Thinking about Law
1. A citizen may think of ‘law’
as a set of rules which he must obey.
2. A lawyer who practices ‘ law’ may think as a
3. A legislator may look at ‘law’
as a something created by him.
4. A judge may think of ‘law’
as a guiding principles to be applied in
Law includes all those rules and
regulations which regulate our relations
with other individuals and with the state.
Law means a set of rules recognized and
enforced by the state to control and regulate
the conduct of people, to protect their
property and contractual rights with a view
to securing justice, peaceful living and social
According to Salmond,
“Law is the body of principles recognized and
applied by the state in the administration of
According to Holland,
“Law is a rule of external human actions
enforced by the sovereign political authority”.
“Business Law is the body of law that
applies to the rights, relations and conducts
of persons & businesses engaged in
commerce, merchandising, trade and
It is mostly known as Commercial or
Nature/Characteristics of Law
A Law will present the following features –
(i) It is a set of rules.
(ii) It regulates the human conduct.
(iii) It is created & maintained by the state.
(iv) It has certain amount of stability, fixity &
(v) It is backed by coercive authority.
(vi) It’s violation leads to punishment.
Rule of Law
The Rule of Law is the concept of equality of all persons
Dicey told about THREE (3) Rule of Law –
(i) “No man is punishable or can be lawfully made to
suffer in body or goods except for a distinct breach of law
established in the ordinary legal manner before the
(ii) “No man is above law”.
(iii) “The Rule of Law is the result of statutes & judicial
decisions determining the rights of private persons”.
Scope of Business Law
The Scope of Commercial Law is wide.
It includes the laws relating to –
1. The Contract Act – 1872
2. The Sale of Goods Act – 1930
3. The Negotiable Instrument Act – 1881
4. The Partnership Act – 1932
5. The Company Act – 1994
6. The Insurance Act - 1938
Scope of Business Law
7. The Insolvency Act – 1997
8. The Carriage of Goods Act –
(a) The Common Carriers Act – 1865
(b) The Railway Act – 1890
(c) The Carriage of Goods by Sea Act – 1925
(d) The Carriage of Goods by Air Act - 1934