Business law, also known as commercial law, is a wide area of law that regulates different elements of a business. This may include business topics, such as how to form or dissolve a business, or more general regulations that a business may be subjected to like taxes, insurance, intellectual property, bankruptcy, and even environmental laws.
The regulations that apply to most businesses will differ according to state, federal statutes, the type of business (e.g., private or public), the purpose of the company (i.e., what do they do or sell?), and countless other elements that will depend on an individual basis.
Given the extensive amount of legal knowledge required to ensure that a company is obedient to every applicable law, it makes sense that there are various types of attorneys to handle any legally-related business matters.
In general, there are two primary categories of business lawyers. The first is known as transactional attorneys. Transactional attorneys usually handle legal problems that pertain to a company’s daily operations. Their job may involve preparing and inspecting agreements, helping with employee and labor problems, or merging and acquiring businesses.
Transactional attorneys do not usually represent a business in court. Rather, the second category of business lawyers handles in-court matters. They are known as litigation lawyers. They are the ones who will represent a business in court if they get sued or bring a lawsuit against an outside party.
Depending on the company’s size, sometimes a lawyer may serve as both a transactional and litigation lawyer. In addition, if it is a large corporation, they may hire individual attorneys who specialize in specific areas of law, such as intellectual property lawyers, employment attorneys, or tax attorneys.
How Do You Start a Small Business in Maryland?
Many of the businesses created in Maryland are considered small businesses. Maryland defines a small business as a business that has less than 500 workers.
The first step to forming a new business in Maryland is to choose the most suitable business structure. Although there are many business structures, Maryland’s four most standard forms are a corporation, partnership, limited liability company, and a sole proprietorship.
These business structures will require certain legal forms filed with the state. Others will have no legal requirements but still require businesses to comply with local licensing and taxation laws.
Next, a name should be selected for the business, and it must be registered with the state. There are four categories of names that offer various levels of safety to a business owner, but not all of them are needed and may depend on the type of business being conducted.
Typically, these include the name of the business, any relevant trademarks, a “doing business as” designation, and a domain name to protect a website related to the business.
After the above items have been registered, the business owner should apply immediately for federal and state tax identification numbers. This is important because they are necessary to pay workers, file taxes, and remain compliant with state and federal tax laws.
If the business needs a license or permit to run it, such as a liquor license for a bar, the owner should review what licenses or permits their business needs and apply for them. Without these, the business will not be able to operate legally.
What Are Some Contract Laws in Maryland That Are Unique?
Contracts are significant in the world of business. They can be used to describe things, such as conditions of sales contracts, the terms of a person’s employment, and even the effects of revealing a company’s trade secret.
A contract is a legally binding agreement between two or more competent parties that define the parties’ particular obligations and can be executed through the legal system. The laws for contracts may vary depending on the laws of each state.
As is the case for most states, Maryland requires the essential elements of what constitutes a contract. In addition to these basic requirements, there are also specific statutes on contracts that only apply under Maryland state laws.
Some of these include:
- The Maryland Service Contract and Consumer Products Guaranty Act: This Act delivers a set of standards that Maryland contractors and consumers have to follow whenever a contract notes a guarantee or service as part of the agreement. It is intended to cover goods or services used for personal, family, or household purposes that cost $10 or more.
- The Door to Door Sales Act: This Act supplies the citizens of Maryland a right to cancel contracts that result from door-to-door solicitations for up to three days. In other words, if someone sold you something at your home, you have until three days to rescind the contract.
- Maryland Uniform Trade Secrets Act: This allows an employer to take a tort action against a former worker who reveals a business’s confidential information.
How Do You Sue for Breach of Contract in Maryland?
Contract breaches can cause many issues for businesses. In general, a breach of contract transpires when one of the parties to a contract fails to satisfy the obligations outlined by the contract.
In Maryland, the Statute of Limitations for filing a breach of contract lawsuit is three years with some anomalies. While the parties can opt to settle the matter using an alternative dispute resolution method (e.g., arbitration or mediation), it may still need the service of a court if the parties cannot find a proper solution together.
If the court determines a breach of contract dispute, the party bringing the dispute must file in the appropriate court.
Should I Hire a Maryland Business Lawyer to Help Me?
Cases involving business laws can be very complicated. For one, they usually include issues governed by different areas of law. Business laws vary from state to state to make matters even more complicated. Therefore, if you have any questions or concerns concerning a business law matter, then you should consult an experienced business lawyer in your state.
Whether you are starting, merging, or dissolving your business, hiring a Maryland business lawyer for help is a good idea. As discussed above, there are generally many different types of laws and regulations that apply when running a business, each of which has specific requirements to Maryland state.
Hiring a local Maryland business lawyer will help ensure that you and your business are compliant with all state laws, that any documents related to your matter are enforceable, and that you have followed the proper state procedures for all relevant matters.
Additionally, suppose your business is involved in a lawsuit or wants to bring an action for one against another party. In that case, you should definitely consider contacting a Maryland business lawyer for assistance.
A Maryland business attorney specializing in litigation will have knowledge regarding both business law matters and the general proper legal requirements and procedures that apply to the state courts of Maryland.
Regardless of whether you are seeking a transaction or litigation business lawyer, if the issue involves business law and you are located in Maryland, it is in your best interest to hire a local Maryland attorney for all of the above reasons. Use LegalMatch to resolve your legal matters today.
