Dynamic Business Law Study Guide

Comprehensive practice flashcards covering Business Law fundamentals, Ethics, the U.S. Legal System, ADR, Constitutional Principles, Criminal Law, Torts, and Intellectual Property based on Dynamic Business Law (5th Ed.).

What is the definition of Business Law?

The enforceable rules of conduct that govern commercial relationships, defining how businesses are formed, run, and dissolved.

How does Private Law differ from Public Law?

Private Law regulates disputes between private individuals or groups; Public Law controls disputes between private actors and government entities.

What is the primary objective of Civil Law?

Remedial compensation and restitution of rights, following relationships between individuals or individuals and government.

What is the burden of proof required in a Civil Law case?

Preponderance of the evidence ($>50\%$).

In a Criminal Law case, what is the burden of proof required for conviction?

Beyond a reasonable doubt.

What are the four primary sources of American Law?

1. Constitutions, 2. Statutory Law, 3. Case Law (Common Law), 4. Administrative Law.

What does the doctrine of stare decisis mean?

"To stand by things decided"; it means courts are bound to follow legal principles established by higher courts in their jurisdiction.

Which school of jurisprudence argues that law is a set of rules established by a sovereign power that citizens must follow regardless of moral standing?

Legal Positivism.

How does the Cost-Benefit Analysis school evaluate legal policies?

In economic terms, seeking to maximize societal utility and resource efficiency while minimizing compliance costs.

What is the difference between Law and Business Ethics?

Law acts as a moral floor (minimum standard), while business ethics demands higher standards of integrity and social responsibility.

What are the two dimensions of the WH Framework for business ethics?

W - Who (The Relevant Stakeholders) and H - How (The Ethical Guidelines).

What are the four universal ethical values identified in the H-How portion of the WH Framework?

Freedom, Efficiency, Justice, and Security.

Which ethical theory evaluates an act based on whether it results in the greatest net benefit for the largest number of people?

Consequentialism (Utilitarianism).

What is Deontology or Duty-Based Ethics?

An ethical theory that asserts certain actions are inherently right or wrong regardless of consequences, often using the categorical imperative.

What three requirements must be met for a plaintiff to have Standing to Sue?

1. Injury-in-fact, 2. Causation connecting the defendant to the injury, 3. Redressability.

Under what two circumstances does Concurrent Jurisdiction occur?

1. Federal Questions (interpreting the U.S. Constitution/statutes) and 2. Diversity of Citizenship (parties from different states and amount exceeds $75,000$).

What is the structure of the federal court system and how many districts/circuits are there?

U.S. District Courts ($94$ districts), U.S. Circuit Courts of Appeals ($12$ circuits), and the U.S. Supreme Court.

What is the difference between Mediation and Arbitration?

Mediation involves a neutral facilitator helping parties reach a voluntary settlement; Arbitration involves a neutral third party who issues a legally binding decision (the award).

What is the purpose of the New York Convention?

It requires participating nations to recognize and enforce foreign arbitral awards in international commerce.

What is the concept of Judicial Review and what case established it?

The power of courts to strike down legislative or executive actions that violate the Constitution; established in Marbury v. Madison.

How does the Dormant Commerce Clause affect state legislatures?

It prevents states from passing protectionist laws that unduly burden or discriminate against interstate commerce.

Does a corporation have a Fifth Amendment privilege against self-incrimination?

No; a custodian of corporate records can be compelled to produce files that incriminate the corporation.

What are the two essential elements of a crime that the state must prove?

1. Actus Reus (The Guilty Act) and 2. Mens Rea (The Guilty Mind).

What is the Responsible Corporate Officer Doctrine?

High-level managers can be held personally liable for illegal activities under their watch if they had authority to prevent the violation, even without personal knowledge (U.S. v. Park).

What are the four elements a plaintiff must prove to succeed in a negligence lawsuit?

1. Duty of Care, 2. Breach of Duty, 3. Causation (Actual and Proximate), 4. Damages.

What case is associated with the establishment of Proximate Cause?

Palsgraf v. Long Island Railroad.

What is the difference between Contributory Negligence and Comparative Negligence?

In Contributory Negligence, being even $1\%$ at fault bars recovery; in Comparative Negligence, the award is reduced by the plaintiff's percentage of fault.

What is the duration of protection for a Copyright versus a Utility Patent?

Copyright lasts the life of the author plus $70$ years; a Utility Patent lasts $20$ years from application.

What is Trade Dress?

The overall visual image, physical appearance, and total packaging design that communicates a product's origin.

What is the difference between Trademark Infringement and Trademark Dilution?

Infringement requires a likelihood of consumer confusion; Dilution protects famous marks from blurring or tarnishing even without confusion or competition.