Business Law Exam 1

1. What is civil law?

Law involving disputes between private parties.

2. What is criminal law?

Law involving offenses against society.

3. What is substantive law?

Law that establishes rights and duties.

4. What is procedural law?

Law that establishes how legal rights and duties are enforced.

5. What is the preponderance of the evidence standard?

More likely than not; generally used in civil cases.

6. What is the beyond a reasonable doubt standard?

A very high level of certainty; used in criminal cases.

7. What is federalism?

The division of power between the federal and state governments.

8. What is the Supremacy Clause?

Federal law takes priority over conflicting state law.

9. What does the 10th Amendment establish?

Powers not given to the federal government are reserved to the states or the people.

10. What are the three branches of government?

Legislative, executive, and judicial.

11. What does the legislative branch do?

Makes laws.

12. What does the executive branch do?

Enforces laws.

13. What does the judicial branch do?

Interprets laws and resolves disputes.

14. What is federal preemption?

When federal law overrides conflicting state law.

15. What is express preemption?

Congress specifically states that federal law overrides state law.

16. What is field preemption?

Federal regulation is so extensive that it occupies an entire area of law.

17. What is conflict preemption?

State and federal laws cannot operate together or the state law interferes with federal objectives.

18. What are the main sources of law?

Constitutions, statutes, regulations, treaties, judicial decisions, and ordinances.

19. What is a statute?

A law passed by a legislature.

20. What is a regulation?

A rule created by an administrative agency.

21. What is judicial review?

The power of courts to determine whether laws or government actions are constitutional.

22. What is a writ of certiorari?

An order allowing the Supreme Court to review a lower-court decision.

23. What is the Rule of Four?

Four Supreme Court justices must agree to hear a case.

24. What is case law?

Law created through judicial decisions.

25. What is precedent?

A previous court decision used to guide later cases.

26. What is stare decisis?

The principle of following precedent.

27. What does it mean to distinguish a case?

To find that the current case is different enough from the precedent that the precedent does not control.

28. What does it mean to overrule a case?

To reject a previous legal decision.

29. How do courts generally interpret statutes?

By examining the statutory language and other interpretive sources when necessary.

30. What are Restatements?

Summaries of common-law principles used to guide courts and lawyers.

31. What are Model Codes?

Proposed legal rules that legislatures can adopt.

32. What is a trial court?

A court that hears evidence and determines facts.

33. What is an appellate court?

A court that reviews lower-court decisions for legal errors.

34. What is en banc review?

Review by all or a large group of judges on an appellate court.

35. What is attorney-client privilege?

Protection for confidential communications between an attorney and client for legal advice.

36. Who controls attorney-client privilege?

The client.

37. What is the work-product doctrine?

Protection for certain materials prepared for litigation.

38. What is a pleading?

A formal document stating a party's claims or defenses.

39. What is a complaint?

The plaintiff's document that begins a lawsuit.

40. What is an answer?

The defendant's response to the complaint.

41. What is service of process?

Formal delivery of legal documents to a defendant.

42. What is a counterclaim?

A claim brought by the defendant against the plaintiff.

43. What is a motion to dismiss?

A request to dismiss a case or claim for a legal reason.

44. What is a default judgment?

A judgment entered when a defendant fails to respond or defend.

45. What is discovery?

The process of exchanging information and evidence before trial.

46. What is a deposition?

Sworn testimony taken outside of court.

47. What are interrogatories?

Written questions that a party must answer.

48. What is a motion to compel?

A request for the court to require a party to comply with discovery.

49. What is summary judgment?

A decision without trial when there is no genuine dispute of material fact.

50. What is direct examination?

Questioning your own witness.

51. What is cross-examination?

Questioning the opposing party's witness.

52. What is an appeal?

A request for a higher court to review a lower court's decision.

53. What is de novo review?

Review of a legal issue without deference to the lower court.

54. What is clear error review?

Review of factual findings for clear mistakes.

55. What is a writ of execution?

A court order used to enforce a judgment.

56. What is garnishment?

Collection of money owed to a judgment debtor through a third party.

57. What is an injunction?

A court order requiring someone to do or stop doing something.

58. What are the basic requirements for a class action?

Numerosity, commonality, typicality, and adequate representation.

59. What is mediation?

A neutral third party helps the parties reach an agreement.

60. What is arbitration?

A neutral third party makes a decision resolving the dispute.

61. What is personal jurisdiction?

A court's power over a defendant.

62. What is general personal jurisdiction?

Jurisdiction over a defendant for essentially any claim when the defendant is sufficiently connected to the state.

63. What is specific personal jurisdiction?

Jurisdiction based on the defendant's connection to the specific dispute.

64. What are minimum contacts?

Sufficient connections between a defendant and the state to support jurisdiction.

65. What is purposeful availment?

When a defendant deliberately establishes a connection with the forum state.

66. What is subject matter jurisdiction?

A court's power to hear a particular type of case.

67. What is federal question jurisdiction?

Jurisdiction over cases involving federal law or the Constitution.

68. What is diversity jurisdiction?

Federal jurisdiction based on different state citizenship and more than $75,000 in controversy.

69. What is complete diversity?

No plaintiff shares state citizenship with any defendant.

70. What is concurrent jurisdiction?

When more than one court has authority to hear a case.

71. What is removal?

Moving a qualifying case from state court to federal court.

72. What is venue?

The proper geographic location for a lawsuit.

73. What is forum non conveniens?

Dismissal when another available forum is substantially more appropriate.

74. What is a forum-selection clause?

A contract provision specifying where disputes must be handled.

75. What is standing?

The requirement that a plaintiff has an injury that is traceable to the defendant and can be redressed by the court.

76. What is ripeness?

The requirement that a dispute is ready for judicial review.

77. What is mootness?

When a dispute is no longer a live controversy because meaningful relief is unavailable.