Which of the following best summarizes private law?

The correct answer highlights that private law fundamentally concerns the relationships between individuals and entities. This area of law governs issues such as contracts, property disputes, family law, and other interactions where private parties are involved. It establishes the legal framework for resolving disputes and ensuring that individuals can seek remedies for various grievances against one another, without involving the state as a party to the conflict in the same way that public law would.

In contrast, the other options pertain to aspects of law that either focus on state interests or the criminal justice system. State laws and regulations are typically categorized under public law, which governs the relationships between individuals and the government. The definition of punishments for crimes falls under criminal law, another public law category, explicitly addressing offenses and penalties imposed on offenders. Finally, the governance of the judicial system also aligns with public law and institutional frameworks rather than the interactions between private parties. Thus, option B accurately captures the essence of private law in a way that distinguishes it from these other domains.