BUSN 323: Legal Environment of Business - Vocabulary Flashcards

Vocabulary flashcards covering the core terms from the lecture notes on law, sources, jurisdiction, and related concepts.

Law

The enforceable rules of conduct that govern commercial relationships and describe what behavior is permitted and encouraged in a community.

Business Law

Enforceable rules of conduct that govern commercial relationships among buyers and sellers in market exchanges.

Functions of the Law

Keep the peace; maintain the status quo; preserve rights; protect minorities; promote social justice; provide for orderly social change.

Constitutions

Foundations for a state or nation’s laws, creating the framework for legislative, executive, and judicial power; US Constitution takes precedence over inconsistent laws.

U.S. Constitution

The supreme law of the United States; basis for all federal law and governmental power, tied to natural‑law rights.

Statutes

General rules passed by legislatures (federal Congress or state legislatures) that have priority over case law; may be signed by a governor.

Treaties

International agreements ratified by the Senate that become part of federal law and hold equal standing with statutes.

Rules & Regulations

Administrative rules created by agencies; published and codified in the Federal Register and the Code of Federal Regulations (CFR).

Federal Register

Daily publication of proposed and final federal rules and notices by government agencies.

Code of Federal Regulations (CFR)

Formal codification of the rules and regulations issued by federal agencies.

Common Law / Case Law

Judicial interpretations and decisions when no statutory or codified law exists; governed by precedent.

Stare Decisis

Latin for “let the decision stand”; higher court decisions bind lower courts in the same jurisdiction.

Precedent

A prior decision or ruling that guides future cases with similar facts.

Contract Law

Area of law dealing with enforceable promises and what kinds of promises courts will enforce.

Property Law

Area of law dealing with the rights and duties of ownership and use of land and related interests.

Real Property

Land and anything permanently attached to it, including ownership and transfer rights.

Estates (in land)

Legal interests in land such as fee simple, life estate, and future interests.

Easements / Rights of Way

Licenses or rights to use someone else’s land for specific purposes (e.g., passage).

Tort Law

Law governing civil wrongs that cause harm or injury in the absence of a contract, enabling remedies like damages.

Civil Law

Law governing disputes between individuals or corporations, not crimes against the state.

Criminal Law

Law defining offenses against society and providing for government prosecution and punishment.

Administrative Agencies

Government bodies created to administer and enforce rules; derive power from statutes.

Jurisdiction

A court’s authority to hear and decide cases; includes subject matter, personal, and venue considerations.

Subject Matter Jurisdiction

A court’s power to hear certain kinds of cases (state, exclusive federal, or concurrent).

Exclusive Jurisdiction

Certain cases federal courts hear only, e.g., suits between states, ambassadors, federal crimes, bankruptcy, patents, etc.

Concurrent Jurisdiction

Situations where two or more courts have authority to hear the same case (e.g., federal questions or diversity cases).

Personal Jurisdiction

A court’s power to compel a particular defendant to appear, based on due process standards.

Venue

The proper geographic location for filing a case, determined by state statute and factors like residence and place of business.

Choice of Law

Contractual clause designating which jurisdiction’s law will apply to disputes.

Choice of Forum

Contractual clause designating which court will hear disputes arising under the contract.

Statute of Limitations

Time limit within which a plaintiff must file a lawsuit; filing after the limit can lead to dismissal.

Registered Agent

An agent designated by a corporation to receive legal notices and summons; residence is not the same as the address of the agent.