Comprehensive Guide to Court Systems, Law, and Business Law Principles

Federal courts

Handle disputes involving federal law or parties from different states

State courts

Handle disputes under their state's laws

Trial courts

Courts of original jurisdiction where legal actions are initiated

Appellate courts

Review trial court rulings for errors of law; examine questions of law or legal error

Federal circuit courts of appeal

13 total (one for each of 12 circuits plus the Federal Circuit)

U.S. Supreme Court

Head of judicial branch; decides if laws violate Constitution; most cases reach it on appeal

Jurisdiction

Authority or power of a court to hear cases

Limited jurisdiction

Authority to hear specific subject matter only

Appellate jurisdiction

Authority to hear appeals from other courts

Venue

The most appropriate physical location for a trial

Standing

Required before a case can be litigated

Subject matter jurisdiction

Court must have authority over the type of case

Personal jurisdiction

Court must have authority over the parties

Service of process

Formal delivery of legal documents

Pleadings

Statements by plaintiff and defendant detailing facts, charges, and defenses

Discovery

Formal process of exchanging information between parties about witnesses and evidence

Deposition

Out-of-court testimony recorded for later use; sworn testimony by a party or witness

Interrogatories

Written questions requiring written answers

Voir dire

Process of choosing a petit (trial) jury

Motion for new trial

Declares a trial was fundamentally flawed

Motion for summary judgment

Requests judgment without full trial

Award

Monetary compensation given at end of trial

Constitutional law

Supreme law of the land; preeminent source of American law

Bill of Rights

First ten amendments to the U.S. Constitution

Judicial review

Power of courts to invalidate laws and executive actions that are unconstitutional

Commerce Clause

Gives federal government power to regulate interstate commerce

Supremacy Clause

Federal law is supreme over state law

Due Process Clause

5th and 14th Amendments - no person shall be deprived of 'life, liberty, or property, without due process of law'

First Amendment

Freedom of speech and press (protects opinion and symbolic speech)

Fourth Amendment

Protects from unreasonable searches and seizures

Fifth Amendment

Protection against self-incrimination; due process

Sixth Amendment

Right to trial by impartial jury

Double jeopardy

Protection against being tried again for the same offense (5th Amendment)

Habeas corpus

Right to be presented before a court after arrest

Fraud

Misrepresentation of fact, intent to deceive, justifiable reliance, injury

Misrepresentation

False statement about material fact

Concealment

Actively hiding defects (e.g., painting over wall defects)

Nondisclosure

Failure to reveal known information

Suppression

Keeping information hidden

Duress

Forceful pressure overcoming free will; threat must be improper

Undue influence

Taking advantage of relationship to pressure someone

Mistake

An error in understanding or judgment

Unilateral mistake

One party mistaken

Bilateral mistake

Both parties mistaken about material fact

Statute of Frauds

Certain contracts must be in writing to be enforceable

Complete performance

Full compliance with terms

Substantial performance

Acted in good faith, conveyed enough benefit for intended purpose, defects remedied by money damages

Material breach

Significant failure to perform

Mutual rescission

Both parties cancel contract

Accord and satisfaction

Agreement to settle for different performance

Novation

Substituting new contract/party for old one

Rescission

Canceling contract and returning parties to pre-contract position

Variation

Minor changes with fresh consideration

Breach of contract

Nonperformance of contractual duty

Anticipatory breach

One party indicates they won't perform before due date

Remedies

Money damages (compensatory, consequential, punitive, nominal, liquidated), specific performance (rare), rescission and restitution

Duty to mitigate

Injured party must try to minimize damages

Quantum meruit

"As much as deserved" - payment for work done

Assignment

Transfer of contract rights to third party

Delegation

Transfer of contract duties to third party

Intended beneficiary

Can sue for breach of contract made for their benefit

Incidental beneficiary

Cannot sue; not intended to benefit directly

Creditor beneficiary

Beneficiary to whom debt is owed

Primary beneficiary

Main intended beneficiary

Parol Evidence Rule

Limits introduction of evidence not contained in written contract

Sole Proprietorship

One individual carrying on business alone

General Partnership

Two or more people sharing assets, profits, and liability; ordinary partnership

Limited Partnership

Limited partners have limited liability; must have at least one general partner

Corporation

Separate legal entity that can sue and be sued

Limited Liability Company (LLC)

Hybrid form offering limited liability of corporation and tax advantages of partnership

Venture capital

Usually high-risk investments

Corporate Social Responsibility (CSR)

Business obligation to stakeholders to increase positive effects and lessen negative effects

Triple bottom line

People, planet, profit

Principal

Person who hires agent

Agent

Authorized to act for and on behalf of principal

Power of attorney

Document giving agent authority to sign legal documents for principal

Express authority

Explicitly stated

Implied authority

Implied by conduct or usual authority for position

Apparent authority

Principal represents someone has authority (holding out)

Agent duties

Loyalty, care, obedience, accounting, notification

Principal duties

Compensation, cooperation, reimbursement, indemnification, safe working conditions

Independent contractor

Significant legal differences

At-will employment

Either party may terminate at any time (general rule)

Whistleblower

Person who reports unethical activities under employer's control

Constructive dismissal

Significant changes to job without consent

Americans with Disabilities Act (ADA)

Protects from discrimination; disability must be substantial impairment

Equal Pay Act

Requires equal pay for work of equal value

Title VII

Prohibits discrimination based on race, religion, national origin, color, sex

Age Discrimination in Employment Act (ADEA)

Prohibits age discrimination in hiring/firing

Occupational Safety and Health Act (OSHA)

Requires safe working conditions; right to refuse unsafe work

Equal Protection Clause

Quotas for diversity violate this

Vesting

Legal right to receive pension benefits at future date

COBRA

Continuation of health benefits

Electronic Communications Privacy Act (ECPA)

Monitoring allowed if employees clearly informed

Sexual harassment/Bullying

Hostile workplace; repeated threats or verbal abuse

Staff turnover and employee satisfaction

Measures of employee issues

Employment Standards Act

Hours, wages, working conditions

Workers Compensation Act

Benefits for work injuries

Copyright

Protects creators of literary, creative, or artistic works

Patent

Exclusive right to make, use, or sell invention for specified period