Business Law Assignment Framework

Business Law Assignment Framework

SECTION A: Sources of Qatar Law

For Muslims, Sharia law is more than just religious ceremonies; it regulates many areas of their daily lives. Those who adhere to Sharia law may use its principles and standards to influence crucial life choices, such as those relating to money and investments. Islam provides a framework for all human relationships, whether Muslim or not, with God, one another, and all of creation as a whole, including those between people of all faiths. Basic Law of Governance specifies the Shoura Council as one of the State'sState's authorities. Councilors are committed to upholding the general good, the Kingdom's integrity, and the Community, State, and entity's cohesion. The King appoints a president and 45 members of academics, professionals, and specialists to serving in the Shoura Council. H.H. Emir refers to the highest-ranking officer in the government or the president of the country. In Qatar, the current Emir is Tamim Hamad. He signs all the bills that the parliament passes into law. 

The Role of Government in Law-making

The legislative process has four distinct stages. The involvement of the government is critical at every phase. The government branch of executives proposes legislation: First, the government gathers information about the country's current situation and devises a strategy for enacting new laws. Afterward, they first submit this legislation to the parliament in the chambers. It is their job to explain each legislation in detail and make it understandable to everyone. The governments proposed legislation is enacted into law by parliament (the legislative branch) (Morgan, 2015). A piece of legislation becomes law when both the people and the legislature agree that it is necessary and beneficial to society. In the event that a customer is dissatisfied with the provision of backup or payment, it is possible to challenge and terminate an agreement.

The Role of the Shoura Council in Law-Making

 Shoura Council Oversight Role

In other words, the Shoura Council was not supposed to be an oversight committee or a parliament that held the government responsible for public policy or the ministries accountable for their particular tasks. Instead, it serves as an advisory body that provides non-binding advice to decision-makers. Consider the Shoura Council's composition when analyzing its relationship to the Executive. Here, we'll focus on two facets of the relationship: One addresses the government's political responsibility before the Shoura Council, while the other addresses the Shoura Council's function with the State budget.

Issuing Legislation

The constitutions of various countries may be changed in several ways, depending on the constitutions. In certain countries, amendments to the constitution must be voted on in a referendum, whereas in others, only parliaments may make changes to the articles, using methods and a majority that differ from those used to pass customary laws.

Amending Articles of the Constitution

There are a multitude of ways to amend the constitutions of different countries, depending on the constitutions themselves. Some constitutions require that revisions be put to the vote in a referendum. In contrast, some parliaments may modify the articles, using procedures and a majority that vary from those used to issue regular legislation. As a result, any item of the constitution that is susceptible to amendment 52 may be requested to be amended by fifteen members of the Shoura Council (Alavi 2016). It further stated that the Council was allowed to debate any modifications to its provisions. As a result, the Emir or members of the Council ask for constitutional amendments. Two-thirds of the Council members must approve the modification before it can be considered.

Legislation

The Shoura Council, as stipulated by the constitution, has legislative power. New legislation may be proposed by a Shoura Council member and then reviewed by a committee of the Council. Refers back to Council after careful consideration. As long as the Shoura Council agrees to this plan, it will be sent to the Cabinet of Ministers for their evaluation and review. Legislative ideas may also be submitted to the Shoura Council for consideration by the Cabinet of Ministers. The Shoura Council is not bound by the recommendations of the Cabinet of Ministers. It is within the Emir's power to reject draft legislation and return it to the Council for further consideration (Mednicoff and Springe 2014). If the Shoura Council re-approves the rejected draft legislation, the Emir will accept and implement the law. If the Emir decides that suspending the legislation is in the most significant interest of the state, the law will be suspended indefinitely.

Qatar Court Structure

Under the Judicial Law enacted by Law No. 10 of the Year 2003, the judicial system has been separated into three stages: the first-instance courts, second-instance courts, and third-tier courts. Written pleadings and rebuttals are the foundation of civil trials. Oral arguments are the mainstay of criminal trials. All judicial proceedings are held in Arabic. As a service to litigants who cannot speak Arabic, interpreters are available. It is possible to appeal lower court decisions to the courts of appeal, and in most instances, it ends up at the court of cassation. The Government of Qatar has elected to use the Napoleonic Code accepted by Egypt for the Middle East. Judges are sworn to uphold the rule of law in all they do, including making and enforcing their judgments (Mednicoff and Springe 2014). Unless the court decides to hold a closed session on its own or by the interested party, there is no need for one. If the common good or public order is better served by doing so. Sentences are always read aloud in front of an audience. If a non-Arabic speaker or witness testifies via an interpreter, they must swear an oath of truthfulness, integrity, and sincerity, which they are compelled to respect in the courts.

Justice can be found in several places, the most notable of which are The Criminal Court, which has two divisions: Lower and Upper, as well as the Civil and Administrative Departments. Further, the Civil Court has two divisions: Lower and Upper, as well as Civil and Administrative Divisions. The Court of Appeals has a total of three divisions: Criminal as well as Civil as well as Supervisory. However, minor felonies and misdemeanors are handled by the Lower Criminal Court where the lower penal court judge is the only judge in charge of the proceedings (Alavi 2016). Therefore, the court is responsible for deciding all instances of significant criminality and appeals against subordinate criminal court penalties for minor crimes.

Non-Muslims' personal status and civil and economic disputes are handled by the Higher Civil Court. Aside from resolving disputes with the Lower Civil Court, it also has appellant jurisdiction. The court consists of three justices, the most senior of whom serves as President of the Higher Civil Court and presides over the proceedings. Disputations about government contracts and policies are heard by the Administrative Court, which renders verdicts on appeals from administrative measures (Mednicoff and Springe 2014). There are three judges on the Court of First Instance's inferior circuit. To hear appeals from first-instance court judgments and to exercise preliminary jurisdiction over applications relating to the superior appellate circuit.

As a three-member court, the Court of Appeal reviews appeals from the higher criminal, civil, and administrative and labor courts, which have given punishments. Skiba, Kovsh, and Myakhanova (2020) suggest that the Court of Appeal's judgments are referred for consideration and final decision-making Legislation No. 6 of 2007 that created a new section of the Court of Cassation. This court hears cases regarding rent, including those that have to do with major permitting and enforcement issues. The tribunal's decisions have an important influence on the day-to-day operations of companies and people in Qatar. There is an appeals process for the decisions of this tribunal. Agreements between two or more parties, which are enforceable by law and lawful are categorized contracts (Alavi 2016). Every nation has a contract law system because this legislation is used daily in numerous transactions.

Patent and trademark law: These laws regulate the ownership and use of one's inventions. Intellectual property includes everything from music to software. These are protected by copyright, trademark, and patent. It is a civil dispute referred to as a tort. For example, someone falls to the ground at a store due to certain unsafe accessories while out shopping. There is a plaintiff and a defendant in this case, with the business owner being the latter.

 Tax law: This is the government's way of assessing people's earnings and assets. Tax law, for example, mandates that individuals pay the government a portion of their income and property. The tax code is rigorously followed.

Environmental law: This law governs how humans interact with the natural world. In addition, this legislation seeks to protect the environment. There is a lot of attention paid to environmental concerns in this area.

How Statutory and Common Law is Applied in Courts

Parliament passes laws, which are then applied to specific instances by judges in that system. The jucial system interprets the law and give a verdict related to another earlier case. This kind of legislation is referred to as common law since judges in court enact it. In such as case, the judgment is based on a judge's conscience after considering all the evidence (Hamzeh 2014). Common law is implemented when it comes to the courts. It is known as a statutory law when a government agency issues it. Judges in the judicial system implement laws after they are passed in the parliament and signed by the president. Thus, statutory regulations are implemented in the courts of justice.

Qatar passed a new Civil Law that included important definitions like a natural person and legal entity, as well as principles like the legal capacity to sue and be sued. The new statutory law applies to time limits and territorial jurisdictions, and other important concepts like these. It outlines the procedures to be followed when entering into a contract and its responsibilities (Powell 2015). It lays forth the fundamentals of a contract, such as the parties involved, the subject matter, and the agreement's overall goal. It also addresses contract cancellation, construction, binding nature, and impact.

Freedom of contract and its sacredness are acknowledged as fundamental principles of civil law in Qatar. Contracts are considered to be binding agreements between contracting parties. It is permissible for natural and legal individuals to agree on anything as long as it does not violate the law, public order, or morals. It is generally accepted and enforced in court that contracts made orally or by the parties' actions are valid and binding. Additionally, Civil Law deals with the interpretation of contracts, liability for individual acts, the obligation for actions of third parties, shareholding responsibilities, moral certainty, punitive damages, land law (including mortgage), inheritance, special rights, and gains (Mednicoff and Springe 2014). Performance, compensation, coercive execution; transfer of ownership; innovation; the difficulty of performance; and the statutes of limitation are also covered in this text.

Family law, succession, and several criminal crimes are all governed by Sharia law. An Arab woman's evidence may be valued at about half what an Arab man is in Sharia-based family courts, and an Arab woman may even be excluded altogether. It was until 2006 that codified guidelines for family law were created (Lindsey 2012). Drinking too much alcohol or having an extramarital affair may get a person flogged in the Middle East country of Qatar. Kamrava (2017) note that the penalty for adultery in Qatar is 100 lashes, according to Article 88 of the country's criminal law.

Law and the Legal System in Terms of Recent Reforms and Developments

Primarily, law is not a static entity. In every culture, lawmakers have constantly amended the laws to keep them current with the times and circumstances of the day. The reforms are crucial as they make a dynamic law that fits the new changes in the economy and country.

The Qatari Parliament has made an excellent move since upgrading its legal system and hence transforming economic landscapes. For Qatar, legal system development is a vital component in becoming a great nation (Kamrava 2017). For instance, States continue to attempt to improve their laws according to their system to maintain equilibrium in the economy. The country has gone against the popular theory that legal changes and advances are unsustainable in the short run. For instance, Qatar recently modernized and strengthened its legal system, resulting in a very effective and sustainable legal design (Powell 2015). Thus, the analysis of the potential implications of the law on a business must be done by indicating how the different commercial impact businesses.

Impact of Company, Employment, and Contract Law on a Business

Product and service offerings from various businesses might help solve consumers' concerns in the market. When companies engage in these activities, they are subject to what are known as business laws. The government and legal system create and safeguard these rules and regulations. Informing new businesses of the necessity to adhere to various legislation is one way these regulations have a significant influence on every firm. As a result, the major aim of these company rules is to safeguard both companies' and their consumers', as well as workers', interests.

Companies, employees, and contracts are all subject to various laws that must be adhered to throughout business. Companies in Qatar are governed by the Qatar Company Act 2006 (David and Brierley 2018). These provisions have a variety of consequences on these organizations' business operations. Therefore, company law serves as the foundation for all commercial entities in the State of Qatar.

Business organizations might be private or public or limited, or partnership-based. The company act applies to various entities that revolve around complying with the business activities, procedures, paperwork, and other requirements must be followed. Companies cannot do what is best for them since they must adhere to all policies and guidelines. As an example, only 50 shareholders of a private limited company are eligible to participate in the plan. Private companies should adhere to this stipulation as well. While this may be beneficial for a company with little money, it might have a detrimental influence on its financial situation.

Laws governing the workplace have some repercussions for businesses. Although it is used to protect workers' rights, it may have positive and harmful effects on a company. Companies enter into agreements with one another on a variety of interests and contract law dictates that the terms and conditions must be observed (Hamzeh 2014). Therefore, when an organization fails to adhere to the terms and circumstances, it will be penalized as per the stipulated laws.

The Potential Impacts of Regulations, Legislation, and Standards on a Business.

Corporation may be affected by regulations, laws, and standards. Regulation is a kind of government or regulatory agency directive that is enforceable by law. The Qatari government has defined standards for commercial operations that all organizations must observe. Corporation are constrained by specific rules and cannot go beyond them. Every company is under the thumb of the government as a result of these rules. Similarly, the legislative body passes Government-approved legislation.

Legislation may have a huge impact on businesses. For instance, business operations will function smoothly if laws favoring retail commerce are passed (Hamzeh 2014). Otherwise, they will be forced to suffer due to any harmful laws aimed at their firm. For instance, customer lawsuits for defective goods are inevitable in the business world. Further, a company must always provide high quality commodities as stipulated in the law and during the licensure. As a result, the government's legal framework imposes obligations on businesses to maintain their standards and follow all relevant laws and regulations.

Critical Evaluation of the Qatar Legal System and Laws

 Criminal law and civil law are both parts of the legal system of Qatar. As a general rule, judges write these laws, then adopted by parliament. Legal systems are designed to keep society under control, ensuring that no negative things happen in the community and that everything is normal (Diop, Johnston, and Le 2015).Thus, it has the primary responsibility of instilling moral values in the minds of those it serves.

 Qatar's judicial system's goal is to provide justice to its citizens. Even the most powerful techniques in the world can't compare to Qatar's legal framework. People and organizations must adhere to the same set of rules. A single infraction would result in severe punishment in Qatar. As a result, Qatar has strict regulations and standards in place to guarantee both the citizens and companies are protected from crime and lawlessness.

Different Types and Classification of Business Organizations

Sole proprietorships and partnerships constitutes the common forms of business. Forming any of these kinds of business entities requires the completion of specific legal requirements. In developing a legal business organization, it is necessary to complete the formation process of all of these organizations. As a result, legal forms are critical to all organizations to allow adherence with the commercial laws of a given country (Mitchell and Fontana 2015). For instance, in a sole proprietorship, the firm is owned and operated by a single individual who is also the only employee. The business is funded by the owners or relatives. Additionally, this person is in charge of running the company on a daily basis. As a result, there are no legal requirements for this type of company structure.

A partnership is formed when more than one person joins forces to run a business. Due to the greater risk and opportunity in a partnership, legal procedures must be followed. The first process in the formation of partnership involves a name search. If the name chosen has already been taken by another business, one should use the registration office to file a name change. Secondly, signing a contract outlining the partnership's terms and conditions. Thirdly, obtaining a certificate of incorporation on behalf of the partners and the organization's chosen name. It ensures that business has a trade license that is approved to operate the firm. However, the business and get funds from Sacco’s, member’s contributions and loan from banks.

Limited liability Company is formed by a maximum of 50 members who have limited liability. The business is safeguarded since it represents a legal entity, and the owners are protected as a result. Several complexities are involved in establishing a partnership business venture. The primary challenge involves deciding on a site where to set up the business (Mitchell and Fontana 2015). Selecting a board of directors for a business. Incorporating an LLC and signing the agreement. AOI is the LLC abbreviation. Begin by obtaining a business license from the proper authorities.

Additionally, there exist non-profit organizations that exist to benefit the people of the community and make their lives better. Following a legal formation, a procedure is also required, outlined below. Legally, the first process involves choosing a name for the company and later setting the corporation's executive committee. The last process involves setting up the AOI and signing it offsets the rules and regulations of a company.

Management of Business Organizations

Managing effectively is a challenge in today's market when intense competition. Good management is required in all firms to succeed. An organization's business processes must be organized to be efficient and successful; a strong management team can easily maintain this structure. The HR, finance, and marketing departments need to be well supported in running a firm effectively (Mitchell and Fontana 2015). An efficient communication system, a sound brainstorming system, an inclusive atmosphere, and adequate distribution of power are all things that companies need to run their operations more efficiently.

A corporate organization's ability to carry out its operations depends heavily on its access to financial resources. These funds are managed both internally and externally by organizations. Retained profits, debt, and equity capital are the three most important funding sources for a corporation (Powell 2015). Profits from business organizations are retained earnings; debt capital is money loaned from a financial institution, and equity capital is the value of the company's stock. 

Section B: Masraf Trading Alternative Dispute Resolution Strategies

An efficient method for resolving disputes may assist organizations by ensuring they constantly use the most suitable methods of resolving disputes. Disputes are inevitable in every company, no matter how large or little. Dealing with a conflict in a constructive manner may help the organization accomplish its goals while saving money, avoiding legal liability, and maintaining its good name (Ely 2013). For instance, Masraf Trading Inc. does not want to affect the reputation of Global Manufacturers Company by avoiding to initiate the legal suit in the court of law. Thus, if the two businesses fail to handle conflicts effectively, it could lead to adverse effects on their internal and external relationships as well as their morale in conducting business.

A successful conflict resolution plan may help an organization guarantee that it applies the most suitable types of dispute resolution on a regular basis. In Masraf Trading Inc. vs. Global Manufacturers Company case, the strategy has to represent the company's mindset, be adaptable, and be outcome-focused in order to offer value to the organization. Such a strategy has as its ultimate aim the management of conflicts in a manner that is beneficial to the company, while also being cost-effective and maintaining the reputation of that organization.

Negotiation, litigation, and arbitration are the most used methods of resolving disputes in business. As with every legal process, litigation and arbitration have their downsides. ADR comprises a wide variety of alternatives for resolving conflicts, which sit between litigation and arbitration and negotiation. Mediation, expert decisions, adjudication, and early neutral assessment also include some of other options of ADR (Alavi 2016). However, mediation is the most often employed option of Alternative Dispute resolution.

Undeniably, Alternative Dispute Resolution involves using other strategies rather than the legal suit to solve disputes. The parties maintain control of the process and eventual outcome during mediation, which is often referred to as facilitation. An impartial mediator assists the parties in attempting to reach an agreement on a resolution to their issue. The parties are responsible for the negotiation's substance and any agreement reached (Jaggi and Low 2015). A session may be initiated in a variety of ways. The mediator listens to both parties and supports them in identifying the issues at stake in the conflict, presenting resolution options, and assisting them in negotiating a settlement.

Depending on the parties' demands, mediation may take several forms, such as the following: direct communication between parties is encouraged during this procedure. Mediation should be explored if there is a desire to maintain a connection between the parties. The appropriate ADR process to utilize in a conflict between family members, neighbors, or business partners may thus be mediation. An impartial third party may facilitate productive and non-threatening communication between the conflicting parties involved (Powell 2015). However, the Parties can seek mediation in the litigation process, even during appeals.

Arbitration

Arbitration is the ideal alternative to lawsuit if you want something more official. Qatar is a country where arbitration is more prevalent than in other countries, and the standards of proof tend to be more lax. Each party may present facts and arguments during the hearing. It's not clear what the parties are talking about, however. The award is often supported by a justification, unlike other forms of ADR.

Arbitration in Qatar comes in two categories: binding legal and unenforceable agreement. There is no need for a trial for contracts with arbitration clauses if the subject goes via arbitration. An arbitrator's ruling is not binding, so parties may go to court if they disagree. Courts may charge fees and penalties if their ruling does not outweigh an arbitration verdict (Powell 2015). However, there are circumstances when the parties’ desire a neutral third party to decide the disagreement, but they also wish to save the time and money involved in a court trial. Therefore, when the parties prefer a decision-maker who is knowledgeable on the issue of the dispute, the strategy would be cheaper on both parties.

Several advantages come with choosing to go through an arbitration without the assistance of counsel. For instance, by enforcing formality, one may reduce the likelihood of bad faith behavior. The final verdict is either binding or advisory, depending on the parties' intentions. Time and cost might be influenced by inadequate collaboration and inefficient processes. When a matter is taken to court, it is called litigation. Conflicting views on how a disagreement should be resolved may be brought before a judge, who will provide a decision based on what the parties believe is fair and appropriate (Ely 2013). In general, it refers to a lengthy and sometimes challenging procedure.

Negotiation

The goal of negotiation is to agree with two parties at odds with one another. There is a lot of back-and-forth during a negotiation between the parties or their representatives. Each side should consult a lawyer before any negotiations. By working with an attorney, each party may clearly understand their responsibilities and obligations to the problem they are trying to address. Preventive diplomacy may be used to prevent a dispute from escalating.

Resolving disagreements saves both time and money. It enhances communication, hence increasing the likelihood of a beneficial result. A simple and expeditious method of resolving problems, which is less stressful. It may help maintain or strengthen the connection between parties through improving communication. It is possible to create a solution to meet the interests and underlying concerns of the parties, solve legal and non-legal difficulties, and provide remedies not accessible via adjudicative methods (Alavi 2016).In the case of Masraf Trading Inc. vs. Global Manufacturers Company, there would be a higher degree of satisfaction and compliance with settlements when both parties get actively engaged in creation of negotiation guidelines. Even if a resolution is not achieved, it may help explain and limit the concerns and develop a spirit of openness, cooperation, and collaboration. Therefore, mediation would not force parties to disclose facts or tell the truth; this would be a matter of consideration for individual parties.

Comparing the Different Legal Solutions an Advising Masraf Inc.

Mediation and Negotiation

Arbitration and Mediation

Evaluating the Effectiveness of the Legal Solutions and Legal Advice

The four dispute resolutions are applicable in Masraf Case. The litigation would be crucial in the case since the inconvenience caused Masraf to lose money. This means that the defendant would have to pay for the expenses and the losses incurred due to the delay of the product (Hamzeh 2014). However, Masraf would like to maintain a good relationship with the defendant and hence would opt for a friendlier alternative that would not hurt their relationship. Thus, Masraf may not know about the outcome that might end up costly on its side.

 Mediation would be among the best alternatives that would not hurt the relationship or the defendant's reputation. This would aim to improve the relationship between the two businesses and continue to do future business. Mediation allows a peaceful outcome where both parties agree on a win-win situation (Mitchell and Fontana 2015). However, direct participation would allow the two parties to air their grievances and understand where they can compromise. Therefore, the parties would need to discuss the problem and narrow it down to the most pressing issues that can be solved to save the situation. However, if one party withdraws, the problem would escalate and leave both parties worse off than before.

The results of mediation and negotiation would be almost similar depending on how either party would behave if the parties collaborate. The outcome would benefit both sides; however, if there is a withdrawal, the business relationship will crumble and lead to long-term hostility between the firms. Lastly, arbitration would be the least favorable for Masharaf, considering the need to protect the defendant's reputation. However, a well-coordinated process would lead to fair judgment between the two parties. Therefore, there would be a lack of confidentiality and pricy since both firms would table all the evidence that may spill to the public.

Conclusion

In summation, businesses operate to make money by meeting the needs and wishes of their clients. This may lead to harmful practices for workers, consumers, and society. The legal system created business law, which established boundaries that all businesses must adhere to avoid legal repercussions. Various types of business legislation are involved, and the process begins with establishing a company and concludes with its dissolution. To keep the market in check, governments and the legal system enforce many rules and regulations. 

References

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