Business Law Report: UK Legal System, Business Organisations
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This business law report examines the English legal system's influence on business operations, including the sources of UK law and its impact on various business decisions. It delves into the formation of different business organizations, such as limited liability companies and corporations, providing insights into their structures and legal implications. The report also explores employment law, including the gig economy and the case of Pimlico Plumbers v. Smith, highlighting the distinction between employed and self-employed individuals. Furthermore, it recommends appropriate legal solutions for resolving business disputes, focusing on alternative dispute resolution methods like conciliation, mediation, and arbitration. The report provides a comprehensive overview of key business law concepts and their practical applications, offering valuable information for students studying business and law.

Business Law
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Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Knowledge of the English Legal System...............................................................................1
Sources of UK Law ...............................................................................................................1
TASK 2............................................................................................................................................2
Illustrate the potential impact of the law on a business..........................................................2
TASK 3............................................................................................................................................4
Examine the formation of different types of business organisations.....................................4
TASK 4............................................................................................................................................5
Recommend appropriate legal solutions to resolve areas of dispute......................................5
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Knowledge of the English Legal System...............................................................................1
Sources of UK Law ...............................................................................................................1
TASK 2............................................................................................................................................2
Illustrate the potential impact of the law on a business..........................................................2
TASK 3............................................................................................................................................4
Examine the formation of different types of business organisations.....................................4
TASK 4............................................................................................................................................5
Recommend appropriate legal solutions to resolve areas of dispute......................................5
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Business law is the field of law which covers wider range of area and tells that how
organisation need to be operated. This is one of the law which is compulsory to be followed
because it provides the complete guidelines through which targets are easily accomplished. The
advices in this respective file will be based on the intern of KANGO(K) who will tell what
business organisation can do in any of the particular situation. This file will be based on four
different parts what topic that are to be covered is related with English Legal System. Various
case laws will be explained that will be helpful in understanding the situation and matter in detail
(Cameron, 2017).
TASK 1
Knowledge of the English Legal System
The legal system of UK has big role to play and it is has been playing crucial for any of
the business organisation because decisions are required to be taken by considering all of the
terms and condition of law. The English legal system is applicable to England, Wales, Northern
Ireland and Scotland. The main concept of forming law is related with the requirement law. The
Parliament House is the sovereign body which do commences law and regulation in UK and
nobody has the right to ask any sort of question. It is divided further in two part i.e., criminal and
civil. Criminal offence are said as non bailable where civil wrong are bailable offence. In UK,
even different level of courts have the power to commence those law in which statutory
department is completely is silent. While commencing any of the law in Great Britain, lengthy
steps are required to be followed so that better outcomes can be achieved. It is said that legal
system has been capable of handling all of the matter easily due to which negative results are
found rarely in UK.
Sources of UK Law
The legal system of UK is based on four different sources whose main work is form new
laws and regulation which can help to maintain peace and silence within the boundary of all four
nation. Act of Parliament: Huge responsibility is given to the parliament and even they are doing
really great job because any of the laws which they commences are effective and even
helpful for taking any of the business decisions. Here, roles and responsibilities to
1
Business law is the field of law which covers wider range of area and tells that how
organisation need to be operated. This is one of the law which is compulsory to be followed
because it provides the complete guidelines through which targets are easily accomplished. The
advices in this respective file will be based on the intern of KANGO(K) who will tell what
business organisation can do in any of the particular situation. This file will be based on four
different parts what topic that are to be covered is related with English Legal System. Various
case laws will be explained that will be helpful in understanding the situation and matter in detail
(Cameron, 2017).
TASK 1
Knowledge of the English Legal System
The legal system of UK has big role to play and it is has been playing crucial for any of
the business organisation because decisions are required to be taken by considering all of the
terms and condition of law. The English legal system is applicable to England, Wales, Northern
Ireland and Scotland. The main concept of forming law is related with the requirement law. The
Parliament House is the sovereign body which do commences law and regulation in UK and
nobody has the right to ask any sort of question. It is divided further in two part i.e., criminal and
civil. Criminal offence are said as non bailable where civil wrong are bailable offence. In UK,
even different level of courts have the power to commence those law in which statutory
department is completely is silent. While commencing any of the law in Great Britain, lengthy
steps are required to be followed so that better outcomes can be achieved. It is said that legal
system has been capable of handling all of the matter easily due to which negative results are
found rarely in UK.
Sources of UK Law
The legal system of UK is based on four different sources whose main work is form new
laws and regulation which can help to maintain peace and silence within the boundary of all four
nation. Act of Parliament: Huge responsibility is given to the parliament and even they are doing
really great job because any of the laws which they commences are effective and even
helpful for taking any of the business decisions. Here, roles and responsibilities to
1
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commence law is given to the member of parliament who see the situation and
commences the law (Miller and Jentz, 2017). Common law: It is also very effective source of commencing law because here laws are
commenced and based on cases which are judged in court room. Here, judges have the
power to observe the situation and introduce best effective law in the premisses of UK. European Union Law: This law has been commencing law within European countries
since the end of World war first. This source has been very effective source for UK
because laws which are being commenced here are effective and even helpful to maintain
healthy environment in UK premisses.
European Convention of Human Rights: This source has the duty to commence those
law which creates positive mindset for local people by commencing those law which is
related to human rights.
This are some of the sources through which law of UK is commenced and it is important
for KANGO to check and each and every situation. If this sources are not considered while
taking any of the business decision then there is huge chances that they might suffer from losses.
TASK 2
Illustrate the potential impact of the law on a business.
Law has always huge impact on business organisation as it doesn't allow to any of the
decision of own and if this are taken the chances of being penalised is high. Whenever any of the
business organisation is being commenced they need to know that what are those law which need
to be considered so that chances of earning profit can be increased.
GIG Economy
This is one of the theory which tells about the requirement of employee's within the
premisses of organisation (Orlov, 2016). It is one of the most task to decide whether person is
employee or not of any of the organisation. GIG economy clearly says that person is hired by
the organisation for the short period of time and in this condition he or she will not be counted as
a employee of a company.
Distinguish between Employed and Self- Employed
Employed Self Employed
Employed is defined as the situation where Self employed are the person who takes their
2
commences the law (Miller and Jentz, 2017). Common law: It is also very effective source of commencing law because here laws are
commenced and based on cases which are judged in court room. Here, judges have the
power to observe the situation and introduce best effective law in the premisses of UK. European Union Law: This law has been commencing law within European countries
since the end of World war first. This source has been very effective source for UK
because laws which are being commenced here are effective and even helpful to maintain
healthy environment in UK premisses.
European Convention of Human Rights: This source has the duty to commence those
law which creates positive mindset for local people by commencing those law which is
related to human rights.
This are some of the sources through which law of UK is commenced and it is important
for KANGO to check and each and every situation. If this sources are not considered while
taking any of the business decision then there is huge chances that they might suffer from losses.
TASK 2
Illustrate the potential impact of the law on a business.
Law has always huge impact on business organisation as it doesn't allow to any of the
decision of own and if this are taken the chances of being penalised is high. Whenever any of the
business organisation is being commenced they need to know that what are those law which need
to be considered so that chances of earning profit can be increased.
GIG Economy
This is one of the theory which tells about the requirement of employee's within the
premisses of organisation (Orlov, 2016). It is one of the most task to decide whether person is
employee or not of any of the organisation. GIG economy clearly says that person is hired by
the organisation for the short period of time and in this condition he or she will not be counted as
a employee of a company.
Distinguish between Employed and Self- Employed
Employed Self Employed
Employed is defined as the situation where Self employed are the person who takes their
2
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person need to be paid wages on hourly or
monthly system.
decision of own.
Work is required to be done as per the orders
given by the management department.
Here, person is required to take wok as per the
situation as on one has the power to give them
order.
Employment Law: This law is very helpful because it is related with the relation of
employer and employee. In this, employer are the one who need to understand that any of the
employee should not be discriminated on the basis of wages. This law is very effective because it
every details are mentioned due to which any of the unethical work are not being found and
helps to being positive results for organisation (Picciotto and Mayne, 2016).
Pimlico Plumbers v Smith
Issue: It was the case which is related with Mr. Smith and Pimlico Plumbers. The main
problem which has found the case the Mr. Smith wants the tag of employee in Pimlico Plumber
as he was working for him since longer period of time. Even Mr. Smith want all the rights which
an empoloyee should get. This is the reason that Mr. Smith had filed the case against Pimlico
Plumber. Here, Pimlico plumber. wants to say that he is one of the self employed and even he
have all those evidences which can prove this very easily.
Judgement: After understanding the situation the judges of supreme court decided that
Mr. Smith should be declared as the employee of Pimlico plumber because he was working since
very long period time for him. Even GIC economy says that if Mr. Smith would not be his
employee that why is working since very long period of time. In short, Mr. Smith should gets all
the rights which and employee should get even benefits should also be provided to him.
Conclusion for given scenario
If worker of K's were held as the employee of the company then it would have shown
different impact on organisation such as:
Worker will not be allowed to take their decision of own.
There delivery system will not be affected due to which faith among customer can be
maintained easily.
Salary would be required to paid to every employee's as per there working capabilities.
3
monthly system.
decision of own.
Work is required to be done as per the orders
given by the management department.
Here, person is required to take wok as per the
situation as on one has the power to give them
order.
Employment Law: This law is very helpful because it is related with the relation of
employer and employee. In this, employer are the one who need to understand that any of the
employee should not be discriminated on the basis of wages. This law is very effective because it
every details are mentioned due to which any of the unethical work are not being found and
helps to being positive results for organisation (Picciotto and Mayne, 2016).
Pimlico Plumbers v Smith
Issue: It was the case which is related with Mr. Smith and Pimlico Plumbers. The main
problem which has found the case the Mr. Smith wants the tag of employee in Pimlico Plumber
as he was working for him since longer period of time. Even Mr. Smith want all the rights which
an empoloyee should get. This is the reason that Mr. Smith had filed the case against Pimlico
Plumber. Here, Pimlico plumber. wants to say that he is one of the self employed and even he
have all those evidences which can prove this very easily.
Judgement: After understanding the situation the judges of supreme court decided that
Mr. Smith should be declared as the employee of Pimlico plumber because he was working since
very long period time for him. Even GIC economy says that if Mr. Smith would not be his
employee that why is working since very long period of time. In short, Mr. Smith should gets all
the rights which and employee should get even benefits should also be provided to him.
Conclusion for given scenario
If worker of K's were held as the employee of the company then it would have shown
different impact on organisation such as:
Worker will not be allowed to take their decision of own.
There delivery system will not be affected due to which faith among customer can be
maintained easily.
Salary would be required to paid to every employee's as per there working capabilities.
3

TASK 3
Examine the formation of different types of business organisations
As the name suggest that it has some limitation on the ground of what they have invested
or guaranteed to the company. Limited companies are those which are legally distinct in nature
or have their own entity (Schulman and Lesser, 2017). In this the firm's finance is separate from
the personal finances of the owner. In the case of limited company the company is taxed
separately, if the company become insolvent,the shareholder's personal assets remains protected.
The company owns all profits and pays taxes on them ,distributes a portion to shareholders as
dividend and keep rest as working capital. Major type of limited business organisation are
explained below:
Limited Liabilities Company(LLCs): This types of company is beneficial for investor
because they are liable only for the amount of investment within the company. It is also the
mixture of Partnership and small business organisation. There are number of rules and
regulations which are applied on LLCs. The legal way to commence limited liabilities company
is explained below:
Name and address is required to be selected.
List of total number of members are also required to be mentioned.
Memorandum of Association is must.
Article of Association is important part.
All this documents are needed to be submit in Companies House so that further process can be
done.
Corporation: This types of business organisation are very large in terms of investment
and even proper team is required so that business activities can be conducted smoothly. This
types of organisation do get hundred of opportunity to earn profit because business do covers
large area (Tushnet, 2017). Capacity to sue and be sued has been given to this types of
organisation. The actual method to commencing corporation is explained below:
Name of a company should be decided.
Address is also required to be selected for conducting business activities.
Name of Shareholder's and Director's should be decided for taking business decision.
Memorandum and Article of Association is must.
SIC number should be obtained
4
Examine the formation of different types of business organisations
As the name suggest that it has some limitation on the ground of what they have invested
or guaranteed to the company. Limited companies are those which are legally distinct in nature
or have their own entity (Schulman and Lesser, 2017). In this the firm's finance is separate from
the personal finances of the owner. In the case of limited company the company is taxed
separately, if the company become insolvent,the shareholder's personal assets remains protected.
The company owns all profits and pays taxes on them ,distributes a portion to shareholders as
dividend and keep rest as working capital. Major type of limited business organisation are
explained below:
Limited Liabilities Company(LLCs): This types of company is beneficial for investor
because they are liable only for the amount of investment within the company. It is also the
mixture of Partnership and small business organisation. There are number of rules and
regulations which are applied on LLCs. The legal way to commence limited liabilities company
is explained below:
Name and address is required to be selected.
List of total number of members are also required to be mentioned.
Memorandum of Association is must.
Article of Association is important part.
All this documents are needed to be submit in Companies House so that further process can be
done.
Corporation: This types of business organisation are very large in terms of investment
and even proper team is required so that business activities can be conducted smoothly. This
types of organisation do get hundred of opportunity to earn profit because business do covers
large area (Tushnet, 2017). Capacity to sue and be sued has been given to this types of
organisation. The actual method to commencing corporation is explained below:
Name of a company should be decided.
Address is also required to be selected for conducting business activities.
Name of Shareholder's and Director's should be decided for taking business decision.
Memorandum and Article of Association is must.
SIC number should be obtained
4
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As there are various types of limited company it is important for any of the organisation
to understand for them to select that which one will be helpful to earn profit. In context of K's
they should setup Limited Liability company as they are going to perform business activity as
smaller platform. Even there liabilities will also be protected in it and they will get number of
ways to raise additional amount of money
TASK 4
Recommend appropriate legal solutions to resolve areas of dispute
Case Scenario: Dispute has taken place between KANGO and their IT supplier. Here
both of them wants to take the help of alternate ways to resolve it because litigation process
consumes longer period of time .
Alternative disputes resolution : In this all the conflicts or disputes of both the parties are
solved without involving any legal action. This mainly focuses on giving long lasting outcomes
of the disputes, are less formal in nature and gives results with less time and cost consuming
method. ADR provides opportunities to resolve the disputes in a private forum. Various ways to
solve disputes in alternative disputes resolutions are Conciliations, Mediation and Arbitration.
Conciliation: In this method of alternative disputes resolution, a person is hired named
conciliator who meets personally with both the parties to solve the disputes between them and in
this they are free to agree or disagree on the decisions of conciliator as does not involve any
legal binding. A conciliator is a person who always try his best to find out the common ground to
solve the disputes without being biased.
Mediation: It is the process on reaching a mutual decision with the help of mediator. This
helps in resolving the disputes between parties on a mutual understanding of them without any
litigation. Mediator is the person who does not solve the case but helps the parties to
communicate and settle disputes by themselves (Twomey and Greene, 2016). this method of
solving disputes is more significant when it comes on the part of family issues, neighbour or
partners.
Arbitration: It is the method of involving third party named as Arbitrator. Arbitrator is an
impartial person who has the power to resolve the disputes by hearing the issues of both the
parties. Here the final decision is imposed by the arbitrator on which the parties are supposed to
5
to understand for them to select that which one will be helpful to earn profit. In context of K's
they should setup Limited Liability company as they are going to perform business activity as
smaller platform. Even there liabilities will also be protected in it and they will get number of
ways to raise additional amount of money
TASK 4
Recommend appropriate legal solutions to resolve areas of dispute
Case Scenario: Dispute has taken place between KANGO and their IT supplier. Here
both of them wants to take the help of alternate ways to resolve it because litigation process
consumes longer period of time .
Alternative disputes resolution : In this all the conflicts or disputes of both the parties are
solved without involving any legal action. This mainly focuses on giving long lasting outcomes
of the disputes, are less formal in nature and gives results with less time and cost consuming
method. ADR provides opportunities to resolve the disputes in a private forum. Various ways to
solve disputes in alternative disputes resolutions are Conciliations, Mediation and Arbitration.
Conciliation: In this method of alternative disputes resolution, a person is hired named
conciliator who meets personally with both the parties to solve the disputes between them and in
this they are free to agree or disagree on the decisions of conciliator as does not involve any
legal binding. A conciliator is a person who always try his best to find out the common ground to
solve the disputes without being biased.
Mediation: It is the process on reaching a mutual decision with the help of mediator. This
helps in resolving the disputes between parties on a mutual understanding of them without any
litigation. Mediator is the person who does not solve the case but helps the parties to
communicate and settle disputes by themselves (Twomey and Greene, 2016). this method of
solving disputes is more significant when it comes on the part of family issues, neighbour or
partners.
Arbitration: It is the method of involving third party named as Arbitrator. Arbitrator is an
impartial person who has the power to resolve the disputes by hearing the issues of both the
parties. Here the final decision is imposed by the arbitrator on which the parties are supposed to
5
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agree in case of binding and if it is non binding than the decisions are final only if both the
parties agree to it. Arbitrator is always neutral to the decisions given.
From the above alternative dispute resolution process, it can be understood that dispute
which has taken place between KANGO and its IT supplier can be solved by the method of
Conciliation because both party is interest to solve there dispute without court proceedings. It
will be helpful as well for them because cost and time, both will be saved. In addition, it can be
said profitability of company will not be effected if case can be solved by this process. Even
there will not be requirement to hire new IT suppliers who can solve there issues related to
software which they uses for delivery.
6
parties agree to it. Arbitrator is always neutral to the decisions given.
From the above alternative dispute resolution process, it can be understood that dispute
which has taken place between KANGO and its IT supplier can be solved by the method of
Conciliation because both party is interest to solve there dispute without court proceedings. It
will be helpful as well for them because cost and time, both will be saved. In addition, it can be
said profitability of company will not be effected if case can be solved by this process. Even
there will not be requirement to hire new IT suppliers who can solve there issues related to
software which they uses for delivery.
6

CONCLUSION
It is concluded from the file that legal system of UK is very effective and they makes all
those law through which their organisation goals can be accomplished. Parliament of UK is
sovereign body. There are four sources of law in UK which is helpful in producing effective
result for any of the business organisation. There are several types of limited company and it is
the choice of member that how much they can invest and which type of organisation they want to
form. Alternative Dispute Resolution is the suitable way to resolve the dispute were government
have also given legal permission to it. It is helpful because it reduces the burden of court.
7
It is concluded from the file that legal system of UK is very effective and they makes all
those law through which their organisation goals can be accomplished. Parliament of UK is
sovereign body. There are four sources of law in UK which is helpful in producing effective
result for any of the business organisation. There are several types of limited company and it is
the choice of member that how much they can invest and which type of organisation they want to
form. Alternative Dispute Resolution is the suitable way to resolve the dispute were government
have also given legal permission to it. It is helpful because it reduces the burden of court.
7
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REFERENCES
Books and journals
Cameron, P., 2017. International energy investment law: the pursuit of stability. OUP
Catalogue.
Miller, R. L. and Jentz, G. A., 2017. Business law today: The essentials. Cengage learning.
Orlov, V., 2016. Introduction to business law in Russia. Routledge.
Picciotto, S. and Mayne, R. eds., 2016. Regulating international business: beyond liberalization.
Springer.
Schulman, S. H., Moscow, C. and Lesser, M. R., 2017. Michigan Corporation Law & Practice.
Wolters Kluwer.
Tushnet, M., 2017. Comparative constitutional law. In The Oxford handbook of comparative
law.
Twomey, D. P., Jennings, M. M. and Greene, S. M., 2016. Anderson's Business Law and the
Legal Environment, Comprehensive Volume. Nelson Education.
8
Books and journals
Cameron, P., 2017. International energy investment law: the pursuit of stability. OUP
Catalogue.
Miller, R. L. and Jentz, G. A., 2017. Business law today: The essentials. Cengage learning.
Orlov, V., 2016. Introduction to business law in Russia. Routledge.
Picciotto, S. and Mayne, R. eds., 2016. Regulating international business: beyond liberalization.
Springer.
Schulman, S. H., Moscow, C. and Lesser, M. R., 2017. Michigan Corporation Law & Practice.
Wolters Kluwer.
Tushnet, M., 2017. Comparative constitutional law. In The Oxford handbook of comparative
law.
Twomey, D. P., Jennings, M. M. and Greene, S. M., 2016. Anderson's Business Law and the
Legal Environment, Comprehensive Volume. Nelson Education.
8
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