Analyze The True Nature of Business Law
BY RISHABH SINGH RANDHAWA
BBA-LLB Integrated
Intern at Fastrack Legal Solutions
HYPOTHESIS TO THIS ARTICLE ON BUSINESS LAW
In our opinion, business laws have a backbone of the business because in the end businesses
have to comply with them and people’s interests were also dependent on them. The true nature
of business, the law is to smooth and healthy rules and regulations must be created so that the
the business will operate effectively and efficiently and the interest of the people will be
safeguarded.
It is regulated every type of business whether sole proprietorship to company limited. And
controls the disputes that arise between them. Judiciary was also given decision keeping in
mind these laws. It helped the judiciary to resolve the dispute effectively as well. It indirectly
contributes to the economy of the country. It is created while keeping in mind both the point
of view of merchants and people.
RESEARCH QUESTION ON BUSINESS LAWS
What is Business law?
How does Business law work?
Problems related to Business law?
OBJECTIVES OF THIS ARTICLE ON BUSINESS LAW
We address this issue because business plays a significant role in our economy,
hence business law is vital for regulating businesses. That is why for clarifying
the several doubts about business law. We address this topic.
INTRODUCTION TO BUSINESS LAW
In today’s era, businesses play a prominent role in a country to uplift its economy. Hence, it is
also essential for a government to regulate and monitor these businesses as well. From this
point of view, business law came into existence. It is nothing but just the involvement of a
government in regulating and monitoring businesses.
Perhaps it is not universal, laws are like language it differs from country to country as per the
country’s needs and wants from business. These laws help the government to take corrective
actions, prevent disputes, and other regulating matters. As there were several definitions of
business present in the world same-as there several definitions of business law were also
given by jurists. As we see that several scams happened through these businesses every day
since business law is required in every country for smooth regulation on them.
In this research, we will discuss the need for business law from both the point of view either
merchants and people. Also discussed several researchers in our literature review section. We
will analyze how business law works and how it regulates business operations smoothly.
LITERATURE REVIEW OF ARTICLES ON BUSINESS LAW
ARTICLE ON BUSINESS LAW IN AN ECONOMIC ERA
It states that there is a wide range of business operating in the world and how business laws
operates the rules and regulation in their operations. It states that business law is the
involvement of the government in the contract between people and merchants. It will help to
resolve the disputes that arise between them and also protect them from any kind of scams and
fraud. Basically, it will lead to smooth working between the people and merchants. It not only
deals with business external parties but also deals with internal parties as well. It also
regulates the debtor and creditors of the business as well.
It regulates employee and employer relations-
In case of payment given by the employer to the employee
The obligation of the employer to indemnify his employee in case of reasonable expenses
incurred by the employee in terms of employment
Protection of employees from the reasonable risk of health and safety etc by the employer
It creates a mutual relationship between the employee and the employer
Protect the confidential information that the area of tort law is “so broad that to determine its limits with any degree of precision
would be an impossible task” but that tort law has characterized a tort as a “wrong committed
against another, or against the person’s property or reputation, either intentionally or
unintentionally.” The basic premise of tort law is as follows: An obligation in tort law is
owed to a person (e.g., there is an obligation to provide a client with sound accounting and
business advice). If that obligation is broken, the accountant is a tortfeasor (one who has
committed a tort ), and the client would be entitled to sue the accountant for any injury or
losses suffered. If the client wins the lawsuit, the court will hold the accountant liable and
will probably order the accountant to pay damages to the client. Even though a tort and a
crime may arise from the same set of facts (e.g., hitting someone involves both the tort of
battery and the crime of assault; taking someone’s golf clubs is both a tort of conversion and
a crime of theft), it is important to distinguish between the two.
What is Business Law, business law defined as?
According to Akrofi (2019), one definition of “business is the production, distribution, and
sale of goods and services for a profit”. A critical examination of the definition shows other keywords such as production and distribution as defined as follows. First, production is the
creation, and manufacturing of services or the changing of materials into products. One example
is the conversion of gold ore into ornaments and iron ore into car parts. The movement of
these products from their manufactory sites to the workplace is referred to as distribution.
It states the law relates to justice. Till social harmony is maintained between them
but when any dispute occurred and any party claimed injunction for fraud or injury done to
their property, then these law helps to provide justice to that party.
Digitalization of Business Law: Urgency and Orientation of the industrial
revolution 4.0 and Society 5.0
It states the digitalization of business law, with the growth in technology and information it is
also important to digitalize the business law as well. It will help to reduce the overlapping of
the rules and regulations and also contribute to development. As we will know nothing is
permanent our needs and requirement are kept changing with changes in time, hence they
must be required to be updated or amended as time changes. Through digitalization, the
amendment or modification in any law will be far more more accessible and effective as well.
In the Modern era, many businesses started to deal with their business online as well hence,
digitalization of laws will also be important for their effectiveness in the current era.
Development or upgradation of legal science will lead to providing justice in a much more
effective way.
The development of law is unavoidable, especially in the face of the times. The development
of the times as part of the renewal of civilization is a common thing, especially related to
humans’ creative and progressive souls. As creative beings, we always have an orientation to
make changes and updates.
That is related to the renewal and development of the times in
various activities of human life. The development of the times in various activities of human
life is no exception to the increasingly massive development of technology and information.
In this case, the development of legal science must also adapt to the development of
technology and information. That is because, as one of the social-societal subsystems with
normative and authoritative characteristics, the law must be able to predict and even facilitate
various technological and information developments to be able to provide benefits to the
community.
It will lead to protecting humans and other public interests from scams and frauds. By doing
this we can create a healthy ecosystem for business practices all over the world. And able to
tackle or handle modern disputes between merchants and people which will arise.
Application of Business Ethics and Business Law on Economic Democracy
that Impacts Business Sustainability
It states that business law has a significant role in all kinds of business, trade, affairs, etc.
every business have there own principles and policies hence it is important to regulate them
with uniform laws, and since every country has there own laws and regulations to create
uniformity in their country.
Application of Business Ethics Business Ethics in a company is a significant factor; a
business, or company, if they want to run it successfully, does not only consider good
management or good quality of human resources but must apply good ethics in its business.
(Hasoloan, 2018) Business activity cannot be separated from the community because the
community is a component that runs a business. Therefore, in business activities related to the
community, there is a need for regulations or norms in society. As a result of the continuity
between business and society, it is the emergence of new ethics in business activities, whether
it is the relationship of business ethics with the community, fellow people in business, or
directly and indirectly. (Hanie, 2015) Many companies and micro, small, and medium
enterprises are currently newly formed. The many business opportunities that occur make
many people think and use them creatively and think of the latest innovations to create new
companies or become entrepreneurs. Of course, to form a business or business entity such as
a company, it must have a company establishment permit from the Ministry. (Hasoloan,
2018) With the implementation of ethics in business activities, business people or companies
can quickly gain the trust of other business people or the public. Because if we carry out
ethics properly, we are seen as good or capable of running a business in the future. (Saputra
& Ali, 2022) Business Ethics has been widely studied by previous researchers, including:
(Kholisoh & Ali,2020), (Hasoloan, 2018), (and Hanie, 2015).
It states the two points of view one is the business point of view and the second is the general
public point of view, the business laws protect both of them from scams. And help in smooth
operations. It is essential that no one violates mutual greed during operations. And it will help
to create a healthy relationship.
PROBLEM AREA IN BUSINESS LAW TODAY
The major problem of business law is divided into two parts.
First, the effective implementation of the laws in the country. Sometimes, the law are looking
very handsome but it seems difficult to work effectively after implementation. Hence, the law
which was made must be reasonably implemented and practically possible. Making laws
without the practical aspect of keeping them in mind will lead to ineffective law. Many
countries sometimes copied the laws of a different country without understanding the nature
of the business environment in their country. That will also initiate a dispute between
merchants and people. In some countries, businesses are more dominant over people and
people are not able to protect their rights and interest, in these countries business law must be
able to protect the interest and rights of the people from malpractices of business.
On the other hand, in some countries, there is a requirement to make business laws in favor of
merchants to initiate the business because in that country starting a business will be
considered a difficult task. Hence it is important for them to smoothen the process and
operations of the business because the business will one of the major contributors to the
country’s economy. In the current scenario, no country can grow its economy without
business and healthy business, they required effective business laws, hence business laws will
indirectly contribute to the economy of the country
Second, efficient business laws must be created which able to survive in the country’s
business environment and both merchants and people will able to accept them, and it will on
possible if the laws are able to safeguard the interest of both of them and practically possible
to comply with them. Law must be too restrictive in doing business otherwise it will
downgrade the number of businesses in the country, which will drastically slow down the
economic growth of the country it should not be unnecessary in favor of businesses,
otherwise, it will initiate scams and frauds in the country.
Also Read
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2.Must Know About Labour Laws In India
3.CYBERCRIME AND CYBERSECURITY And Its 3 Types
4.THE BASICS OF CONTRACTS AND AGREEMENTS‘
5.DECRIMINALIZATION OF SECTION 377
6.Feminist Criminology A New Branch
7.Marriage and Law of Contract
References to Research on Business Law
1.https://www.researchgate.net/publication/349442951_ARTICLE_ON_BUSINESS_LAW_IN_AN_ECONOMIC_ERA
