Civil law regulation of the provision of legal services to business entities

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Palvanov, A. (2022). Civil law regulation of the provision of legal services to business entities. The American Journal of Political Science Law and Criminology, 4(01), 86–92. https://doi.org/10.37547/tajpslc/Volume04Issue01-14
Aziz Palvanov, Tashkent State University of Law

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Abstract

Reforms are a multifaceted and lengthy process, the most important areas of which are the creation of perfect legislation, ensuring its unconditional implementation, improving the legal culture of the population and officials, a clear definition of the rights and obligations of citizens, state authorities and administration. An important role in this process is played by the activities of state authorities and administration, as well as legal services of economic entities. Legal service of these bodies and economic entities - from the process of preparation, legal expertise, adoption of draft regulatory legal acts to ensuring their implementation; conclusion, amendment, termination and execution of business contracts; ensuring the safety of property by legal means; compliance with labor legislation and strengthening labor discipline; protection of the rights and legitimate interests of the relevant authorities and business entities in courts and other organizations; takes an active part in legal education. As you know, the role and importance of the legal service in the formation of the rule of law and civil society is increasing. Therefore, a scientific and practical analysis of issues related to the concept and essence of the legal service, the improvement of the foundations of the legal regulation of its activities, as well as the legal foundations and specifics of the activities of the legal service in foreign countries is required. In addition, there is a need to study the system, legal status and main activities of the legal service based on a new approach. Therefore, along with a systematic study of the legal service system in the Republic of Uzbekistan, its legal status, the main activities of public authorities, economic management and legal services of economic entities, there is a need to develop sound conclusions, proposals and recommendations from the point of view of legal science and practice.

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86

Volume 04 Issue 01-2022


The American Journal of Political Science Law and Criminology
(ISSN

2693-0803)

VOLUME

04

I

SSUE

01

Pages:

86-92

SJIF

I

MPACT

FACTOR

(2020:

5.

453

)

(2021:

5.

952

)

OCLC

1176274523

METADATA

IF

7.659















































Publisher:

The USA Journals

ABSTRACT

Reforms are a multifaceted and lengthy process, the most important areas of which are the creation of perfect
legislation, ensuring its unconditional implementation, improving the legal culture of the population and officials, a
clear definition of the rights and obligations of citizens, state authorities and administration. An important role in this
process is played by the activities of state authorities and administration, as well as legal services of economic entities.
Legal service of these bodies and economic entities - from the process of preparation, legal expertise, adoption of
draft regulatory legal acts to ensuring their implementation; conclusion, amendment, termination and execution of
business contracts; ensuring the safety of property by legal means; compliance with labor legislation and
strengthening labor discipline; protection of the rights and legitimate interests of the relevant authorities and business
entities in courts and other organizations; takes an active part in legal education.

As you know, the role and importance of the legal service in the formation of the rule of law and civil society is
increasing. Therefore, a scientific and practical analysis of issues related to the concept and essence of the legal
service, the improvement of the foundations of the legal regulation of its activities, as well as the legal foundations
and specifics of the activities of the legal service in foreign countries is required. In addition, there is a need to study
the system, legal status and main activities of the legal service based on a new approach. Therefore, along with a
systematic study of the legal service system in the Republic of Uzbekistan, its legal status, the main activities of public
authorities, economic management and legal services of economic entities, there is a need to develop sound
conclusions, proposals and recommendations from the point of view of legal science and practice.

Research Article


CIVIL LAW REGULATION OF THE PROVISION OF LEGAL SERVICES TO
BUSINESS ENTITIES

Submission Date:

January 09, 2022,

Accepted Date:

January 20, 2022,

Published Date:

January 30, 2022

Crossref doi:

https://doi.org/10.37547/tajpslc/Volume04Issue01-14


Aziz Palvanov

Independent researcher, Tashkent State University of Law, Tashkent, Uzbekistan

Journal

Website:

https://theamericanjou
rnals.com/index.php/ta
jpslc

Copyright:

Original

content from this work
may be used under the
terms of the creative
commons

attributes

4.0 licence.


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KEYWORDS

Legal service, legal status, lawyer, contract, law, business entity, right, obligation, legal protection, document.

INTRODUCTION

The emerging economic system and an increasing
number of business entities in it require the protection
of their rights and interests through the legal
regulation of relations between them. Legal
regulation, in turn, is aimed at strengthening the
participation of entities carrying out business activities
on the basis of entrepreneurship in market relations. In
a market economy, the freedom of contracts is of
particular importance, and in the regulation of directly
existing economic relations, contracts occupy a
paramount place. Contracts are a particularly
important tool in the legal support of economic and
economic turnover between business entities. By
concluding an agreement, economic entities establish
among themselves economic activities for the
purchase and sale of goods, ordering and performing
works and services, and providing production with raw
materials.

The main purpose of concluding any contract is to
achieve the goal pursued by its conclusion, that is, its
execution. The performance of the contract is based
on certain principles, and non-observance or deviation
from these principles and non-fulfilment of the terms
of the contract are qualified as a breach of the
contract. Violation of the contract entails a break in the
chain of economic and economic ties between
economic entities and, in itself, distrust in relations
between

counterparties

(counterparties-partners

under the agreement). Moreover, the violation of
economic agreements creates negative consequences
both for the country's economy and can cause a

decrease in the growth rates of the gross national
product in the country. Therefore, a special place in
ensuring contractual discipline and shaping the
contractual culture of economic entities is occupied by
the establishment of legal liability and the formation of
appropriate legal mechanisms for its application.

Ensuring the fulfillment of contractual obligations -
contributes to the establishment of interaction
between all enterprises, organizations, business
entities involved in economic production, and,
ultimately, the effective functioning of this industry.

Material and procedural-legal factors that contribute
to ensuring the fulfillment of the obligations specified
in the contract, contribute to the proper functioning of
contractual relations in general, including the system
of economic contracts, and the protection of the
property interests of the parties to the contract. Based
on this, we can say that pointing out the importance of
the system of economic contracts in ensuring the
fulfillment of contractual obligations in economic
production is one of the main tasks of jurisprudence.
Indeed, in a market economy, economic contracts
remain the main means of regulating relations
between various economic entities.

Legal scholars and practitioners have different
approaches to determining the main activities of the
legal service of business entities. In particular, A. In the
special part of the textbook “Legal Service in the
Russian Federation”, written by Chashin, the following
eight areas are highlighted that are directly involved in


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the legal service: 1) contract company; 2)
representation in court cases and in court; 3) provision
of legal assistance to public organizations of the
enterprise; 4) analysis of applications and statements
of claim; 5) activities of the legal service to ensure[1]

L. Lebedev divides the main tasks and functions of
practicing lawyers into two subgroups: legal support of
internal and external relations of the organization and
the work of a corporate lawyer in contractual legal
cases and litigation[2].

L. The main activities of the legal service of the
economic entity mas include: a) work to ensure the
legality and economic security of the enterprise; b)
contract work; d) work related to the recovery of
losses by employees; d) claims and lawsuits[3] .

In our opinion, the main areas of activity of the legal
service of economic entities include: a) participation in
the preparation, conclusion of business contracts and
control over their execution; b) role in the organization
of claim work and protection of the rights and
legitimate

interests

of

business

entities;

c)

organization of work on legal support of the safety of
property; d) role in compliance with labor legislation
and strengthening labor discipline. After all, legal
services for business entities can also be carried out by
the relevant lawyer structures directly on a contractual
basis. At the same time, relations between the parties
are carried out on the basis of a contract for the
provision of legal services, which is one of the types of
paid services. In accordance with Art. 703 of the Civil
Code between an economic entity and a lawyer
structure, an agreement is concluded for the provision
of legal services for a fee (for example, legal
assessment of contracts concluded by an economic
entity, conclusion and issuance of an opinion on the
relevant case, etc.).

In this regard, the activities of the legal service can be
divided into four main areas: first, these areas are
inherent in the activities of the legal service of all
business entities; secondly, they do not duplicate, but,
on the contrary, complement each other, that is, they
are complex, harmonious and consistent; thirdly, they
are systematized based on the tasks and functions of
the legal service, determined by the current legislation.

[4]The Law of the Republic of Uzbekistan “On the
contractual and legal framework for the activities of
economic entities” and a number of other legal acts
clearly establish the participation of the legal service in
the conclusion, amendment, termination and
enforcement of contracts. At the same time, it should
be noted that in no country the function of the legal
service in this area has been reflected at the legislative
level.

Usually a local document (Regulations, instructions,
etc.) on the organization of contractual and legal work
in an economic entity is developed by the legal
service[5][6]. This document provides for: the
procedure and terms for the transfer of documents
related to the conclusion, amendment and termination
of the contract to structural divisions (to the relevant
specialists); distribution of responsibilities of the
relevant structural units, officials and specialists
responsible for the execution of the contract; the
procedure for developing draft contracts, as well as
the procedure for agreeing on the terms of the
contract with the relevant departments and services;
duties of divisions, services and officials to resolve
disputes with counterparties in the process of
concluding, amending and terminating contracts; the
procedure for accounting and storage of contracts and
other contractual documents; the procedure for
bringing the terms of the contract to the structural
subdivisions of the economic entity in order to ensure


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5.

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OCLC

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Publisher:

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the fulfillment of the contract; the procedure for
monitoring the fulfillment of contractual obligations;
analysis of contract work and the procedure for
making proposals for their improvement; the
procedure for applying material incentives and
measures of economic responsibility to structural
divisions of an economic entity in order to strengthen
contractual discipline.

Of no small importance is the activity of the legal
service for the legal examination of contracts. Because
without a thorough legal examination of contracts
concluded between business entities, ensuring their
proper execution is a difficult task. Business contracts
in the amount of more than two hundred minimum
wages established by law are concluded only after a
written conclusion of the legal service. In the
conclusion, as a rule, it is indicated: what legislation
regulates the relations specified in the business
contract; whether the terms of the business contract
comply with the requirements of the law; whether the
norm of responsibility of the parties and the procedure
for resolving disputes do not comply with the
requirements of the law[7] .

Proper organization of paperwork on applications is
important for improving the production, economic and
financial situation of economic entities. For disputes
arising from economic relations between economic
entities, in cases provided for by law or an agreement,
the plaintiff may bring a claim to the Economic Court
only after the defendant complies with the procedure
for pre-trial resolution of the dispute (sending an
application).

Application actions carried out by employees of the
legal service include[8]: a) collecting information and
documents necessary for registering an application,
writing and processing an application and sending it to
the relevant business entities; b) consideration of

appeals received by the business entity, consideration
of the necessary documents on them, giving an opinion
on the full or partial satisfaction or rejection of the
application, processing the response and sending it; c)
generalization and analysis of information on sent and
received appeals, making proposals and determining
measures to prevent violations of production,
economic, financial, accounting, labor discipline.

In modern world practice, the principle of free
agreement between the client and the lawyer on the
amount of remuneration prevails. Minimum rates for
lawyer services are widely used to prevent unfair price
competition and protect the reputation of the bar. The
most common is the hourly method of payment for
lawyers' services ("hourly rate"), in which the universal
means of determining the cost of any type of legal
assistance is the time spent on its implementation.
However, in the US, this system is in crisis. The endless
devotion of lawyers to work "by the hour" and the
simulation of work will lead to the degradation of the
legal profession: "the quantity of a lawyer's work will
matter more than his quality, while his ordinary work
will matter more than creative work"[9] .

It is very popular to establish a fee for legal assistance
depending on the value of the claim payable (the value
of the disputed property, the amount of the disputed
debt, etc.), regardless of the results of the work. The
method

called

"conditional

payment"

differs

significantly from this, which, although defined as a
percentage or fraction of the amount in dispute,
involves payment either as a result of a positive
outcome of the assigned case or as part of the amount
recovered. Performance based compensation (di quita
litis) is illegal in England.

In Germany and France, it is not allowed to conclude an
agreement on the payment of a payment only
depending on the result (or in the form of a share of


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VOLUME

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(2021:

5.

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)

OCLC

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Publisher:

The USA Journals

the transferred property), but it is not forbidden to pay
additional premiums to the main payment in cases
where a decision is made in favor of the client. The
United States is considered one of the few countries
that

allows

pay

agreements

for

successful

performance, with the exception of certain categories
of cases (marriage and family disputes, defense of the
defendant in a criminal case)[10].

Ensuring compliance with labor legislation and
strengthening labor discipline is one of the most
important areas of legal work carried out by the legal
service of an economic entity together with other
structural divisions[11]. Because it is necessary to
legally regulate labor relations,” says A. Titievskogo,
which has a significant impact on the quality of all
economic and other statutory activities of the
enterprise”[12].

The main activity of the legal service of economic
entities in this direction is: participation in the
development of legal documents regulating the labor
relations of an economic entity - a collective
agreement, internal labor regulations, provisions on
incentives and incentives; ensuring compliance with
the legislation of draft orders and other legal
documents relating to labor relations submitted for
signature to the head of an economic entity;
strengthening labor discipline, establishing the
provision of legal assistance to the head of an
economic entity and specialists in the proper
application of the measures of responsibility provided
for by law; organization and implementation of work
on the orderly accounting of compliance with labor
legislation and acts of a legal nature of an enterprise in
an economic entity; legal advice to the trade union
committee operating in the labor collective, the
commission

on

labor

disputes

and

other

representative bodies of employees; promotion and

explanation of labor legislation to members of the
labor collective.

Ensuring the legality of draft orders on labor relations
submitted for signature to the head of an economic
entity is one of the main tasks of the legal service. In
carrying out this task, the legal service, first of all,
determines: whether the head of an economic entity
has the right to issue orders on this issue or whether
the resolution of issues provided for by the project
belongs to other bodies; whether this project requires
coordination with the trade union committee or other
representative div of workers; whether it is correctly
guided by the law and other regulatory legal acts, etc.

In the process of verifying the compliance of the
employment contract with the legislation of the legal
service - compliance with its written form; The
conditions of his maintenance: place of work (a
business company or its division), work-specialty,
qualifications of the employee, position, date of
commencement of work, the term of the employment
contract for a certain period, the amount of wages and
other terms of employment considers that he is
insured, and in the case of its proper execution, puts a
visa on a copy of the employment contract stored in
the business entity.

Employment is issued by order of the employer. When
checking draft orders for employment, the legal
service must determine whether the concluded
employment contract is accepted as a basis for the
draft order, whether it fully complies with its content,
whether the probationary period does not exceed
three months, and so on.

When considering a draft order to transfer an
employee to another job, the legal service must make
sure that: if the employee is transferred to another
permanent job, i.e. is transferred to another specialty,


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OCLC

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Publisher:

The USA Journals

qualification, position, he agrees, is familiar with all the
conditions of the new job; whether the relevant
amendments have been made to the employment
contract, whether the order has been issued in full
compliance with the content of the amendments to
the employment contract; if the transfer to another job
is carried out temporarily, due to a production need or
in connection with suspension from work, then the
circumstances recognized as a production need, the
period of transfer to another job, the exact amount of
wages.

When checking orders to terminate an employment
contract, the legal service pays attention to the legality
and validity of the dismissal. To this end, it is necessary
to check whether the procedure established by law
was followed when dismissing an employee. In
particular, whether the prior consent of the trade
union committee or other representative div of
employees for dismissal was obtained (in cases
provided for by the collective agreement), whether the
employee was warned in writing within the time limits
established by law upon termination of the
employment contract; whether additional guarantees
established for certain categories of employees are
taken into account; whether the relevant articles and
paragraphs of the law are correctly indicated in the
order.

Thus, the consistent improvement of the legal
framework and practice of the activities of economic
management bodies and the legal service of economic
entities will help ensure the rule of law in their
activities, improve financial performance, strengthen
the protection of the rights and legitimate interests of
employees, increase the responsibility of legal service
employees for improving the efficiency of legal work in
data subjects. The development of a system for the
provision of legal services to business entities on a

contractual basis, a clear definition of the obligations
of a legal service provider to protect the rights and
interests of these entities, as well as the development
of a standard form of a contract for the provision of
legal services are also relevant.

REFERENCES

1.

Chashin A.N. Legal service in the Russian
Federation: textbook. - M.: type: CJSC IKS "DIS",
2005. - P. 78–124.

2.

Legal service at the enterprise: desktop legal
adviser's book. Three editions, supplemented and
revised / Compiled by M.Aizin, M.YuTikhomirov.-
M.: type: 2003.– P. 12-26;

3.

L. V. A legal adviser's guide for enterprises of
various forms of ownership / Series: Law and
practice. - St. Petersburg: Peter, 2005. - P. 39–93

4.

Bulletin of the Oliy Majlis of the Republic of
Uzbekistan. - 1998. - No. 9. - Article 170

5.

Orlov A.V. Civil law regulation of relations in the
field of legal services: a comparative legal study:
author. dis. ... cand. legal Sciences. - M.: type: 2009.
- 12 p.

6.

Astapova E.V. Kirichenko S.V. The contract of the
impossible provision of legal services and the
problems of its execution // lawyer-lawyer. 2017. -
No. 4 (83). – p. 152

7.

Law of the Republic of Uzbekistan “On the legal
framework for the activities of economic entities”
/ / Bulletin of the Oliy Majlis of the Republic of
Uzbekistan. –1998. - No. 9. - Article 170

8.

Antonov F.Kh. Legal service in the national
economy: lawsuit proceedings. - T .: Justice, 1997. -
200 b .; Chashin A.N. Legal service in the Russian
Federation: textbook. - M.: type: CJSC X "DIS",
2005.– P. 86–87.


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The American Journal of Political Science Law and Criminology
(ISSN

2693-0803)

VOLUME

04

I

SSUE

01

Pages:

86-92

SJIF

I

MPACT

FACTOR

(2020:

5.

453

)

(2021:

5.

952

)

OCLC

1176274523

METADATA

IF

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Publisher:

The USA Journals

9.

Regulation of Lawyers: Statutes and Standards.
2004 Edition / S. Gillers, R. D.Simon. New York P.59-
60.

10.

Kratenko M.V. Agreement on the provision of legal
assistance in modern civil law: author. dis. ... cand.
Legal. Sciences. - Tomsk: 2005. - 27 p.

11.

Antonov F.Kh. Compliance with the labor
legislation of the legal service and labor role in
strengthening self-discipline // J. Economic Bulletin
of Uzbekistan. - 2001. - No. 7-8. - P. 25-27 .; Chashin
A.N. Legal service in the Russian Federation:
textbook. - M.: type: CJSC IKS "DIS", 2005.– P.113–
115.

12.

Titievskiy A.N. Organization of legal work at the
enterprise / / Electronic resource. Access mode:
[http://www.distance.ru free

References

Chashin A.N. Legal service in the Russian Federation: textbook. - M.: type: CJSC IKS "DIS", 2005. - P. 78–124.

Legal service at the enterprise: desktop legal adviser's book. Three editions, supplemented and revised / Compiled by M.Aizin, M.YuTikhomirov.- M.: type: 2003.– P. 12-26;

L. V. A legal adviser's guide for enterprises of various forms of ownership / Series: Law and practice. - St. Petersburg: Peter, 2005. - P. 39–93

Bulletin of the Oliy Majlis of the Republic of Uzbekistan. - 1998. - No. 9. - Article 170

Orlov A.V. Civil law regulation of relations in the field of legal services: a comparative legal study: author. dis. ... cand. legal Sciences. - M.: type: 2009. - 12 p.

Astapova E.V. Kirichenko S.V. The contract of the impossible provision of legal services and the problems of its execution // lawyer-lawyer. 2017. - No. 4 (83). – p. 152

Law of the Republic of Uzbekistan “On the legal framework for the activities of economic entities” / / Bulletin of the Oliy Majlis of the Republic of Uzbekistan. –1998. - No. 9. - Article 170

Antonov F.Kh. Legal service in the national economy: lawsuit proceedings. - T .: Justice, 1997. - 200 b .; Chashin A.N. Legal service in the Russian Federation: textbook. - M.: type: CJSC X "DIS", 2005.– P. 86–87.

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