The Legal System & The Application of the Law

This document provides an overview of the legal system and the application of law in the UK. It explains the different sources of law, the structure of the court systems, and the role of the judiciary. It also discusses the duties of employers and employees under the employment contract, and the statement that not all agreements are contracts. A case study is also included for practical understanding.

The Legal System &
The Application of the
Law

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
Explain different sources of law and laws that business organisations trading in United
Kingdom must comply with........................................................................................................3
Explain the structure of the courts systems and the role of the judiciary....................................5
TASK 2............................................................................................................................................7
Explain the duties of employer and employees under the employment of contract with
examples and legal precedents.....................................................................................................7
TASK 3............................................................................................................................................8
Explain the statement “Not all agreements are contract”............................................................8
Solve the case study.....................................................................................................................9
Corporation aggregate under the Companies Act 2006 are classified according to their mode
of creation, namely (1) by charter (2) by statute and (3) by registration...................................10
TASK 4..........................................................................................................................................10
Explain the meaning and role of Alternative Dispute Resolution with examples.....................10
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Legal System is defined as the procedure of for interpreting as well as enforcing the law
within the specific area or premises. It is necessary to work as per the guidelines of law because
it directly or indirectly allows the organisation to accomplish the goal with the specific time
period. Legal System is helpful any of the area whether it is the commercial sector or for the
propose of resolving any of the civil or criminal matter. The thing which is important in it is
related with working as per the guidelines of law which plays the most important role.
In context of the file, four different task will be covered where first task will have a detail
explanation about the sources of law that a business organisation must comply. Along with this
court procedure will discussed with role of judiciary. In second task, duties of employer and
employees will be presented as per the employment contract. While discussing about third task,
it can be said that the main topic in this task will be related with contract law and corporation
law. In the last task, role as well as meaning of Alternative Dispute Resolution will be explained
in detail.
TASK 1
Explain different sources of law and laws that business organisations trading in United Kingdom
must comply with
In current scenario, role of legal system in increasing day by day and it is becoming
mandatory to follow every single guideline for making any of the decision. It is said that the
legal system of UK is wider where they cover large geographical area. In order to improve the
legal system and its effectiveness within the premises of UK there is the requirement of multiple
source so that illegal activity or wrong decision cannot be taken. In context of UK, there are
multiple source through which makes their law effective. But, it is not necessary that all of the
sources of forming law is applicable in each sector (Bodansky, 2016). As per the requirement of
question, major focus is one on those sources which is required to be complied by business
organisation conducting their business within the premises of UK, the sources are discussed
below:
Act of Parliament: In present scenario, the role of Parliament is very crucial because
they are the one who is authorised to take final decision for the commencement of any new law.

On a yearly basis they commence hundreds of laws and regulations which is applicable to
business entity. It is necessary that those laws and regulations must be followed because breach
of those laws and regulations can put company into pressure because of several penalties which
can be imposed upon the business entity. Some of the main laws and regulations which has been
formed by Act of Parliament in context of business organization are Companies Act,
Employment law and many more.
Common law: Basically, it is also known as case law where any of the new law is
formed as per the requirement of situation. The power of commencement of this types of law has
been given to the judicial body of the nation who manages day to day affairs where any of the
terms and condition has been breached. In context of business organization, it is necessary to
have common law because it simply uplift the standard through which any of the case can be
solved easily. There has been number of new concept of conducting business can be introduced
through it which can be effective in obtaining the desire result. Salomon v Salomon Ltd one of
the landmark case where common law introduced the concept that company and its member are
different from each other must comply with the guidelines of law (Musson, 2018).
European Union law: Before Brexit of European Union, there were number of laws and
regulations which has been commenced by European Union for UK. It is necessary to understand
that European Union has commenced number of new laws which are applicable to business
organization and company must comply with all of those laws and regulations. This law and
regulation is applicable for the entity and provides guidelines that how they are required to make
any of the decision in best possible manner.
European Convention on Human Right: This is among the important sources of UK
which has commenced number of laws and regulations within the premises of UK and helped to
obtain effective result. The main laws and regulations which has been commenced by ECHR for
the business organization is related with providing equal opportunity to every employees and
their rights must be given to them so that they can perform effectively within the premises of a
company.
These are some of the important sources of UK which has commenced number of law
and regulations for the premises of a company and those decision has been helping entity to take
effective decisions (Petrov, 2019). It is also said that in any of the situation, it is necessary to

understand that those guidelines must be followed and if they fail to do so then legal action can
be taken against the defaulter and even heavy penalty can be imposed in this particular situation.
Explain the structure of the courts systems and the role of the judiciary
The level of court within the premises of UK has been divided into five different level and
they are Magistrates Court and the Tribunals Services followed Crown Court and County Courts.
Along with this High court comes in third stage, the fourth level is of Court of Appeal and the
final one is Supreme Court where decisions are mainly taken by House of Lords.
Talking in detail, if case is of civil nature then at beginning level the case is required to
be filed within the Tribunals who has the responsibility to handle the situation and on the other
side if it of criminal in nature then case is required to be filed as per the guidelines of Magistrates
Court. Then, there is a Country court where majority of civil litigations is required to filed
petitioner tries for claim the damages (Qunran and Chen, 2019). Talking about Crown Court,
they have the responsibility to declare decision as per the requirement of case where sentence is
also possible in it. The third stage of the court structure is High Court where cases reaches in that
respective situation where cases are not handled by lower level of court or decision of lower
court has been challenged where high court has accepted the ground of appeal. The cases in civil
litigation are dealt with Equity and trust, tax partnership and many more, on the other side,
criminal litigation are for Queen’s Bench Division.

Figure 1: Structure of Court
(Source: UK Court Structure, 2020)
Talking about the Court of Appeal, in criminal division it will handle all of the matter
related to appeals from the crown court and in civil division, appeal from high court, tribunals
and certain cases from the county court can be discussed. Finally, the case can be entertained

with the Supreme Court where any form of cases can be filed within the boundary of United
Kingdom.
Role of Judiciary: It is necessary to understand that role of Judiciary has a huge importance
which simply means to explain that all of the terms and condition must be followed. It is
necessary to understand that Judiciary has to deal with any of those case where petition has been
filed and as per the situation of the case, they are required to declare the decision so that any sort
of problem will not occur in any of the situation (Ruhl, Katz and Bommarito, 2017). The
decision which is required to be declared Judiciary must be based on statutory law where terms
and condition are same for each and every person.
TASK 2
Explain the duties of employer and employees under the employment of contract with examples
and legal precedents
Employment law is one of the most important law which discusses about the relationship
between employer and employee and all of the basic guidelines which they must follow while
performing their work. As per employment law there are certain terms and condition which are
self-implied which automatically imposes upon the employer and employee. But, there are some
of the additional terms and conditions which are included by employment of contract. The main
purpose of inclusion of this law is very simply i.e., to include some of the additional duties for
either of the parties so that they don’t get suffered in any of the circumstances. Some of the
duties of employer and employee has been discussed below which has been prepared as per the
guidelines of employment contract.
Duties of Employee as per employment of contract
 Duty of obedience, attendance and competence which means that employee must be able
to comply with the guidelines of this three respective area.
 Duty of good faith and fidelity in which employee must ensure that they will not take any
of those decision due to which confidential information may get leaked to outsiders
(Feres, Silva and Silva, 2018).

 If in any of the condition, employee is willing to leave the company, then it becomes
mandatory for him or her to provide notice of resignation so that company can find out
the replacement in best possible time period.
Some of the duties of Employer
 It becomes their duty to give job and timely payment to the staff must be given.
 It is necessary obligations of employer that they must be able to provide safe working
environment to the employee.
 If any of the employer wants to remove any of the employee, then it becomes mandatory
for him or her to give notice of termination with reasonable time period.
For example: Mr Anderson and the CEO of Amber Ltd enters into the contract that both
parties will give prior notice if situation of termination or resignation arises. But, in this
respective situation, Mr. Anderson didn’t give any of the notice to Amber Ltd to which CEO has
reacted by filing a litigation of breach of contract. As per the terms and condition of contract law
legal action can be taken against the defaulter. But, Mr Ander discussed that company was not
paying him according to the minimum wages act due to which he left the company without
giving any of the prior notice. Royal Mencap Society v Tomlinson-Blake; Shannon v
Rampersad and another (Court of Appeal), is one of the case which is related with the issues
of wages (Alfawaer, 2017).
TASK 3
Explain the statement “Not all agreements are contract”.
As per the contract act, all of the contract are agreement but in any of the situation it is
not necessary that all of the agreement will become the contract. Agreement is a wider terms
whereas contract is limited. To form contract, there must be offer and acceptance where legal
obligations should be there and must be completed on specific time period. On the other side
talking about agreement, it is defined as every promises and every set of promises forming the
consideration for involved parties is an agreement. In simple words, promises are also considered
as agreement whether it has legal obligations or not. To make any of the contract parties must
agree and they must raise the legal obligation where agreement between the parties will play the
crucial role. But, if any of the of the agreement is not able to include legal obligation then it will

not be a contract. In short, agreement is wider in concept whereas contract covers limited area
which is to be followed. For example: James will attain house party of Mark on Sunday which is
just a promise where there no legal obligation for him to go. Only agreement has been made
there that he will be there but if in case they will not be there then there is not option of taking
any of the legal action against James. But, if would have been the contract where it is mandatory
for James to attain the party then Mark could have claim damages if James would not have
attained the party. It is the main difference that all of the contracts are agreement but in case of
agreement it is not necessary that they will make a contract.
Solve the case study
George a house painter, sends a WhatsApp message to Alex offering to paint the outside
of Alex’s house for £550, the offer to remain open for seven days. A fortnight later, Peter
telephones George to say that he accepts the offer. Please advise both parties.
Contract: It is explained as the law where offer and acceptance is required to be made
for making a valid contract. It is necessary to understand that the guidelines which are include
must be completed on specific time period (French, 2018). It is said that contracted which has
been formed must not be breached and if it happens then legal action can be taken upon the
business organisation. Below, case has been solved as per the required criteria.
Offer: It is defined as the offer presented by the party in order to enter into the valid
contract. It is necessary to understand that only those persons can accept the offer to whom offer
has been made. In the above given scenario, offer has been made to Alex only where if other
people tries to show acceptance will not be considered as acceptance.
Acceptance: It is the important term where the person who has been given offer is
required to reply where he or she accepts the term or not. If he or she accept the term, then it
becomes agreement. But, Peter class George to accept his order which will be considered as
acceptance.
In this particular situation, it is necessary to understand that Peter has called George and
said that he would like to have a paint to his house which means offer is shown by Alex where
final call is required to be made by the side of George that whether he would like to accept or
not. Because above offer was only made for Alex not for any other person.

Corporation aggregate under the Companies Act 2006 are classified according to their mode of
creation, namely (1) by charter (2) by statute and (3) by registration.
Companies Act 2006 is explained as the law and regulations which governs the business
organisation registered under the Act. It is necessary to understand that all of the guidelines must
be followed by every entity whenever they enter into the contract. It is because it simply
provides the way to take effective decision. Talking about the commencement of the entity, it has
to follow proper guidelines which plays essential role in attaining the goals where systematic
order to is required to be followed. Below, some of the steps are mentioned with example.
 Charter: It is the basis process where it becomes necessary for the business organisation
to work as per the guidelines of law. Here, name, address with official documents are
required to be presented where rights and duties of group are presented in it. The
document will help to declare about the city, town, corporation where it has been
established (Markou and Deakin, 2019). For example: TESCO PLC is being commenced
where they will have to mentioned each and every detail in documents such as TESCO
House, England.
 Statute: It will include all of the detail process which is required for any of the company
in order to establish the company. It is necessary to understand that statute law for
forming company is as per the guidelines of Companies Act, 2006. For example:
Company like TESCO Plc will have to prepare Memorandum of Association, Article of
Association, they must assign first director and shareholder which is essential for
performing any of the business activity.
 Registration: It is the finally process for the business organization, where it is necessary
to understand that business must be able to conduct its business activity as per the
guidelines of law. All of the documents which has been prepared must be deposited with
Companies House in order to ensure that company can be registered and it can be
operated easily.
TASK 4
Explain the meaning and role of Alternative Dispute Resolution with examples.
Alternative Dispute Resolution: It is explained as the procedure which simply discusses
that with the disputed parties in order to resolve the problem in best possible manner in a very

short time of duration. It is necessary to understand that it is among one of those process which is
very less time consuming and even it easily provides the effective result due to which disputed
parties do not require to take the help of court procedure in order to resolve the problem. It is
wider concept but there are certain limitations as well which restricts ADR process to tackle any
of the criminal litigations (Schauer, 2019). In simply words, procedure of ADR can only solve
civil cases where case can be resolved without imposing any of the imprisonment decision. The
main purpose of introducing the process of ADR even after having judiciary process was just to
ensure that their burden can be reduced from those cases which are simple and those can resolve
in a short time of duration. Also, till currents date it has been resolving the cases which are easy
in nature and those cases where there is no requirement of court and even it has been effective
too in obtaining the positive results. There are number of procedure in it which is needed to be
adopted for the purpose of resolving any of the dispute which is having between the contracted
parties. Below, those methods have been discussed through which disputes can be resolved.
 Negotiation: It is the process of resolving the issues where two parties faces the problem.
In order to resolve the issues between there is no requirement of hiring the third party
who can involve with the case for the purpose of resolving the case. It is necessary to
understand that this types of disputes are simplest in nature and must be resolving in easy
manner else it can turn out to be one of the expensive process. Looking at the situation,
disputed parties themselves can solve the problem in an effective manner for finding out
the suitable resolve. But, voluntary involvement can be shown by the third party for
resolving the issues between the disputed parties (Partington, 2019). For examples:
Mathew and James works in a same organisation in same job profile. Here, both of them
have been involved within the dispute in order to show their skills and talent which has a
negative impact upon organisation. Here, third party like management can show their
participation in order to resolve their dispute and they can guide that how they are
required to work within the premises of a company.
 Mediation: It is explained as the process in order to resolve the case without taking the
help of legal procedure. It is necessary to understand that this types of process helps to
resolve the issues which are not so complex in nature and only advices are required to be
given in it. Involvement of third party is also mandatory in it who can suggest them that
how their problem can be resolved. Person who is appointed is known as mediator who

has the responsibility to resolve the issue in best effective manner. Their main role is just
to give advices as per the situation of the case. But, there is no mandatory to follow or
work as per the guidelines of mediator. For example: Jacob and Marsh are having the
issues related to contract law (Shen, 2018). Here, mediator can advise how their problem
related to contract can be resolved with consequences of taking the help of court
procedure. But, it is not necessary to work as per the guidelines of Jacob and Marsh.
 Collaborative Law: It is the process through which any of the disputes can be resolved
in an effective manner. Alternatives are provided in order to resolve the family disputes
which mainly arises between husband and wife. This process of resolving case mainly
emphasis on finding solution rather that winning or losing. It is because solving the case
is much important then involving within any of the disputes. Major arrangement is done
on the points like children, finances as well as other additional matters which may come
across once process of divorce has been completed (Endicott, 2016). For example: Mr.
Miller and Mrs. Miller had a dispute regarding the assets they both have where they
require appropriate suggestion but in a short period of time then they can take the help of
collaborative law which can provide them effective solution for resolving the problem.
 Arbitration: It is also among one of the effective procedure in order to resolve any of the
case where dispute has raised between two parties. Here, disputed party requires the help
of arbitrator who can find out the solution for resolving the case. It is necessary to
understand that any of the matter which is required to be solved through arbitration
requires the conformation of both parties that they agree upon the terms and condition for
performing the business activity (Donald, 2019). The decision which are declared by
arbitrator mus be followed and even parties will not have any of the option to challenge
their decision. It is necessary that the panel of arbitrator should be in odd number for
finding out the effective decision.

CONCLUSION
After analysing the complete file in detail, it can be concluded that role of legal system is
huge in each and every sector because it directly or indirectly allows take effective decisions
which are helpful in making decisions. There are different sources of law but all of them simply
allow to deal with different business situation where tough decisions are required to be made.
The contract between employer and employee plays the important role because that simply
allows to maintain relationship between each other and they both must work as per the
guidelines. Role of contract law is huge as it gives the guidelines that how any of the contract is
required to be made but it is necessary to understand that all of the contract are agreement but all
of the agreement might not be the contract. Alternative Dispute Resolution can simply allow the
business organisation to resolve any of the issue which is being faced by the business
organisation or any of the two person which involving any of the legal procedure and even it is
less time consuming as well.

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