Business Law- Baylor- Agee- Exam 1 2025 Actual exam (Testing Real Exam Questions)and verified Answers ( 100% accurate) GET IT RIGHT!!

An agreement between or among independent nations. The US constitution authorizes the president to enter into treaties with the advice and consent of the Senate "provided two thirds of the senators present concur"

Treaty

A branch of public law created by administrative agencies in the form of rules, regulations, orders, and decisions to carry out the regulatory powers and duties of those agencies. Has expanded enormously because of increasing complexity. Frequently concerned with public health, safety, and welfare.

Administrative Law

Mandatory review by a higher court

Appeal by right

Discretionary review by a higher court

Writ of certiorari

The authority of a court to judge a controversy of a particular kind. Federal courts have limited subject matter jurisdiction whereas state courts have jurisdiction over all matters not given exclusively to the federal courts

Subject matter jurisdiction

The federal courts have exclusive jurisdiction over federal criminal prosecutions, admiralty, bankruptcy, antitrust, patent, trademark, and copyright cases, suits against the U.S., and cases arising under certain federal statutes

Exclusive Jurisdiction

2 types: federal question & diversity of citizenship

Concurrent Jurisdiction

Two requirements:

1. Diversity of citizenship

2. over $75,000

concurrent jurisdiction

Allows a court to hear any case arising under the constitution, statutes, or treaties in the U.S.

Federal question

Jurisdiction based on claims against property

In rem jurisdiction

Different state has jurisdiction against different state defendant

Long-arm statute

Jurisdiction over property not based on claims against it

Invoked by seizing the defendant's property as a payment on a claim, unrelated to the property seized

Also called "quasi in rem" jurisdiction

Attachment jurisdiction

The law dealing with the rights and duties of individuals among themselves and is a part of private law. typically people want money.

Civil Law

Body of law derived from Roman law and based upon legislative enactments (called codes) and an inquisitorial system of determining disputes

Prevalent in Europe, Scotland, Louisiana, and others

Civil law system

System in which the judiciary initiates, conducts, and decides cases

Part of the civil law system

Inquisitorial system

"to stand by the decisions", courts should apply rules decided by them or their superior courts in prior similar cases

Stare decisis

judicial relief based on settled rules of fairness, justice, and honesty. remedies in equity include specific performance, injunctions, reformations, and rescission. remedies at law include money damages. courts typically answer questions of both common law and equity

Equity

Cover many areas of common law although are not binding in of themselves

Restatements

Has become the primary source of new law and ordered social changes in the U.S.

Legislative law

A law issued by the president of the United States or by the governor of a state

Executive Order

Personal jurisdiction of a court over the parties to a lawsuit in contrast to jurisdiction over their property. The plaintiff automatically grants the court jurisdiction in the court she filed the claim. Jurisdiction over the defendant may be gained through 1. being served 2. long arm statute

In personam jurisdiction

Creates, defines, and regulates legal rights and duties

Substantive Law

States the rules for enforcing rights that exist because of substantive law

Procedural Law

The branch of substantive law that deals with the government's rights and powers and its relationship to individuals or groups. It consists of constitutional, administrative, and criminal law.

Public law

The part of substantive law governing individuals and legal entities in their relationships with one another

Private law

The law that involves offenses against the entire community and is a part of public law. part of public law

Criminal Law

set forth basic principles and limitations for a government

constitutions

power of courts to decide constitutionality of governmental action

judicial review

where the courts have developed a body of law that serves as precedent for determination of later controversies. Also called case law, judge-made law, or common law

Common law system

System in which opposing parties initiate and present their cases

The parties, not the court, must initiate and conduct litigation

Adversary System

Particular geographical place where a court with jurisdiction may hear a case. Its purpose is to regulate the distribution of cases within a specific court system and to identify a convenient forum.

Venue

The formal allegations by the parties of their respective claims and defenses

Pleadings

The initial pleading by the plaintiff stating his case

Complaint

A written document that gives notice to the defendant that a suit has been brought against him. Proper service of the summons establishes the court's jurisdiction over the defendant

Summons

Judgment against a defendant who fails to respond to a complaint

Default judgment

A motion to dismiss for failure to state a claim.

Demurrer

The defendant's pleading in response to the plaintiff's complaint

Answer

The plaintiff's pleading in response to the defendant's answer

Reply

Final, binding determination on the merits of the case made by the judge after the pleadings. Either party may move for judgment on the pleadings which requests the judge to rule as a matter of law whether the facts alleged in the pleadings of the nonmoving party are sufficient to grant the requested relief

Judgment on the pleadings

Pretrial exchange of information between opposing parties to a lawsuit.

Discovery

Final, binding determination on the merits made by the judge before a trial

Summary judgment

The preliminary examination of potential jurors. Each party has an unlimited number of challenges for cause (if juror can't be fair), but a limited number of peremptory challenges which require no reason to disqualify (can't discriminate on race or gender though)

Voir dire

A final, binding determination on the merits made by the judge after a trial has begun but before the jury renders a verdict

Directed verdict

May be granted if

1. The judge committed prejudicial error

2. The verdict is against the weight of evidence

3. Damages are excessive

4. The trial was not fair

Motion for new trial

Final, binding determination on the merits. The judge makes it after and contrary to the jury's verdict. Can be reversed on reappear and the original jury decision would be reinstated

Judgment notwithstanding the verdict

Performance of all acts necessary to render it complete as an instrument; implies that nothing more need be done to make the contract complete and effective

Execution of a contract

A statutory proceeding whereby a person's property, money, or credits in the possession or control of another are applied to payment of the former's debt to a third party

Garnishment

Nonjudicial proceeding where a neutral third part selected by the disputants renders a binding decision. 2 types: consensual and compulsory. Grounds for appealing are narrow.

Arbitration

Non-binding process in which a third party selected by the parties attempts to help them reach a mutually acceptable agreement

Conciliation

A third part selected by the disputants helps them to reach a resolution for their disagreement. Unlike the conciliator, they propose possible solutions for the parties to consider. Both a mediator and a conciliator don't have a binding decision.

Mediation

Nonbonding process in which attorneys for the disputing parties present evidence to managers of the disputing parties and and a neutral third party, and then the managers attempt to negotiate a settlement with the third party. Usually occurs when both disputants are corporations

Mini-trial

Mock trial presented to a jury. The jury will return a non-binding verdict which should, however, influence the parties in their negotiations

Summary jury trial

Consensual bargaining process between the parties without involvement of third parties

Negotiation

The federal constitution and laws are the supreme law of the land

Supremacy clause

The right of the federal government to regulate matters within its powers to the possible exclusion of state regulation. Federal regulation overrides state regulation

Federal preemption

The process by which the courts examine governmental actions to determine whether they conform to the US constitution

Judicial review

Actions taken by the government as opposed to actions taken by private individuals. The 13th amendment applies to individuals, but the other amendments only apply to state action.

State action

Congress has the right to regal commerce with foreign nations and among the states. Virtually gives congress complete power to regulate the economy & business

2 important effects:

1. Broad source of commerce power of the federal government to regulate the economy

2. Operates as a restriction on state regulations that obstruct or unduly burden interstate commerce.

Commerce clause

1. The power to tax

2. The power to spend

3. The power to borrow and coin money

4. The power of eminent domain

Federal fiscal powers

The power of government to take private property for public use upon payment of fair compensation.

Eminent domain

Restricts states from retroactively modifying public charters and private contracts. Although it does not apply to federal government, due process limits the federal government's power to impair contracts

Contract clause

The economic interests of the speaker and his audience, such as advertisements. It is entitled to a "lesser degree" of constitutional protection, but it is not wholly outside the protection of the first amendment

Commercial speech

Requires government action be compatible with individual liberties. Addresses the constitutionality of the substance of a legal rule, not the fairness of the process by which the rule is applied

Substantive due process

Requires governmental action depriving people of life, liberty, or property be done through a fair procedure. Liberty- control their personal lives

Procedural due process

Requires that similarly situated persons be treated similarly by government action

Equal protection

Applies to economic regulation and it only requires that it is conceivable that a classification bears some rational relationship to a legitimate governmental interested furthered by the classification.

Rational relationship test

Requires courts to determine whether a classification is constitutionally permissible because it is necessary to promote a compelling governmental interest. Is applied when the governmental actions affects fundamental rights or involves suspect classifications

Strict Scrutiny Test

Requires governmental action to have a substantial relationship to an important governmental objective. Usually applied to gender or legitimacy

Intermediate Test

Law dealing with the establishment, duties, and powers of agencies in the executive branch of government

Administrative Law

Perform three basic functions:

1. To make rules

2. To enforce the law

3. To adjudicate controversies

Administrative Agency

The entire set of activities in which administrative agencies engage while carrying out their rule making, enforcement, and adjudicative functions.

Administrative Process

Substantive rules issued by an administrative agency under the authority delegated by the legislature

Have the binding force and effect of law unlike interpretive and procedural rules

Legislative rules

Statements issued by an administrative agency indicating its construction of its governing statute. Exempt from the notice and comment requirement of the APA. Not binding but are persuasive and given substantial weight by the courts

Interpretative rules

Non-binding rules issued by an administrative agency establishing its organization, method of operation, and rules of conduct. Exempt from the notice and commitment requirements of the APA

Procedural rules

The formal or informal process by which the agency resolves a matter

It includes finding facts, applying legal rules to the facts, and formulating orders

In essence an administrative trial governed by certain standards set forth in the APA

Adjudication

The final disposition made by an agency.

Order

Any Act or omission forbidden by public law in the interest of protecting society and made punishable by the government in a judicial proceeding brought by it

Crime

Wrongful or overt act

All the nonmetal elements of a crime, including the physical act the must be performed, the circumstances under which is must be performed, and the consequences of that act

Actus reus

Criminal intent or mental fault

Mens reus

Purposeful, knowing, or reckless conduct

Subjective fault

Liability imposed on one person for the acts of another person

Vicarious liability

Nonviolent crime involving deceit, corruption, or breach of trust

White-collar crime

A special type of white-collar crime, which may involve a computer as an instrument used to commit a crime

Computer crime

Racketeer Influenced and Corrupt Organizations Act

Purpose of terminating the infiltration by organized crime into legitimate business

RICO

The taking and carrying away of personal property of another with the intent to deprive the victim permanently of the goods

Larceny

The fraudulent conversion of another's property by one who was in lawful possession of it.

Embezzlement

Lesser degree of mental fault than subjective fault

Involves gross deviation from the standard of care that a reasonable person would observe under the circumstances. Usually "carelessness" or "negligence"

Objective fault

Makes it a crime to do a specific act or to bring about a certain result without regard to the care exercised by that person

Liability without fault

A serious crime punishable by a fine or imprisonment in a local jail

Felony

A less serious crime punishable by a fine or imprisonment in a local jail

Misdemeanor

Individuals may use reasonable force to protect themselves, other individuals, and property. This defense enables a person to commit, without any criminal liability, what would otherwise be considered the crime of assault, battery, manslaughter, or murder. Under the majority rule, deadly force is never reasonable to protect property

Defense of person or property

A person is threatened with immediate, serious bodily harm to himself or another unless he engages in criminal conduct other than murder may raise the defense of duress

Duress

People who reasonably believe the facts to be such that their conduct would not constitute crimes may use this defense to justify their conduct

Mistake of fact

This defense arises when the law enforcement official induces a person to commit a crime when that person would not have done so without the persuasion of the police officer

Entrapment

Held to determine whether there is probably cause to believe the defendant is the one who committed the crime

Preliminary hearing

Issues an indictment or true bill if it finds sufficient evidence to justify a trial

Grand jury

The crime of obtaining title to property of another by means of materially false representations of an existing, with knowledge of its falsity, and made with the intent of defraud.

False pretenses

Larceny with the additional elements that the property is taken directly from the victim or in the immediate presence the victim, and the taking is accomplished through either force or threat of force

Robbery

Many statutes require that there be an entry into a building with the intent to commit a felony in the building

Burglary

Generally held to be the making of threats for the purpose of obtaining money or property

Also called blackmail

Extortion