Business Law: Understanding the Legal System and its Impact on Businesses

Business Law
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Contents
Introduction................................................................................................................................3
LO1. Explain the basic nature of the legal system.....................................................................4
P1 Explain different sources of law and laws that organisations must comply with.............4
P2 Explain the role of government in law-making and how statutory and common law is
applied in the justice courts....................................................................................................6
M1 Evaluate the effectiveness of the legal system in terms of recent reforms and
developments..........................................................................................................................7
LO2.Illustrate the potential impact of the law on a business.....................................................8
P3 Using specific examples illustrate how company, employment and contract law has a
potential impact upon business...............................................................................................8
M2 Differentiate and analyse the potential impacts of regulations, legislation and standards.
..............................................................................................................................................10
D1 Provide a coherent and critical evaluation of the legal system and law, with evidence
drawn from a range of different relevant examples to support judgements.........................11
LO3. Suggest appropriate legal solutions to business problems..............................................12
P4 Suggest appropriate legal solutions for a range of business problems e.g. termination of
contract, rescue from insolvency and liquidation.................................................................12
P5 Provide justifications for the use of appropriate legal solutions.....................................14
M3 Assess the positive and negative impacts of legal solutions to business problems.......15
LO4. Recommend appropriate legal solutions based upon alternative legal advice provided.16
P6 Recommend legal solutions based upon a different country’s legal system and/or a
different legal framework.....................................................................................................16
M4 Compare and contrast the effectiveness of these recommendations..............................18
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D2 Critically review and evaluate the use of appropriate legal solutions in comparison with
alternative legal advice.........................................................................................................19
Conclusion................................................................................................................................20
References................................................................................................................................21
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Introduction
The assignment has been designed in a way to support business runners in developing
business options and selecting the right manner. The various regulation and standards have
been discussed in relation to business to understand the positive and negative impacts drawn
by the same. The case studies relates with the rights of creditors to proceed for winding up
and injunction petition in case of violation of contract liability. In order to give the
appropriate finding legal provisions have been discussed with the set precedents applicable
over these. The present trends in legal system for Alternative dispute resolution have been
understood and the features of these have been compared with the two modes. In the end
effectiveness have been critically analysed about the functioning of justice system established
in nation.
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LO1. Explain the basic nature of the legal system.
P1 Explain different sources of law and laws that organisations must comply with
a) Discus the meaning of this statement and the various sources of UK Laws.
In UK the state opening is the process by which the session of parliament is formally started.
The Queen’s speech starts with opening of government agenda for parliament (Sovereign,
House of Lords and House of commons). The state opening process involves disclosure of
policies and proposed legislation in the upcoming parliament session.
The legislation which government will be making in the session of it are the result of various
social and economic circumstances in the nation and international level. The resultant
circumstances and events have been given the name of source of law and they are classified
in the various types. Thus making of law by parliament is most prevalent method in the
country and conclusion has been drawn of the fact that there is parliamentary supremacy as
no one is above law and everyone is subject to the law making power of parliament.
Parliament in the country has power to even amend the constitution of the country as well and
no one can challenge the law made by it (ILEX, 2018).
Sources of law in United Kingdom:
Acts of Parliament:
The origin of the statute in the country is parliament that is supreme body in the country
which carries the law making function. Example of statue includes Employment Right Act
1996. Law making through statue is carried in the form of bill and discussion by the Member
of Parliament decide whether statute is to be passed or not. There is another mechanism
through which a statue can be formed and it is known by the name of delegated legislation in
which minsters and other authority is given power to make the law. Barristers, judges and
solicitors are the real contributors in shaping common law.
Precedent / Common Law:
The ratio of case sets the binding authority over the below courts. The decision are also
overruled on many occasions and in that case ratio of the later date decided case law will be
the binding precedent over the below courts. In the case of Kleinwort Benson Ltd v. Lincoln
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City Council [1998] 4 All ER 513, it was pronounced that all judge made law is common law
and it is thorough judicial change only relevancy of law is maintained (Law Teacher, 2018).
Law from EU:
United Kingdom is one of the signatories of the European Union committee and therefore it
is bound by all European laws. The situation of contradiction of laws between UK and
European Union, the dominance is there of European Union and all are bound by it only.
International Court:
The judgments that are delivered by international court are followed if the same issue arises
before the municipal courts in the country.
Custom:
The traditional practices those are so habitual and common that the contrary legal practices
cannot be established. These practices are given legal support so that trial impeachment of the
same can be handled in legal manner.
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