Ch. 1 Flashcards
(52 cards)
What are 7 areas of law that can affect business decision making?
1) contract
2) intellectual property
3) torts
4) product liability
5) sales
6) internet/social media and privacy
7) environmental law and sustainability
Define primary source of law
Establishes law (constitution, statutes, regulations)
Define secondary source of law
Summarize and clarify the primary source of law
Name 3 parts of Statutory Law
1) Ordinances
2) Uniform Laws
3) Uniform Commercial Code
Name the 2 parts of administrative law
1) federal agencies
2) state and local agencies
What is American law based largely off of?
English common law
What two separate court systems were there in English common law?
1) court of law: granted limited kinds of monetary remedies such as land, items of value and money
2) court of equity: awards non monetary relief called remedies in equity such as specific performance, injunctions and rescissions
What two remedies are there in the court system?
1) legal
2) equitable
What are the 6 equitable maxims?
1) whoever seeks equity must do equity
2) where there is equal equity the law must prevail
3) one seeking aid of the equity court must come to court with clean hands
4) equity will not suffer a wrong to be without a remedy
5) equity regards substance rather than form
6) equity aids the vigilant, not those who rest on their rights
What does “stare decisis” mean? (Stand in decided cases)
Common law doctrine where judges must follow the precedents established in common law doctrine
What are the two aspects of stare decisis?
1) a court shouldn’t overturn its own precedents unless there is compelling reason to do so
2) decisions made by a higher court are binding on lower courts
Define binding authority:
Any source of law a court must follow when deciding a case. Includes constitutions, statutes and regulations
What is controlling precedent?
A binding authority that requires a court to follow prior court decisions in its jurisdiction
Define persuasive authority
Any primary or secondary source of law that a court may consult for guidance but is not binding on the court. Includes sources from other jurisdictions, issues of fairness, social values and customs and unpublished opinions
In what kind of cases are persuasive authority used?
First impression-those with no precedent
What is the IRAC method?
The legal reasoning process to decide cases
I=issue
R=application
A=application
C=conclusion
Common law governs transactions not covered by what law?
Statutory
What are the compilations that generally summarize the rules of the common law of the states called?
Restatements of the law
What are the 4 schools of thought of law?
Natural law school
Positivist school
Historical school
Legal realism
Define natural school of law
Assumes a higher/universal law exists that applies to all humans and that written laws should reflect the principles inherent in natural law
Define positivism school of law
There is no higher laws than those created by a national gov’t
Laws must be obeyed to prevent anarchy even if they’re unjust
Basis for national law
Define historical school of law
Emphasizes the evolutionary process of law
Concentrates on the history/origins of the legal system
Law derives its legitimacy and authority from standards that have withstood the test of time
Define legal realism
Law is shaped by social forces and needs
Judges must account for economic and social realities when deciding cases
Influenced the growth of “sociological school” which focuses on law as a tool to promote social justice
Every type of law will either be:
1) Substantive or Procedural
2) Civil or criminal
