1. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 1 Chapter 1 Laws and Their Ethical Foundation Chapter 1 Laws and Their Ethical Foundation 1-1 1-1Laws and Legal Systems 1-2 1-2Types of Laws 1-3 1-3Ethical Bases for Laws

2. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 2 Chapter 1 1-1 1-1Laws and Legal Systems GOALS Explain the stages in the growth of law Describe the differences between common law and positive law Identify the origin of the U.S. legal system

3. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 3 Chapter 1 WHAT IS LAW? Stages in the growth of law Common law versus positive law

4. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 4 Chapter 1 How does common law differ from positive law?

5. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 5 Chapter 1 WHAT IS THE ORIGIN OF THE U.S. LEGAL SYSTEM? English common law King’s Bench Jury An example Advantages of English common law Equity: An alternative to common law

6. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 6 Chapter 1 On which early legal system is the U.S. legal system based?

7. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 7 Chapter 1 1-2 1-2Types of Laws GOALS Identify the four sources of law Discuss how conflicts between laws are resolved Compare and contrast criminal and civil law, and substantive and procedural law

8. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 8 Chapter 1 WHAT ARE THE SOURCES OF LAW? Constitutions Statutes Case law Administrative law

9. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 9 Chapter 1 What are the four sources of law?

10. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 10 Chapter 1 WHAT HAPPENS WHEN LAWS CONFLICT? Constitutions and validity Statutes and validity Administrative regulations and validity Case law and validity

11. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 11 Chapter 1 Which source of law in the United States is the highest authority?

12. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 12 Chapter 1 WHAT ARE THE MAIN TYPES OF LAWS? Civil and criminal laws Procedural and substantive laws Business law Uniform business laws

13. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 13 Chapter 1 Compare and contrast criminal and civil law and substantive and procedural law.

14. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 14 Chapter 1 TYPES OF LAW Constitutional lawBased on constitutions Statutory lawEnacted by legislative bodies Administrative lawRule-makings by administrative agencies Civil lawAddresses wrongs done to individuals Criminal lawAddresses wrongs done to society Procedural lawDeals with methods of enforcing legal rights and duties Substantive lawDefines legal rights and duties Business lawRules that apply to business transactions

15. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 15 Chapter 1 1-3 1-3Ethical Bases for Laws GOALS Define ethics Compare and contrast consequences-based ethics with rule-based ethics Discuss ways in which ethics are reflected in laws

16. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 16 Chapter 1 ETHICS AND THE LAW Basic forms of ethical reasoning Consequences-based ethical reasoning Rule-based ethical reasoning Ethics reflected in laws

17. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 17 Chapter 1 In the U.S. system of democracy, how are ethics reflected in laws?

18. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 18 Chapter 1 PREVENT LEGAL DIFFICULTIES As a citizen... When moving to a new location, find out how the laws in that county or city may affect you. Before beginning a new business, consult an attorney to learn about city, county, state, and federal laws and how they may affect you. Study business law so you can become an informed citizen who is knowledgeable about legal matters. Continued on the next slide

19. Law for Business and Personal Use © South-Western, a part of Cengage LearningSlide 19 Chapter 1 PREVENT LEGAL DIFFICULTIES Recognize that fulfilling your duties as a citizen is the greatest guarantee of your maintaining your individual rights and liberties. These duties include: The duty to obey the law. The duty to respect the rights of others. The duty to inform yourself on political issues. The duty to vote in elections. The duty to serve on juries if called. The duty to serve and defend your country. The duty to assist agencies of law enforcement.