When you own a business, you should have a general understanding of the various legal aspects involved in operating a company. This will ensure you know your rights and responsibilities. Several rules and regulations provide guidelines for conducting business, managing commercial relationships, and running an organization. You’re likely to have many questions about business law and how it applies to your operations.

What to Know About Business Law

What Does Business Law Encompass?

This practice area covers business formation, partnership agreements, employer-employee relationships, mergers or acquisitions, and the dissolution of a company. Additionally, it involves any litigation over breaches of contract, debt collections, insurance claims, and intellectual property infringements.

What Are the Different Types of Business Entities?

There are several options to consider, such as a sole proprietorship, limited liability company, corporation, and partnership. Each type has its own laws regarding liability, taxation, asset protection, and the distribution of profits.

What Are the Requirements for a Business Contract or Agreement?

Contracts play an integral role in any business operation, but they’re often drafted incorrectly. Under the law, contracts are required to contain certain elements to be considered valid. First, there needs to be an agreement between parties, which includes an offer and acceptance of the offer. Next, is consideration, meaning each party provides something valuable to the other. Also, everyone entering the contract must be mentally competent and intend for the agreement to be legally binding.

What Should I Do If My Business Is Sued?

Should you receive notice of a lawsuit, consult a business law attorney immediately. They’ll evaluate the situation and determine which course of action has the greatest likelihood of reaching a favorable outcome. This may include a settlement, negotiations, mediation, arbitration, or a courtroom trial.

Business laws are complex, and a simple misunderstanding can be costly for your company. A qualified attorney from Hawaii Convey will help you navigate the federal and state laws that impact your organization. For over 30 years, they’ve provided Oahu entrepreneurs with sound legal advice and effective representation while giving each client personalized attention. Call their Honolulu office at (808) 792-8777 to schedule a consultation, or view their services online.