Contractual Law: Notion Of ‘Good Faith’

Contractual Law: Notion of ‘Good Faith’

A union is a United Workers Organization to protect their common interests and improve their working conditions. It serves as an intermediary between the employer and the employees. The main objective is to give power to workers to negotiate more favorable working conditions through collective bargaining. Some of the largest and / or most prominent unions in the USA. UU. They include United Auto Workers, Service Employees International Union, International Brotherhood of Teamsters, American Federation of State, County and Municipal Employees, and United Steelworkers. The AFL-CIO (List of Members) and Change to Win (List of Members) are federations, large organizations of unions that have joined to share resources and promote common political and organizational objectives.

As a member of a union, you receive all the benefits achieved by the union by negotiating employer benefits with your employer. When your union negotiates payment and benefits on behalf of many employees, you are part of a much larger group that generally has a much greater negotiation power when dealing with employers. For example, a worker may believe that new security measures must be implemented, but you may not be able to get your employer to accept it. If more workers come together in a negotiation unit to press the company to implement security measures, there are many more possibilities for the company to listen. This is commonly known as collective bargaining.

Collective bargaining results in many positive benefits. The salaries of union members are, on average, 30% higher than those of workers who have no trade union;93% of unionized workers are entitled to health benefits, while only 69% of non -unionized workers do so;and 77% of unionized workers have a guaranteed pension, compared to only 17% of non -unionized workers. In addition, unions often press to obtain legislation and political candidates that are more favorable for employees.

To form a union, a group of workers must: make the employer recognize them voluntarily as a union;or have a majority of workers in a negotiation unit for union representation. In any case, the National Board of Labor Relations (NLRB) must certify the newly formed union. Once the union is certified, the employer has the legal obligation to negotiate in good faith with the union. The employer must go to the negotiating table with an open mind and a sincere desire to discuss the problems. Both parties must try to reach an agreement through negotiations, and when an agreement is reached, they must sign a written contract, known as a collective bargaining agreement (CBA).

In civil law systems, ‘good faith’ is considered a vital criterion to evaluate and regulate the act of the contracting parties. However, ‘fair treatment’ is used in the common law of literature instead of the first. Taking into account the standards that control the structure and implementation of contracts, it is said that good faith standards favor the contracting parties in which both are expected to act and act in good faith regarding the negotiation of the negotiation of thetwo. The level and the ability to use the principle of ‘good faith’ depends on a jurisdiction of civil law to another. This can also give way to perplexities in the sense of discovering the fundamental nature and the covered reasons.

Critically, in English law, there is no precise rule that requires the contracting parties to accept the term ‘good faith’. However, there are cases in civil law systems that are achieved with good faith and have been gradually accepted in English law through a different approach. Therefore, in general it is said that English law, unlike civil law, does not recognize a general duty of ‘good faith’ in the sense of fair treatment between the contracting parties.

The notion of good faith in contractual law normally consists of three aspects, which are the aspect of substantive, formal and institutional competition (Auer 2002). The substantive aspect represents ethics in the contract by defining what duties arise in good faith. The formal aspect is more about the arrangement that seems to be a gloomy paradigm and the other, the institutional aspect highlights the idea of legal freedom and the restriction in negotiation according to open principles such as good faith (Woldridge and Jennings, 1995).

The English law does not agree with the arguments in the midst of an uncomfortable idea of the freedom of contract and the opposite altruistic duty. In addition, good dissident faith is due to the danger of judicial arbitrariness and the requirement of fair elasticity. It is not discussed that these aspects are not completely valid to explain the role of good faith in European legislation, although it seems clear. Think that one of the parties has to be responsible for the interest of the other party exempts the other contracting party of similar responsibility (Galgano 1985). Therefore, many responsibilities to inform one imposed to one party exim. Therefore, doubts about the probability of providing the notion of good faith a substantive meaning.

In common law countries, an important rule that permeates its law, as well as civil law is the freedom to choose whether or not to obtain a contractual relationship. This is also known as ‘positive contract freedom’ or an optimal way of having freedom over contractual regulations (Cohen 1995). The parties have the option of making a binding contract depending on their own conditions. Alternatively, ‘Freedom of negative contract’ reflects the freedom of the parties of responsibilities provided that a binding contract has not been ended. However, in the case of the country that practices civil law, the negative freedom contract depends on the principle of good faith and another set of guidelines, such as the abuse of law and unjustified. Therefore, it contradicts the way in which the law considers the negotiation in good faith. Civil law considers the principle as an essential part of contractual treatment and applies it to legal jurisdiction standards.

Civil law systems can take the term ‘good faith’ and apply it in contractual relationships, but not formally. Therefore, it is necessary to say that the law does not recognize a general duty of good faith in the sense of fair treatment between the contracting parties. It is justified that cases like these should be supported by more judicial law systems. Since it reflects a broad problem, it can somehow make the concept and principles of the solutions that will be established in a more specific law be exceeded. Good faith negotiation only acts as a guide for contractual treatment, but cannot be integrated with the formal environment as the law develops in due time. By using this principle, it should be treated as a historical approach, but still important because ignoring the past cannot give the future a prolific solution. Particularly, this notion gives reference to future use as the law continues to expand and is coded precisely. Therefore, the use of good faith in contractual negotiations, specifically in English law, is not acceptable, but remains significant in each of the parties with respect to their actions and negotiations.

Reference

1. The five basic steps to organize a union. (n.d.). Retrieved from https: // www.EUUNION.org/es/los-cinco-peas-b%c3%a1ses-to-organize-a-uni%c3%b3n
2. What means negotiating business restructuring in good faith? |Lexology. (2013, November 8). Retrieved from https: // www.Lexology.com/libary/detail.ASPX?G = 873482D0-527B-4A6C-A601-9E8ADAC77F0E