Business Law Report: Legal Obligations and Business Problems Analysis

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This report provides a comprehensive overview of business law, focusing on the English legal system and its application to businesses. It explores the structure of the English legal system, including common law, civil law, and statute law, and examines the sources of law such as constitution, executives, legislature, and international bodies. The report then delves into the role of the governing regime in law-making, detailing the process from bill introduction to royal assent. Furthermore, it analyzes employers' legal obligations in areas like health and safety, harassment, worker's compensation, and equal opportunities. The report also examines the influence of employment and contract law on enterprises, providing legal solutions to business problems such as unfair dismissal, drawing on case examples and relevant UK legislation like the Employment Rights Act 1996 and Health and Safety Act 1974 to support the analysis.
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Business Law
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INTRODUCTION
Business law is a vast field of legal system which helps in running the company with
smoothness in the long term. It includes all aspects which are necessary for firm in tye4rm of
managing, start and close as per implied by legal authority in United Kingdom. There are
different sources of laws which can be applied by organisations (Bagley and Dauchy, 2011).
Government also plays a vital role in law- making by company and contributes in modifications
if needed. Justice courts applies statutory and common law so that healthy environment can be
created by firm. There are different legal obligation related to employers implied by law. These
are some fields which are important to run a business according to law as harassment, equal
opportunities, workers compensation and occupational health and safety (Mann and Roberts,
2011). An employment and contract law have major impact on the business and there are some
legal solutions can be suggested for business problems.
Section 1
(a) Design of English legal system and certain references of laws
English legal system is consists of different legal rules & regulation set by the law for
companies about the ways they should execute their activities and tasks. It comprises of civil law
and criminal law that is crucial for individual and firms in United Kingdom. Common law is one
of vital segment of English legal system in which judges apply statute in courts. It is usually not
codified which means decision are concerned to precedents as past cases are alike current issues.
In this, common people combined in a group act as jury make notes about case and judges make
final decision by considering and analysing the report of jury (Ward and Akhtar, 2011). Civil
law is codified legal system which is also an crucial part of English law of United Kingdom
implied on business of enterprises of country. According to XYZ, which state that there is
regular amendments in laws and in that cases are resolved by the judges. Along with these two
laws, statute law is a major system which is a must rule to obey for every business organisation.
This is written law in which the concerned legislative bodies of governing regime vote to
decided.
Origin of law-There are different types of sources which helps an individual and
business companies to settle dispute and cresting a healthy atmosphere to work with smoothness.
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For example, constitution, executives, legislature, administrative agencies, judiciaries and
international organisations. These can be explained as followings.
Constitution-This is one of most important sources of law which is a set of fundamental
law of country (Martin, 2014). It is source of law in three ways like it creates power
between judiciary branches and executives of federal government.
Case law of EU- This is important source of law which is related to civil law. This
source is utilized by judges in the case of no specific law mentioned already, so judges
make decision on their own.
Executives-President is the highest executive officer who controls all legal decisions by
judges. There are different treaties between parties involved and executive orders are
passed by authorities.
Judiciaries-They are mainly courts which give final decision on particular matter. All
cases are reviewed on basis of precedents and stare desis. The past cases are refereed in
this which are somewhat related to it.
International Bodies- A number of internal units which are main sources of law like
Internation court of justice which deals in cases all over world.
Administrative agencies-These also are medium through which any dispute can be
settled by parties. For example, middle, lower an higher level management of
government have right to make judgement on particular matter. Thus there are many
sources of law which help in running smooth functions of business organisation related to
crucial incidents.
(b) Contribution of governing regime in law-making and statutory, common law
As law is officially made by member of parliament by the process of voting and the
participation of almost all members is there. The governing body has a crucial role as it brings
amendments or modification in law if needed. There are some stages through which law is made.
First, bill is read in parliament so that it can be available to every members over there (Rasch and
Tsebelis, 2013). After that, all MPs discusses about the bill and after that house of lord passes it
for further process. The committee member who get the bill analyse it and try to find loopholes
and positive points and when they see something negative they bring modification in the bill.
Approximately there are 20 members in committee. Then that specific bill is informed to
lot of the house and evaluated by members & further changes are done. After that, the modified
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bill is read upto 3rd time and during this time debate and voting takes place. During final stage, if
the mentioned bill gets approval from house of common and further gets permission from house
of lords. When all approvals are received by common and Lords, a formal validation by monarch
which is called as Royal Assent. So, this final approved bill becomes law and implemented over
all country.
Justice courts are entities which helps in providing fair decisions and settle disputes
among people or business organisations. They apply two main laws like statuary law and
common law. Common law is like a cases law which is implied by legal authorities on basis of
precedent cases. For example, if there is any case of fire damage at workplace, then judges make
their verdict similar to past cases related to the same matter. Another statute law is applied by
court which is known as written law (Ihnen, 2010). For example, state and federal governments
pass ordinance with power of law. This type of law is useful when there is any major issues
faced by citizens and immediate need for strict rule or regulations by legal system in United
Kingdom. These both laws are used by authorised people with boundaries. Some major
differences between these to laws are as followings .
Grounds on which difference
is made
Statute law Common law
Matter of new legal rules an
regulations as law
These types of laws are passed
and implied by all government
agencies whether at small,
middle and higher level
management.
These kind of compulsory laws
are issued by courts where
judges make the decisions fro
particular matter.
Level of operations in law Statute law is operated by
substantive way in which
members have independent
power to decide.
The common law is operated
as per a fixed procedure
followed by court and its
judges.
Other name This law is known as written
law as an official bill is passed
by parliament and house of
lords.
The common law is known as
case law due to based on
precedents.
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Nature of law Statute law is prescriptive in
nature in which government
directs how to imply law on
public.
Common law is instructive in
nature as judge give instruction
foe decision.
Basic root This statute law is mainly
originated by government or
legislature.
On other hand, common law
has origin from precedents or
judicial decision framed in
court.
Section 2
(a) Explanation of employers’ legal obligations concerned to certain areas.
Business are important part of national economy, every company must obey all legal
requirements which are necessary to run business with smoothness. Law gives protection for
employees at workplace as they are main assets to company (Walters and James, 2011). There
are some fields in which legal system is strictly applying rules and regulations to maintain
decorum and security of workers. For example, health and safety, harassments, workers
compensation and equal opportunities. These will be explained below.
Employment Health and safety -Through consideration of United Kingdom, staff or
company should look after the working environment and make sure that there are safe
and secure tools utilised by workers and no harm to employee's health. For physical and
mental health of employees, organisation can conduct regular monitoring of machineries
so that any risk of damage can be detected on time and noon e will get harmed in future.
Staff compensation- There might be situation where injury can be noticed to worker at
workplace then it will be company or employer who will be liable to give all
compensation and expenses which are required in future. (Gold, Oire and Wewiorski,
2012). All medical facilities are provided to particular employee by all business
organisations in United Kingdom.
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Harassments-As per law, the employer should ensure that no practice of discrimination
is take place. No employees should be exploited on the basis of age, sex, skin colour and
religion which can don the morale of that worker.
Equal Chances-Another obligation for employer as per law is that he must provide equal
rights ans responsibilities to employees without any biased approach. For example,
manager must ensure that equal qualified and trained people whether they are male or
female, get same promotion.
(b) Employment and contract law and their influence on enterprise.
According to health and safety act 1974, all employees must be provided complete safe
and secured condition in company. It is main responsibility of employer or leader working over
there (Di Matteo, 2010). As per case study, the teen who is working there has age of 16 years and
she was busy in doing her job without any personal motive, it is responsibility of leader to
protect them from any mishappening. So by considering UK law, a company will be liable to
compensate her by looking and analysing her medical condition she is in. An effective example
can be taken which is similar to this case. In case of Anderson v Thiess Pty Ltd [2014] FWC
6568, in which Anderson was employee of the company thiess pty ltd who was dismissed from
his job due to sending email that was offensive for Muslim faith (Ayres and Schwartz, 2014).
But the judgement was held in favour of Anderson as there was no written warning by company
to him and individual was not given chance to apologise and understand that it was serious
offense and accept the mistake.
Section 3
P 4 Suggestion of appropriate legal solutions for two business problems
Unfair dismissal -It is an crucial part of labour law of United Kingdom and protects the
employees from any unjustified suspension from employment by his employer company. As per
employment right act of UK, no firm can terminate its employee without giving any valid reason
which must be based on his conduct and capability to do work.
(1) First Case solution- As per legal system of United Kingdom, in first case of Calvin,
his employer Donna did not do right conduct as dismissing him without confirming about other
employees at that time (Southey, 2010). In this case, the fashion house should follow all legal
rules and regulation and should have given opportunity to Calvin to put his side of story and
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investigate about other employees work at the time of theft. As per employment right act 1996,
no business organisation can dismiss any employee from job if there is no proper investigation if
proof of that particular offence or crime. So, in this case, there are three rights which Calvin has
are to claim for compensation, to take back his job with dignity and call for enquiry.
On basis of this case he should claim for compensation as working terms have been
damaged. Another advice on which he should act is Wrongful dismissal protections in which the
employer should have given notice prior to dismissal of Calvin. As she did not follow rules ans
regulation of employment act, she is liable to pay for wrongful termination of Calvin's job. For
example, the official notice period should be at least one month which is least requirement as per
English law of United Kingdom.
(2) Second case solution-As per law, Mr. Dan has right to claim for compensation for
fire damage as his store is insured and insurance company dose not want to harm its image in
market (Ewing and Hendy, 2012). So , Mr, Dan can file a request in written and claim for money
in which case the insurance firm might pay half or more than that to him. So as per business law
of United Kingdom.
P 5 Justifications for the mentioned solutions for both problems
First case of Calvin-As Calvin has been dismissed fro his job without any justification
by employer and there was no investigation to prove that only Calvin is culprit. Neither there
was solid proof that there was noon except his. So, on basis of this scenario, Calvin can sue his
employer and claim for compensation for this wrongful act. The compensation can be in term of
money or any other (Avraham, 2012). Another justification is that all manager of fashion house
can have discussion about Calvin and can get him his job back. So that he can get justification in
exchange in wrong act with him. As without any prior notice, employer of the fashion house can
not terminate him on basis of this vague incident. So, Calvin can definitely file a case. As per
section 94 of employment act, employer has no right to terminate employees on unfair reason.
According to section 95, some circumstances in which employee can be dismissed like if its
mentioned in contract, limited employment, dismissal of contract. Section 96 includes that if
employee is terminated by employer without a valid reason, he can sue.
Second case of Dan- As per term and condition of insurance act, 2015, there is no certain
specific information about times to claim for fire damage. So, Mr. Dan can claim for
compensation dependent on intensity of damage to store. Along with right to claim, the insurance
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company rejected the request (Cane and Atiyah, 2013). There are some reasons for that like
wrong information given about damage, answers are incorrect in claim application form. Thus
there are many positive and negative impact of these legal solutions. Positive is that firm can get
rid of dishonest employee and genuine employee can sue the company in case of unfair
dismissal. One negative impact of these legal solutions is that an honest employees might get
terminated and fake damage might cause loss to insurance company. As per case study of
Lorega Experts as insured and insurance company in which major fire damage was held and
insurer rejected the demanded amount for claim. But the insured managed to gain additional
money as claim. So, these legal solution have their major impact on business.
Section 4
(a) Concept and benefits of using Alternative Dispute Resolution process
This is one of most useful part of business law which help in settling dispute among
individual and firms without any legal actions. This plays as arbitrator, mediator and negotiator
so that all involved parties can get justified verdict (Keršuliene, Zavadskas and Turskis, 2010).
There are several benefits of this concept to company as well as all partners involved so that they
can settle their matter without disturbing their professional term with each other. Some
advantages of this process are followings.
Alternative dispute resolution process is cost effective in comparison to judiciary process
which demands money to second on lawyers to argue in court.
It produces faster results and enough flexibility to get verdict.
This process keeps all matters confidential unlike court judiciary whether matter are
discussed in public.
This process provides chance to parties to arrange negotiator to whom they can tell whole
case in detail in comparison to judge.
The alternative dispute resolution process make it possible to settle their problem and end
their relation at good end if they want (Del Duca, Rule and Loebl, 2011). On other hand,
they can preserve their personal and professional terms in future. Thus this process is far
better than judiciary process to resolve dispute.
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(b) Recommendation of an alternative legal solutions
As per case of Antwon and Tyrell, one suggestion for them is that they can follow UK
law according to which they can use mediation method in which the mediator person is
appointed by parties as third separate entity and analyses the whole situation to see reason of
dispute. After getting information, he assist both parties to come on mutual agreement which is
enforceable as per legal system of United Kingdom (Korn and Rosenberg, 2012). So, Antwon
would take his investment back and start his own business.
Another recommendation apart from UK process, on other hand, according to United
States law, arbitration is a type of alternative legal solution in which parties appoint a person
who has all control to take decision as an agreement in which both persons sign their consent.
This is the best way to resolve dispute between Antwon and Tyrell as it would keep all
information confidential and maintain privacy of their information. As the decision taken by
arbitrator is final, so there will be no further dispute of problem for both (Resnik, 2014). There is
no delay in taking decision with accuracy, so both person mentioned in case can use this
alternative legal solution to separate with each other and maintain their working relationship.
CONCLUSION
From the above report it can be concluded that law is inseparable part of any business
organisation as it helps to maintain its functions. Alternative dispute resolution process is
adopted by company which helps in maintaining relationship among business partners and settle
their matter in long term. There are several difficulties in running company like doubt of theft
and fire damage. If there is any fire incident in company then the owner has to deal with
insurance firm to get compensation from it and if there is any unfair dismissal and wrongful
dismissal protections which must be followed by business law. United Kingdom has different
legal framework which direct how to run, start, close and sell the business. It provides protection
to employees of company in case of any harm they get while working and firm will be liable to
pay all expenses to that particular person for any consequences.
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