Unit 7: Business Law

Unit 7: Business Law

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
Part 1................................................................................................................................................3
Explaining different sources of law.............................................................................................3
Explaining the role of government in making law and application of statutory and common
laws in justice courts....................................................................................................................4
Evaluation of legal system’s effectiveness in context of recent developments & reforms.........5
Illustration of impact of employment and contract law using specific examples........................5
Analysing potential impact of differences in legislation, regulations and standards on business
.....................................................................................................................................................5
Evaluating legal system & law....................................................................................................6
Part 2................................................................................................................................................7
Evaluating different types of businesses with their legal formation and management and
funding.........................................................................................................................................7
Case 1...........................................................................................................................................8
Case 2...........................................................................................................................................9
Case 3.........................................................................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES................................................................................................................................1

INTRODUCTION
The term business law refers to all the laws that are related to how business will operate,
what will be their functions and why they will do certain actions which are allowed and supposed
from them to do legally. Commercial law and mercantile law are the other names used for
referring to business law. Businesses and law are put together with the purpose to ensure that
businesses are working in a safe environment, inclusive of all the individuals involved in it.
Contract, labour, employment, securities, intellectual property and tax laws are the bifurcates of
business law. The current report will explain the various sources of law, the role of government
in law making. Application of common and statutory law within the justice courts will be
explained. The essay will analyse the impact of distinction between legislation, regulations &
standards over the business. Further in the part 2 of the report the legal formation of different
types of organizations will be explored. The study will explain the management and funding of
different organizations. A comparison of varied legal advice sources for recommending
appropriate legal solutions.
MAIN BODY
Part 1
Explaining different sources of law
 Legislation: One the source of law formation that is highly reliable and powerful. The
government of UK establishes legislation through the legislative body. People elected by
the citizens of UK are the members of such body (Steinemann, 2018). Laws for the entire
nation are formed by the legislative members. These are mandatory and hence are to
compiled by everyone.
 European Union Law: It is system of rules that operates within all the member countries
of EU. As UK was a part of EU for a long time such law is also a source of law in UK.
 Case Law: These are judgements of the court over cases that happened in past. Such
judgements act as a law, in depth facts of a case are considered to reach a solution for the
present case.
 Customs: Beliefs that are followed in UK from the ancient times is also business law
source. The rule that are appropriate and applied from a long period of time are included
in customs.

 English Law: It is also known as common law. These are the set of rules that have been
developed by the courts and not created by the parliament (Hollowell and et.al., 2019). It
is legal system that is mainly consisting of civil and criminal cases of England & Wales.
Explaining the role of government in making law and application of statutory and common laws
in justice courts
There are various roles that are performed by the governing body of a country. It is the
responsibility UK’s government to run & manage the state. Parliament & government have a
vital role in forming the laws & regulations to ensure that business functions appropriately.
Further protection of individual interests is maintained by government through exercising its role
of law making. Laws are formulated for the purpose of evaluating the functions of businesses on
the basis of legal context. There is a well -structured process that is followed in UK for the law
making (Payne, 2018). Firstly, in the parliament bill is introduced that proposes a law. Then the
bill is debated in both the parliamentary houses and after the approval on it from both the houses
it is sent for receiving royal assent. And at the final stage the bill becomes a law and referred as
an act after it receives such royal assent.
A bill can be introduced by any of the member of parliament. Policies of government are
represented in some of the bills that are introduced by ministers into the parliament. The
government’s legislative programmes are held in each of the session of parliament. A legislative
programme is the one in which bills are planned that will be considered in the session to be
conducted. Private Bills in a legislative program are determined to be passed in a particular
session and other bills for instance emergency bills can be passed in any of the session. A bill in
its procedure to becoming a law undergoes certain stages namely, first reading, second reading,
committee & report stages, third reading, ping pong between two houses and receiving royal
assent from monarch.
A common law is a law in which judicial decisions are used are the law, also known as
case law. It is applied as an instruction into the justice court decisions. It is based on the
examples of judicial proceedings (Bertini, 2022). A statutory law is alternatively known as
legislation, a system of rules & principles of law that the statute puts. It is applied in justice court
as a prescription as these are based on the statutes enforced by the legislature. Common laws are
amended by the statutory law and statutory laws are amended by separate statute.