Business Law Flashcards
1
Q
4 sources of law
A
- constitutions
- statutes (statements of a law) and ordinances (local laws)
- rules and regulations
- case laws (laws from judicial cases)
2
Q
US judicial system
A
- district courts (trial courts), circuit courts (court of appeals), supreme court
- interpreting laws
- settling disputes in orderly fashion
- guilt or innocence when violating law
- protects rights of individuals
3
Q
intellectual property protection
A
- copyright
- original works of expression
- literature, music, movies
- controls duplication and distribution - patents
- inventions
- gives them right to exclude others from making, selling, using
- 3 types: utility, design, plant - trademarks
- word, name, symbol, device used to distinguish goods/sources or identify the source
- can’t be generic - trade secrets
- protects info of a business
- maintained in secret
- Cokes secret recipe
4
Q
legal issues affecting businesses
A
- legal issue: failure to comply with existing laws and regulations
1. wrongful employee misclassification as independent contractors
2. discrimination lawsuits
-race, gender, ethnicity
3. workplace accidents
-OSHA
4. intellectual property infringement
5. breach of contract - minor or material
- type influences consequences
6. company structure, registration, licenses
5
Q
tort
A
infringement of a right leading to civil legal liability
6
Q
basic torts that impact businesses
A
- fraud
- financial records and statements
- falsifying hours
- embezzlement - communicating untrue and damaging statements about a business
- invasion of privacy
- breach of fiduciary duty
- supposed to act in best interest of other party, but instead act in your own interest - tortious interference with contracts and potential business relations
-meddling
7
Q
legal procedure
A
- defines rights and obligations as citizens
- defines where, when, how legal action is to be started, conducted, and carried to conclusion
8
Q
debtor creditor relationship
A
- the debtor can be compelled to give back services, money, goods to creditor
- usually because debtor received something from creditor and promised to repay later
- if debtor fails to repay, attorney can start a formal collection process
9
Q
agency relationships
A
- one person (principal) consents to the other (agent) to act on his behalf
- master servant
10
Q
administrative law
A
laws and legal principles governing the administration and regulation of government agencies
11
Q
business ownership types
A
- sole proprietorship (best for cost)
- full liability
- owners are taxed
- defines roles - general partnership (best for new partners)
- full liability
- owners taxed
- defines rules - limited liability company (LLC) (best for liability structure)
- liability limited to company
- members taxed
- reduces liability - limited liability partnership (LLP) (best for professional businesses)
- liability based on contribution
- partners taxed
- rescues liability of partners - C corporation (best for outside investment opportunities)
- liability limited to business assets
- taxed as corporation
- easy to add shareholders/owners - S corporation (best for multiple owners seeking board oversight)
- liability limited to business assets
- taxes passed owners
- board of directors oversight
12
Q
import/export law
A
- products may be required to be inspected
- obtain licenses and certifications
- documentation
- meets rules and regulations
- meant to improve flow
13
Q
customs regulations
A
-legal provisions governing import, export and transit of goods
payment
-concerning taxes and customs duties
-prohibitions, restrictions and controls
14
Q
Comply with financial reporting and internal control laws and regulations in corporate finance
A
- ensures integrity of info
- prevents fraud
- follow rules and regulations
- do internal audits
- internal control laws make sure it follows company procedures
- makes sure info is accurate, timely, reliable
