 Introduction to Business Law:

Different types of activities take place in the society. Business is also a part of social activity,
regulated by the law. Business refers to the economic activities in which goods and service are
supplied in exchange for some payment. It includes buying and selling, manufacturing products,
extracting natural resources. Business law is the law concerned with business activity. This law is an
aggregate of those rules, which are connected with trade, commerce and industry. It is also known as
commercial or mercantile law. It is the law which provides the different provisions to the commercial
community and regulates their activities relating to the trade and commerce. The combined
terms, 'Business law’, also say that 'Business’ refers to the vast array of economic activity, in which
goods and services are supplied in exchange for some payment, usually money and ‘Law’ is the set of
rules and legal principles to regulate human activities. Thus, ‘Business Law’ is sets of rules which
regulate business activities. The establishment, operation, development, extension and dissolution of
business, rights, duties and liabilities of the business persons facilities and concessions available while
running business, governmental control over business and business person, and control over the
governmental interference etc. are clearly provisioned in mercantile law. It includes the law relating to
contract, sale of goods, agency, industry, guarantee, insurance and banking, arbitration, foreign
investment and technology transfer etc. It is not separate discipline; it is a part of civil law, which
deals with the right and obligation of business firms that arises from their business activity. There are
different laws in which the significant provisions are made to regulate the business related activities,
and these laws are known as business law. The law which regulates business activities and
transaction, manage business behavior is known as business law.
According to M.C Kuchhal, “Mercantile is the branch of law which comprises law concerning
trade, industry, and commerce.”
According to P.C. Tulsion, “Basically, Mercantile law is the part of civil law which deals with the
right and obligation of mercantile person arising out of mercantile transaction in respect of
mercantile property.”
"Mercantile law is also used to denote the aggregate body of those legal rules which are connected
with trade, industry and commerce."- N.D Kapoor:
Therefore, the term mercantile law is defined as that part of law which regulates the transaction of
mercantile community. In fact, this law is only a branch of civil law; however, there is no any clear-
cut line of demarcation between business law and other branches of law. Mercantile law is designed
for conducting business activities in a systematic channel.