Assessment of the English Legal Framework and Legal Solutions Report

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This report delves into the English Legal Framework, outlining its sources, including common law and statutes, and the role of the government in shaping and implementing laws. It examines the potential impact of employment and contract law, as well as consumer law, on businesses, emphasizing the importance of compliance with regulations like the Consumer Rights Act 2015 and employment standards. The report provides practical legal solutions for various business problems, such as company registration, and explores Alternative Dispute Resolution methods, including arbitration and mediation. Furthermore, the report justifies the recommended legal solutions based on the UK legal system and the legal framework, concluding with recommendations for businesses to navigate the legal landscape effectively. The report also covers the steps required for business registration in the UK.
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THE LEGAL FRAMEWORK
AND LEGAL SOLUTIONS
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TABLE OF CONTENTS
INTRODUCTION................................................................................................................................4
P1 Explaining different sources of law that the organisation needs to comply...............................4
P2 Explaining the role of government in law..................................................................................4
P3 Potential impact of employment and contract law on businesses..............................................5
P4 Suggesting appropriate solutions for business problems............................................................7
P5 Justifying the appropriate legal solutions...................................................................................8
P6 Recommending solutions based on a country’s legal system.....................................................8
CONCLUSION....................................................................................................................................9
REFERENCES...................................................................................................................................10
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INTRODUCTION
Legal framework can be defined as a broad system of certain specified rules and regulations
that govern, administrate and regulate every business decision. It can be viewed as legislative,
jurisprudential, constitutional and managerial rules that everyone need to comply. There are
different kinds of law such as criminal or Civil law, employment law, contract law and others. The
aim of the present assignment is to examine English Legal framework and assessing the impact of
consumer and employment law on the businesses. Moreover, the report will also carry out an
evaluation of Alternative Dispute Resolution including Arbitration, Mediation and Negotiation.
Considering the legal regulations, appropriate legal solutions will be provided based on the legal
system of the country.
P1 Explaining different sources of law that the organisation needs to comply
English Legal System (ELS) is the common law that includes both the civil law and criminal
law with having distinctive procedures. Judicial precedent is one of the key doctrine of English Law
in which decisions made by court creates a legal binding for future decisions. Judges are bound with
the court decisions of superior jurisdiction but not by the inferior courts. Criminal law comprises
mandatory rules and regulations regarding the serious offences and crimes against society whereas
civil law mainly comprises rules for the disputes arise between different private parties such as
employee and employer, supplier and consumer and others. It is mainly concerned with contractual
agreement, tort, companies and others (August, Mayer and Bixby, 2009). Such legislation provides
remedy for the damages and injuries to the party who has enforceable claim. The principle source of
English Law comprises common law, EU law, primary and secondary statutes, parliament
conventions and others. Common law is uncodified means that there is no comprehensively
compiled rules, by contrast, civil law is codified means there is comprehensively updated legal
codes and it follows specific procedure to specify all the requirements (Cheeseman and Garvey,
2001).
Structure of English law system:
Criminal: Court of Appeal> Crown Court> Magistrates courts
Civil law: Court of Appeal> High court of justice> County Courts
In the ELS, Supreme Court is the top authority and all the lower jurisdictions are bounded
with their decisions (Clarkson, Miller and Cross, 2014).
P2 Explaining the role of government in law
Government plays a major role in the legal formulation as they examine, review, amend and
implement statutory and common laws. A prospective change in the ELS is first presented in the
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form of bill and after receiving the majority of the governmental authority’s approval, bill is passed
by House of Lords. Thus, government need to clearly present that whether they are accepting the
proposal or not. If in case, they are not agreed with it, then favourable parties can withdraw it.
Statutory law is different from the administrative laws which involve strict interpretation which
simply means that it can’t be liberalized. Such rules are based on certain on rules and regulations
while in contrast, in common law, rules are made through previous judicial decisions declared by
court or different panels. First is designed by government whereas when in case of disputes
regarding legal terms, common law is found beneficial.
UK legal system follows a sequential procedure to create legislation that are provided
below:
Initially, whenever an issue or problem arises then interested parties made proposal after
consultation. It is made in the form of bill which is approved by the cabinet.
Afterwards, House of Parliament evaluates the proposals and in order to bring the bill into
actual act, it is necessary that bill must receive approval by House of Common and House of
Lords peers (Beatty, Samuelson and Abril, 2018).
Thereafter, it goes through parliamentary stage wherein it can be presented to either
Common Chambers or House of Lords in first reading. When it is first presented in House
of commons and approved then it is presented to the House of Lords for approval to create
the law. At second stage, government minister presents the bill to House of Common on
which all the parties presents their opinion and views. Later, committee stage come wherein
standing committee examines the bill. Thereafter, in report stage, examination report of the
committee is presented in House of commons within a time duration of 2 weeks within
which, parties expresses their suggestion. Later, in third reading stage, finalized draft bill is
reviewed again.
After the approval from Commons and Lords, lastly, it is necessary to obtain approval of
Royal Assent after ministers’ advices. When a bill becomes law then it is called Act of
Parliament.
P3 Potential impact of employment and contract law on businesses
Consumer law in UK consists of several set of mandatory rules and regulations that statutes
had made to protect consumer rights against dishonest tactics and practices of sellers. The act makes
it mandatory implication on traders to assure that all the contractual terms written are prominent and
transparent. Consumer Rights Act 2015 applied in UK consumer law came into force on 1st October,
2015 which protect customer rights. The main aim of the act is to consolidate all the applicable
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existing rules to make it clearer to both the businesses and consumers. The act had extended to the
supply of digital content and strengthens the legislative requirement against unfair business
practices and terms. All the businesses need to comply with the act and sell goods and services to
the people on fair and genuine trading terms and conditions. They are also liable to deliver safe
goods and services considering customer safety. With reference to the credit arrangement, firm must
give enough details to the customer to familiarize them with their credit liabilities under loan and it
must be mentioned in written in the contract (Freehills, 2015). As per the law, if in any case,
supplier breaches or violate the mentioned terms regarding product quality, safety or other aspect
agreed in the contract, then consumer law provides statutory remedies to customer. It includes
rejection of goods or getting compensation which amount is based upon the nature of breach.
However, in case of digital goods, consumer has no right to reject the good, while, supplier will be
obliged to repair or replace the product many times, till the right to reduce prices becomes effective.
All the remedies are available to the buyer in addition to the remedies under common law.
UK Employment law enforces regulations that entity need to adhere with while making
contract of employment. The regulations include flexible working, fair working conditions,
grievance policy and other benefits. For instance, UK labor law includes National Minimum Wages
Act, Working Time Regulations, 1998 (WTR), Employment Right Act, Occupational Pension and
others. According to these, all the companies are obliged to pay salary equal to minimum wages or
more to their workers for their contribution. WTR restricts business practices to not extend the set
working hours to protect workers right (Caldwell, 2013). Besides this, entities provide timely
breaks, leaves and arrange flexible working arrangement at workplace. Equality Act and Anti-
discrimination policy makes it statutory for all the firms to treat all employees equally, render them
equal opportunity and do not treat them unfavourably on any ground like colour, sex, gender,
ethnicity and others.
In corporate world, many contracts are been made and every contract that is legally
enforceable makes obliged parties to follow agreed terms and conditions. English Contract Law
includes conditions on important aspect like consideration, free consent, offer & acceptance,
capacity of party to make valid contract and others. Any disputes between parties on the contract are
settled under contract law. The law states that if in any case, business violates their obligation
resultant loss to other party, then, the law provides right to the injured party to repudiate the contract
or make business obliged to pay compensation.
P4 Suggesting appropriate solutions for business problems
In order to avoid some of the legal disputes it is very important that business owners
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registered their company with registrar of company and ensure that from some of legal disputes
they can avoid in their business. There are varied stages that a businessman need to follow in its
business to register its business. ESBM intends to open its company in London and due to this
reason it is very important for it to register its business in UK. Some of the stages that can be
followed to register company is given below.
Step 1 deciding a limited company: In this stage it is ascertained that firm that an individual
intend to convert in to company is eligible for same and can be considered as limited
company after registration (Picciotto and Mayne, 2016). In this regard managers and
entrepreneurs carry out detail discussion and determine whether firm can be converted in to
limited company.
Step2 Determining name of the company: In this stage name of the firm is determined
under which it will be registered as company. Name must be related to the business that firm
is carrying out so that it can be ensured that name will be recognize by the customers
quickly.
Step 3 Documentation in respect to company: In the third stage documentation related
process is performed. These documents cover multiple information related to company like
its name, address,, plans, operations and details of directors. It can be said that whatever
documents are submitted by the business firm cover entire details related to company.
Hence, this is the one of the crucial stage of the company registration process (Pisani-Ferry
and et.al., 2016).
Step 4 Memorandum of association and article of association: This is also one of the
important stage of the company registration and under this memorandum of association and
article of association is formed. In case of memorandum of association some rules and
regulations are determined that will be followed by all employees of an organization. Apart
from this article of association is also prepared which encompassed lots of details related to
the firm business. Thus, it can be said that there is importance of both article and
memorandum of association for those who intend to register their company.
Step 5 Submission of documentation in company house: In this stage documents are
submitted by the business firm to the registrar of the company in the company house
(Robertson and Kesselheim, 2016). This is one of the crucial stage of the company
registration. Thus, this stage need to be performed in proper manner.
Step 6 Obtaining approval in respect to company formation: In this stage after completion
of all stages approval is obtained in respect to formation of company. In this regard, contact
is established with the top head of the company house and it is ensured that all legal
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formalities are completed in proper manner.
Step 7 Organizing board meeting with directors: In this stage after formation of company
meeting with Board of Directors is organized as it is just organized after formation of the
company. It can be said that after completion of most of formalities it is one of important
stage through which firm passes.
Step 8 Set up registration: In this stage finally registration of company is done and all
important Board of Directors are listed in the register. It can be said that at this stage almost
registration process get completed.
Step 9 presenting the certificate of share to the shareholders: In this final stage certificate
of equity is issued to first shareholder which verify the fact that company is fully
functionally running its business.
P5 Justifying the appropriate legal solutions
In order to solve any sort of problems there are multiple ways that can be followed and
carrying out detail discussion on problem and building consensus on same is the one of the way in
which solution of problem can be identified (Storey, 2016). There are multiple ways of problem
solving and negotiation is the one of the main way in which disputes are solved in proper manner.
In current time period most of business firms prefer to sort out important matters at their own level
by carrying out legal discussion. By building consensus problem is solved to great extent. Under
memorandum and article of association some rules and regulations are determined which fixed
boundary within which Board of Directors have to work. Thus, in this way legal problems are
solved at workplace in proper manner.
P6 Recommending solutions based on a country’s legal system
ADR is the one of the important system that can be used to solve the problem at broad level.
Under this framework without resorting to court legal problems are solved. In this regard there are
members of ADR that listen matter carefully and give judgement on same by considering varied
laws and provisions (Walters, 2017). Thus, outside court firm comes to know about consequences of
steps taken in the business. Accordingly on time decisions are taken by the firms to handle situation.
Thus, it can be said that there is significant importance of the solution presented by ADR for the
business firms.
CONCLUSION
On the basis of above discussion it is concluded that there is lengthy process of registration
of company and one need to consider number of factors while registering business firm as company.
In this regard legal guidance must be taken from those who know law very well and after receiving
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complete advisory decisions must be taken by the managers. It is also concluded that ADR is the
one of the important mechanism and through same decisions can be taken in proper manner. Thus, it
can be said that instead of going to court through ADR solution of business problem can be
identified.
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REFERENCES
Books and Journals
August, R., Mayer, D. and Bixby, M., 2009. International Business Law: text, cases and readings.
Pearson education.
Beatty, J.F., Samuelson, S.S. and Abril, P.S., 2018. Business law and the legal environment.
Cengage Learning.
Cheeseman, H.R. and Garvey, J.R., 2001. Business law (p. 327). Learning solutions..
Clarkson, K., Miller, R. and Cross, F., 2014. Business Law: Texts and Cases. Nelson Education.
Picciotto, S. and Mayne, R. eds., 2016. Regulating international business: beyond liberalization.
Springer.
Pisani-Ferry, J. and et.al., 2016. Europe after Brexit: A proposal for a continental partnership (Vol.
25). Brussels: Bruegel.
Robertson, C. T. and Kesselheim, A. S. eds., 2016. Blinding as a solution to bias: Strengthening
biomedical science, forensic science, and law. Academic Press.
Storey, D. J., 2016. Understanding the small business sector. Routledge.
Walters, A., 2017. Modified Universalisms & the Role of Local Legal Culture in the Making of
Cross-Border Insolvency Law.
Online
Caldwell, K. A., 2013. Employment Law in the United Kingdom. [Online]. Available through: <
https://www.lexisnexis.com/legalnewsroom/labor-employment/b/labor-employment-top-
blogs/archive/2013/04/09/employment-law-in-the-united-kingdom.aspx>.
Freehills, H. S., 2015. The UK Consumer Rights Act 2015. [Online]. Available through: <
https://www.lexology.com/library/detail.aspx?g=a86e26b5-2c03-4264-9cd8-1ce16ca7532e>.
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