Chapter 1: Knowledge of law as a business asset
1. Business law: a set of established rules governing commercial relationships, including
the enforcement of rights.
2. Decisions regarding:
a. Start up
iii. Sole proprietorship
i. Lease: contract form
ii. Purchase: contract, financing arrangements
iii. Build: purchase, financing, construction contract
i. Human right laws
ii. Human right commissions.
e. Suppliers: legal contracts form
3. Knowledge of law is an asset for 2 reasons:
a. Maximizing protection for the business
b. Avoiding law pitfalls
i. Legal risk management plan: a comprehensive action plan for dealing
with the legal risks involved in operating a business ▯plan for risks before
4. Influence of law on commerce:
a. Protect humans and properties (pg. 610)
i. Setting penalties
ii. Ensure accountabilities
1. Breach of contract: failure to comply with a contractual promise
2. Defamation: public use of a false statement of fact or opinion that
harms other’s reputation.
3. Counterfeit: copies of brands that may cause confusion
4. Knockoffs: copies of product designs that do not cause confusion
5. Subprime borrowers: borrowers with poor history credit.
b. Facilitates interaction: the objective of law is more about facilitating
personal/business interactions rather than simply applying rules
1. Age of majority: the age at which a person becomes an adult for