Business Law and Legal Systems Review

A complete set of vocabulary flashcards covering the fundamental concepts of business law, schools of legal thought, and court jurisdictions and procedures as discussed in the lecture.

Business law

The enforceable rules of conduct that govern the actions of buyers and sellers in market exchanges.

Law

Rules of conduct in any organized society that are enforced by the governing authority of the community.

Private law

Law that involves suits between private individuals or groups.

Public law

Law that involves suits between private individuals or groups and their government.

Criminal Law

The body of laws that involve the rights and responsibilities an individual has with respect to the public as a whole.

Constitution law

The general limits and powers of a government as interpreted from its written constitution.

Statutory law

The general limits and powers of a government as interpreted from its written constitution.

Uniform laws/ Model laws

Laws created to account for the variability of laws among states and serve to standardize the otherwise different interstate laws.

Common law/ case law

The collection of legal interpretations made by judges, considered to be law unless otherwise revoked by a statutory law.

Precedent

A tool used by judges to make rulings on cases on the basis of key similarities to previous cases.

Stare decisis

“Standing by the decision;” a principle stating that rulings made in higher courts are binding precedent for lower courts.

Restatements of the Law

Summaries of common law rules in a particular area of the law that can be used to guide interpretations of particular cases.

Administrative law

The collection of rules and decisions made by administrative agencies to fill in particular details missing from constitutions and statutes.

Treaty

Agreement between 2 states or international organizations.

Identification with the vulnerable

A school of jurisprudence that holds that society should be fair, paying particular attention to the poor, the ill, and the elderly.

Historical school

A school of jurisprudence that uses traditions as the model for future laws and behavior; also called tradition or custom.

Originalism

The interpretation of legal texts such as the Constitution by relying on the words or intent of the creators of the text in question.

Legal realism

A school of jurisprudence that holds that context, such as economic and social conditions, must be considered as well as law.

Cost-benefit analysis

An economic school of jurisprudence in which all costs and benefits of a law are given monetary values to determine preferable laws.

Trial court

A court in which most civil or criminal cases start when they first enter the legal system, where parties present evidence and call witnesses.

Appellate court

A higher court that reviews the decision and results of a lower court but does not hold trials.

Question of law

An issue concerning the interpretation or application of a law.

Question of fact

A question about an event or characteristic in a case.

In personam jurisdiction

The power of a court to require a party or a witness to come before the court to enforce its judgments against them.

Plaintiff

The person or party who initiates a lawsuit (also known as an action) before a court by filing a complaint with the clerk of the court.

Complaint

A formal written document that begins a civil lawsuit containing the plaintiff’s list of allegations and damages sought.

Defendant

The person or party against whom a civil or criminal lawsuit is filed in a court of law.

Summons

A legal document issued by a court that notifies a defendant of a lawsuit and how and when to respond to the complaint.

Long-arm statute

A statute that enables a court to obtain jurisdiction against an out-of-state defendant who has sufficient minimum contacts within the state.

In rem jurisdiction

The power of a court over the property or status of an out-of-state defendant when that property or status is within the court’s jurisdiction area.

Subject-matter jurisdiction

The power of a court over the type of case presented to it.

Service of process

The procedure by which courts present legal documents, such as the summons and complaint, to defendants.

Exclusive Federal Jurisdiction

The power to hear cases involving admiralty, bankruptcy, and federal criminal prosecutions (claims against the US).

State jurisdiction

The power of the state court system to hear all cases not within exclusive federal jurisdiction, such as adoption and divorce.

Concurrent Federal Jurisdiction

A status where both state and federal courts have jurisdiction over a case, involving federal questions or diversity of citizenship cases.

Right of removal

Entitles the defendant to transfer a case to federal court.

Venue

A legal doctrine relating to the selection of the most appropriate geographic location for the resolution of a dispute.

Ripe

The state of a case where a judge's decision is capable of affecting the parties immediate.

Counterclaim

A claim made by the defendant against the plaintiff that is filed along with the defendant’s answer.

Discover

The pretrial phase in which each party requests relevant documents and other evidence, including admissions, interrogatories, and depositions.

Negotiation

A bargaining process in which disputing parties interact informally to attempt to resolve their dispute.

Arbitration

A type of alternative dispute resolution in which disputes are submitted to private nonofficial persons selected in a manner provided by law.

Default Judgment

A court order that happens automatically when a defendant fails to respond to a complaint, resulting in the plaintiff winning.

Mediation

The process of resolving a dispute between parties with the help of a neutral, third-party intermediary called a mediator.

Affidavit

A written oath, sworn before a notary public or court personnel.