Bus Law Final, Empahsis Cards

Trademark Infringement vs. Dilution (Week 5)

Infringement is "likelihood of confusion" for consumers; Dilution is the weakening of a famous mark's distinctiveness, even without confusion.

Fair Use in Copyright (Week 6)

A legal defense allowing limited use of copyrighted material for criticism, comment, news reporting, teaching, or research.

Work Made for Hire (Week 5)

A rule where an employer, not the employee, is the legal author/owner of a work created within the scope of employment.

Bilateral vs. Unilateral Contracts (Week 6)

Bilateral: A promise for a promise; Unilateral: A promise for an act (contract is formed only when the act is completed).

Lapse of Time / Revocation (Week 6)

Ways an offer terminates: either the stated deadline passes, or the offeror withdraws the offer before it is accepted.

The Mailbox Rule (Week 6)

Acceptance is generally effective when it is sent (dispatched), while revocations are only effective when received.

Legal Capacity: Minors (Week 6)

Contracts with minors are voidable at the minor's option (disaffirmance), unless the contract is for "necessaries" like food or shelter.

Unconscionability (Week 6)

A defense against enforcement where a contract is so one-sided or unfair that it "shocks the conscience" of the court.

Impossibility of Performance (Week 6)

A contract is discharged when an unforeseen event makes performance objectively impossible (e.g., the subject matter is destroyed).

Promissory Estoppel (Week 6)

A doctrine allowing enforcement of a promise without consideration if one party justifiably relied on it to their detriment.

Employee vs. Independent Contractor (Week 7)

Distinction based on "Control": If the employer controls the "how, when, and where," the worker is likely an employee (e.g., FedEx driver case).

Vicarious Liability / Respondeat Superior (Week 7)

An employer is legally responsible for the torts committed by an employee if they occurred within the "scope of employment."

Quid Pro Quo vs. Hostile Work Environment (Week 7)

Quid Pro Quo: Employment benefits traded for sexual favors; Hostile Environment: Severe or pervasive conduct that interferes with work.

Title VII of the Civil Rights Act (Week 7)

Prohibits employment discrimination based on race, color, religion, sex, or national origin.

Sherman Act: Rule of Reason (Week 8)

A standard used by courts to determine if a business practice is illegal by balancing its pro-competitive benefits against its anti-competitive harms.

Tying Arrangement (Week 8)

An often illegal practice where a seller conditions the sale of one product on the buyer’s agreement to purchase a second, different product.

Vertical Price Fixing (Week 8)

An agreement between parties at different levels of the supply chain (e.g., manufacturer and retailer) to set a minimum or maximum price.

Implied Warranty of Merchantability (Week 8)

An unwritten guarantee that a product is fit for the ordinary purposes for which such goods are used.

Piercing the Corporate Veil (Week 9)

A legal action where a court disregards limited liability and holds shareholders personally liable, usually due to fraud or commingling of funds.

Articles of Organization (Week 9)

The formal document filed with the state to legally create a Limited Liability Company (LLC).

Double Taxation (C-Corp) (Week 9)

The corporation pays tax on its net income, and shareholders pay tax again on the dividends they receive.

Pass-Through Taxation (Week 9)

A tax arrangement (used by LLCs and Partnerships) where the entity pays no taxes; instead, profits/losses are reported on the owners' personal tax returns.

Derivative Lawsuit (Week 9)

A lawsuit brought by a shareholder on behalf of the corporation against its directors or officers for breach of fiduciary duty.

Duty of Care vs. Duty of Loyalty (Week 9)

Care: Directors must act as a "reasonably prudent person"; Loyalty: Directors must put the corporation's interests above their own.

Operating Agreement (Week 9)

An internal (non-public) document for an LLC that outlines how the business will be managed and how profits will be shared.