Business law is a body of rules, regulations, and principles that governs the activities of a business. It includes concepts such as an organization’s fiduciary duty to shareholders, the legal ways in which directors can be held accountable for their actions, and what constitutes a breach of a contract.
Business law provides the framework through which businesses are run. The scope of business law can be found in international treaties and domestic regulations. The United States is one of the few countries that does not have any domestic regulation governing business law.
Elements of business law include contracts, agreements, and court proceedings. Business law can be divided into two main categories:
1) Civil law – This consists of any laws that govern civil rights and obligations or any regulations that affect civil rights and obligations. Examples of this include disputes involving property, contracts, torts, debts, marriage relations.
2) Criminal law – This is any law that is used to prosecute someone who has committed a crime as well as regulate other types of crime such as theft or fraud.