Business Law

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Business Law

Table of Contents
INTRODUCTION...........................................................................................................................1
PART 1............................................................................................................................................1
1. Explain about legal system of UK, sources of law, role of government in law making
process and how statutory and common law is applied to business...........................................1
2. Critical reflection upon legal system including its strength as well as weaknesses................2
3. Explanation on legislation, regulation and standards which is to be considered by new
business entity.............................................................................................................................3
4. Discuss about the impact of different types of law.................................................................3
5. Explain about different types of business including its specific formate of formation
including its pros and cons..........................................................................................................4
6. How different types of organisation are funded and managed...............................................5
PART 2............................................................................................................................................5
1. Brief overview of Contract law, employment law, Company law, etc...................................5
2. Salient legal points of each case;............................................................................................6
3. Suggest an appropriate legal solution to each of the problems; .............................................6
4. Provide justification for the advice and solution given;..........................................................7
5. Compare & contrast the effectiveness of these recommendations given in your presentation
.....................................................................................................................................................7
6. Critically and evaluate the use of the appropriate legal solutions suggested in comparison
with alternative legal advice........................................................................................................8
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
In simple words, business law develops the regulation for commercial sector. This law is
formed from the basic concept which includes the process of formation of a company to its
resolution process. All of this process is necessary because it gives the positive idea to business
that how any of the business can perform its activity in a successful manner. The formation of
the file will be based on two different parts. In references to the first one, focus will be given that
how laws are formed along with their major sources. Not only this but how this sources helps to
form any of the legal organisation includes its advantage and disadvantage. Also, there are some
of the situation has been developed by providing three different cases where recommendations
will presented to understand the concept of law in detail.
PART 1
1. Explain about legal system of UK, sources of law, role of government in law making process
and how statutory and common law is applied to business.
UK is among those nation where role of legal system is because it is the main reason
behind their success in last many years. The legal system of UK is not biased which is the
favourable part of the company due to which it is said that organisation can easily obtained their
goals and target. The power of making any of the decision is in single hand i.e., in the hands of
Crowned Headed.
Multiple sources are there for UK which is allowing them to commence any of the law
because it is said that single source of commencing law will not allow the nation to form
effective laws and regulation. Some of the main source of law in UK are discussed below:
Act of Parliament: In any of the nation, parliament holds strong power at the time of
commencement of any law and in the similar way UK's Parliament also holds the same power.
This source of commencing the law is governed by MP's of House of Common and Peer
members of House of Lords (Augenstein, 2018).
Case Laws: It is among the vital source which is contributing in enforcement of those
laws and regulation which has been never proposed by Parliament House. The main
effectiveness of this source can be seen in that respective condition where judiciary body needs
to declare result because new law is commenced for declaring the result in any of the pending
case.
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European Union Law: There were 28 different nation who were the part of EU law as
per the treaty which was signed just after the end of world war. Since, UK have agreed upon the
treaty, there are number of laws which has been commenced through this source. But, after the
effect of Brexit, permission is not granted to this particular source to commence any of the law
for UK.
In any of the nation, the main reason behind the appointment of any government is
important because it is said that government can take some of the crucial decision through which
suitable law can be formed. In context of UK, there government has huge role because it is the
only way through which peace can be maintained within the nation. Government needs to check
all of the point which has been mentioned in the bill and after that they are responsible for taking
any of the decision whether bill is to be forwarded or not (Davies, 2020). Not only this but
government is also needed to ensure that all of the members in different stages are performing
their work as per the given guidelines because it is the only way through which they can
accomplish the goals. Then finally giving the documents to Queen for obtaining the approval so
that new law can be enforced.
How statutory and common law is applied to business.
It is said that organisation is needed to work according to the guidelines of law. The laws
which are formed through legislative body for business organisation is mandatory to be followed
which automatically applies upon the entity. In order to apply common law in business, this are
the law which is enforced by judges on the basis of situation which arises in front of them. It
means that after declaring the result in case, those law is applicable for business as well which
they must follow in any of the circumstances.
2. Critical reflection upon legal system including its strength as well as weaknesses.
Legal system like UK can easily allow any of the nation to attain their targets and at the
same time it is effective as well because there are limited number of laws which cannot be
understood by person. There are number of strength and weaknesses of UK legal system. In
context of strength, House of Parliament do not bring much and more changes which allows to
form any of the law for longer time period (Steinberg, 2016). The weaknesses is that even there
are some of the law where changes is required because of the ineffective result which it is
delivering but government do not focuses on bringing any of the amendments.
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3. Explanation on legislation, regulation and standards which is to be considered by new business
entity.
Legislation is the body of government which has the responsibility to commence law
within the nation and they even commence law for business sector as per the requirement of
situation which is to be considered by organisation. Secondly, regulation explains that how an
law upon entity is applicable and how it is followed. It is necessary to follow the regulation as
legal penalty can be imposed. Finally, Standards are related with maintaining the quality of
product and services or even business decision. All of this must be considered by business
organisation.
4. Discuss about the impact of different types of law.
Laws are enforced by Parliament House which simply explains that if any of the law is
formed then it must be followed and failure in this department will increase the problem as
different types of impact can be seen. The impact of some of the law has been discussed below:
Name of the law Definition and Impact
Contract law This law deals with the formation of deed and other necessary
agreement which allows the organisation to perform their task in
a systematic manner (Hollywood and et. al., 2018). The impact
of contract law is that it will not allow any of the contracted
party to breach terms and condition and if it happens then breach
of contract will be applicable. In short, it will have positive
impact for organisation.
Employment Law The act of parliament has introduced employment law for the
purpose of developing the effective relation between employer
and employee. In any of the circumstances, employer will not be
allow to pay amount below the minimum wages rate which
means that overall percentage of expenses will increase
significantly for the company and it might have negative impact
for organisation.
Copyright law The law which simply provides the protection to original work
which has been prepared by business entity. This certainly
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allows the organisation to take lead in the market due to which
there is a positive impact for business organisation.
Law of Tort Law of tort is explained as civil wrong where person commit
any of the the mistake due to which person has to suffer from
issues (Xiao, 2019). There is a huge impact of law of tort for
business organisation as if organisation fails to perform their
part of work with proper care then company will need to pay
damages where huge amount can be incur. Also, goodwill of the
company can be affected.
5. Explain about different types of business including its specific formate of formation including
its pros and cons
Sole Traders: The form of business organisation which only allows single person to
conduct business activity is known as sole traders. The way of performing any of the business
activity is much easy as compared to other form of business. For incorporating sole traders, it is
necessary for business to acquire National Insurance number and HM Revenue Customer's
(HMRC). Advantage says that incorporation process is quite easy in it and legal rights are not
given which is a negative side in it.
Partnership: The business entity which is commenced with the purpose of attaining the
goals in a group is known as partnership firm. The partnership firm requires team who can
handle day to day affair so that goals and target can be accomplished. In order to start any of the
partnership firm, requirement of HMRC and partnership deed should be fulfilled (Sulphey and
Basheer, 2020). The benefit of this business is that decision making process becomes easier as
compared to other form of business. At the same time, drawback says that there are limited
source of raising fund for the company.
Registered Company: Organisation which is capable of performing business activity in
legalised manner by following the guidelines of company law is known as registered company.
In order to incorporate any of the registered company, some of the important documents are
required such as name and address, MOA (Memorandum of Association), AOA (Article of
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Association). Along with this, list of members, first director and first shareholder is required and
this documents needs to be submitted within Companies House. Concept of Separate Legal
Entity is applicable which is the advantage in it and disadvantage says the business must be able
to fulfil all of the requirement which creates issues as profit ratio decreases in it.
6. How different types of organisation are funded and managed
Organisation Managed Funded
Limited Companies This types of business is managed by
managers and members of the
company.
Investment from the members
of company is the main source
of raising fund and loan is
another source available for
the company.
Social Enterprises Trustee or directors of the entity has
the responsibility of managing the
work (ALLEN and et. al., 2017).
Funds from different
government agencies and local
public is the main source
through which fund can be
raised.
Corporation CEO, BOD, CS are the one who
manages the company.
Shares, Debenture, bonds, loan
from FI is the source of raising
fund.
Co-operatives This types of organisation are managed
by manager of the company.
Contribution from the
members can be the main
source of raising fund.
PART 2
1. Brief overview of Contract law, employment law, Company law, etc.
Contract Law: Law commenced under business law which discusses that two parties
can combine together for completing any of specific work. In contract law, consideration should
be there and all of the necessary elements must be fulfilled so that contract can become legal in
nature.
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Employment Law: The law which is enforced by the body of Parliament just for the
purpose of developing the effective relationship among employer and employee is known as
employment law. This is among the law which certainly allows the organisation to decide that
how they are needed to conduct any of the work in specified manner so that rights of any
employee do not get affected.
Company Law: This is the law which has been commenced for the purpose of
managing the business entity. This law simply guides that how any of then organisation needs to
be governed so that goals and target of a company can be accomplished (Kuldova, 2017). But it
is among one of the lengthy law which certainly creates issues for organisation in attaining the
targets.
2. Salient legal points of each case;
Case 1: As per the given scenario of the case, the salient legal point of the case is related
with Gordon and Orange Compute Ltd where they both are facing the issue regarding the
payment system. There was a contract between related to salary and incentives at the time of
joining the company but after certain time period company formed the new company which was
just because company was suffering from losses. It was found that even after starting to earn
profit, company was not ready to pay the salary which was decided at the time of joining the
organisation.
Case 2: The scenario of the case shows that the problem between Janet and Virgin Media
was related to miscommunication. It was found that organisation had send the bill of combo offer
but services which were provided to her was related with only single service. It is was one of the
reason that Janet was not happy with the services which has been provided by the organisation.
Case 3: This particular case is related with Blackhorse limited and their creditors. It was
found that debt of a company was increasing at a greater speed due to which organisation was
facing the problem and it was not allowing them to payback the amount which were due (Čepel
and et. al., 2018). Looking at the scenario of the organisation, creditors are willing to file the case
against the organisation.
3. Suggest an appropriate legal solution to each of the problems;
Case 1: Firstly help can be taken of conciliation process where it will be determined that
how disputed parties can end any of the issue which they are facing. But, if this will not be
helpful then in that respective situation, employment law can play the supportive role.
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Case 2: This is the case where there is high possibilities that case can be resolved with
the help of mediation process but there are other alternate as well where elements of contract can
be used and its breach of contract terms can be used for obtaining the solution.
Case 3: The case is of complex nature because civil litigation can be imposed upon the
entity which shows that organisation needs to find out the possible way to stop winding up
process and arbitration process can only be the best solution through which problem can be
resolved.
4. Provide justification for the advice and solution given;
Case 1: There is the need of conciliation process at initial level because it has the
capability to resolve the issue by meeting out the maximum number of terms and condition of the
contract paper. But, if this resolution will not be effective in this particular situation then as per
the guidelines of employment law, minimum wages must be given to any of the employees.
Also, the wages rate should not be decreased once it has been contracted. It simply shows that
Gordon should get the wages rate which was previously decided because new contract was
formed
Case 2: The elements of contract says that there should be consideration from either side
in any of the contract. Whenever all of the element of contract law is considered then in that
respective condition, there is high chances of completed each of the term and condition of given
time period. According to the contract between Janet and Virgin Ltd, payment of combo can be
taken only in that respective condition if both of the services has been provided but here it was
not seen due to which it can be said that contract law can impose the clause of breach of contract.
But, before taking the help of elements of contract law, disputed parties must try to take the help
of mediation process where they can obtain solution which can be helpful in obtaining the result.
Case 3: This case needs to be resolved with the help of arbitration process because
proper jury member in arbitration can only provide the way that payment can be done without
closing the business (Davis and Geyfman, 2017). Even company can easily get determined time
period in which solution needs to be obtained in the case.
5. Compare & contrast the effectiveness of these recommendations given in your presentation
Case 1: The main motive of taking the help of conciliation process to resolve issue at
initial level is just to ensure that work don't get affected and process of resolving the issue is very
easy in it which can be helpful for disputed party.
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Case 2: The appointed mediator can be crucial in this particular process because they can
simply guide that how any of the problem needs to be resolved with the process of resolving the
problem. Here, even elements of contract law will ensure that Virgin Ltd has not completed their
part of work due to which company is not authorised to ask for complete payment which shows
that it is one of the effective recommendation.
Case 3: The recommendation in this case is necessary because arbitration is one of those
process which says that problem can be resolved because decision are binding in nature and must
be followed. This will certainly allow the organisation to earn higher percentage of profit in short
time period.
6. Critically and evaluate the use of the appropriate legal solutions suggested in comparison with
alternative legal advice
Legal solution which has been mentioned in the case simply explains that court procedure
is always lengthy as compared to alternative dispute resolution. The decision which is declared
in legal solution must be followed but this is not available in case of ADR process (Davis and
Geyfman, 2017). But for obtaining the suggestion at initial level, ADR process can be the
effective one.
CONCLUSION
After the analysis of whole report, it is understood that law and regulation must be
followed because it simply the working environment of a company. Secondly, it even guides
that what are those decision which may raise problem for the business organisation which makes
easy to take effective decision. Forming of law is important where different sources plays the
vital role in accomplishing the goals. There is no requirement that all of the cases must be solved
through the procedure of judiciary body but even it can be resolved with the help of Alternative
Dispute Resolution which is one of the legal process for resolving any of the problem.
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REFERENCES
Books & Journals
Davis, L. M. and Geyfman, V., 2017. The Business of Title IX-Using the Law to Improve
Gender Equity in Undergraduate Colleges of Business. JL & Educ., 46, p.163.
Čepel, M. and et. al., 2018. Business environment quality index in the SME segment. Journal of
Competitiveness.
Kuldova, T., 2017. Hells Angels™ Motorcycle Corporation in the Fashion Business:
Interrogating the Fetishism of the Trademark Law. Journal of Design History, 30(4),
pp.389-407.
ALLEN, M. L. and et. al., 2017. SOUTH CAROLINA JOURNAL OF INTERNATIONAL
LAW & BUSINESS. Masthead, 14(1), p.3.
Sulphey, M. M. and Basheer, A. H., 2020. Laws for business. PHI Learning Pvt. Ltd..
Xiao, L. Y., 2019. A primer on the legal regulation of loot boxes: history, business, psychology,
law and regulation.
Hollywood, J. S. and et. al., 2018. Using Video Analytics and Sensor Fusion in Law
Enforcement: Building a Research Agenda That Includes Business Cases, Privacy and
Civil Rights Protections, and Needs for Innovation.
Davies, P., 2020. Introduction to company law. Oxford University Press.
Steinberg, M. I., 2016. Lawyering and Ethics for the Business Attorney.
Augenstein, D., 2018. Negotiating the Hard/Soft Law Divide in Business and Human Rights:
The Implementation of the UNGP s in the European Union. Global Policy, 9(2),
pp.254-263.
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