LO1 describe and discuss the role of law, its sources (common law, equity, statute and
European law) and the workings of the court system
LO2 describe and evaluate methods of alternative dispute resolution
LO3 evaluate the impact and effects of European law, both EU law and human rights law
Case study
You have recently been employed as a Contract Negotiator by Montague Builders Ltd., a local
building contractor that mainly specialises in renovation and small building works. The managing
director has recently become alarmed at a newspaper report which asserts that England is
becoming a ‘blame and sue’ society where too many legal cases are being brought irrespective of
the chances of success. This has led to countless hours being spent defending against such claims,
which has involved huge costs.
Reading the article has illustrated to the managing director how little he knows about the legal
system in England and Wales, or how the law of the European Union (EU) works. He asks you to
undertake research and provide him with advice on the some of the legal issues.
Note: Give legal advice, in essay format, on the following two legal issues, giving equal weight to
answering each one.
Task 1
Your employer has read that:
‘Case law still provides the bulk of the law of the country, despite the UK Parliament and the EU
continually making new laws.’
Explain the importance of case law and UK statute law as sources of English law, their relationship
with one another and the effect of European law on both these sources.
(50% indicative weighting)
Task 2
‘The Court of Appeal held in Halsey v. Milton Keynes General NHS Trust [2004] that it was ‘going
too far when it attempted to impose mediation on unwilling litigants’ in the 2002 case Dunnett v.
Railtrack.’
Your employer contracted to build an extension to the house of a client for £10,000. It was agreed
that the client would make payment in stages as the work progressed. The work is now completed,
however, the client is refusing to pay the final sum outstanding of £3,000 and is now
counterclaiming £5,000 as damages for poor workmanship. Your employer strenuously disputes the
poor workmanship and sees this as an example of the ‘blame and sue’ society. Your employer has
suggested mediation as a means of resolving their dispute, but the client refuses as he says he has
a watertight case. Your employer wishes to pursue the client for the final payment but is concerned
about the costs involved in taking legal action through the courts.
Outline the benefits of mediation, the effect of the Civil Procedure Rules 1998 and the Practice
Direction on pre-trial conduct, and the likely position regarding costs should the client continue to
refuse mediation.
