ACCT 324 EXAM 1

Federalism

A system of government in which the authority to govern is divided between federal and state govts

_________ consists of the enforceable rules of conduct that govern commercial relationships.

Business law

Substantive Due Process Clause

Constitutional requirement that governments act reasonably and that the substance of the laws themselves be fair and reasonable; limits what a government may do.

Procedural Due Process

Constitutional requirement that governments proceed by proper methods; limits how government may exercise power.

Who is all affected by a firm's business decisions?

Consumers, community, future generations, but NOT mediators

Med-arb

Is a dispute resolution process in which the parties agree to start out in mediation and, if the mediation is unsuccessful on one or more points, also agree to move on to arbitration

Why have most states enacted a long-arm statute?

It enables courts to serve defendants outside the state as long as the defendant has sufficient minimum contacts within the state.

Mediation

PRIMARY ADR (alternative dispute resolution) used in federal district courts

Which would govern a dispute between a tenant and a landlord over payment of rent?

Private Law

What is meant by peremptory challenges?

Rights given to a party to challenge to a certain number of potential jurors without giving a reason

Statutory Law

The assortment of statutes, or rules and regulations put forth by legislatures

A _________ is best described as a binding agreement between two states or international organizations .

Treaty

When does a default judgment occur?

When the defendant fails to answer to the copy of the complaint sent by the court

Public Law

controls disputes between private individuals or groups and their government ex: if a store dumps waste behind its building (in violation of local, state, & federal regulations), public law will resolve the dispute

Allison owned a floral shop in Greenville, SC, but has moved to Chicago, IL, for personal reasons. She wants to establish another floral shop in the new city. She can find info regarding local taxes if she refers to the:

county ordinances

For a legal case, the location in which the trial may be held is appropriate in the country where the ______ resides.

defendant

United States has two parallel court structures:

federal and state

Appellate courts

have the power to review previous judicial decisions to determine whether trial courts erred in their decisions

Trial courts

hear and decide cases when they first enter the legal system

Rule Utilitarianism

holds that general rules that on balance produce the greatest amount of pleasure FOR ALL involved should be established and followed in each situation

Unlike a trial, an arbitration proceeding

lacks an official transcript

Civil Law

lays out the rights and responsibilities implied in relationships between persons and between persons and their government

Minitrial

less costly than arbitration; the business representatives have settlement authority; the procedures can be modified to meet more precisely the needs of the parties

Included in the "WH Framework" for business ethics?

managerial decisions: are made in pursuit of a particular purpose; will affect particular groups of stakeholders; must meet the stds of action-oriented business behavior

Negotiation

no neutral third party involved. meet with both parties and their lawyers though

A defense to lack of enforcement of the arbitration award?

one of the parties did not have the authority to enter a legal contract

Precedent

past decisions in similar cases that guide later decisions, providing greater stability and predictability to the law

The standing requirement of a lawsuit is said to be met when

plaintiff has a personal stake in the outcome of the case

Values are _________ that capture one's sense of what is good or desirable

positive abstractions

Ethical dilemma

problem concerning what a firm should do for which no clear, right decision is available

privileges and immunities clause

prohibits states from discriminating against citizens of other states when those nonresidents engage in ordinary and essential activities

Fifth Amendment

protects against self-incrimination, double jeopardy, due process clause, procedural due process, and substantive due process

Supremacy Clause

provides that any state or local law that directly conflicts with the U.S. Constitution or federal laws is void

Which of the following can form grounds for disputing an arbitrator's decision in a court of law?

refusing to hear relevant evidence

Private Law

regulates disputes between private individuals or groups

Criminal Law

regulates situations in which someone commits an act against the public as a whole

Absolutism

requires individuals to follow a rigid set of rules regardless of the situation

Full Faith and Credit Clause

requires that courts in all states uphold contracts and public acts est. in other states, as long as they do not violate their public policy

Uniform Laws

serve as suggestions for some statutory law at the state level; not a source of law in the same sense as constitutions and statutory law

The ___________ of business consists of expectatinos that the community imposes on firms doing business inside its borders

social responsibility

If a state does not have an intermediate court of appeal, where would the case be heard?

state court of last resort

Legislative bodies, such as Congress or state legislatures, create what kind of laws?

statutory laws

Constitutional Law

the general limits and powers of these governments as stated in their written constitutions

Venue

the legal term for the geographic location in which a case may be tried. Determined by each state's statutes

Private trials have been criticized for...

the parties may hide their dispute from the public, and the private trial may lead to a two-tier system of justice

To have a diversity-of-citizenship case,

the plaintiff and defendant must live in different states

An intended and essential purpose of law?

to encourage social justice

The value of efficiency includes which of the following meanings?

to maximize the amount of wealth in society

United States Supreme Court is compromised of ____ justices, and they serve for ______

9; life

Stare decisis

"standing by their decision" when rulings made in higher courts become binding precedent for lower courts

Due Process Clause

Clause in the Fifth Amendment limiting the power of the national government; similar clause in the Fourteenth Amendment prohibiting state governments from depriving any person of life, liberty, or property without due process of law.

Courts issue judicial decisions that often include interpretations of statutes and administrative regulations. This type of law is best described as which of the following?

Common law

Administrative Law

The collection of rules and decisions made by administrative agencies to fill in particular details missing from constitutions and statutes.

The value of "security" includes

access to a lg. enough supply of G&S to meet basic needs, safety from those wishing to interfere with your property rights, self-confidence to such an extent that risks are welcome

If the Federal Trade Commission (FTC), a government agency, requires businesses to adhere to certain standards in advertising, the law that would cover this rule would be:

administrative law

The United States favors ________ . for resolution of international disputes

arbitration

While civil law involves the right between people and people and the governments, criminal law

are considered acts against society as a whole.

unlike judges, arbitrators

are not bound by precedent

Ethics of care

argues that traditional moral hierarchies ignore relationships between people

Commerce clause

authorizes the federal govt to regulate interstate commerce and international commerce

Cyberlaw

based primarily on existing laws

A written argument arguing why a litigant wants to appeal a judicial decision is called a _____

brief

The Bill of Rights applies to corporations because

business corps are considered "artificial persons"

Case Law/Common Law

collection of legal interpretations made by judges; these are law unless revoked later by new statutory law