Master of Business Administration - Semester 3
MB 0051: “Legal Aspects of Business
ASSIGNMENT- Set 1
Q1. Discuss the nature and significance of business law?
The term „law is used in many senses: you may speak of the law
of physics, mathematics, science, or the laws of the football or health. Inits widest sense, „law means any rule of conduct, standard or pattern, to
which actions are required to conform; if not conformed, sanctions areimposed. When we speak of the law of a State, we use the term „law in a
special and strict sense
Significance of law
Law is a body of rules:-
These rules prescribe the conduct,standard or pattern to which actions of the persons in the state arerequired to conform. However, all rules of conduct do not becomelaw in the strict sense. We resort to various kinds of rules to guideour lives. For example, our conduct may be guided by a rule such as“do not be arrogant” or “do not be disrespectful to elders orwomen”. These are ethical or moral rules by which our daily livesare guided. If we do not follow them, we may lose our friends andtheir respect, but no legal action can be taken against us.
Law is for the guidance or conduct of persons :–
both humanand artificial. The law is not made just for the sake of making it. Therules embodied in the law are made, so as to ensure that actions of the persons in the society conform to some predetermined standardor pattern. This is necessary so as to ensure continuance of thesociety. No doubt, if citizens are „self-enlightened
, disputes may be minimized, but will not be eliminated.Rules are, therefore, drawn up to ensure that members of thesociety may live and work together in an orderly manner. Therefore,if the rules embodied in the law are broken, is used to enforceobedience, and certain consequences ensue.
Law is imposed :-
Law is imposed on the members to bring aboutan order in the group, enabling it to continue and prosper. It is notsomething which may or may not be obeyed at the sweet will of themembers of society. If you cannot impose a rule it is better not tohave it. Thus, law is made obligatory on the members of the society.
Law is enforced by the executive :-
Obviously, unless a law isenforced it ceases to be a law and those persons subject to it willregard it as dead.
, if A steals Bs bicycle, he may be
prosecuted by a court and may be punished. Also, the court mayorder the restitution of the bicycle to its rightful owner i.e., B. If thegovernment passes many laws but does not attempt to enforcethem, the citizens lose their respect for government and law, andsociety is greatly weakened. The force used is known as sanctionwhich the state administers to secure obedience to its laws.