Omani Legal Systems

Module Learning Outcomes

The following LOs are achieved by the student by completing the assignment successfully

1. Critically analyze the implications of National and international legal environments of businesses in the Sultanate of Oman.
   1. Use appropriate sources for general legal analysis by identifying information, legal issues and reaching conclusions based on analysis.
   1. Evaluate the concept of ethics and CSR and employ them in business practices and transactions.

Task I –CASE STUDY:

Legal systems are created for the betterment of society. These are the guidelines that work as a code of conduct for the citizens. People are equally bound to act upon these legal systems or laws, and if anyone tries to break these laws, he may suffer the consequence. It is hard to imagine a society without some legal system because if there will be no law, then there will be great chaos. Nobody will be able to get justice. And there will be conflicts between the communities and different groups. So there is always the need for a legal system that can protect the rights of the people. Legal factors do affect businesses very much in different ways. First of all is the trust factor – trust amongst businesses. Contracts and money transactions, banking system are the basics for business to even start with. Then come other serious things like labour laws, environment laws, tax laws, regulatory policy, sector specific policy, SCR, international trade laws, insurance laws, etc. The Omani Law of Arbitration in Civil and Commercial Disputes meant to settle disputes arising from economic activity such as those related to “supply of goods or services or commercial agencies, construction contracts, contracts relating to engineering or technical expertise, grant of industrial and tourism licenses, etc., transfer of technology, investment, development contracts, bank operations, insurance, transport, exploration and extraction of natural wealth, power supply, laying of gas and petroleum pipe lines, building of roads and tunnels, reclamation of agricultural lands, environmental protection and establishment of nuclear reactors.”

The promotion of sound industrial relations is a critical part of effective labour market governance. It requires an effective system for the prevention and resolution of labour disputes. There are times when the relationship between workers and employers and their respective organizations will be harmonious and cooperative; at other times there may be disagreement and conflict. Some conflict is inevitable in any employment relationship and accepted as normal. The inevitability of labour conflicts, however, does not mean that they should be ignored. Conflict can develop into a dispute with negative consequences for the parties involved and the broader economy and thus needs to be managed. Ideally, conflicts arising within the workplace can be prevented from escalating into formal disputes that then require the intervention of third parties, including State institutions. Strengthening dispute prevention and resolution within workplaces is thus of fundamental importance. However, it is also necessary to consider the various arrangements outside the workplace that can assist employers and workers and their organizations to resolve their disputes through processes such as voluntary conciliation and arbitration, without resorting to the court system. Providing a voluntary, free-of-charge, and expeditious mechanism for labour disputes settlement as required by ILO standards is therefore crucial. 

Covid-19 pandemic caught the world by surprise, spreading like wildfire and causing fatal illness and economic hardship for individuals and organizations alike. The implications of the pandemic’s spread have resulted in widespread socioeconomic disruption, halting supply chains, global trade, the ways businesses and organizations access finances and other associated “normal” business activities. Large businesses and enterprises pulling together and offering support to their smaller counterparts as part of their corporate social responsibility (CSR) initiatives. CSR is nothing new and is usually used in softer contexts than a global pandemic, like companies that announce they are “going green” by paying to offset their carbon emissions or donate a percentage of sales to an on-brand charity. In short, CSR is about the obligation of companies to do “good” and convey to the wider public that they are a “good” company with “good” values.  (Source: ILO, Oman Labour Law, Allied Source)

Case Study Questions:

1. Examine the role of Legal System in controlling the businesses in Oman. What are the penalties levied when employer violates rules and regulations pertaining to business in Oman. (30 Marks, word count: 400 words).
2. Explain in detail about the mechanism followed for handling labor disputes in Oman. (30 Marks, word count: 400 words).
3. Critically analyze the role of Corporate Social Responsibility (CSR) during pandemic (Covid-19) in  Oman with a suitable corporate example.(30 Marks, word count: 400 words).

Rules & Regulations:

• All resources should be cited and referenced by using APA 7^th edition  style.
• The final assignment must have a Title page, Table of Contents, References/ bibliography using APA 7^th edition  Style and page numbers.

Guidelines:

• Assignment must be computer typed.
  • Font – Times New Roman
  • Font – Style – Regular 
  • Font – Size – 12 
  • Heading should be with Font Size 14, Bold, Capital and Underline.