2Government Regulation of Business Regulations are rules that government agencies issue to implement laws.Businesses spend a lot of time and money making sure they comply with laws and regulations and do not face unwanted liability.
3Six Important Areas of Law Corporate lawTax awIntellectual property lawConsumer lawCommercial lawLicensing and zoning law
4Corporate Law How is the business organized? Sole proprietorships PartnershipsUniform Partnership Act – governs general partners requires them to by owned by two or more parties and share in the profits.Corporations
5Tax LawTaxes are monies paid by corporations and individuals used to fund government programs and services.Income taxTaxes axed levied against a business’s profits.Property taxTaxes levied against the property, buildings, or land owned by a business.Withholding Federal TaxesBusinesses collect taxes from workers
6Intellectual Property Laws Businesses are protected by intellectual property lawsPatentsDocument issued by the federal government to inventors and companies that gives them the exclusive rights to make, use, and sell their inventions for 17 years.
7Intellectual Property Laws TrademarksWord, name, symbol or slogan a business uses to identify its own goods and set them apart from others.Good for ten years.CopyrightsProtection provided for a creative work, such as literary works, musical compositions, plays, dances, paintings, movies, maps, and computer programs.Good for the holder’s life plus 70 years.
8Consumer LawConsumers are individuals who buy goods and services for their own use.Federal Trade Commission (FTC)Takes action against a company if it receives enough consumer complaints to establish a “pattern of wrongdoing.”Sales rules created by FTCUsed Car Rule – requires dealers to tell customers important information about a used car.
9Commercial Law Contracts Agreement between two parties to carry out a transaction (ex: Sale of goods from seller to buyer)Anyone entering into a contract must know what is in the contract and ensure it is properly prepare.Often difficult to break and can be taken to court if broken.Uniform Commercial Code – specified requirements for a contract.
10Licensing and Zoning Law Regulates who can operate a businesses and where owners can set up shopLicensingWay to limit and control people who plan to enter certain types of businesses (i.e. restaurants)Building codesRegulate business through physical features or structures of buildingZoningRegulates where a building can be built through ordinances (commercially zoned areas versus residential)
11Employment LawRegulate the relationship between companies and their workers and gives workers significant rights and benefits.Equal Employment Opportunity (EEO) lawsOccupational safety and health lawsWage-hour lawsBenefits lawsLabor relations laws
12Equal Employment Opportunity Title VII of the Civil Rights Act of 1964Companies cannot discriminate against an employee because of race, color, religion, sex, or national origin.EEOC can sue a company that discriminates against an employee.Age Discrimination in Employment ActProtects workers years of age.Americans with Disabilities ActCannot discriminate based on disabilities and illnesses (blindness or diabetes) and must provide reasonable accommodations
13Occupational Safety and Health Laws Sets standards for keeping workers clean and free of hazards, such as unsafe machinery and dangerous chemicals.Businesses must keep records of employee illness, injuries, and deaths, and report them.Occupational Safety and Health Administration (OSHA) inspectors visit workplaces every year to make sure they comply with regulations.
14Wage-Hour LawsFair Labor Standards Act (FLSA) (Wage-Hour Law) protects workers:Sets the. number of hours employees can work in a week without receiving overtime payProhibits companies from employing children under 14Sets the minimum wage companies can pay their workers
15Benefits Laws Social Security Act Employee Retirement Income Security ActUnemployment Insurance LawsWorkers’ Compensation LawsFamily and Medical Leave Act (FMLA)
16Labor Relations Laws National Labor Relations Act Unions Companies must at least listen to what their unions say they want for their members in terms of wages, hours, and conditions of employment (such as safety in the workplace)UnionsGroups of workers who collectively bargain for rights such as higher wages and better working conditions.