Everything that relates to our society is governed by laws and business is no exception. Business law or commercial law is simply a body of law that governs every aspect with regards to conducting a business. This covers but not limited to the commerce of the sea, transportation of goods, guarantees, marine life and natural disasters pertaining to the economic status and business relations, life of the people concerned, employment, intellectual property, insurances and conformities of partnerships. Business may differ for each state or country but there are international codes followed to ensure equal distribution of economic power among nations.
In some countries, civil codes that cover comprehensive statements of their commercial law are being followed. They are usually regulated by the congress with its power to regulate interstate commerce. In the United States, unions are formed to promote a uniform body of commercial law which has resulted in the adoption of the uniform commercial code which is currently being followed by the 50 states and other US territories.
Business law is applicable to both small and big. With its broad coverage, several branches of it are categorized to avoid confusion and to promote formality in the process. One of these branches of law is the advertising law. This law ensures that products are being advertised truthfully and to protect the consumers from false promises. Another notable law is the employment and labor law. This law protects the employees working for a firm. This includes health insurances, discrimination and harassment protection, child labor, household employment, posters, employment termination, wage and hour laws, final paychecks and compensation for work. Business law also has its own set of finance law that protects all scale of business establishments. This helps small firms from the harassment of big companies and to level the ground of competition and promote a healthy market. There is also a law that protects and governs online businesses. This covers the financial and legal liabilities incurred in the areas of privacy, security, taxation and copyright issues. Business law also includes a set of environmental regulations. All businesses are required to follow a set of rules and regulations when affecting the natural environment. Any harm done to the environment is not permitted except in some rare cases. Employee’s healthy and safety is also covered by the law.
Before you start your own business, you should always familiarize yourself with the different laws to avoid legal liabilities and to protect yourself from fraudulent attacks. A strong understanding of the laws will reflect the way you handle your business and will determine your success eventually.