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Sources of Law Chapter 2.

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1 Sources of Law Chapter 2

Laws sets standards that govern our conduct—let’s us know what is expected of us and others—provides method to settle disputes—PROVIDES JUSTICE AND HARMONY IN OUR SOCIETY!

3 OVERVIEW Sources of Law
Constitutional Law (Federal and State) Statutory Law (Federal and State) Administrative Regulations Court Decisions through interpreting the law

4 U.S. CONSTITUTION Established our form of government
Provides the framework as the “ultimate” decision maker in interpreting laws Outlines and protects our rights Strong/flexible – Limited/just Strong: provides for national government Limited and just: Protects our guaranteed rights.

Articles Amendments First 10 are the Bill of Rights

6 ARTICLES I-III Establishes our three branches of government.
WHY is this important?


8 System of Checks and Balances
Each branch has some authority over the others The Legislative Branch passes laws The Executive Branch enforces laws The Judicial Branch interprets laws

9 Taking a look at the U.S. Constitution…
Recent vacancies on the Supreme Court The Constitution and balance of power in action!

10 ARTICLES IV - VII Relationships between states, full faith and credit
How will the Constitution be amended Establishes the U.S. Constitution, federal laws, federal treaties as supreme law of the land Ratifies the original constitution.

11 Relationship between “Business Law” and the Constitution
Branches of government to pass, enforce and interpret laws Framework and processes all flow from the authority granted by the Constitution Framework to ensure constitutionality

12 STATE CONSTITUTIONS Sets forth much of the same framework for a State that the U.S. Constitution sets forth for the United States. The U.S. Constitution is supreme The Wisconsin State Constitution

13 STATUTORY LAW Federal laws (statutes) are compiled in the USC (United States Code) Commercial transaction laws are compiled in the UCC (Uniform Commercial Code) Wisconsin laws (statutes are compiled in the WI Stats. (Wisconsin State Statutes)

14 Courts involvement in Law
Common Law Interpretation of Statutes Judicial review

15 1. COMMON LAW Historically, the compiled record of previous decisions made by various judges throughout the districts Based on precedent Stare decisis “Standing by the decision” Unless there is a good reason, cases presenting same legal issue should be based on precedent

Provides clarity Evaluates the legislative intent of the law Evaluates old laws that new law replaces Evaluates past precedent

17 3. Judicial Review Courts reviewing for constitutionality Statutes
Administrative Regulations Executive Actions

18 Cases for Analysis

Regulations that are Agency specific Administrative Agency: A board, bureau, office, department etc. of the executive branch that implements the law which originates with the legislative branch. A REGULATORY AGENCY! FBI, Federal Aviation, Homeland Security Dept of Motor Vehicles, County Emergency Government

20 ADMINISTRATIVE REGS Federal Administrative Statutes
Compiled in the CFR (Code of Federal Regulations) Wisconsin Administrative Codes

21 How is business law derived from the U.S. Constitution?
U.S. Constitution sets forth the framework of our government (separation of powers) grants powers to Congress to make laws U.S. Constitution sets for the framework of the Supreme Court and lower courts as the judicial body (justice system!) Laws and regulations are to be in compliance with the U.S. Constitution (Constitutional) U.S. Constitution is supreme and Supreme Court is highest judicial body

22 Summary The Constitution contains the framework of government and separation of powers; framework for ensuring rights; U.S. Constitution is supreme The purpose of the law: Helps to achieve justice in harmony in society Sets standards that govern conduct A means to settle disputes Laws come from a variety of sources Constitution Statutes Court Decision Administrative Regulations

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