Commercial law is the law that is charged with governing business, and includes the legal ramifications of business dealings and encompasses the entire scope of commercial transactions. It is very important to individuals and organizations that are engaged in day-to-day business and commercial transactions. The commercial legal field ensures that all applicable laws governing business and commercial transactions are followed, which creates an atmosphere of fair and just business dealings. Without the governing rules provided by commercial law statutes, the business world would be a free for all of unfair and unjust business dealings, which would follow no ethical guidelines. The field is usually considered a branch of civil law due to its emphasis on controlling the civil actions conducted by businesses, but the ramifications of breaking this code of law could result in both civil and criminal actions being taken against those who break commercial business laws.
Commercial law is unique because of the fact that it governs many different facets of business. Contracts law is one such area that is governed by commercial law, which seeks to ensure that all contractual agreements are fair, just,and equitable to all parties involved in the process. The commercial legal statutes also help to ensure that legally binding contracts are not in opposition with any present civil or criminal laws. Consumer goods are another important area that is governed by commercial law, which helps to ensure that both the producer of goods and the consumer of those goods are protected from any foreseeable harm through the manufacture and or use of these items. Hiring practices is an area covered by commercial law that seeks to ensure fair and equitable hiring practices by individuals, businesses and institutions. Without the fair and equitable hiring practices that are enforced by commercial legal statutes, the best qualified individuals for positions may not be hired for the jobs that they are suited for. Unfair hiring practices have been greatly reduced through the introduction and practice of commercial law, which has helped many to avoid racial and other discriminatory pitfalls when seeking employment.
The legal ramifications contained within the commercial legal field, sets up the rules and regulations that govern arbitration practices between individuals, organizations, and other institutions. It provides a method in which to govern arbitration practices, in order to ensure that the practices are conducted in an equitable and just manner, that results in a fair business agreement between the parties involved.