Unit of competency Outline

Date retreived
22/07/2026 11:37 PM AWST

Whilst all efforts are made to provide accurate and timely information from the relevant source/documentation, please be aware that the information supplied may not be the most current version. The accuracy of the detail has not been confirmed by the Department and therefore should not be relied upon without first confirming the contents.

Establish compliance with legal and legislative requirements

Establish compliance with legal and legislative requirements

Unit of competency
National Code
SIRXGLC002A
State Code
S6132
TGA Status
Replaced
DTWD Status
Replaced
Current Release Number
1.00
Current Release Date
26/02/2011
View on TGA
State Implementation and Classification
Approved Date
Field of Education
090901 - Business And Commercial Law
Original Release Date
Nominal Hours
50
Description
This unit describes the performance outcomes, skills and knowledge required to identify and understand the salient features of the legal environment as they affect businesses, and to establish compliance with legal and legislative requirements.
Notes
Elements and Performance Criteria
1 Examine compliance of current business to legal systems.
  • 1.1 Determine key elements of major legal systems affecting business to business operations.
  • 1.2 Compare various issues affecting different forms of contract within business operations.
  • 1.3 Detail business entities commonly encountered in the business environment.
  • 1.4 Examine legal aspects of financial transactions within business operations.
  • 1.5 Determine legal requirements for the sale of products and services across state, territory, regional and national borders.
  • 1.6 Examine legal implications of e-commerce for business to business operations.
2 Establish compliance of current product recall policy and procedures.
  • 2.1 Develop recall procedures and guidelines for supplier-initiated recalls.
  • 2.2 Develop recall procedures and guidelines for wholesale business recalling its products and services.
  • 2.3 Develop recall procedures and guidelines for government or industry initiated recalls.
  • 2.4 Ensure product recall procedures and guidelines comply with prevailing legislative, legal and industry requirements.
  • 2.5 Circulate product recall procedures and policies to relevant personnel and business partners.
  • 2.6 Establish procedures for halting or monitoring the sale and distribution of recalled products.
  • 2.7 Inform staff of risks associated with recalled products.
  • 2.8 Establish policy and procedures for dealing with media and consumer enquiries relating to product recalls.
  • 2.9 Establish storage, isolation or disposal process for recalled products according to risk and recall notification.
  • 2.10 Analyse records and reports on product recall activities and costs.
3 Analyse responsibilities and accountabilities of parties undertaking business transactions.
  • 3.1 Determine legal rules relating to ownership of assets and intellectual property.
  • 3.2 Apply legal rules relating to the transfer of risk.
  • 3.3 Design and issue warranties in compliance with relevant legislation.
  • 3.4 Ensure insurance for business operations and products complies with relevant legislation.
  • 3.5 Ascertain legal remedies and enforcement options available for the resolution of disputes.
4 Analyse and apply principles in business and contract law.
  • 4.1 Determine requirements for a valid contract to be formed in a business environment.
  • 4.2 Apply remedies available for breaches of contract within a business to business transaction.
  • 4.3 Analyse range of principles affecting business to business licensing and other agreements.
5 Analyse how the law protects intellectual property.
  • 5.1 Determine major principles relating to intellectual property and its creation.
  • 5.2 Compare various forms or categories of intellectual property.
  • 5.3 Determine operation of the law with regard to proprietary interests held by a company or individual in a wholesale product being traded overseas.
  • 5.4 Apply law of copyright in business to business transactions and relationships.
  • 5.5 Apply law of design in business to business transactions and relationships
  • 5.6 Analyse various methods of regulating patents and trade marks in an international and local business environment.
  • 5.7 Apply principles of assignment and licensing of intellectual property rights.
  • 5.8 Determine legal consequences of franchising of intellectual property rights held by a business.
6 Identify risks associated with managing supply across national boundaries.
  • 6.1 Determine basic risk management strategies for addressing legal requirements when managing an international business venture or operation.
  • 6.2 Determine nature and extent of risk with regard to legal requirements affecting the conduct of overseas business transactions.
  • 6.3 Identify potential risk factors with regard to internationallegal requirements affecting trade and overseas business.
  • 6.4 Examine roles and responsibilities of carriers and owner under legislation, conventions and rules covering transport of goods by sea.
  • 6.5 Determine international application and provisions covering the sale of goods for business transactions.
  • 6.6 Establish costs and consequences of non-compliance with key international legal obligations and requirements.
  • 6.7 Determine risks associated with different modes of transport for products.
OHS
workplace relations
industry codes of practice
licence, patent or copyright arrangements
transport, storage and handling of goods
contract law
Australian Competition and Consumer Commission provisions
Trade Practices and Fair Trading Acts.

letters of appointment or intent
external contracts
trade partners
people contracts
verbal and written orders
purchase order
petty cash
memorandums of understanding or memorandums of agreement
in-house service level agreements
contracts
common-use arrangements or standing offers
contracts as detailed under the Trade Practices Act
non-compliance
consequences.

deposits
withdrawals
credit card transactions
cheques
hire-purchase
cash on delivery (COD)
customer refunds
customer account management.

Trade Practices and Fair Trading Acts
tobacco laws
liquor laws
pricing procedures, including GST requirements
sale of second-hand goods
sale of X and R rated products
lottery legislation
industry codes of practice
OHS.

timing
warnings
insurance issues
consultation with key stakeholders
organising logistics
reporting compliance
claim procedures on recalled products
legal requirements
approvals obtained
impact on business relationships and contractual arrangements.

documented in hard copy or electronic manuals
implemented at business, team or operational levels
product- or service-specific
customer-specific
territory- or location-specific.

internal or external contacts
employees
supervisors
relevant managers.

full-time, part-time, casual or contract staff
people with varying degrees of language and literacy
people from a range of cultural, social and ethnic backgrounds
people with a range of responsibilities and job descriptions.

Principles related to
nature of the product or service
nature of product or service delivery
scope of protection sought
the ability to show 'ownership'
location (e.g. international variations in legal protection)
legal and legislative provisions.

international legal frameworks
sale of goods and services
legal aspects of international financial transactions
law of contract
product liability
transport law
customs law
licensing agreements
agency agreements
business names and structures
joint venture agreements
ownership issues
passing of risk and title
warranties
insurance
dealing with intellectual property
e-commerce
remedies and enforcement.

Critical aspects for assessment and evidence required to demonstrate competency in this unit

Evidence of the following is essential:

satisfactory and timely completion of tasks associated with management of a business operation in compliance with legal and legislative requirements
utilises relevant legal and statutory rights to protect the business brand and intellectual property
implements and documents product recall procedures for a business operation
describes and complies with legal rules relating to transfer of risk and legal obligations affecting a specific range of business operations, including import and export operations
establishes and implements appropriate reporting procedures and record-keeping systems for a business operation
processes documentation relating to business and legal compliance within a set timeframe.

Context of and specific resources for assessment

Assessment must ensure access to:


relevant documentation, such as:

relevant legislation and statutory requirements
information on the internal and external operating environment
business policy and procedures manuals

information on:

business operations
markets
competitors
products and services
suppliers.

Methods of assessment

A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:

observation of performance in the workplace
third-party reports from a supervisor
review of portfolios of evidence
written or verbal questioning to assess knowledge and understanding.
Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended.

Assessing employability skills
Employability skills are integral to effective performance in the workplace and are broadly consistent across industry sectors. How these skills are applied varies between occupations and qualifications due to the different work functions and contexts.
Employability skills embedded in this unit should be assessed holistically in the context of the job role and with other relevant units that make up the skill set or qualification.

Replaced By
State Code National Code Title Type
WD962 SIRXGLC502 Establish business legal and legislative requirements Unit of competency
No information