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Business Law

Corporate Law- Tips in Starting a Business

Corporate Law is a relatively recent term coined in reaction to the formation of the statutory body corporate, said business law attorney serving in Chicago, Illinois. Corporate Law is the body of law which governs and constrains the various aspects of the functioning of a company. Corporate Law can be considered as a form of civil law dealing with matters of personal interest. This is because, apart from their general function as litigants in courts of law, corporate lawyers also perform other functions as advisors, corporate secretaries, accountants, corporate secretaries and managers. Corporate lawyers can also act as a trustee and a public official and are answerable to the boards of directors of the companies they represent.

Corporate Law

 

Corporate lawyers are known as role attorneys. They are corporate lawyers who are also admitted as representatives of the state in which the corporations take root. Corporate lawyers are engaged by sole proprietors, partnership, unincorporated organizations, limited liability partnerships, joint ventures, corporations, LLCs and corporations. Corporate lawyers have a distinct area of specialty. For instance, if a corporation is sued for violation of some rule related to its operation, the corporate lawyer representing the defendant is answerable to the board of directors of the said corporation. The corporate lawyer is responsible to protect the interests of the company represented by him.

 

Corporate lawyers have a wide range of responsibilities. One such responsibility is that of ensuring proper conduct of business affairs at all stages, right from the planning stage to the execution stage. Corporate start-up may require financial, legal and technical advice from corporate lawyers. Also during the start-up phase, they provide assistance to management to address any problems related to business contracts, acquisitions, mergers, divestiture, restructuring and distribution.

 

Corporate formation is another responsibility of corporate lawyers. Once a corporation has been formed, it is important to identify the structure and the powers that it will have over its various components. There are many aspects of a company formation which need timely attention and correct decision making from corporate lawyers. This helps the company to develop into a legally valid entity and avoid any conflict of interest in the future.

 

Corporate lawyers help formulate strategies for the day-to-day functioning of a company. A good venture capital lawyer works with a large number of other lawyers to ensure that the operations of the firm run smoothly. They help to coordinate with other lawyers on major issues such as mergers, acquisitions, joint venture, and licensing. A venture capital firm represents the interests of the investors while the lawyers help to plan the strategy, execute it in a timely manner, manage the resources appropriately, analyze the results of the investment, collect the profits, and distribute them among the investors on a regular basis.

 

Corporate law and the operations of corporations are subject to many governmental regulations such as those related to taxation. These laws are enforced by agencies such as the IRS or FTC. The FTC regulates pricing and the content of commercial advertisements. The IRS administers the Income Tax laws and collects the tax liabilities of corporations and individuals. The FDA controls food additives and dietary supplements and collects fines from companies that fail to comply with their safety requirements.

 

It is important for corporations and their directors and officers to understand and follow the applicable laws concerning corporate governance. Most corporate governance frameworks address some general issues, such as the need for corporate accountability, corporate debt management, corporate treasurers, management of information technology, and the relationship between directors and shareholders. However, specific issues are addressed by specialized corporate governance firms such as those mentioned above.

Corporate law and corporate governance go hand in hand. Litigation practices are needed to resolve certain legal disputes between corporations and between a corporation and its individual owners, as well as between a corporation and government officials. Corporate litigation funding is needed to advance these issues in courts, resolve ambiguity in corporate laws, collect damages, and to implement regulatory policy. Corporate lawyers represent the corporations in lawsuits, handle corporate lawsuits, provide advice to other corporations on pending legal matters, and provide counsel to businesses in regards to mergers and acquisitions.