Developing commercial awareness

Question 1

Collateral

Answer 1

Collateral isan asset that a lender accepts as security for extending a loan. If the borrower defaults, then the lender may seize the collateral.

Question 2

Disciplinary procedures

Answer 2

Your employer could start formal disciplinary action against you if they have concerns about your work, conduct or absence.

Should be in in writing, and make it easily available to all staff saying,
= what performance and behaviour might lead to disciplinary action
= what action your employer might take.
= the name of someone you can speak to if you do not agree with your employer’s disciplinary decision.

(can be in employment contract.)
(should follow the Acas Code of Practice but does not have to. If not and you win an employment tribunal against them, you could get a larger payout).

Disciplinary steps
A letter + meeting to discuss the issue.
A disciplinary decision.
A chance to appeal this decision.

Question 3

Grievance procedures

Answer 3

If your employee has a concern or problem that they haven’t been able to resolve informally, they may make a formal grievance complaint to you.

Businesses must have a written grievance procedure in place and share it with all employees. It must say how the process works and how long it takes. who the employee should contact about a grievance. how to contact this person

After a hearing of the evidence, you should let the employee know your decision in writing. The employee can appeal the decision if they aren’t happy with it.

Question 4

“contentious” and “non contentious” work

Answer 4

In short, contentious work involves some form of dispute. This often means litigation (usually as a last resort), but could also include mediation, arbitration, etc. Non-contentious work does not involve a dispute, such as ‘transactional’ work, or ‘advisory’ work.

• At some larger firms, such practice areas will actually be further sub-divided into contentious and non-contentious teams.

Question 5

ACAS CODE

Answer 5

The Acas Code of Practice isn’t legally binding. However, an employment tribunal can reduce or increase any money awarded in a case by up to 25% if the code hasn’t been followed.

Question 6

What do lawyers need to be able to understand when dealing with real people?

Answer 6

Lawyers need to be able to understand and empathise challenges which clients face such as communicating and inspiring confidence while applying the law to solve problems for clients which actually work in practice.
+ better ability to come up with practical client solutions rather than simply writing essays.

Question 7

What is the aim of law and business?

Answer 7

Bringing together knowledge of law and of business to provide context for academic study of law.

Question 8

What clients would a regional firm would deal with?

Answer 8

regional firm would deal with big and medium sized business in that region - focus on the economy within regional and on bigger firms.

Question 8

What clients would a huge international law firm deal with?

Answer 8

huge clients, governments around the world - different types of clients.

Question 9

Relevant economics

Answer 9

growing/stagnating/declining/recession? - employment levels? Rate of inflation? Interest rates?

Question 10

growing/stagnating/declining/recession

Question 11

employment levels

Question 12

Rate of inflation

Question 13

Interest rates