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Business Law Level 5 HND Diploma Business

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  • Level: Diploma
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INTRODUCTION

Business law should be followed by organisations in order to run their business smoothly and effectively. The report will cover the English legal system structure and different sources of laws and the Role of government in making laws and application of statutory and common law. The impact of employee obligation and legislation on business and appropriate legal solutions with justification in the context of CP will be discussed in this report. Finally, the report will demonstrate an alternative dispute resolution process.

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TASK 1

P1 English legal system structure and different sources of laws

ENGLISH LEGAL SYSTEM

An English legal system involves criminal and civil laws applied in England and Wales. There are separate branches of criminal and civil laws in terms of courts and processes that help to solve issues and cases claimed by local people effectively.

Civil law considers the Court of Appeal and Justice. It can be said that the UK does not have any separate legal system that it is formulated by the past political unions which is developed and improved as an independent country efficiently. In addition to this, there are three legal systems applied in the UK in a particular geographical area. Common law is managed and controlled by present judges.

SOURCE

Common law: This law is based on ethical customers. It is also considered as an ancient law which is applied in England. The results are identified by the judgements made in courts.

Law from the EU: These are the common laws managed and controlled by European Union countries and associated with regulations and rules followed by businesses in their operational activities in European markets. Law from EU such as the Employment Act, Trade Union Act and rules for import and export.

Statutes: Statutes are used for UK parliament laws in order to formulate and develop effectively. The statutory and statutes originated with the UK parliament. Drafts and bill proposals is provided to parliament first, and after then it is sent to the royal assent for passing and approval.  For example, the Employment Rights Act 1996 is associated with statutory law.

Civil law: These laws are made for the local people in order to find any discrimination and wrong commitment from any firm. Civil law manages cases less than £25000 and assesses injuries less than £50000.

Legislation: These are created by the legislature and also a crucial part of acts of parliament based on the UK parliament. House of Lords and House of Commons are in the UK parliament there are 650 members involved in the House of Commons and each one defines a geographic constituency effectively.

P2 Role of government in making laws and application of statutory and common law

In order to make an effective application of statutory laws, businesses should follow all the rules and legislations formulated by the government. These are made for the purpose of solving issues and conflicts between business, society and customers. This shows the requirement of managing statutory laws under a reform observation. The statutory laws documents are also known as government provisions and bills.

Here is the process described below for approving a bill to pass it to become an act of parliament:

First reading: The Bill is read for the first time and the process begins with the House of Commons which acts as a proposal of the bill.

Second reading: In the second reading, the provision and proposal of the bill are discussed by MPs and peers. If any controversy arises then the bill is passed to the House of Lords without any voting process.

Committee stage: The voting process helps parliament members in order to make changes in the bill accordingly to achieve approval from the accent of MPs.

Report stage: The changes are reported to the parliament members and they provide relevant suggestions and opinions on the bill. Those who are not involved in the previous stage are also able to give suggestions for making any further changes. 

Third reading: Debate and discussion on the bill is made by MPs to assess changes made to the bill in order to submit as the final submission.

Stage of approval: The bill is approved by one chamber and represented to another for acceptance. The bill is approved by both the House of Lords and Commons and is ready for the final shape.   

Conversion: The final stage, where the bill is approved by both houses gets approval from the royal accent. In addition to this, the royal accent gives the final submission of the bill with the help and advice of ministers.

Application of statutory and commercial laws: Public and private bill helps the government to apply statutory laws in terms of act or law. Law enactment is made by the government in order to manage and control operational activities. In addition to this, commercial laws are applicable for two or more than two businesses, customers and nations effectively. Sales and Goods Act 1979; Companies Act and Employment Rights Act are applicable to businesses.

The Country Pine should manage all the rules and regulations in order to manage and control different business operational activities to increase profits and production.

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TASK 2

P3 Employees' obligations and potential impact of laws

The Employment Act 2008: The Employment Act is an Act of the UK parliament which helps to provide various provisions of UK labour law. The main purpose and responsibility of the law is for the economic stability of inflation and unemployment in the federal government. Employment Act helps employees by providing employment opportunities in order to achieve satisfaction and loyalty.

English contract law: The act helps employees to secure their rights and obligations. For example, this will help workers in CP to claim against any discrimination activities and unfair decisions made by managers. This is the body law regulating all laws relating to contracts in England and Wales. So company must adhere and complain to this law while they are formulating into contract between the employer and employee of the company.

The status of workers both workers and self-employed persons is for the purpose of the Health and Safety at Work Act 1974. This would be explaining that what is the status of a worker whether he is an employee or employer, self-employed or employed. All these things need to be answered in proper terms.

In addition to this, there are some potential impacts of laws in business such as the Health and Safety Act 1974, Compensation Act 1897, Equality Act 2010 and Harassment Act 1997. This will include Safe use of dangerous equipment and machinery at the workplace. Compensation benefits in terms of injuries and illness. Provide security towards harassment and activities related to the harassment and Equal opportunities for selecting the pre-employment phase. A growing demand for CP in restaurants in terms of furniture and other equipment is increasing and an effective workforce is required to manage production and profitability. Employees are the key to business success and there is an impact of employee legislation on business operational activities.

In addition to this, there are some key areas in which legalisation has a great and potential impact on CP in employment, consumers, competition, health and safety and the environment. It can be said that good regulations is a good thing for businesses in order to run operational activities smoothly and effectively. This will help workers secure their rights which help businesses to enhance profitability and production. 

TASK 3

P4 Appropriate legal solutions for CP

It can be said that CP should work to become a registered company in order to increase sales and profitability. Kevin Johnson is currently the CEO of the organisation managing and controlling operational activities. The company should follow all the rules and legalisation regarding operational activities and employees in order to become a registered company which helps to increase capital and production. Business directors are responsible for managing all the activities at the workplace.

Company Act 2013 will help to improve and solve such kind of issues. This will help to improve the overall working environment in CP.  The Companies Act 2013 has ensured this equilibrium of Power of obligation is kept up to most payments to the Stockholders and ensures corporate administrations to the maximal extent accomplished. This will help to utilise both penal and regulative measures, including functions to ensure the corporate structure of the business is going well with legal holiness effectively. This will help the business to achieve its desired goals and objectives of future development and improve working capital that helps to enhance productivity. Corporate governance also helps to create awareness towards director and their duties. This will help towards the overall development of CP in terms of workers and managing directors as well as board members efficiently.

Nature of the registered company-

The company which is formulated with registration under the Companies Act 2006 of the UK is termed a registered company. There are various types of companies under this like that of sole proprietorship, partnership, limited liability partnership and many more. Each of them has different merits and demerits but the nature is the same as all of them have registration under the same law.

Role of director-

The main purpose of the board of directors will be to ensure the prosperity of the company with collective directing affairs related to the company. With this meeting up of interest of all its shareholders and stakeholders will also be their role.

Raising capital-

This will be applied at a time when the company is looking to expand its capital by raising additional shares in the middle of the year. This would include debt capital as it involves borrowing money with a contractual agreement to repay it with funds at a later date.

P5 Justification

The Act helps towards the concept of modest mobility. The act was established in 1866 in order to regulate enrolment, and standards and wind up all the subordinates effectively. According to the company act victuals every director shall be appointive by the organization in general assembly, provided they have been assigned the Director Identification Number (DIN) and on message of an announcement that he/she is not ineligible to become a managing director efficiently. Roles and responsibilities are described below in the context of director:

  • They should focus on promoting and protecting the stakeholder level in business.
  • He is responsible for ensuring vigil carrying into actions and users will not affected through business relationships.
  • Duty to guide each member in the firm in order to collect future outcomes and a higher level of business.
  • He is responsible for managing and solving issues and conflicts between members and other committees which helps to improve operational activities effectiveness.
  • A director should focus on independent judgements to increase the overall working environment to make effective decisions.
  • Political, environmental, legal, social and technological factors should be managed and controlled by business which helps to ensure that adequate to intentional are held and such minutes are in wonder of the establishment.
  • The main focus will be on financial activities that it help to increase working capital in order to expand the business activities of CP effectively.

          In respect to this, after the registration, the board of members and employees should follow all the rules and legalisation formulated by the government in order to run the business smoothly and effectively. The court of registered is to increase capital within three months after the final date of subscription made as per the law. Additional capital can be borrowed from bank loans and directors are responsible for practice sessions to judge personal cases within CP. 

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TASK 4

P6 Alternative dispute resolution process

Alternative dispute resolution process: The process is very important for two parties in order to solve their problems, issues, conflicts and disputes effectively. The government also supports ADRM it helps to reduce the chances of making a claim in court which helps to save time. The method is very effective in that it creates an interrelationship between two parties in order to assess and solve their issues and disputes.

Conciliation and mediation: Mediation and conciliation is free and easy to use. This will help two parties to solve their issues and disputes that it is less formal than arbitration. The main objective is to make both parties happy.

Adjudication: It is based on written documents which are provided by both parties and it helps to determine issues and disputes. It is less formal than arbitration and also easy to use. The method is approved by the charted institute of arbitration and focuses on the main areas causing issues effectively.

Arbitration:  The arbitration method uses an arbitrator which helps to analyse issues an disputes between two parties and try to solve them with paper evidence. Arbitrators are legally bound that the decisions made by him or her are the last solution for business and they are not able to go through court procedures in case of dissatisfaction.

According to the case study, Country Pine imports their timber from Poland and arrives in the form of flat backs. There is some occasions where the flat packs contain defects effectively. According to them, polish suppliers refund them for the damages. Arbitration will be an effective method for both parties in order to solve their issues and disputes by managing an arbitrator. This will be done with both parties' approval which will help to make a solution for both parties. The company would be best using ADR as a solution as this would include lower cost and timely decisions could be taken that too outside the court only. The best advantage of this process is that this would take no time to come to a specified solution which is agreed upon by both parties.

CONCLUSION

It can be analysed and concluded from the above report that the English legal system involves criminal and civil laws applied in England and Wales. The statutory laws documents are also known as government provisions and bills. The Country Pine should manage all the rules and regulations in order to manage and control different business operational activities to increase profits. There is some key area in which legalisation has a great and potential impact on CP in employment, consumers, competition, health and safety and the environment.

REFERENCES

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