Business Law

Provide legal solutions to various disputes provided in the cases. Analyse which areas of legal solutions apply to the disputes ranging from health and safety, equality of pay claims, compromise and severance agreements, wrongful or unfair dismissal claims; corporate and commercial disputes, e.g. breach of contract, contesting a damages claim, dispute between directors; commercial property, e.g. commercial lease transactions, real estate and investment properties.

1. Analysis and application of employment laws for each case
2. Legal formations of each case
3. Suggest an appropriate legal solution to each of the problems mentioned in the cases
4. Provide justification for the advice and solution given of each case.
5. Compare & contrast the effectiveness of these recommendations of each case.
6. Critically and evaluate the use of the appropriate legal solutions suggested in comparison with alternative legal advice of each case

Case 1:

Gordon works as a salesman in the Orange Computers Ltd store. His contract of employment provides for an annual salary of 10,000 and commission payments (at 9%) on any computers and peripherals he sells. In the last three years, the commission payments have amounted to an average of 11,000 per annum.

In 2015, due to cut throat competition in the local market, the business is adversely affected. The manager, Fred, informs Gordon that the business is in severe financial trouble and that he must reduce the firm's outgoings. In response, Fred asks Gordon if he will forgo his salary for 2015, 2016 and 2017, and simply accept payments of commission. Fred explained to Gordon that this was required of him (and all other staff) or the business would probably not survive and it would have to be wound up owing substantial debts to creditors. As such, Gordon accepted the variation of the contract.

In 2016, the economy began to grow, and in small part due to governmental incentives for investment in information technology, the store has managed to trade its way through the difficult times and is making a healthy profit. As such, Gordon feels that he should be able to receive his wages for 2017 and not simply have to rely on his commission as agreed in 2015. He also wishes to know if he can claim for his wages from 2015 and 2016 as Orange Computers Ltd has sufficient profits to repay this money.

Advise Gordon whether he can obtain his wages for 2017, and also whether he would have any claim for the wages he agreed not to accept in the year 2015 and 2016. Discuss in context of contract law & employment Law.

Case 2:

After doing some research on the internet, Janet decided to call Virgin Media to arrange the purchase and installation of the internet package costing 35.00 per month, including the phone lines (monthly line rental of 11.00). The engineer came on the arranged date at 9am and installed the internet. However, he could not find the telephone point on the switchboard and suggested that he will call his supervisor and come back. Janet waited until 5pm that day for the engineer but he never returned back to complete the task. She called the Virgin Media and complained about the engineer and that she still hasn't got the phone line yet. Finally, after several calls and e-mails they sent another engineer to fix the phone line after 3 weeks.

When the invoice from the Virgin Media arrived Janet was charged for the whole package from the day the internet was installed including the monthly phone line rental. Janet is extremely upset since she believed that her phone line should be charged after 3 weeks only.

Analyse the legal position of the service provider (Virgin Media) and the consumer (Janet) on the basis of your understanding on the various elements of contract law.

Case 3:

Blackhorse Limited is a security company providing security guards to other businesses, which is one of your client. The company has 50 employees. The company has minimal overheads, apart from the "wage cost" of the employees.

The company had four main customers, the largest of which failed leaving Blackhorse limited with a bad debt of 100,000. Since that bad debt was incurred three months ago the company has recovered its previous level of turnover, but that turnover is now spread over ten customers.

The cash flow reduction of 100,000 caused by the bad debt resulted in Blackhorse limited "stretching the due dates" of the payments needed to be made to the company's creditors. One of those creditors issued a winding up petition two weeks ago and the court is to consider whether or not to make a winding up order at a hearing set to take place in three weeks' time.

Discuss the different options available to your client to avoid compulsory winding up.