How State Laws Can Impact Your Business

Local authorities and the federal government have put up several laws for businesses to adhere to daily operations. The regulations given out can be related to environmental, employee and advertisement practices, and many others. Some of the rules might be very hard, especially if you are a newbie. If you need any legal representation, look into attorneys in your state; for example, if you stay in Minneapolis, then you should find a MN employment law firm.

Companies’ structure is greatly affected by the state’s regulation, below are three government laws that impact business. 

Environmental Laws

Environmental regulations are laws that have been set for businesses to minimize the negative impacts of their activities on the environment. The Environmental Protection Agency manages the initiatives approved by congress.

Over the past years, EPA has been on the front line in environmental protection by passing bills. These bills are meant to restrict businesses in their daily activities from polluting the environment. An excellent example of law is the Clean Air Act of 1990, which control how companies must play their roles in the following.

• Safeguard the environment

• Control smog levels and vehicle emission

• Protect the quality of the air

• Clean up air pollution

Another state legislation that impacts the business is the Marine Protection 1972, Research and Sanctuaries Act. The law restricts businesses from dumping harmful and nasty waste into the ocean. The law affects the companies that indulge themselves in manufacturing products, thereby creating waste.

EPA restrictions expect all businesses that dump their waste into hazardous waste spots to either pay for the clean-up fee of the site or allocate their workers to do the task.

Any business seeking to expand to build or expand their facilities must seek licenses from the local area authority. The authority will ensure that there will be no destruction to wetlands or any other protected areas because of the construction.

Advertisement Laws

Marketing is an integral part of the expansion of the business network. Governments have made it hard for businesses to conduct advertisement and brand marketing through the passed laws to keep things in check.

Consumers who have fallen victim to being misled by a company can sue them for their irresponsible advertisement. The laws ensure the business remains honest in advertising and marketing awareness. If the authority finds out a company omitted relevant information or lied to the public, the business may be at risk of closure or paying a considerable fine.

To monitor businesses’ online ads, the Federal Trade Commission was formed. The regulation strictly focuses on protecting the consumers’ classified information during electronic commerce. 

According to the Fair Packaging and Labelling regulation, businesses must be genuine in listing the constituents in the products consumed by customers.

Employment Laws

A business can decide to employ independent contractors, full-time freelancers, or salaried employees. The law of the land requires the business to familiarize themselves with the employment regulation where they operate their business, regardless of the employment status of the employee.

Fair salary, retirement, working hours, health insurance, discrimination in the working environment, and workers’ compensation are all included in the employment law.

Final Verdict

There are many regulations passed by the government that has a significant impact on the regular operation of the business. Therefore, the companies must be aware of the rules and follow them. 

Going against the law of the land while conducting business operations is quite detrimental. The impacts are severe such that a company can go bankrupt within a short time due to penalties and fines charged.


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