Legal Environment of Business

Law-200

Anika Rafah
Lecturer
North South University
 What is law?
• It is a rule or principle established in a country
by some authority and applicable to its
people.
• For example: The Company Act, 1994.
• A law is made by a legislator or lawmaker.
• Law is two kinds: 1. Public law
2. Private law
Cont….
• Private law applies to relationships between
individuals in a legal system. e.g. Law of
contract.
• Public law applies to the relationship between
an individual and the government. e.g.
Criminal law.
 Rule of Law
• The Rule of Law is the principle that no one is above the law.
• The principle is intended to be a safeguard against arbitrary
governance.
• It cannot exist without a transparent legal system, the main
components of which are a clear set of laws that are freely
and easily accessible to all, strong enforcement structures,
and an independent judiciary to protect citizens against the
arbitrary use of power by the state, individuals or any other
organization.
Cont…

Why do people obey law?

 It makes them feel safe and secure
 Laws are based on customs and values of society
 Penalties apply for those who fail to obey the law
 Sources of Law

• Statute or Act of parliament: Legislation may be

passed by Parliament. The most important kinds of
legislation are statutes or acts.
• Customs: Traditional practice that has become an
essential part of the accepted laws.
• Judicial decision or case law: Consisting of judgments
given by courts applicable in cases and to be
followed as the law in similar cases.
 Courts in Bangladesh

THE SUPREME COURT: Bangladesh Supreme Court is the highest

court of Bangladesh, have two divisions:

 Appellate Division: Appeal to the Appellate Division from the

judgment, decrees, order and sentences made by the High
Court Division.

 High Court Division: The HCD shall have appellate jurisdiction

from the lower Courts.
 SUB-ORDINATE CIVIL COURTS:
• The following five civil courts exist in general hierarchy:
• District Judge Court: It has original, appellate, re-visional, transfer,
review and reference jurisdiction up to taka 5 crore. If suit
valuation is more than taka five crore then appeal/revision lies to
the HCD.
• Additional District Judge Court: It has same powers as to the
District Judge but can exercise his power only if the District Judge
refers any matter to him;
• Joint District Judge Court: It has jurisdiction if the suit valuation is
from taka 25 lac up-to unlimited;
• Senior Assistant Judge Court: It has jurisdiction if the suit
valuation is from taka 15 up-to 25 lac.
• Assistant Judge Court: It has jurisdiction if the suit valuation is less
than taka 15 lac.
 SUB-ORDINATE CRIMINAL COURTS:
The Criminal Courts created under the Code of Criminal
Procedure, 1898, namely:

1. Courts of Session

2. Courts of Metropolitan Session

3. Special Courts/ Tribunals (Criminal)

4. Courts of Metropolitan Magistrate headed by Chief

Metropolitan Magistrate

5. Courts of Judicial Magistrate headed by Chief Judicial

Magistrate
 Special courts/tribunals
• There are a good number of special courts and tribunals, both
civil and criminal, to deal with specific matters or offences.
• For example, in the civil area there are Labour Courts to deal with
disputes under different labour related laws, Family Courts to
deal with matrimonial matters, Money Loan Courts, Bankruptcy
Courts, Income Tax Tribunals, Administrative Tribunals, Election
Tribunals, etc. to deal with relevant matters.
• Similarly in the criminal area, there are Special Tribunals, Public
Safety Tribunals, Courts Against Repression of Women and
Children, etc. to deal with certain specified offences.
• All such courts and tribunals are also under the general
superintendence and control of the Supreme Court.
 Scope of Commercial Law

• Laws relating to business, commercial activity, trade or

commerce.
• It includes the laws relating to:
 Contract
 Partnership
 Companies
 Sale of goods
 Insurance
 Carriage of goods etc.