Premium Essay

The Role of Law in Business

In: Business and Management

Submitted By ncobbmom
Words 781
Pages 4
The Role of Law in Business

The rule of law establishes rules that people and businesses must follow to avoid being punished. The rule of law not only allows people to understand what is expected of them personally, but also sets out rules for businesses so that they know what is expected of them in their dealings and transactions (Lau & Johnson, 2016). It also restrains government and others from infringing on property rights. Should disputes arise, the rule of law provides a peaceful and predictable means by which those disputes can be resolved (Lau & Johnson, 2016). The rule of law is designed to provide guidance and direction in every area of business. It provides a means to bring a complaint against another party to a neutral decision maker so that a decision can be made regarding the dispute (Lau & Johnson, 2016). A complaint can be filed in the proper court to commence litigation or an alternative dispute resolution (ADR) can be used to avoid litigation. When a proceeding is instituted, whether through litigation or ADR, it is expected that there will be some sort of a resolution. This expectation is reasonable only because there is a rule of law.
In 2013 Andrew Cohen wrote about the alarming impact of the funding sequester on the nation's Federal court system. Cohen explained that citizens everywhere would see vital legal rights denied or delayed by the forced budget cuts. The cuts imposed by the sequestering had a negative impact on Federal employees, government programs, and litigation programs run by the Federal government. Cohen commented that “Beyond a reasonable doubt, the sequester is having a profound and pernicious effect on the government's ability to observe its constitutional commands and to provide justice to its citizens.” Attorney General Eric Holder stated:
As we speak, these cuts are already having a…...

Similar Documents

Premium Essay

Role of Law

... Role and Functions of Law Role and Functions of Law There are several different functions of laws; however laws were designed you have just one role. Laws were designed and set into place to govern a set a rules that each individual is expected to follow, whether pertaining to society or to a business. Laws are set and new ones are always being approved, so that there can not only be a consensus on what is right and wrong, but also so there can be a decision on when to punish someone and how to determine whether they have broken the . Law has an extraordinary role in a successful operation of how a business may run and how a society comes together as one. Laws help control social behavior which helps lead to a society that is ran in an efficient type of way. Laws were put in place to set rules of conduct, different ways to enforce those rules, a mean for settling misunderstandings or disputes, and to supply ethical expectations and standards. Some other important functions of laws are: they outline what the government can do and what it cannot do; brings out justice in society; facilitates orderly change; peacekeeping; and they promote economic growth. Something very important to know is that without laws, the way a business is ran or the way people may act, society would not be able to function effectively, with this being said commerce would likely collapse. Although many of the function of laws seem to be rather simple, The United States Legal System is very......

Words: 873 - Pages: 4

Premium Essay

Role and Functions of Law Paper

...Role and Functions of Law Juanita Lexvold LAW/421 June 3rd, 2013 Walter M Pence 111 Role and Functions of Law This paper will discuss the functions and role of law in business and society. It will discuss the functions and role of law in a past job. To accomplish this task I have researched three references from my reading. Define the functions and role of law in business and society. According to Melvin, 2011, “law is a body of rules of action or conduct prescribed by controlling authority, and having legal binding force.” The function and role of law is for social justice, personal freedom, and to maintain peace. Law functions to protect public order and maintain social control by resolving disputes in a peaceful manner. According to Czaja, 2013, “Laws also facilitate orderly change by spelling out acceptable processes for instituting change. Constitutional laws outline what governments can and cannot do.” Roles of law are classified in three areas, civil and criminal laws, substantive and procedural laws, and public and private laws. Civil laws are designed to compensate both society and business for losses or damages as a result of another’s conduct (Melvin, 2011). According to Melvin, 2011, “Criminal laws are for the protection of both society and business. Violation of criminal laws can result in the form of penalties such as fines or imprisonment, or both. Substantive laws provide individuals with rights and create certain duties while procedural laws......

Words: 903 - Pages: 4

Premium Essay

Role and Functions of Business Law

...The Role and Functions of Business Law Tanisha Haynes LAW/421 July 18, 2013 Ms. Lindsey Cole The Role and Functions of Business Law When people hear the word law, one will think of the laws in which people have to abide by on a daily basis. There are several different variations to the laws; there are states laws. Each state has their own rules for their citizens to follow. Then there is the Federal law, which governs the government. According to Melvin, “the term law is defined as a body of rules of actions or conduct prescribed by controlling authority, and having legal binding force” (Melvin, 2011). Laws, established to keep order within a small area like a neighborhood or driving down the street in a vehicle. The laws are here to protect the innocent and charge the guilty. The laws play a big part in people everyday lives. When driving down a busy highway, people are following the rules of the road, which are laws set to guide the drivers safety. In the business world, laws work the same way. A few examples of different laws are common law, statutory law, administrative law and constitutional law. While working for the United States Postal Service (USPS), Tanisha had and on the job injury while running letter mail on a sorter. She mashed her thumb inside the door of the machine. She knew that if she reported the accident, she would have to file paperwork and go to the urgent care and she did not want to go through the hassle. As time went on, she......

Words: 843 - Pages: 4

Free Essay

Role and Functions of Law

...Role and Functions of Law Debbie Smith LAW/421 May 21, 2013 Tiffany Brady Role and Functions of Law Law is an important element to any civilized society. Without law the parameters of civilization would remain undefined. Law applies to everything in today’s society from personal life, to employment, and finally the government. The best way to describe law is a “body of rules of action or conduct prescribed by controlling authority, and having legal binding force” (Melvin, 2011, p. 4). Therefore, laws are the basis of forming society to conduct business in normal daily operations through the roles and function of law. The laws that govern the citizens within the United States are entailed in the rights given by the Constitution of the United States. This paper will define the three specific roles of law and its function in business and society and how the law applies to employment. Definition of Role and Functions of Law in Business and Society Everything an individual does can affect the outcome and any action can be in favor of good or bad, right or wrong. The three areas of specialty roles of law are described in detail as follows: 1. Criminal and civil law – Criminal law is brought to court by the government on behalf of the people and prosecutes individuals for committing illegal acts against others or others possessions. This law is also public and can be accessed by any individual seeking information, unless a judge has ordered the case as private,......

Words: 1097 - Pages: 5

Premium Essay

Roles of Law in Business

...The United States securities laws and corporate governance system requires that a board of directors supervise the management of each public corporation. The Securities Exchange Act of 1934 created the US Securities and Exchange Commission (SEC). The primary mission of the US Securities and Exchange Commission is to protect investors and maintain the integrity of securities markets. The SEC oversees corporate disclosure of information to the investing public. Public companies in the United States with more than $10 million in assets and whose securities are held by more than 500 owners are required to file annual and quarterly statements (Forms 10K and 10Q) with the SEC. These forms are supposed to disclose information about such public companies financial condition and business practices. This disclosure is expected to help investors make informed investment decisions. To restore the investing public’s faith in capital markets, Congress passed the Securities Act of 1933 and Securities Exchange Act of 1934. These laws were designed to restore investor confidence in U.S. capital markets by providing for more structure and oversight. American Journal of Business Fall 2002: Vol. 17 No. 2 The Social Impact of Business Failure: Enron Uma V. Sridharan, Lander University Lori Dickes, Lander University W. Royce Caines, Lander University According to Merriam Webster Online, law is "a binding custom or practice of a community; a rule of conduct or action prescribed or......

Words: 603 - Pages: 3

Premium Essay

The Functions and Role of Law in Business and Society

...The Functions and Role of Law in Business and Society Henry David Thoreau once said, “If the machine of government is of such a nature that it requires you to be the agent of injustice to another, then, I say, break the law.” (Henry David Thoreau, n.d.) Mr. Thoreau was perceptive in that he knew in government, sometimes a person may have to do something that is not favorable in the eyes of the majority, but the right thing to do for a minority group of people. In the proceeding pages, I will attempt to define the functions and role of law in business and society. I will discuss the functions and role of law as it pertains to a previous job. The Functions and Role of Law in Business and Society Cipollone brought suit against Liggett for violation of several New Jersey consumer protection statutes alleging that Liggett (and other cigarette manufacturers) were liable for his mother’s death because they engaged in a course of conduct including false advertising, fraudulently misrepresenting the hazards of smoking, and conspiracy to deprive the public of medical and scientific information about smoking. Liggett urged the court to dismiss the state law claims contending that the claims related to the manufacturer’s advertising and promotional activities were preempted by two federal laws: (1) the Federal Cigarette Labeling and Advertising Act of 1965, and (2) the Public Health Cigarette Smoking Act of 1969. (Melvin, p. 33, 2011) It can be said that......

Words: 833 - Pages: 4

Free Essay

Role of Law

...The Functions and Role of Law in Business and Society Law/421 Functions and Role of Law in Business and Society On a normal weekday, you wake up, prepare breakfast, take your kids to school and then you join the traffic jam and head to work. It may seem like a typical day, but there were many laws that influenced and allowed these actions. Regulations were followed by the utility companies to service your home. The school adhered to educational regulations for your child to attend. The city followed law regulations for you to be able to commute to work and lastly, your employer followed certain regulations to be able to operate. In Business and Society Laws play a major role in business and society in more ways that we know. Laws influence many areas of business and society that following them requires minimum thought. The purpose of laws is to maintain social control and keep the public safe by resolving issues fairly and safely (“Business Law”, 2014). Laws create and establish order by detailing what is acceptable and unacceptable behavior for society and businesses. They promote good faith dealing amongst merchants and the public. In society, public law includes criminal, administrative and constitutional laws. These laws help keep society protected by establishing what is lawful and what is not. Society feels safe when others who break the law are removed from the population. People are able to enjoy their lives outside of work...

Words: 873 - Pages: 4

Free Essay

Functions and Roles of Law in Business and Society

...Functions and Roles of Law in Business and Society xxxxxxx LAW/421 xxxxxxx Functions and roles of law in business and society The governance of business through state and federal laws is a very complex system. Many laws, statutes, and regulations are in place to protect the consumer and the business. These laws stem from city ordinances in local municipalities to Congress’s broad commerce powers that have the final say. Each of these laws and regulations have specific roles and are designed to function in certain ways. Roles The regulation of interstate commerce is governed by Congress’s Commerce Clause. This clause is designed to give the unrivaled power to Congress to have the supreme rule over interstate commerce. “Congress exercises its commerce powers in various forms. However, the direct and broad power to regulate all persons and products related to the flow of interstate commerce is the fundamental source of its authority” (Melvin, 2011, p. 32). Functions In the case of Cipollone v. Liggett Group, Inc., where Cipollone is pursuing suit against Ligget for restitution in the death of his mother due to violations of New Jersey consumer laws. However, Congress utilized the Supremacy Clause and ruled against Cipollone because federal law contradicted the consumer protection put in place by New Jersey. This is a great example of the function of Congress’s broad power to step in when necessary, provided there is legal ground for their action. If...

Words: 705 - Pages: 3

Premium Essay

Role of Law

...The Role of Law in Business and Society Vernon Padberg III LAW/421 December 23, 2014 Safiya Byars   Impact of Law on Businesses and Society In today’s world, the healthcare law is having an impact on virtually every person in the United States. In the beginning of 2014 those who are uninsured must purchase coverage either on their own, through an employer's plan, or through a health insurance exchange. However, if the individual chooses not to get coverage then that person will end up having to pay a tax penalty, but those that are insured will continue to enjoy key mandates of the law such as free preventive care and coverage of adult dependents up to age 26, but at the expense of higher out-of -pocket costs. Since the Federal preemption in the healthcare industry has grown considerably in the last 10 years, most notably the Patient Protection and Affordable Care Act or Obamacare signed by President Barack Obama in 2010, there has been a sweeping change in the healthcare industry. This act preempts many of the state’s laws that have been used to regulate healthcare in the past (Tsai 2011). Furthermore, the relationship between insurance companies and patients is starting to change significantly since the law requires insurance companies to cover all applicants within new minimum standards thus offering the same rates regardless of pre-existing conditions or sex. Also additional reforms are aimed to reduce costs and improve healthcare......

Words: 648 - Pages: 3

Premium Essay

Roles of Law

...Roles and Functions of Laws Kevin Ivery Law 421 November 10, 2014 Nikki Chtaini Roles and Functions of Laws As I have learned throughout my years of attending some form of public education, there has always been a governing body that has instituted some type of law that people and business must abide by. Traces of law that has govern authority can be traced all the back to the beginning of time. The functions and the role of law for business and society differ now in the 21st century. With the endorsement of the 10th amendment, Federal and state powers were separated, which lead to the birth of the Commerce and Supremacy Clause were born. Businesses have headquarters located worldwide and perform services at remote locations. The company I work for is no different and must abide by the law set forth by the government. 10th Amendment On December 15, 1971 the ratification of the 10th Amendment of the Constitution was put into place to separate the Federal and State Government. According to "Findlaw" (2014), "The Tenth Amendment was intended to confirm the understanding of the people at the time the Constitution was adopted, that powers not granted to the United States were reserved to the States or to the people." The delegates of that time were assured that the new Federal Government could not enforce powers that they did not have. The Tenth Amendment also assured the State delegates that when needed they would be able to exercise the reserve power that was......

Words: 831 - Pages: 4

Premium Essay

The Role of Law in Business

...Business and Society Law Kimberly Johnson LAW 421 June 22, 2015 Lisa Johnson Society and Business Law We live in a society where there are rules and regulations surrounding us on a daily basis. No one gives it a second thought to obey the rules of the road or to automatically pay for your groceries at the store. Laws are in place to ensure a peaceful existence for all of society, and to preserve the rights of individual Americans and businesses. Individuals who choose to disobey the laws will be punished. This paper will put the following three topics into perspective; the structure and nature of the constitution, the role and function of law in society, and the judiciary system. The Organization of the Constitution The structure of the constitution is set up to ensure that each section or branch does not exceed its authority. “The constitution has a preamble, seven articles, and twenty-seven amendments (Melvin, 2011)." The "Bill of Rights" are comprised of the first 10 amendments. “The first three articles establish a three part system of government with these three branches: the legislative branch, the executive branch, and the judicial branch (Melvin, 2011).” The first amendment guarantees each citizen the freedom of religion, speech, and press. The second amendment ensures citizens the right to bear arms. The third amendment guards against forcing citizens to house and feed soldiers. The fourth amendment guards against unreasonable search and seizure...

Words: 699 - Pages: 3

Premium Essay

Role and Functions of Law Law/421

...Role and Functions of Law Law421 University of Phoenix Role and Functions of Law Laws are what governs or make the world run the right way; it happens to be the most significant part that keeps our society to running to this date, it allows us our freedoms and able to operate our many successful businesses. The laws that we have are apart of our society and along with them we are better able to do our daily functions and be able to carry out our daily activities without having any worries. The laws also keep people aware of how the act, when it comes to their behavior. laws provide rules that in a sense has a individual that is in charge of them, and it also gives people the expectations of being there as a daily reminder that can keep them safe from others who don’t show that they know the fact that the laws are there for a reason. Laws are there to benefit of any and everyone,. The government is the enforcer, of the laws. without law, a country would lack government rules, which would then take out the efficiently and effective governing of the country. What exactlty are laws? laws consists of arranged rules and actions that are put together by a body which is legal and binding. The Laws are put into place and have regulations so they can be enforced if these laws are not followed. These Laws supports the government as well as the businesses and also individuals at one time or the other. What are the rules and functions of the......

Words: 917 - Pages: 4

Premium Essay

Role and Functions of Law

...Role and Functions of Law Travis Martin LAW/421 Bernice Jenkins Role and Functions of Law The successful operation of business and society depends heavy heavily upon the function and role of law. Regulating behavior in respect to the general society is the primary purpose of law. Law establishes a protection of guidelines for mankind, animals, and the environment regarding safety issues and concerns. The term “law” has a variety of meanings for defining and describing it throughout history. However, a general acceptable definition of law is a body of rules for the action, conduct, or behavior prescribed by a controlling power of authority with legal binding force (Black’s Law Dictionary, 2013). Law can also take the form of a written code arranged and prescribed by an elected legislative body of judicial decisions, and actions of government agencies. In American law, the current state of law concern itself with common characteristics that create duties, obligations, and rights reflecting acceptable views of a given society (Melvin, 2011). The following contents of this paper cover the functions and role of law in business and society. It also discusses the functions and role of business law in the automotive industry. It is important to indicate that originally, law dealt with the concern of problems and issues regarding ownership of property. Today’s modern legal doctrines deal with complex system of principles and protections for law that provides......

Words: 1006 - Pages: 5

Free Essay

The Role of Law

...Law in Business and Society LAW/421 September 19, 2011 Law in Business and Society The role of law in business and society The successful operation of business and society is due to the role that law plays. In order for society to run smoothly, laws are needed to regulate social behavior. Ethical standards and expectations are also supplied by laws, while offering rules of demeanor, methods to implement those rules, and processes for settling debates. While the overall functions of law seem to be rather straightforward, the United States legal system is really very complicated. At a broad level, the major function of law is to uphold steadiness in the public, civil and economic structure while at the same time allowing change. The law achieves this essential function by presenting a number of precise functions, including dispute resolution, defense of property, and conservation of the state (Bushman, 2007). Functions of law also provide are: negotiation; checking government power and encouraging personal freedom; assisting planning and the grasp of rational expectations; boosting economic growth via free competition; promoting social integrity; and protecting the environment. Most people will agree that without laws to govern the exploits of people and businesses, society would not be capable of functioning effectively, and business would likely shut down (Bushman, 2007). In the United States, the legal system acknowledges the significance of law in day to day......

Words: 796 - Pages: 4

Premium Essay

Functions and Role of Law in Business and Society

...Functions and Role of Law in Business and Society Introduction Law has a huge role in both business and society. It has evolved from basic morality and society cannot exist properly without it. Law most often is aligned with customs and that which society has deemed to be right or wrong (Emerson, 2009). In business, companies would have a free- for- all without it. The result would be that no business would actually be achieved. Law in Business Laws govern every aspect of business. They keep businesses running smoothly and keep them from hurting each other and the consumers. There are laws that control interstate, intrastate, e-business and, international business. They control manufacturing, distribution, shipping and employment. Patents, trademarks, and copyrights are all protected by the law. Companies can be held to product safety laws concerning product liability. Product liability is the responsibility of people, sellers and manufacturers concerning death, damages or injuries due to defective products (Wild, 2010). Another type of business law is an antitrust law that keeps companies from market sharing, price fixing, and monopolizing an industry. There are many government agencies that control business law. Some examples are the Federal Trade Commission, U.S. Consumer Product Safety Commission, U.S. Patent and Trademark Office and the U.S., and the International Trade Commission. Law in Society Laws touch every aspect of social behavior across all walks of......

Words: 798 - Pages: 4

A Cosmic Christmas | └ Équipements professionnels | Hongkong