BUS LAW FINAL

What must be on an environmental Impact statement

- 1 Description of Project - 2 Adverse Impact of the Project on the environment - 3 Mitigation of Irreversible Effects - 4 Alternatives - 5 Irreversible Effects

long arm statute

A state statute that permits a state to exercise jurisdiction over nonresident defendants.

False

Because the Supreme Court believes that courts can provide the best relief to plaintiffs, it is reluctant to order parties into arbitration.

False

Case law decided by the Supreme Court is binding on federal but not state courts.

True

Tort and contract law are primarily state law.

Examples of Checks and Balances

-congress can impeach judges -judicial branch can perform judicial review on the president - presidential pardon to judicial branch - president can veto laws passed by congress - congress can override that veto - president appoints justices - president appoints head of agencies - congress sets up agencies - congress appropriate funds for executive branch - judicial branch can rule laws unconstitutional - president can issue executive orders - president can make treaties -congress can impeach the president

What can a board do to ensure ethical decision making at a company?

-legal implications of each decisions - enforce a code of conduct - whistleblower hotline

5 Factors that make an employee or independent contractor

1 Control Working Space 2 Who you can work with 3 hours 4 uniform 5 equipment ownership

4 Sources of Law

1. Constitution 2. Case Law 3. Statutory Law 4. Administrative Law 5. Executive Orders

5 Risks of Doing Business overseas

1. Customs 2. Language 3. Labor Laws 4. Tariffs 5. Currency

5 Ways to Cope for doing business overseas

1. Export 2. License 3. Franchising 4. Joint venture 5. Direct Investment

Requirements for a valid deed

1. Names of the party 2. Description of the property 3. intent to convey 4. signature of the grantor

Primary Requirements for a Prospectus

1. company background 2. name of company 3. # of shares 4. whether an offering is public or private 5. Any pending lawsuits or special risk factors 6. Legal actions 7. Officers and directors 8. Properties 9. use of proceeds

Executive Legislative Judicial

3 Primary Branches of Government

Making a proposal to add a term to an existing contract

A says I will sell you 25 bikes for my standard price less a 5% discount. B says sounds like a good deal. I will do it. Deliver them to Colorado. A says I will pay half the freight. What is A doing? Don't worry about whether it should be in writing

Yes, but A does not have to deliver them to Colorado

A says I will sell you 25 bikes for my standard price less a 5% discount. B says sounds like a good deal. I will do it. Deliver them to Colorado. Colorado freight will cost A 40% of the profit he was going to make. Is this a valid contract under the UCC? (Don't worry about whether it should be in writing.)

False

A says I will sell you 25 bikes for my standard price less a 5% discount. B says sounds like a good deal. I will probably do this tomorrow. Is this a valid acceptance under the UCC?

Bilateral Agreements

Accepted and completed by a promise in the future

Unilateral Agreements

Accepted and completed by an act

Legal

According to the text, when making decisions, the first thing a business should evaluate is the __________ implications of each decision

Immediately

After an offer is made, the subject matter of the offer is destroyed. However, the offer is considered terminated

Common Law

All of the cases that have been decided by U.S. judges, as well as by English judges prior to the American Revolution, constitute a body of law known as

Dormant Commerce Clause Doctrine

Arizona enacted a law prohibiting the manufacture and sale of cement manufactured outside of Arizona that does not carry a label that the cement cannot be used in government-funded or other large projects. The requirement of the label, and the restriction of non-Arizona cement violate the

Inspect corporate records Her proportionate share of company assets if a liquidation occurs vote on major corporate matters and the Board of Directors

As a shareholder of a corporation, Susan is entitled to

Administrative Law

Assume that Congress passes a law establishing a new administrative agency to oversee cyberlaw issues. The agency writes rules to enable it to carry out its duties. The rules written by the agency will be known as a part of

False

At common law, an offeror was the "master of his offer". Today, though, because of the UCC and the internet, anyone can accept any open offer anytime.

False

Because the UCC was drafted, and negotiated, between businessmen, banks and corporate lawyers, it is a good recommendation of commercial standards to follow, but the rules are voluntary for business.

False

Bill sees an offer for 5 toys on the internet for $30 each. It says to send an acceptance within 5 days to [email protected], but Bill, sends it to [email protected]. A forwarding order sends the email to [email protected] 10 days later. Bill's acceptance is nonetheless valid, since the email was forwarded to toysbeus. (This is a tough one. I won't do this to you on the test.)

the Georgia Supreme Court

Charles loses his breach-of-contract case against Micheletta, a California resident, in a Georgia state trial court. Charles appeals to the state court of appeals. Losing again, he files his next appeal with

Basis for congressional oversight of business and where located

Commerce Clause Article 1 Section 8

True

Congress was empowered to pass the Fair Labor Standards Act due to the Commerce Clause in the US Constitution.

False

Courts use a subjective standard when interpreting contracts so that they can understand why a party entered into an agreement.

Substantive Law

Elaine is involved in a car accident where the other driver ran a red light. To determine whether she has a case, her attorney would apply which of the following classifications of law?

True

Glaxo makes a pill that saves thousands from heart attack. It also destroys the liver of .1% of those who take it. Glaxo takes great care to test the drug, and to manufacture it carefully. Glaxo can nevertheless be held liable for a negligent failure to warn about the dangers of the drug.

True

In order to enforce justice and equality, courts are nevertheless not likely to review whether or not a contract is a good deal for both parties prior to making an enforcement decision for either side.

A deposition

In preparation for a trial between George and ABC Corporation, ABC's attorney places George under oath and asks George questions that are recorded by a court reporter. This is known as

Long Arm statute

In the previous question, what provides authority for the jurisdiction over an out of state defendant?

Negotiation

Jackson, a homeowner, files a lawsuit against Johnson, his construction contractor. Prior to trial, they meet with their attorneys to try to resolve their dispute before going to trial. This proceeding is known as

In personam Jurisdiction

John is a resident of Iowa. While driving through California, he has an accident involving Marisol, a California resident. Marisol files a lawsuit in a California state court. Over John, the California court has

False

Members of the Board of Directors are elected by the officers of a corporation.

True

One factor in determining if a worker is an employee is whether or not that worker offers his services to several other employers.

3 Schools of ethical thought

Outcome based ethics duty based ethics

False

Regulatory agencies are created by the President to carry out and faithfully execute the laws.

False

Shareholders have a right to require that the Board of Directors pay a dividend if the Company has too much cash in the opinion of the shareholder.

False

Since the EPA was created by Congress, the Administrator of the EPA is selected by Congress and the President.

True

State law supreme court decisions are binding on ALL of the state courts of the state where the court is located.

True

Subject matter jurisdiction is the power of the court to hear a certain type of case.

A reasonably experienced attorney/CPA in the same situation

Tenure Track Instructor Judd also provides financial and legal accounting advice to clients for a fee. He tells them that he is an attorney and CPA. A client makes a claim (probably in error!) that the advice Judd gave was incorrect. What standard of care would the client have to show that Mr. Judd breached?

False

The Constitution and the United States Code with all of its Titles comprise all rules that affect government, business and individuals.

False

The Supreme Court trend on the exercise of personal jurisdiction over out of state defendants is that it is making it easier for plaintiffs to assert jurisdiction over out of state defendants.

-Notice of a preliminary rule published in the Federal Register -A comment period to allow the public to comment on the rule -Publication of the final rule

The U.S. Fish and Wildlife Service wishes to make new rules about the desert ground squirrel. This involves a period during which the following actions must occur.

Personal Jurisdiction (In Personam)

The authority of a court to try a person based on their standing -- do they do business in the venue's area? Do they have ties to the area where they're being tried?

False

The parol evidence rule helps people prove that agreements actually exist.

The Commerce Clause

The primary source of authority for government regulation of business would be

False

The social responsibility of business consists only of the expectations employees have of their employers.

True

The standards for issuance of a patent are generally that the concept must be novel, non-obvious and unique.

Control of work schedule Control of the tools or equipment used in the work Control of the dress worn during work time

There are several factors that help determine if a worker is an "employee" or an "independent contractor". Select those factors.

Moral Minimum

When making a business decision, merely complying with the law is referred to as the

True

When the dangers of a product misuse or land area are obvious, the manufacturer or landowner has no duty to warn of those dangers.

False

Whether or not a party has a claim against an attorney based on his malpractice in a securities law matter is the same in all states since whether malpractice occurred is a matter of federal, not state, law.

Patents, Trademarks, Copyrights, Trade Secrets

Which of these are commonly understood to be intellectual property?

False

While courts decide questions of law, juries may decide the facts and questions of the law when considering a verdict.

What the Fair Debt Collection Practices Act forbids

make harrassing phone calls contact relatives employer offer to sell debts to others

Environmental Impact Statement

must be prepared prior to the start of any substantial federal project

Purposes of Business Laws in our Society

prevent anarchy maintain order establish standards PREDICTABILITY ensure fairness