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Godknows Hofisi
In very simple terms legal services refer to professional work done or services rendered by a legal practitioner, attorney or lawyer to a client.
There are many branches of law including but not limited to commercial law, criminal law, family law, constitutional law, human rights law, administrative law, corporate law, tax law, property law, consumer law, labour law and so on.
Some of the areas herein are branches of others. In this article, I look at commercial law as I am frequently asked by many curious people what commercial law entails.
Commercial law
This area of legal services is known by different names such as commercial law, business law or mercantile depending on jurisdiction. It is a branch of civil law that deals with commercial or business activities.
Commercial law is also very wide and it is common to find commercial lawyers specialising in certain areas. Some of the services falling under commercial law include the following:
- Commercial contracts
- Investment laws
- Mining laws
- Commercial dispute resolution
- Debt recovery
- Corporate law
- Deal structuring and transaction advisory
- Mergers and acquisitions
- Intellectual property law
- Real estate, property law and conveyancing.
- Insolvency practice.
- Tax law
- Regulatory compliance
- Immigration law
- Banking and finance
- Insurance
- Labour
- Construction law
Below I look at some of the above commercial law practice areas.
Commercial contracts
This involves commercial attorneys assisting clients with contract negotiation and contract drafting to get the best value and terms.
This is one of the popular and essential commercial law services. Some of the contracts negotiated include buying and selling, joint ventures, partnerships, mergers and acquisitions, debt settlement, debt restructuring, investment structures, etc.
Investment law
A commercial lawyer can specialise in investment legal practice. Such a legal practitioner will advise clients on investment options, and investment structures and may carry out due diligence exercises for clients.
The investment lawyer also assists clients by drafting investment contracts to cover situations such as joint ventures, mergers and acquisitions, equity investments, debt instruments, financial instruments, agency arrangements, distributorships, franchises, money market investments, venture capital investments, local and international investments, mining, etc.
Mining law
This is quite popular in Zimbabwe due to the growth in the mining industry in the country. A mining lawyer can advise clients on mining laws, mining opportunities, mining structures, acquisition and disposal of claims and mines, mining agreements, regulatory and compliance issues.
Commercial dispute resolution
Some commercial attorneys are popular for assisting clients with the resolution of commercial disputes through negotiation, mediation, arbitration or litigation.
Debt recovery
Debt recovery involves the recovery of amounts outstanding from a debtor. Creditors may prefer that commercial lawyers help them recover amounts from bad debtors.
Corporate law
Corporate law, sometimes referred to as company law focuses more on companies. For example, corporate lawyers will be familiar with the country’s company laws, and the Companies and Other Business Entities Act (Chapter 24:31).
Some of the issues advised include shareholding and corporate governance.
Deal structuring and transaction advisory services
This is a popular area where commercial legal experts are asked to advise clients on how best to structure deals and transactions. Some of the commercial arrangements or transactions can be complex.
Mergers and acquisitions
This is also a very popular area where specialist commercial legal experts advise clients on mergers and acquisitions of companies. One can classify this area as a branch of corporate or investment laws.
Intellectual property law
Popularly known as IP this area of law is highly specialised and covers aspects such as patents, trademarks, etc. There are only a few such lawyers in Zimbabwe.
Real estate, property law and conveyancing
This is another area with the general populace and investors. It deals with the acquisition and disposal of immovable properties. Conveyancers are known for effecting transfers from sellers of properties to buyers.
Insolvency practice
This area of practice is specialised and involves the revival or rescue of distressed companies. It also involves the liquidation of failed companies. It is dominated by accountants and legal practitioners, the latter if they have experience in business management.
This is an area in which I am particularly involved and serve with a passion as a corporate rescue practitioner or liquidator.
Tax law
Tax lawyers advise clients on tax planning and resolving tax issues, for example, disputed tax assessments. There are a few lawyers in this area. There is a joke that some of my colleagues found the legal profession as a viable escape route from mathematics.
Only God knows.
Immigration
Some commercial lawyers specialise in immigration laws, particularly in countries where there are many incoming migrants, especially as investors.
Conclusion
Legal practice has many branches including commercial law. Commercial law itself has many branches, some of which may overlap. There is room for specialising as a commercial lawyer and clients have options.
Disclaimer
This simplified article is for general information purposes only and does not constitute the writer’s professional advice.
Godknows (GK) Hofisi, LLB(UNISA), B.Acc(UZ), Hons B.Compt (UNISA), CA(Z), MBA(EBS, Heriot- Watt, UK) is the Managing Partner of Hofisi & Partners Commercial Attorneys, chartered accountant, insolvency practitioner, registered tax accountant and advises on deal and transactions. /He has extensive experience from industry and commerce and is a former World Bank staffer in the Resource Management Unit. He writes in his personal capacity./He can be contacted at +263 772 246 900 or [email protected]
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