The Legal and International Foundations

Business Law 235Professor Johnson

Mindtap Online Required Buy: (1) D2L. Through D2L (content/mindtap) approx. $100 &

includes electronic copy of book. Go to D2L – NOT Cengage/Mindtap directly

(2) SCSU Bookstore. Looseleaf plus Mindtap code= $136, hardcopy plus code (more expensive).

(3) Other/Used. You will have to buy the Mindtap through D2L (see (1) above).

Today’s Class

Background on Professor Student Backgrounds – Expectations for Class (Syllabus)

– Website Law Exercise – In Groups (get to know the

people next to you)

Icebreaker

Think of a business law that interests you or impacted you in some way. Explain.

Introduce person next to you:– Name– Something personal/interesting

Regina v. Dudley and Stephens

As Judge What Would You Do? How Do You Arrive at a Decision? Ability to Look Beyond “Letter of the Law,” yes or no?

Question1-7On

Page 27

On July 3, 1884, Dudley, Stephens and Brooks – “all able-bodied English seamen” – and a teenage English boy were cast adrift in a lifeboat following a storm at sea. They had no water with them in the boat, and all they had for sustenance were two one-pound tins of turnips. On July 24, Dudley proposed that one of the four in the lifeboat be sacrificed to save the others. Stephens agreed with Dudley, but Brooks refused to consent – and the boy was never asked for his opinion. On July 25, Dudley killed the boy, and the three men then fed on the boy’s body and blood. Four days later, the men were rescued by a passing vessel. They were taken to England and tried for murder of the boy. If the men had not fed on the boy’s body, they would probably have died of starvation within the four-day period. The boy, who was in a much weaker condition, would likely have died before the rest.

Seating Chart

Nature of Law

Natural Law - Universal law applicable to all human beings of a higher order than positive law.

Legal Positivism - No higher law than the laws created by the government. Laws must be obeyed, even if they are unjust, to prevent anarchy.

Legal Realism - Popular school of thought in the 20s and the 30s. Less abstract and more realistic approach to the law, an approach that would take into account customary practices and the circumstances in which transactions take place. Each case is unique - no two judges or cases are the same. UCC.

Historical School. Looks to doctrines that have withstood the passage of time for guidance in shaping present laws.

Sources Of American Law

Statutory LawFederalState Local

Case Law andCommon Law Doctrines

Constitutional LawFederalState

Administrative Law

The Common Law Tradition

King’s Courts. The Common Law originated in medieval England with the creation of the king’s courts and the development of a body of rules that were applied throughout the land.

Year Books Stare decisis. A doctrine

under which judges “stand on decided cases,” or follow the rule of precedent, in deciding cases. This is the cornerstone of the common law tradition.

Discuss - Why so important to U.S. system?

• Government acquired 80% of AIG’s stock

• GM/Chrysler Bailouts (hurt Chrysler creditors)

• Contrasted with Harry Truman’s attempt to take over the steel industry in the Korean war – ruled unconstitutional

Civil Law versus Common Law

Constitutional Law

Supreme Law of the Land States have Constitutions

– State constitutions are supreme within state borders to the extent that they do not violate the U.S. Constitution or a federal law.

Statutory Law

Created by Legislative Bodies. Laws or ordinances created by federal, state, and local legislatures and governing bodies.

Cannot Violate U.S. Constitution. None of these laws can violate the U.S. Constitution or the relevant state constitutions.

Administrative Law

Federal Administrative Agencies. Federal administrative agencies are created by enabling legislation enacted by the U.S. Congress.

Administrative Law. The rules, orders, regulations, and decisions of federal, state, or local government administrative agencies.

Agency functions include:– Rulemaking– Investigation and enforcement– Adjudication

End of Chapter Questions

1-1, p. 26. Is an Illinois county court required to follow an Iowa Supreme Court precedent?

1-2. Which source of law takes priority in the following situations, and why?– A federal statute conflicts

with the U.S. Constitution.– A federal statute conflicts

with a state constitution.– A state statute conflicts with

the common law of that state.

– A state constitutional amendment conflicts with the U.S. Constitution.

– A federal administrative regulation conflicts with a state constitution.

Authority HierarchyWhich law wins?

1. US Constitution2. Federal Law3. State Constitution4. State Law5. Case Law

Finding and Analyzing the Law- terminology you will need to know

US Statutes at Large/ USC Federal Case Law (federal reporters based on location) State Statutory and Case Law (see right) Regulatory Law (CFR) Plaintiffs and Defendants Appellants and Appellees Opinions (unanimous, majority, concurring, dissenting)

Case Cite MeaningWilliams v. Dominion Technology

Partners, LLC, 576 S.E.2d 752 (Virginia, 2003).

Williams is the Plaintiff. Dominion Technology is the

Defendant. Case was decided by the

Virginia Supreme Court. Reported in Volume 576, page

752 of the Southeast 2nd Reporter.

Symbols for Plaintiff = π Defendant = Δ

Classifications of Law

Substantive vs. Procedural law Civil vs. Criminal law Federal vs. State law National vs. International law Private vs. Public law

International Law Defined. A body of written and unwritten laws observed by

independent nations and governing the acts of individuals as well as governments.

Sources of international law include:– National laws– Customs– Treaties– International organizations and

conferences Treaties

– NAFTA– GATT– EU

International Organizations– UN– NATO

Review

1. What is the common law tradition? Legal Positivism Legal Realism Natural Law Historical School

2. What is a precedent? When might a court depart from precedent? Hierarchy of laws Constitution Statutory Laws Common Law

3. What is the Uniform Commercial Code?4. What is the difference between civil law and criminal law?5. Court Rulings – Supreme Court Opinions

Extra Slides