Comprehensive Business Law & Ethics: Key Concepts and Court Procedures

What is the definition of law?

Enforceable rules governing relationships among individuals and between individuals and their society.

What does liability mean in business law?

The state of being legally responsible for something, such as a debt or obligation.

What are the six functional fields of business linked to business law?

Corporate management, production and transportation, marketing, research and development, accounting and finance, and human resource management.

What is the difference between primary and secondary sources of law?

Primary sources establish the law (constitutions, statutes, regulations, case law); secondary sources interpret the law (legal encyclopedias, treatises, law review articles).

What is the supreme law of the land?

The U.S. Constitution.

What is statutory law?

Laws enacted by legislative bodies, such as statutes and local ordinances.

What is the Uniform Commercial Code (UCC)?

A set of state laws designed to normalize business agreements across states.

What is case law?

Rules of law announced in court decisions that interpret statutes, regulations, and constitutional provisions.

What is precedent?

A court decision that serves as an authority for deciding future cases.

What is stare decisis?

A doctrine requiring courts to follow precedents established in prior decisions.

What are equitable maxims?

Principles guiding courts of equity, such as "whoever seeks equity must do equity."

What case established judicial review?

Marbury v. Madison (1803).

What is jurisdiction?

The authority of a court to hear and decide a case.

What are long arm statutes?

Laws that allow courts to exercise jurisdiction over out-of-state defendants with sufficient minimum contacts.

What is in rem jurisdiction?

Jurisdiction over property located within the court's boundaries.

What is subject matter jurisdiction?

The authority of a court to hear specific types of cases (e.g., bankruptcy, probate).

What is diversity of citizenship jurisdiction?

When parties are from different states and the amount in controversy exceeds $75,000.

What is the difference between exclusive and concurrent jurisdiction?

Exclusive means only one court (state or federal) can hear the case; concurrent means both courts have authority.

What is venue?

The geographic location where a case is tried.

What is standing to sue?

A party's legal right to bring a lawsuit, requiring a sufficient stake in the controversy.

What is the process of jury selection called?

Voir dire.

What is discovery?

The pretrial process where parties obtain information from each other to prepare for trial.

What are interrogatories?

Written questions answered under oath during discovery.

What is a deposition?

Sworn testimony by a party or witness, taken before trial.

What is a motion for summary judgment?

A request to decide a case without trial when no material facts are in dispute.

What is ADR?

Alternative Dispute Resolution, which includes negotiation, mediation, and arbitration.

What is arbitration?

A method of dispute resolution where a neutral third party makes a binding decision.

What is ethics?

Moral principles and values applied to social behavior.

What is business ethics?

The application of ethical principles in a business context.

What is the moral minimum?

The minimum acceptable level of ethical behavior, usually defined as compliance with the law.

What are the three parts of the "triple bottom line"?

Profit, people, and planet.

What are the two categories of ethical reasoning?

Duty-based ethics and outcome-based ethics.

What is Kant's categorical imperative?

The idea that one should act only according to principles that could be universal laws.

What is utilitarianism?

An outcome-based ethical theory that seeks the greatest good for the greatest number.

What is corporate social responsibility (CSR)?

The idea that corporations should act ethically and be accountable to society, not just shareholders.

What is the main difference between civil and criminal law in terms of burden of proof?

Civil requires preponderance of the evidence; criminal requires proof beyond a reasonable doubt.

What is actus reus?

The guilty act in a crime.

What is mens rea?

The wrongful mental state or intent behind a crime.

What are the three classifications of crimes?

Felonies, misdemeanors, and petty offenses.

What is strict liability crime?

A crime that does not require proof of intent, only the act (e.g., dumping toxic waste).

What is white collar crime?

Nonviolent crime committed for financial gain, such as fraud, embezzlement, or insider trading.

What is organized crime?

Illegal activities conducted as part of a continuing criminal enterprise, often involving money laundering and racketeering.

What does the exclusionary rule state?

Illegally obtained evidence cannot be used in court.

What are Miranda rights?

Rights read to suspects during arrest, informing them of their 5th and 6th Amendment protections.

What is phishing?

Sending fraudulent emails to trick individuals into revealing personal information.

What is malware?

Harmful software, including worms and viruses, designed to damage or disrupt systems.

What law criminalizes hacking and cyber fraud in the U.S.?

The Computer Fraud and Abuse Act (CFAA).