Presentation on theme: "Ch. 1: Laws and Their Ethical Foundations"— Presentation transcript:
1 Ch. 1: Laws and Their Ethical Foundations Business LawCh. 1: Laws and Their Ethical Foundations
2 What is Law?Laws are enforceable rules of conduct in a society that reflects the culture and circumstances that create them
3 CodesCodes are laws grouped into an organized form
4 Stages In the Growth of Law Individuals are free to take revenge for wrongs done to them.Injuries inflicted on one human being by another are matters for personal revengeThose that are wronged feel that justice can be done only through personally punishing the wrongdoersExample would be Gang Wars
5 Stages In the Growth of Law A leader acquires enough power to be able to force revenge-minded individuals to accept an award of goods or money instead
6 Stages In the Growth of Law The leader gives this power to a system of courtsThe leader or central authority acts to prevent and punish wrongs that provide individuals to seek revenge.
7 Common Law vs. Positive Law Laws reflect the wisdom or lack of wisdom of their creators.Laws should be predictable and flexibleDo you want a lack system or controlling?Best system evolves slowly toward a form that is most appropriate to the current standards of the people.
8 Common Law vs. Positive Law Common Law – laws based on the current standards or customs of the people.Formed from the rules used by judges to settle people’s disputes.Positive Law – Laws dictated from above
9 Origin of the U.S. Legal System Roman Civil LawLaws adopted are written, well organized, comprehensive set of statutes in code form.Laws can only be changed by the central government.Louisiana is the only state with a civil law system
10 Origin of the U.S. Legal System English Common LawIn England, disputes were decided by local customs and enforced by the barons’ power.Laws were different from region to region.Made it difficult to follow
11 English Common Law King Henry appointed a number of judges. Judges were given the power of order wrongdoers to pay with money or goodsJudges would travel during the good-weather months and hold court.This was called King’s BenchBaron’s Courts still heard minor cases.Kings court had jurisdiction – The power to decide cases, over the important cases
12 English Common LawJudges were instructed to choose citizens from each region to interpret the regions customs for the courtsThe panel of citizens is called a juryJury consist of 12 people
13 Advantages of English Common Law Achieves uniformity while maintaining an ability to adapt to changes in society.
14 Alternative to Common Law Common law courts carefully follow precedentPrecedent means that courts use prior cases as a guide for deciding similar new casesHelp provide stability in the law.Disadvantage was that courts could only grant remedy for damagesHad to wait until harm actually ahppened.
15 ChancellorMatter were handed to a chancellor instead of going to the courtsNo juryMy issue an injunction (stop something from being done)
16 Source of LawsLaws in the U. S. are created at all three levels of the government (Federal, State, Local)
17 Forms of LawsConstitutionsStatutesCase LawAdministrative Law
18 Forms of Laws Constitutions Document that set forth framework of a government and its relationship to the people it governs.When constitutions are adopted or amended, or when courts interprets constitutions – Constitutional Law is created.
19 Forms of Laws Constitutions Highest source of law “Supreme Law of the Land”Federal, State, or Local laws is not valid if it conflicts with the federal Constitution.State Constitution is the Supreme Law over all state laws.
20 Forms of Laws Constitutions Defines and allocates certain powers in our society.Allocates powersBetween the people and their governmentBetween state government and the federal governmentAmong the branches of the government
21 Allocating Powers between People and their Government Constitution is the main document for allocating powers between people and their governmentDone in the Bill of Rights (first 10 ammendments)
22 Allocating Powers between Federal and State Government Many governmental powers over business are divided between state governments and the federal governments.The federal government regulates foreign and interstate commerce.Interstate Commerce occurs between two or more states.Intrastate Commerce occurs within one state. Left to the state
23 Allocating Powers among the Branches of the Government Branches: Executive, Legislative, and Judicial Branches.Checks and BalanceEnsures that no branch of the government becomes too powerful.
24 Statutes State legislators enacting state laws Local government set their own local lawsOrdinancesOnly effective within boundries
25 Case Law Set by judicial branch Is made after a trial has ended and one of the parties has appealed the result to a high court.Appeal will be based on legal issues arising from rulings made by the lower court.Appellate Court publishes its opinion that states new or more appropriate rules to be used in deciding the case and others like it.
26 Beginning of Class Turn to page 9 in your text book Take 10 minutes to answers the Assestment
27 Case Law Case Law arises from the doctrine of “Stare Decisis” Means “let the decision stand”Requires lower courts to decide similar cases the same way.
28 Administrative LawFederal, State and Local legislatures create administrative agenciesAdministrative agencies are government bodies that carry out particular laws.ExamplesSocial Security AdministrationDMVCounty Zoning Commission
29 Administrative LawAgencies created by legislature but controlled by executive branchLegislatures grant agencies Legislative powers and limited judicial powersCreate there own laws called Rules and RegulationsWith judicial powers – they would hold hearing, make decisions, and apply the law.
31 Types of LawsCivil LawPrivate legal rights of an individual are violatedIndividuals seek legal remedies for wrongs done to themAnother name is Tort
32 Civil Law Two parties Punishment Plaintiff – one suing Defendant Liable – Defendant losesPunishmentCompensation
33 Types of Laws Criminal Law Is an offense against society rather than individualsGovernment investigates an alleged wrongdoing.
34 Criminal Law Two Parties Conviction Prosecutor Defendant Fine ImprisonmentExecution
35 Procedural LawSets forth how rights and responsibilities can be legally exercised and enforced through the legal system.
36 Procedural Law Two types Criminal Procedure Civil Procedure Defines the process for enforcing the law when someone is charged with a crimeCivil ProcedureWhen civil law have been violated
37 Substantive Law Defines rights and duties Concerned with rules of conductDefines offenses
38 Business Law Rules that apply to business situations and transactions. Mostly concerned with Civil Law
39 Uniform Business Laws UCC – Uniform Commercial Code Governs such areas as sale of goods, certain aspect of banking and leases of goods.Important because of the large use of interstate commerce and commercial transactions
40 AssessmentTurn to page 15 and answer the question
41 EthicsPractice of deciding what is right or wrong in a reasoned, impartial mannerMust affect you or others in a significant wayShould be impartial
42 Profit maximization Ethics in Business Ethics is not considered for one reasonProfit maximization
43 Forms of Ethical Reasoning ConsequencesRightness and Wrongness is based on the results of the actionFirst looks for alternative ways to alter the current situationThen attempts to forecast the consequence that will arise from each alternativeEvaluates this possible consequences to select the alternative that will generate the greatest good
44 Forms of Ethical Reasoning MoralBased on ethical rulesActs are either right or wrongGood consequences do not justify wrong or bad actsThe standard of judging is based onRecognized Authority (Religious)Human Reasoning
45 Civil DisobedienceOpen and peaceful violation of a law to protest its alleged injustice or unfairness.Goal is to make the legal system more justParticipants are willing to be arrested in order to test the validity of the law in court