Business Law Report: UK Law, JPM Company, and Legal Framework

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This report provides a comprehensive overview of UK business law, encompassing various sources of law such as statutory law, common law, and precedents. It explores the role of government in law-making and contrasts statutory and common law systems. The report offers legal advice to JPM, a small company, regarding their responsibilities and implications under employment and contract law, including GDPR compliance and data protection. Furthermore, it delves into legal advice based on case law, specifically concerning liquidation processes and the rights of creditors. The report concludes by recommending alternative legal solutions within the UK legal framework, comparing and contrasting their effectiveness, providing a practical guide for businesses navigating the complexities of the legal landscape. The report also provides a detailed analysis of the legal framework and its implications, which is crucial for the success of any business.
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BUSINESS LAW
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Table of Contents
INTRODUCTION...........................................................................................................................1
LO 1.................................................................................................................................................1
P1 Discussing the meaning of this statement and various sources of UK laws.....................1
P2 Role of government in law making process and how statutory and common law............4
LO 2.................................................................................................................................................5
P3 Advice to JPM with their relevant on their responsibility and implications and impact. .5
LO 3.................................................................................................................................................7
P4 Legal advice based on case law.........................................................................................7
P5 Whether creditors has legal powers to do threatening and process for liquidation...........7
ii) Amber Ltd. On the possibility of getting injunction..........................................................9
LO 4...............................................................................................................................................10
P6 Recommend alternative legal solution to suggest in a based on legal framework and
Compare and contrast effectiveness of these solutions .......................................................10
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13
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INTRODUCTION
Business Law consists important role in every business with implementation of rules and
regulations. Therefore, it is essential for all managers, owners and professionals. It assists to
make better decisions which could be applied into the organisation. In UK, there are different
legislation includes that ensure business get success with using systematic work. In order to
focus on operations and functions, every enterprise get proper functioning (Berger‐Walliser,
Barton and Haapio, 2017). Present report is based on certain cases that create positive impact on
programmes and activities. First section defines case of Queen's Speech at state of parliament in
October or November. Furthermore, there is another case of JPM which is a small company
started by 3 friends.
For gaining insight information of the present report, it covers different sources of laws.
Furthermore, it includes role of government to make law within the statutory and common law.
Moreover, it signifies legal advice based on case law or statutes in the process for liquidation. At
last, it discusses alternative legal solution that is based on legal framework (Janis, Hovenkamp
and Carrier, 2016). Comparison and contrast information are also included to create effectiveness
of these solutions.
LO 1
P1 Discussing the meaning of this statement and various sources of UK laws
Business law consist commercial transactions which consider branch of civil law and
deals with private and public sector issues. State of parliament is an event that formally conducts
session in UK. It includes speech throne that is known as Queen's Speech. In maiden, state
opening and elaborate ceremony with showcasing British history and culture. Parliament
sovereignty refers to a democratic government in which the legislative branch is sovereign over
other branches. In context the legislative branch is the supreme law maker and has supreme
authority. It means there is no legal limits on the power of Parliament to make law in our legal
system. Furthermore, parliament sovereignty is principle of UK which concentrate to consider
legal authority in the business. Courts are unable to control legislation and parliament never
passes laws that future level cannot change. Over the years, parliament have passed laws with
limited application of sovereignty (Parliamentary sovereignty, 2018). These laws create impact
on development of political environment within and outside UK. It considers several acts such as
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Human Right Act 1998 and UK's entry to the European Union in 1973. In this context, following
are different sources of laws in UK included in legal sources:
Statutory law: Civil laws considers rules and regulations which comprises in different
cases. It is related with well-being of particular person and society as well. In this kind of law,
generally solutions are made for cases like divorce, property and forgery. Mainly, it includes
kinds of cases that needs to maintain quality standards to develop better results. In addition to
this, it helps in maintaining systematic work performances. Acts of Parliament or statutory law is
formed by Parliament and House of Commons and House of Lords. With the help of this law,
every individual protected in the business to provide several facilities in systematic manner. It
assists to acquire rights and duties of particular individual in terms of legislation and common
law. For instance, an individual or enterprise agrees to provide goods and services at certain
prices. Claims are also brought under consumer protection law (Berger‐Walliser, Barton and
Haapio, 2017).
Precedents: In a common law system, precedents or authority established by principle or
rule. This rule is used by the court and other judicial bodies cases with similar issues and facts.
Acts of Parliaments: In a particular act of parliament, law enforced in all areas of UK
where it is appropriately applicable. In this regard, primary legislation used as a term that
commonly known and considered appropriate manner. Furthermore, it also creates new law or
changes in existing which increases in the common house.
International court: In the international court, justice is the principal which assists to
settle as per international law, legal disputes submission. In the international court of justice,
there are several principles established with specialised number of rules.
European Court: European court of justice officially develop with European law that are
established on the basis of supreme court of functions in appropriate manner. In this regard,
judicial institution of European union deals with all disputes between parties to interpreted and
applied law in appropriate manner.
Legal system: In the legal system of UK, there are different personnel working in civil
and criminal matters. With this regard, barristers, solicitors and judge are working to solve issue
and problem of particular case. Barristers are different from solicitors and wear wig and gown in
court. Furthermore, solicitors are play main role because they work as advocates in legal hearing
which stand in court on the behalf of clients.
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Common Law: The term common law is refers to legislation or rule which is been
developed through decisions of court and judicial bench rather than relying on statutes or Acts of
Parliament. It is based on customs and principles of society which are used in court cases
decisions. They set a precedent that must be applied to future cases on the same subject. This law
system is used in UK and Great Britain in which judges must consider the decisions of earlier
courts about similar cases. (Janis, Hovenkamp and Carrier, 2016).
European Union: It is a system of law which governs 28 member countries of European
Union. EU law relates to a wide range of different matters which includes agriculture and data
protection law. This law was formed to achieve objectives of European Union treaties and put
EU policies into practice (Berger‐Walliser, Barton and Haapio, 2017). There are two main types
of EU law; Primary and Secondary laws. The former covers treaties of EU law and later is
developed as the body of law that comes from principles and objectives of treaties.
International court: It is legal body of United Nations known for justice. It is considered
as judicial organ which helps in setting disputes between member states. Further, it provides
legal advices to responsible UN organs and specialised agencies.
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Illustration 1: Legal system of British
Source: (United Kingdom Law Research Guide, 2018)
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P2 Role of government in law making process and how statutory and common law
In order to make law in UK, government play major role in it. It helps to maintain
contract with using several rules and regulation that facilitate to develop effective results. Due to
inappropriate records of constitution, parliament and government look for legal development
procedures. This law implemented in house of parliament which consider discussion among
several numbers of people. When all people agreed, act draft and sent into legislation to review
about activities. Legislation passes law for the government so that they are also looked towards
creative perspectives. Parliament perform their functions in all over the worldwide so that it
helps to perform three core functions which represented for citizen interest (Berger‐Walliser,
Barton and Haapio, 2017).
Along with this, they perform a legislative functions because own way consist power to
amend, approve or reject. This kind of functions strongly linked with representation of functions
among the people which receive by authority in democratic countries. Exact means in the
parliament consider with engaged to make law that varies and depends on type of parliament
system. Presidential systems, individual consider greater opportunities to produce draft before
making any law. In addition to this, it is essential to amended and passed that developed with the
system and methods. Presidential system consider draft introduce immediately that referred to
the committee. Draft laws also more than one committee jurisdiction that denotes in multiple
committees. With the help of education draft law and financial implications, political system
consider large volume for legislation. Most of the legislation never gets beyond committees
(Berger‐Walliser, Barton and Haapio, 2017).
With the help of these laws, government undertake several benefits which help to take
proper measurement to maintain rights and duties in UK. They also consider roles to make
legislative council which create integrity within the nation. Statutory laws acts against murder
and harassment which strictly followed with using different legislation and maintain overall
well-being in the society. For individual, it helps to take proper decisions so that government
play important role with certain activities. For jurisdiction, it is important to consist regular
process (Janis, Hovenkamp and Carrier, 2016). Traffic rules also need to consider with
uniformity that implied and helps to maintain better facilities. It helps to make efficient
functioning with goals and objectives. Along with this, UK government regulate legal process to
work in systematic aspect and increase creativity as well.
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Statutory law is the important term that define written rules and laws that enacted with
legislative body. It could be vary from regulatory and administrative elements that are passed
with executive agencies (Berger‐Walliser, Barton and Haapio, 2017). Common law also created
by prior to court decisions. If executive sign and bill passed into the law, it is known as statute.
Main difference between common law and statutory law is the way in which law has been made.
As stated, common law comes from precedent while statutory consist by government. Therefore,
judge incorporate in both term.
LO 2
P3 Advice to JPM with their relevant on their responsibility and implications and impact
Director of JPM needs, to employ within the organisation so that it acts as advisory
person on matter of obligation, managing personal information and compliance. It need to be
evaluate data types which held at different stores information. Directors need to execute planning
to protect and effectively proceed further with legal charges in the chosen business. Furthermore,
director also need to assess purpose in which personal data used and awareness creates towards
clients and customers. With the help of changes, implementation of GDPR responsibilities of the
director is to provide information on demand basis.
They must consider legal basis information that process personal data and evaluate it to
check whether company comply with requirement of General Data Protection. Director of the
chosen business use guidelines which prepare in GDPR. They need to implement to train
existing staff members with important information.
In order to perform functions and operations in JPM company, it can be stated that
directors consider potential implications which create major impact on business. Every business
consider important role to make successful results. In this regard, present case consider advice
given by accountant to make business publicly. In this context, employment and contract law
consist for labour law which includes rights and responsibilities among parties to bargain.
Contract must be undertaken between employer and employee. This law contain in 1963 which
develop in parliament of the UK. It is widely developed forts of employment protection as it
introduced requirements and needs of employers to provide reasonable notice before dismissals
from work. It also entitles with rights for ones average payment in particular period. In the
chosen business, employment and contract starts with employee commences working for
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employer. It can be in the form of verbal agreement and not require in written form. Law on the
contact of employment can consider rules which implied with right for employer. It provides safe
and health working environment. Law also consider certain automatic rules which paid on
holidays (Berger‐Walliser, Barton and Haapio, 2017). Apart from this, JPM company make as
publicly so that no discrimination must be placed at workplace.
Along with this, every employee must entitled in written statement of the main
employment terms in every two months of starting to work. Contract of employment made with
job offer which is not considered in written form. When they started in working, it implies and
accepted within the job that offered by employer (Berger‐Walliser, Barton and Haapio, 2017).
Terms of services carefully to sure that such employment contract breach which is defensible and
tray in other consideration. Apart from this, other options included with possible mediation and
bodies. If employees are not solved dispute, legal action in JPM must be taken against other
party. However, when employer breach contract, it is advisable that matter must be solve in
informal way that especially suffered with some financial lose. Employer also entitled to make
claim in initially time so that tribunal in response must be provide that incurred for maintain
proper compensation for damages of financial loss. For example, if employee not provide
enough notice so that employer can claim for extra costs which incurred in employing staff to
take work of such employees for lost revenue (Berger‐Walliser, Barton and Haapio, 2017).
In addition to this, the chosen business need to follow health and safety regulations for
their employees to regulate successful outcomes. Proper facilities must be implement to take care
of them in business environment. Assessment of risk must be consider as health and safety of its
workforce. For example, adequate lighting, heating, ventilation and workspace. Proper clean
conditions must be applied in JPM. Along with this, staff facilities including toilets, washing
facilities and refreshment. In order to implement equal opportunities regulation, the chosen
business must consider equal pay act which protect men and women who perform substantially
equal work without any discrimination. Equal work means not comparison included in term of
skills, efforts and responsibilities (Freudenberg and Boccabella, 2014). Furthermore, this act
prepare to reduce discrimination in employment on the basis of provision of training and
education on the basis of age, disability, race, religion and sex.
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LO 3
P4 Legal advice based on case law
In respect to look for present case of Champion Ltd. it is important to move for North
London site to make way for development of new stadium by premier league club. Due to
financial problem, customers of the company decline due to bad image. They continuously
taking loan from banks so that petition of their also reduced (Tepe, 2016).
Termination of contract: In order to look for case of Champion Ltd., it can be stated that
financial problems must be reduce with appropriate working of contract. In this regard, court can
terminate contract because of winding up petition. On the other hand, in perspective of second
case, Beta company must breach their contract with Mr. Anderson because he has not submitted
notice period to previous company. It shows breaking of his loyalty towards the Amber Ltd.
Rescue from insolvency: Furthermore, one more legal advice can give to Champion Ltd
that they can concentrate on their own efforts to gain the best customers. As a result, it assists to
explore funding options in appropriate manner. Furthermore, very small amount of debt can be
put up to consider the best option in the present case.
Liquidation: In the case of Champion Ltd. Financial issues occurs so that they should
sold their business. Liquidation assists to provide appropriate amount of money to regulate
functions and operations in the business.
P5 Whether creditors has legal powers to do threatening and process for liquidation
As per the above case, it can be stated that Champion Ltd. Paid and move for its site.
They are fully experienced for financial issue which faced for development of new stadium by
premier league club. After moving to new business, financial issues declined so that results
develop successful results with low revenue generation and reducing profits. The chosen
business default with numerous occasion to pay their payment for bank for loans. Relocation is
important decision at this time (Janis, Hovenkamp and Carrier, 2016). Therefore, list of money
lenders included for several creditors. Nowadays, the company has the worst condition as
creditors which threatening company for winding up. In the present case, it has been seen that
directors responsibilities must be manage sensitively. Winding up petition is legal action which
taken by creditor for Champion Ltd. Against the company, they can take process of liquidation
because of high power possess by them (Arbaugh, Cox and Camp, 2018). Creditor also have
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issue of petition in court so that it will hear on particular date and endorsed to serve it in
registered office of the enterprise. It will advertise in the gazette after a period. With respect to
make legal regulations, it can be stated that creditors can seek to appoint an insolvency
practitioner as liquidator. It is very expensive option for creditors and considered and last resort
so only it used with all people approaches to retrieve debt that failed. Courts never look on debt
recovery process rather than they are unable to pay its debts. Hence, it considers situation of
wound up and liquidation. In a collective process, it can be used to collect in the business for
assets and deal among creditors (Palmer, 2015). It helps to secure creditors and costs so that
proper functioning will develop with company ban accounts.
Along with this, there are several parties included in it that assist to make proper support
to take legal action in present case. Therefore, public knowledge, suppliers, lenders also want to
cease supply so that exacerbating with the company problems must be solved. Petition also
publicised before insolvency rules follow. In the process, issue must be served firstly and
advertise within seven working days. Later, in the Gazette it must be undertaken at court where it
is either dismissed or approved (Perry-Kessaris, 2016). Once advertisement has been made, other
creditors of Champion Ltd. must support petition. If the company has dispute in term of debt and
slow process of the court not make proper order. Company also need to seek with restrain
advertisement. Therefore, they should seek with urgent advice from solicitor and licensed for
insolvency partitioner. The chosen business also seek into creditors and voluntary liquidation so
that they must look at administration. Furthermore, if the business is unable to put on
proceedings, petition is advertised publicly. It must be consist in seven days after services
(Kraakman and Hansmann, 2017).
In the present case of Champion Ltd. has main reason to petition which is advertised for
other creditors to see about business which make insolvent to the company. However, there is no
advertisement so that court not grant any order of winding up. Advertisement itself also consider
in public document so that detailing information must be included with registered addressed. It is
submitting the petition and address date of the future for winding up. It is possible to apply for
validation order by the court to unfreeze (Finkelstein and Balotti, 2015). Beside this, court would
need to take substantial amount of evidence and information to assess the situation.
Once the order granted, liquidator investigate the company and their directors to ensure
about company situation. In results, it can be stated that results of fraudulent trading on director
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part will be consider to look at transactions over the last two to fiver years. There are certain
cases in which compulsory liquidation occurs (Berger‐Walliser, Barton and Haapio, 2017). Due
to quite different voluntary liquidation, it involves limited liability partnership that unable to pay
debts properly in process. Therefore, it being forced into liquidation by the court. This is usually
initiated by creditors that is known as winding up. Creditors get paid either by forcing the
directors to act or gain access in assets of the business. This situation occur when Champion Ltd.
unable to pay debts so that court concluded equitable wound up. Information must be hand over
that usually asked to attend official receiver in interview. Creditors possess legal power to create
claim for amount of Champion Ltd. As per this regulation, court consider orders to an insolvent
company into the compulsory liquidation. This is very harmful situation for the chosen business
in respect to avoid circumstances company. There are several ways of liquidation, in which
process of bringing down or closing in the particular business with proper distribution of assets
to creditor (Allen, 2017).
It occurs when company becomes insolvent and get defaulted with numerous occasion
while paying their debts. There are following ways to liquidate business:
Members voluntary liquidation: This procedure applied in the situation in which
directors and shareholders of the solvent in which business decide to close their company. As
results, business is able to repay towards existing creditors and shareholder. It is just opposite
method as Creditors Voluntary Liquidation as here members of the enterprise. With the help of
mutual agreements, running business close down to focus on and maintain effective work
performance (Scholes, 2015).
Creditors voluntary liquidation: It is the winding up process in which insolvent
enterprise has more liabilities. Furthermore, there are assets is also reduced continuously so that
it is important to focus on agreed. Liquidator is appointed with chairperson and process has been
carried successfully (Trevino and Nelson, 2016).
Compulsory liquidation: In this consideration, company wide up with selling of assets
and repay to creditors. Claim must be consider with issue and request of petitioner. Common
basis for compulsory liquidation is taken when business is unable to repay their debts on time.
When court feels that issue solved with compulsory liquidation, it can be stated that debt must be
repaid on time and when court feels it is equitable to wind up company (Posner, 2014).
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ii) Amber Ltd. On the possibility of getting injunction
Legal advise
In order to focus on the Amber Ltd. Case, it can be stated that there are several aspects in
which injunction could be get. Mr Anderson was appointed as CEO in Amber Ltd. which
consider confidential information. Mr. Anderson was employees and entered into contract that
specify certain employment restrictions among them to serve 12 months of notice period to
terminate him (Vargas, Dasari and Vargas, 2015). This is because, he has taken up contract with
Beta company after transitional arrangements with Amber Ltd. He entered into contract that
specify into the restrictions. He suggested that it should be completed within May 31st 2016.
Termination of contract define as to ending up agreements or contract that prior and fully
performed by one party. There are several ways exist of contract termination such as
impossibility of performing contractual obligations, prior agreements and breach of contract. Mr.
Anderson breach the contract which helps to fulfil the needs of agreements (Bird, 2016).
Injunction
It defines to an equitable remedy that consider in the form of court to compels a party
which refrain with specific act. Party which fails from the complying to the injunction which
includes penalties such as civil and criminal. In this case, interlocutory related with Mr Anderson
which refrain by court orders. It helps to prevent to do certain acts. It considers final
determination of previous case so that they are unable to make any contract with Beta Ltd. This
is because 12 months of notice period has not been submitted (Loafman and Altman, 2014).
LO 4
P6 Recommend alternative legal solution to suggest in a based on legal framework and Compare
and contrast effectiveness of these solutions
The concept of ADR mechanism is able to provide substitute conventional sources for
resolving the disputes in more competent manner. This solution is the best practice to resolve
various types of matters like Civil, commercial and Industrial and family. Alternative Dispute
Resolution uses third party who act as neutral and helps the party to communicate, discuss the
differences and resolve the disputes. There are various forms of Alternative Dispute Resolution
that can be implement to resolve the matter more accurately and effectively (Chappe, 2014).
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