

P7 Recommendation of an alternative legal solution to the case study provided.
In this case, the dispute took place between Antown, an investor and Tyrell, owner of a
computer software firm. However, they both wanted to continue their working relationship with
some legal settlement. This continuation is required as it is beneficial relation of them and thus,
in order to solve this problem, the recommended method is mediation . It will helpful in
analysing the problem and providing solutions to them. This process will give them access to
work freely with each other. Also, it is an effective process as it reflects on both parties views. At
the end final decision will be taken by parties so it will helpful in solving the dispute . (Schall,
2016). As both the parties are having some issues with each other and hence, it is the best
method to resolve their issues. Both Antowna and Tyrell can put their conditions in presence of a
third person and can resolve their conflict (Fanego and et.al., 2017). Besides this, both the
entities want to maintain their working relation to enhance their productivity.
Alternative solution
Negotiation- This method can be used by Antown and Tyrell. It is very effective as there is no
involvement of court in this. Also, it saves times and cost of each party. Moreover, each party
can have a brief discussion on dispute and can listen and put their effectively. Agreement is
made that clearly shows the roles and responsibilities of each party.
CONCLUSIONS
Business laws are essential in proper and legal working of the operation of organisations.
In this study, the English legal system and different sources of laws are explained. In addition to
this, legal solutions are also implied on some provided cases which can help the establishments
in different situations. Besides this, sometimes issues may arise while working in partnership
and this learning contains some legal solutions which can help in resolving the conflicts.
Moreover, there are some laws which are needed to be follow by an employer and this report
includes these required legal obligations in different context associated with employees.