Running head: BUSINESS LAW
1
Commerce Clause
Chaudhary, Mayur Jayavantrao
2008017703
Legal Environment of Business
MB523
02/02/2021
BUSINESS LAW
2
Business laws are fundamental regulations that must be keenly followed by business owners,
managers, and other professionals to assist them to be acquainted with a basic comprehension of
these laws. Therefore, these laws can greatly aid in the process of making exceptional decisions
within business sector. Just like there several regulations which applies to individuals, there are
numerous set of laws that regulate business activities. These laws can assist in defining unacceptable
actions, provision of certainty as well as stability, protection of the public and lastly, provision of a
mechanism for business to solve diverse solutions (Bork & Troy, 2001).
One of the surprising facts about these business laws is that congress have the authority to
control purely local activities, which are part of economic class of activities that have a substantial
impact on the federal commerce. In a situation where Congress makes a decision that a certain action
imposes a risk to the state market, the Congress can control and regulate the whole class. Therefore,
commerce clause tend to play a significant role in the execution of business activities (Gallagher,
2015). Commerce clause may be a very brief section in the constitution, however, it has proved to
be one of the most used clause.
Even though, the clause can be brief, the words used were carefully selected. It is highly
significant for one to recognize that is among numerous states, not between or involving (Bork &
Troy, 2001). Therefore, the wordings create a manner in which the clause can be adequately
comprehended by the court. In a case where the commerce clause power upsurges the state authority
declines. The commerce clause is highly essential, however, it has some unwanted side effects of
drawing some power from the state. Therefore, it is vital we have a stead-fast federal government
for global and domestic purposes. In a situation where we does not have any commerce clause in the
constitution, the government will be unable to find a suitable remedy for any economic conflict amid
the states (Gallagher, 2015).
BUSINESS LAW
3
References.
Bork, R. H., & Troy, D. E. (2001). Locating the Boundaries: The Scope of Congress's Power to
Regulate Commerce. Harv. JL & Pub. Pol'y, 25, 849.
Gallagher, L. A. G. (2015). The Commerce Clause and its Effect on Federalism.