The Role of Business Law and ADR

This report provides an in-depth analysis of the role of business law in every organization's activity. It highlights the significance of following laws and regulations provided by government bodies, such as the UK's employment, company, and contract laws. The main aim is to protect individuals from exploitation and fraudulent activities. Various laws and norms, like health and safety acts, are also discussed in relation to business operations. Additionally, the importance of ADR techniques, such as mediation and negotiation, is emphasized for resolving conflicts and promoting fair outcomes.

Business law

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P 1 Various sources of law.....................................................................................................1
P 2 Role of government in framing law.................................................................................2
TASK 2............................................................................................................................................4
P 3 Impact of employment & contract law on business.........................................................4
TASK 3............................................................................................................................................6
P 4 Appropriate solutions to several business problems........................................................6
P 5 Justification of selected solution......................................................................................7
TASK 4............................................................................................................................................7
P 6 Recommendations of legal solutions................................................................................7
CONCLUSION ...............................................................................................................................9
REFERENCES.............................................................................................................................10

INTRODUCTION
Business law includes of each and every norm that is dictating the procedure of forming
as well as running commercial actions. These norms are made by government body for stating
the legal process of starting, buying, managing, closing along with selling any kind of business
amongst civilians living in nation (Hanrahan, Ramsay and Stapledon, 2013). The main aim of
doing so is to establish policies and rules for carrying out commerce in ethical way. All person is
liable to comply those regulations. Initially, current report is explaining several sources of law.
The role of governing bodies in both creating and executing different laws is also described in
this assignment. They go through various stages for transforming a bill into an act. In addition to
this, some light has been thrown on effect of contract and employment law upon businesses on
the basis of proper case. Lastly, legitimate solutions for issues associated with business is going
to provided along with their justification.
TASK 1
P 1 Various sources of law
This has been seen that government used to announce its programme at the time of State
opening of Parliament for legislation by means of speech of the Queen. During that, it is usually
stated that 'Parliament is sovereign'. This depicts the powerfulness of Legislative Assembly and
state that all laws are designed as well as ended by the Parliament (Schwartz, 2013). Thus, they
are having supreme power of leading whole country. No other court can reject or supersede on
the legislations passed by them.
On the other side, this has been found that such norms are created by taking assistance of
several sources of law. Hence, it can be stated that sources of law are the roots or pillar of a
legislation as they are responsible for generating particular principle. Some of them are listed
below :
ICJ : It stands for International Court of Justice. This is commonly known as World
Court which is principal juridical organ of the United Nation. They are obligated to resolve
disputes occurring amongst member states. Their additional function is to give advises to various
other organs as well as specialised agencies of UN.
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ECJ : This is abbreviated as European Court of Justice. It is considered as supreme court
of European Union. Members existing in this assembly usually do the work of interpreting
legislations which are falling under European Union Level.
Precedents : These are nothing but legal cases which is utilised for the purpose of
founding any rule or principle.
Acts of Parliament : This is also referred as primary legislation that is used for making
laws along with changing previous norms.
Customs : Government generally frame some rules on the ground of trades, specific
community living on particular locality, tradition of people surviving in society, etc. There are
different authorised person who play vital role in assemblies that are :
Barristers : They commonly used to present the issues of their customers in - front of
higher tribunals.
Solicitors : These are special type of lawyers who attain training session in order to
prepare particular case (Sauter and Carafano, 2012). Their work is same as Barristers i.e.
representing clients amongst member of lower courts.
Judges : They are notable person & are known as final decision makers since judgement
given by them is considered as final.
(Source : Sources of law, 2017)
P 2 Role of government in framing law
Crime is increasing on regular basis in nation. From an investigation, it is seen that
around more than thousand cases are reported in police station including activities associated
with robbery, corruption within corporations, rape and so on. Thus, for reducing the current level
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Illustration 1: Sources of law

of illegal actions, government is trying to make suitable rules & regulations. In UK, governing
body plays a vital part in creating laws. They go through so many steps for forming an act that is
described below :
First reading : In initial step, the proposed title of bill is read. Thereafter, it is being
published (Nichols, 2012).
Second reading : Debate on similar bill is started in the House of Common. Members
express their views and try to determine whether presented bill is beneficial for civilians or not.
Committe stage : In this step, discussion on theme of bill is continued but in more
detailed manner. This is commonly done for finding out mistakes. If any fault is determined, then
alternations on that basis begins. It is to be noted that participants existing in Committe is liable
to suggest amendments.
Report stage : Votes of House is generally taken for knowing regarding majority of
candidates who are satisfied by the bill after doing modifications. Herein debate again get began
as some of them are not mitigated by such changes. This has been observed that members is able
to take back their votes for expressing feeling of disagree. This process remain continue until bill
is being amended. After that, it is passed to next stage.
Third reading : This is very important step since approval of modified bill is done here.
At similar time frame, legal groups who are existing in Parliament also used to provide their
point of view or votes (Mann and Roberts, 2011). But if members are not agreed upon identical
subject, then alteration may not happen.
Final stage : In this step, if bill receives majority then it is send to House of Lords. They
also detect existed faults. If any found, then give appropriate advice and send back to House of
Common. This procedure would continued i.e. bill will move in forward and backward direction
until all members are ready to cater approval.
Royal Assent : If each and every member is satisfied by the amended bill and approval is
accepted by House of Lords then it transferred to Royal Assent for attaining their acceptance.
Common and statuary laws are two factors which is divergence in nature. These are applied on
different judicial area. Common laws are implemented on the basis of both foregoing and
previous patterns or cases. On the another side, statuary law are executed after getting acceptance
from supreme court. Thus, it can be said that such norms are applied in arena of tribunals.
Authorised person is obligated to state the written principles.
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TASK 2
P 3 Impact of employment & contract law on business
According to given case, three friends whose name is Jane, Marie and Penny has
established a small firm named as JPM publishing after completing their study. They have also
gained desired profit thenceforth for few years. As per the polices of Company's Act 2006,
directors of corporation should follow all of their obligations. For instance, the director is a
person who is responsible to manage common affairs of organisation. He or she ought to assist in
the process of decision – making. Besides this, these individuals are also liable to play the role of
supervision or monitoring. This will improve the performance of workers since they would pay
more attention towards their work. The reason for this nothing but the level of concentration
which is carried on by personnels while performing under supervisors.
In order to increase capital for attainment of more expansion, JPM publishing's
accountant suggested to float this venture as a Public Ltd Company. For achieving the similar,
they need to understand the implications and influences of various employment as well as
contract law. These can be better understood by focussing on following regulations :
Health and safety regulations : This kind of norms are designed for the purpose of
generating an atmosphere of safety. Government of United Kingdom has build Health and Safety
Act 1974 in this regard (Frank and Bix, 2017). Their main motive is to offer a safe environment
to employees, employers and other staff member of any company. JPM publishing is going to
expand its business; thus, they should follow this act and give fundamental rights of being safe to
each personnel. For applying similar, ventures ought to focus on keeping appropriate machines
so that rate or possibility of accidents can be reduced. They should also arrange trainers and team
heads by in-charging them duty of monitoring chores of workers. This will impact positively on
the overall performance of corporation since number of random accident get automatically
decreased and people would give their best in accomplishing goal of raising funds. Some of the
other action that ought to be taken by referred organisation are storing chemical & other
hazardous substance at separate place, making signs boards for showing danger prone area while
working at height, etc. It is that act in which employers are protect their employees health, safety
and welfare at the workplace as well as premises that includes casual workers, self employed,
clients, visitors and common people. This regulation help in making employers responsible for
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the management of health and safety. Along with this, it is essential for company manager is to
protect their external environment by managing or maintaining all systems.
Equal opportunities regulations : This act is associated with offering equivalent rights
to personnels performing at work- station. According to Equality Act 2010, governing body of
UK is prohibiting every kind of discrimination regarding employment by treating equally to each
person. JPM publishing should implement this legislation at their venture. They should not
discriminate their staffs on the ground of colour, age, sex, caste, religion, pregnancy, etc. This
would also effect positively on business operations since workers feel motivated and satisfied,
thereby work for upliftment of organization. As per this regulation, company required to treat all
their employees in equal on the basis of age, gender, religion, status and so on. Also they need to
provide equal chances for managing and maintaining business operations and its functions.
General Data Protection Regulation (GDPR) : It will lead up with proper GDPR data
which led to various websites and companies are changing their policies of privacy as well as
features across the world for complying with their needs as well as giving on-site and email
notification of changes, despite it take at least 2 years to make and do so (Halbert and Ingulli,
2011). It has been cited eventually leading to a fatigue form within end-user over the excessive
numbers of text. Experts also noted that some of reminder emails are not asserting correctly that
new consent in order to data processing had been obtained foe at the time of GDPR get affected.
Eventually by an existing obtain the consent of processing which is valid for a long time because
it is effectively documented as well as achieve the needs of GSPR. On the proper data, certain
websites of international will start blocking EU customers entirely involving instapaper,
Trounce-owned newspaper and Unroll me. By applying this in JPM publishing, secret data and
other facts can be stored safely and securely. This will also influence optimistically on
performance of overall performance since they get free from worry of threats like hacking,
leaking of private information & so on. According to GDPR regulation, the company can easily
protect their data and privacy for all individual within the European Union. The main aim is to
provide control to person over their personal data or information and also it is simply operating
environment for international business.
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TASK 3
P 4 Appropriate solutions to several business problems
According to first case, Champion Ltd has taken loan from bank as well as from different
creditors since they were shifting from previous location i.e. North London to another place.
Their motto is to develop a new stadium. But after relocation, they have faced financial issues as
the overall expected consumers are not attained. This declination in the strength of customer is
considered as major reason for their loss. Hence, Champion Ltd are not able to return debt to
creditors. As a bad result, company is being threatened to apply to the tribunals for winding up
petition by those investors on regular basis. This is not correct on ethical as well as legal ground.
Creditors are not having right to threaten for the procedures of liquidation . In fact, if company is
unable to pay – back the amount then they can choose other ways by understanding existing
weak financial situation of Champion Ltd. If they would execute this, then all commercial action
get destroyed since stage of ending that company will occur.
Proper lawful solution of this situation are listed below :
Negotiation : This is process of convincing both parties to come with a conclusion that
should proved to be beneficial. Champion Ltd should try to negotiate by expressing their genuine
reason of not returning money. They can ask for some more time so that they could earn revenue
and payback to them. It is that method where people settle their conflicts or disputes. This is a
procedure through which agreement is achieved at the time of avoiding argument. There are two
parties involved in this method who desire to resolve all major conflicts.
Involvement of assembly : Company can also knock the door of court. In this they can
request judges to give more time in order to pay such a big amount. In fact they could ask for
compensation as were being mentally tortured by creditors.
As per second case, Mr. Anderson was working at the post of CFO within a corporation
named as Amber Ltd. He was having access to extreme confidential data. But he received an
opportunity of becoming CEO from another company i.e. Beta Ltd, which was one of the
competitor of Amber Ltd. Mr. Anderson got more attracted by the role as well as wages of CEO,
therefore he had given resignation from their designation but was not ready to serve notice
period. On the other hand, previous firm is wishing to prevent him from leaving as so many
problems will get occur after his resignation. For instance, Mr. Anderson may leak secret info
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related to business to their rival and this would be a matter of danger for profitability as well as
existence of company. Thus, to resolve this issue following solutions could be considered :
Termination of contract : Amber Limited has legal right to terminate the contract
which they have made with his worker and ask them for leave by stating that Mr. Anderson was
breaching his obligation of maintaining trust, showing faith and confidence. The company can
easily terminate the agreement in which they develop their employees and tell them regarding
leave in the workplace.
Serving of notice period : Company may also select this option by forcing his personnel
to serve one year notice period. In this time, they can change their framework of secrecy. It is
required for firm is to provide one month notice period to their employees before leaving of job.
P 5 Justification of selected solution
By going through above based solution, Champion Ltd should select the first choice that
is negotiation. This will definitely proved to be profitable if they have good convincing ability.
By showing valid proof of having low budget or weaker financial situation, they could request
creditors for giving them more time.
On the other hand, in the case of Amber Ltd, as Mr. Anderson is found guilty, he should
be ready to meet bad consequences of termination. This will be beneficial for organisation since
by applying the same they could demand for paying the exact amount of money if culprit is not
ready to serve notice period. They ought to do a single work of changing structure or positioning
of confidential facts and figures. In this case study, Mr Anderson is found to be guilty where they
are ready for meet the bad situation of contract termination. It is proved that they have good
convincing ability and skill in which they apply for extra payment of money. Also he require to
serve one month notice and think about their future plans.
TASK 4
P 6 Recommendations of legal solutions
ADR stands for Alternate Dispute Resolution. This is nothing but the process of solving
issues related to business on ethical basis. Herein, a third party is liable to resolve disputes
occurring between two agencies or venture. There are various types of ADR such as :
Negotiation : In this technique, a third party from outer environment is involved for
reducing the disputes happening between two parties (Bebchuk and Jackson Jr, 2012). Both the
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parties should make him understand about actual facts and figures so that he reach to correct
conclusion. It is to be noted that, these kind of compromises may occur outside the court. In this,
both parties are take time for resolve their disputes outside the court premises. Before going to
the final conclusion, they require to review their facts and figures in better manner.
Arbitration : This is the process of resolving problems on legal basis. Herein, an
arbitrator is assigned for listening matters of people involved in business's issues. He is liable to
cater proper solution so that every one get satisfied. It is a legal method for resolving all disputes
and conflicts outside the courts in which parties are refer to one or more person for making
decision. In this, arbitrator binding the decision on the disputes or conflicts.
Meditation : It is a unique procedure since a mediator from the similar arena is
employed for resolving the matter of disputes. This will assist in receiving better solution as
there is no need to supply more info to third party. It is that procedure in which there is one
person involved for making right decision among both the parties in order to resolve their
conflicts. In this, they are make effective solution regarding some issue which occurs among
parties.
From examining the case of Amber Ltd, it is better to involve process of arbitration since
Mr. Anderson is guilty. He was wishing to leave organization without serving notice period of 12
months which is completely illegal task. Thus, the involvement of tribunal will give correct
justice to venture. On the another side, this would consume more time frame as lots of legal
chores might involve in providing judgment. This is to be noted that if Amber Limited may
appeal for justice inf – front of tribunal, then wrongdoer will surely get punishment. Therefore,
neglecting its negative side, firm ought to follow steps of Arbitration method so as to attain
desired outcome at last.
There are so many benefits of ADR which is listed below :
It helps in saving money as involving court may cause consumption of high sum of
revenue. But after applying techniques of ADR such as meditation and negotiation.
This also aids in saving money when meditation is applied. Thus, any of the small
company can implement such type of processes in resolving their troubles. This provide
appropriate result at the end without generating any conflicting condition.
In - stead of positive sides, ADR also has some disadvantages. These are :
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If third party may leak confidential information of their clients to other party who is not
involved in this procedures, then an antagonistic state will be created.
Consumers might have to suffer from great monetary loss if they would choose
arbitration technique.
CONCLUSION
From the above assignment it has been concluded that business law play important role in
every organization activity and every nation have their own laws and legislation. government
bodies of UK give their laws, rules and regulations which must be followed by the very business
company. main motive of introducing these laws is to save people from exploitation and
fraudulent activity. there are several laws such as employment, company and contract which
must be followed by every organization so their will no chances of discrimination. All these
provide several rights to each and every individual which can be use by them for their own safety
and security. In this report, role of governance is shown in making suitable law. In addition to
this, influences of several norms like health and safety, acts associated with giving equivalent
right to workers, etc. on the business operations of company is also covered.
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REFERENCES
Books and Journals
Bebchuk, L. A. and Jackson Jr, R. J., 2012. The law and economics of blockholder disclosure.
Harv. Bus. L. Rev., 2, p.39.
Frank, J. and Bix, B. H., 2017. Law and the modern mind. Routledge.
Halbert, T. and Ingulli, E., 2011. Law and ethics in the business environment. Cengage Learning.
Hanrahan, P. F., Ramsay, I. and Stapledon, G. P., 2013. Commercial applications of company
law.
Mann, R.A. and Roberts, B. S., 2011. Smith and Roberson’s business law. Cengage Learning.
Nichols, P. M., 2012. The business case for complying with bribery laws. American Business
Law Journal, 49(2), pp.325-368.
Sauter, M. and Carafano, J. J., 2012. Homeland Security: A Complete Guide. McGraw-Hill.
Schwartz, R. L., 2013. Health law: cases, materials and problems. West Academic Publishing.
Braithwaite, J., 2013. Corporate Crime in the Pharmaceutical Industry (Routledge Revivals).
Routledge.
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