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| US law is primarily based on |
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| English common law, and other legal systems, such as Spanish and French civil law |
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| the US Constitution, state constitutions, federal and state statutes, ordinances, administrative agency rules and regulations, executive orders, and judicial decisions by federal and state courts. |
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| Law, in its generic sense, is a body of rules of action or conduct prescribed by controlling authority, and having binding legal force. That which must be obeyed and followed by citizens subject to sanctions or legal consequences is a law. |
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Keeping the peace, which includes making certain activities crimes
Shaping moral standards (enacting laws that discourage drug / alcohol abuse)
Promoting social justice (enacting statues that prohibit discrimination to employment)
Maintaining the status quo (passing laws preventing the forceful overthrow of the government)
Facilitating orderly change (passing statutes only after considerable study, debate, and public input)
Facilitating planning (well-designed commercial laws allow businesses to plan their activities, allocate their productive resources, and assess the risks they take)
Providing a basis for compromise (approximately 90% of lawsuits are settled prior to trial)
Maximizing individual freedom (the rights of freedom of speech, religion and association granted by the 1st Amendment) |
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| Ex: Standefer v. US: reality that different juries may reach different results under any criminal statute |
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US law evolves and changes along with the norms of society, technology, and the growth and expansion of commerce in the US and the world
Law is variable because it deals with human relations in the ir most complicated aspects. Much of the uncertainty of law is not an unfortunate accident; it is of immense social value.
Plessy v. Ferguson: Louisiana had a law that provided for separate but equal accommodations for black and white railway passengers, etc.
Brown v. Board of Justice: case that challenged the separate but equal doctrine as it applied to schools (Justice Warren) |
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postulates that the law is based on what is “correct.”
Natural law philosophers emphasize a moral theory of law: law should be based on morality and ethics
Natural law is discovered by humans through the use of reason and choosing between good and evil
Documents such as the US Constitution, the Magna Carta, and the United Nations Charter reflect this theory |
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believes that the law is an aggregate of social traditions and customs that have developed over the centuries
Believes that changes in the norms of society will gradually be reflected in the law.
To these legal philosophers, the law is an evolutionary process
Look to past legal decisions (precedent) to solve contemporary problems |
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maintains that the law is shaped by logic
Believe that results are reached by applying principles of logic to the specific facts of the case
Emphasis is on the logic of the result rather than on how the result is reached |
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asserts that the law is a means of achieving and advancing certain sociological goals
Followers of this philosophy, known as realists, believe that the purpose of law is to shape social behavior.
Unlikely to adhere to past law as precedent |
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believe that the law is a set of rules developed, communicated, and enforced by the ruling party rather than a reflection of the society’s morality, history, logic, or sociology
Maintains that the law changes when the ruling class changes |
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| Critical Legal Studies School |
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proposes that legal rules are unnecessary and are used as an obstacle by the powerful to maintain the status quo
Critical legal theorists (the Crits) argue that legal disputes should be solved by applying arbitrary rules that are based on broad notions of what is “fair” in each circumstance
Subjective decision making by judges would be permitted |
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also known as the “Chicago School,” named after the University of Chicago where it was first developed
Believes that promoting market efficiency should be the central goal of legal decision making
Ex: proponents of law and economics theory suggest that the practice of appointing counsel, free of charge, to prisoners who bring civil rights cases should be abolished
If a prisoner cannot find a lawyer who will take the case on a contingency-free basis or pro bono, it probably means the case is not worth bringing |
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| law developed by judges who issued their opinions when deciding cases. Principles announced in these cases became precedent for later judges deciding similar cases. |
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| English Common Law, Law courts |
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after 1066, William the Conqueror began to replace various local laws with one uniform system of law – king or queen would appoint loyal followers as judges in local areas
These judges administered the laws in law courts
Emphasized the form / procedure over the substance / merit of a case
Only relief available in law courts was a monetary award for damages |
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| English Common Law, Chancery (Equity) Courts |
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established because of unfair results and the limited remedy available in the law courts
Under authority of the Lord Chancellor
Inquired into the merits of the case
Chancellor’s remedies were called equitable remedies because they were shaped to fit each situation
Equitable order and remedies of the Court of Chancery took precedence over the legal decisions and remedies of the law courts |
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| English Common Law, Merchant Courts |
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Law Merchant developed based on common trade practices and usage to solve commercial disputes
A separate set of courts were established to administer these rules
In early 1900s, the Merchant Court was absorbed into the regular law court system of England |
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| Supreme Law of the Land in the US |
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The principles enumerated in the Constitution are extremely broad because the forming fathers intended them to be applied to evolving social, technological, and economic conditions – hence, “living document”
It also ensures the structure of the federal government:
Legislative (Congress): power to make (enact the law)
Executive (President): power to enforce the law
Judicial (Courts): power to interpret and determine the validity of the law
Powers not given to the fed government by the Constitution are reserved for the states
States also have their own constitution (may be more detailed)
Establish the legislative, executive, and judicial branches of state government and est. the powers of each branch
Provisions of state constitutions are valid unless they conflict with the constitution or any valid federal law |
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Constitution provides that the president, with the consent of 2/3 of the Senate, may enter into treaties with foreign governments.
Become part of the supreme law of the land
With increasing international economic relations among nations, treaties will become an even more important source of law that will affect business |
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| written laws that establish certain courses of conduct that must be adhered to by covered parties |
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Commerce Clause
Include antitrust laws, securities laws, bankruptcy laws, labor laws, equal employment opportunity laws, environmental protection laws, consumer protection laws, etc. |
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Include corporation laws, partnership laws, workers’ compensation laws, the Uniform Commercial Code, etc
Statues enacted by the legislative branches of the federal and state governments are organized by topic into code books - codified law |
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President and state governors empowered to issue executive orders
Power is derived from express delegation from the legislative branch and is implied form the US and state constitutions
Ex: When the US is at war with another country, the president issues executive orders prohibiting US companies from selling g/s to that country |
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| Regulations and Order of Administrative Agencies |
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Legislative and executive branches of federal and state governments empowered to establish administrative agencies to enforce and interpret statutes enacted by Congress and state legislatures
Many of these agencies regulate business: Securities and Exchange Commission and the Federal Trade Commission
Congress or the state legislatures usually empower administrative agencies to adopt administrative rules and regulations to interpret the statutes that the agency is authorized to enforce
Have the force of law
Have the power to hear and decide disputes
Decisions are called orders
Often referred to as the fourth branch of government |
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written opinions issued by federal and state courts when deciding individual lawsuits
Usually explain the legal reasoning used to decide the case
Often include interpretations of statutes, ordinances, and administrative regulations and the announcement of legal principles used to decide the case |
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| Doctrine of Stare Decisis |
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Based on common law tradition, past court decisions become precedent for deciding future cases
Lower courts must follow the precedent established by higher courts
Courts of one jurisdiction are not bound by the precedent established by the courts of another jurisdiction, although they may look to each other for guidance
Ex: state courts of one state no required to follow the legal precedent established by another state
Adherence to precedent is called stare decisis, or “to stand by the decision”
The doctrine of stare decisis promotes uniformity of law within a jurisdiction, makes the court system more efficient and makes the law more predictable for individuals and businesses
A court may later change or reverse its legal reasoning if a new case is presented to it and change is warranted |
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a judge must specify the issue presented by the case, identify the key facts in the case and the applicable law and then apply the law to the facts to come to a conclusion that answers the issue presented
Skills of analysis and interpretation are important in deciding legal cases |
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| party who originally brought the lawsuit; π |
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| party against whom the lawsuit has been brought; Δ |
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party who has appealed the decision of the trial court or lower court
May be either the plaintiff or the defendant, depending on who lost the case at the trial or lower court level |
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party who must answer the petitioner’s appeal.
May be either the plaintiff or the defendant, depending on which party is the petitioner
In some cases, both the plaintiff and the defendant may disagree with the trial court’s or lower court’s decision, and both parties may appeal the decision |
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| Briefing a Case Using the IRAC Method |
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Briefing a case helps clarify the legal issues involved and gain a better understanding of the case
I – What is the legal issue in the case?
R – What is the rule (law) of the case?
A – What is the court’s analysis and rationale?
C – What was the conclusion or outcome of the case |
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Procedure is as follows: must summarize the court’s decision in no more than 600 words and the brief must include 5 numbered / labeled parts:
Case name, citation, and court (50 word minimum)
Summary of the key facts in the case (150 word minimum)
Issue presented, stated as a one sentence question answerable only by yes or no (50 word minimum)
Rule of law of the case, in one sentence (50 word minimum)
Analysis and reasoning justifying the holding (250 word minimum)
Conclusion of the court, or the holding (50 word minimum) |
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