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Qualification - OTHM Level 6 Diploma in Accounting and Business
Unit Name - Corporate and Business Law
Unit Level - Level 6
Unit code - L/617/4375
Unit Credit - 20
Assignment Title - Corporate and Business Law
Learning outcome 1: Understand key elements of the English legal system.
Learning outcome 2: Understand English legislation relating to anti- competitive practices.
Learning outcome 3: Understand intellectual property rights.
Learning outcome 4: Understand the legal relationship between business organisations and their consumers.
Learning outcome 5: Understand the legal background relating to limited companies.
Aim: This aim of this unit is to develop learners' understanding of the concepts and principles of English Corporate and Business Law. The unit will provide learners with the opportunity to apply these concepts and principles to practical situations.
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LO1
Legal system: unwritten constitution; parliamentary governance; head of state; royal prerogative; legislature and judiciary; civil and criminal court structure and hierarchy; burden of proof; judicial review; people in legal system (e.g. magistrates, judges, barristers, solicitors).
Sources of law: acts of parliament; common law and equity; case law and precedent; European law; how laws are made; how laws are enforced; legal principles; remedy of damages; key cases.
Obligation and contract: offer, invitation to treat, acceptance, intention to create legal relations, considerations, terms and representations vitiating factors; discharge and breach of contracts; conditions; warranties; innominate terms; contractual terms; exclusion clauses; duress and undue influences; misrepresentation.
Insolvency and administration: definitions of bankruptcy, receivership, administration and insolvency; Legislation (e.g. Insolvency Act 1986; Enterprise Act 2002; The Insolvency (England and Wales) Rules 2016; current legislation and regulations including relevant company law); process of administration and liquidation; voluntary arrangements; personal liability of directors (duties, wrongful trading, fraudulent trading, delinquent directors, disqualification).
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LO2
Legislation: purpose of laws on monopolies, mergers and anti-competitive practices; Competition Act 1998; EU regulations (Articles 101-102 of the Treaty on the Functioning of the European Union and implementing regulations); other current, relevant legislation; impact; penalties; examples of cases and investigations; regulator and enforcement (Competition and Markets Authority - CMA).
Impact on business sectors: application to specific business sector; risks for sector; examples of effects on sector; negative and positive impacts for businesses and consumers.
Impact on international trade: issues and risks of cross border trading and legislation; cases and examples; work of World Trade Organisation (WTO) on competition.
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LO3
Forms of intellectual property: works of authorship (e.g. books, films, written documentation, drawings); information (recipes, commercial information, trade secrets); brands; inventions; product features.
Intellectual property protection: types (patent, copyright, trademarks, general information security); applicability of different protection to different intellectual property); processes for registration where applicable; infringement (e.g. copying products or works, using trademarks, stealing information or patents); remedies for infringement; time limits on protection; costs of registration; international protection.
Importance for a company: identifying intellectual property in a business; identifying protection available; actions that can be taken against infringement.
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LO4
Consumer protection legislation: Consumer Rights Act 2015; Trade descriptions Act 1968; Consumer Protection Act 1987; Consumer Credit Acts 1974 and 2006; Consumer Protection from unfair Trading regulations 2008; Consumer Contracts regulations 2014; Advertising Code; other current legislation; for each area - purpose, key features, enforcement, infringement, penalties, relevant cases and issues, and consumer rights.
Remedies for buyers and sellers: return of goods; compensation; money back; replacement of goods; rectification; legal action; complaint to relevant bodies.
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LO5
Formation and constitution: Companies Act 2006 requirements; Limited Liability Partnership Act 2000 requirements; formation of limited companies, public limited companies (plc), limited liability partnerships (LLP); memorandum and articles of association; registration with Companies House; company names.
Capital and financing: types of shares and guarantees; liability of shareholders; capital requirements; sale of shares; shareholder registers; dividends; meeting financial liabilities; solvency; taxation.
Management and administration: separate legal personality; implications of limited liability; directors; directors' duties; distinction between directors and managers; record keeping and reporting requirements (annual accounts, annual return etc.); registers of directors/shareholders; insurance requirements.
Implications of fraud and criminal behaviour: offences e.g. wrongful trading; insider trading; personal liability of directors; penalties; example cases and issues.
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Learning Outcomes- The learner will:
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Assessment Criteria- The learner can:
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1. Understand key elements of the English legal system.
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Describe the key features of the legal system.
Explain the sources of law.
Analyse the law of obligations and contracts.
Outline the key features of insolvency law and administration.
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2. Understand English legislation relating to anti- competitive practices.
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Explain legislation relating to monopolies, mergers and anti-competitive practice.
Assess how legislation relating to monopolies, mergers and anti-competitive practice affects a specific business sector.
Explain the impact of legislation relating to monopolies, mergers and anti-competitive practice
on international trade.
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3. Understand intellectual property rights.
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Identify different forms of intellectual property.
Explain the protection available for intellectual property.
Assess the importance of intellectual property protection for a specific business organisation.
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4. Understand the legal relationship between
business organisations and their consumers.
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Explain the legal rules that relate to the sale of goods and provision of services.
Assess the statutory provisions on buyer's and seller's remedies in given situations.
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5. Understand the legal background relating to limited companies.
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Outline the formation and constitutions of limited companies.
Explain the capital and financing of private and public limited companies.
Outline the key regulatory requirements for management and administration of limited companies.
Assess the implications of corporate fraudulent and
criminal behaviour.
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