Business Law Report: Employment and Contract Law in the UK for USAI

This report analyzes the application of business law in the context of USAI, an American IT consultancy firm opening a new office in London. It addresses key legal areas including the Company Act, Health and Safety at the Workplace, Employment Law, Equality Law, and Data Protection Law. The report examines potential legal issues arising from violations of these laws, such as lawsuits from employees and the impact on company goodwill. It also explores dispute resolution methods like Alternative Dispute Resolution (ADR), including mediation, arbitration, negotiation, and conciliation, as well as court litigation, recommending ADR for its cost-effectiveness and the preservation of relationships. Finally, it identifies sources of legal advice, such as solicitors and barristers, and concludes that understanding business law is crucial for business operations, from establishment to winding up, covering law-making processes, impact on businesses, and dispute resolution.

Unit 7- Business Law

Table of Contents
Lo 2 & 4 .......................................................................................................................................... 3
P3 illustrate how company employment and contract law has a potential impact upon business
..................................................................................................................................................... 3
P6 recommend legal solutions for resolving a range of disputes using examples to demonstrate
how a party might obtain legal advice and support .................................................................... 4
Conclusion ...................................................................................................................................... 6
References ....................................................................................................................................... 7

Lo 2 & 4
There are several employments along with the contract law which business should follow. The
business firms must also have the idea how to draw a solution of different disputes in the
business organizations and from where it can ge t legal advices. For the purpose of
accomplishing the tasks USAI has been assigned which is American IT consultancy firm opens a
new office in London. The managing director of the business have to deal with the following
problems.
Several employment and contract law should be followed for the purpose of operating business
in UK and these laws exert great impact on business.
Company Act: Company act is a through act of running companies in UK. The act was formed
in 2006 with 1300 sections (Keenan, and Riches, 2018). The stakeholders of company business
such as- shareholders, creditors, employees, directors are obligated by this act. According to this
act the directors are accountable for the job role in the company.
Health and Safety act at the Workplace: This act was passed in 1974, with the purpose of
protecting the employee’s health along with their safety while working (Litka, and Blodgett,
(2015). Business organizations are obligated to ensure safety measures at the work premises.
This act also strengthen that the workplace risk should be assessed.
Employment Law: This law is the summation of several ancient acts of UK. It is important to
the employer as well as employee as this law governs the relationship between employers and
employees. According to the employment law several rights of employees are protected.
Equality Law: This is also a combination of several ancient laws in UK. This law protest and
control partiality as well as illegitimacy at the workplace. Any type of discrimination at the
workplace is prohibited by this law (Allison and Prentice, 2019). According to this law equality
is maintained in the workplace.

Data Protection Law: This law is about protecting the personal information of the business and
the information of the clients. The main purpose of the law is safeguarding the data and
information of the businesses and the individuals in UK (MARSON, 2020). It also helps the
business organizations by providing necessary guidance to secure, store, and to use the personal
data and the business data.
According to MacIntyre (2018), standard refers to the statements by some standardization body
regarding how to do a particular task, the characteristics of the tasks and process of
accomplishing the task. The regulation refers the set of rules developed by the authority to
manage a complex system. Legislations refer the laws in order of a country which should be
followed by the country’s people.
Both Beth Bell and Charles Cole can sue case against the company as the company violates the
employment laws mentioned here. Beth Bell can sue against the health and safety act at the
workplace for the violation of the act by the company and Charles Cole can sue against the
company act as the company exploited the employee by giving extra work pressure. Both cases
will cost the company as the company will have to pay the charge for the court. The goodwill of
company will be reduced as the company violates the regulations of employment which will
negatively impact the company. Additionally, the company may have to pay a compensation to
the employees.
The court or tribunal will investigate the cases and take necessary steps according to the
violation of the acts against the company. Moreover, to recover from the stress Charles Cole can
get advice from the Citizen Advice Bureau.
According to the company act one of the duties of the directors is to disclose the information to
all directors regarding any extra income by the directors from other business earned as a director.
As David Dilling have not disclosed the transaction to other directors which is violation of the
company act. And other directors can take necessary steps in this matter.

Business disputes can be different and affect the performance of the business and its growth.
From the process of establishing and running a business it may face several disputes and those
should be resolved for the purpose of establishing good relation with different stakeholders and
make the business sustainable (Litka and Blodgett, 2015). The two ways to resolve the disputes
are- Alternative Dispute Resolution (ADR) as well as court litigation. The court litigation is the
settlement of the disputes by the court. On the other hand, Alternative Dispute Resolution (ADR)
involves third party for the sake of solving the problems between the parties. There are various
approaches of ADR such as-
Mediation: The third party in the ADR process acts as a mediator to resolve the disputes
between the parties by arriving at an alternative position (Keenan and Riches, 2018). In this
process the mediator finds a voluntary sustainable solution of the disputes.
Arbitration: In this approach a judgement regarding the resolution is provided by the third-party
considering the both parties. The parties involved in the dispute have to abide the resolution.
Negotiation: In negotiation approach of the ADR, the parties involved in the disputes are
brought in a direct or indirect contact (Swim, Bierman, and Pustay, 2013). This is a process by
which the relations of the disputants can be kept healthy. The negotiation process is done through
a negotiator.
Conciliation: According to MacIntyre (2018), it is a confidential process of resolving the
disputes. It is also flexible as well as voluntary. In this approach of ADR, the disputants ask help
of the conciliator and to suggest non-binding proposal to resolve the problems. In this approach
the disputants have the flexibility of time, content, structure, and date.
According to Keenan, and Riches (2018), the both methods of dispute resolution have
advantages as well as disadvantages. The ADR method is cost and time-saving method and can
be completed in small amount time. On the other hand, the litigation process is time consuming
and costly. In ADR there may be some chances of bias whereas the litigation process is much
fairer. Thus, out of the two ways to resolve the disputes, Alternative Dispute Resolution (ADR)
is recommended as through this process the relationship of the disputants is kept healthy. In this
method, the dispute is resolved by the consensus of the both disputants.
Legal Advice’s Sources

There are several legal advice’s sources such as-
Solicitors: Solicitors professionally provides legal help and advices to the business and
individuals at large and charge for the advice. Organizations can obtain the support and services
from the solicitors by getting advice for different issues and legal problems and prepare legal
documentation for organization during the running case.
Barrister: Barristers are the lawyers who provides legal help and are specialized in advocacy on
different legal issues and litigation. They provide advice for solutions on the legal issues and
problems. Organizations can obtain the support and services from the barristers by getting advice
in certain legal problem and the barrister can present the parties of dispute in the court.
Organizations can obtain the support and services from these two by appointing them for the
case.

Conclusion
In summary, this study helped in exploring the role of business law in the business organization.
It has been observed the business law is essential for the business organizations from the
establishment of the business till the winding up of the business. The study showed that the legal
system and different kinds of it encompassing the making law sources and process, how the law
exerts impact on the business along with the formation of different business kinds, and the
resolution of the disputes.

References
Allison, J. and Prentice, R., (2019). Business Law. Austin, Tex.: University Co-Op.
Keenan, D. and Riches, S., (2018). Business Law. Harlow: Pearson Education Ltd.
Litka, M. and Blodgett, M., (2015). International Dimensions Of The Legal Environment Of
Business. Cincinnati, Ohio: South-Western College Pub.
MacIntyre, E., (2018). Business Law. Harlow, England: Pearson.
MARSON, J., (2020). BUSINESS LAW. [Place of publication not identified]: OXFORD UNIV
Press.
Swim, K., Bierman, L. and Pustay, M., (2013). The Legal Environment Of Business. Boston,
MA: Pearson Learning Solutions.