Impact of Company, Employment and Contract Law on Business

This report explains the different sources of law in UK, the role of government in lawmaking and how statutory and common law is applied in the justice courts. It also illustrates how company, employment and contract law has a potential impact upon business with specific examples.

Business Law

INTRODUCTION
Business law is the commercial practises which outlines and manages all the corporate
working and the vary nature through which all the work and the effective management is being
attained. Their is implied that In UK there is unwritten constitution in which it is partly written
and not fully codified. It embarks to manage all the general statutory and the common law for the
protection of the life and the working agreements of the organisation. In order to manage the
effectiveness there is complied with different kinds of laws which are like the contract law,
employment law, IPR and many more. Employment law provides the rights in relation to
protection of the individuals who are being working in the company and their general statutory
obligations. In this report their will be provided different tasks which reflects the sources of law
along with the role of government in law making. It will also cover the legislations and the
applicability of employment law in business and further it will also provide the effective dispute
resolution methods.
TASK 1
P1 Explain different sources of
law.
UK considers to have unwritten constitution and their it is being seen that ball the laws
and the rules are not being made in the single document through which the authorities aligns and
manage the work to be given and provides to all(Moore, 2019). Their is no single and proper
documents or act through which ball the defining of the rules and the legal framework is
managed. In order to seek justice and also to promote the positivity and the morality for the
citizens of UK their is been made different sources of law they are mainly the primary and the
secondary sources of law through which all the laws are being incorporated and managed. Some
of the main areas are being explained there under:
Primary sources-All such laws which are aligned and made through the original and the
authentic work and these are generally the original and all the authoritative statements through
which laws are being enacted they are like: Case laws- These are generally all the judicial precedents and all the law making process
through which the common law in actions are being implied. It helps to manage and

mandate all the rules and the judgements which are being passed by the judges and that
will be created as the binding impact on all. It applies all the rules and the vary principles
given by the judges while providing the effective decisions. European law- It involves all the conventions and the genera; laws and practises through
which the legal framework and the managed laws are being provided. It helps in attaining
all the major laws and the convention with the management and the functions(Rasch and
Tsebelis eds., 2020).
 Legislation- it is the rules and the law making process which are being made by the
supreme authorities or the government who are having the power to make and manage all
the rights and the general working principles. Their is been seen that all such laws and
their law making nature will be attained and are created in order to make the rules for the
individuals safety.
Secondary sources- These are all such sources which are being used in order to mange
the rules and other general interpretation of the statutes along with the research, judges and the
authors work. Some of the main and the effective sources are like: Textbooks- These are comprised of all the textbooks which are being made and published
for the law students which covers all the main element and the important information
regarding the laws and the rules. Law journals- It is mainly the publications and the general rules with the written statutes
through which all effective publications and the details related to laws are being made. Parliamentary and non-parliamentary publications- It is the command paper through
which all the areas which reflects and provides the details of the law and their vary
principles are outlined. Their is been given all the major details and their information
regarding to the laws and the legal rules and principles in the green and the white papers
through which the consultation and the policies are outlined.
 Legal Encyclopaedia- This is an important search engine platform through which all the
cases, key points and the details regarding the legislation is managed and given.
In order to manage the laws in the organisation there are some important legal
implications and legislation which are being considered they are like:
 Contract law which is generally an agreement enforceable between the parties in
order to frame a work or task.

 Equality act 2010 Implies that all the person should be treated in a equal manner
without any discrimination and there should not be any kind of unfair treatment with
them.
 Health and safety at work act 1974 manages safe working environment for all the
employees in the organisation as it also provides the medical treatment and a proper
training and supervision under it.
 Companies act 2006 promotes all the legal structure and entity which has a separate
legal identity and a perpetual succession and regulates all the rights of the
shareholders and the directors.
 Consumers act 2015 allows and provides all the rights of the consumer while selling,
buying any product from the seller.
P2 Explain the role of government in lawmaking and how statutory and common law is applied
in the justice courts.
Role of government in law making
Government has very important role to play in formulating policies and plans for the
betterment of people living within society. Along with this lawyer become one of the most
important part which is held in implementation of these orders in order to govern country like
United Kingdom. Photo explanation has been provided in relation to the role of government in
lawmaking of United Kingdom:
 Legislative: They are one of the very first organs which are important but in the process
of law making of United Kingdom. Do follow proper process which is called threading
process. According to this process bill is presented within the parliament and then if it
goes for discussion within house of commons where voting is also done regarding it. In
2nd state amendment is done any has been suggested within the first stage and then be
presented again for discussion. In third stage bill sent to house of Lords final discussion
upon it. Then the bill is sent for Royal assistance which is given by monarch then only
bill becomes permanent law(Reimann and Zimmermann eds., 2019).

 Executive: As most important element which is required in order to make execution
popular. This is based upon administrative Department of a country as executive are
mostly servants which minerals in agent regarding Welfare of state or country.
 Judiciary: It is the last element which is used within the law making process of United
Kingdom. It includes various courses in it which helps in solving cases of both criminal
and civil nature. Also rotisserie is known as the Protector of fundamental right in
constitution which exist with the country.
Along with this there are two major types of law which our existing within the legal
system of United Kingdom these are situated in common laws. Further they have been explained
as follows:
 Common law: These are the laws that has been formed by the judges through passing
judgement within a case. As per the concept of common law judges analysis all kinds of
facts, issues and legal perspective present within a case. The law is used in order to
moderate statutory laws which are not able to procure justice in its real sense. It is
applied under those situations where judges are not able to pass judgement and requires
deep analysis of particular case.
 Statutory law: These are those law which has been formed through following proper
process which exists within country. In United Kingdom legislatives has been given
power to form laws by following three reading process. In this bill is presented and
discussion is done within House of commons and House of Lords. The law is used by
judiciary in order to conduct trial and proceedings within particular case and justice is
served through using statutory laws.
Organisation of the judiciary with the Jurisdictions and the structures of the court.
Judiciary is the most effective structure which manages all the rules and the applicability
of the principles through which vary laws are being managed. It comprise of different bench and
divisions which are required to manage the effective judgement and providing the decisions. The
statutory manages the law making and all the judiciary implies to manage the common law
actions.
In UK there is been that the structure of Court system is managed as through the
Supreme court which is the final appellate court deals with all the civil and the criminal appeals.

Under it there is High court which implies to have several divisions like the Queens bench,
family court, Chancery court all mainly deals with the property and the family issues and the
Crown court and magistrate courts manages the criminal offences in which the indictable and the
other commutable offences are considered. County court and the tribunals provides the civil
litigation and the appeals managed through the social security.
various legislation including environmental legislation, health and safety legislation and
consumer legislation. Company law or a commercial law is generally an important implication
which is being provided for all the organisations in order to manage a systematic working as it
gives all the rights, duties and obligations which are to be performed by the companies and their
shareholders, directors, managers and employees. It promotes and provides the rights and duties
of the director along with the legal methods to frame the working. Whereas contract law is the
agreement which is being in force between two parties by the law and it contains some essential
elements which are to be fulfilled there like offer, acceptance, consideration and legal intention.
Legislation related to environmental, health and safety with consumer legislation.
The Environment protection Act 1990 united kingdom deal with issues that is based upon
land, deafening various aspects which are related to waste management. Also the act deals with
all current issues which is related environment and can also impact growth of a country. Health
and safety act 1974: The set and inform in order to make sure that employees health safety and
welfare is been performed by an organisation in proper and effective manner. How should the act
has been protecting known employees against the health and safety work and activities. Insect
controlling the keeping and usage of explosive for highly flammable or dangerous substances
within the organisation has been prohibited. It has helped all organisations to form as and safety
policies in them.Consumer right act 2015: It has been formed within United Kingdom to
organise the rules regarding the supply of goods services and digital content. Help in solving
various queries bhajan consumer was having regarding the product aur any defect which is
offered within it. Data Protection Act 2018: The act has been formed in order to prevent people
organisation old and used in accurate information of an individual which is very sensitive in
nature for any wrong purpose (Sharfman, 2017). The acts has been formed in order to protect the
sensitive information of an employee working within an organisation on individual living with
another country. Privacy Act 1988: has been formed in order to promote and protect privacy of

an individual. According to the act right of privacy cannot be infringed at any cost which has
been provided by an individual under the constitution of an added Kingdom
M1 Evaluate the effectiveness of the legal system in terms of recent reforms and developments
The legal system of United Kingdom has been formed through various law which
contains loopholes within them. These loopholes exists due to incomparability of these laws as
per modern standards. Also complexity exists within United Kingdom's judiciary system which
makes quality of justice impacted. It has made judiciary face struggle in making justice served in
its real sense. The laws of UK are amended over a long period of time which has made
deficiency caused within the application of law and rules applicability in proper manner. Thus it
is required for government of UK make significant change within English legal system that
makes it more appropriate in nature.
TASK 2
P3 Using specific examples illustrate how company, employment and contract law has a
potential impact upon business
UK government has implemented different laws for regulating business organization. These
legislations may have potential impact upon the business which are as follows:
 Company law: Company Law: These are the laws that is used in order to make in
business organisation perform its various options as per the legal structure provided under
the Companies Act 2006. The act has been formed in relation to various kinds of business
organisation net formation. Under the act carfax in relation to raising capital for an
organisation and correctional of pay and performance has been covered within it. Also
company Law covers about rights of directors duties towards organization.
 Employment law: Implement these are those laws which has been performed in order to
make sure that all issues which pain faced by employee salt in more effective manner.
These laws helps in provide proper legal structure which helps in enhancing employment
rights and duties. Hospital jobs as various kinds of legislation covered with in which
helps in making employees feel safe and work towards their welfare within an
organisation working condition. These legislations are equality act 2010 which deals with
any kind of interdisciplinary action which takes place within a workplace regarding age
caste colour or religion. Employees right act 1995 the earth has been formed in order to

protect employees rights which should be provided while working within an organisation.
Health and safety act 1987 attaching form in order to provide employees health and
safety through listen to the condition in which they have to work. Business licence
together form employment law which helps in making sure that employees
effectively(Stout and Blair, 2017). Employment contract can be terminated when
employee has done fraud, theft or any unethical conduct.
 Contract law:Contract law colleges been formed in order to make sure that when in
agreement is created between two or more than two parties. Very useful in carrying out
transactions and dealing with them in more effective manner. Consist of certain elements
which are offer acceptance reality obligation and validity which helps in formation of
contact. These contracts are terminated only when breach of an obligation take place or
breach of Trust exist between parties. Termination of contract takes place only when
breach of trust or duty takes place. As Limited liability company manages specific rights
and regulations with the limited amount of shares that are being invested by the
shareholders. As in all the organisation there are being provided some of the major
employment rules through employment act 1996 they are like flexible working hours are
being given to the employees, according to the national minimum wages act all the wages
and salaries are to be given on a time period which is being specified by the government,
equality act 2010 promotes the anti-discrimination through which all the employees are
treated in an equal manner.
M2 Difference between legislation, regulations and standards
Legislation Regulations Standards
Legislation is the law which
has been published by a
legislature in the process of
preparation of law. It is an
important instrument of
government in organising
society and protect individual
rights. A separate legislation
Regulations are the rules made
by government or other
authorised authority to control
performance of various
business. Regulations are the
part of law that means they are
evolved through legislations
only.
Standards are the guidelines or
rules that helps in bringing
uniformity. Standards are set in
businesses so that two
businesses working in same
industry can be compared.

for business helps to deal with
various issues generate in
business.
D1 Evaluation of the legal system and law
Legal system and laws in relation to business kept on changing due to changing business
scenario. For example- A new form of business is introduced in the recent times that is Limited
Liability Partnership that consist features of company and partnership. Legal system is quite
flexible to adopt the changing environment. Laws related to businesses gets obsolete and
modified accordingly. Recently when BREXIT takes places laws and policies are introduced to
minimise the impact of this change.
D2 Review and evaluation of different type of business organisation
Formation of business involves various options and each option is available with its own
advantages and disadvantage. As businesses that are unincorporated lacks separate legal entity
and availability of funds in the business with no effective management. This form also available
with advantage of ease of formation and quick decision making. When business is established as
incorporated then most important feature of separate legal entity to business is enjoys with more
availability of funds. This form of business lacks in requirement of funds for incorporation and
complex process of registration(Tushnet, 2017).
TASK 3
P4. Explain how different types of business organizations are legally formed
 Sole proprietorship: These are those organizations that has been formed by an single
person and has only one owner. The owner of this business is known as sole proprietor
and has all responsibility in relation to business activities (Sharfman, 2019).
 Partnership: The organization is based upon two parties that has come together in order
to achieve common goal of earning profit. There are two types of partnerships limited
and general. In limited partners have interest as per investment done and general

partnership responsibility of partners is fully towards business. In order to commence
partnership business INHRC number is required with partnership agreement.
 Joint Venture: In these businesses more that two people come together in relation to a
specific agreement in order to distribute liability accordingly.
 Limited liability company: These business organizations have major benefits in relation
to tax payment and working environment of an organization is hybrid contains
partnership and coronation perspectives (Stout and Blair, 2017).
 Corporation: The main purpose of these organizations is to provide benefit in relation to
suitable services regarding product for customers. In this immense amount of capital is
required to run.
Through the given perspective various way are there which makes funds to be arranged
for these organizations that is with the help of issuing of shares, using debentures and bonds,
with the help of loan and government financial institution.
P5 Advantages and disadvantages of unincorporated and incorporated business with its
difference between in terms of starting process.
Incorporate Organisation: These are that kind of business which helps in making legal
personal exists easy to be part of an contract. This is one of the most safest and secured business
form and funds are easy to be raised.
Advantages:
 Company holds perceptual succession which makes organizations separate identity
(Twomey, 2012).
 The main advantage of these organizations is that it can be sued but owners are protected.
Disadvantage:
 This is required to be disclosed by an business which has been incorporated.
 Time and money required is more in order to form business.
Unincorporated Organisation: These are the organizations that has been operating on
the basis of earning huge profit and holds benefits regarding business operations. The
organizations also includes less complexity within its formation process and is free from legal
obligations.
Advantages:

 In these organizations annual accounts are not required to be formed.
 Such organizations have lower cost compliance with business activities (Yosifon, 2013).
Disadvantage:
 In this not legal contract is formed as organizations free from legal formalities.
 Business organizations does not operate upon hard and complex process.
TASK 4
P6. Recommend legal solutions for resolving a range of disputes using examples to demonstrate
how a party might obtain legal advice and support
Legal solutions are that kind of remedies which has been provided by law and is used for
solving disputes that takes place between two parties. The most appropriate system that has been
formed is Alternate Dispute Resolution System. This system has been helping in solving
conflicts outside the court. In this different processes are used which are negotiation,
conciliation, mediation and arbitration. Negotiation is used by involving an negotiator that makes
meeting to be conducted between parties and makes them agree over common point of
discussion. For example Chris and Larry has involved within a dispute regarding copyright and
there business has been effected through such dispute. Through negotiator common points can be
discussed which helps in solving dispute with an apt solution. Mediation in this third party is
involved that is mediator. It is responsibility of mediator for making parties agree upon certain
aspects related to case(Zimmermann, 2017). For example Chris has been sexually harassed at
workplace by Larry which is against the ethical code of conduct. So, mediation can be used to
resolve the dispute in more effective manner. Conciliation this method is used for settling
various matters out of court and is very flexible in nature for which conciliator has been hired
which makes dispute solved outside the court. Arbitration this is the last method to be used in
dispute resolution system. As per this an arbitrator is hired and conflicts are solved by passing
judgement given by arbitrator and is bound to be follow by both parties. For example, Chris and
Larry indulges in dispute regarding patents and opt for arbitration. In this arbitrator decides after
listing to parties.
As in India and Australia there is being seen that they both follow the legal framework
with statutory and common law avenues to employees the legislation which are being made by
the Parliament and the other focus on the judges made law which is judicial precedents.

The unions helps out to manage and set the standards for all the working conditions, education
and all the quality of life for the workers. It also helps out to benefit the non-union workers by
managing and protecting their contracts through statutory laws.
ADR is median external dispute resolution which helps to provide a process and a
technique through which disputes are being settled out with the help of third-party. the role of
ombudsman in ADR is as it helps out to provide a neutral evaluation with the specialist and also
make recommendation for the disputing parties about what they can do. The main role is to
resolve all the disputes between the parties with a objectified and reasonable manner on the skills
with proper negotiation Sa advocate their own case.
M4 Sources of legal advise and support for dispute resolution
While performing business activities number of individuals and business organisations
are their to deal with. This creates a dispute due to difference in opinion and method of
performing various activities. These disputes can be resolved by taking advise from laws that are
designed to deal with a particular issue. Various case laws that are held earlier become one of the
important source to grab legal advise when similar situation arises. To resolve dispute without
involvement of court arbitration method can be used.
D3 Effectiveness of legal solutions, legal advise
Legal solutions to resolve dispute provided by dispute resolution panel is quite effective
as a mediate outcome is provided which is most suitable to the parties involved. When court is
involved to resolve dispute then decision of the court becomes binding on both the parties
involved. When out of the court settlement is done with consent of the parties involved then
decision of the arbitrator needs to be followed by both the parties involved in the dispute.
Dispute resolution panel gives most effective solution and legal advise to solve various issues.
Compare and contrast different sources of legal advice and support for dispute resolution.
There are several disputes which takes place within society on daily basis and all these
disputes are handled through legal advice and legal solution explained as follows:
 Legal advice: In this legal aspects regarding case is understood and solution is provided
by legal advisor.

 Legal solution: They are formed through facts of case and is provided by lawyer and
advocate.
Dispute resolution is applied with legal solutions in an trade union dispute which helps in
attaining proper aspects as per law. Then ADR is used by trade union to attain legal advice which
helps them in finding appropriate law to be applied within particular dispute.
CONCLUSION
From the above discussion it can be concluded that business laws are those acts and
legislations that has been used in order to make business organization establish itself. These laws
provides guidelines making goals and objectives achieved which has been set by an organization.
In this sources of law has been discussed which is based upon different kinds of laws. The source
helps in forming law regarding business law. The role of government in law making has been
discussed. Also contract, employment and company law has been discussed. Another part
explains about different kinds of organization and its various aspects. In the end Alternate
Dispute Resolution has been explained.

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