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Opinnäytetyö - Ammattikorkeakoulututkinto
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Course: Business legislation

Legal families

Author: Natalia Kasyanova

1 INTRODUCTION

Countries can be classified into legal systems, or legal families according to similar characters
of law: form of law, legal ideas, structure of law, legal culture, law traditions, origin and develop-
ment of the legal systems.

The two most widely distributed legal systems are the Romano-Germanic civil law (continental)
and the Anglo-American common law.

Another families are the Islamic law, other religious legal systems, African Law, Legal systems
of the Far East, Law of socialist countries and some others. Legal scholars do not have general
consensus on classification, there several points of view on this matter. Some countries have
elements from different legal systems.

1.1 Legal Systems of the World

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2 ROMANO-GERMANIC LEGAL FAMILY

Romano-Germanic legal system is the oldest and most influential legal system, also
called the civil law, or continental law.

Civil law and the modern Romano-Germanic legal system have origin in the Roman
law.

Ancient Rome had conquered the world three times: first through its armies, then
through its religion, finally through its laws.

2.1 History and development

The term “civil law” derives from the Latin “ius civile”, the law applicable to all Roman
’’cives” or citizens.
It dates to 450 B.C.: when Rome adopted a code of laws applicable to Romans, -
Twelve Tables 1. They were the beginning of a new approach to laws where they
would be passed by government and written down so that all citizens might be treated
equally before them. The law better represented the interests of the ordinary people
(plebeians) and reduce the undue influence of the aristocrats (patricians) and priests
(pontifices). It was a first step which would allow the protection of the rights of all citi -
zens. Precisely-worded written laws were known to everybody.

Laws became statute, that is they were made only after first being decided on by a leg-
islative body (committee) and were no longer based on mere custom and tradition.
(Statute is a law that has been formally approved and written down).

The most significant event was the compilation and codification of all Roman law under
direction of the Emperor Justinian: Corpus Juris Civilis, or Code of Justinian (between
528 and 534 A.D.). Codification means selection, arrangements and simplification or
the existing rules and prescriptions.

Roman law got around Europe later, there law didn’t exist, but tribal customs were in-
stead.

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Leges XII Tabularum, https://www.ancient.eu/Twelve_Tables/
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Norms of the Roman law were that good that modern countries had adopted them. Some con-
cepts and definitions from the Roman law are still in use, they were good for the precise word-
ing.
For example,
1) division between private and public law. Private law is related to interests (benefit) of
individuals, public law is related to interests (benefits) of a state, such as taxes, military
service, temples, roads.
2) Definition of the ownership right was described as a right of an owner to possess, to
use (extract serviceability of goods) and to dispose of item of property (dictate the
fate).
3) Classification of the things (items of property): movable and unmovable. Movable
things can be moved without damage to entirety, but unmovable things can be de-
stroyed if moved from ne place to another.
4) Classification of the things: divisible property and indivisible property. The divisible
item retains its features and qualities when divided into pieces or parts, for example,
honey, grains.
5) Inheritance law: testate succession - expression of will of a person that it will be valid
after his/her death (hereditas testamentaria) and the legal succession (hereditas legit-
ima) if there is no will or it was not found. The close family members and persons de-
pendent were called for succession according to the law.
6) The concept of the Legal entity is also originated in Rome.
7) Oral contract – the oldest type of a contract – existed in Ancient Rome and had formal
procedure. Written contracts appeared later.
8) Pledge of collateral – granting security for a debt and mortgage.
9) Guarantee of payment, liquidated damages, deposit, earnest money
10) Responsibility for causing harm;
11) The forms of rights protection: - private defense;
– protection by the legal bodies of the state;
- prescription (squatter's rights);
- independent tribunal;
- the adversarial system - is a legal system where two advocates represent their par-
ties' positions before an impartial person or group of people, usually a jury or judge,
who attempt to determine the truth of the case. As opposed to that, the inquisitorial
system has a judge (or a group of judges who work together) whose task is to investi-
gate the case.
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The Roman law was displaced to some extent by the rules of the Germanic tribes when they
overrun the Western Roman Empire.

A passion for knowledge of law flourished in the Renaissance era when first universities were
established in Europe. Universities played a significant role in development of the legal ideas of
the Continental law. Sometimes it is said that Romano-Germanic legal family is a law of legal
scholars.

Romano-Germanic legal system is the group of legal ideas and systems ultimately derived from
the Code of Justinian. Legal system proceeds from abstractions, formulates general principles,
and distinguishes substantive rules from procedural rules. The marked feature of Romano-Ger-
manic system is that they use statutes created by governing bodies and Codes with brief text
that tends to avoid factually specific scenarios. Code articles deal in generalities and thus,
stand at odds with statutory schemes which are often very long and very detailed. Core princi-
ples are codified into a referable system, which serves as the primary source of law.

During the era of great revolutions in Europe, as part of the struggle for independence, each
state began to develop its own law and make additions to the Roman law.
Law codification started to grow within Europe with appearance of national states.

French Civil Code of 1804 (Code Napoléon) and the German Civil Code of 1896 were models
for most of the other modern civil codes. The authors of the French Civil Code realized that they
could not foresee every possible legal eventuality, so they set out flexible general rules rather
than detailed provisions. It incorporated the principal ideas of the French Revolution, including
the right to possess private property, the freedom to contract.
The French civil code is now followed by the Netherlands, Belgium, Poland, Spain, Portugal,
Latin America, sub-Saharian Africa, Indonesia. The German Civil Code in Austria, Greece,
Hungary, Switzerland, Turkey, Japan, South Korea.

2.2 The specific features of the modern Romano-Germanic legal family

All the national systems, which were developed in the continental Europe and based on combi -
nation of Roman, canonic and local traditions, form a part of the Romano-Germanic legal sys-
tem. All those countries took principles of the Roman law as a basis.
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The main source of law is regulatory act (statutory act). The legal doctrine is widely used, legal
scholars may assist in solution of case. Legal scholars also engaged in law-making process.

The specific features of the modern Romano-Germanic legal family:

1) Adoption of the Roman law;
2) Difference between public and private law;
3) Classification on Branches of law.
Branch of law is a subdivision of principles and regulations, defined by its area of
application. Branches of law according to regulated areas: constitutional law, civil
law, criminal law, financial regulation, family law, labor law etc.
4) The main source of law is a regulatory legal act.
Regulatory legal act (normative legal act) - an official document of the established
form, adopted within the competence of the authorized state body, other social
structures (municipal authorities) or by referendum in compliance with the proce-
dure established by law, containing generally binding rules of conduct, designed
for an indefinite number of persons and multiple use.
5) There is a hierarchy between regulatory acts how they rank in authority. Regulatory legal
act, adopted by higher state authority takes priority over regulatory act, adopted by inferior
agencies or subordinate authorities. In case of a contradiction between them, the regulatory
act from the higher authority is invoked.
6) Tradition of law codification. States also have written Constitutions that serve as a basic law.
7) Courts’ main task is to apply and interpret the law contained in a code/statute to case facts.
The assumption is that the code regulates all cases that could occur in practice, and when
certain case is not regulated by the code, the courts should apply some of general principles
used to fill the gap (if rules are unclear or contradictory), or the law interpretation. Law inter-
pretation means clarification of the meaning and content of a regulatory legal act. Task of
the interpretation is to find out what the legislator had in mind when this norm was adopted.
Legal precedent is not normally used. Judge is perceived as a case handler, or a clerk,
rather than a law-maker.

Countries with Romano-Germanic legal system: Netherlands, Belgium, Poland, Finland, Spain,
Germany, France, Austria, Greece, Switzerland, Latin America countries, Indonesia, Turkey,
the Russian Federation, the South Korea and some others.
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3 ANGLO-AMERICAN COMMON LAW LEGAL FAMILY

Anglo-American common law system is founded not only on laws made by legislatures but on
judge-made laws, which in turn are based on custom, culture, habit, and previous judicial deci-
sions throughout the world.
Common law – the legal system of England and countries that were once English colonies. It is
based primarily on court-made rules or precedent – an act that can be used as a model for later
similar cases.
Regulatory acts, codes are also used in the Anglo-American law system, but less than in Ro-
mano-Germanic family.
Precedent – a court decision, example in practice, or case that took
place in the past and serves as a pattern, reference, or justification, ba-
sis, proof for the following similar cases. Precedent, from the Latin
“praecedents”, “praecedentis” = “previous”, “preceding”, “former”, “going
before in time”.

3.1 History and development

The common law tradition emerged in England during the Middle Ages and was applied within
British colonies across continents.
The origins of the Anglo-American common law system can be traced back to the year 1066,
when the Normans conquered England and William the Conqueror began to centralize the gov-
ernmental administration of his new kingdom. He began to consolidate power and establish
new institutions of royal authority and justice.
As an old tradition, the cases were solved by the local authorities of the tribes according to local
customs.

Custom = long established tradition or usage that becomes customary law. Written
or unwritten rules that have been around for such a long time or are so generally ac-
cepted that they are described as customary law.

The king’s courts represented the common custom within the state, as opposed to the local
customary law and traditions of the tribes. The goal of the King’s courts were not to judge ac-
cording to the local customary law and traditions of the tribes (mostly contrasting and different),
but according to the common law, with was created by the Crown. The King wanted to create
the law common for all the territories and tribes.
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The common law—so named because the decisions of the Royal Court were effective (had le-
gal force) across England, in contrast with the local customs (traditions).

An important aspect of the common law is the idea that it is based on the customary practice of
the courts, and the term itself is often used to describe that part of English law that is not based
on statutory law or legislation.
Law was created from the practice, at the appearance of an situation or a dispute, on-site, at
the scene. In this aspect the common law is a law of a practitioners rather than legal scholars.

Later, the court of equity was established (the court of Chancery), it was the court of the king’s
chancellor. Courts of equity were authorized to apply principles of equity based on many
sources (such as Roman law) rather than to apply only the common law, to achieve a just out-
come.
Justice applied in circumstances not covered by rules of law, but matter of equity, in order to
notice, to point out the disadvantage groups and seek for equity for them.
Equity – being just, impartial, fair. Justice applied in circumstances not cov-
ered by rules of law.
Courts of law and courts of equity functioned separately.

Common law, together with the law of equity that supplemented it, became the basis of the An-
glo-American legal system.
Common Law Systems whose intellectual framework comes from judge-made decision law,
which gives authority to prior court decisions on the principle that it is unfair to treat similar facts
differently on different occasions (doctrine of judicial precedent).

3.2 The specific features of the Anglo-American legal system

Main features:
1) The Anglo-American common law system is based primarily on court-made rules or prece-
dent.
A court decision in the common law countries is not only binding in the case in question, it
also binding on future courts deciding a similar case, “binding precedent”. Court may take
decision on the basis of a precedent. Precedent serves as a legal norm.
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In the civil law countries, the decision of the court is binding only to the parties in a particular
case and only in context of that case. The grounds for deciding the case are found in codes,
statutes, and prescribed texts (regulatory legal acts).
The basic source of the common law is the Case law established by precedents that is by
decisions of courts in earlier cases.
The term 'case law' refers to rules and principles developed in judgments and judi-
cial opinions from courts of law. When deciding a case, the courts make interpreta-
tions of the law, which contribute to case law. These interpretations can then be
cited by other courts or authorities as “precedents” and/or case law. The influence of
case law can be particularly important in areas which are not or only partly covered
by statute law, that is written law set down by a legislature (such as a Parliament),
this means that in certain circumstances law can also originate from the courts.
For some countries case law is a major source of law and decisions of higher appellate courts
are regarded as normative - laying down rules that should be used to decide similar legal dis-
putes (called "binding precedent").
In the civil law countries the courts are not strictly bound by rules and principles from case law.

2) The common law is based in large part statutes and other regulatory acts as well. There is
no strict hierarchy between regulatory legal acts in the Common law system. While solving a
case the judge may decide which of the legal acts is more important and can be served as
the ground for deciding cases. Judges are supposed to apply and interpret regulatory acts
in much the same way as the judges in civil law.
There is no hierarchy between precedents.

3) There is no classification on branches of law.

4) Common law is generally uncodified, not systematic.

Common law countries: the United Kingdom, Australia, Canada, India (with influence of the reli-
gious norms), Ireland, the United States, New Zealand and some others.

4 RELIGIOUS LEGAL FAMILY

The main feature of the religious legal system is a respect a religious text as a source of law.
Religious systems put emphasis on obligations rather than on rights of individuals.
Religious mindset creates people's legal consciousness.
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4.1 The Islamic legal system and sources of law

The Islamic legal system is known as Sharia.

It is standards of conduct, code of Islamic and law-governed and theological norms,
fixed in Koran and Sunna – product of the sacred law, everlasting and unchangeable.
Islamic law is derived from the following sources:

1) Koran – sacred book of the Muslims, collection of the preaching, legal settlements,
moralistic stories, prayers.
For example, Allah had allowed trade, but prohibited practice usury (taking usuri-
ous interest for loans), and for thar reason there is normally no interest on loan in
Islamic banks (or the interest can be in different format at least).

2) the Sunnah - traditional teaching and practices of the Prophet Muhammad (570-632
A.D.). Stories, oral teachings and doings fixed in a text. It is a pattern what every
Muslim should follow.

3) Qiyas - reasoning by analogy. The writings of Islamic scholars who derived rules by
analogy from the principles established in the Koran and the Sunnah.
The norms of the Koran remain relevant and updated, since the provisions of the
Koran, which are not very suitable for the modern world, can be interpreted. The
norms of Sharia can be explained so that they can be applicable and well-timed.
Example of the reasoning by analogy: ban on drinking wine is extended to other
alcoholic beverages even though vodka, tequila, cognac, for example, were not
mentioned in Koran. Nondrinking rule is about prohibition of products that make
drunk.

4) Ijma -the consensus of the legal community. The opinion of the religious authorities,
Muslim scholars and legal experts on all issues not settled by the Koran and Sunnah.
Once an ijma is established, it serves as a precedent. A decision based on ijma gener-
ally cannot override a statement of the Koran or the Sunnah.

In the 10th century A.D. the legal community decided that further improvement of the
scholars’ analysis of divine law was impossible. They decided at that time to ”close the
door of ijtihad (independent reasoning)”, freezing the evolution of Islamic law. As a
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consequence, Sharia judges and scholars may only apply the law as it was set down
earlier. They may not change, modify, or extend that law.

5) Adat – the local customary practices and traditions, as observed by Muslim com-
munities in some regions. The customary norms, rules that guide individuals' conduct
as members of the community and the sanctions by which these norms and rules are
upheld. Adat also includes the set of local and traditional laws and dispute resolu-
tion systems by which these societies are regulated.

The order and importance of the sources depends on the brands of Islam.
In some Muslim countries Sharia norms must not contradict secular norms, sometimes
secular state law is replaced by religious norms.
In some Muslim countries Sharia norms and secular norms coexist both together, side
by side.
Some Islamic norms may be interpreted differently in Muslim countries.
For example, the Saudi Arabia remained for a long time the only country where
women were not allowed to drive motor vehicles on public roads. Many of them
were arrested for doing so. In 2017, Saudi Arabia granted women the right to
drive. The prohibitive religious norm of the Islamic law was interpreted by the other
way. In general women's rights in Saudi Arabia were highly constrained in compar-
ison to international standards.

There is no division between public and private law in Islamic legal system. It is be-
lieved that there should not be any private affairs: all things are created by Allah, we
ourselves obey His will, when we do something, we affect the common interests by
that.

Islamic law is the principal source of law in Saudi Arabia, Sudan and it is followed, at
least to some extent in Qatar, United Arab Emirates, Oman, Yemen, Morocco, Iran,
Iraq, Afghanistan, Syria, Mali, Niger, Libya, Malaysia, Bangladesh and some other
countries.

4.2 Hebrew law (Israel)

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Judaism is monotheistic, an ethnic religion. It comprises the collective spiritual, cul-

tural, and legal traditions of the Jewish people. Judaism coexists with secular
norms.
In the case of the legal gap (no regulation on some situations), the religious sources
can be used to fill the gap. The religious sources are Torah, Talmud, writings of the
wisemen, regulations from the Chief Rabbinate of Israel etc.
There are religious courts of law for the Jewish, for Muslims, for Christians, mostly
regarding family issues.
Israel belongs to the mixed law system: it has religious norms as a source of law,
as well as secular custom, precedent, statutes.

4.3 Hindu law

Hindu law is prevalent on the countries where citizen practice Hinduism: India, in some
parts of Pakistan, Bangladesh, Myanmar, Sri Lanka, Nepal.
It is the oldest religious law (primary sources are from the 4th millennium A.D.). An-
cient Hindu legal texts and traditions arrived in parts of Southeast Asia (Cambodia,
Thailand, Burma). In each of these regions Hindu law fused with local norms and prac-
tices.

Modern secular state law of those countries is infused with religious norms. Religious
precepts may have a legal regulations.

Thousands of years ago society was divided into 4 varnas. Varna - any one of the four
traditional social classes of Hindu India:
- brahmans (priests, scientists, guardians of spiritual culture, advisers);
- kshatriyas (warriors - rulers and aristocrats);
- vaishya (traditionally described as commoners: traders, merchants, artisans, hand-
workers);
- shudras (servants, husbandryman, people engaged in “unclean” labor).

Each person must behave in accordance with the prescript which regulate the conduct
members of a particular caste. Each caste has its own custom. Fairness and con-
sciousness of every person matters.
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The sources of the Hindu law are the religious Shastra books. There are three types of
those books:
1) Dharma. Describes the universal law of being. Shows the proper conduct of people,
their mission. It includes duties, rights, laws and “right way of living’’. A person must
behave in accord with order that makes life and universe possible. It is good, right,
safety and correct to live according to Dharma, it is an advantage.
2) Artha. It includes skills, health, wealth, prosperity and the means or resources
needed for a fulfilling life.
3) Kama - the concept of pleasure.
Vedas (“knowledge”) a collection of the most ancient scriptures of Hinduism, they were a source
of Dharma. They have 4 elements:
1) Mythological stories about life and doings of gods;
2) Mantra and hymns;
3) Norms of the religious ceremonies;
4) Treatises on different life spheres, advises, recipes, medicine, legal settlements.

Anglo-American common law system started spread through India with the British con-
quest. Precedent can be recognised as a source of law, they are applicable in specified
courts. Precedents may be interpreted through the prism of the religious traditions.

Elements from the Romano-Germanic law system were also adopted in India. A regula-
tory legal act may contain elements of a religious tradition. Some legal norms got the
religious implication. Ancient norms have been settled at the state level. At the same
time there is tendency to establishing of the secular norms without religious connotation.

Customs are also used as a source of law. Every territory has own traditions.

Muslim law has an influence in India (from the 16th century). It is applicable to Muslims
living in India.

Vedas principles and Shastra’s norms still are legally important.

In the modern India ancient religious and modern secular legal norms are intertwined.

The Constitution of India (1950) declares India a socialist, secular, democratic republic,
assures its citizens justice, equality. Discrimination between people based on their caste
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was banned; it was allowed people from the different castes to enter into marriage; poly-
gamy was banned; women had equal rights with men.
Anyway, the old traditions are still in practice, especially in matrimonial law, succession
regulation, in labor activity.

5 THE LEGAL SYSTEMS OF THE FAR EAST

Huge influence of the philosophical traditions and ethical rules.

East Asian group: China, the Soth Korea, Japan. Prevalence of Taoism, Moism
(School of Mo), Confucianism, Shinto (a polytheistic and animistic religion, originating
from Japan). Written regulatory acts are mostly used (adoption from the Romano-
Germanic law system).

South-East Asian group: Viet Nam, Thailand. Combination of the Far East tradition
and teachings originated from India, Buddhism and Taoism. Religious sources have
great significance and impact, same as the legal custom.

5.1 Confucianism

Confucianism had a great impact on China and Japan.

Confucius wanted to create a strong state, raise an emperor and officials who could
interact and successfully govern the country.
Confucius said that governing people through orders and punishments will only make
them shirk (evade), while leading with virtue (righteousness) allows them to mend
manners by reason of their shame. Moral charisma helps to attract and influence peo-
ple. Governance must be carried out by righteousness, goodness.
Confucius supposed that all rulers should follow the path of self-improvement and take
care of the needs of their people.

How to build relationships between rulers and the nationals? According to Confucius
the state was identified with society; the social ties - with interpersonal ties, the basis
of which is the family structure, the subordination of the son to the father. The function
of the father was similar to the function of Heaven. Therefore, filial piety is the basis of
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virtue. One of the most important rules of Confucianism is the concept of “xiao” - piety
and respect for elders.

The teaching is based on the concept of Heaven and heavenly command, which deter-
mines fate. In China, emperors have always been revered as sons of Heaven, so their
power was undeniable for several millennia.
The philosophy of Confucius was designed to raise a righteous and respectable per-
son who improved himself and strived for the righteousness of his family, and then the
state. Also, the key motive of his teaching is the sincere devotion of the son to the fa-
ther, and the people to the emperor.

5.2 Japan
In Japan, the idea of the “five constants” of Confucianism: philanthropy, humanity,
duty, ritual, knowledge, sincerity.

Also, there were other concepts in Confucianism, for example, dào - way, truth,
method, rule, custom, morality. The xiao principle - honoring parents, diligently
serving parents, fulfilling the will of ancestors. Zhōng - loyalty, devotion, sincerity,
be attentive, serve faithfully. Hé - harmony, peace, agreement, calm, serene, appro-
priate, suitable, moderate, echo, pacify, sum.

In Japan, priority and honorable significance is given to non-legal means based on

the ethical rule giri , which is the main criterion for the behavior of the Japanese.
This is an unwritten rule, standards of conduct that have been established over cen-
turies.

Often translated as “duty,” “obligation,” or “sense of social responsibility,” giri in-

cludes a complex set of values that guide interpersonal relationships, decision-mak-
ing, and societal norms in Japan. Giri embodies a sense of obligation or duty based
on a strong loyalty to a person or organization.

Other unwritten code of honor is known as The Bushido - "the way of the warrior"
(the end of the 12th century). The Bushido code served as the guide for the Samu-
rai in life, battle, and even death. The life values in the Bushido code involved the
warriors keeping their honor, their loyalty, and showing compassion towards others.
Bushido can set a standard for how people could and should act in their personal
and professional lives in modern times.
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5.3 The main features

In the most of the Far Eastern countries it is believed that law has an additional
function to morality. The moral is higher than law. Law is needed for the morally
degraded persons or for the foreigners (who is not familiar with the local traditions).
Invocation of laws and dispute resolution in the courts is considered as abnormal
methods to solve the conflict. Making a peace, reconciliation are better solution. The
main methods of conflict solving is compromise, spirituality, conviction, harmony,
concord.

Beginning in the 19th century, countries like China, Japan, Korea and Viet Nam have
been adopting foreign legal systems. Japan had adopted Romano-Germanic legal
system, laws were codified in an attempt to cooperate with foreigners.

Numerous legal concepts have been interpreted in a different way. Furthermore, in Far
Eastern countries, there is a tendency to promote interpretation under the so called
“New Confucianism”. New Confucianism is considered particularly in China to be a
basis of the economic success of the country. Traditional methods of interpretation of
law under Confucianism or Buddhism can be currently observed also in Japan, Korea
or Viet Nam.

6 SOCIALIST LEGAL SYSTEM

There is also socialist legal system that differ in some way from the others.
This is the youngest legal system. It started to form during social revolutions in several
countries in 1917-1924.

This system remains in Cuba, the North Korea, Mongolia, Viet Nam, Laos, also in
China.

The main feature is the social ideology.

Authors of the social ideology were Thomas More (1478–1535), wrote “Utopia” book;
Tommaso Campanella (1568–1639), wrote “The City of the Sun“ book;
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economic, socialist theorist Henri de Saint-Simon (1760–1825); François Marie

Charles Fourier (1772–1837); Karl Marx (1818–1883); Friedrich Engels (1820–1895);
Georgi Plekhanov (1856–1918), a Russian revolutionary; Vladimir Lenin, a Russian
revolutionary, politician, and political theorist (1870–1924).

The social ideology stands for the creation society where the private property wouldn’t
dominate over a person, but became the communal property (common property) for
the common benefits and advantages. Lack of the private ownership. Means of
production (capital equipment) must be in communal property or in the state property
and should be used in the interests of a society. Society without classes. Health care
service, education, social security should be unified as a common property and should
be equally served to all people.

The sources of the social law:

- Regulatory acts;
- Rule-making by the political party;
- Political doctrine (the ruling party doctrine). A court judgment can be reasoned on basis of a
political doctrine;
- Social consciousness (ideas, views, opinions, theories that are common in a given society);
- Instructions of the trade unions on labor issues, for example.

Depending on country, the socialist legal system may also have features of either
English common law or the European civil law.
For example, the legal system of the People's Republic of China is combination of
ancient legal traditions and modern legislation based on the ideas of socialism with
Chinese characteristics and some principles of Roman-Germanic law.

7 AFRICAN LAW

African Law. Traditional African law is assembly of non-written rules of conduct,

passed through by word of mouth.
The main source of law is practice, or the local custom (customary law).
The European Conquest and relation with other counties made the local custom
insufficient.
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Modern African laws are defined by customary law, religious law, common law,
Romano-Germanic civil law, other legal traditions, and combinations thereof.

8 COMPARATIVE LAW

Comparative law = comparison of legal systems (legal families or legal traditions).

Comparative law is not a body of rules and principles; primarily, it is a method, a
way of looking at legal problems, legal institutions, and entire legal systems.

The main goals of the comparative law are:

1. To use the experience of the foreign countries in the own country, especially in
the process of legal reforms. To find out how the problematic question was
solved in other countries.
2. Integration of countries. To find out things in common in the law, which is
needed for cooperation, trade; for the geographical, economical integration etc.

Major issues in comparative law include intellectual property protection, human

rights, the environment, criminal law and procedure, tax policies, and labor rela-
tions.

Differences in national laws and legal systems

• Differences cover the entire range of law: marriage and family law, business law,
liability of crimes, legal procedures, the role of legislation and case law, the func-
tion of judges etc. => the legal environment facing businesses operating interna-
tionally is not simply a scaled-up version of domestic law.
• Businesses are faced with legal rules derived from multiple sources.
• One of the primary risks in all business transactions is the application and enforce-
ment of foreign laws.

International business means more opportunities, but also entails greater risks.
Although the environment for international trade has changed substantially over the
years, the risks that exporters face when selling their products and services in other
countries remain essentially the same.
Before entering a foreign market, a business should measure the degree and likeli-
hood of different risks including legal risks.
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