Title of presentation

LST2BSL
Name of presenter
Introduction to Business Law and Ethics
Title of presenter
School / Faculty / Division
xx Month 201x
Law and Government in Australia

latrobe.edu.au CRICOS Provider 00115M

Outline of lecture
Part I:
• Law(s) in Australia
• Law and business – why learn law for business?
• Business law

Part II:
• Australian legal system
• States and territories
• System of government in Australia
• Constitutional monarchy
• Federal distribution of legislative powers
• Separation of powers
• Summary
Part I
Law(s) in Australia
▫ Forms of law. Different laws in Australia
 Indigenous law
 International law
 Religious laws
 National law: laws created and enforced by the Australian
government (sources of law covered in next lecture)
▫ To understand Australia’s legal system, it is necessary to
understand the history of European arrival and
settlement.
▫ But first, some thoughts about how law and business are
connected...
Law and business
• Meanings of ‘law’ and meanings of ‘business’ -
both are defined in a particular context
(socially, culturally, economically).

• Law is essential for workings of our modern capitalist economy,

for enabling competitive markets, the production and
accumulation of profit, and for economic growth.

• By regulating the world of commerce/business, law gives a sense

of certainty, predictability and consistency to business practices
and relations. It guides the world of business according to certain
ethical standards and expectations.
Law and business (cont)
• On a practical level, law shapes how businesses function and how
people relate in the course of business.

• Law related to the conduct of business/commerce, including

business entities, business relations, business processes.
Examples include:
▫ Starting a business
▫ Carrying on a business; business practices
▫ Attending to risks involved in carrying on a business
▫ Relations with customers, suppliers, and business partners

• Legal institutions and rules are also important for resolving business
disputes (with customers, suppliers, or others).
Importance of business law and ethics
• Because so much of the business world is shaped by legal
rules and processes, it is important that people involved in
business are aware of the relevant laws and ethical standards,
and how they might apply.

• This involves legal knowledge and legal skills:

▫ Being able to identify legal issues in a particular situation;
▫ Determining which laws are relevant to these issues;
▫ Understanding how the legal rules and principles apply in the
situation;
▫ Knowing each person’s legal rights and obligations;
predicting the outcome of a legal dispute.
What is ‘Business Law’?
• Not traditionally a separate or distinct area of law.
• Many different areas of law, including:
▫ Contract law; sale of goods/services
▫ Consumer protection
▫ Tort law, especially negligence
▫ Property law; intellectual property (IP) law
▫ Business associations law: company law, partnerships, trusts, etc.
▫ Agency law
▫ e-commerce law
▫ Bankruptcy law
▫ Employment law
▫ Insurance law
▫ Criminal law
▫ Competition law
▫ Consumer credit
▫ Business ethics…
Part II
Australian legal system based on UK
• Inherited from UK upon British invasion/settlement from 1788 onwards

(this map is from 1865)

• Australia’s legal system remained connected to the UK system until recent times.
Appeals from Australian courts could be heard by the Privy Council (a UK court),
the decisions of which were binding on Australian courts. British legislation used
to apply in Australia.
• Since the Australia Act 1986, the Australian legal system has been separated from
the UK legal system. But this historical connection has an enormous influence on
Australian government and law.
 Australia’s states and territories
• 6 colonies became 6 states:
Western Australia, South
Australia, Queensland, New
South Wales, Victoria, Tasmania

• 10 territories,

2 of which are self-governing:

Northern Territory; Australian
Capital Territory. (Others are
governed by Federal govt.)
System of government in Australia
• Westminster system of government (3 branches)
• Parliamentary democracy
• Common law system (not civil law)
• Federal system of government
▫ Powers carefully divided between the federal/commonwealth
government and the state/territory governments.
▫ All the states and some of the territories have their own
government, ie they make, execute and enforce their own laws.
Colonies had law-making powers first.
▫ 9 governments: commonwealth; 6 states; 2 territories
▫ Reflects the historical colonialism in Australia, and federation on
1st January 1901.
Constitutional monarchy
▫ Australia’s head of state (or sovereign) is Queen Elizabeth II.
 But in practice her powers are limited, and the Crown acts mainly on
the advice of the other organs of government.
 The Crown is represented by the Governor-General at the
Commonwealth level, and Governors in each state.
▫ At federation, Australia was formed, or ‘constituted’, with the
Commonwealth of Australia Constitution Act 1900 (UK).
▫ The Constitution sets up the system of government, setting out
which functions and powers belong to different institutions or
branches of the government.
▫ The Constitution is very difficult to amend (as set out in section
128). This gives certainty and stability to the system of
government.
Debates about the Constitution
• Debates about the Constitution continue in Australia.

• Current examples include:

▫ Constitutional Bill of Rights

▫ Constitutional recognition of Aboriginal and Torres

Strait Islander peoples
 http://www.recognise.org.au/
Separation of powers
• The Constitution establishes a separation of powers between 3 branches or
arms of government:
▫ Legislature (parliament)
 makes laws in the form of legislation, also called statutes or Acts
▫ Executive (the crown, the chief minister and the cabinet of ministers,
controlling government departments)
 administers or executes legislation, thereby putting government policies into
effect
▫ Judiciary (courts)
 applies, enforces and interprets legislation; creates its own law through
deciding disputes, called ‘cases’
• Powers are separate, but in practice the legislature and executive are closely
connected (ministers are members of parliament).
▫ Judiciary is still largely separate and independent, though judges are appointed
by the executive branch.
Allocation of legislative powers
• Federal system: different levels of government in Australia have
different law-making powers.
• According to the Constitution, 3 kinds of powers:
▫ Exclusive powers: exercised only by the Commonwealth parliament
 Set out in ss 52, 90, 114, 115, 121, and 122
▫ Shared or concurrent powers: can be exercised by both the
Commonwealth and state/territory parliaments
 Listed in s 51
 Where conflicting legislation, commonwealth legislation overrides state
legislation, but only to the extent of the inconsistency (s 109)
▫ Residual powers: exercised only by the states
 As protected by s 107
• The states can also ‘refer’ powers to the Commonwealth if they choose
(under s 51(xxxvii)), eg Corporations Act 2001 (Cth).
Courts
• Courts exercise judicial powers.
▫ The power of each court to hear and decide cases is called its
‘jurisdiction’.
• Australia’s court hierarchy includes:
▫ The High Court of Australia
▫ Superior Courts, eg Vic Supreme Court
▫ Inferior Courts (each State and Territory)
 Intermediate Courts: District/County Court
 Lower Courts: Magistrates’/Local Court
▫ Also dedicated courts eg Family Court
Summary/Revision
• Main topics or points from this lecture:
▫ Law(s) in Australia
▫ Law and business; ‘business law’
▫ Australian legal system – historical roots
▫ Federal system of government; allocation of powers at different levels
▫ Constitutional monarchy
▫ Separation of powers; allocation of legislative powers; courts
• Start building your glossary:
▫ What new words have you learned?
 eg constitutional monarchy; exclusive powers
▫ Any words with technical legal meanings?
• Start a list/table of legal authorities and provisions
▫ eg particular sections of the Constitution
• Next: Sources of law in the Australian legal system
Extra support if you need it
• Subject Support Tutors Program (SSTP)
• For anyone who is finding the subject difficult and would
appreciate extra assistance.
• Simply contact one of the SSTP tutors for this subject:
▫ Engi Messih (E.Messih@latrobe.edu.au) – Bundoora
students only
▫ Mst Kanij Fatima (M.Fatima@latrobe.edu.au) –
Bundoora students only
▫ Jennifer Lay (J.Lay@latrobe.edu.au) – students in
regional campuses only