AUSTRALIAN BUSINESS LAW

Business law involves creating & servicing the legal requirements of a business. A business is defined as any organization - whether a profit-making entity, a professional service provider such as a law office or medical office or a non-profit entity operating for charitable, social, religious, civic or other public service purposes.

The commercial laws of each State provide guidance as to what should be contained in property leases, considerations involved in franchising and financial documentation required for buying or selling a business. Additionally, each State's laws help determine the type of organizational structure most appropriate for a specific type of business.

State and federal commercial laws regulate requirements for sales, employment or other contracts. If there is a business dispute, such as when one party to a contract does not fulfill their part of the agreement, the legal system provides relief to the damaged party.

Many believe that the role of a commercial lawyer is limited to reviewing contracts before they are signed or to commenting on regulatory matters. However, a more value-added role exists - as a trusted advisor on business options and process-related matters.

A commercial lawyer, with the right experience and area of specialization, can help you answer questions like:

• What's the most tax-advantageous way to structure this transaction?
• Can I bill contractually in advance to improve cash flow?
• What are the pros & cons of certain types of legal protection, like getting a patent?
• Should I outline this deal in a letter of intent (MOU) or go for a more formal draft agreement?

A lawyer often times is a valuable part of a company's negotiating team, so that both parties' intentions can be documented clearly. Ambiguity tends to creep into every contractual negotiation despite everyone's best efforts. Misunderstandings &/or contractual disputes can be avoided by having a lawyer involved in the drafting of relevant documents.

A commercial law firm also engages in business litigation on behalf of their clients - assisting in the preparation & presentation of a lawsuit or other resort to the courts to determine a legal matter in a business situation. These deal with issues such as joint ventures, financing, mergers & acquisitions, intellectual property enforcement and tax.