Business Law

Commercial law or business law is the body of law which governs business and commerce and is often considered to be a branch of civil law and deals both with issues of private law and public law. Commercial law regulates corporate contracts, hiring practices, and the manufacture and sales of consumer goods. Many countries have adopted civil codes which contain comprehensive statements of their commercial law. In the United States, commercial law is the province of both the Congress under its power to regulate interstate commerce, and the states under their police power. Efforts have been made to create a unified body of commercial law in the US: the most successful of these attempts has resulted in the general adoption of the Uniform Commercial Code.

Business Law is also known as Commercial law or corporate law, is the body of law that applies to the rights, relations, and conduct of persons and businesses engaged in commerce, merchandising, trade, and sales. It is often considered to be a branch of civil law and deals with issues of both private law and public law. The word ‘Law’ has been derived from the Teutonic word ‘Lag, which means ‘definite’. On this basis Law can be defined as a definite rule of conduct and human relations. It also means a uniform rule of conduct which is applicable equally to all the people of the State. Law prescribes and regulates general conditions of human activity in the state. ^[1]

Various regulatory schemes control how commerce is conducted, privacy laws, safety laws (i.e. OSHA in the United States) food and drug laws are some examples.

Contract Law

Formation

Usually a contract forms when one person makes an offer and another person accepts it by performing the offer's terms or communicating their approval. Furthermore, if the terms are certain, and the two people can be presumed from their behavior and actions to have intended that the terms are binding, then the agreement is (generally) enforceable.

Some contracts, for example, the sale of land, or other particularly large transactions, also require the formalities of signatures and witnesses (sometimes in the form of a deed). English Contract Law requires all people, known as ‘parties’, to bring something of value, known as ‘consideration’, to a bargain as a precondition to enforce it^[2].

Content of a Contract

The terms in a contractual agreement are incorporated through definitive promises by reference to other terms or through a course of dealing between two people. English Contract Law allows plenty of freedom for people to agree the terms and content of a deal.

Contract Law is at its best when an agreement is performed and resorting to the courts is never needed because each party knows their rights and duties (for example, a shareholder agreement)^[3].

Readings

Wikibooks

Wikibooks: US Corporate Law

Wikipedia

External

Why Study Business Law?

External links

References

[1] What is Business Law?

[2] Law Plain and Simple: Contract Law Explained

[3] Law Plain and Simple: Contract Law Explained

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