UK Business Law & Regulations

This assignment delves into the essential aspects of UK business law. It emphasizes the importance of adhering to government regulations and highlights the key legal frameworks governing businesses in the UK: civil and criminal law. It stresses the employer's responsibility for employee health and safety by implementing measures outlined by the government. The document also introduces Alternative Dispute Resolution (ADR) as a viable option for resolving business disputes outside of court proceedings.

BUSINESS LAW

Table of Contents
INTRODUCTION...........................................................................................................................1
SECTION 1......................................................................................................................................1
P1 Discussing the structure of English legal system and different sources of law ...............1
P2 Government's role in the process of making law..............................................................3
SECTION 2......................................................................................................................................4
P3 (a) Employer's obligation..................................................................................................4
P3 (b) Relevance of employment and contract law................................................................5
SECTION 3......................................................................................................................................6
P4 Legal solutions for given case scenarios...........................................................................6
P5 Providing justification for the solutions............................................................................7
SECTION 4......................................................................................................................................7
Concept of Alternative Dispute Resolutions..........................................................................7
Alternative legal solution for the given business problem.....................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

Illustration Index
Illustration 1: Structure of English legal system..............................................................................1

INTRODUCTION
Business Law deals with the laws related to conducting of a business. The major concern
of people these days is to conduct a business considering all the legal factors that have been
issued by the government. The report discusses the structure of English legal system which
includes, criminal and civil law. Further, different sources of law have been discussed in the
report such as, case law, legislation, human rights law etc. Moreover, workplace safety measures
have also been discussed. It ponders on Alternative Disputes Resolutions (ADR) where various
benefits of ADR have been examined. In the end, some methods of ADR such as arbitration and
mediation have been considered in the report.
SECTION 1
P1 Discussing the structure of English legal system and different sources of law
English legal system is followed in England and Wales which consists of criminal and
civil law. There is no specific code of conduct followed as the law is prepared by the judges
sitting in the court. It is made in reference to the previous cases and decisions. Supreme court is
the highest appellate of United Kingdom (Bodie, Kane and Marcus, 2014).
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Illustration 1: Structure of English legal system

It is one of the European's major legal system. It has widespread presence in English
colonies as well such as, USA, Canada, Australia and New Zealand. The main classification of
English law is as follows:
 Criminal Law: It is related to the offences or crimes in the society which is accused by
the state. The criminal is punished to stop and prevent these kinds of activities. The main
constituent which deal with the Criminal Law are, Court of Appeal, Crown Court and
Magistrate Courts.
 Civil Law: It is related to disputes in other parties such as supplier and consumer,
employer and employee. It this case, aggrieved party sues the other one with the objective
to attain justice from the court. The other party is asked to pay for damages. It includes
torts such as, negligence, nuisance, defamation and breach of contract. The major
elements of Civil law who takes care that the laws made under the act properly followed
are, Court of Appeal, High Court of Justice and County Courts (Cameron, 2017).
Parliament is the supreme authority involved in law making process. The principle
sources of UK law are:
 Legislation: It starts with government MPs bringing the bill to the parliament which can
affect large amount of public in general. Private bills which only affect a particular type
of person and locality are brought by non government MPs. Several stages are involved
which converts a bill into a provision or law. It includes, first reading, second reading,
stages of committee and report, third reading before it reaches to House of Lords.
Necessary amendments are made in House of Lords in the bill which was earlier
presented. On receiving royal assent, the bill is passed and it becomes a part of law. It can
also consolidate the already existed laws where different statutes come together under
one without any change (Eren and et.al., 2014). An example of it is the Insolvency
Act,1986. The pre existing laws can also be changes as in the case of the Theft Act, 1968.
The legislation passed in the parliament may be an act or a devolved legislation.
 Case Law: It plays a vital role in law making. The law can be made which interprets the
statutes. Wide range of circumstances are covered while making a law for the country.
The court try to interpret the law that has been sanctioned by the parliament. It also clears
the unclear language and pin point the errors that have taken place in forming the statute.
It is important to rightly interpret the given provisions as the court take is decisions based
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on it. It further helps in giving consistent and accurate decisions in the cases that may
arise related to that case in near future. It predicts the outcomes of the cases as well.
 Human rights Law: UK is a signatory of European Convention of Human Rights. The
Human Rights Act, 1998 helps the courts of UK to protect the rights that were already
identified in European Convention of Human Rights (ECHR). It has major impact on the
law making process of UK (Folsom and et.al., 2012).
 European Union Law: United Kingdom is a Member state of European Union which
shows that there is adaptability of EU law on UK law as well. It need to follow the
provisions of Justice of the European Union (ECJ).
P2 Government's role in the process of making law
Government plays vital role in law making process. Government MPs bring the bill
which can be converted into law after several readings, amendments etc. Various steps are
involved in law making process, such as:
 Emergence of an issue: Various political parties fights in the election where they
campaign themselves in by discussing their visions to the public. It helps them to gain
votes and win in the election. After making the government they opt for fulfilling the
promises made by them in election manifesto.
 Addressing the issue: After identifying the problem, the government decides that how
the issue can be addressed. Recommendations of new laws based on range of issues such
as, health, education, taxation etc is dealt with. The opposition parties have to be agree
with the proposal as government ministers.
 Interested people are consulted: Only ministers support cannot covert an idea into law.
The proposal and its feasibility is consulted with the experts, interest groups and people
who can get affected with the plan. They are asked to comment on proposal on a green
paper. It can also produce white paper which is a firmer statement about government
intentions (Foss and Knudsen, 2013).
 Cabinet ministers must be agree with the proposal: The aim of government ministers
at this stage is to persuade cabinet ministers for the approval of the proposal so that it can
be extended as a bill in the parliament. Further, the committee responsible for preparing
government's legislative programme must also select the proposal. The legislation
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committee takes the final decision that whether the proposal will be presented in the
parliament or not.
 Proposals are converted into bill: After the consultancy and approval of proposal with
experts and cabinet ministers, the responsible minister prepares the instructions of what
should that bill consist of. Professional lawyers convert the government proposal into
detailed legislation.
 Bill comes into scrutiny: House of parliament considers the proposal which are
introduced by the government. The bill is required to be approved by both the MPs in
House of Commons and peers in the House of Lords.
The above process shows that government role is irreplaceable in generating the idea,
finding out the issues, getting it approved from the cabinet ministers and making the instructions
ready which is to be presented in the parliament. Amendments are also tabled by the government
and brought as proposal to the parliament.
Common law have been developed by judges, courts and tribunals of similar nature. If
any similar kind of decision have been taken by the court in past then reasons used in earlier
decisions are also used in the current case as well. Further, court is bound to take verdict based
on it. In case of special circumstances, new law can also be generated based on the judgement
passed by the judge (Johnson, 2013).
According to statutory law, the decisions of the courts are taken based on the statutes.
The federal and state government pass various laws and ordinances. Further, new laws are also
issued in order to meet the demands of the citizens and resolve outstanding issues.
SECTION 2
P3 (a) Employer's obligation
There are various obligations on employers with regards to its employees.
 Occupational health and safety: It is the duty of the employer to take care of health and
safety of its employee. It means that the employee should make sure that workers are kept
in a protected environment. They should be away from any risk or injury to health that
can come up at the workplace (Kinicki and Kreitner, 2012). The entity can appoint safety
representative which make sure that all the measures of basic protection have been taken
and employees are safe to work in the environment. The place should be clean, hygienic
and workable. It is the legal duty of the employer that it follows all the guidelines that
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have been issued by government in 'Health and Safety Information for Employees
Regulation' (HSIER). Every employee should be provided with approved leaflet 'Health
and safety law: What you need to know' which covers British health and safety law.
 Workers compensation: Every worker working on the same position should be provided
with same remuneration irrespective of their caste, colour, sex etc. Providing them with
adequate amount of wages and salaries as mentioned in the law of UK. Further, medical
and insurance benefits should also be provided to the employees. Paying them on time is
another factor that is required to followed by every employer.
 Harassment: The organization should have stringent rules related to sexual harassment
at the work place. It is unlawful to discriminate based on gender under Equality Act,
2010. It is punishable in nature and the employer must file a complaint against the
employee found involved in this kind of activities.
 Equal opportunities: Equal opportunity of employment should be provided to
employees. Equality means protecting the civil rights of people. All employees should be
given with fair access to employer benefits such as, insurance, disability,
accommodations, compensation, promotion and job responsibilities (Latimer, 2012).
P3 (b) Relevance of employment and contract law
A 16 year old was tragically burned in an accident that took place in a fast food outlet.
The outlet was under staffed on the day of accident which led to the accident in the first place.
The girl being just 16 is minor working for the company as kitchen staff. The accident had been
possible due to the negligence of the team leader as he was busy in compensation of duties due to
low staff situation. It's the company's obligation and duty to complete their staff for proper
working of the company.
Obligation of health and safety was violated in the above case. The law states the 16 year
old had a right to safety (health and safety at work act 1974) in her employment. A clear
violation of this law is threatening to company's image. The company can be sued for
compensatory damages by the girl for accident at work place and burned caused to her on her
hand and forearm (Lieberman and et.al, 2016).
The girl can also file a suit for punitive damages(section 257 of worker's compensation
act) as lack of security or absolutely no security was provided by the company to the staff on the
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day of the accident which was a case of negligence on the part of the company. The company is
liable to fill the under staffing problem so there are no accidents in the future.
Application of penalties on the business due negligence of duties and non availability of
adequate facilities and security for the employees in the working environment of the company.
The employer is legally responsible for any accident in the work place.
The osh act states that the employer must eliminate any hazards which may result in an
accident or death of a person. The employer must make sure that the working environment is
safe and health for the employees.
SECTION 3
P4 Legal solutions for given case scenarios
According to the first case given for Calvin's dismissal without any notice, it can be
analysed that she have been working for last 4 years in the fashion house. Despite of onlyb
having a doubt that she has withdrawn some amount from petty cash box, she was dismissed
from the job.
Dismissing the employee without any notice gives right to him to sue the employer. It is
not required to have one year employment in order to opt for the claim. The right is covered
under the act of parliament (Lyons, 2013).
The act performed by the employer is illegal and the dismissal performed is illegal. Since,
right amount of notice was not given to the employee about leaving the job. Further, there should
a reason and a proof that she have theft that amount. Moreover, a notice of certain time period is
also to be provided to the employee as mentioned in the contract. The employer do not have fair
reason of dismissal. Therefore, Calvin have right to sue the employer on the basis of unfair
dismissal.
According to second case scenario, Kevin's father Dan had a convenience store which
was destroyed in fire and insurance was claimed. Kevin opened another convenience store at
other location. On applying for the insurance policy, he said that fire claim was not availed in
last 2 years. However, it was claimed 23 months before. Unfortunately, the other store also
caught fire and insurance company refused to make payment claiming that the information
provided by Kevin was not correct.
It can be interpreted that the first store was in the name of his father Dan and other store
was in Kevin's name. Further, the insurance company must have checked the details while selling
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policy to Kevin. Moreover, the claim that has been taken by the father cannot be accounted by
the son. Hence, the claim of insurance company is not correct and Kevin should be given fire
insurance claim.
P5 Providing justification for the solutions
According to Unlawful and wrongful dismissal under the employment act of United
Kingdom the employment contract cannot be terminated without any prior notice. There should
be following requirements so as to get covered in unfair dismissal:
 No fair reason of dismissal
 The matter have been dealt unfairly
In the above case, the employee have right to sue the employer and receive claim. It is a statutory
right that has been covered in the act of parliament which has been breached by the employer.
Moreover, it is the breach of equality act 2010. It is important to give fair and reasonable
treatment to the employees working in the organization which was not give to Calvin as his side
of the case was not heard by the employer. Hence, he has full right to sue the company and entity
will be regarded as responsible for the unethical behaviour conducted.
According to the law of United Kingdom, it is important for the company to check the
facts when it has been given by the client. It was not properly performed by the insurer. Further,
after the age of 18, the entity of father is different from that of son. The two persons cannot be
considered same at the time of legal issues. The claim was taken by his father and not him. He
has right to opt for the claim when the fire occurred in the store for the second time. It shows that
the insurer is not right at his place and it not following the rules issued by the government which
are related to business activities. It is a breach of contract and insurer cannot terminate the
contract without any fair reason (Nichols, 2012). Misrepresentation of the facts have been carried
out by the insurance company attracting the case towards breach of contract. Hence, the son and
his father is deemed to be correct in the given case scenario.
SECTION 4
Concept of Alternative Dispute Resolutions
Concept
Alternative Dispute Resolution refers to variance of processes that helps parties of companies to
resolve dispute without any trial. These processes are usually confidential, less formal and less
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stressful than traditional court proceedings. As increasing court queues, rising cost of trial and
the time delays continues to contaminate cases, more states have begun experimenting with ADR
programs. Some of these programs are voluntary; others are obligatory (Park, 2012).
Alternative Dispute Resolution is also known as External Dispute Resolution in some countries.
It is the collective term which can resolve the disputes with or without help of third party. ADR
is gaining acceptance among both the common public and legal profession in recent years.
Benefits of ADRs
A trial is not only the manner to resolve legal dispute. Even if the case has begun, parties can
compromise and agree outside the court by using Alternative Dispute Resolution.
Lower Costs
Alternative Dispute Resolution process is less expensive as compared to traditional proceedings
because the parties compromise within each other in short period of time and cost only one or
two times fees given to lawyer (Scholes, 2015).
Faster Results
Dispute may take several years before the case goes for the trial. ADR can interpose on the
litigation process and obtain a faster and swift result than traditional court proceedings.
More Flexibility
The parties are free to decide the ADR process at anytime without waiting for the court session
which not only speeds up the procedure but also provides flexibility.
Confidentiality
Court litigation, judgement and decisions are generally public records whereas the ADR
technique is confidential. If the companies agree through ADR process then there is no public
records that what happened at compromising meetings or about the cost of settlement.
Neutrality
A neutral professional generally handle the dispute by ADR proceedings. The parties can select
an arbitrator or mediator with special knowledge in the field of law in dispute rather than leave
the decision on judge or jury (Smith and Malloy, 2013).
Types and Process
Alternative Dispute Resolution can be mainly processed into 3 types i.e. Mediation, Arbitration
and Neutral evaluation.
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Mediation
In mediation, a person referred as mediator helps the parties to get a fair result of their dispute.
The mediator doesn't declare the result but helps the parties to communicate with each other and
get right decision. Mediation process leaves the result of dispute on the respective parties.
Mediation process can be applicable for those disputes in which the parties want to prevent their
relationships. So this process can be used when there is dispute between family members,
neighbours or business partners (Snyder and Deaux, 2012). Mediation process is not applicable
when the parties are not ready to compromise or one party among the other has more power in
the business compared to other.
Arbitration
In arbitration precess, fair-minded person called arbitrator hears the controversy and proofs of
each party and on the basis of the argument gives the result of the dispute. Arbitration is further
categorised into two sub types i.e. Binding arbitration and Non-binding arbitration. Binding
arbitration stands for the party which are ready to handover full case to arbitrator and agree the
final decision of arbitrator. Non-binding arbitration is the process in which the parties are free to
disagree the decision of arbitrator and demand for more trials. It is more useful in the case where
two parties wants third person to decide the resolution to their dispute but in less time, cost and
hearings.
Neutral evaluation
In neutral evaluation the neutral person called evaluator gives chances to both the parties to
present their sides. The evaluator then describes strength and weakness of each party and
arguments with both the party and shows the way about how the dispute can be resolved.
Alternative legal solution for the given business problem
There is a party which is facing a dispute between them. The party includes two persons, the first
client named Antwon, who owns a large investment firm, and the other one named as Tyrell who
is the owner of the company that makes software.
The dispute continued for long time but the parties doesn't get the appropriate and satisfying
result. Now the party is looking for the best way to resolve their problem. The party wants
resolution in a way that relationship remains the same because this relationship is mutually
beneficial for their company.
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The best resolution for this conflict is to adopt mediation process. Mediation process is the way
which resolve the dispute with maintaining the relationship. The mediator resolves the dispute by
giving fair decision to both the parties. But the mediator doesn't get direct to the decision instead
gives time to the parties to communicate with each other and get the suitable result with mutual
understanding. This process will help the parties to get a fair resolution to their dispute protecting
their relationship with each other. It will also help them to continue their relationship for long
term and make mutual understanding on the topic they have developed misunderstanding for. It
also helps in saving the time and parties do not have to get involved in long proceeding of the
court. The two parties will get their dispute settled through this method. Further, it will help in
maintaining their relationship as it is and they will be able to continue business in near future.
CONCLUSION
Based on the above report, it can be concluded that, it is important to follow the rules and
guidelines issued by the government that are related to conducting of a business. Further, there
are two laws that are followed in UK they are, civil law and criminal law. The employer need to
take care of health and safety of the employees that are working in the organization by adopting
the measures that have been extended by the government. Further, Alternative Dispute
Resolutions give an opportunity to the parties to make out of court settlement without getting
involved in court case as it is a longer process in comparison to ADRs.
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Park, W. W., 2012. Arbitration of international business disputes: studies in law and practice.
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