Business Law Final Exam (Unit Four)

real property

land and anything permanently attached to it

personal property

is all property that is not real property. it includes “tangibles” and “intangibles”.

intellectual property

intangible personal property (trade secrets; copyright; patents; e.g.)

deed

a written document transferring an interest in land.

title

a term signifying ownership

fee simple (common)

the most complete form of ownership in terms of the time ownership: “forever”.

life estate (rare)

ownership for the life of a particular person

covenant

specific private restrictions (contract terms) on the uses of land.

easement

a limited property right to use land only for a special purpose (“access”; “utilities”).

ad valorem tax

an annual local tax on the assessed value of land.

intangible personal property

a valuable asset that has no physical form, but its value comes from legal rights or ideas

landlord

a person with superior land rights to the tenant (longer lease or fee simple, typically)

tenant

a person with more limited rights in land than the landlord (owning an “estate for years” not fee simple, perhaps)

lease

the contract specifying the terms of the landlord-tenant relationship

quiet enjoyment

a tenant’s right to use and enjoy their rented property peacefully, without significant interference from the landlord or others

eminent domain

a power of government (local, state, federal) to seize land for public use with compensation (market value) to the owner.

trademark

a “symbol” that makes a product readily identifiable. the trademark cannot be “generic” (“Restaurant”), and instead, must be (a) “fanciful” (Exxon) or (b) “distinctive/ arbitrary” (e.g., Apple: it acquired “secondary meaning”) or (c) “suggestive” (Greyhound)

trade dress

the look and feel of a product/place: waffle house (colors; box); starbucks (colors; architecture). protected like trademarks.

tangible personal property

physical, movable items owned by a business that can be seen, touched, or felt

service mark

short statements that apply to “services” (SM), not goods, e.g. “home of the whooper”; “google.” protected like trademarks.

trade name

(1) generally protected as property by registration with the appropriate state agency, (2) a trade name is effectively the “name” of the business, (3) trade name rules are intended to avoid confusion between individuals and owners of businesses and the business itself

copyright

protects the “original expressions” of the owner or creator of the work. protects the form, not the ideas behind them.

patent

an exclusive right to make or sell an invention (i.e., a process, machine, or product) for a specific period of years. it must be applied for and approved by the federal government.

trade secret

information that (1) gives its owner a competitive advantage, (2) is not generally known, and (3) is protected by reasonable efforts of its owner.

domain name

part of an internet address (mercer.edu)

zoning

a state/local government (public) power which includes the power to control land use.

eviction

the formal, legal process a landlord must follow to regain possession of leased commercial property from a tenant, typically due to the tenant’s breach of the lease agreement

agent

a person who acts for and is subject to the control of another person, the principal. almost certainly also an “agent” of a business.

principal

an individual. or entity (like a company) that gives authority to another person ( an agent) to act on their behalf

independent contractor

a legal relationship in which the hirer has less direct physical control or contact over the person hired than an employer has over an employee. may or may not be an agent of the hirer.

employee

a person who acts under the “close direction” of an employer. the employer controls the details of the work; the manner and means of the work; the day-to-day details of how it is done

national labor relations act

a U.S. federal law that protects most private-sector employees’ rights to organize, bargain collectively for better wages and working conditions, and engage in other “concentrated activities” for mutual aid or protection

wagner act (1935)

gives employees the legal right to form unions

taft-hartley act (1947)

an effort, after WWII, to curb union abuses: corruption, violence, monopolistic tactics

national labors relation board

consists of 5 members appointed by the president for 5-year terms; hears complaints about violations of the NLRA by labor or management and has the power to order reinstatement of employees, require back wages, and issue orders to bargain for violations

unfair labor practice

any action by an employer or union that illegally interferes with employees' rights to organize, bargain collectively, or refrain from union activity, as protected by the National Labor Relations Act (NLRA)

union representation election

a formal, secret-ballot vote conducted by an agency like the National Labor Relations Board (NLRB) that allows employees to decide whether a specific union will become their official, exclusive representative for collective bargaining with their employer. 

union certification

the official government recognition (by the NLRB) that a union has won the right to be the exclusive representative for a group of employees (a "bargaining unit") for collective bargaining, meaning the employer must negotiate with them over wages, hours, and working conditions

replacement workers

someone hired to temporarily or permanently fill the job of an employee who is absent, most commonly a union worker on strike or locked out, but also for things like long-term leave, to keep business operations running

employment at will

“unless an employment contract provides otherwise, an employer can terminate an employee at any time, for any lawful reason, or for no reason. similarly, an at will-employee can quit a job at any time and for any reason or no reason.”

occupational safety and health act (OSHA)

adopts and enforces “standards” for workplace health and safety; inspects workplaces and can fine businesses and even close down workplaces for violations

fair labor standards act (FLSA)

imposes a federal minimum hourly wage for many employees; requires payment of time-and-a-half of hourly wage for each hour worked over forty hours if (non-salaried) employee is covered by FLSA; also regulates child labor

workers’ compensation

these are state law programs intended to compensate employees for lost time and injuries. to qualify for WC, the employee’s injury must be (1) accidental; and (2) arise out of and be in the course of employment

collective bargaining

the process where a group of employees, usually through a union, negotiates with their employer as a single unit to agree on terms like pay, benefits, hours, and working conditions, resulting in a formal contract that covers all members

title VII of the 1964 civil rights act

a federal law making it illegal for employers (with 15+ employees) to discriminate against job applicants or employees based on race, color, religion, sex (including pregnancy, sexual orientation, transgender status), or national origin, ensuring equal opportunities in hiring, firing, pay, and all other terms of employment, while also protecting against retaliation for reporting discrimination. 

sexual harassment

unwelcome conduct of a sexual nature (advances, requests, or behavior) that affects employment decisions or creates a hostile work environment, making someone's job conditional on submission or interfering with work performance

age discrimination in employment act ( ADEA) (1967)

a U.S. law protecting workers 40 and older from age bias in hiring, firing, pay, promotions, and other job aspects, making it illegal for employers to discriminate based on age, harass older workers, or retaliate against those who complain

hostile environment

one where unwelcome conduct based on a protected characteristic (race, gender, religion, etc.) is so severe or frequent that it creates an abusive, intimidating, offensive, or abusive environment, that unreasonably interferes with someone's work, making a reasonable person find it objectively hostile, not just rude

business necessity

a rule or requirement essential for a company to operate, function safely, or achieve core goals, not just a preference; in employment law, it's used to justify policies that might otherwise seem discriminatory, proving the practice is vital for the job or business performance, like requiring a driver's license for a truck driver

bona fide occupational qualification ( BFOQ)

a rare, legal exception allowing employers to hire based on traits like sex, religion, or national origin (but never race) if that trait is essential for a job's core function, not just a preference or convenience

americans with disabilities act (ADA) (1990)

a U.S. civil rights law that prohibits discrimination against individuals with disabilities in all areas of public life, ensuring they have the same opportunities as everyone else in jobs, schools, transportation, and public spaces, requiring reasonable accommodations in employment

reasonable accommodations

adjustments to the job, environment, or application process that help qualified individuals with disabilities perform essential functions and enjoy equal opportunities, like flexible schedules, modified equipment, interpreters, or physical accessibility, as long as they don't cause "undue hardship" (significant difficulty/expense) for the employer

quid pro quo

an exchange where one party gives something (goods, services, favors) with the explicit expectation that the other party will provide something of value in return, forming the "consideration" needed for a valid contract, but it also describes illegal exchanges, like bribery or sexual harassment where promotions are offered for sexual favors. 

tenant’s basic legal rights

(1) possession; (2) “quiet enjoyment” (i.e., the normal use of the property); (3) rights in the lease

exclusive possession

the right to occupy and control a property to the exclusion of all others, including the owner, within legal limits.

thirty percent rule

decertification involves employees getting at least 30% to sign a petition for an NLRB election

union campaigns

a coordinated effort by a group of employees, often with the assistance of a labor union, to organize their workplace for the purpose of collective bargaining with their employer.

union requirements for certification and decertification

scheduling a vote requires support from 30% of the relevant workers. the NLRB then approves the holding of a formal election. during the election, both sides campaign, if the union obtains 50% plus 1 of the workers’ votes, then it will be certified as an “exclusive bargaining agent” of the workers. the union can later be “decertified” as the “exclusive bargaining agent” of the employees through the same voting process.

rights of companies in election campaigns

(1) a company can argue in an election that a union will make the operation of the business too expensive and that all the jobs will be lost.

(2) a company can close a plant after losing an election to move to a cheaper location.

(3) a company can exclude union organizers (who are not employees) from company property during the election.

(4) a company cannot close a plant in retaliation for losing an election in order to scare employees at other plants.

closed shops

a workplace in which a company is required by the union agreement to hire union members. (illegal)

union shops

a workplace in which, under the union agreement, all workers must join the union after they are hired (permissible)

“right to work” laws

workers are not required to join the NLRA-certified union for that workplace. this means even if there is a certified union and union contract, the contract cannot require all workers to join the union, even though all workers are subject to the contract.

privacy issues in the workplace

a. substance abuse and drug testing

b. cameras, lie-detectors, e-mail, internet, telephones

c. other privacy issues at work (email, internet, social media on company computers, company cameras, company-owned telephones, contents of desk, computer, locker, but the polygraph)

other employment issues

immigration, FMLA, ERISA, unemployment, social security/ medicare, licenses

The EEOC (Equal Employment Opportunity Commission)

the U.S. federal agency that enforces laws preventing job discrimination based on race, color, religion, sex, national origin, age, disability, and genetic information, handling complaints, investigating claims, mediating disputes, and litigating cases to ensure fair workplaces.

defenses in discrimination cases and affirmative action

Defenses in discrimination cases center on showing legitimate reasons (like Business Necessity, BFOQ, or seniority) for actions, while affirmative defenses (like Faragher/Ellerth) prove proactive prevention/correction; Affirmative Action, however, uses past discrimination to create proactive policies for remedy, not as a defense, though an employer might defend their specific AA plan as lawful if challenged, usually via EEOC guidance.

business necessity

an employment practice, even if it seems discriminatory, is essential for safe, efficient business operations, job performance, or legal compliance, and no less discriminatory alternatives exist

affirmative action

a set of policies aiming to increase opportunities (in jobs, education) for groups historically disadvantaged by discrimination (race, gender, etc.), by taking race, ethnicity, or sex into account in selection processes to correct past injustices and promote diversity, acting proactively to ensure equal access where passive equal opportunity policies fall short.

legal characteristics of real property (ownership rights)

(1) owner’s right to exclusive possession, (2) ownership be divided by area, 3) ownership can be divided by time of possession, (4) real property can be jointly owned (and owned by business organizations), (5) U.S. land law tends to encourage use and development

lease right

the legal permission, granted by a contract (a lease), for someone (the lessee) to use someone else's property (land, building, asset) for a set time in exchange for payments (rent), giving them exclusive possession and control

eviction laws

the rules landlords and tenants must follow for a landlord to legally remove a tenant from a rental property, usually for breaking lease terms like not paying rent or violating rules, but landlords must follow a specific court-ordered process, including giving proper notice, filing a lawsuit, and getting a judge's order, instead of using self-help evictions like changing locks.

“recording” of deeds

a state-controlled process under which deeds are filed with public authorities in each country to establish a legal “chain of title”.

duration of trade secret

as long as “secrecy” is maintained

trade secret means of protection

employee agreements, education, limited access, theft of trade secrets can be a federal crime

copyright requirements

creativity requirement, the expressions must be in a “tangible form.” (print, software, recording)

public domain

a legal concept referring to creative works ( such as books, music, or art) that are not protected by intellectual property law like copyright.

how and when legal rights are created

(1) at the time of expression; and (2) by “registration” with federal government; (3) the registration process is simple and inexpensive (forms + fees); (4) if notice of copyright is on the material, unauthorized use is considered a “willful” violation, which can generate higher penalties

duration of registered copyright

(1) individual owner: life plus 70 years; (2) corporation/LLC owner: 95 years from “publication” or 120 years from “creation,” whichever is shorter.

copyright infringement

the unauthorized copying or used of copyrighted material without permission of the owner.

copyright infringement test

(1) must be “substantial similarity” between the copyrighted material and the alleged infringing material; (2) even if there is “substantial similarity”, a defense to liability for unauthorized copying is the “fair use exception.” this permits certain narrow uses/copies without the copyright owner’s permission: comment, reporting, education, research, or parody (3) if the use is for one of these purpose, the use will also be evaluated for (a) whether for profit or non-profit; (b) the amount of copying; (c) the potential for a reduction in the market for the original copyrighted material.

patent duration

14-20 years from date of filing, depending on the type of patent

types of patents

(1) utility, (2) plant; (3) design

patent approval requirements

(1) novel; (2) useful; (3) not obvious (laws of nature cannot be patented)

important issues for applicant to consider (patents)

(1) requires disclosure of product or process; (2) requires search for “prior art” to determine validity; (3) expensive and time consuming: 1-4 years; $10K+

infringement

the unauthorized making, use, or sale of a patented item.

trademark infringement

determined in two ways: was there (1) a “likelihood of confusion” among consumers for same kind of product or (2) was the infringing mark too similar to the Trademark

trademark requirements explained

(a) fanciful: a completely invented, made-up word that has no prior meaning; (b) distinctive/ arbitrary: a mark uniquely identifies a source, distinctive mark using a common word with no logical connection to the product; (c) suggestive: hints at a product’s quality or nature without directly describing it

trademark creation and duration

creation: automatically when used in commerce

duration: must be renewed every ten years; but can be renewed indefinitely

employee costs

(1) income tax withholding; (2) social security/ medicare taxes; (3) minimum wage/ overtime rules; (4) workers’ compensation insurance; (5) tort liability; (6) benefits, such as health insurance; and (7) unemployment compensation insurance

(employers are responsible for legally imposted costs of hiring an “employee” but not for an “independent contractor.”)

exceptions to the at-will rule

(1) refusal of employee to act illegally (protection for “whistleblowers”); (2) public duty (jury duty, national guard deployment); (3) exercising a public right (voting, making a legal claim against the employer, e.g.), (4) the employee’s employment contract has express terms providing for termination “for cause” only, such as in many union contracts.

workers' compensation remedies

cash payments for: (1) death; (2) disability; (3) medical expenses. no pain and suffering/ punitive (lower potential benefits for injurey, yet no proof of fault against the employer is required for money benefits)

child labor regulations

(1) under 14 years old (extensive regulation) ; (2) 14-15 (hours limitations and no dangerous places); (3) 16-17 (no dangerous places). eighteen & up can work in dangerous jobs

rights of unions in election campaigns

(1) a union cannot “coerce” support for the union.

(2) a union cannot discriminate against non-union members or opponents of the union among its workers.

(3) a union can, during an election, make arguments that the union will benefit the economic position of the workers more than the policies of management