DIFFERENT AREAS OF CORPORATE AND COMMERCIAL LAW PRACTICE
BUSINESS LAW IN NIGERIA
CORPORATE LAW PRACTICE IN NIGERIA
CHAMAN LAW FIRM
5/31/2021 4 min read
DIFFERENT AREAS OF CORPORATE AND COMMERCIAL LAW PRACTICE
Corporate and commercial laws are categorized under a broad aspect of law which is business law.
Definition of corporate law
Corporate law is the body of laws, regulation and rules that govern the operation and the way a corporation works.
It can also be define as the body of law governing the right and relation and conduct of person, companies, organization and businesses.
Definition of commercial Law
Commercial Law which is also known as Trade law is the body of law that applies to the right, relation and conduct of persons and business engaged in commerce like merchandising, trade and sales.
Commercial Law is sometimes referred to as business or trade law, it regulate the people conduct, merchants and business who are engaged with trade, sales and commerce including ecommerce.
Although people tend to believe that corporate and commercial law practice are thee same, however there is a slight difference between them although they are both under business law While corporate law deals with governance, law, rules, and regulation of business law whereas commercial law focus on transaction, trading, aspect of business law.
The lists for areas or aspect of corporate and commercial law practice are endless, the aspect of law is very vast, and some are listed below:
1. Merger and Acquisition:
One major corporate and commercial practice area is merger and acquisition.
Merger and Acquisition might add property, production facilities or a brand name
Through acquiring (buying) or merging with another company a business production facilities or a brand name.
A corporate lawyer evaluates a proposed venture and reviews all the company they want to acquire and merger together.
The lawyers assess the situation and raise specific issues with the client e.g. what happens to the employee of M&A company with this the attorney and client can determine who to have both the current or potential liabilities.
The corporate lawyers help in creating corporate structure needed for the transaction, helps in negotiations with the legal advisors of the other company and also draft documents and act as legal representative of the company client.
2. Insolvency/ Bankruptcy
This is a separate area of practice. In this aspect the lawyer recommends the ability to and also provides feasible solution before declaring bankruptcy.
However a lawyer mostly works either on corporate insolvency matters and occasionally provides legal advice to licensed inslovency matters and occasionally provides legal advice to licensed insolvency trustees undercharged bankrupt regarding court action and discharge hearings.
They also advice their clients in the complexities of bankruptcy law and counsel them in reducing their debt load by liquidating assets and paying creditors.
3. Capital Markets
Capital markets can be defined as a financial market in which long term debt or equity backed securities are bought and sold.
The lawyers in this aspect offer advisory services to the merchant, bankers, investors etc on various matters and carry out due diligence on the company affairs and also the legal practitioner also draft documents to be issued for the amendment of the AOA.
The capital market lawyer help companies to raise money, they need to operate the company or securities transaction including stock offering and debt offering in public market s.
Dispute resolution is one of the different areas of a corporate and commercial law. The lawyers listen and meditate the dispute of shareholders and the right of the majority and minority shareholders, they advices and give legal advices about the power of the board of directors to sell the company and also power of the bank to regulate the company affairs
Tax law is a broad aspect of corporate and commercial law practice, it govern all the types of tax e.g. direct tax, indirect tax, value added tax, petroleum tax etc.
Tax can be defined as the money that has to pay to the government in exchange for services.
Tax law covers the application of existing tax laws on individuals, entities and corporations, in areas where tax revenue is derived or levied, e.g. income tax, estate tax, business tax, employment/payroll tax, property tax, gift tax and exports/imports tax.
In this aspect of law, the legal practitioner provides complex transaction structuring tax devise to support client. The lawyer also advice the client oh how to compute tax, tax compliance reviews, tax risk analysis, taxation of expatriate employee and interface with relevant regulators, they also lecture the client about the best assessment calculation provided for in the Personal Income Tax and also help in tax compliance and governance, strategic tax planning.
Also they advise self employment taxes, so that business owner will still pay into social security and medical care. This is an example of indirect tax.
Property tax are tax on real estate owned by the business, if one sell a business owned property then the tax to be pay is capital gain tax.
6. Employment/ Labour Law:
Employment laws are laws that protect employee and employer, trade union etc from unlawful dismissal, summary dismissal and also protect the right and duties of the employee and employer. Any companies with employee are to stay abreast of current employment laws. Labour law is the body of law applied to such matters as employment, remuneration, conditions of work, trade unions, and industrial relations.
7. Intellectual Property:
Intellectual property refers to any intellectual creation such as literacy works, artistic works, invention, designs, name, images, computer etc.
Intellectual property law protects the creators or works of Copyright, trademark law and patent.
Intellectual property lawyers prepare documents needed to file patent or trademark and also to represent a person or organization in dealings with others who making unfair use of intellectual property.