Intro To Business Law

Business law also known as Commercial law is the body of law that applies to and governs the conduct, rights and relations of persons and business entities engaged in trade, merchandising, sales and trade. Business law is widely considered to be a branch of civil law that also deals with issues within both private law and public law.

Business law deals with a very wide range of issues however, the most significant areas are those including; corporate contracts, hiring practises, competition, labour and intellectual property.

It is often argued that business law greatly hinders the smaller firms. On estimate, firms will spend 2 working weeks out of the year, dealing with the ‘red tape’. With the addition of giving business managers a lot more work to do, the costs associated with complying with regulations and business laws can be considerably large. This becomes an even bigger problem when major legal changes are introduced. Usually, there are fines for businesses that fail to comply with the laws and regulations, despite however unintentional the transgression is.

The government acknowledges that changes in law can significantly affect smaller businesses, and to protect small businesses, the time period between when a piece of legislation is passed and when all parties should be complying with it has increased.

Although it seems that much legislation is created by politicians with no experience in running a small business, there are however many laws that protect the interests of smaller businesses. Such legislation is created to prevent businesses being harmed by the illegal acts perpetrated by employees, customers, competitor, and even the government.  While opinions may differ about what businesses should be protected against, very few can deny that legislation has played a major part in the protection of the environment and public, and health and safety of employees.

Although the concept of business law is a set of laws to protect the concept of ‘fairness’ in business, the government may sometimes pass certain laws that may be seen to have a detrimental face value effect on business, but are very important to protect long term prospects for everyone. For example, laws may be passed or regulations put in place to protect the environment, such as pollution control and tariffs; these may increase the cost of production for businesses as changes may make waste management more expensive.

In Britain, the Office of Fair Trading enforces protection, competition and some aspects of corporate law.

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