the business law essay

the business law essay

The Intersection of Business and Law: An In-depth Analysis

1. Introduction to Business Law

Business law involves overseeing the laws and regulations that dictate business and commerce, such as corporate law, tax law, bankruptcy law/company liquidation, business policies, employment laws, real estate laws, and contracts. Law is like the institution’s sensory platform for tracking what is occurring outside the immediate internal environment and understanding the on accordances required. Thus, the law is often relied upon by organizations as a source of strategic environmental intelligence. As law creates liability, imposes on corporate power, and focuses on practices and responsibilities, it regulates how businesses are conceived, organized, and conducted. It creates institutions’ focal values, especially morality, economic efficiency, and state policy objectives. The law in general possesses some enduring qualities. It is normative, concerned with interpretation and moral judgment, active and pragmatic, utilitarian in that it seeks to optimize the outcomes of conflict, and change.

One of the most important functions of law from an operational or managerial view is to minimize and manage risk. When business professionals sit down to negotiate a business deal, their primary aim is to create and allocate the risk involved in the transaction. Thus, the most successful negotiation of a business agreement to a great extent is designed to carry out a sharing or allocation of the risk involved, hopefully minimizing the business risks. Risk, in general, is the chance that an investment or undertaking will fail to perform as expected. Business risk, thereby, is viewed as the chance of less than anticipated moneymaking, to the possibility of complete economic failure. It might be useful to induce that the managerial standpoint extends the view of the risk beyond pure financial loss, to eliminate a little of every risk associated with the action.

2. Key Principles and Concepts in Business Law

This ‘shape’ of business law can be further illustrated by examining some of the basic principles applied in the day-to-day practice of business. When entering into contracts, a businessperson should begin the relationship by seeking to secure agreements that are clear and unambiguous in their expression. If the business contract is based on the development of a trustable relationship and the promotion of trust between the parties, then a significant degree of vagueness will not be unworkable. If disputes do arise, the courts’ traditional approach is to apply a commonsense test in determining the length and depth of a variation: a number of factors are considered in determining whether a course of dealing provides for a term in the agreement to be varied; in the promise of pre- or post-contractual negotiation of terms; and in the examining of a turn in one party’s knowledge on a promise by another.

Law controls and is integral to business. Over the years, effective handling of business obligations and expectations has necessitated that businesses develop sound relationships with suppliers, customers, employees, financial institutions, and government bodies. A weak understanding of business law can result in a dislocation of the process of managing relationships. The discipline of business law is oriented towards providing a basic set of legal concepts and principles. The issues will involve such principles as: What are the expressions of analysis through the law in this area? What is the origin or the policy behind these principles? The subject combines practical applications with theory and policy implications. Business law is not an area of immense intellectual depth or novelty, and because of the practical orientation of its principles, there is a large body of professional literature, for example, offering advice on this law. However, any businessperson should also be aware that within this large body of advice lies discretion in its application and the asking of commonsense questions.

3. Legal Frameworks for Business Entities

So, can speak to the specific legal frameworks that pertain to different sorts of business entities. Business entities govern laws and regulations concerning not only the ability to establish and operate these businesses or organizations but also outline these entities’ legal rights and obligations. The law will often also prescribe some mechanisms for self and third-party enforcement of these rights and obligations. These mechanisms go beyond those by which a law of a country can be applied to all people within that country to permit some minimum level of operation within that country to appease the greater good of the community. Business Structures – Corporation-Specific Business Laws. Many nations have statutes specifically designed to govern business corporations or to govern enterprise, more broadly, as an “organization as they can be utilized to optimize association through the forming of legal entities in the interest of the co-adventures some,” as examined by Judge Nears in Donald Bodstein (Justice) v. Michael Nasri, 2020 ABQB 465 at para 504 (CanLii). There are no specific regulations in Canada on Corporation and therefore, a corporation established pursuant to either the provincial corporations acts or its federal analog, the Canada Business Corporations Act, RSC 1985, c C-24, cannot be distinguished from other forms of incorporated organizations as it is not proprietorship. Loyalty payments.

The third set of laws that business owners seek to learn about are laws that govern business entities directly. This area is the intersection of business and law, and therefore key components in understanding business are that there are mechanisms by which a business may fail to satisfy its legal obligations and therefore be subject to legal sanction; fail to satisfy its legal obligations and therefore be able to initiate legal sanctions; fail in its efforts to avoid becoming subject to legal sanction and something of benefit arising as a result of that failure. By understanding the instrument this interaction of business in law helps a business not only avoid obligations and risks but also help in the creation of possibilities and avoidance of potential loss or opportunity to be created through intervention of the law. Thereat, what legal structures exist through which business can be structured? Laws that deal with direct control of business actors.

4. Contracts and Commercial Transactions

The significance of contract laws and the laws of other commercial transactions comes from the treatment of contracts and other business arrangements in the business world. The treatment of contracts amounts to special, from a legal point of view, and from the treatment of other dealings, and the requirement for employees to obtain a good appreciation for the treatment of contracts and other business arrangements bears contemporaneously a good understanding revising the treatment of contract law. Power of courts, who may compel a party to carry out his end of the bargain if it has not been completed, to relieve the aggrieved party afterwards, who is the beneficiary of the contract or arrangement, should it not be honored, and provide means for the plaintiffs to seek a judicial review or resolutions in private.

Under business law, contracts are often considered the holy grail of day-to-day trading and thus, equally unsurprisingly, the bread and butter of the commercial world. At the outset, the formation of a contract requires an agreement between the parties; an offer must be made by one party to another, which is capable of unconditional acceptance. Business law may be extremely significant in contract situations, as the consequences of contracting – if it is not done accurately in the legal sense – are highly undesirable. Some businesses and business executives who view a proper understanding and qualified expertise in the laws of business also appreciate the need to employ lawyers.

5. Emerging Issues in Business Law

Consumer protection has become a major issue in business law as technology has transformed the way people shop. In recent years, U.S. Supreme Court justices have taken to citing data privacy scholarship. Competition law is now a major issue in both systems. Business law scholars have been paying attention, and at least three new books focus on competition. Sustainable business is an increasingly popular research topic in most fields of business law. Practice-based legal analysis is becoming increasingly prominent in business law scholarship. Efforts to regulate the gig economy have gone hand in hand with efforts to tax multinational enterprises. The dominance of major platforms has rekindled scholarly interest. More than 30 years after Dan Fischel proclaimed that “over the past 100 years, one industry after another has been heavily regulated, and one after another such regulation has failed,” corporate compliance remains a subject of academic interest.

As a field, business law is becoming increasingly comprehensive as it grapples with the multitude of intersections between business, law, and society. Thoughtful business law scholarship recognizes that external financial exploitation represents just one of the many negative effects business can have on society. Accordingly, business law scholars are beginning to explore areas previously reserved for other fields. The following literature review considers new work that either crosses traditional academic boundaries or provides a novel take on classic issues. This is by no means an exhaustive list of new work in business law. Nonetheless, given space constraints, I have sought to review the work of leading scholars that best illustrates the direction of the field.