business law CH 2 SLIDES

Federal form of government

A system where power is shared between the national government and the states.

Express powers

Powers specifically listed in the Constitution and given to the federal government.

Implied powers

Powers not explicitly stated but necessary to carry out express powers.

Tenth Amendment

Reserves powers not delegated to the federal government to the states.

State police powers

Inherent state powers to regulate health, safety, morals, and general welfare.

Privileges and Immunities Clause

Prevents states from placing unreasonable burdens on citizens of other states.

Examples of protected activities under Privileges and Immunities

Transferring property, seeking employment, accessing courts.

Full Faith and Credit Clause

Requires states to recognize and enforce civil judgments and legal documents from other states.

Full Faith and Credit applies to

Only civil matters, not criminal law.

Three branches of government

Legislative, Executive, and Judicial.

Checks and balances

System allowing each branch to limit the power of the other branches.

Judicial review

The power of courts to declare laws or actions unconstitutional.

Commerce Clause definition

Gives Congress the power to regulate commerce with foreign nations, among states, and with Indian tribes.

Why the Commerce Clause matters for business

It has the greatest impact on business of any constitutional provision.

Gibbons v. Ogden (1824)

Established federal government's exclusive power to regulate interstate commerce.

Substantial effects doctrine

If an activity substantially affects interstate commerce, Congress may regulate it.

Commerce Clause today

Applies to almost all commercial transactions.

Heart of Atlanta Motel v. United States (1964)

Court held that racial discrimination in lodging substantially affected interstate commerce.

Controlled Substances Act case

Congress can regulate intrastate marijuana as part of a larger regulatory scheme.

Supremacy Clause definition

Federal Constitution, laws, and treaties are the supreme law of the land.

Preemption

Doctrine where federal law overrides conflicting state or local laws.

Bill of Rights definition

The first ten amendments to the U.S. Constitution.

First Amendment

Freedom of religion, speech, press, assembly, and petition.

Fourth Amendment

Protects against unreasonable searches and seizures.

Fifth Amendment

Rights to due process and protection against self-incrimination.

Eighth Amendment

Prohibits excessive bail, fines, and cruel or unusual punishment.

Ninth Amendment

People have rights beyond those listed in the Constitution.

Original scope of the Bill of Rights

Originally applied only to the federal government.

Incorporation doctrine

Applies most Bill of Rights protections to the states.

14th Amendment Due Process Clause

Prohibits states from depriving life, liberty, or property without due process of law.

Symbolic speech

Nonverbal actions that express ideas, protected under free speech.

Content-neutral laws

Laws regulating speech without targeting its message.

Commercial speech

Advertising and marketing communications by businesses.

Test for restricting commercial speech

Must serve a substantial government interest, directly advance it, and go no further than necessary.

Corporate political speech

Protected under the First Amendment.

Citizens United v. FEC (2010)

Corporations may spend freely on political speech.

True threats

Speech expressing serious intent to commit unlawful violence.

Obscenity

Obscene material, including child pornography, is not protected speech.

Establishment Clause

Government may not establish or favor a religion.

Free Exercise Clause

Protects individuals' rights to practice their religion freely.

Religious accommodation

Employers must reasonably accommodate sincerely held religious beliefs.

Public welfare exception

Government may limit religious practices to protect public health and safety.

Procedural due process

Requires notice and an opportunity to be heard before government action.

Substantive due process

Requires government to have sufficient reason to deprive fundamental rights.

Equal Protection Clause

Government must treat similarly situated individuals or businesses the same.

Olmstead v. United States (1928)

Justice Brandeis argued for a constitutional right to privacy in dissent.

Griswold v. Connecticut (1965)

Recognized an implied constitutional right to privacy.