BUS101: Legal Context Decision Making Report - McDonald's

This report examines legal decision-making within the context of the McDonald's food industry, addressing various aspects of business law and regulatory compliance. It delves into the roles of supervisors and regulatory bodies, particularly the Australian Native Food Industry Ltd, and the importance of adhering to codes of practice such as the Health and Safety Act (1974). The report explores the use of commercial software packages like MySQL for compliance monitoring, and defines key legal terms including common law, negligence, and contract law. It outlines the purpose of various acts, such as the Privacy Act (1974), Financial Transactions Report Act (1988), and Competition and Consumer Act (2010). Furthermore, it emphasizes the significance of internal audits, information sources, and regulatory information. The report also discusses stipulated timelines, potential ramifications of non-compliance, and the regulations of the Australian Financial Services Industry. It highlights the roles of professional associations in supporting compliance, the functions of AML/CTF and AUSTRAC, and the decision-making processes of financial service managers. Additionally, the report explains how to stay updated with legal changes, the two ways laws are made in Australia, and the hierarchy of the court system, including court jurisdiction in Victoria, and legal aspects of a contract.

Make decisions in a
legal context

Table of Contents
INTRODUCTION...........................................................................................................................1
TASKS.............................................................................................................................................1
1. Supervisor and regulating body...............................................................................................1
2. Code of practices.....................................................................................................................1
3. Commercial software packages...............................................................................................1
4. Terms related to law................................................................................................................1
5. Purpose of acts.........................................................................................................................2
6. Purpose of internal audit..........................................................................................................2
7. Sources of information............................................................................................................3
8. Regulatory information............................................................................................................3
9. Stipulated timelines.................................................................................................................3
10. Ramifications.........................................................................................................................3
11. Regulations of Australian Financial Services Industry.........................................................4
12. How your do this?..................................................................................................................4
13. How professional association help with compliance.............................................................4
14. AMLCTFR and AUSTRAC..................................................................................................4
15. Decisions................................................................................................................................4
16. Up to date with the changes...................................................................................................5
17. Two ways through which laws can be made.........................................................................5
18. Hierarchy of court system......................................................................................................6
19. Court jurisdiction in Victoria.................................................................................................6
20. Legal aspects of a contract.....................................................................................................7
21. Adversarial system of justice.................................................................................................7
W1................................................................................................................................................7
W2................................................................................................................................................8
W3................................................................................................................................................9
W4..............................................................................................................................................10
W5..............................................................................................................................................10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Legal advisors are able to make effective decision regarding laws which are imposed on all
types of regulatory bodies. Organizations have to follow such laws and acts so that they can
ensure smooth functioning at their workplace (Emmett and et. al., 2013). The present report is
based on McDonalds which is a food industry. In this context, code of practices and other source
of information are explained in report which are required to perform the operations in firm.
TASKS
1. Supervisor and regulating body
Supervisor/regulating body play their important role as they have to take some actions or
make some decisions for the benefits of business organization. Here, in this question it has been
explained that who is the supervisor/ regulating body at McDonalds.
The main regulating body of McDonalds is Australian Native Food Industry Ltd which
takes care of activities and operations which are performed by food industry.
The agency makes some rules which needs to be followed by all industries who are dealing
in same sector. So, in this manner Australian Native Food Industry Ltd will be able to perform
maintain the food safety.
2. Code of practices
There is various code of practices which are followed by companies in order to create a
peaceful environment. Health and safety act (1974) is adopted by McDonalds so that they will be
able to ensure the health of people. If this code is get breached, then the satisfaction level among
staff members will not be increased so this may affect their performance.
3. Commercial software packages
The firm can use different software packages in order to monitor the compliance. For this,
they can use My SQL which will help them in preparing their minute as they can save their data
in an appropriate manner (Feteris, 2017). In this way, the organization will be able to achieve
effectiveness.
4. Terms related to law
Common law: This is also known as judge made law which is developed by courts, judges
and other tribunals. The main objective of this law is to establish the outcome by applying some
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set of standards. Judge has some roles and responsibility that they have to make decisions in
order to resolve the issues.
Negligence: When duty of care is get breached and it will result into the injury or loss then
it is known as negligence. An individual has to perform some reasonable care while performing
the actions.
Contract law: A contract is a written agreement which is made between two parties and
they are enforced by law (Tyler and Jackson, 2014). Both the parties have to agree on same
specified terms of conditions.
5. Purpose of acts
Privacy act (1974): The main purpose of this act is to strike a balance between the needs of
government to maintain records of an individual with their rights which are protected against
unwarranted invasions.
Financial transactions report act (1988): The purpose of this act is assist the
administration, taxation law and common wealth of company. In this company send the report of
their transactions to state government in order to complete their legal procedure.
Competition and consumer act (2010): This act help the companies in order to promote
their competition, fair trading and providing protection to the consumer’s rights.
Stamp duties act (1783): It is a type of tax which is placed on some legal documents that
are used for transferring the property or assets (Slovensky and Ross, 2012). The documents are
legally bound when they stamped.
Code of Banking practice: It is a type of act which is used to set out some standards for
the services. The banking industry set out some commitments with their consumers and this only
applies to small firm bank users.
OHS requirements: OHS is commonly known as occupational health and safety. The main
purpose of this act is to improve the healthy and safe work environment.
6. Purpose of internal audit
The goal of internal audit is to provide the assurance that risk management practices,
control processes and governance are operating effectively (Morales, McIntosh and Khomh,
2015). By adopting this type of analysis, the workplace regulatory compliance can be maintained
in an appropriate manner. When manager of McDonalds conduct evaluation then they will be
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able to identify the loopholes and after applying strategies these gap can be reduced and
regulatory framework can be maintained.
7. Sources of information
Organizations can evaluate different sources of information through which they will be
able to get up to date information regarding to the rules which are made by Australian Financial
Services Industry. Here, in the current question, it has been explained that what sources can be
used by firm in order to get up-to-date information.
There are some sources of information which can be used in order to gather related data.
Some of these sources are like accountant, registered tax agent, industry websites, governing
body websites, professional journals, professional’s associations, training publications,
experienced bookkeepers and industry networks.
After analysing different sources, McDonalds will be able to get recent information which
is useful in performing the operations on the basis of some laws and acts. Through these, the
food industry will be able to get recent data which will help them in formulating some effective
strategies.
8. Regulatory information
An organization can use some processes in order to ensure that they are using rules and
regulations which are made by government (Rigby and Bird, 2013). By providing training to
staff members, their knowledge regarding to the laws can be increased. Along with this, manager
can monitor their employees on continuous basis that they all are following regulatory
requirement or not.
9. Stipulated timelines
Statuary requirements are some those in which a licence is required by the company in
order to engage into some activities. By using these, financial reports and minutes can be
prepared effectively. Stipulated timelines play their important role in order accomplish the
regulatory requirements as on the basis of these all requirements can be completed in timely
manner.
10. Ramifications
There are some consequences which are arises due to actions and events which are
conducted at the work environment. Some of these are like if proper communication will not get
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established between all employees then they will not be able to accomplish the specified
requirements (Gousios and et. al., 2015). Along with this, if proper format for the statuary
requirements will not be followed then due to this also ramification can be created.
11. Regulations of Australian Financial Services Industry
Yes. it is important to identify and maintain up to date information with regarded to
regulations which are passed by Australian Financial Service industry. This is important because
as through this criminal charges can be avoided, positive reputation can be build, and higher
productivity can be achieved at the workplace.
12. How your do this?
McDonalds select one representative who is responsible to collect information about
financial services. Through which they are able to updated about how to maintain financial
crises.
13. How professional association help with compliance
Professional association help the organization in order to maintaining the high standard and
educate the members so that rules and regulations can be performed in an effective manner. The
associations have to ensure that self-regulations should transparent and these should be matched
with the current law. So, in this way help the company in meeting the compliance.
14. AMLCTFR and AUSTRAC
Australia has a strong administration or jurisdiction for the money laundering and
financing. The AML/CTF (Anti- money laundering and counter terrorism financing) act is more
focused on the financing, remittance and bullion sectors. This also provide some financial
intelligence to some agencies (Lobontiu, 2012). Every organization must meet the basic
obligations which are set by this act as beyond this companies have to assess their potential risks.
AUSTRAC (Australian transaction reports and analysing centre) has to perform some roles like
they have to collect and analyse the financial intelligence which are gathered through the
obligations. Along with this, they have to investigate the law enforcement and focus on national
security.
15. Decisions
The manager of financial services industry has to make some effective decisions so that
they will be able to accomplish their operations appropriately. Some of these decisions are like to
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manage the money so that companies can be borrow money at the time of their requirements.
The timeline which is set for accomplishing the statutory requirements which needs to be
followed on daily basis.
16. Up to date with the changes
By following some approaches and methods, manager will be able to ensure that they are
up to date with the current changing legislations (Knobel, Ketterer and Moller, 2013). The higher
authority can ensure these by asking the questions to staff members in any sessions. If they know
about these then they implemented at the work environment. Through this, manager can also
monitor the performance of employees who are working.
17. Two ways through which laws can be made
There are two ways through which an organization will be able to make laws in Australia.
The laws can be made by parliament that is statue and by court that is common law. The overall
part of the laws is known as legal system in which all rules and regulations are considered. In
this kind of system, some regulatory bodies are considered like judge, lawyer, police and
officials. For statue, parliament is the one who passes the law so that all social changes can be
managed. In common law, it is applies to all countries and this law is made by judge.
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18. Hierarchy of court system
The hierarchy of court can be explained in number of stages like high court, supreme court,
district and magistrate (Morales, McIntosh and Khomh, 2015). If an individual has some issues,
then he goes to magistrate and he is not satisfied with this then they approach district court. After
this, they approach high court and then supreme. This play a vital role as through this the
conflicts among different parties can be resolved.
19. Court jurisdiction in Victoria
The country court of Victoria is the one which deals with the civil cases unlike criminal
one. Some of the civil cases are related to money which are recovering by businesses,
compensations for accidents which are happened with the people at work environment. In
present question, it has been explained that what kind of country court jurisdiction in Victoria.
There are some courts in Victoria which resolve the issues of their respective parties. The
courts of jurisdiction are divided into two main divisions like commercial division and common
law division (Tyler and Jackson, 2014).
If an individual has some problems, then they can apply into the court as per their issue so
that effective solution can be gained for particular issue. So, if a person is not satisfied with the
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solution of one court, then they can apply into higher one and other courts have to follow their
decisions. Through this, issues which are faced by individual can be resolved and they will be
able to get effective solutions.
20. Legal aspects of a contract
A Contract can also act like a source of information by using that a court can take some
effective actions. There are some legal aspects of a contract like intention for creating contract,
agreement, consideration, legal capacity, genuine consent, legality of objects. An individual who
enters into any contract then that person should fulfil all the legal requirements like if the person
is minor then he is not liable to sign a contract. At last, the contract should be written into a
document so that they can bound with each other. Along with this, a mutually signed contract
can be discharged on the basis of performance, agreement, frustration and breach.
If an individual need guidance then they can take advice from some professional experts or
practitioners like legal advisor, lawyer and advocate so that a contract can be established and
disputes can be resolved between different parties.
21. Adversarial system of justice
This kind of legal system is used by country where two advocates represent their parties in
front of group of people (Feteris, 2017). So, judge identify the situation and make the judgement
accordingly. This system is a two-sided structure where solutions are identified in an effective
manner. By using this type of legal structure, the rights of an individual can be saved and
through this citizen can be protected against potential abuses.
W1
Being a manager at McDonalds I have to perform my roles and duties in an effective
manner so that code of practices can be evaluated. I have to ensure effective compliances in my
organization in accordance with the provisions of Discipline and grievance - Acas Code of
Practice. With compliance and adherence with these regulations, working of company will be
done in smooth and amicable manner, which will ultimately result in attainment of set objectives.
If some new roles and responsibilities are implemented by an organization, then manager has to
make sure that all staff members uses those code of practices.
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W2
A letter of engagement explains the relationship between the professional organization and
its service users. Yes, in some specified situations, it is necessary and compulsory to render an
engagement letter. In the present question, it will be explained that what different aspects are
essential for letter of engagement and how it is important.
Some financial organizations made letter of engagement so that their clients will get aware
about the services which are offered by specific firm. The consent of particular contract is based
on the type of enterprise and their sector in which they transact their business. There are some
requirements for such letter like definition of services, in what manner changes will be
incorporated, tools, contacts, payment, ownership, confidentiality issues and so on (Emmett and
et. al., 2013).
However, letter of engagement is not considered as an important or compulsory for the
purpose of non-regulated work, but on the other hand, it has been assessed that assurance of a
letter of engagement is vital for successful management and administration of relationships of
business.
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W3
(A)
The following are five professional bodies which are associated with financial services;
 Association of Chartered certified accounts
 Association of Corporate Treasurers.
 Certified practising accountants
 Charted accountants Australia
 The institute of public Accountants
(B)
It became difficult for organisation to follow all rules and regulations which are framed
by government. So, according to this McDonalds company have to framed their objectives in
order to achieve them. For this, manager is going to implement innovativeness in service quality
as through this they can achieve competitive advantage. The representatives are now focused on
the technological advancements.
(C)
CLERP stands for Corporate Law Economic Reform Program. It was started in 1999. It's
Bills Digest No. is 71.
(D)
The trade practices act was established in 1974 and there are two main objectives of this
act are as follows;
 To promote fair trading and competition.
 To protect the consumers from harmful factors.
(E)
Website
(https://www.ag.gov.au/CrimeAndCorruption/AntiLaunderingCounterTerrorismFinancin
g/Pages/AUSTRAC.aspx)
Australian Transaction Reports and Analysis Centre, controlling anti-money laundering
and counter terrorism financing regulator which is specialist in financial intelligence unit. The
latest media which is released by AUSTRAC is civil penalty orders against CBA it seeks to
initiate some penalty in the federal court as compare to common wealth bank of Australia.
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