Business Law Fundamentals and Practices

This assignment delves into essential aspects of business law. It covers topics like company registration, the significance of directors in organizational success, methods for raising capital, and the importance of alternative dispute resolution (ADR) such as mediation, arbitration, and negotiation. The text emphasizes the legal framework businesses operate within and highlights best practices for successful operations.

BUSINESS LAW

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1. Sources and Divisions law of UK......................................................................................1
TASK 2............................................................................................................................................3
Employment status of employees...........................................................................................3
Employed/ self employed.......................................................................................................4
Workers rights........................................................................................................................4
TASK 3............................................................................................................................................4
Legal personality....................................................................................................................4
Types of organization.............................................................................................................4
Reg company..........................................................................................................................5
Raising capital........................................................................................................................6
TASK 4............................................................................................................................................6
Alternative Dispute Resolution..............................................................................................6
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Business law is related to the laws and regulation which are implemented on business and
commerces. These laws are the legal obligations which the business have top follow for
performing their various activities. It is an intellectual challenge study of repeatedly changes in
legal perplex that face each business of all types and sizes. Business law sometimes known as
commercial and mercantile law which govern the dealing betwixt commercial and people
matters. Pegasus is an international limited organization established in UK in 2014. Alex and Jay
set this company, they both run its business in partnership (Adams, A., 2016). This report
explains the sources and divisions laws in UK and also define the issue of organization with its
law system. It also explains the nature of registered organization process and evaluate
Alternative dispute resolution for considering alternative way of receiving legal advice.
TASK 1
1. Sources and Divisions law of UK
Introduction of English Legal system: English law body is included with common law,
legislation and legion of other legal standard build by parliament, government and judiciary. It is
the common legal law system of Wales and England. Each branch have their own procedure and
courts. It is the extremely accessible and engaging style.
Division of Law: Division law is two types Civil and Criminal law.
1. Civil laws hear the appeals against decision of High court. It included with administrative
codes, this law are planned to regulate all fields of everyday concerns such as insurance
and licensing law, it also administration and classification of public officers added police
officers. Politicians and Judges are the subject of administration and categorization in the
areas of Laws.
2. Criminal laws hear the entreaty about declared errors of law in the Crown courts and
Magistrates. Only crimes are not covered in it but also many states issues of civilian
carriages of licensing and firearms as well is ariled procedure law. Crimes of a forceful
and aggressive nature against individual and society are termed criminal offense when its
self-assertive acts are proscribed by implanted law. Under the food safety Act 1990, civil
law is interest in public health and safety to punish and control such behavior.
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Sources of law: Customs, Statues, delegated legislation, EU and common law, case law
are the sources of laws in UK.
 Custom is as opposed to common law of UK. It is formed by most laws that affecting
ownership, family rights, personal violence and business contracts.
 Second source is, Statues arise from parliament for example Equality act 2010. Starting
point is generally a consultative paper. Third one is Delegated legislation, according to this point parliament give authority to
minister or other parties to shuffle legal provisions. Main fomite are statutory
instruments. Common law, it is made by principles implanted in cases over centuries during the
normalization of law throughout Wales and England from 11 centuries onward. EU law, directives wants to implement into member state's international law. Rules and
regulations make impact automatically in every member states.
 Case precedent and law, ratio decided and overruled, decision reversed and legal
personality are the included point in case law ruling. It gets arise by the decision of
judicial. This judgment comprises the facts of case or the accurate legal position. It may
be classified as criminal and civil laws.
Problem associated of UK law: All the countries have different law structure in the
world. It also has the differences in languages and architecture between Vienna or Seoul, but
they have some similar significant like people wear the same clothes and drive the same cars.
British legal system carry some peculiarities, it is the different from the other legal systems in all
around the world. In some points it defines the problems in UK system.
1. Britain has an unwritten constitution: It is the oldest thing in British legal system. UK
shares that things with four countries such as New Zealand, Israel, Canada and Saudi
Arabia and with more other countries who have more written constitution like Britain. All
the countries have its difference perspective that define its different legal structure. To
instead of written constitution Britain looking at former Colony against to realize the
answer. Many countries haven basis of some sort where they declared revolution and
independence.
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2. Britain used common law system: According to this point common law is sorted as part
of same tendency to choose not to write things down. It is the main problem which
associated in UK system. This will have the less flexibility.
3. Britain used the jury system: Jury system might be difficult than the other. In the jury
process it included 12 members that have the good standing evaluate the crime, placing
their role in finding evidence or regnant on attest presented in trial. It will take a long
time that create problems for others.
Process for establishing Act of parliament: Act of parliament makes new changes and
laws in existing law. This act is bill which approved by house of lords and house of commons. It
reflects much legislation and number of documents made by the government of UK. Public Bills
is the most average sort of legislation, which introduce by change the general law and
government ministers. Bill must go through some steps to become law:
 First reading: reading is just a formality which has to be done in both houses. This is the
first step of legislative process.
 Second reading: in this step bill is present by government minister in house of commons.
Then the opposition and other parties hear their views. Opposition give their votes against
to the bills.
 Committee level: in the third stage bill get passed and refer to standing committee for
investigating. These committee belong to 16 to 20 Mps. It chaired by Chairman's panel
members. They give their votes in event of tie and concordant to precedence.
 Report stage: after passing all the stages it is the time of final report. In this level
committee investigate bill report and decision of whole house of commons in just two
weeks. Thus, for this all the members have a chance to include clauses and propose
amendments.
 Third reading: In this level final draft is reviewed. In third reading Bill can not be better
considerably. Passing by previous levels bill sent to other house where the all process is
repeated.
 The royal assent: Royal assent it is the last level of legislative process in UK. This is
presented by the Queen to bill which has been completed by all parliament level.
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TASK 2
Employment status of employees
Employment means a various arrangements and documents which developed year per
year. It is very flexible at workplace. Through this process employees performed their work
effectively in organization. It included with the rights of workers in work areas. Common law
duty is to work with reasonable skill and care it is very essential for business growth and success.
Employed/ self employed
Self employed are responsible for paying own taxes to internal revenue services. They
also need to pay security and medicare taxes in SECA.
Workers rights
Labor rights are a team of claimed and legal rights having with workers relations between
the other employees. They have the right to claim its health and safety points. Employees rights
in organizations to choose its work in work areas. According to employment contract
organization serve employee's services which make them in dependable. Contract of employment
and health and safety at work is one the rights which very company need to focus. Regarding
with this activity employer and employees relation is based on contract of employment. This law
is governed by the common laws of agreement that described workers rights. Protection against
discrimination, dismissal and redundancy is also included as the rights of employee's at
workplaces.
TASK 3
Legal personality
Legal personality refer to the ability of having legal rights and tariff with certain legal
structure such as sue and enter into contracts. It is a requirement to legal capacity and ability of
other legal individual to amend obligation and rights. It was the calculation of person legal
disadvantages and advantages and it also defines the lawful qualities and characteristic of entity.
Sole trader and partnership company follow legal consequences form setting business in each
and every possible ways. Under the UK law all individuals are endowed with legal personality
form birth until end of life's. Individual legal personality is developed on the bases of their legal
duties and rights. Organization perform their work according to company laws which is governed
by the government.
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Types of organization
Sole proprietorship and partnership are the types of organization.
 Sole proprietorship is a business owned by individual person. It is an advantage of
person who is the owner of the company which take all the decision. They are not
facultative to confer with other when it goes to deciding the area of its business. They are
responsible of all profitable levels and selling stages of products and services given to
consumers. Thus, to be a sole proprietorship it is very beneficial for owner. They
independently control their business activities and functions. Sole trader also has total
responsible for financial risk and legal liabilities of the organization businesses. They are
personally liable for business debts, sole-proprietor bankrupted by creditors of their
business.
 Partnership, mean the dealing process in business between two or more people legally.
They both are equally responsible for the growth and profits. Each person help to other
members in its financial situation. The advantage of this process is that they can share its
experience and knowledge with each other just to make success and achieve business
objective or goals. Sole is operate by individual and partnership organization is managed
by two or more persons. Partnership is the way that organization work without legal
personality sharp form its members. In this process includes many organizations which
exist for educational, social and political purpose.
Reg company
 Steps to register company in UK: To register organization in UK, company need to
follow some steps.
1. Choose a name: company need to choose their business name. In contrast to individual
traders, there are no limited organization are allowed to share same moniker. Firm need
to choose their different brand name.
2. Decide the number of directors: organization need to choose its director that help in
making any decision in business process by sharing its ideas and thoughts. There is no
limit on amount of directors that organization can appoint.
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3. Shareholders and shares: firm need to make shareholder and increase their shares to make
its business more successful. Shareholders can support organization in financial and
competitive environment.
4. Register company: Company need to register their name in legal procedures. This will
make their business process legal.
 Role of directions: directors is very essential part of business. They play their role in
making business more successful than its competitors. They make new strategies and
plans in competitive situations. They give directions in very level of management in
organization.
Raising capital
It is never not an easy task and often requires lot of patience and determination. There are many
ways which entrepreneur can increase capital for business.
TASK 4
Alternative Dispute Resolution
Alternative dispute resolution: ADR is the process of setting contravention without
litigation like mediation, arbitration and negotiation. This process is more expeditious and less
costly. It is increasing being used in disputes which other result in litigation, including divorce
actions, personal harm claims and high profile worker disputes. Alternative dispute resolution
refers to solution where third party resolve the case issues and settle it out of the courts within a
cheaper prices and happier outcome.
Arbitration is the term of alternative dispute resolution. In this process informal to
similar trial where an unbiased third party hear all side of issues in decision and dispute. Both
parties get agree to decision be non-binding and binding. It was a legal technique for resolve of
disputes outer to the courts, where both are dispute consider to one or more individuals. It is the
most helpful or simplest way to classify the arbitration of binding dispute resolution and equal to
litigation in courts. Under arbitration parties personally submit their conflict to third party and
get agreed to be conjugated by result decision. This is one of the most preferent method that use
by the parties for settlement of commercial issues.
Commercial arbitration is a common clause that term is used in contracts and agreement
between business or the other parties and organizations.
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Legal advise
Pegasus need to apply this stage in its business process to decrease its expenses of cost
and save their time. It is the best way to increase businesses more successful and powerful than
other companies. They need to pay workers as written in the contract and build trust or
confidence among staff by provide safe working environment.
CONCLUSION
It has been concluded in this report that business has run on the bases of laws. Thus, organization
need to follow some rules and regulations to run its business successfully. In this present study it
explains the employees rights, role of directors and other level of law. In this report it defines the
types of organization and Alternative Dispute Resolution which company need to follow.
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REFERENCES
Books and Journals
Adams, A., 2016. Law For Business Students. 9th Ed. Pearson.
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