Commercial litigation law entails the various aspects of business law that deals with the relationships between corporations, merchants and manufacturers, interstate trade and so on. What is Commercial What is Commercial Law?Law?

By definition commercial law includes carriage by land and sea; merchant shipping; guarantee; marine, fire, life, and accident insurance; bills of exchange and partnership. Commercial law is a major part of business law and, therefore, includes the relationships and rights of entities and persons engaging in commerce.

Commercial law is a major part of business law and, therefore, includes the relationships and rights of entities and persons engaging in commerce.

The following article explains the basics to help CEOs and business owners understand what is commercial law?

Commercial Litigation

Commercial law litigation typically involves dispute resolution that stems from the vast array of commercial practices across state lines and within each state’s boundaries. There are a variety of business practices that occur on a day-to-day basis. For example, litigation that arises from the sale of goods is generally covered by the Uniform Commercial Code.

  • Most experienced commercial law attorneys spend their effort with internal policies and controls and to align them with the legal outcomes are shown in court decisions and statutory guidance.
  • Only after efforts have been fruitless should there may litigation in a trial. Commercial law disputes and litigation lawyers spend a lot of time gathering the facts, analyzing evidence and preparing for trial. This can be very costly to you and your company.

Daily Business Activities: As a corporate CEO engage in a commercial business, a majority of your day-to-day operations can be regulated by either a local commercial code or Uniform Commercial Code. Other areas of focus can include contracts, fiduciary obligations, business torts and issues related to manufacturers and consumers.

Internal Policies: Developing proactive measures and internal policies are your best course of action to minimize litigation. Not only does it reduce commercial litigation but it also develops a uniform internal method of practice.

Resolving Commercial Law Disputes

As in any dispute, the best way to resolve commercial problems is first to try to understand d your legal rights and then try to resolve the matter through settlement or mediation. Obviously, both sides feel strong about their respective positions. However, given the cost of commercial law litigation, history has demonstrated that settlement discussions and mediation can be a more cost-effective way of resolving disputes. See information about complex commercial litigation.

Starting a Commercial Law Lawsuit and the Process:  If you cannot successfully resolve disputes through settlement discussions then the next step is to litigate your case in court. If you are the plaintiff, then your attorney will have to file a complaint in the proper court. This starts the litigation process.

The person you are suing, the Defendant, and then you are given an opportunity to respond to the case by filing an answer. While doing so, you may also bring its own lawsuit (called a counterclaim).  When a counterclaim is filed in a commercial litigation case, you then become the Defendant and then have to file your answer to the allegations.

  • After the respective answers and replies are filed with the court, the discovery process starts. In a commercial litigation case, each side has to disclose evidence witnesses they intend to use at trial. 
  • The ultimate reason for discovery is that each side can see the strengths and weaknesses of the other party’s case and to examine documents and witnesses.

Commercial Law Tips for Business Owners: As for any business, you should develop internal practices that focus on keeping documentation on each and every commercial transaction. This includes contracts, invoices, communication between the parties, and all other relevant documents. See information about commercial off the shelf  COTS Items bought the government. This can save substantial costs in litigation and can even increase the chances for a settlement.

  • If you are involved in interstate commercial business practices, always try to communicate electronically, follow up to telephone communications.
  • When you anticipate that there could be a problem, immediately send a message to the other side and describe the problem and what the expectation should be.


  • When a company sends out its agents, allow a certain authority to regional directs or other key personnel, sometimes commercial litigation can arise from certain transactions between the two businesses.
  • Also, when one of the parties does not comply with the terms and conditions of the agreement, there may be grounds for breach of contract litigation. Therefore, it is fair to say that commercial contracts, warranties from the sale of commercial goods are all part of the substantial issues that can arise in litigation

Speak to an Attorney & Get a Free Initial Consultation

For additional help on a pending commercial law dispute, all call our  Commercial  Litigation Law Firm at Watson & Associates, LLC. 1-866-601-5518.

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