Business Law Report: UK Business Law Analysis and Recommendations

This report provides a comprehensive overview of UK business law, examining various sources of law such as legislation, common law, and European Union law. It explores the government's role in the law-making procedure, including the process of passing bills. The report analyzes the effectiveness of the legal system and provides legal advice in different cases, including the Collin and David case, focusing on company names, Sophia's employment rights, and Mrs. Khan's contract with AD motors. It also examines the legal rights of the AFG oil company, offering recommendations and comparing their effectiveness. The report aims to provide insights into the practical application of business law principles in the UK context, offering legal solutions and justifications.

BUSINESS LAW

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK-1............................................................................................................................................1
P1 Various sources of law that organisation need to comply with.........................................1
P2 Government role in law making procedure.......................................................................2
M1 Legal system effectiveness..............................................................................................3
TASK-2............................................................................................................................................3
P3 Advices under different cases...........................................................................................3
Collin and David case based upon common law....................................................................3
M2 Analyse potential impacts................................................................................................5
TASK-3............................................................................................................................................6
P4 Legal solutions..................................................................................................................6
P5 Justifications regarding appropriate solutions...................................................................6
M3 Positive and Negative impacts.........................................................................................7
TASK-4............................................................................................................................................7
P6 Legal Rights of AFG oil company....................................................................................7
M4 Compare and contrast the effectiveness of these recommendations given to AFG Oil
Company.................................................................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................8

INTRODUCTION
There is a great importance of business law in business. It is very necessary for the business to
consider all the factors related to this which is going to make an impact on business operations
either directly or indirectly. It is very vital for the business to follow the business law and its
related rules and regulations and apply it while conducting down operations which helps them in
conducting their business operations successfully (Allen,2016). So, it is essential for the
organisation to have knowledge regarding the business laws factor and in case if any discrepancy
arise in their mind, then they can take legal advice from their advocates and attorney who guides
the organisations. Therefore, it directly helps them in conducting their smooth range of
operations. The present report is based on Stuart and Little LLP which is one of the reputed law
firms and conduct their operations in UK.
TASK-1
P1 Various sources of law that organisation need to comply with
In UK, there are different sources of law and it is very important for the business
to apply certain law factors during conducting their operations so any uncertainty will not arise
and work can be conducted appropriately. The various sources of law that the business need to
be complied with are as follows:
 Legislation or statutory laws: It is a structure under law set by the legislation in UK. It
essentially said that the legislature laws are the acts of parliaments. It is the responsibility
of parliament to bring the changes in law no matter whether it will be new law or existing
laws. It covers the society and person and it is important for them to follow the acts made
by parliaments and then only they can conduct their effective working. It covers the
articles, schedules, section and sub section (August, Mayer and Bixby, 2017). Firstly, the
bill is essentially discussed under both the houses of parliament and after that, debate is
conducted by both the houses and then only it is approved and once the royal assent is
made by parliament on that approved bill then that bill is converted into an act. The local
bodies and authorities received authority from legislature and in case of interpretation of
statues, international treaties and customary law, the parliament assigns those authorities
to the local courts.
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 Common law: The legal system which is going under UK is based upon the common
laws and in this law the senior appellate made the decision according to their capabilities
and knowledge and the decision made by them are considered to be a part of law.
 European Union law: In this concept, the law-making decision powers is in the hands of
member states of the European Union and European law is prioritised as compared to the
UK law.
 Convention on Human Rights: It is an international treaty and it talks about the
individual’s rights and their freedom and said that it is the fundamental rights provided by
society and country to them and such rights cannot be restrained by anybody because it is
their fundamental rights.
P2 Government role in law making procedure
It is a complex process and in that regard various procedures are to be followed
under this by every authority and every one of them having its own responsibilities and
according to that manner only they carry their work. The process starts with the passing of bills
and ends with the acts and it can be described as follows:
 Bill: In this process, the civil advocates drafts bill and the bill prepared by them is
assessed by the government. It includes different bills in form of public, private and
private members bill. The public bill involves the society, community and the
responsibility regarding such bill is made by cabinet (Brown, 2013). The private bill
impact on individuals so, it is the responsibility of local authority and private member
bills are those which involves different bills and some bills which are passed becomes an
act or law so, it is essentially the duty of MP.
 First readout: In this, the law-making procedure and its preparation is read under the
House Of Commons and in that process only the bill is reading.
 Second readout: The certain debate upon such bills and their feasibility is also tested and
the amendments made on the basis of conclusion only (Stemler, 2013). Furthermore,
voting is done by members and it helps them to decide whether the bill is accepted or
rejected.
 At stage of committee: In House of Commons, the bill is sent again for checking the
detailed process conducted by its members and the assessment is also done.
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 Third readout: In this process, the bill is sent to the houses and in that aspect, the short
debate is also conducted by its members and then they carry out voting and that process
cleared that whether it will be accepted or denied.
 House of lords: After all the process is been conducted in aspect of bill, in the final
process the bill is sent to this house for reviewing and after that again such bill will be
returned to the House Of Commons.
 Royal Ascent: It is the final process; the approval or rejection work is in the hands of the
parliaments and once the royal ascent is made by the parliament in that favour that bill
will be converted into an act or a law and it will be applicable to the whole nation.
M1 Legal system effectiveness
There is a great effectiveness of legal system and it talks about that the law should treat
each and every individual equally and according to that, it provides justice to individual on equal
basis and provide reasonable opportunity of hearing to them and avoid the changes of misshapen
and takes the balance decisions so any individual would not been affected and there trust will
always create on that and it will not be biased (Chan, 2018). It talks about the two maxims i.e.,
no individual can be judged by themselves so, it requires law which can judge them and prove
them whether he will be plaintiff or defendant and that can be decided by the court on the basis
of evidences, jury, appeals, trials, burden and standard of proof and these certain things help the
court in taking decisions.
TASK-2
P3 Advices under different cases
Collin and David case based upon common law
The government always made restriction regarding the companies which existed with the
same names and who are engaged in same line of business. The new company which is going to
set up their business operations in the market are been restricted to use the same name which is
already used by the existing company. It is the duty of government to take reasonable care
regarding such process and then provide certificate to them in which the name of the company is
mentioned and on that basis only the company can conduct their business operations i.e. on the
basis of such name which is decided by the government and the name provided by government to
the business in such a way that can be easily recognised by the individuals so, they can
understand about the company and their business operations (Cheeseman and Garvey, 2014).
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The government checked the criteria and on that basis, they provide a certificate to Collin and
David regarding the name of company and in that manner only they can conduct their successful
range of operations. The company is provided with certificate in that regard on the basis of
following factors:
 In the first step, the government checks the details regarding the company whether the
information provided by the company is accurate or any misleading information is not
involved.
 The information which provided by government must not be fraudulent.
 The government essentially checked that whether the same name company would have
been there or not if it exists then what is there operations and in which they are dealing,
what is the liability of their members and on that basis the government provided the
certificate to the new company and once the name is provided by the government to the
company on that day company is bee registered with that name and they are free to
conduct their operations and it is important for the company to use the words In form of
private and public for which they applied to the government for obtaining certificate.
 The government providing the name to the company on such basis so it will be easy to
recognise by anyone and any confusion will not create and such work is conducted by
government with reasonable and proper care.
 It is very important for the new company who set up their business in the market to
implement all the rules and regulations which provided by government to him so it
directly reduces the chances of any losses or penalty.
Rights carries by Sophia regarding employment
It is considered to be very important for the employee to follow the rules and
regulations as per the employment contract act which he made with an employer during entering
into the business operations and in case of non-following such employer can terminate such
employee from their job and the dismissal which is made by the employer is totally valid and the
certain reasons are as follows:
 It is important for the employee to follow all the organisational rules such as attendance
and late coming rules, entry and exit rules and conduct their working accordingly and in
case of non-follow, such employer is free to terminate their employees as per the
employment contract.
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 It is vital for the employee to conduct the work which assigned by employer with great
attitude and responsibilities and in case of disobeying such rule, the employer is free to
terminate their employees from their duty.
 Employee constructs any wrong certificate in which he mentioned the wrong cause
regarding their diseases or absent himself continuously from working then employer can
easily terminate their employees.
 In case of any unfair dismissal, wrongfully dismissal made by employer or not informed
the employees regarding their dismissal then in such case employee are free to take
actions against them under the employment court.
In support of this case, the employer dismissed Sophia due to misconducting in
the office during working and dismissed her by way of serving notice to her and mentioned the
cause related to the continuous absence from the workplace (Easterbrook, 2014). To prove
herself true, she constructed a fake medical certificate which described the reason related to her
illness and handed to the employer and when the employer made enquiry everything become
cleared and on that basis, the employer dismissed her from the job and the dismissal which made
by their employer is as per the validate manner and for that the Sophia is not been successful to
make down suit against her employer under the employment court.
Legal advice regarding Mrs. Khan Contract with AD motors
The parties who made entered into contract is essential for them to follow all the
terms and conditions related to the contract and in case of breach of any one side the contract
becomes null and void. In the given case, Mrs. Khan entered into a contract with the AD motors
and it is essentially based upon the replaced the damaged part on their vehicle with the new and
branded parts. The AD motors breached the conditions and used the duplicate and non-branded
parts and when Mrs. Khan got the information regarding such matter, she made a suit against AD
motors and the decision is taken by the court on the basis of full and final settlement of the case.
M2 Analyse potential impacts
 Regulation: It talks about that it is vital for the business to implement the following laws
and acts which helps them to perform their activities in an effective manner.
 Legislation: Once the royal assent is made by the parliament on such bill then only it will
be converted into law and that will be applicable to the whole country.
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 Standards: It is important for the business to conduct their operations with the set
standards which make their business ethical.
TASK-3
P4 Legal solutions
It is essential for the parties to follow the contract act terms and conditions and in case of breach
of promise from any on side, the contract becomes void ab initio.
In the first case, Mr. Singh entered into a contract with the prestige home building
company regarding construct a 5 bedroom houses for 500000 pounds and after they terminate the
contract with Mr. Singh after completing 60 percent house and made substantial amount to them
I such case the company breaches the terms and conditions related to the contract and the Mr.
Singh will be successfully in filling the case against the company under court (Folsom and et.al.,
2012).
In the second case, the Busy Bees Company goes into liquidation and appointed
Samantha as a liquidator. The company goes into the liquidation to pay off his obligation. The
process been conducted as per Pro Rata Basis and as per that company sold their assets to meet
down their liabilities and the amount which will be realised by company will provide to their
creditors for settling of debts (Gitlin and Flaschen, 2016). The liquidation process conduct and
due to that the Aston Business Society hold charges regarding to such assets which been
purchased by them at an amount of 200000 pounds and such amount will be transferred easily to
the Aston Business Society.
P5 Justifications regarding appropriate solutions
The PHB limited entered into contract with Mr. Singh will be failed to fulfil the
certain conditions and he terminated with Mr.Singh. Therefore, no right of PHB will be created
regarding the contract because it already been terminated (Hamermesh and Sparks III, 2015).
The suit already made by Mr. Singh in that regard and party is already been penalised for that
and once the party been penalised, it cannot be penalised against for the same suit under the
court.
In next case the Samantha appointed as a liquidator under Busy Bees Company
and the liquidation process is been carried out as per the pro rata basis and on that basis only the
company realised their assets in terms of settling their liabilities and firstly the realisation amount
is made to their creditors (Kripke, 2016). Afterwards, the Aston Business take down charges on
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the assets of Busy Bees Company at an amount of 200000 pounds and that amount could been
easily transferred to the Aston Business Society.
M3 Positive and Negative impacts
The positive factors involving is that the Busy Bees follow the liquidation process
and by using that they realised their assets and transferred to Aston Business Society and the
negative impact come out that the PHB limited company breach the contract terms and
conditions for which they entered with Mr. Singh regarding construction of 5 bedrooms house
(Locker and Kienzler, 2014).
TASK-4
P6 Legal Rights of AFG oil company
Arbitration is one of the common method of solving the civil disputes which
made occurred between the parties and for that, parties appoint a third individual which is an
arbitrator who essentially take the decisions and resolve the disputes related matter. They
performed their working in such a manner and taking the balanced decisions so any of the party
will not get affected and their reputation will also maintain. The main reason behind their
appointment is that the decision can be taken out in an appropriate time manner and party don't
have to go again and again to the court (Loss and Cowett, 2015). So, for their comfort, the parties
appoint an arbitrator for that. In case of dissatisfaction, the party went to the higher court for
challenging such decision which is taken by an arbitrator.
In the given scenario, AFG Oil Company appointed an Arbitrator by the parties
for settling the disputes which made going between them. Both the parties appoint them
regarding to take down the decisions related to the disputed related matter (Mallor and
Langvardt, 2014). In support of that the case the Arbitrator makes the decision and is totally
depended upon the parties whether they accept it or not and in case of non-acceptance, the party
had an option to went to the higher court for settling the dispute related matter in a better way.
M4 Compare and contrast the effectiveness of these recommendations given to AFG Oil
Company
In regard to such aspect, the company appointing AFG oil company as an
Arbitrator and the decision made by an arbitrator final and it is depended upon the parties
whether they want to rely or not and if any of the party rights are affected due to that decision
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then they had an option to went to the superior court for settling such disputed in better manner
(Schmitthoff, 2016).
CONCLUSION
From the above report, it can be concluded that the business law is an essential term for the
business and whatever the operations are conducted by them should be as per these laws. So, it is
very essential for the business to have the knowledge regarding the laws factor which are made
applicable to their business, then only the work can be conducted in an effective manner.
Moreover, this report also discussed about the company law and contract law and also tells that
why it is important for the business and individual to follow the certain laws. In addition, it also
discusses the certain cases regarding such aspects. Furthermore, the report also discussed about
the arbitrator and how AFG oil company conduct their arbitration work for settling the civil
disputes which arises between the parties and promote settlement.
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REFERENCES
Books and Journals
Allen, W.T., 2016. Independent Directors in MBO Transactions: Are They Fact or Fantasy?. The
Business Lawyer. pp.2055-2063.
August, R., Mayer, D. and Bixby, M., 2017. International Business Law: text, cases and
readings. Pearson education.
Brown, K., 2013. Contracting out by Western Australian government departments and the legal
implications applicable to safety and health related issues.
Chan, A.P.C., 2018. Doing business 2018: comparing regulation in 181 economies. World Bank;
Palgrave.
Cheeseman, H.R. and Garvey, J.R., 2014. Business law. Pearson.
Easterbrook, F.H., 2014. Federalism and European business law. International Review of Law
and Economics, 14(2). pp.125-132.
Folsom, R.H and et.al., 2012. International business transactions: a problem-oriented
coursebook. ThomsonReuters.
Gitlin, R.A. and Flaschen, E.D., 2016. The international void in the law of multinational
bankruptcies. The Business Lawyer. pp.307-325.
Hamermesh, L.A. and Sparks III, A.G., 2015. Corporate Officers and the Business Judgment
Rule: A Reply to Professor Johnson. The Business Lawyer. pp.865-876.
Kripke, H., 2016. The myth of the informed layman. The Business Lawyer.pp.631-638.
Locker, K.O. and Kienzler, D.S., 2014. Business and administrative communication.
Loss, L. and Cowett, E.M., 2015. Blue sky law. Little, Brown.
Mallor, J.P and Langvardt, A.W., 2014. Business law: The ethical, global, and e-commerce
environment (p. 160). McGraw Hill, Irwin.
Schmitthoff, C.M., 2016. International business law: a new law merchant. Current Law and
Social Problems, 2. p.129.
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Stemler, A.R., 2013. The JOBS Act and crowdfunding: Harnessing the power—and money—of
the masses. Business Horizons, 56(3). pp.271-275.
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