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2 WHY WE STUDY CRIMINAL LAW IN BUSINESS COURSES: Wrongful behavior in the business world can lead to criminal prosecution against both the individual and the corporation.

3 CIVIL LAW vs CRIMINAL LAW Civil law concerns the rights and liabilities between private parties. Criminal law concerns those activities that society has outlawed.

4 FELONY V MISDEMEANOR A felony is a serious crime, with a sentence of one year or more in prison. A misdemeanor is less serious, often with a sentence of less than a year.

5 PURPOSE OF PUNISHMENT To Punish To Restrain To Deter For Vengeance To Rehabilitate

6 DEFINITIONS AND TERMS Outlawed Conduct Burden of Proof Actus Reus (means “the guilty act”) Mens Rea (means “guilty state of mind” General intent/Specific intent Reckless or negligent conduct Strict liability

7 DEFENSES Insanity Two basic tests are used to determine insanity: M’Naughten Rule Irresistible Impulse Rule

8 OTHER DEFENSES Entrapment Duress Constitutional rights

9 CRIMES THAT HARM BUSINESS Larceny Embezzlement Fraud Computer Crime Arson

10 COMPUTER CRIME STATUTES The Computer Fraud and Abuse Act The Access Device Fraud Act The Identity Theft and Assumption Deterrence Act The Wire and Electronic Communications Interception Act

11 CRIMES COMMITTED BY BUSINESS Occupational Safety and Health Act RICO Money Laundering

12 THE CRIMINAL PROCESS Notification to police Warrant Probable cause Search and Seizure Arrest Warrant Arrest

13 THE CRIMINAL PROCESS (cont’d) Bail Hearing Indictment Arraignment Discovery Motion to suppress Pleas bargaining Trial and appeal

14 FOURTH AMENDMENT Prohibits illegal searches and seizures. There are six situations in which police may search without a warrant: Plain view Stop and Frisk Emergencies Automobiles Lawful arrest Consent

15 OTHER FOURTH AMENDMENT ISSUES Search may be unlawful Exclusionary rule The Patriot Act of 2001

16 FIFTH AMENDMENT Due Process Double Jeopardy Self-incrimination Miranda rights

17 EIGHTH AMENDMENT Prohibits cruel and unusual punishment