The Importance of the Legal Aspects of Business Correspondence

The writing of business letters calls for two classes of skills. First, we need to know how to lay out a business letter in acceptance form, and be thoroughly familiar with it, so that in practically every letter we write we use the standard layout. There will always be the odd letter that for some reason is non-standard, but in general we should write naturally in the well-tried, standard way, so that our correspondents will feet at ease with the letter when it arrives. The other skill is the ability to write in good English, with the letter’s subject matter falling into clear paragraphs, each of which is written in lucid sentences. The ability to write in sentences, both simple sentences and more complex sentences, ensures that each part of the letter expresses a complete thought, or a group o related thoughts. This enables our correspondent to follow the points we are making, in logical steps, and to arrive at the end of the letter with a clear understanding of our point of view on the matter, or matters, that we have raised.

These two aspects require a great deal of explanation, and we shall learn the skills best if we understand the reasons behind the various practices that have been adopted over the years. We will therefore start by considering the legal aspects of business correspondence.

The legal aspects of business correspondence

Almost all business activity is contractual in nature. This means that the two people engaged in any particular transaction are undertaking certain obligations to one another and at the same time acquiring certain rights. Thus the furniture manufacturer who agrees to supply some of his/her products to a wholesaler is entering into a transaction by which he/she accepts an obligation to supply the goods specified in return for a right to receive a monetary payment called ‘the price’. Where a service is to be supplied, the arrangement is just the same. For example, a security company agrees to protect premises with its security guards and specialist devices, in return for an agreed contractual fee.

Should any dispute arise, it can be settled by going to court, with the aggrieved party suing the other party. To sue someone is to summon them to court, to show why you should not have the justice you are seeking. The judge will look at correspondence that has passed between you (including any document such as contracts, invoices, memos, etc.) and will pronounce judgment in the matter. It is the legal nature of correspondence that requires setting out the correspondence in a standard form of layout. The chief points are:

1) The names and addresses of both parties to the contract must be stated on all correspondence.

2) All correspondence must be clearly dated.

3) To assist in tracing correspondence, it is usual to give references at the top of the letter.

4) To make the subject matter of the letter clear, it is usual to give a subject heading at the start of the letter.

5) To start the letter itself, we need some sort of greeting. This is called the salutation, and may be a general greeting, such as Dear Sir.

6) We then have a number of paragraphs that deal with the matter in hand.

7) Finally, we need a concluding section. This is called ‘the complimentary close’ or ‘subscription’.

8) If copies are being sent to other departments, there may be a list of their names, headed CC (copies circulated).

If all these details are included, the court will have no difficulty understanding what the parties have done. Clearly we do not expect to finish up in court when we start to deal with a supplier or customer, but in case we do, the formal layout described will serve as evidence.

5 Reasons for Writing Business Correspondence

What is an effective business organization? The answer to this is quite broad and diverse. But there is one aspect of business operations that is often neglected. This is business writing.

Effective business communication is important in the daily operation of a company. Moreover, it can dictate whether the company earns or loses money. In addition, it affects the business organization at different levels from the individual up to the corporate leaders.

1. To convey information

The essential role of business writing in an organization is to share information. Whether it is the latest sales statistics or sale projection, a business plan, a marketing proposal, proper communication of data is essential. The success of a business organization depends on the quality of information that passes through its people.

2. To justify an action

Another reason why people communicate is to justify or explain an action. One example to this is writing an incident report. The person explains what happened so that the company can understand an event better. Justifications and explanations require that the author put as much detail as possible to communicate his thought clearly.

3. To influence action

Business writing is often a way to influence other people. A good example of this is presenting a business proposal, a marketing plan or a project proposal. By detailing pertinent information, the author seeks to affect the decision. Influencing others is a hallmark of effective business communication.

4. To deliver good or bad news

The workplace is a dynamic place. It offers employees both good and bad news on a daily basis. Through proper business communication, the bad news is properly written to soften the blow. Likewise, good news is highlighted just to give emphasis. This can range from getting a pay raise to sharing the company’s achievements. On the other hand, this can offer grim realities like suspensions, or even layoffs.

5. To direct action

Lastly, effective business writing aims to direct the reader to the right actions. Many company documents like SOP manuals, employee handbooks, technical instruction manuals and the like offer explicit information. In order for a corporate correspondence to direct the action of the employee, it must be clear and concise. Unfortunately, many failures in communication result due to unclear and conflicting statements.

Having these 5 reasons of corporate correspondence in mind, an author can effectively write business communication. Furthermore, the proper writing style stems from a clear and effective business writing purpose.

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