Source means place of beginning or origin. Source of business law means the beginning point of rules and regulations in regard to trade, commerce and business. There may be numbers of sources which have contributed to creation of business law. Here are under the major sources of business law which contributes to develop the business environment. Those are as follow.
- Law made by Parliament:
The laws made by parliament are important source of business law. To enact the new law repeal and amendment of existing law is the sole business of this body. To regulate the business you need the strong law. This law is the outcome of demand of the people in tuning of the time. It is made through formal process after a series of discussions by the law makers. For Example: Contract Act 2056, Arbitration Act, 2055 Parliament was made or enacted those laws which enhance or promote the business. That is why law made by parliament is an important source of business law.
- Custom and Usages:
Custom is particular way of behaviors. The rule developed from custom is customary rule. The customary rule is binding, whereas it is ancient, reasonable, proved to be immemorial continuously followed and recognized by the state. For this reason traditional custom and usages play important role in the development of business law.
Judicial decisions are called precedents. A precedent is a judicial decision which contains in itself a principle said judicial authority in course of verdict of the business case which is applicable to other similar nature of case in future. It is also known as case made law.
- English Mercantile Law:
Business law was evolved in England. It is the pioneer of business law in the world. Nepalese and Indian business law is influenced by the British business law that is why English mercantile law is another source of Nepalese business law.
- Opinion of Professional and Experts:
Lawyers and Jurists play significant role to create new principles and thoughts of business law. Various research and analysis create the environment of enacting and amending the existing law as well as introducing the new one. So the opinion of professional and expert on the business area help to develop the business law.
- Business agreements and Conventions:
This is most important sources of modern business law. International business organizations are more active in this realm. Those organizations are active at a national level, international level and word wide. They play vital role to manage, regulate and control the business affairs. e.g. SAFTA, EU, WTO Those organization has made various agreement, bilateral and multilateral treatises and Conventions. These are also became the source of national business law. According sec 9 of the treaty act 1990, it creates the obligation to the parties to obey it and the contrary provision to it law is invalid.
- Short Questions
- Define business Explain any three major sources of Nepalese business law. [4+6] 2055
- Define legal Why is the study of legal environment important for a business? [4+6] 2056
- What is business law? Is there any clear-cut line of demarcation between business law and other branches of law? [5+5] 2057
- Explain the nature and sources of Nepalese business [5+5] 2058
5. Explain the nature and sources of Nepalese business law.
6. State and explain the importance of legal environment for business.
7. Define business law. Explain the sources of Nepalese business law.
8. Give the concept of business law and explain its importance.
9. What is business law? Explain the sources of business law.
10. Give the concept of business law and explain its importance.
11. Define business law. Explain its importance.