Legal Solution for Dispute Resolution, ddln- 4th-1 (2)
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11
Legal Solutions For Dispute Resolution
Introduction
Corporate law or Company law is basically legal practices related to corporations or
enterprises; this is the definition of corporate law in a most simplified manner. The rights,
relations, and conduct of an enterprise or the employees working in it can be governed
through company law. Corporate laws and their implementation are different for local and
international companies. International laws then come onto the path of general corporate law.
When it comes to corporate law and its implementation, there can be seen so many different
types of companies like Corporations, Limited companies, limited partnerships, and profit or
non-profit organisations for every single type of company the laws implemented are different.
Here in the case study three of the companies and their employees facing trouble have been
discussed, of which most of the cases are an example of competitive legislation of corporate
law.
Analysis of the case studies
These are basically stimulating the competition legislation (Tan et al,
2021). Uk companies
are based on incorporation policy, that grants companies limited legal
personalities, in UK
based company's board of directors are liable to maintain the company laws.
These
companies can enter the contracts and they can sue others or they themselves can be sued.
Here
in the case study legal solutions for disputed resolutions will be addressed. All the
companies taken
into account are the locals from the UK. UK companies operate in dual
track, that is used to resolve
the issues between shareholders, and another is section 116, of
the
Companies Act 1985,
this one is
basically the rule book accepted in UK.
Here three case study has analysed in terms of several branches of corporate law.
Case 1:
Analysis and application of employment laws
According to Shapira, 2020 corporate law is ruling the business world since mid 2010 and
corporate
governance is taking care of all the judicial scenario of the business world like
transactions,
accountability business behaviour, registration of the company, invitation of
shareholders, even day to
day business operation and many more subtle things that were not
paid any attention before. The
responsibility of business law is to provide legal solutions to
business owners simultaneously it protects the market abuse and the responsibilities of the
board of directors of a company.
Legal formations of each case
In the case a particular employee was appointed on a contract basis where the company,
Orange
computer promised to pay him extra commission other than his monthly salary. Once
in 2015 when
the company was going through hardship, on a request of company’s manager
he was ready to forego
his salary for the consecutive three years and when the company was
back in shape, in 2017, from the
employer’s end there was no initiative to pay his dues. Then
Gordon, the employee thought of legal
assistance.
Suggest an appropriate legal solution to each of the problems mentioned in
the cases
Now in the scenario employment law is to be considered to protect the employee’s right. It is
a means
of protecting workers from unfair treatment. Though breach of the law is a common
practice in the
business sector—akin to industry norms or ‘custom and practice’—it considers
these breaches as an
example of conflict between formal legal rules and social norms.
Employment law covers up the
contract of health and safety at work, protection against
discrimination, dismissal and redundancy.
The basic relationship between employer and
employee lies on the employment contract or contract of
service (The learning module
given). Under which the employee is promised to get proper payment
along with sick pay and
deduction in income tax. In the case considered over here first of all the employee right has
been snatched for consecutive three long years and it is a breach of contract
(Ioannou &
Duke,2021).
Provide justification for the advice and solution given;
UK prepared its separate Trade Union law, as per Freedland & Dhorajiwala,
2019, employees
are different than the workers in English Trade Union Law. As per
Employment
Rights Act
(ERA), 1996
there should be no term inconsistent with employee status. That is violated
over
here. Another lawsuit can be done with respect to the contract law. Contracts can be made
informally, it might be oral and, in some cases, neither written nor oral contract is necessary.
In
common law promise cannot have the same weightage as written contracts. In this case
there was no
such contract paper signed while forcing the employee, Gordon to forego his
salary. Hence that can
not be a charge against the employer, Orange Computer as per British
contract law.
Compare & contrast the effectiveness of these recommendations given in
your presentation;
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Critically and evaluate the use of the appropriate legal solutions suggested in
comparison with alternative legal advice.
14
Case 2:
Analysis and application of employment laws
According to Shapira, 2020 corporate law is ruling the business world since mid 2010 and
corporate
governance is taking care of all the judicial scenario of the business world like
transactions,
accountability business behaviour, registration of the company, invitation of
shareholders, even day to
day business operation and many more subtle things that were not
paid any attention before. The
responsibility of business law is to provide legal solutions to
business owners simultaneously it protects the market abuse and the responsibilities of the
board of directors of a company.
Legal formations of each case
In the second case a person, Janet has been communicated to the Virgin Media for internet and
phone
calls. The engineer installed the gadget on the scheduled date time but the connection
he left
unfinished due to absence of telephone point on the switchboard. The reason shown
was very trivial
though the higher authority after getting the complaint did not respond
quickly and the problem
resolved after almost 3 weeks, but surprising Janet the bill for the
phone line she received was
charged since internet was connected.
Suggest an appropriate legal solution to each of the problems mentioned in
the cases
Here it is a clean and clear
Breach of Contract
. As per the United Kingdom Company Law in
ordinary commercial transactions, there is a presumption that the parties intended to create
legal
relations, who asserts that no legal effect was intended, and the onus is a heavy one.
According to
Martin, Cristina & Mimi,2022, the indulgence of artificial technology in
contract law has been
affecting its key principles. In this case also the contract was verbal,
and the billing system was under control of AI technology, and AI techniques is expected to
hamper the formation or rearrangements in contracts if not entered the data accurately. Once
Virgin Media was delaying solving the problem, what may the reason was, it should have
been entered into the software, otherwise it can be charged at
Forgery.
Contract fraud
occurs
when a person knowingly makes a false statement in order to have
someone else agree to a
contract. It may come under
Negligent Misinterpretation or Fraudulent
Misinterpretation.
The company must folow the promised service which may come under breach of
contract but
once goes under
Fraudulent Misrepresentation,
it can not be misinterpret with
Phishing.
Provide justification for the advice and solution given;
According to the
Fraud Act, 2006,
the UK government defines
Fraud by false
representation
(1)A
person is in breach of this section if he—(a) dishonestly makes a false
representation, and (b)intends,
by making the representation—(i) to make a gain for himself
or another, or (ii)to cause loss to another
or to expose another to a risk of loss.
The maximum
penalty for offences under Sections 1, 7 and 9
and is
12 months' imprisonment on
summary conviction and 10 years' imprisonment on
conviction on indictment
.
Section
10 of the Act increases the maximum penalty for offences
contrary to Section 458 of the
Companies Act 1985 to 10 years' imprisonment. The maximum penalty
for an offence under
Sections 6 and 11 is 12 months' imprisonment on summary conviction and 5
years'
imprisonment on conviction on indictment.
Compare & contrast the effectiveness of these recommendations given in
your presentation;
Critically and evaluate the use of the appropriate legal solutions suggested in
comparison with alternative legal advice.
Case 3:
Analysis and application of employment laws
According to Shapira, 2020 corporate law is ruling the business world since mid 2010 and
corporate
governance is taking care of all the judicial scenario of the business world like
transactions,
accountability business behaviour, registration of the company, invitation of
shareholders, even day to
day business operation and many more subtle things that were not
paid any attention before. The
responsibility of business law is to provide legal solutions to
business owners simultaneously it protects the market abuse and the responsibilities of the
board of directors of a company.
Legal formations of each case
The third case is quite different than the other two. Here a security company is considered
with 50
employees and the overhead cost is minimal out there and one of its four prime
customers left
Blackhorse security agency with a bad debt of 1Lac Euro. As a result, the due
dates are getting
stretched for the other creditors, and one of them filed a wind-up petition in
the court which is under
trial.
Suggest an appropriate legal solution to each of the problems mentioned in
the cases
The buying and non-buying customers are protected by the Law of Tort that is applicable over
here.
(The manual provided). Actually, the creditor has been filed the petition under
Consumer Protection
Act (CPA),1987
. The claimant has filed a charge against
Breach of
Duty,
and this is the case where
the security agency might be in trouble though it was not
their fault. The bad debt of one of the
creditors has been spread through ten stakeholders. It
will be tough to get proper support on behalf of
them. Only if the agency can prove that there
was
no Consequential Damage
due to the bad debt
incurred then they may get a stay order
on winding up petition. From the creditors side it is quite
relevant to file the case, the large
amount though recovered.
When one party to a valid contract is not
complying with a
particular term, its conduct may amount to a breach. When a breach of contract
occurs, the
innocent party is entitled to bring a claim in relation to the breach and seek compensation
–
usually in the form of damages.
Provide justification for the advice and solution given;
Under English law, a
Breach of Contract
does not automatically
entitle the non-breaching
party to terminate the contract. A repudiatory breach, however, is a breach
of contract that
allows the non-breaching party to treat the contract as being at an end. The most
common
example of a repudiatory breach is a breach of condition (although a fundamental breach of
an innominate term may also be a repudiatory breach) that allows the non-breaching party to
terminate the contract and claim damages, regardless of what the consequences of the breach
are.
Here in this case only the client will face a great troubl unless and untill they cant take a
stay order. 1
lac Euro is not a less amount to forego, and of course once recovered every
stakeholder has every
right to get their proportion so, the recovery amount whether to be
distributed among the 4 early
creditors or all the 10 creditors that is to be decided.
The
principles of remoteness are given in
Hadley
vBaxendale ([1854] 9 Exch. 341)
and provide
that thefollowing losses are recoverable:
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•
All loss which flows naturally from the breach.
•
All loss which was in the contemplation of the parties at the time the contract was made as a
probable result of the breach.
There is a measure of damage to calculate the exact amount of damage. There are many other
types of
loss that have been claimed by innocent parties. Damages for disappointment or
mental distress are
not generally awarded
(Addis v Gramophone Co. Ltd [1909]AC 488
)
unless the contract is, for
example, a holiday contract
(Jarvis v Swans Tours Ltd [1973] 1
QB 233)
. Here the creditor may
charge the damage of disappointment too, and that too may
go against the client.
Compare & contrast the effectiveness of these recommendations given in
your presentation;
Critically and evaluate the use of the appropriate legal solutions suggested in
comparison with alternative legal advice
15
Recomme
ndation 500
Conclusion 150
Tan, L., Sun, J., Sundarasekar, R. and Prethi, K.A., 2021. Competition Laws and Regulations
For a Digital
Industry Platform.
https://vakilsearch.com/blog/analysis-of-corporate-laws-in-usa-uk-and
uae/#:~:text=UK%20company%20law%20is%20based,accordance%20with%20the
%20company%20law
Shapira, R., 2020. Corporate Law, Retooled: How Books and Records Revamped Judicial
Oversight.
Cardozo L. Rev.
,
42
, p.1949..
The reference book provided
Ioannou, G. and Dukes, R., 2021. Anything goes? Exploring the limits of employment law in
UK hospitality
and catering.
Industrial Relations Journal
,
52
(3), pp.255-269.
16
Freedland, M. and Dhorajiwala, H., 2019. UK response to new trade Union strategies for new
forms of
employment.
European Labour Law Journal
,
10
(3), pp.281-290.
http://www.a4id.org/wp-content/uploads/2016/10/A4ID-english-contract-law-at-a-glance.pdf
Martin, E., Cristina, P. and Mimi, Z., 2022. Contracting and Contract Law in the Age of
Artificial
Intelligence.
https://www.legalmatch.com/law-library/article/what-is-contract-
fraud.html
https://www.legislation.gov.uk/ukpga/2006/35/section/2#:~:text=2Fraud%20by%20false
%20representation
&text=(ii)to%20cause%20loss%20to,to%20a%20risk%20of
%20loss.&text=(b)the%20person%20making%2
0it,might%20be%2C%20untrue%20or
%20misleading.&text=(b)any%20other%20person.,may%20be%20ex
press%20or
%20implied
.
https://www.lexology.com/library/detail.aspx?g=20626016-2f7e-433a-818e
912437f322c1#:~:text=When%20one%20party%20to%20a,in%20the%20form%20of
%20damages.