Report on The Legal Framework and Legal Solutions: Business Law

This report provides a comprehensive analysis of the legal framework in the United Kingdom, focusing on the origin and roles within the legal system. It delves into the impact of employment and contract law on businesses, examining the distinctions between employees and the self-employed, and the duties of employers. The report suggests solutions to various business problems, emphasizing the importance of complying with relevant laws and regulations. It also explores the application of statutory and common law, the functions of professional lobbyists, and the process of registering a business. The content includes discussion on relevant legislation and the role of legal authorities in law-making, offering a detailed overview of the legal aspects of business operations.

The Legal Framework
and Legal Solutions

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
LO 1.................................................................................................................................................1
P1 Origin of law which an enterprise need to comply .........................................................1
P 2 Roles of legal authority in Law making ..........................................................................2
LO 2 ................................................................................................................................................3
P 3 Analysing the way employment and contract law have effect in business.....................3
LO 3 ................................................................................................................................................4
P 4 Suggesting appropriate solution to the range of business problems................................4
P 5 Providing the justification related to the use of legal solutions.......................................6
LO 4 ................................................................................................................................................6
P 6 Recommending solution based on country legal system ................................................6
Principle problems with the sources of legal advice .............................................................7
CONCLUSION ...............................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
The creation of the legal system in united kingdom was conceded by a consultation on
the policy principles on which the regulations were based. There are mainly three legal system in
United Kingdom, under which there are different laws which are applicable to different location.
British law is applicable to the companies operating in England and Wales. Legal framework
consist of detailed information about the rules as well as norms which are to be followed by
industries in England and Wales. The laws on English legal system covers every aspects that is
from establishing to running an organisation.
The purpose of the assignment is to develop the understanding about the role of legal
system. It also emphasizes on identifying the sources of various norm in English legal system.
LO 1
P1 Origin of law which an enterprise need to comply
British legal system consist of general legislative process which regulates the business
activities of an organisation operating in England and Wales. The objective of English legal
system is to promote the critical thinking and assist an enterprise in identifying the legal solution
to various business problems (Alix, 2016). English legislative system is different from legal
procedures followed by the other nation, as British legal framework does not consist of
established codes (Alix, 2016) . There are some laws in English legal system which are highly
influenced by the legislative system in EU. European Union is the major source of UK law since
1973, when UK became the member of European Economic community.
Few other sources of different norms in English legal system are :
Statue Law: It is also recognised as primary legislation , which are automatically get
originated by the action of members in parliament.
Delegated legislation : Such types of norms are recognised as secondary legislation. The
higher legal authority in nation , provides lower authorities to develop as well as propose laws.
These norms are further approved by members in parliament. Delegated legislation is formed by
government
which has been given the power to legislate by Parliament.
1

Convention of Human right : This legislation in English legal system is highly
influenced by the laws in EU. Convention of Human right law is created by the legal authority
in EU.
Case laws : It is considered to be as the important source of several norms in British
legislative system in United kingdom. Case laws has been originated by the decisions made by
judges in the court in previous cases.
Administrative legislation : This type of norm is designed as well as proposed by
government and approved by member in parliament. Administrative legislation regulates the
relationship between executive branches, citizen and private companies (Bowie,2017).
Objective of such types of norms is provided the structure or guideline related to governing the
process.
Common law : This types of norms are originated by the decision or judgement made
by the higher authority that is supreme court is to be followed by all lower courts.
Lords.
P 2 Roles of legal authority in Law making
Most English law is currently made by, or with the authority of Parliament. Law or act is
created by the passage of
a Bill through certain prescribed procedure in the House of Commons and the House of
Lords.
Pre-legislative stage :A government Bill is usually preceded by the issue of a Green Paper
which sets out the
legislative proposals for discussion. Consultation with relevant interest groups might take
place at this phase . A White Paper is then issued, which lays down the principles on the basis of
which the draft of Bill
is prepared.
The government play the important function in law making. The main role of legal
authority in the nation is to identify the different problems faced by companies or people in the
country. Other important function is to represent the interest of people. It is the duty of legal
authority to prepared the list of problem and also solution for the same for presenting in front of
members in parliament for approval (Alix, 2016). But before reaching tom the parliament for
2

seeking the approval for implementing law, it is required by government to take permission form
domestic and from those legal authority which are working at lower level of hierarchical system
in English legal system.
Parliamentary process :Once the permission has been granted by such authority, role of
government in the nation is to present the bill for the first reading in front of member in
parliament. After the successful completion of the first reading , duty of legal authority is to
make changes as per the suggestion provided by members in the parliament. Once the
amendments or modification has been done, then the proposal is to be forwarded for the third
reading, where short debate might be conducted related to the implementation if law (Alix,
2016). As the same time, the proposal is also required to be presented for the evaluation. At this
stage effectiveness of bill is measures. As there the committee stage , proposal or bill is to be
parented for the fourth reading where the final decision about the implementation of law might
be taken. If bill is approved then in such situation law is to be implemented as well as
communicated to rte people. If in case , bill or proposal get rejected than in such situation , role
of legal authority is to find alternative methods or techniques for resolving business issue.
The way statutory and common law are applied in the English judicial system
Statutory law- It is recognised as the engrossed laws created and implemented by the
government in the nation. Statutory law is also considered as the administrative regulation
which is approved by the executive agencies and the common law.
Common law- This legislation is developed by the judgement made by the magistrate on the
basis of the existing law suits
Function of professional lobbyists
Professional lobbyists are recognised as people who have power to influence law ,
decision taken by legal authority, policies on behalf of a group or individual who hires them.
Examples of lobbyists are lawyer, legal adviser etc. (Alix, 2016) The important role of
lobbyists is to provide necessary services in order to assist in influencing the political decisions
being made in the legislative branch of the government.
3

LO 2
P 3 Analysing the way employment and contract law have effect in business
The Employment law has been formulated by legal authority in the nation with the
purpose of protection the rights of the employee. This specific norms cover the different aspects
of employment. Employment law also assist employer and employees in strengthening their
relationship. It also supports business entity in eliminating the conflicts at workplace. Employer
in an organisation is need to comply with different norms (Alix, 2016). As failure to follow the
regulations might lead to the employment tribunal claim or legal obligations on employer. This
specific legislation covers the wide areas such as employment contracts, working hours as well
as condition, tome of work, recruitment , dismissal etc.
Employment legislation has direct as well as major impact of few issues such as
discipline, harassment, equal pay, age discrimination, data protection etc. It also has significant
influence on the company employment policies as well as major effect on human resource
practices.
Difference between self employed and employed
.
Employee Self employed
According to the employment law, an
employee is a person works full-time in an
organisation. Employees works for benefit of
company. As per the employment law, it is
very much important for both employer as
well as employee to work according to the
terms and conditions in the employment
contract (Slutsky and Sardegna, 2018)
On the other hand,Employed are those people
who establish as well as run their own
business. These people also work for
companies but on contracts basis.
Whereas , Employees work under a contract of The other important difference between two is
4

service. that self employed ork under a contract for
services.
Employment law provides the various rights to
the employed people who complete their
working hours nad who has signed the
employmernt contract with company.The type
of explicit or implicit contract of employment
with other persons or companies which has in
his/her job. As per the employment legislation
employees are applicable to use their rights and
protections on the basis of their employment
status.
Self employed people does not have any
rights.
On the other bhand, in context of employee,
employer is oblidged to offer and workers has
to workl according to the instruction provided
to them.
The self employed people are free to accept or
close down business if they want. Engager is
under no obligation to offer any work
Duties of council towards employees
In context of given case scenario of the potato council, duties of employer is to provide
all the facilities as well as healthy as well as safe working environment to employees. As per the
employment law, duty of employer is to ensure that all the people in an organisation are fairly
treated and are provided with equal working opportunities. As per the employment law It is the
duty of employer to pay the employees as agreed in the contract. Employment law also states
that employer should not undermine the trust as well as confidence of an employee. It is the
duty of employer to provide workers with safe working condition.
Contract law
The contract in English legal system consists of general principles which regulates the
enforcement as well as performance of contract between two parties. The impact of contract
law on business is driven absolutely in terms of those jurisdictions’ approach towards law. This
5

specific legislations bind the parties to only into the legally valid relations. In addition to this
contract law also governs or regulates the commercial transactions (Alix, 2016). Contract law is
applicable to all aspects of business. This legislation can be applied to purchase, sell or
delivering special services. It has great effect on the industrial relation and other specific activity
performed by an enterprise.
LO 3
P 4 Suggesting appropriate solution to the range of business problems
It is very much essential for potato council to comply with the special laws which are
designed for regulating the establishment of agriculture business. The agricultural law is also
applicable to the seeting up of agriculture experimental centre in UK.
As pet the corporate law and companies act, directors of company is recognised to be as
the hrad of of company which is selected or recruited by board of director. The diirector ion an
organisation have soomer poweers and responsiobilities related to trhe management of business.
It is very much important fopr an ewnterpreneur of company to get business register inb
systematyioc manner (Alix, 2016). Business owner has to follow the legal procedures in order to
establish nad register an organisation.
At , the first stage of process, an enterpreneur ios required to determiune t5he nature of
business. It includes decision related to the establishment of private , public or partnership firm.
At the next statge, business owner has to cponsider various rules whe3nh naming an
organisation.Such as name of company should not be used earlier by other oreganisation etc. At
the third phase, as company law , it is required by director of the company to submirt all essential
details as well as important documernts to registar. Director of company is required to prepare
nas well as submit the detail about business, shareholders, organisational activioties, locdation to
companies house. It is the duty as well as responsibility of director to prepare and submit the
memoradum as well as article opf associoation to registar. Then business owner has to wait for
approval. After getting the permissdion from registar, role of director is to call first board
meeting in orxder to complete the legal foprmalities for establishing and registering an
organisation.
Function of an officer in a company
According to the company lergislation, officer works at the top level of management in
an enterprise. Officers are hired by borad of directors or by busdiness owner. As per the
6

companies act, officers in an organisation are not responsible for lawful action taken on behalf of
the firm . According to the company law, it is very much essential fdor an organisation to
specify the positions of an officer. The Role of different officiers in a company are :
Chief exececutie officier- Function of chief executive officers is to control as well as
manage business operations or activity on daily basis. Role of chief executiove officer is to form
valid contracts., issues certificates etc.
Chief finanacial officier- Role of chief financial officier is to handle the finacial
matters. Function of chief financial officier is to maintain and keep track on finacial
transactions. It is the duty of financial officier to prove the financial report to top level
management when demanded.
Duties of Director in an organisation
As per the companise act 2006, The duties of director are :
 It is the duty of director to work for best interest of an organisation.
 To promote sucess of firm.
 To exercise reasonable skills as well as to make suitable business decision.
 Director can not benerfit personally from transaction entered into on behalf of an
enterprise (Alix, 2016).
Methods of raising capital
There are many methods which can be used by the potato cpouncil fdor raisng the capital.
These are :
Issues of shares: Potao council can fulfil the nedsa of resources easily by issuiing shares
to stakeholders.The big advange of uitilisinmg this apecific method for raising the capital is that
it limit the liability of shareholders to the face value of shares.
Disdavnatge of this method is that is that only few amount of finacila resources can be
obtained.
Public deposit : in this method, business entity raise capital by inviting their
stockholder, workers and the public to deposit their savings with company. The big advantage of
utilising this method is that on public deposits , an enterprise has to pay less interese rate as
copmapred to other methods . Disdavbantage ofg this method is thta it is uncesecured method of
raising capital.
7

Loan from banks -It is considered to be as secured method of obtaining the financial
assistance.Advantage of this method is that financing does not require any legal formality. Major
disadvantages is that business entity has to pay extra charges.
P 5 Providing the justification related to the use of legal solutions.
Alternative dispute resolution is considered to be as the appropriate mechanism which
can be utilised by potato council for resolving the business problem. Arbitration method is
effective at it can be utilised by parties for resolving the dispute both at domestic and
international level. Arbitration mechanism helps parties in reaching to the mutual agreement. It is
also considered to be as less time as well as cost consuming procedure. This provides parties a
chance to get their problem solved without going to the court. In arbitration, both the parties get
equal opportunity to share their view and problem. This method also supports parties in ensuring
fair decision. Parties' involvement in the procedure creates greater commitment to the result.
LO 4
P 6 Recommending solution based on country legal system
Citizen advice office- These are considered to be as non profitable organisation who
provides free legal suggestion to the varieties of problems related to housing , employment etc.
Citizen advice bureau consists of 700 volunteers throughout the country. These type of
institutions are funded by local authority as well as get financial support from government.
Citizen advice bureau is a network of 316 independent charities throughout the United Kingdom
that give free, confidential information and advice to assist people in identifying lwegal solution
to their problem.
Laws centres- It is the charitable institutions which provides free legal advice related to
particular field. Law center is considered to be as type of not-for-profit legal practice in the
United Kingdom which assists people who cannot afford a lawyer.
Pro bono advice service :In such types of legal institutions, solititors or barriestor are
people who provides parties legal solution and assist them in getting suitable solution to their
problem. Role of solicirtors is to provide legal suggestion on the subject matter relarted to
housing , employmenrt, debt, housing etc.
In addition to this alternativer legal advice can been taken by parties by utilising internet
sites.The procedure of bringing claim cal also be found on the UK court site. Moreover , many
8

magzines provides legal advice notably. TRADE union provides legal advice or suggestion to
their member (Alix, 2016).
AA nad RAC , these are recognised as motoring legal insitutions also provide legal
solutions to the problems faced by their member.
Civil legal advisors provides legal solution on telephones as well as through websites.
Such institution ptrovides advice or suggestions related to welfare matters.
Arbitration is considered to be as favoured method of dispute settlement in international
trade. Maritimer disputes as well as conflicts in the commodity trades are generally resolved with
the support of specialist arbitrator. Few commodity association such as potato council, Grain
and fed trade association have their own arbitration tribunals as well as these councils
sometimes admit appeals from special committees. Important international supply contracts
general consists of arbitration clause (Alix, 2016).
Principle problems with the sources of legal advice .
The majotr problem is cricis in legislatrive system of enmgland and wales. Some legal
advice might have nergartive effect on the reputation or business performance (Mayer,
2018) .The difference is the legislative system of the countries create big barriers for business
owners to seek legal advice for resolving the commercial disputes.
CONCLUSION
It has been concluded from the report that laws formulated by the government has direct
effect on business operations. Employment law have direct as well as major influence on human
resource practices. Study has highlighted the major difference between self employed and
employed. It has also highlighted the role of government in law making. Detail explanation about
different norms has been provided which potato council should follow when establishing
agriculture business in United kingdom. It has been concluded from the assignment that
arbitration mechanism is the best method to resolve the commercial disputes.
It has been recommended top the potato council to consider agricultural law when
establishing or running an organisation.
9

10

REFERENCES
Books and Journals;
Alix, A, 2016. Law For Business Students, 9/E. Pearson Education Limited.
11