Business Law Assignment: Company, Employment, and Contract Law

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Business Law
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Table of Contents
Section 1- – Nature of legal systems and legislation impacting businesses....................4
Task 1- (LO1 & LO2)........................................................................................................4
a) Discuss the meaning of the term Parliament is Sovereign and sources of law in
the country.................................................................................................................... 4
b) The role of the government in the law-making process and how the statutory and
common law is applied in the justice of courts..............................................................5
Effectiveness of the legal system in terms of recent reforms and developments..........5
c) Illustrate how a company, employment, and contract law has a potential impact
on a business................................................................................................................6
Difference between the standards, legislations and the regulations.............................6
Task 2- (LO3)...................................................................................................................8
Section 2 -Legal solutions to business problems-- LO4.................................................11
Compare and contrast diverse sources of lawful advice.............................................11
References.....................................................................................................................13
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Introduction
Business law supports the businesses in maintaining discipline in all over the
managerial activities. The law guides the society to set the procedure to perform their
role as per the government norms. The chief motive of this assignment is to improve the
learning of the learners for understanding the concept the laws of the businesses which
is applied over the company to run its operations. This law guides the businesses as
well as individuals of any society or community to provide guidance on the way of
interaction among them. Law guiding in setting out the boundaries for the business in
which the business performs its function and operations. In this context, it is important
that the businesses must have knowledge of the laws prevail in a particular country.
The main highlights of this assignment are to explain the nature of the legal system
prevailing in England along with the method of enacting the law with the application of
the statutory and common law justice. It also highlights the government laws in business
profitability and its functions by including company law, contract law, and employment
law. It pertains detailed discussion on the legal solution that is recommended to the
issuing parties along with the merits and demerits of the alternative methods that can be
adopted by the business for solutions.
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Section 1- – Nature of legal systems and legislation impacting businesses
Task 1- (LO1 & LO2)
a) Discuss the meaning of the term Parliament is Sovereign and sources of law
in the country.
The constitution of the country is considered to be one of the most effective and
powerful documents of the country that helps in establishing the legal solutions to the
problems and the issues that are generated in the country. This is seen that the UK
constitution is termed as Parliamentary sovereignty as this cannot be altered easily and
has the power to perform the obligation accordingly (DiMatteo, 2016). The parliament is
considered as the main law making the body in the country due to which they are
having the legal authority to make the laws and abandon them. This is seen that the
legislation cannot be overruled by the UK courts and there is no such law that can be
passed by them so as to overrule the laws that are passed by the parliament of the
country. This is seen that the parliament is considered to be the legislative supremacy
as this is seen that it is the supreme law-making the body in the country. It has the
authority to change or repeal the law that is made by them as the constitution of the
country has provided them with the supreme authority. It is considered that the legal
system of the UK is based on the Judicial and executive body of the country.
Therefore this is seen that there are various sources of law in the country. Hence this is
seen that it forms the most part of the constitution of the country. Hence these sources
are categorized as below:
 Legislations: It is the main law making the body of the country where the UK
constitution applies. This is considered that it is the primary source of law in the
country which helps in defining the rules and the regulations of the country as a
whole. The law is made so as to provide the grants, funds and to restrict or
regulate the functioning of the country so that the citizens of the country are
considered to be regulated for the work that they do in the country. The
legislations are framed by the parliament which is binding on each and every
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people of the country as a whole. Hence this can be said that the parliament is
considered to be the supreme law-making the body of the country.
 Common law: Common law is considered to be the law that is applied in the
country in the situation where the proceedings in the court are not able to decide
as per the legislation. It is seen that these are considered to be the pre-decided
cases which the court of the country has already decided for the same. It is also
considered that it has the unique characteristics for the country as this law
applies in the court system with the already decided cases. Hence this is seen
that this law helps in achieving the objective of maximizing the performance of
the legislations in the country.
 International treaties: This is seen that there are various international treaties that
are entered into by the government of the country. These treaties help in
performing the functions of regulating international trade. The business and the
growth of the company helps in maximising the performance of the country and
helping them in achieving the protection of the rights of the citizens of the
country. Also, this is seen that international conventions can help throughout the
statue in deciding the legal structure of the court in the proceedings.
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b) The role of the government in the law-making process and how the statutory
and common law is applied in the justice of courts.
The government of the country performs various functions which helps them to provide
various rules and regulation in the country (Elsing and Townsend, 2014). The
government of the country performs functions through which they are able to regulate
the functioning of the citizens and the organisation of the country. The government of
the country checks and analyze the areas where the law is required to be formulated
and hence this is seen that it helps in performing the functioning of the country. For
making the law and to regulate it within the country. The parliamentary process is
proposed to be followed. Hence some of the parliamentary processes for the formation
of the law include the following:
First reading This is considered as the stage where the
first reading of the bill is done. Here in this
stage, the minister of the government
provides brief information on the bill that is
proposed to be formulated.
Second reading This is the stage where the minister of the
government provides detail information
about the bill that is proposed to be
introduced (Hillman, 2012). Here in this
stage, the voting is done for the purpose of
the issue.
Committee stage This is the stage where the bill is sent to
the committee stage in which the feasibility
study of the bill is done. If there are
amendments that are supposed to be
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made then the bill is sent back again.
Third reading It is the stage where the bill is introduced
with the amendments in the parliament
(Horspool and Humphreys, 2012). Here in
this stage, the voting is done only for the
amended part of the bill.
Royal assent This is the stage where the bill is sent for
the royal assent and signature of the
monarch are recorded on the same. After
which the bill is converted into the law.
Statutory and Common law applicability
There are various laws that are applicable in the country court system. Some of the
laws include the following:
 Statutory laws: these are the laws that are considered to be in the written form
and it helps the court system in deciding the cases more efficiently. It is seen that
these laws are created by the government of the country. As these are the main
law hence this is considered to be applied in the cases as in the written form.
These are interpreted in the way that solving the case in the court becomes easy
to the jury.
 Common law: It is considered as the law that is used by the court in deciding the
cases more prominently. Here this is seen that the cases are already decided
and hence it helps in deciding the cases more prominently and efficiently.
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Effectiveness of the legal system in terms of recent reforms and developments
There are various reforms that the government of the country has taken so as to make
the laws more efficient. This is seen that in the country the recent reform includes
making of the filing of the legal issues online (Kerwin and Furlong, 2018). This is
considered that it helps the people of the country to perform the obligation more
prominently and effectively. This is also seen that the citizens are benefited through this
as they are able to file the cases through the online platform and they are able to get the
relief as early as possible.
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c) Illustrate how the company, employment, and contract law has a potential
impact on the business.
For successfully running business organisations, it is crucial to analyse the impact of
various laws over the business. It includes company law, employment law, and contract
law. In the United Kingdom, the Company law is set up under the Companies Act, 2006
where Part 15 (sections 380 to 474) deals with requirements in relation to the
preparation, distribution, and filing of the financial statements which includes the
choices related to the frameworks of accounting (Hannigan, 2018). These are the
compliances which need to be attached to the regulations, for instance, the
requirements which are required for the formation of the financial statements. Part 16 of
the Companies Act, 2006 sets out the compliances which need to be fulfilled for the
audited accounts includes exemptions which are specified for certain companies,
appointment rule, resignation and removal of auditors and liabilities of the auditor.
Contract law is termed as an agreement which creates the obligations which are
enforceable under the law and its basic elements include mutual consent, capacity,
consideration, and legality (Beale, et. al., 2019). For the formation of the contract, it is
important that the parties reached over the agreement where the one party makes an
offer and another party accepts the offer. Offer includes the willingness of the parties to
entering into the contract as per the specified terms and conditions and such
acceptance will be binding on the parties once it will be accepted. It is important that
the offer must be accepted by the parties in the way it is made /for forming an
agreement along with all the terms and conditions. In case of violation of the terms and
conditions by misrepresenting the information under the contracts or includes unfair
terms will provide remedy to claim compensation for the damages and the guilty party is
accountable to indemnify the innocent party for the loss suffered due to such illegal and
unlawful acts (Knapp, et. al., 2019). It is the contractual duty of the professionals to
reduce the risk to the customers and encouraging professional activities in the business.
Employment law guides the relationship between the employer and employee in the
course of employment. This law provides supervision over the operations of the
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employees and their behaviors (Atkins and Hoggett, 2018). This law assists in
maintaining the minimum requirements for minimum wages, vacation time, rest days,
work hours and pay. It obliges the employer to provide training to the employees with
effective supervision and control over their duties and it is given a right to the
employees to take action against the unsafe condition prevailed at the place of
occupation. Further, this law also directs the employees about the use and retention of
the confidential, information of the company.
Difference between the standards, legislations and the regulations
Regulations are the statutory instrument which is passed by the government branch.
Regulation consists of the unique feature where the regulation consists of the statutes.
Regulations assist in managing the complex systems as per the rules and trends sets
under the regulation, for instance, General data protection regulation (Elliott and Quinn,
2015). Standards are the way of setting the way to perform a particular thing for
managing the process for delivering the services. Standards have the ability to cover
the various ranges of activities that are undertaken and perform by the organisations
and access by the customers of the company, for instance, food safety standards.
Legislations are the statutory law which is enacted by the governing body of the
country by considering the relevant process of making the law. The legislation consists
the practice of creation of the laws as per the requirement of the country.
Impact on business: if any of the above law violate by the businesses under the law,
then it is the business responsibility to compensate against the loss or damage caused
to the innocent person. It is the business management duty to monitor and control over
the functions of various departments. Similarly, if individuals violate the business terms
and conditions, is liable for the reimbursement of compensation amount to the
company.
Evaluation of the law
It is the responsibility of the individuals to follow the policies and regulations of the
company that prevails in their country. The legal system of the United Kingdom provides
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protection to the civil rights that provide justice to the citizens. The legal system of the
United Kingdom also provides other alternative methods that help the citizens to resolve
their dispute in resolving the issues (Wilson, et. al., 2018). The UK legal system
maintains the equality and natural justice principle in all over the country.
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Task 2- (LO3)
In the case given in the scenario, it explains that Jane, Penny, and Marie are the college
friends who are planned to establish the partnership firm where the partners raise funds
for the business expansions. As per the advice of the accountant, it is appropriate to
form the limited company. In relation to this, there are various business organisations
along with its pros and cons are advice to the JPM. These organizations are as follows:
Sole proprietorship business is the business where the sole trader is accountable for
carrying over the business activities and functions. This is the most common and
popular form of business organisation where there is no requirement to file the separate
return by the sole trader. In this the whole accountability of the financing options is
limited and with the death of the owner, business is also dissolved.
Company law guides the companies to perform its functions as per the norms
mentioned under Companies Act, 2006. The startup cost of the company is high in
comparison to the other businesses. The liability of the members of the company is
limited and only accountable to contribute up to the amount they invest in the company
at the time company dissolution (Beale, et. al., 2019). There are several options for
financing the company operations and the company remains continued even after the
death of the founder of the company. In this, no shareholder is accountable for the
misconduct of other shareholders. The distribution of income of dividends to the
shareholders is charged separately for tax.
Partnership business is formed by two or more partners and this relationship is of
special kind share there is an agreement is enacted between the individuals’ to carry
out the activities of the business. It is the type of business where the several owners
invest their amount for carrying out the function of the business. Partnership business is
further categories into the general as well as a limited partnership. It is the business
where the partnership works for the mutual interest of the business along with the
personal goals and achievement.
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