Business Law and Corporate Governance Analysis

This assignment involves a comprehensive analysis of various aspects of business law and corporate governance. Students are required to review and synthesize information from the provided references, including works on competence theory, proxy access rules, law and ethics in business environment, Delaware corporate law, organizational behavior, administrative regulations, business law fundamentals, bribery laws compliance, economic analysis of law, criminal liability, taxes and strategy, personality psychology, international business law, internet of things security challenges, and an overview of the English legal system. The assignment aims to evaluate students' understanding of these topics and their ability to apply theoretical knowledge to practical business scenarios.

Business Law

Table of Contents
INTRODUCTION...........................................................................................................................1
Section 1...........................................................................................................................................1
P1. Structure and sources of English legal system......................................................................1
P2. Duty of government in law making procedure and how statutory & common law is
applied.........................................................................................................................................3
Section 2...........................................................................................................................................4
P3 (a) Influence of law on different situations............................................................................4
P3 (b) Employment through contract law...................................................................................4
Section 3 ..........................................................................................................................................5
P4. Legal solution for the problems............................................................................................5
P5. Justification of the solution...................................................................................................6
Section 4...........................................................................................................................................7
P6 (a) Benefits of using Alternate dispute resolution system.....................................................7
P6 (b) Recommendation for ADR and comparison with the other nation..................................8
CONCLUSION................................................................................................................................8
.........................................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Business law is the part of law which can be also termed as commercial law and it deals
with governing businesses through use of legislation. It includes contracts, recruiting practices
and the production and sales of customer product. It describes the ways how an organisation can
be formed and after that how it will run its business (Bagley, 2010). These laws has to be
followed by all the business prevailing in UK. Under the umbrella of business laws a company
will find it easier to operate their services. This law report will be defining the structure English
legal system and their sources. Through a brief role of government in law making will be
analysed and how they impact the factors like health & safety, workers compensation,
harassment and equal opportunities. By taking two case laws, a legal solution will be proceed
and how alternative dispute resolution process can be used at a workplace.
Section 1
P1. Structure and sources of English legal system.
Structure of English legal system describe rules and regulation and these laws are
considered by almost all the organisations existing in UK. Structure is divided into two parts i.e.,
civil and criminal law. All these laws are framed by judges and other other legal bodies. Criminal
law is concerned with crimes like killing, stealing of the data from any government agency or
any harassment.
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Illustration 1: Structure of the English Court System, 2017

Civil law is taken in consideration when a dispute arises among two or more people related to
property, ownership and contract. Supreme court is the head of all the lower courts and its
decision will be final. Whenever there is any conflict or any situation which is unethical, so both
the parties have the option to opt to magistrate court (Weber, 2010). This court comes at lower
position and if any of the party is not happy with the decision made by it they can appeal at
higher level in crown court. Further, they are also given opportunity to carry their appeal to
supreme court.
Sources of Law
Constitution:- It briefs about the fundamental rights or duties of citizens and protects
their interests and rights. Constitution of UK is not in written form and has a lot of legal
information. They are considered as the main source of law and stated by it all the important
provision of laws has to be followed by the people of the country. Which this government
authorities can distribute power and other duties in between them (Cheeseman and Garvey,
2014). It protects rights of women, children, physically disabled person and the old age people
who needs support. If any fundamental rights are violated the victim can appeal in the court by
filing a case against the person who is responsible for this. The court can ask culprit to give
claim to the prime victim or otherwise he has to face some other legal action.
Legislature:- It is the department of area of the government who has responsibility of
governing the law and its current status. UK also has its own legislation and may vary from the
other state. The current existing companies are affected by this and they have to comply with
them. Law passed by the legislation involves rules and regulation and all these are called as
statutes. By following a process which is aligned properly statutory law is formed and it is part of
statutory law.
Executives: Every law which is framed cannot be passed without the signature of
president, as he is the ultimate officer in the law. Executives orders framed by the president has
to be followed by every citizen of the nation (Crane and Matten, 2016). In this Treaties are
included which is also a source of law. This includes an agreement between two states and share
a friendly relation with each other through fulfilling their responsibilities and duties. Both should
present signed agreement in the written form which will act as evidence.
Judiciaries: It includes courts and has judges and other bodies related to law. By giving
decisions on various issues they try to resolve conflicts and for this judges are appointed by the
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government. The duty of judges is to listen to both the parties, analyse every aspect of case and
after that referring to the law they take decision in favour of the innocent party. Common Law: It plays a crucial role in the decision making process. They consider
prevision judgements to decide undergoing cases.
 Case Law: With the help of previous cases they will try to take more effective decisions.
By doing this they will able to analyse the issue and will look to the past that how this
case is related to that.
Administrative Agencies: These are the authorities present at every stage from local to national
level. Whatever laws are made by the government are managed by these bodies. Through
referring constitution such agencies are able to manage the activities carried out in a company.
P2. Duty of government in law making procedure and how statutory & common law is applied.
It is the duty of the government to make sure that a law is framed and implemented
properly. It is the role of parliament to prepare laws and acts so that they can make society a
better place for living. The basic aim of making a law is to relief the citizens from a problem
which is creating disturbance and impacting the social harmony of the country. Whenever a law
is made the authority who is given this responsibility analyse both the sides so and try to identify
the loopholes (DiMatteo, 2010). Those people who are creating trouble are checked on regular
basis through the law. Then a draft is prepared which consists of suggestion related to that issue.
It is the duty of legislation to frame the draft of bill and send that to the parliament. If statutory
authority accepts the suggestions and if they give royal consent then that bill is converted into a
law and becomes an act. Further, it is the responsibility of the government to handle and protect
the laws and they make sure that provisions mentioned in the act are followed by the citizens of
the country.
At the initial stage in the law making procedure the ruling government briefs goals and
objectives. Whatever the issue is coming in the way, so to resolve it various policies are drawn
by the law making body. This will ensure that the interest of the people are maintained in the
legal structure of the country (Foss and Knudsen, 2013). They also take feedback and advice
from the other bodies and after that law is passed by them.
Statutory and common law are the laws which helps judges in making any decision.
Statutory law is present in the written form and common law are related to the case law. Both are
applied on the specific cases.
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Section 2
P3 (a) Influence of law on different situations.
(i) Occupational health and safety: According to the health and safety act of 1996, it is the
responsibility of employers to give a better healthy surrounding to their people. To make
sure that organisation continuously grow, it is necessary to provide employees safety
equipments at the work place (Halbert and Ingulli, 2011). After recruiting any employee
they should be given training so that they can gain knowledge about the use of the
machines.
(ii)Staff Compensation: It is not considered as salary and are given by the employers to
their workers. With knowing the skills and knowledge of the workers the rates can be
decided by the government under provision of laws. If any accident at the workplace has
caused injury to the staff, the organisation will be liable to pay him compensation
(Grundfest, 2010). For example; a person John, who is working for a construction
company and during the construction work his leg got slipped which has caused serious
injury. After the recovery he files a claim against company stating that if certain safety
equipments might have had been used this accident would not have taken place. The
court decided that the construction firm has to pay compensation to John.
(iii) Harassment: Any act of unfair treatment, physical or mental will be considered
as harassment. The mangers should introduce a system where all the employees are free
to put their suggestions.
(iv) Equal opportunities: There will be equal opportunities for all the staff working
for the company. No one should face discrimination on any grounds and the salary given
to the employees at the same designation should not vary.
P3 (b) Employment through contract law.
Every business has to follow employment as well as contract law. Through employment
law an organisation can create healthy situations or atmosphere (Spalding, 2011). They should
pay wages according to the contract and covers Employment Right Act of 2010 and Health &
Safety Act of 1996. It describes the following rights of the workers:-
 Have right to receive remuneration and allowances;
 To get environment which is healthy and safety are followed;
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 To imporve the knowledge they are liable for training related to the work.
Contract Law: After finalising that certain candidate will be given the job, a contract
should be signed by both of them. It consists of terms and conditions which abide both of them
on a single place. With the contract both are bound on some grounds and defines what all things
will be practised to maintain a relations with each other.
In the case study given, a teen of 16 years old employed in fast food retailing
organisation. While cooking fries at the deep frying range she slipped and her left hand went into
fryer oil container. She slipped because their was water leakage from ice making machine and
she experienced several burns (Johnson, 2013). It was the store health and safety manager to
assure that all the things are proper and are not prone to any accident. She can file a claim against
the organisation and can get compensation for the damage she has experienced.
Section 3
P4. Legal solution for the problems.
(1)
It is compulsory for the organisation to give wages of 1 month as well as notice to the
employee who is going to be eliminated. They can cancel his contract on right grounds only and
should give him the appropriate reason for his termination. If any of the condition is not
practised by the company then employee is eligible for filing a law suite against them.
In the given case, Calvin which is on the post of design was employed with a fashion
house from last four years. A lady named Donna who is employer at the organisation founds that
her 100 pound is missing when she came on Monday (Kinicki and Kreitner, 2012). With no
specific claim all the doubt went to Calvin and he was considered as the culprit for this act. As
the decision was made that Calvin will no longer will be part of that organisation and was
terminate form his role. It is not the right practice as any employee as full right to receive 1
month remuneration and notice according to unfair dismiss protection laws. He has the following
rights:-
Right to Receive Notice: All the information related to termination of the employee need
to be shared which include a notice period.
Receive Advance Salary: Employer has top provide one month salary in advance.
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Claim: Without any proper reason Calvin was fired which is a wrong practice. He posses
full right to file a claim against Donna.
Evidence: Before terminating Calvin Donna need to give specified reasons as well as
enough evidence to support her claim. On what basis she will proves that her 100 pounds were
stolen by Calvin only.
(2)
In order to protect assets each individual can submit some amount for the insurance. The
submitted amount can be taken back only if their property or any other assets has got damaged
and this will be called as insurance claim. These contract will be between two parties called
insurer and insuree. The person who will get claim will be known as insurer and the party who
will be giving the claim can be refereed to as insuree. Policies and process mentioned in the
contract have to be followed by under the act (Kitagawa, 2016). Dan owns a small shop and after
an accident his store gets all burnt. In order to cover all the losses which taken place due to that
accident he files insurance claim. In the discussion made by the company he agrees with all the
things asked by the insurance company. By mistake he told them that he has taken insurance in
more than two years ago but in fact it was taken in 23 months ago (Nichols, 2012). For this
reason insurance firm has refused to give him insurance but according to insurance act it is no
specifically mentioned that there is any limit for this. Dan exercise full rights to receive money
on the behalf of insurance.
P5. Justification of the solution.
Through referring to the employment act different cases or issues can be resolved in
quick time. Unfair dismissal and wrongful dismissal are two kinds of dismiss. Both are different
and define two situations at the workplace. Wrongful dismissal is when a employee is terminated
by breaking the conditions of contract and unfair dismissal happens when the worker get
eliminated without giving him any notice (Mann and Roberts, 2011). The company has to give
him notice which will state the reason for his elimination or it can be act as final warning. When
the organisation fail to manage the laws and does not obey their guidelines, it will lead to serious
trouble for them. The reason behind the concept of prior notice is that the employee who will be
terminated can look for new job. Someone who didn't not receive any notice will find it difficult
to get out of the situation and he have not able to find the new job role in such quick time. They
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can also give him warning so that next time he make sure that such incidents does not happen
again. He will try to improve his performance through using different techniques.
When the case of unfair dismissal takes place there is no proper reason is given for the
termination. It is totally unfair action because he should be aware why this step is taken and on
what charges such decision is made. Calvin was working for a big fashion house from 4 years,
his termination was totally baseless and unfair. Donna didn't gave him a prior notice of
retrenchment prior one month. Without conducting any investigation and on the behalf of suspect
he was made culprit for the act (Posner, 2014). Calvin can appeal to court about the wrong doing
done by his company and it also violated the conditions of contract. The solution will be based
on the legal rules which will be considered in this situation. Infact rather going to court the issue
can be resolved outside the court only and they can personally come on a common decision. The
brand image of the company will go down if Calvin goes to the court and they will not able to
grow their market share in future. Both the parties have to pay a sum to their respective lawyers
and this will consume lots of time.
In the scenario of Dan where his shop was totally burnt from fire and at the time of form
filling he by mistake filled wrong information (Robson, 2010). On the behalf of his information
the insurance company refused to pay him claim. By considering the insurance act it is role of
individual or any firm to provide right information which will eliminate any further confusions
among both parties. As the solution given in the above scenario same can be done here. Both the
parties can agree on the same agreement and this will be an effective step.
Section 4
P6 (a) Benefits of using Alternate dispute resolution system.
Courts are facing the burden of lots of cases so the decision takes time. To resolve this
issue they have came out with alternate dispute resolution. ADR are of two types i.e., arbitration
and conciliation. Arbitration is the legal body which can be used to resolve issues outside the
court. A mediator called as arbitrator after listening both the parties give their decision (Scholes,
2015). The final decision is called as arbitral award and in this he make sure that both are happy
with the justification. Conciliation is also a method of resolving conflicts in which a conciliator
hears both parties individually. In this any one of the party have to compromise in order to solve
the problem. Through these disputes can be easily resolved avoiding long and complicated
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process of courts. It is also less expensive and a fair justice is given by considering interest of
parties in between.
P6 (b) Recommendation for ADR and comparison with the other nation.
By following the process of alternative dispute resolution a satisfaction can be made. This
is the best way to resolve any conflict as both the parties will something or other. Although legal
system of various countries may vary but the aim of all is to give justice to the right party. As
court hearing process is quite complicated and it takes a lot of time to give any decision (Snyder
and Deaux, 2012). It is said that justice delay is justice denied so alternative resolution process
can give boost to the judiciary system. While comparing the decisions made in the UK and USA,
UK courts are much faster. These issues can be resolved through ADR but finds it difficult to
spot right arbitrator for their case.
CONCLUSION
From the above all report it has been concluded that if a company wants to make sure that
their business runs smoothly without facing any issues, they need to make sure that all the laws
and regulations are followed by them. In the complicated situations parties can adopt Alternative
Decision Resolution process which will saves their time as well as money. It will satisfy the
interests of both the parties and a proper decision will be made by analysing the conflict.
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REFERENCES
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Crane, A. and Matten, D., 2016. Business ethics: Managing corporate citizenship and
sustainability in the age of globalization. Oxford University Press.
DiMatteo, L. A., 2010. Strategic contracting: contract law as a source of competitive advantage.
American Business Law Journal. 47(4). pp.727-794.
Foss, N. J. and Knudsen, C. eds., 2013. Towards a competence theory of the firm(Vol. 2).
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Grundfest, J. A., 2010. The SEC's Proposed Proxy Access Rules: Politics, Economics, and the
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Halbert, T. and Ingulli, E., 2011. Law and ethics in the business environment. Cengage Learning.
Johnson, L., 2013. Unsettledness Delaware Corporate Law: Business Judgment Rule, Corporate
Purpose. Del. J. Corp. L..38. p.405.
Kinicki, A. and Kreitner, R., 2012. Organizational behavior: Key concepts, skills & best
practices. McGraw-Hill Irwin.
Kitagawa, Z., 2016. Administrative Regulations (Vol. 4). Doing Business in Japan.
Mann, R. A. and Roberts, B. S., 2011. Smith and Roberson’s business law. Cengage Learning.
Nichols, P. M., 2012. The business case for complying with bribery laws. American Business
Law Journal. 49(2). pp.325-368.
Posner, R. A., 2014. Economic analysis of law. Wolters Kluwer Law & Business.
Robson, R. A., 2010. Crime and punishment: rehabilitating retribution as a justification for
organizational criminal liability. American Business Law Journal. 47(1). pp.109-144.
Scholes, M. S., 2015. Taxes and business strategy. Prentice Hall.
Snyder, M. and Deaux, K., 2012. Personality and social psychology. In The Oxford handbook of
personality and social psychology.
Spalding, A. B., 2011. The Irony of International Business Law: US Progressivism, China’s New
Laissez Faire, and Their Impact in the Developing World.
Weber, R. H., 2010. Internet of Things–New security and privacy challenges. Computer law &
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Online
English Legal System Lecture Notes. .2017. [Online]. Available
through:<https://www.lawteacher.net/lecture-notes/english-legal-system/>. [Accessed
on 21st July 2017].
What Is Business Law? - Definition & Overview. 2017. [Online]. Available
through:<http://study.com/academy/lesson/what-is-business-law-definition-
overview.html>. [Accessed on 21st July 2017].
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