What is Business Law

 Posted on July 28, 2016 in Small Business Taxes

The term business law can be misunderstood. It leaves the impression that you could do a search in your local statutes and find a code with that term. If you did this, you'd be looking for a long time because there is no such thing as one body of business law. Instead, the term refers to the laws that apply to business. Notice the plural use of the word (laws).

Business law includes, in part, the following:

• Contract Law
• Partnership Law
• Corporate Law (forming corporations)
• Securities Law
• Employment Law
• Tax Law
• Tort Law
• Agency Law
• Criminal Law (white-collar crime)
• International Law
• Construction Law
• Environmental Law
• Human Rights Law

What laws apply to your business will depend on the type of business you own. Some of these areas of the law can be complex and difficult to parse through. As a result, many owners and managers leap headlong into their activities without realizing that they are exposing themselves and the business to potential liability.

For example, did you know that the law can dictate how much parental leave a company should offer its employees?

And, did you know that even if you are incorporated in Delaware you have to be mindful of California laws when making dividends?

Whether you are starting up a business or have been in business for a long time, contacting a qualified professional to understand your potential exposure to legal risk is always a good idea.

To talk more about what laws can impact your business, contact us.