Bus 10 ch bonus A
Negligence
Behavior that causes unintentional harm or injury.
Options of declaring bankruptcy:
Chapter 7: Straight bankruptcy Chapter 11: Reorganization Chapter 13: Repayment plan
CHAPTER 7 BANKRUPTCY
Creditors with secured claims receive their collateral or repossess the asset.
Precedent
Decisions judges have made in previous cases to guide their handling of new cases
Administrative Agencies
Federal
Product Liability
Holds businesses liable for harm that results from the production, design, or inadequate warnings of products they market.
Statutory Law
Includes state and federal constitutions, legislative enactments, treaties of the federal government and ordinances; written law.
Express Warranties
Specific representations made by the seller that buyers rely on regarding the goods they purchase.
Contract Law
Specifies what constitutes a legally enforceable agreement
Common Law
The body of law that comes from decisions handed down by courts; unwritten law.
Bankruptcy
The legal process by which a person, business, or government entity, unable to meet financial obligations, is relieved of those debts by a court.
Breach of Contract
When one party fails to follow the terms of a contract.
The Federal Trade Commission Act of 1914
created the FTC and prohibits unfair methods of competition in commerce.
Criminal law
defines crimes, establishes punishments, and regulates the investigation and prosecution of people accused of committing crimes.
The Wheeler Lea Amendment of 1938
gave the FTC additional control over false and misleading ads
Civil law
proceedings cover non-criminal acts - divorce, personal injury lawsuits and more.
The Robinson-Patman Act of 1936
prohibits price discrimination and applies to buyers and sellers
A warranty guarantees that
the product sold will be acceptable for the purpose for which the buyer intends to use it.
Uniform Commercial Code (UCC)
A comprehensive commercial law that covers sales laws and other commercial laws. -The UCC has 11 articles that contain laws covering a wide range of business issues.
Big Bankruptcies of 2008-2011
-Circuit City -KB Toys -Linens 'n Things -Mrs. Field's Cookies -Borders
The Clayton Act prohibits
-Exclusive dealing -Tying contracts -Interlocking directorates
If a contract is breached the following may be ordered:
-Specific performance -Payment of damages -Discharge of obligation
Examples of Administrative Agencies:
-The Federal Reserve Board -The Securities and Exchange Commission -The Equal Employment Opportunity Commission -The Federal Trade Commission
types of court
-Trial courts hear cases of criminal and civil law. -Appellate courts hear appeals from the losing party at the trial court level.
A contract is legal and binding when:
1. An offer is made 2. There's a voluntary acceptance of the offer 3. Both parties give consideration 4. Both parties are competent 5. The contract covers a legal act 6. The contract is in the proper form
Unsecured claims are paid in this order:
1. Costs of the bankruptcy case 2. Any business costs after filing 3. Wages, salaries, commissions 4. Contributions to employee benefits 5. Refunds to consumers for products not delivered 6. Federal and state taxes
Patent
A document that gives inventors exclusive rights to their inventions for 20 years.
Contract
A legally enforceable agreement between two or more parties
Tort
A wrongful act that causes injury to another person's body, property or reputation. -An intentional tort is a willful act that results in injury.
Implied Warranties
Legally imposed on the seller, who implies that a product will conform to the standards of trade.
Strict Product Liability
Liability without regard to fault; a company can be held liable for a defective product even if they didn't know of the defect.
Copyright
Protects a creator's rights to materials such as books, articles, photos, paintings, and cartoons.
trademark
Protects a creator's rights to materials such as books, articles, photos, paintings, and cartoons.
Business Law
Refers to the rules, statutes, codes and regulations that provide a legal framework for the conduct of business.
