The commercial code is a set of rules and precepts that regulate business relationships and activities. Each country has its own trade code, adapted to its current legal framework.
The code word necessarily refers to a strict and closed body of norms and referential criteria that regulate the exercise of some type of activity. In this case, it refers specifically to commercial activity within a geographical area of constituency.
Commercial activity refers to obtaining merchandise for sale, regardless of its nature. Therefore, the commercial code covers all activities related to processed and semi-finished products: production, procurement, distribution, sale and rental.
This type of document has its origin in the contemporary age. The first referential trade code for modern society was that of France. The French commercial code entered into force in 1807, during the government of Napoléon Bonaparte, also responsible for the first modern civil code. This document gathered standards, criteria and good practices in commercial activity.
Currently, trade codes tend to transform or disappear, due to the new changes facing the economy in the context of globalization.
Areas of application of the commercial code
Normally, trade codes have application in different fields, such as:
- Commercial companies, which are responsible for marketing, distributing and reselling products.
- Industrial companies that, in addition to marketing, distributing and reselling, produce their own merchandise.
- Foreign exchange transactions: refers to the mediation established by the commercial code in matters related to foreign exchange checks, promissory notes and other types of financial instruments recognized for commercial transactions.
- Rental of goods produced or acquired.