Commercial law, sometimes referred to as merchant law or trading law, is the body of legislation that applies to businesses’ relationships, rights, and duties and individuals engaged in commerce. It is sometimes considered an independent branch of criminal law and involves public policy and civil law matters.
The private sector of the economy comprises companies, associations, firms, partnerships, associations, trusts, etc. -these entities engage in commercial activity through a wide range of activities. It covers somewhere close to 90 percent of employment in the developing world, including both formal and informal jobs. A company is an example of this: a partnership, trust, etc. where there is a private property involved. The most common area of business law is business law. Business Law covers the entire spectrum of private activity related to the commercial enterprise, from production to distribution. As mentioned, it also encompasses criminal activity such as fraud and embezzlement. Some forms of commercial law include personal injury law (which deals with medical and property rights), corporate law, labor law (which deals with worker’s compensation claims), patent law (which include patent infringement), intellectual property law (which cover patents), real property law (which deal with the ownership of the real estate and buildings), and bankruptcy law.
In addition to all of these areas of business law, there is also contract law that deals with the legal rights of parties to contracts, including the right to enter into such contracts, the obligations of parties to such contracts, the termination of such contracts, the obligations of parties to any agreement in effect between the parties and other related issues. A few of the common areas of contract law include securities law (which deals with the legal rights of buyers and sellers of securities, including securities issued by banks and other institutions); labor law (which deals with employees and the legal rights of employers, such as minimum wages, holiday pay, maternity and paternity benefits, etc.
Another area of law is tort law- where an injured party seeks to hold the person or organization responsible for injuries resulting from their negligence or misconduct. Typical areas of tort law include industrial law (which is generally applied to industrial disputes in which products are being produced or distributed in the course of production, distribution, maintenance, handling, transport, and repairs), or sale; landlord-tenant law (which applies when one party owns real property and another has rights to the same property as tenants); contract law (which deals with the legal rights of parties to a contract such as the rights of buyers or sellers; the rights of creditors to the payment of debtors; and third parties to claims; insurance law (which applies to policies, health, life, accident, property, liability, and business; and casualty insurance); securities law (which is generally applied to securities; trusts and the transfer of interests of property; and business; and bankruptcy law (which deals with estates, property that cannot be sold); and the environment (which applies to natural resources). Some states have also enacted statutes that govern how such laws apply within their state.
One concrete example of this would be the requirement for trucks and/or commercial vehicles to be insured in California. The state assigns the minimum coverage limits for bodily harm liability and property damage liability, making semi truck insurance a necessity for a logistics business to operate. Again, this law differs from state to state, so it is important to know and understand each.
Many countries also provide some form of special taxation for the enforcement of such laws. The most common types of such taxes are capital gains tax (which taxes the increase in the value of the property), import duties and taxes (which taxes imports), and tariffs (which taxes exports). In many cases, special rules apply to each commercial law area, depending on what country a particular country is involved with.