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Corporate law also referred to as commercial or commercial law, the body of rules governing relations between persons in trade matters, whether by convention, agreement or national or international law.

Business law falls within two distinctive fields: 
1) by company law, partnership, agency and bankruptcy, and 
2) by contract law and related fields, the regulation of trade transactions.

Company law comprises statute law in civil-law countries, partly ordinary common-law, part of equity law and partly statute law in common-law countries. The entire company law has two fundamental legal concepts.

Legal personality concept and limited responsibility theory. Almost all legal regulations are designed to protect creditors or investors.

There are different forms of legal business, from the sole trader, who carries the risk and responsibility alone to run a business and take profit, to the limited liability company and to multinationals, but not to constitute a legal association and thus not to the special laws regulated. Members in a partnership form an association, in which they participate in the management and profit sharing, are responsible for the debts of the firm and are liable to prosecution.

All partners are each other's agents and as such have a relationship of trust.

An agent is an employee who has contractual relationships with third parties with his principal. Different forms of agency are regulated by law: universal, where an officer is appointed to handle the whole affair of its principal; general, where the officer has the power to represent his principal in all businesses of a certain kind; and special, where an officer has only limited powers and is appointed for a certain purpose. Appointment may be express or implied; the death, bankrolling or insanity of either the principal or the agent may be terminated; the acts of the parties; frustration; or intervening illegality.

It is impossible for businesses to carry out their financial obligations in certain circumstances. As commercial companies become laws, a set of rules on bankruptcy is developed: when an insolvent person or company (i.e. unable to pay debts as and when owing) can request a court of law to assume control of his estate and its distribution to his creditors. Third principles emerge: ensuring that property available to creditors is distributed fairly and equally, freeing the debtor from debt and inquiring into the reasons for his insolvency.

Each contractual agreement entered into affects everyday lives. A contract, usually in the form of a trade agreement involving a certain kind of price exchange of goods or services, is a legally binding arrangement between two or more people, enforceable by the courts. As such, the offer and unqualified acceptance of it, intention to build legal relationships, valuable consideration and genuine consent have to be binding: (i.e., an absence of fraud). Terms and conditions shall be legal, safe and practical.

In terms of the scope of the business law regulating 

(1) sale of products, Contractual relations have resulted as the cornerstone for all commercial transactions in the development, by the Contractual Parties, of special bodies of law — i.e., the implied terms and conditions, effects of execution and infringement of these contracts and the remedies available to parties; 

(2) the carriage of goods, including both national and international rules governing insurance, bills of lading, charter parties, and arbitrations; 

(3) consumer credit agreements; and 

(4) labour relations determining contractual rights and obligations between employers and employees and the regulation of trade unions.

Business law, also called commercial law or mercantile law, the body of rules, whether by convention, agreement, or national or international legislation, governing the dealings between persons in commercial matters. Business law falls into two distinctive areas: 

(1) the regulation of commercial entities by the laws of company, partnership, agency, and bankruptcy and 

(2) the regulation of commercial transactions by the laws of contract and related fields. In civil-law countries, company law consists of statute law; in common-law countries it consists partly of the ordinary rules of common law and equity and partly statute law. Two fundamental legal concepts underlie the whole of company law: the concept of legal personality and the theory of limited liability. Nearly all statutory rules are intended to protect either creditors or investors. There are various forms of legal business entities ranging from the sole trader, who alone bears the risk and responsibility of running a business, taking the profits, but as such not forming any association in law and thus not regulated by special rules of law, to the registered company with limited liability and to multinational corporations. In a partnership, members “associate,” forming collectively an association in which they all participate in management and sharing profits, bearing the liability for the firm’s debts and being sued jointly and severally in relation to the firm’s contracts or tortious acts. All partners are agents for each other and as such are in a fiduciary relationship with one another. An agent is a person who is employed to bring his principal into contractual relations with third parties. Various forms of agency, regulated by law, exist: universal, where an agent is appointed to handle all the affairs of his principal; general, where an agent has authority to represent his principal in all business of a certain kind; and special, where an agent is appointed for a particular purpose and given only limited powers. Appointment may be express or implied and may be terminated by acts of the parties; the death, bankruptcy, or insanity of either the principal or agent; frustration; or intervening illegality. (See also agency theory, financial.) It is inevitable that in certain circumstances business entities might be unable to perform their financial obligations. With the development of the laws surrounding commercial enterprises, a body of rules developed relating to bankruptcy: when a person or company is insolvent (i.e., unable to pay debts as and when they fall due), either he or his creditors may petition the court to take over the administration of his estate and its distribution among creditors. Three principles emerge: to secure fair and equal distribution of available property among the creditors, to free the debtor from his debts, and to enquire into the reasons for his insolvency. Business law touches everyday lives through every contractual dealing undertaken. A contract, usually in the form of a commercial bargain involving some form of exchange of goods or services for a price, is a legally binding agreement made by two or more persons, enforceable by the courts. As such they may be written or oral, and to be binding the following must exist: an offer and unqualified acceptance thereof, intention to create legal relations, valuable consideration, and genuine consent (i.e., an absence of fraud). The terms must be legal, certain, and possible of performance. Contractual relations, as the cornerstone of all commercial transactions, have resulted in the development of specific bodies of law within the scope of business law regulating (1) sale of goods—i.e., implied terms and conditions, the effects of performance, and breach of such contracts and remedies available to the parties; (2) the carriage of goods, including both national and international rules governing insurance, bills of lading, charter parties, and arbitrations; (3) consumer credit agreements; and (4) labour relations determining contractual rights and obligations between employers and employees and the regulation of trade unions.

Business law continues to evolve at a national and international level in new areas of law, which have been developed with regard to consumer protection, competition, computers and the Internet.