Business and Commercial Law – An Overview
Business law and commercial law are broad legal topics that encompass business, commerce, consumer transactions and the formation and management of business entities. Some of the more important areas of commercial law include sales, secured transactions, negotiable instruments and debtor and creditor law. Contact The Leo Law Firm in Chicago, Illinois, today to schedule a consultation with an attorney who can help you with all of your business and commercial law questions.
The Sale, Lease and Distribution of Goods
Contracts for the sale, lease and/or distribution of goods are primarily governed by state law. However, most states have adopted the Uniform Commercial Code (UCC) with regard to these topics. A business and commercial law attorney can assist you with your UCC questions.
Secured Transactions and Negotiable Instruments
Secured transactions and negotiable instruments are two important areas of commercial and business law. In a secured transaction a borrower agrees that the lender may take property owned by the borrower as collateral should the borrower default on a loan; in other words, it is a way to secure a loan. A negotiable instrument is a writing that promises the payment of a fixed amount of money. Both of these areas are essential to modern business loans and everyday transactions.
Consumer Credit: Debtor and Creditor Laws
Credit allows people to promise to pay in the future in order to buy or borrow in the present. Credit is vital to our system of commerce and is used every day by businesses and consumers. An understanding of the laws governing consumer credit is vital to protect your own interests, whether you are the creditor, a business owner, an entrepreneur or a lending agency.
The Formation and Management of Business Entities
Most businesses are well served by choosing a variation of one of the four major organizational forms: (1) sole proprietorship, (2) partnership, (3) limited liability company and (4) corporation. Each has its own specific advantages and disadvantages. A core focus on the personal liability ramifications and tax implications of each type of entity should guide a new business owner in his or her selection.
Business and Commercial Law Resource Links
Commercial Law League of America
Organization of attorneys and other professionals who represent the credit industry in debt collection, bankruptcy and commercial litigation.
Fair Debt Collection Practices Act (FDCPA)
Provides a link to the FDCPA and to other resources about the Act, which requires fair treatment of consumers by debt collectors.
National Association of Credit Management (NACM)
NACM is a membership organization that is a resource for credit, collection and financial management professionals, providing information, products and services designed for effective business credit and accounts receivable management.
Small Business Administration (SBA)
The SBA aids, counsels, assists and protects the interests of small businesses. A great resource for all things business related.
Federal Trade Commission (FTC)
The FTC enforces a variety of federal antitrust and consumer protection laws. It works to eliminate acts or practices that are unfair or deceptive.
Frequently Asked Questions About Business and Commercial Law
Q: What body of law governs a contract for the sale of goods?
A: A contract for the sale of goods is governed mainly by state law. Most states have adopted Article 2 of the Uniform Commercial Code (UCC) which provides rules for all phases of a sales contract including formation, modification, performance and available remedies in the case of a breach.
Q: What body of law governs a lease of goods?
A: A contract for the lease of goods is also primarily regulated by state law. Most states have adopted Article 2A of the Uniform Commercial Code (UCC) which pertains to leases of goods.