Law for Business Managers: A Case Study of Chia Limited

Law for Business Managers
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Table of Contents
Introduction................................................................................................................................3
Question 1..................................................................................................................................4
Question 2..................................................................................................................................7
Question 3..................................................................................................................................9
Conclusion................................................................................................................................12
References................................................................................................................................13
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Introduction
The role of a business manager is very crucial for the growth and development of the
organization. The management of the organization remains in the hands of the business
manager, where he takes very crucial decisions for the benefit of the organization. The above
report reflects the poor decision making made by the managers working in Chia limited. The
report also reflects the importance of the contract of employment for both the employer and
the employee working for the company. The report also focuses on the equal opportunities
for all the employees working in the organization irrespective of race, religion, colour or
gender. The provisions of the Equality Act 1970 and the Equal Pay Act 2010 are also
discussed in the report. In the end, the provision of Health and Safety Regulation at Work
Act 1972, regarding the poor conditions in the workplace were the employees of the
organization feel unsafe to work in such an organization.
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Question 1
Issue
Chia limited a company founded by Mr Joseph, which deals in vegan food and snacks. The
company hired a new secretary who handles most of the matters of the company. Dwayne has
been working in the company for the past 6 weeks and there has been no formal written
employment contract made between the parties. However, a verbal contract has been made
between the company and Dwayne for the position of secretary of the company. The parties
do not have a written contract, a written contract of employment between the parties is
necessary in order to avoid conflicts in the future.
Rule
As per the Contract Act 1990, a contract is a document which legally binds the parties
entered into a contract to perform a certain work in exchange for a certain amount of money.
A contract can be verbal and written. A contract, in other words, in other words, is a body of
law which binds to the parties to the contract regarding the contractual obligations and
validity of the contract (Sanders and Countouris, 2016). A contract is formed on the basis of
the offer made by the party in exchange for some consideration. The obligation of the
contract must be purely legal and there must be an intention to create a legal relationship with
parties entering into the contract. A contract becomes enforceable when there is an offer and
consideration has been made by the party offering which has been duly accepted by the party
than the contract becomes enforceable. A contract can also become enforceable when the
offer is made by the words or conduct is duly acceptable by the party. Any mistake or
misunderstanding can prove a contract void in the court of law. The contract made between
the parties should be legal in nature and the intention of the parties should create a legal
relationship with each other. A contract can be proved void in the court of law if its
provisions are illegal in nature.
As per the Employment Act 1996, a contract of employment should be provided to the
employee within 2 two months from the date of employment. Such an act was formed in
order to protect the rights of both the employer and the employee. The act also focuses on
providing a healthy and safe environment for the employees working in the organization.
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