Tài liệu Business law legal environment online commerce business ethics and international issues 9th by cheeseman

Tài liệu Business law legal environment online commerce business ethics and international issues 9th by cheeseman Tài liệu Business law legal environment online commerce business ethics and international issues 9th by cheeseman Tài liệu Business law legal environment online commerce business ethics and international issues 9th by cheeseman Tài liệu Business law legal environment online commerce business ethics and international issues 9th by cheeseman Tài liệu Business law legal environment online commerce business ethics and international issues 9th by cheeseman Tài liệu Business law legal environment online commerce business ethics and international issues 9th by cheeseman Tài liệu Business law legal environment online commerce business ethics and international issues 9th by cheeseman

www.downloadslide.net www.downloadslide.net This page is intentionally left blank www.downloadslide.net BUSINESS LAW NINTH EDITION # 154055   Cust: PEARSON   Au: Cheeseman  Pg No i A01_CHEE4006_09_SE_FM.indd Title: Business Law C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE Publishing Services 17/11/14 6:13 pm www.downloadslide.net This page is intentionally left blank # 154055   Cust: PEARSON   Au: Cheeseman  Pg No ii A01_CHEE4006_09_SE_FM.indd Title: Business Law C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE Publishing Services 17/11/14 6:13 pm www.downloadslide.net BUSINESS LAW NINTH EDITION Legal Environment, Online Commerce, Business Ethics, and International Issues Henry R Cheeseman Professor Emeritus Marshall School of Business University of Southern California Boston Columbus Indianapolis New York San Francisco Amsterdam Cape Town Dubai London Madrid Milan Munich Paris Montréal Toronto Delhi Mexico City São Paulo Sydney Hong Kong Seoul Singapore Taipei Tokyo # 154055   Cust: PEARSON   Au: Cheeseman  Pg No iii A01_CHEE4006_09_SE_FM.indd Title: Business Law C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE Publishing Services 17/11/14 6:13 pm www.downloadslide.net Vice President, Business Publishing: Donna Battista Editor-in-Chief: Stephanie Wall Acquisitions Editor: Nicole Sam Program Manager Team Lead: Ashley Santora Program Manager: Denise Vaughn Director of Marketing: Maggie Moylan Executive Marketing Manager: Erin Gardner Project Manager Team Lead: Judy Leale Project Manager: Tom Benfatti Operation Specialist: Carol Melville Senior Art Director: Jon Boylan Interior and Cover Designer: S4Carlisle Publishing Services Full Service Project Manager: Shyam Ramasubramony Cover Image: Paula Keck VP, Director of Digital Strategy & Assessment: Paul Gentile Manager of Learning Applications: Paul Deluca Digital Editor: Brian Surette Digital Studio Manager: Diane Lombardo Digital Studio Project Manager: Robin Lazrus Digital Studio Project Manager: Alana Coles Digital Studio Project Manager: Monique Lawrence Digital Studio Project Manager: Regina DaSilva Full-Service Project Management and Composition: S4Carlisle Publishing Services Printer/Binder: Courier/Kendallville Cover Printer: Courier/Kendallville Text Font: ITC Caslon 224 Std Copyright © 2016, 2013, 2010 by Pearson Education, Inc All rights reserved Manufactured in the United States of America This publication is protected by Copyright, and permission should be obtained from the publisher prior to any prohibited reproduction, storage in a retrieval system, or transmission in any form or by any means, electronic, mechanical, photocopying, recording, or likewise For information regarding permissions, request forms and the appropriate contacts within the Pearson Education Global Rights & Permissions department, please visit www.pearsoned.com/permissions/ Acknowledgements of third party content appear on the appropriate page within the text, which constitutes an extension of this copyright page Unless otherwise indicated herein, any third-party trademarks that may appear in this work are the property of their respective owners and any references to third-party trademarks, logos or other trade dress are for demonstrative or descriptive purposes only Such references are not intended to imply any sponsorship, endorsement, authorization, or promotion of Pearson’s products by the owners of such marks, or any relationship between the owner and Pearson Education, Inc or its affiliates, authors, licensees or distributors Library of Congress Cataloging-in-Publication Data Cheeseman, Henry R., author Business law: legal environment, online commerce, business ethics, and international issues / Henry R Cheeseman, Clinical Professor of Business Law, Director of the Legal Studies Program, Marshall School of Business University of Southern California — Ninth edition pages cm ISBN 978-0-13-400400-6 — ISBN 0-13-400400-0  Commercial law—United States Business enterprises—Law and legislation—United States.  I Title KF889.C433 2014 346.7307—dc23 2014028347 10 ISBN 10:     0-13-400400-0 ISBN 13: 978-0-13-400400-6 # 154055   Cust: PEARSON   Au: Cheeseman  Pg No iv A01_CHEE4006_09_SE_FM.indd Title: Business Law C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE Publishing Services 17/11/14 6:13 pm www.downloadslide.net BRIEF CONTENTS PREFACE .xxi Part I LEGAL ENVIRONMENT OF BUSINESS AND ONLINE COMMERCE 1 Legal Heritage and the Digital Age 2 Courts and Jurisdiction 21 3 Judicial, Alternative, and E-Dispute Resolution 44 4 Constitutional Law for Business and E-Commerce 67 Part II TORTS, CRIMES, AND INTELLECTUAL PROPERTY 93 5 Intentional Torts and Negligence 94 6 Product and Strict Liability 115 7 Intellectual Property and Cyber Piracy 130 8 Criminal Law and Cybercrime 156 Part III CONTRACTS AND E-COMMERCE 185 9 Nature of Traditional and E-Contracts 186 10 Agreement 199 11 Consideration and Promissory Estoppel 213 12 Capacity and Legality 222 13 Genuineness of Assent and Undue Influence 238 14 Statute of Frauds and Equitable Exceptions 248 15 Third-Party Rights and Discharge 260 16 Breach of Contract and Remedies 277 17 Digital Law and E-Commerce 296 Part IV SALES AND LEASE CONTRACTS AND WARRANTIES 313 18 Formation of Sales and Lease Contracts 314 Title to Goods and Risk of Loss 330 20 Remedies for Breach of Sales and Lease Contracts 342 21 Warranties 356 Part V 2 23 24 25 NEGOTIABLE INSTRUMENTS, BANKING, AND ELECTRONIC FINANCIAL TRANSACTIONS 369 Creation of Negotiable Instruments 370 Holder in Due Course and Transferability 385 Liability, Defenses, and Discharge 399 Banking System and Electronic Financial Transactions 413 Part VI CREDIT, SECURED TRANSACTIONS, AND BANKRUPTCY 429 26 Credit, Real Property Financing, and Debtor’s Rights 430 27 Secured Transactions 447 28 Bankruptcy and Reorganization 462 Part VII AGENCY, EMPLOYMENT, AND LABOR LAW 485 29 Agency Formation and Termination 486 30 Liability of Principals, Agents, and Independent Contractors 500 31 Employment, Worker Protection, and Immigration Law 515 32 Labor Law 530 33 Equal Opportunity in Employment 542 Part VIII BUSINESS ORGANIZATIONS, CORPORATE GOVERNANCE, INVESTOR PROTECTION, AND BUSINESS ETHICS 567 34 Small Business, Entrepreneurship, and General Partnerships 568 35 Limited Partnerships and Special Partnerships 584 36 Corporate Formation and Financing 595 37 Corporate Governance and Sarbanes-Oxley Act 616 38 Corporate Acquisitions and Multinational Corporations 636 39 Limited Liability Companies and Limited Liability Partnerships 654 40 Franchise and Special Forms of Business 671 41 Investor Protection and E-Securities Transactions 687 42 Ethics and Social Responsibility of Business 711 Part IX GOVERNMENT REGULATION 725 43 Administrative Law and Regulatory Agencies 726 44 Consumer Protection and Product Safety 738 45 Environmental Protection 747 46 Antitrust Law and Unfair Trade Practices 760 v # 154055   Cust: PEARSON   Au: Cheeseman  Pg No v A01_CHEE4006_09_SE_FM.indd Title: Business Law C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE Publishing Services 17/11/14 6:13 pm www.downloadslide.net vi Brief Contents PERSONAL PROPERTY, REAL PROPERTY, AND INSURANCE 781 Part XIII GLOBAL ENVIRONMENT 901 Personal Property and Bailment 782 Real Property 798 4 Landlord–Tenant Law and Land Use Regulation 815 Insurance 830 Appendix A THE CONSTITUTION OF THE UNITED STATES OF AMERICA 923 GLOSSARY 933 CASE INDEX 989 SUBJECT INDEX 995 Part X Part XI ACCOUNTING PROFESSION 847 54 International and World Trade Law 902 51 Accountants’ Duties and Liability 848 Part XII PERSONAL LAW 867 Wills, Trusts, and Estates 868 Family Law 885 # 154055   Cust: PEARSON   Au: Cheeseman  Pg No vi A01_CHEE4006_09_SE_FM.indd Title: Business Law C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE Publishing Services 17/11/14 7:29 pm www.downloadslide.net CONTENTS PREFACE .xxi Part I LEGAL ENVIRONMENT OF BUSINESS AND ONLINE COMMERCE 1 LEGAL HERITAGE AND THE DIGITAL AGE Introduction to Legal Heritage and the Digital Age What is Law? Landmark U.S Supreme Court Case • Equal Protection • Brown v Board of Education Case 1.1 • U.S Supreme Court Case • Moral Theory of Law and Ethics • POM Wonderful LLC v Coca-Cola Company Schools of Jurisprudential Thought History of American Law Global Law • Command School of Jurisprudence of Cuba Landmark Law • Adoption of English Common Law in the United States 10 Sources of Law in the United States 11 Global Law • Civil Law System of France and Germany 11 Contemporary Environment • How a Bill Becomes Law 12 Critical Legal Thinking 15 Digital Law • Law in the Digital Age 15 Case 1.2 • U.S Supreme Court Case • Voting Rights Act • Shelby County, Texas v Holder 17 Key Terms and Concepts 18 Critical Legal Thinking Cases 18 Ethics Cases 19 Notes 20 2 COURTS AND JURISDICTION 21 Introduction to Courts and Jurisdiction 22 State Court Systems 22 Business Environment • Delaware Courts Specialize in Business Disputes 25 Contemporary Environment • Foreign Intelligence Surveillance Court 26 Federal Court System 26 Contemporary Environment • Process of Choosing a U.S Supreme Court Justice 28 Supreme Court of the United States 28 Jurisdiction of Federal Courts 31 Contemporary Environment • “I’ll Take You to the U.S Supreme Court!” 31 Standing to Sue, Jurisdiction, and Venue 33 Case 2.1 • Federal Court Case • Service of Process • Chanel, Inc v Zhixian 34 Landmark U.S Supreme Court Case • Minimum Contacts • International Shoe Company v State of Washington 35 Case 2.2 • Federal Court Case • Long-Arm Statute • MacDermid, Inc v Deiter 36 Case 2.3 • Federal Court Case • Forum-Selection • Clause Fteja v Facebook, Inc 38 Jurisdiction in Cyberspace 39 Global Law • Judicial System of Japan 40 Key Terms and Concepts 41 Critical Legal Thinking Cases 41 Ethics Cases 43 Notes 43 3 JUDICIAL, ALTERNATIVE, AND E-DISPUTE RESOLUTION 44 Introduction to Judicial, Alternative, and E-Dispute Resolution 45 Pretrial Litigation Process 45 Pleadings 45 Case 3.1 • Federal Court Case • Class Action • Matamoros v Starbucks Corporation 48 Discovery 49 Case 3.2 • State Court Case • Discovery • Averyt v Wal-Mart Stores, Inc 50 Pretrial Motions 51 Case 3.3 • State Court Case • Summary Judgment • Murphy v McDonald’s Restaurants of Ohio 52 Settlement Conference 53 Contemporary Environment • Cost–Benefit Analysis of a Lawsuit 53 Trial 54 E-Courts 56 Appeal 56 Case 3.4 • U.S Supreme Court Case • Appeal • Cavazos, Acting Warden v Smith 57 Alternative Dispute Resolution 58 Global Law • British Legal System 58 Landmark Law • Federal Arbitration Act 60 Case 3.5 • U.S Supreme Court Case • Arbitration • Nitro-Lift Technologies, L.L.C v Howard 60 E-Dispute Resolution 62 Critical Legal Thinking Case • Class Action Waiver 62 Key Terms and Concepts 63 Global Law • Solving Tribal Disputes, Mali, West Africa 63 Critical Legal Thinking Cases 64 Ethics Cases 66 Notes 66 4 CONSTITUTIONAL LAW FOR BUSINESS AND E-COMMERCE 67 Introduction to Constitutional Law for Business and E-Commerce 68 Constitution of the United States of America 68 Supremacy Clause 71 Case 4.1 • U.S Supreme Court Case • Supremacy Clause • Mutual Pharmaceutical Company, Inc v Bartlett 71 Commerce Clause 72 Landmark U.S Supreme Court Case • Interstate Commerce • Heart of Atlanta Motel v United States 74 E-Commerce and the Constitution 75 Digital Law • E-Commerce and the Commerce Clause 75 Bill of Rights and Other Amendments to the U.S Constitution 76 Freedom of Speech 77 Case 4.2 • U.S Supreme Court Case • Free Speech and Video Games • Brown, Governor of California v Entertainment Merchants Association 77 Case 4.3 • U.S Supreme Court Case • Free Speech • McCullen v Coakley, Attorney General of Massachusetts 79 vii # 154055   Cust: PEARSON   Au: Cheeseman  Pg No vii A01_CHEE4006_09_SE_FM.indd Title: Business Law C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE Publishing Services 17/11/14 6:13 pm www.downloadslide.net viii Contents Case 4.4 • U.S Supreme Court Case • Free Speech • Snyder v Phelps 80 Freedom of Religion 81 Case 4.5 • U.S Supreme Court Case • Freedom of Religion • Burwell v Hobby Lobby Stores, Inc 82 Equal Protection 83 Case 4.6 • U.S Supreme Court Case • Equality • United States v Windsor 84 Case 4.7 • U.S Supreme Court Case • Equal Protection Clause • Schuette, Attorney General of Michigan v Coalition to Defend Affirmative Action 85 Due Process 86 Privileges and Immunities 87 Global Law • Human Rights Violations in Myanmar 88 Key Terms and Concepts 88 Critical Legal Thinking Cases 89 Ethics Cases 90 Notes 91 Part II TORTS, CRIMES, AND INTELLECTUAL PROPERTY 93 5 INTENTIONAL TORTS AND NEGLIGENCE 94 Introduction to Intentional Torts and Negligence 95 Intentional Torts 95 Case 5.1 • State Court Case • False Imprisonment • Wal-Mart Stores, Inc v Cockrell 96 Unintentional Torts (Negligence) 101 Ethics • Ouch! McDonald’s Coffee Is Too Hot! 102 Case 5.2 • State Court Case • Negligence • Jones v City of Seattle, Washington 103 Critical Legal Thinking Case • Proximate Cause 104 Case 5.3 • Federal Court Case • Duty of Care • James v Meow Media, Inc 105 Special Negligence Doctrines 106 Case 5.4 • State Court Case • Gross Negligence • Aleo v SLB Toys USA, Inc 108 Defenses Against Negligence 109 Case 5.5 • State Court Case • Obvious Danger • Martinez v Houston McLane Company, LLC 110 Strict Liability 111 Key Terms and Concepts 111 Critical Legal Thinking Cases 112 Ethics Cases 113 Notes 114 6 PRODUCT AND STRICT LIABILITY 115 Introduction to Product and Strict Liability 116 Product Liability: Negligence 116 Product Liability: Misrepresentation 116 Product Liability: Strict Liability 117 Product Defects 119 Defect in Manufacture 119 Case 6.1 • State Court Case • Defect in Manufacture • Shoshone Coca-Cola Bottling Company v Dolinski 120 Defect in Design 120 Failure to Warn 121 Business Environment • Strict Liability: Defect in Design 121 Case 6.2 • State Court Case • Failure to Warn • Patch v Hillerich & Bradsby Company 122 Defect in Packaging 122 # 154055   Cust: PEARSON   Au: Cheeseman  Pg No viii A01_CHEE4006_09_SE_FM.indd Title: Business Law Other Defects 123 Defenses to Product Liability 123 Case 6.3 • Federal Court Case • Supervening Event • Cummins v BIC USA, Inc 124 Key Terms and Concepts 126 Critical Legal Thinking Cases 126 Ethics Cases 128 Note 129 7 INTELLECTUAL PROPERTY AND CYBER PIRACY 130 Introduction to Intellectual Property and Cyber Piracy 131 Intellectual Property 131 Trade Secret 132 Patent 133 Ethics • Coca-Cola Employee Tries to Sell Trade Secrets to Pepsi-Cola 133 Case 7.1 • U.S Supreme Court Case • Patent • Association for Molecular Pathology v Myriad Genetics, Inc 136 Case 7.2 • U.S Supreme Court Case • Patent • Alice Corporation v CLS Bank International 138 Copyright 139 Case 7.3 • Federal Court Case • Copyright Infringement • Broadcast Music, Inc v McDade & Sons, Inc 141 Case 7.4 • U.S Supreme Court Case • Digital Copyright Infringement • American Broadcasting Companies, Inc v Aereo, Inc 142 Case 7.5 • Federal Court Case • Fair Use • Faulkner Literary Rights, LLC v Sony Pictures Classics, Inc 143 Digital Law • Digital Millennium Copyright Act 144 Trademark 145 Ethics • Knockoff of Trademark Goods 148 Dilution 150 Case 7.6 • Federal Court Case • Dilution of a Trademark • V Secret Catalogue, Inc and Victoria’s Secret Stores, Inc v Moseley 151 Global Law • International Protection of Intellectual Property 152 Key Terms and Concepts 153 Critical Legal Thinking Cases 153 Ethics Cases 155 Notes 155 8 CRIMINAL LAW AND CYBERCRIME 156 Introduction to Criminal Law and Cybercrime 157 Definition of a Crime 157 Criminal Procedure 160 Contemporary Environment • Criminal Acts as the Basis for Tort Actions 160 Common Crimes 163 Ethics • Murder Conviction Upheld on Appeal 164 Business and White-Collar Crimes 166 Business Environment • Corporate Criminal Liability 169 Cybercrimes 170 Digital Law • The Internet and Identity Theft 170 Case 8.1 • Federal Court Case • Computer Crime • United States v Barrington 171 Fourth Amendment Protection Against Unreasonable Search and Seizure 172 Case 8.2 • U.S Supreme Court Case • Search • Navarette v California 172 Case 8.3 • U.S Supreme Court Case • Search • Maryland v King 173 Case 8.4 • U.S Supreme Court Case • Search of Cell Phones • Riley v California and United States v Wurie 174 C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE Publishing Services 17/11/14 6:13 pm www.downloadslide.net 1006 Subject Index Global law (continued) foreign guest worker visa, 525–526 France and death penalty, 180 hiding money in offshore banks, 426 Hindu law—dharmasastra, 918–919 human rights violations in Myanmar, 88 India’s multinational corporations, 651 international branch office, 650 international dispute resolution, 913–916 international environmental protection, 757 international franchising, 684 International Monetary Fund, 906, 912 international protection of intellectual property, 152 international religious law, 916–919 international subsidiary corporation, 650 the Internet in foreign countries, 309 Islamic law and the Qur’an, 917 Jewish law and the Torah, 916 judicial system of Japan, 40 letters of credit and international trade, 327 negotiable instruments payable in a foreign country, 382 North American Free Trade Agreement, 908–910 outsourcing of U.S jobs to foreign countries, 718–719 regional organizations, 911–912 tribal dispute resolution in Mali, West Africa, 63 United Nations, 905–907 United Nations Biosafety Protocol for genetically altered foods, 742 United Nations Children’s Fund (UNICEF), 904 United Nations Convention on Contracts for the International Sale of Goods, 335 United States and foreign affairs, 903–904 World Bank, 906 World Trade Organization, 913 Glossary, 256 Goddard C J R., Lord, 101 Going public, 690 Goldwyn, Samuel, 249 Good faith, 395, 859 Good faith exception, 173 Good faith purchaser for value, 338, 345 Good faith subsequent lessee, 338 Good Samaritan laws, 109 Goods defined, 316–317 entrustment rule, 338 fraudulently obtained, 337 identification of, 331–333 sale of by nonowners, 337–339 stolen, 337 services vs., 317 Government contractor defense, 123 Government in the Sunshine Act, 735 Government judgment, 762 Government-owned corporations (public corporations), 599 Government regulation general, 728 specific, 728 Grace period, 832 Grand jury, 162 Grantee, 806 Grantor, 806, 878 Grantors’ trust (revocable trust), 878 Gratuitous bailment, 791 Gratuitous promises, 215–216 Greenmail, 646 Gresham, Sir Thomas, 379 Gross lease, 821 Gross negligence, 107–108, 852 Group boycotts, 765–766 Guarantee of collection, 403 Guarantee of payment, 403 Guarantor, 251 Guarantors, 438 Guaranty arrangement, 437–438 Guaranty contracts, 251–253 Guilty, 162 Guilty mind (scienter), 99, 241 H Halakhah, 916 Hand, Judge Learned, 3, 239 Harassment about, 550 classification of harasser, 550–551 defined, 550 gender, 552 racial and national origin, 552, 553 sexual, 550–553 Hardwicke, Lord, 263 Hart-Scott-Rodino Antitrust Improvement Act (HSR Act), 773 Hazardous wastes, 754, 755 Hazlitt, William, 637 H-1B visa, 525–526 Health care directives, 881–882 Health care directives (health care proxy), 881–882 Health Care Reform Act (2010), 743–744 Health insurance, 836 Heirs, 786, 875 Herbert, George, 343, 433, 448 Herschell, Lord, 739 Highest state court, 23 Highly compensated employee exemption, 522 Hindu law, 918–919 Historical School, Holder in due course (HDC) about, 386, 394 negotiable instruments, 371 personal defenses and, 407–408 requirements for, 394–397 universal defenses and, 407 Holmes, Oliver Wendell, Jr., 178, 200, 239, 269, 501, 715 # 154055   Cust: PEARSON   Au: Cheeseman  Pg No 1006 Z04_CHEE4006_09_SE_SIDX.indd Title: Business Law 1006 Holographic wills, 872 Holt, Lord Chief Justice, 282 Homeland Security Act (HSA), 729 Home owners’ insurance, 837–839 personal articles floater, 838 renters’ insurance, 8838 standard fire insurance, 837 title insurance, 839 Homestead exemptions, 471 Homicide, 163–164 Honor, 417 Horizontal merger, 772 Horizontal restraints of trade, 763 Hostile and adverse, 808 Hostile tender offer, 643 Hostile work environment, 550 Housing codes, 819 Howey test, 690 Hubbard, Ebert, 637 Hubbard, Frank McKinney, 869 Human rights violations, 88 Hung jury, 163, 179 H4 visa, 525–526 Hypertext Transfer Protocol (HTTP), 297 I ID theft, 170 Identification of goods, 331–333 Identity theft, 170 Identity Theft and Assumption Deterrence Act, 170 Ijthad, 917 Illegal consideration, 216 Illegal contracts, 227–228, 229–230 Illegal strikes, 537 Illegal subjects of collective bargaining, 535 Illegality, 407 Illusory promises, 216 Immigration law, 525–526 Immigration Reform and Control Act (IRCA), 526 Immoral contracts, 230 Immunity from prosecution, 178 Impairment of the right of recourse, 410 Impaneled jury, 54 Implied agency, 490 Implied authorization, 209 Implied bailment, 789 Implied by law, 358 Implied easements, 810 Implied exemptions, 776 Implied-in-fact condition, 273 Implied-in-fact contracts, 194–195 Implied-in-law contracts, 195 Implied integration, 255 Implied powers, corporate, 607 Implied terms, 201 Implied warranties of fitness for human consumption, 361 of fitness for particular liability for, 405 purpose, 361–362 of merchantability, 359–361 presentment, 406 transfer warranties, 405–406 C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE Publishing Services 12/11/14 4:48 pm www.downloadslide.net Subject Index Implied warranty of authority, 509 Implied warranty of habitability, 820 Impossibility of performance, 274 Impostor rule, 404, 405 Imputed knowledge, 494, 577 In pari delicto, 230 In personam jurisdiction, 33–34 In rem jurisdiction, 36 Inaccessibility exception, 533 Incidental beneficiary, 269–270 Incidental damages, 348 Income beneficiary, 876, 879 Incoming partners, liability of, 579 Incomplete checks, 417 Incomplete performance, 192 Incontestability clauses, 833 Incorporation by reference, 255 Incorporation doctrine, 76 Incorporators, 601 Incumbent directors, 638 Indemnification, 576 Indenture agreements, 611 Independent contractors, 489 defined, 509 factors determining status of, 510 liability for contracts of, 512 liability for torts of, 511–512 principal–independent contractor relationship, 510 Independent federal administrative agencies, 729 Indian Gaming Regulatory Act (IGRA), 73 Indictment, 162 Indirect price discrimination, 775 Individual with regular income, 475 Indoor air pollution, 750 Indorsee, 389 Indorsements, 389–394 agency, 392 blank, 389–390 for deposit or collection, 392 forged, 404–405 misspelled or wrong names and, 393 multiple payees or indorsees and, 393–394 nonrestrictive, 391–392 qualified, 390–391 restrictive, 391–392 special, 390 in trust, 392 unqualified, 391 Indorser, 389 qualified, 402 unqualified, 401–402 Infancy doctrine, 223 Inferior performance, 279–280 Inferior trial courts, 22 Informal contracts, 192 Informal rule making, 731 Information, 162 Information Infrastructure Protect Act (IIP Act), 170 Information rights, 576 Information statement, 162 Inheritance, 786, 808 Initial license fee, 676 Initial public offering (IPO), 690–696 about, 690–691 civil liability and, 695–696 criminal liability and, 696 electronic, 697–698 Facebook’s IPO, 692–693 IPO on-ramp, 694 JOBS Act and, 694–695 prospectus, 691–693 registration statement, 691 Regulation A offering, 693–694 sale of unregistered securities, 693 SEC actions under Securities Act of 1933, 696 Small Company Offering Registration (SCOR), 694 well-known seasoned issuer, 695 Injunction, 289 Injury to plaintiff, 102–103 Innkeepers, 794–795 Innocent acquisition, 770 Innocent misrepresentation, 243–244 Insane but not adjudged insane, 226 Insecticide, Fungicide, and Rodenticide Act (1947), 754–755 Inside director, 624 Insider trading, 702–705 about, 702 aiders and abettors, 705 ethics and, 705 misappropriation theory, 705 Section 10(b) insiders, 702 tipper-tippee liability, 703–704 Installment contracts, 345 Installment notes, 375 Insufficient funds, 418 Insurable interest, 337, 831–832 Insurance about, 831 automobile, vehicle, and vessel, 839–841 business, 841–843 cyber, 843–844 defined, 831 dental, 836 disability, 836 fire, 837 health, 836 home owners’, 837–839 life, 833–836 no-fault automobile, 840 policies, common clauses, 832–833 principles of, 831–832 renters, 838 title, 839 umbrella, 844 Insurance agent, 831 Insurance broker, 831 Insurance company, 833 Insurance policy, 832 common clauses in, 832–833 Insureds, 831, 833 duties of, 832 Insurer, 831 duties of, 832 Insurgent directors, 638 Intangible personal property, 448, 451 # 154055   Cust: PEARSON   Au: Cheeseman  Pg No 1007 Law Z04_CHEE4006_09_SE_SIDX.indd Title: 1007 Business 1007 Intangible property, 783 Intangible rights, 131 Integration clause, 256 Integration of several writings, 255 Intellectual property, 131–132, 676 franchise licensing fee, 676 international protection of, 152 types of, protected by federal law, 150 Intended third-party beneficiary, 261 Intent crimes, 159–160 Intent to deceive, 240–241 Intentional infliction of emotional distress, 99 Intentional interference with contractual relations, 290–291 Intentional misrepresentation (fraud), 99 product liability and, 116–117 Intentional torts assault, 95 battery, 95–96 defamation of character, 98 disparagement, 98–99 false imprisonment, 96 intentional infliction of emotional distress, 99 intentional misrepresentation (fraud), 99 invasion of right to privacy, 97–98 liability for, 505–507 malicious prosecution, 100 merchant protection statutes, 96 misappropriation of right to publicity, 97 shoplifting statutes, 96 Inter vivos trusts, 877 Intermediary banks, 421 Intermediate appellate courts, 22–23 Intermediate scrutiny test, 84 Intermittent strikes, 537 Internal union rules, 539 International Accounting Standards Board (IASB), 850 International Court of Justice (ICJ), 907 International dispute resolution act of state doctrine, 914–915 doctrine of sovereign immunity, 915 exceptions to the Foreign Sovereign Immunities Act, 915–916 judicial procedure, 913–914 International Financial Reporting Standards (IFRS), 850 International Fund for Agricultural Development (IFAD), 906 International law, 903 See also Global law International Monetary Fund (IMF), 906, 912 Internet defined, 297 e-securities transaction and, 696–697 in foreign countries, 309 fraud and, 170–171 World Wide Web, 297–298 Internet Corporation for Assigned Names and Numbers (ICANN), 306 C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE12/11/14 Publishing Services 4:48 pm www.downloadslide.net 1008 Subject Index Internet service providers (ISPs), 297, 299–300 InterNIC, 305 Interpretive rule, 731 Interrogatories, 50 Interstate commerce, 73–74 Intervening event, 109 Intervention, 47–48 Intestacy statute, 875 Intestate statute, 803 Intestate succession, 875 Intoxicated persons, 227 Intrastate offering exemption, 699 Invasion of right to privacy, 97–98 Investment bankers, 691 Investment contracts, 690 Investor accredited, 700 nonaccredited, 700 Invitations to make an offer, 202 Involuntary manslaughter, 164 Involuntary petition, 465 IRAC method, 16–17 Irreconcilable differences, 891 Irrevocable trusts, 876–877 Islamic law (Shari’a), 917 Issued shares, 609–610 Issuer, 690 choice-of-law clauses, 37–38 concurrent, 33 in cyberspace, 39–40 of federal courts, 26–28 forum-selection clauses, 37–39 personal, 33–34 in personam, 33–34 quasi in rem, 37 in rem, 36 of state courts, 33 of U.S Supreme Court, 29 Jurisprudence, Jury deliberation, 55–56 Jury instructions, 55–56 Jury selection, 54 Jury trial, 54 Just Compensation Clause, 826 J Jackson, Andrew, 659 James, Lord Justice, 629 Japan, judicial system of, 40 Jefferson, Thomas, 82, 132, 471, 502, 554, 576, 886 Jewish law, 916 Johnson, Lyndon B., 546 Johnson, Samuel, 116, 473 Joint and several liability, 578–579, 859 Joint custody, 897 Joint liability, 579 Joint physical custody, 897 Joint tenancy, 801–802 Joint venture corporations, 683 Joint venture partnerships, 682 Joint venturers, 682 Joint ventures, 682–683 Joint wills, 870–871 Judgment, 56, 287 Judgment notwithstanding the verdict (judgment n.o.v.), 56 Judgment on the underlying debt, 458 Judgment proof, 432 Judicial authority, 732 Judicial branch (courts), 11, 69 Judicial decisions, 14, 180 Judicial dispute resolution, 45 Judicial dissolution, 612 Judicial referees, 59 Judicial review of administrative agency actions, 734 Jumbo CDs, 375 Jumpstart Our Business Startups (JOBS) Act of 2012, 689, 693, 694–695, 698 Jurisdiction attachment, 37 L Labor law about, 531–531 affirmative action, 561 age discrimination, 556–557 collective bargaining, 535–536 defenses to a Title VII action, 554–555 equal pay, 555–556 gender discrimination, 549–550 genetic information discrimination, 559–560 internal union affairs, 539 national origin discrimination, 548–549 people with disabilities, 557–559 picketing, 538–539 protection from retaliation, 560 race and color discrimination, 546–548 religious discrimination, 553–554 sexual harassment, 550–553 strikes, 536–538 union organizations, 531 union organizing,532–535 Labor Management Relations Act, 532 Labor Management Reporting and Disclosure Act, 532 Land sales contract, 437 Labor union contracts, 479 Land use regulation, 816 Landlord, 816 Landlord–tenant relationship, 816–818 assignment/sublease of lease by tenants, 822–823 landlord’s duties to tenant, 818–820 tenant’s duties to landlord, 820–822 transfer of leased property by landlords, 822 K Kagan, Elena, 30 Kant, Immanuel, 715 Kantian ethics, 715 Kelo takings case, 827 Kennedy, John F., 590 Key-person life insurance, 842 Kickback, 167 Kirby, J Michael, 545 Kyoto Protocol, 757 # 154055   Cust: PEARSON   Au: Cheeseman  Pg No 1008 Z04_CHEE4006_09_SE_SIDX.indd Title: Business Law 1008 Landlord’s duties to tenant, 818–820 duty not to interfere with a tenant’s right to quiet enjoyment, 818–819 duty to deliver possession, 818 duty to maintain leased premises, 819 implied warranty of habitability, 820 Landmark law adoption of English common law in the United States, 10 Administrative Procedure Act (APA), 730 Americans with Disabilities Act, 557 Bankruptcy Abuse Prevention and Consumer Protection Act of 2005, 464 Civil Rights Act of 1866, 548 Dodd-Frank Wall Street Reform and Consumer Protection Act, 425 federal antitrust statutes, 761 Federal Arbitration Act, 60 federal labor law statutes, 531–532 federal securities laws, 688–689 Health Care Reform Act (2010), 743–744 Magnuson-Moss Warranty Act, 364 Superfund, 755 Title VII of the Civil Rights Act of 1964, 545 U.S Department of Homeland Security, 729 Landrum-Griffin Act, 532 Title I of, 539 Lanham (Trademark) Act (1946), 145 Lapse of time, 206–207 Larceny, 165 Lavater, Johann Kasper, 870 Law See also Administrative law; Antitrust laws; Criminal law; Digital law; Family law; International law; Labor law; Landmark law defined, in the digital age, 15 environmental protection, 748, 757 ethics and, 712 fairness of, flexibility of, functions of, priority of, in U.S., 15 sources of, in U.S., 11–15 U.S., history of, 9–10 what it is, 3–6 Law and Economics School (Chicago School), Law courts, 10 Law merchant, 10, 315 Lawful contracts, 227 Lawful object, 188 Lawsuit, cost–benefit analysis, 53 Lazarus, Emma, 526 Leading object exception, 253 Leahy-Smith America Invents Act (AIA), 137 Learned professional exemption, 522 Lease, 318–319 defined, 319, 816 assignment of, 822–823 sublease of, 823 C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE Publishing Services 12/11/14 4:48 pm www.downloadslide.net Subject Index Lease contracts, 254 acceptance, 322–323 consideration, 321 electronic, 326 offers, 320–321 oral modification to, 324–325 Lease fees, 676 Leasehold, 816 Leasehold estate, 816 Leases, 250 Legal action, assignment of, 262–263 Legal case analysis, IRAC method, 16–17 Legal cause, 104 Legal custody, 897 Legal heritage, Legal insanity, 226 Legal malpractice, 106 Legal person, 596–597 Legal value, 214 Legally enforceable, 187 Legislative branch (Congress), 11, 69 Lender (creditor), 431 Lessee, 318, 337, 816 Lessor, 318, 337, 816 Letters of credit, 192, 326 Liability See also Contract liability; Criminal liability; Limited liability; Personal liability; Strict liability of accountants to clients, 851–852 of accountants to third parties, 852–857 of all in chain of distribution, 117–118 civil, 695–696, 701 of employers for employees’ harassment, 551–552 of franchisor and franchisee, 677–679 of general partners, 578–580, 589 for implied warranties, 405 of independent contractors, 511–512 for intentional torts, 505–507 joint, 579 joint and several, 578–579, 859 limited, 589 of limited partners, 589 of LLC managers, 661 of LLCs, 659–660 of LLLP limited and general partners, 592 of personal guarantee, 589 primary, negotiable instruments, 401 product, 116–117, 123–126 of promoters, for preincorporation contracts, 601 proportionate, 859 secondary, negotiable instruments, 401–404 of tortfeasor, 661–662 tipper-tippee, 703–704 tort, 503–507, 578–579 unlimited, 571–572, 578, 589 vicarious, 503 warranty, 405 Liability without fault, 111, 117 Libel, 98 License, 731–732, 811 defined, 302, 731 Licensee, 302–303, 681 Licensing, 681–682 Licensing agreement, 303 Licensing arrangement, 303 Licensing statutes, 231 regulatory, 231 revenue-raising, 231 Licensor, 302–303, 681 Lien, 436–437, 792 Lien release, 436 Life estates, 250, 801 Life insurance parties to contract, 833–834 suicide clause and, 835–836 types of, 834 Life tenant, 801 Lilly Ledbetter Fair Pay Act of 2009, 544 Limited-jurisdiction trial courts, 22 Limited liability of corporate shareholders, 622 of members of LLC, 659–662 of partners of LLPs, 667–668 of shareholders, 597–598 Limited liability companies (LLCs) about, 655 advantages of operating business as, 665 agency authority to bind contracts, 663 capital contributions to, 658 certificate of interest, 657 continuation of, 666 conversion of existing business to, 658 defined, 655 dissolution of, 665–666 distributional interest of, 659 dividing profits and losses of, 658–659 duration of, 657–658 formation of, 656–659 liability of, 659–660 liability of managers, 661 liability of tortfeasors, 661–662 limited liability of members, 659–662 management of, 662–663 manager-managed, 662 member-managed, 662 members’ limited liability, 659–662 operating agreement, 658 powers of, 656 taxation of, 656 winding up, 666 Limited liability company codes, 655 Limited liability limited partnerships (LLLPs) about, 591–592 articles of, 591 defined, 591 liability of general/limited partners of, 592 management of, 592 Limited liability partnership codes, 667 Limited liability partnerships (LLPs), 666–668 accounting firms operating as, 668, 849–850 # 154055   Cust: PEARSON   Au: Cheeseman  Pg No 1009 Law Z04_CHEE4006_09_SE_SIDX.indd Title: 1009 Business 1009 articles of, 667 domestic, 667 foreign, 667 limited liability of partners of, 667–668 taxation of, 667 Limited partners, 585 liability of, 589 limited liability of, 589 of LLLPs, liability of, 592 permissible activities of, 590 Limited partnership agreements, 587 Limited partnerships about, 585–586 admission of new partner and, 588 articles of, 587 capital contributions, 587 certificate of, 586 defective formation of, 587 defined, 585 dissolution of, 592–593 distribution of assets, 593 domestic, 586 foreign, 586–587 management of, 590 master, 588–589 name of, 587 Revised Uniform Limited Partnership Act (RULPA), 586 right to information and, 588 sharing of profits/losses and, 588 Limited protected speech, 78 Limited-purpose clause, 603 Limited warranties, 364 Lincoln, Abraham, 134 Lindley, Lord Justice, 346 Line of commerce, 771 Lineal descendants, 873 Liquidated damages, 284–286, 353 Liquidation, of corporations, 613 Liquidation preference, 609 Litigation, 45 Living trusts, 878–879 beneficiaries of,879 benefits of, 878–879 funding and operating, 879 personal property and, 786 Living wills, 881 Local administrative agencies, 729 Locke, John, 3, 715 Long-arm statutes, 34–35 Lost property, 786–787 Loughborough, Chief Justice Lord, 786 Lutheran Church, 918 M MacKay, Harvey, 501 MacNaghten, Lord, 418, 577 Madison, James, 188, 655 Magistrate, 162 Magnuson-Moss Warranty Act, 364 Mail fraud, 167–168 Mailbox rule, 209 Main purpose exception, 253 Maine, Sir Henry, 187 Maitland, Frederic William, 601 Majority decision, 30 C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE12/11/14 Publishing Services 4:48 pm www.downloadslide.net 1010 Subject Index Maker of a certificate of deposit, 375 Maker of a note, 374 Making secret profits, 630 Mala in se, 158 Mala prohibita, 158 Malicious prosecution, 100 Malins, Vice Chancellor, 407, 569 Malpractice legal, 106 medical, 106 professional, 106 Manager-managed LLC, 662 agency authority to bind LLC to contracts, 663 duty of loyalty of, 664 no fiduciary duty in, 664–665 Mansfield, Earl of, 371 Mansfield, Lord, 227, 255, 353 Manslaughter, 164 Marine insurance, 841 Marine Protection, Research, and Sanctuaries Act (1972), 753 Marital property community property distribution of, 894 defined, 893 equitable distribution of, 893–894 Market extension merger geographical, 773 product, 773 Market sharing, 765 Marketable title (good title), 807 Marks defined, 145 distinctiveness and, 147–148 secondary meaning and, 147–148 types of, 146–147 Marriage ceremony, 887 defined, 887 postnuptial agreements and, 893 prenuptial agreements and, 253, 892–893 promises made in consideration of, 253 requirements, 887 same-sex, 888–889 termination, 890–893 See also Divorce Marshall, John, 596, 625 Mass layoffs, 539 Master limited partnerships (MLPs), 588–589 Material alteration, 407 Material breach, 279–280 Material fact, 239–240 Maximizing profits, 717–718 Maximum resale prices, 767 McCulloch, J R., 799 McDonald’s franchise, 676–677 Mead, Margaret, 748 Means test, 472 Mechanic’s lien, 436–437 Median income test, 472 Mediation, 61 electronic, 62 Mediators, 61 Medical malpractice, 106 Medical payment coverage, 840 Medicinal Device Amendment, 743 Medicinal devices regulation, 743 Meeting of the creditors, 466 Meeting the competition defense, 776 Member-managed LLC, 662 agency authority to bind LLC to contracts, 663 duty of loyalty of, 664 Mens rea, 159 Mental examinations, 50 Mental incompetence, 407 Mentally incompetent persons, contracts and, 226–227 Merchant, 318 Merchant Courts, 10 Merchant protection statutes, 96 Merchant-sellers, 334 Mercosur, 911 Merged corporation, 640 Merger clause, 256 Mergers and acquisitions, 640–643 See also Clayton Act (1914) about, 647 articles of, 641 conglomerate, 773 defenses to Section actions, 773 defined, 640 defining section of country, 771 determining line of commerce, 771 dissenting shareholder appraisal rights and, 642–643 horizontal, 772 market extension, 773 premerger notification, 773–774 probability of a substantial lessening of competition, 771–772 short-form, 642 tender offer, 643–646 vertical, 772 white knight, 646 Methodist Church, 918 Metz’ia, Bava, 253 Midnight deadline, 422 Military personnel, employment protections, 562 Mill, John Stuart, 714, 819 Mineral rights, 799 Minimum contact, 35 Minimum wage, 520–521 exemptions from, 522 Mini–public offering, 694 Mini-trial, 59 Minor breach, 278–279 Minority, 407 Minors, 223–225 Minor’s duty of restitution, 224 Minor’s duty of restoration, 224 Miranda rights, 175–177 Mirror image rule, 208, 322 Misappropriation of a trade secret, 132–133 Misappropriation of right to publicity (tort appropriation), 97 Misappropriation theory, 705 Misdemeanors, 158 # 154055   Cust: PEARSON   Au: Cheeseman  Pg No 1010 Z04_CHEE4006_09_SE_SIDX.indd Title: Business Law 1010 Mislaid property, 786 Misrepresentation, 507 See also Fraud innocent, 243–244 of law, 243 silence as, 243 Misrepresentation of a material fact, 240 Mistakes mutual, of material fact, 239–240 mutual, of value, 240 unilateral, 239 Mistakes, in contracts, 239–240 Misuse of confidential information, 502 Misuse of partnership property, 577 Mixed sale(s), 317 Model Business Corporation Act (MBCA), 596 Model Statutory Close Corporation Supplement (Supplement), 604 Monetary damages, 281–284 compensatory, 281–283 consequential, 283 liquidated, 284–286 nominal, 283–284 Money, defined, 378 Money laundering, 168 Money Laundering Control Act, 168 Monopolization, 769–770 act of monopolizing and, 769–770 attempts and conspiracies to, 770 defenses to, 770 defining relevant market, 769 monopoly power and, 769 Monopoly power, 769 Montesquieu, Baron de, 359 Month-to-month tenancy, 817 Monthly reports, 689 Moral minimum, 719 Moral theory of law, Mortgage notes, 375 Mortgage Reform and Anti-Predatory Lending Act (2010), 444 Mortgagee (creditor), 432 Mortgages, 250 about, 432–433 antideficiency statutes, 435–436 default, 434 deficiency judgment, 435 foreclosure sale, 434 nonrecording of a, 433–434 note and deed of trust, 433 recording statutes, 433–434 right of redemption, 436 satisfaction of a, 433 Mortgagor (owner-debtor), 432 Moses, 659 Motion for judgment on the pleadings, 52 Motion for summary judgment, 52 Motivation test, 505 Multilateral treaties, 904 Multinational corporations, 648–651 Murder, 163–164 Musmanno, Justice, 14 Mutual assent, 200 Mutual benefit bailment, 791 Mutual funds, 690 C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE Publishing Services 12/11/14 4:48 pm www.downloadslide.net Subject Index Mutual mistake of a material fact, 239–240 Mutual mistake of value, 240 Mutual (reciprocal) wills, 870–871 Mutual rescission, 273 Myanmar, human rights violations in, 88 N Napoleonic Code (French Civil Code of 1804), 11 National ambient air quality standards (NAAQS), 749 National Association of Securities Dealers Automated Quotation System (NASDAQ), 694, 697 National Conference of Commissioners on Uniform State Laws, 591 National courts, 913–916 National Environmental Policy Act (NEPA), 748 National Labor Relations Act (NLRA), 531 Section of, 532 Section 8(a) of, 534 Section 8(b) of, 534 National Labor Relations Board (NLRB), 532 National origin discrimination, 548–549 harassment based on, 552, 553 as suspect class, 83 Nationalism, 87 Native Americans, commerce with, 72–73 Natural Law School, Natural monopoly, 770 Necessaries of life, 225 Negligence (accounting malpractice), 852 Negligence (unintentional torts), 101–105, 503 of accountants, 852 actual cause, 103–104 breach of duty of care, 101, 577 comparative, 110–111, 126 contributory, 110–111, 125–126 defenses against, 109–111 duty of care, 101 elements of, 105 gross, 107–108 injury to plaintiff, 102–103 ordinary, 109 partial comparative, 111 per se, 106 product liability and, 116 proximate cause, 104 special doctrines, 106–107 strict liability vs., 118 Negligent homicide, 164 Negligent infliction of emotional distress, 106 Negotiable instruments See also Checks about, 371 acceleration clause, 381 authorized representative’s signature for, 376–377 creating, 376–381 discharge of, 410 extension clause, 381 fixed amount of money requirement, 378–379 forged, 404–405 FTC rule limits HDC status for, 409–410 functions of, 371–372 payable at definite time requirement, 379 payable in a foreign country, 382 payable on demand requirement, 379 permanency requirement, 376 portability requirement, 376 prepayment clause, 381 primary liability for, 401 secondary liability, 401–404 signature liability for, 400–401 signature requirement, 376–377 transfer of, by indorsement, 389 transfer of, by negotiation, 386–388 types of, 372–375 unconditional promise or order to pay, 377–378 warranty liability for, 405 writing requirement for, 376 Negotiation, 59, 371 defined, 386 Net, net, net lease (triple net lease), 821 NET Act (No Electronic Theft Act), 144 Net lease, 821 New York Rule (American Rule), 264 New York Stock Exchange (NYSE), 694, 697 Nicholl, Sir John, 226 Nietzsche, Friedrich, 886 No-arrival, no-sale contract, 333 No Electronic Theft Act (NET Act), 144 No evidence of forgery, alternation, or irregularity requirement, 396 Noerr doctrine, 768 No par value shares, 608 No-fault automobile insurance, 840 No-fault divorce, 891 Nolo contendere, 162, 762 Nominal damages, 283–284 Nonaccredited investor, 700 Nonattainment areas, 750 Nonbinding arbitration, 60 Noncompete clauses (covenant not to compete), 233, 234 Nonconforming uses, 812 Nonconvertible preferred stock, 609 Noncumulative preferred stock, 609 Noncupative wills, 872 Nonfreehold estate, 816 Nonintent crimes, 160 Nonissuer exemption, 699 Nonjudicial dispute resolution, 45, 59 Nonmerchant-sellers, 334 Nonnegotiable contracts, 381–382, 386 Nonobvious inventions, 136 Nonparticipating preferred stock, 609 Nonpossessory interests defined, 809 # 154055   Cust: PEARSON   Au: Cheeseman  Pg No 1011 Law Z04_CHEE4006_09_SE_SIDX.indd Title: 1011 Business 1011 easement, 809–811 license, 811 profit-á-prendre, 812 Nonprice vertical restraints, 767 Nonrecordation of a mortgage, 433 Nonredeemable preferred stock, 609 Nonrestrictive indorsements, 391–392 Norris-LaGuardia Act, 531 North American Free Trade Agreement (NAFTA), 908–910 No-strike clause, 537 Note, defined, 433 See also Promissory note Notes, 611 Not-for-profit corporations (nonprofit corporations), 599 Notice of appeal, 56 Notice of assignment, 263 Notice of dishonor, 402 Notice of shareholders’ meetings, 618 Notice of termination, 496 Nottingham, Lord, 262 Novation agreement, 273 Novel inventions, 135 Nuclear Regulatory Commission (NRC), 754–755 Nuclear wastes, 754–755 Nutrition Labeling and Education Act (NLEA), 741 NYSE Euronext, 697 O Obama, Barack, 29–30 Objective cognitive “understanding” test, 226 Objective impossibility, 274 Objective rule, 887 Objective theory of contracts, 189–190 Obligation, 343 Obligee, 261, 265 Obligor, 261 Obscene speech, 80 O’Connor, Sandra Day, 61 Occupational safety, 518–520 Occupational Safety and Health Act, 518–519 Occupational Safety and Health Administration (OSHA), 518–519 Ocean pollution, 753 Offensive speech, 78 Offeree, 187, 200 Offering circular, 694 Offering statement, 693–694 Offeror, 187, 200 Offers (contract), 200–202 communication of, 201–202 special types of, 202–203 termination of an, by act of the parties, 204–206 termination of an, by operation of law, 206–207 Officers, 706 See also Corporate officers Offshore banks, 426 Oil Pollution Act (1990), 753 Older Workers Benefit Protect Act (OWBPA), 556 C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE12/11/14 Publishing Services 4:48 pm www.downloadslide.net 1012 Subject Index Omnibus clause, 840 One-year rule, 250–251, 419–420 Online banking, 424–425 “On them” checks, 422 “On us” checks, 422 Open, visible, and notorious, 808 Open assortment terms, 321 Open delivery terms, 320 Open payment terms, 320 Open price terms, 320 Open terms, 320–321 Open time terms, 320–321 Opening brief, 57 Opening statements, 54–55 Operating agreement, 658 Opportunity to cure, 344 Option contracts, 206 Oral order, 417 Order, defined, 730 Order for relief, 466 Order instruments, 379–380 Order paper converting, 388 negotiating, 387–388 Order to pay, 377–378 Orders, 14 Ordinances, 13 Ordinary bailments bailment for the sole benefit of the bailee, 791 bailment for the sole benefit of the bailor, 791 Ordinary negligence, 109 Ordinary checks, 415 Ordinary partnership See General partnership Oregon Death with Dignity Act (ODWDA), 882 Organization of the Petroleum Exporting Countries (OPEC), 911 Organizational meeting, 604–605 Original tenor, 419 Orthodox Church, 918 Orwell, George, 756 Osceola, 73 Other-driver clause, 840 Outgoing partners, liability of, 579 Output contracts, 218–219 Outside director, 624 Outside sales representative exemption, 522 Outsourcing, 718 Overdrafts, 418 Overdue time instruments, 396 Oversecured creditor, 473 Oversecured secured creditor, 473 Overtime pay, 521 exemptions from, 522 Owner, 833 P Paley, William, 201 Par value shares, 608 Parent–child privilege, 178 Parent corporation, 641, 650 Parents, rights and duties of, 890 Parol evidence, 256 Parol evidence rule, 256–257, 325 Part performance, 254–255 Partial comparative negligence, 111 Partially disclosed agency, 508 Partially disclosed principal, 508 Partial performance, 192 Partial strikes, 537 Participating preferred stock, 609 Partnership at will, 580 Partnership for a term, 580 Passage of title, 331–333 Past consideration, 217 Patent and Trademark Office (PTO), 134, 145 Patent application, 134 Patent Cooperation Treaty (PCT), 152 Patent infringement, 138 Patent number, 134 Patent pending, 134 Patent period, 137 Patent Trial and Appeal Board (PTAB), 134 Patents, 133–138 about, 133–134 defined, 134 design, 138 infringement, 138 period, 137 provisional application, 134 requirements for obtaining, 135–136 subject matter for, 135 U.S Court of Appeals for the Federal Circuit and, 13 utility, 135 Patient Protection and Affordable Health Care Act (2010), 741, 744 Payable at a definite time, 379 Payable in money, 378–379 Payable in the alternative, 394 Payable jointly, 393 Payable on demand, 379 Payable to bearer, 379–380 Payable to order, 379–380 Payee of a check, 373, 415 Payee of a draft, 372 Payee of a note, 374 Payer bank, 415, 421 Payment, 346 Payoff, 167 Penal codes, 157–158 Penalty, 285 Penn, William, 844 People with disabilities, discrimination against, 557–559 Per capita distribution, 873 Per se rule, 763 Per stirpes distribution, 873 Perfect tender rule, 344 Perfection by a purchase money security interest in consumer goods, 455 Perfection by attachment, 455 Perfection by filing a financing statement, 453–454 Perfection by possession of the collateral, 454 Perfection by purchase money security interest in consumer goods, 455 # 154055   Cust: PEARSON   Au: Cheeseman  Pg No 1012 Z04_CHEE4006_09_SE_SIDX.indd Title: Business Law 1012 Perfection of security interest, 453–455 Performance buyer and lessee, 346–347 seller and lessor, 343–345 Period of minority, 223 Period of redemption, 808 Periodic tenancy, 817 Permanency requirement, 376 Permanent (lifetime) alimony, 896 Permissive subjectives of collective bargaining, 535 Personal articles floater (personal effects floater), 838 Personal defenses, 407–408 Personal guarantee, liability of, 589 Personal identification numbers (PINs), 424, 425 Personal jurisdiction, 33–34 Personal liability of general partner, 578–580, 589 of sole proprietor, 571 unlimited, 571–572, 578, 589 Personal liability coverage, 837 Personal property, 448 See also Real property abandoned, 787–788 about, 783 artisan’s lien on, 459 bailment of, 789–795 defined, 783 lost property, 786–787 mislaid, 786 ownership of, 783–786 Personal representative, 872 Personal satisfaction test, 271 Personal service contracts, 262 Peter, Irene, 697 Petition, 465 Petition for certiorari, 30 Petition for divorce, 891 Petitioner (appellant), 57, 734 Physical or mental examinations, 50 Picketing, 538–539 Piercing the corporate veil, 622–623 Pitt, William, 15, 206 Place of delivery, 343–344 Places of public accommodation, 825 Plaintiff, 34, 46, 158 partially at fault, 125–126 Plaintiff’s case, 55 Plant Closing Act (1988), 539 Plant closings, 539 Plant life and vegetation, 799 Plato, Plea, 162, 163 Plea bargain, 163 Plea bargaining agreement, 163 Pleadings, 46–49 answer, 46–47 class action, 48 complaint and summons, 46 cross-complaint, 47 intervention and consolidation, 47 reply, 47 statute of limitations, 49 summons, 46 Pliny the Younger, 324 C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE Publishing Services 12/11/14 4:48 pm www.downloadslide.net Subject Index Plumer, Sir Thomas, 290 Plurality decision, 30 Point-of-sale (POS) terminals, 424 Point sources of water pollution, 751 Poison pills, 645 Police power, 74 Policy, 831 Policy decisions, 623 Pollution air, 749–750 hazardous wastes, 755 nuclear waste, 754–755 ocean, 753 radiation, 754–755 thermal, 752 toxic substances, 754 water, 751–754 Portability requirement, 376 Possession, 783–784 Possession of tangible token rule, 265 Postdated checks, 417 Post-grant review, 134 Postjudgment court orders, 439 Postnuptial agreement, 893 Postpetition counseling, 465 Pound, Roscoe, 5, 322 Power of attorney, 490 Power of sale, 434 Powers of an LLC, 656 Precedent, 9, 14 Predatory pricing, 770 Preemption doctrine, 71 Preemptive rights, 620–621 Preexisting duty, 217–218 Preferred stock cumulative, 609 defined, 608 nonconvertible, 609 noncumulative, 609 nonparticipating, 609 nonredeemable, 609 participating, 609 redeemable, 609 Preferred stock certificates, 608 Preferred stockholders, 608 Pregnancy discrimination, 550 Pregnancy Discrimination Act, 550 Pre-issuance challenge, 134 Preliminary prospectus, 691 Premium, 831 Prenuptial (premarital) agreements, 253, 892–893 Prepayment clause, 381 Prepetition counseling, 465 Presentment, 402 Presentment across the counter, 423 Presentment warranties, 406, 419 Presumed innocent until proven guilty, 157 Pretrial hearing, 53 Pretrial litigation process discovery, 49–51 pleadings, 45–49 pretrial motions, 51–53 settlement conference, 53 Pretrial motions, 51–53 Price discrimination, 774–776 defenses to, 775–776 direct, 775 indirect, 775 Price fixing, 764 horizontal, 764 vertical, 766–767 Priest–rabbi/minister/imam/penitent privilege, 178 Prima facie case, 545 Prima facie evidence, 574 Primarily liable, 438 Primary liability, for negotiable instruments, 401 Principal, defined, 403, 487, 509 Principal–agent relationship, 414, 488 Principal–independent contractor relationship, 489, 509–510 Privacy Act, 736 Private corporations, 599 Private placement exemption, 699–700 Private Securities Litigation Reform Act (1995), 859 Privilege against self-incrimination, 175 Privileges and Immunities Clause, 87 Privity of contract, 118, 261, 857 Pro rata rule, 645 Pro se divorce, 891 Probability of a substantial lessening of competition, 771 Probably cause, 100 Probate, 872 Probate court, 872 Procedural administrative law, 730 Procedural due process, 86–87, 732 Processing plant franchise, 673 Product disparagement, 98–99 Product liability defenses to, 123–126 defined, 116 intentional misrepresentation and, 116–117 negligence, 116 strict liability and, 117 Product liability insurance, 843 Product market extension merger, 773 Product safety standards, 743 Production of documents, 50 real property ownership, 784 Product defects, 119 Professional association (P.A.), 599 Professional corporations (P.C.), 599 Professional malpractice, 106 Professional malpractice insurance, 842–843 Profit-à-prendre (profit), 812 Profit corporations, 599 Promise to marry, 886 Promise to pay, 377–378 Promises made in consideration of marriage, 253 Promisee, 267 Promisor, 267 Promissory estoppel (detrimental reliance), 214, 220, 257–258 Promissory note, 269, 270 # 154055   Cust: PEARSON   Au: Cheeseman  Pg No 1013 Law Z04_CHEE4006_09_SE_SIDX.indd Title: 1013 Business 1013 Promoters’ contracts, 601 Promoters’ liability, 601 Proof of claim, 466 Proof of interest, 466 Proper dispatch, 209 Property See Personal property; Real property Proportionate liability, 859 Proposed additions, 322 Prosecuting attorney, 158 Prosecutor, 158 Prospectus, 691–693 Protected class, 84 Provisional patent application, 134 Proximate cause, 104 Proxy contest, 638 Proxy (proxy card), 618, 637–638 Proxy statement, 637 Prudon, Theodore H M., 526 Psychiatrist/psychologist–patient privilege, 178 Psychological impairment, 558 Public accountant, 849 Public accounting, 849–850 Public Company Accounting Oversight Board (PCAOB), 861 Public defender, 158 Public domain, 137, 140 Public figures, as plaintiffs, 98 Publicly held corporations, 599 Public use doctrine, 150 Puffing, 358 Punitive damages, 107, 119, 546 Purchase, 784 Q Qualified immunity (restricted immunity), 915 Qualified individual with a disability, 558 Qualified indorsements, 390–391 Qualified indorsers, 402 Qualified opinion, 851 Quarterly reports, 689 Quarterly required distributions (QRDs), 588 Quasi-contracts, 195, 225, 227 Quasi in rem jurisdiction, 37 Quesnay, Francois, 799 Quiet possession, warranty of, 366 Quiet title action, 807 Qui tam lawsuit, 714 Quitclaim deed, 806 Quorum, 618–619 of board of directors, 625 Qur’an, 917 R ® symbol, 145 Race discrimination, 546–548 harassment based on, 552, 553 as suspect class, 83 Racketeer Influenced and Corrupt Organizations Act (RICO), 168– 169, 860–861 Racketeering activity, 169 C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE12/11/14 Publishing Services 4:48 pm www.downloadslide.net 1014 Subject Index Radiation pollution, 754–755 Railway Labor Act, 532 Ratification, 224–225 Ratification of a contract, 509 Rational basis test, 84 Rawl’s social justice theory, 715–716 Reaffirmation agreement, 468 Real defenses (universal defenses), 407 Real estate sales contract, 806 Real property See also Personal property about, 799 antidiscrimination laws and, 824–826 buildings, 799 construction liens on, 436–437 contracts involving interests in, 250 defined, 799 fixtures, 799–800 government regulation of, 823–824 government taking of, 826–827 land, 799 plant life and vegetation, 799 subsurface rights, 799 transfer of ownership of, 805–808 Reasonable accommodation, 558 Reasonable accommodation for religion, 553 Reasonable person standard, 101, 189 Reasonable person test, 271 Reasonable professional standard, 101, 106 Reasonable search and seizure, 172 Reasonableness, 345 Rebuttal, 55 Receiving stolen property, 165–166 Recognizance, 192 Record, 56, 326 Record date, 618 Recording statutes, 433–434, 807 Record-keeping devices, 372 Redeemable preferred stock (callable preferred stock), 609 Redemption right of, 436 statutory period of, 436 Redemption rights, 458 Re-direct examination, 55 Reformation, 288 Registered agent, 603 Registered office, 603 Registration statement, 690, 691, 857 Regular meetings of a board of directors, 625 Regulation A offering, 693–694 Regulation E, 424 Regulation Z, 440–441 Regulations, 13–14, 689 Regulatory statutes, 157–158, 231, 727 Rehabilitation alimony, 896 Rejection of an offer by the offeree, 204 Rejoinder, 55 Release of liability clause (exculpatory clause), 232–233 Release of lien, 436 Relevant geographical market, 769 Relevant product or service market, 769 Reliance on a misrepresentation, 241 Religious discrimination, 553–554 Religious laws, 916–919 Christian law, 918 Hindu law, 918–919 Islamic law, 917 Jewish law, 916 Remainder, 805 Remainder beneficiary, 805, 876, 879 Remedies agreements affecting, 353 buyer and lessee, 350–352 enforcement of, 287 equitable, 287–289 seller and lessor, 347–349 Remittur, 56 Rent-control ordinances, 824 Renters’ insurance, 838 Reorganization bankruptcy, 477–482 Replacement cost insurance, 837 Replacement workers, 537 Replevin actions, 351 Reply, 47 Reporting companies, 689 Repossession, 457 Representative’s signature, authorized, 377 Requirements, patent, 135–136 Requirements contracts, 218–219 Res ipsa loquitur, 107 Resale price maintenance, 766–767 Resale restrictions, 694 Rescission, 239, 250, 286 mutual, 273 unilateral, 273 Reserved powers, 69 Residuary clause, 873 Residuary gifts, 873 Resolutions, 623–624 Respondeat superior, 503 Respondent (appellee), 57 Responding brief, 57 Restatement of the Law of Contracts, 189 Restatement (Second) of Agency, 509 Section of, 510 Restatement (Second) of Contracts, 187, 189, 192, 200, 258–259, 272 Restatement (Second) of Torts, 99, 209 Section 552 of, 854–855 Restitution, 286 Restraints of trade division of markets, 765 group boycotts, 765–766 horizontal, 763 per se rule and, 763 price fixing, 764 rule of reason and, 763 vertical, 766 Restricted immunity, 915 Restricted securities, 700 Restrictive indorsements, 391–392 Resulting trusts, 878 Retention of collateral, 457 Retiree benefits contacts, 479 Revenue-raising statutes, 231 Reverse discrimination, 561 # 154055   Cust: PEARSON   Au: Cheeseman  Pg No 1014 Z04_CHEE4006_09_SE_SIDX.indd Title: Business Law 1014 Reverse engineering, 132 Reversion, 805 Revised Article (Negotiable Instruments), UCC, 371, 414 Revised Article (Secured Transactions), UCC, 448 Revised Model Business Corporation Act (RMBCA), 596, 618 Revised Uniform Limited Liability Company Act (RULLCA), 655 Revised Uniform Limited Partnership Act (RULPA), 586 Section 303 of, 591 Revised Uniform Partnership Act (RUPA), 573 Revocation, 204 of wills, 870 Revocation of acceptance, 347 Rewards, 203 Riba, 917 RICO civil, 169 criminal, 168–169 Rider, 832, 837 Right of first refusal, 619 Right of redemption, 436, 458 Right of survivorship, 582 Right(s) assignment of, 261–265, 386 to cancel a contract, 349, 351 to compensation, 576 to control, 510 to cure, 344 to die, 882 to dispose of goods, 348 to indemnification, 576 to information, 576 to inspect, 346 to obtain specific performance, 350 to participate in the management, 575 to public jury trial, 179 to reclaim goods, 347–348 to recover damages for accepted nonconforming goods, 351–352 to recover damages for breach of contract, 348 to recover damages for nondelivery or repudiation, 351 to recover goods from an insolvent seller or lessor, 350 to recover the purchase price or rent, 348 to reject nonconforming goods or improperly tendered goods, 350 to replevy goods, 351 to return of capital, 576 to return of loans, 576 to share in the profits, 575 to stop delivery of goods in transit, 347 to withhold delivery, 347 Right to sue letter, 544 Right-to-work laws, 536 Risk of loss about, 331 breach of sales contract, 335 in conditional sales, 336–337 C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE Publishing Services 12/11/14 4:48 pm www.downloadslide.net Subject Index in a destination contract, 334 insuring goods against, 337 in lease contracts, 337 no breach of sales contract, 334–335 in a shipment contract, 334 Risk-utility analyses, 120–121 Robbery, 165 Robinson-Patman Act (1930), 761, 774 Section 2(a) of, 774, 775 Section 2(b), 776 Rockefeller, John Davison, 664 Rogers, Will, 656, 674 Roll, Chief Justice, 465 Roman Catholic Church, 918 Romano-Germanic civil law system, 11 Roosevelt, Theodore, 749 Rothschild, Nathaniel Mayer Victor, 688 Rousseau, Jean-Jacques, 715, 783 Rule 10b-5, SEC, 701, 858 Rule 10b5-1, SEC, 705 Rule 144, SEC, 700 Rule 147, SEC, 699 Rule 504, SEC, 700 Rule 506, 699 Rule making, 731 formal, 731 informal, 731 Rule of four, 31 Rule of reason, 763 Rules (regulations), 689 S S corporation, 607, 608, 665 Sale, 805–806 Sale contracts, 316 Sale or lease of assets, 642 Sale or return contract, 336 Sale proceeds, 452 Sale(s) defined, 316 disclosure of, 674 foreclosure, 434 of goods by nonowners, 337–339 mixed, 317 power of, 434 of real estate, 806 of unregistered securities, 693 Sales contracts, 254 acceptance, 322–323 buyer in breach of, 335 consideration, 321 electronic, 326 offers, 320–321 oral modification to, 324–325 seller in breach of, 335 Sales on approval, 336 Same-gender harassment, 552 Same-sex harassment, 552 Same-sex marriage, 888–889 Sarbanes-Oxley Act (SOX, 2002), about, 617, 632 accountants and, 861–862 corporate governance and, 632 emerging growth companies and, 694–695 ethics and, 632 imposing responsibilities on audit committee, 626 requirement to adopt codes of ethics, 719 SEC and, 632 Section 406 of, 719 Satisfaction, 219, 273–274 Schedule C (Profit or Loss from Business), 572 Schedules, 465 Scienter (“guilty mind”), 99, 241, 701 Scope of employment, 489–490, 503 Scott, Sir Walter, 3, 331 Scrutton, Lord Justice, 831 Search and seizure, 172–175, 733–734 Search warrants, 172 Second contract, 251–252 Second-degree murder, 164 Secondarily liable, 438 Secondary boycott picketing, 538 Secondary liability for negotiable instruments, 401–404 requirements for imposing, 402 Secondary meaning, marks and, 147–148 Secret profit, 630 Secretariat (UN), 906 Secretary of state, 453 Section 1, of Sherman Act, 762–768 Section of Clayton Act, 774–776 Section 2, of Restatement (Second) of Torts, 510 Section 2, of Sherman Act, 769–770 Section 2-201(a), of Uniform Commercial Code, 254 Section 2A-201(a), of Uniform Commercial Code, 254 Section 2(a), of Robinson-Patman Act, 774, 775 Section 2(b), of Robinson-Patman Act, 776 Section 3, of Clayton Act, 774 Section 4, of Clayton Act, 762 Section 5, of Federal Trade Communications Act, 744–745, 776 Section 5, of Securities Act (1933), 601 Section 7, of Clayton Act, 771–774 defenses to, 773 Section 7, of National Labor Relations Act, 532 Section 8(a), of National Labor Relations Act, 534 Section 8(b), of National Labor Relations Act, 534 Section 10A, of Securities Exchange Act (1934), 859 Section 10(b), of Securities Exchange Act (1934), 701, 704, 705, 858 Section 10(b) insiders, 702 Section 11, of Securities Act (1933), 695–696 Section 11(a), of Securities Act (1933), 857–858 Section 12, of Securities Act (1933), 696 # 154055   Cust: PEARSON   Au: Cheeseman  Pg No 1015 Law Z04_CHEE4006_09_SE_SIDX.indd Title: 1015 Business 1015 Section 14(a), of Securities Exchange Act (1934), 637–638 Section 14(b), of Taft-Hartley Act, 536 Section 14(e), of Williams Act, 645 Section 16, of Clayton Act, 762 Section 16 statutory insider, 706 Section 16(a), of Securities Exchange Act (1934), 706 Section 16(b), of Securities Exchange Act (1934), 706, 707 Section 18(a), of Securities Exchange Act (1934), 858–859 Section 24, of Securities Act (1933), 696, 860 Section 32, of Securities Exchange Act (1934), 702 Section 32(a), of Securities Act (1933), 860 Section 101, of Uniform Securities Act, 861 Section 303, of RULPA, 591 Section 406, of Sarbanes-Oxley Act, 719 Section 552, of Restatement (Second) of Torts, 854–855 Section 4205, of Patient Protection and Affordable Health Care Act (2010), 741 Section of country, 771 Secured credit, 432 Secured creditor, 432 Secured personal property, 473 Secured transactions about, 448 creating a security agreement, 451–453 default and remedies, 457–459 defined, 449 electronic, 456 perfecting a security interest, 453–455 priority of claims, 455–456 Revised Article of UCC, 448 three-party, 450 two-party, 449–450 Securities defined, 689–690 exempt, 698 restricted, 700 state laws, 707 types of, 690 Securities Act (1933) about, 688–689 accountants and, 857–858 civil liability under Section 11 of, 695–696 civil liability under Section 12 of, 696 criminal liability under, 696, 860 crowdfunding and, 698 initial public offerings, 690–696 Section of, 690 Section 11 of, 695–696 Section 11(a) of, 857–858 Section 12 of, 696 Section 24 of, 696, 860 C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE12/11/14 Publishing Services 4:48 pm www.downloadslide.net 1016 Subject Index Securities and Exchange Commission (SEC) about, 13, 689 actions under Securities Act of 1933, 696 actions under Securities and Exchange Act of 1934, 701–702 exempt transactions, 698–699 registration statement filing, 690, 691, 857 Rule 10b-5, 701, 858 Rule 10b5-1, 705 Rule 144, 700 Rule 147, 699 Rule 504, 700 Rule 506, 699 Sarbanes-Oxley Act and, 632 shareholder resolutions and, 638 Section 16 rules, 706 Securities Exchange Act (1934) about, 689, 701 accountants and, 858–859 aiders and abettors, 705 civil liability under, 701 criminal liability under, 702, 860 crowdfunding and, 698 ethics and, 705 insider trading and, 702–705 misappropriation theory, 705 reporting companies, 689 Rule 10b-5, 701 SEC actions under, 701–702 Section 10A of, 859 Section 10(b) of, 701, 707, 858 Section 14(a) of, 637–638 Section 16 statutory insider, 706 Section 16(a) of, 706 Section 16(b) of, 706, 707 Section 18(a) of, 858–859 Section 32(a) of, 702, 860 securities trading and, 701–702 shareholder resolutions and, 638 short-swing profits and, 706 tipper-tippee liability, 703–704 Securities law, 688–689 violations, accountants, 857–859 Security agreement, 452–453 Security Council (UN), 906 Security interest creating, 452–453 perfecting, 453–455 Seizure, 172–175 Self-dealing, 501, 576, 629 Self-Employment Contributions Act, 524 Seller and lessor performance, 343–345 Seller’s remedies, 347–349 Seneca, Lucius Annaeus, 463 Separate property, 803, 893 Separation of powers, doctrine of, 69 Sequestered jury, 54 Series of forgeries/alterations, 420 Service corporation (S.C.), 599 Service marks, 146, 675 Service of process, 33, 46 Servient estate, 810 Servient party, 245 Settlement, 806 Settlement agreement, 891–892 Settlement conference, 53 Settlement of the estate, 872 Settlor (trustor), 876 “Sex-plus” discrimination, 549 Sexual harassment, 550–553 Shakespeare, William, 157, 463, 478, 487, 496, 680, 706 Share exchange, 641 Shareholder resolutions, 638–640 Shareholder voting agreements, 619 Shareholders defined, 596, 617 insurgent, 638 limited liability of, 597–598 Shareholders’ list, 618 Shareholders’ meetings annual, 618 notice of, 618 quorum to hold, 618–619 special, 618 Shares See also Equity securities authorized, 609–610 consideration to be paid for, 610 free transferability of, 597 issued, 609–610 outstanding, 610 restrictions on sale of, 619 treasury, 610 unissued, 610 Shelter principle, 396–397 Sherman Act (1890), 761 Section of, 762–768 Section of, 769–770 Shipment contracts, 332, 343–344 risk of loss in, 334 Shipping terms, commonly used, 332–333 Shopkeeper’s privilege, 96 Short-form merger, 642 Short-swing profits, 706–707 Sick building syndrome, 750 Sight draft, 372 Signature liability (contract liability), 400–401 Signatures of agent, 403–404 defined, 400 required, 255 electronic, 301 UCC definition, 376–377 unauthorized, 404 Silence as acceptance, 208–209 as misrepresentation, 242 Simple abuse rule, 471 Simple contracts, 192 Sit-down strikes, 537 Sixth Amendment of U.S Constitution, 179 Slander, 98 Slander of title, 98 Small business bankruptcy, 481 Small CDs, 375 Small claims courts, 22 # 154055   Cust: PEARSON   Au: Cheeseman  Pg No 1016 Z04_CHEE4006_09_SE_SIDX.indd Title: Business Law 1016 Small company doctrine, 773 Small Company Offering Registration (SCOR), 694 Small offering exemption, 700 Smith, Adam, 761, 770 SM symbol, 146 Social contract, 715–716 Social responsibility of business corporate citizenship, 720 defined, 717 ethics and, 719 maximizing profits, 717–718 moral minimum, 719 stakeholder interest, 720 Social security, 524 Social Security Administration, 524 Sociological School, Socrates, 589 Socratic method, 16 Software licenses, 364 Sole proprietors, 570 Sole proprietorship, 570–572 creation of, 570 personal liability of, 571 taxation of, 572 Solon, 278 Sophocles, 118, 350, 852 Sotomayor, Sonia, 29–30 South and Central American Regional Economic Areas, 911–912 Spam, regulation of e-mail, 298 Special appearance, 34 Special bailments common carriers, 792–794 innkeepers, 794–795 warehouse companies, 792 Special business contracts, 218–219, 231–233 Special damages, 283 Special indorsements, 390 Special negligence doctrines, 106–107 Specially manufactured goods, 324 Special meetings of the board of directors, 625 Special partnerships, 585 Special power of attorney, 490 Special shareholders’ meetings, 618 Special warranty deed (limited warranty deed), 806 Specific duty standards, 518–519 Specific gifts, 872 Specific government regulation, 728 Specific intent crimes, 159 Specific performance, 287–288 Speech promoting overthrow of government, 79 Speedy Trial Act, 179 Spendthrift trusts, 878 Spousal support (alimony), 895–896 Spouse–spouse privilege, 178 Staggered terms, 625 Stakeholder interest, 720 Stale checks, 417 Standard fire insurance, 837 Standards of interpretation, 256 Standing to sue, 33 Standstill agreements, 646 C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE Publishing Services 12/11/14 4:48 pm www.downloadslide.net Subject Index Stanton, Elizabeth Cady, 543 Stare decisis, doctrine of, 14 State action exemption, 777 State administrative agencies, 729 State antitakeover statutes, 647–648 State antitrust laws, 777 State constitutions, 11 State courts general-jurisdiction trial courts, 22 highest state court, 23 intermediate appellate courts, 22–23 jurisdiction of, 31 limited-jurisdiction trial courts, 222 small claims courts, 22 typical system, 23 websites for, 24 State environmental protection laws, 757 State implementation plan (SIP), 749 State median income, 472 State police power, 74 State securities laws, 707 State statutes, 13 State supreme courts, 23 Statement of disassociation, 666 Statement of opinion, 358 Statement of policy, 731 Stationary sources of air pollution, 749 Statute of Frauds, 323–326 about, 249 defined, 249 E-SIGN Act and, 301 exceptions to, 324 lease contracts, 254, 323–326 marriage promises, 253 one-year rule, 250–251 parol evidence rule, 256–257 part performance exception, 254–255 promissory estoppel, 257–258 in real property, 250 sales contracts, 253, 323–326 writing requirement, 249–250, 254 Statute of limitations, 49 defined, 274 UCC, 352–353 Statute of Wills, 869 Statutes defined, 12 digital age and, 15 federal, 12 state, 13 Statutes of limitations, 125 Statutes of repose, 125 Statutorily defined securities, 690 Statutorily prescribed period of time, 808 Statutory close corporation (SCC), 604 Statutory exemptions, 776 Statutory period of redemption, 436 Statutory priority of unsecured claims, 473–474 Stevens, Justice John, 297 Stock dividends, 621 Stolen goods, 337 Stone, Harlan Fiske, 214 Stone, Justice, 516 Stop-payment orders, 417 Stop Trading on Congressional Knowledge (STOCK) Act, 689, 705, 706 Story, Joseph, 714 Stowell, Lord, 187, 278 Straight bankruptcy See Chapter 7–Liquidation Straight voting (noncumulative voting), 619 Strategic alliances, 683 Strict liability, 95, 111 chain of distribution and, 117–118 damages recoverable for, 119 liability without fault and, 117 negligence vs., 118 Superfund and, 755 Strict performance, 278 Strict scrutiny test, 83 Strikes, 536–538 Subassignee, 261 Subchapter S Revision Act, 607 Subcommittee, 12–13 Subfranchisor, 673 Sublease, 823 Sublessee, 823 Sublessor, 823 Subsequent assignee, 261 Subsequent wills, 870 Subsidiary corporation, 641, 650 Substantial performance, 278–279 Substantial justice, 35 Substantive administrative law, 730 Substantive due process, 86 Substantive rules, 731 Substituted contract, 273 Substitutes for money, 371 Subsurface rights, 799 Successor trustee, 879 Suicide clauses, 835–836 Sullivan, Justice, 224 Summons, 46 Sunnah, 917 Superfund, 755 Supermajority voting requirement, 619 Superseding event, 109, 123–124 Supervening illegality, 206 Supervisor, harassment by, 551–552 Supramajority, 641 Supremacy Clause, 71 Supreme Court of the United States See United States Supreme Court Supreme courts, state, 23 Supreme law of the land, 111 Surety arrangements, 437–438 Surety (co-debtor), 437–438 Surviving corporation, 640 Suspect class, 83 T Taft-Hartley Act, 532, 536 Taking for value requirement, 395 Taking in good faith requirement, 395–396 Taking without notice of defect requirement, 396 Takings Clause, 826 Tangible personal property, 448, 450, 451 # 154055   Cust: PEARSON   Au: Cheeseman  Pg No 1017 Law Z04_CHEE4006_09_SE_SIDX.indd Title: 1017 Business 1017 Tangible property, 783 Tangible writing, 139–140 Target corporation, 643–644 Tarnishment, 151 Tax preparation, 860 Tax Reform Act (1976), 860 Tax sale, 808 Taxation of corporations, 607 double, 607 flow-through, 574, 656, 665, 667 of general partnerships, 574 of limited liability companies, 656, 665 of limited liability partnerships, 667 of sole proprietorships, 572 Temporary alimony, 896 Tenancy at sufferance, 817–818 Tenancy at will, 817 Tenancy by the entirety, 803 Tenancy for years, 816–817 Tenancy in common, 802–803 Tenant, 817 Tenant’s duties to landlord duty not to commit waste, 821–822 duty not to disturb other tenants, 822 duty not to use lease premises for illegal or nonstipulated purposes, 821 duty to pay rent, 821 Tender of delivery, 343 Tender offer, 643–646 fighting, 645–646 hostile, 643 rules, 644–645 Tender offeror, 643–644 Tender of performance, 278 Tennessee Valley Authority (TVA), 756–757 Term LLC, 657–658 Terminated by operation of law, 497 Termination of corporations, 613 wrongful, 497 Termination-at-will clauses, 681 Termination by an act of the parties, 495–496 Termination by an unusual change in circumstances, 496 Termination by impossibility of performance, 496–497 Termination of an offer by act of the parties, 204–206 Termination statement, 455 Territory, 676 Testamentary capacity, 869 Testamentary gifts, 872–875 Testamentary trusts, 877 Testator, 869 Testator’s signature, 870 Testatrix, 869 Theft, 165 Thermal pollution, 752 Thin capitalization, 363 Third-degree murder, 164 C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE12/11/14 Publishing Services 4:48 pm www.downloadslide.net 1018 Subject Index Third parties accountants’ liability to, 852–857 assignment of rights, 261–265 contract liability of, 507–509 delegation of a duty, 265–267 tort liability of, 505–507 Third-party beneficiaries, 261, 267–270 Thoreau, Henry David, 343, 511,672 Three-party instrument, 433 Three-party secured transactions, 450 Thurber, James, 257 Thurlow, Lord Edward, 625 Tie decision, 30 Time draft, 372, 373 Time instruments, 379, 396 “Time is of the essence” contract, 272 Time notes, 374 Tippee, 703 Tipper, 703 Tipper-tippee liability, 703–704 Title passage of, 331–333 void, 336 voidable, 338 Title I of the Americans with Disabilities Act, 557, 558 Title I of the Landrum-Griffin Act, 539 Title III of the Americans with Disabilities Act, 825 Title III of the Consumer Credit Protection Act, 439 Title VII of Civil Rights Act (1964), 544–546 affirmative action and, 561 concept summary of, 555 defenses to, 555–556 Title insurance, 807, 839 Title to goods about, 331 identification of goods, 331–333 passage of, 331–333 title defined, 332 Title VII of the Civil Rights Act of 1964, 544–546, 553–555 TM symbol, 146 Tocqueville, Alexis de, 28 Top-level domain names, 306 Torah, 916 Torrens system, 807 Tort damages, defined, 95 Tort liability of general partners, 578–579 for intentional torts, 505–507 of principals and agents, 503–505 Tort of appropriation (misappropriation of right to publicity), 97 Tort of bad faith, 290 Tort of outrage, 99 Tortfeasor defined, 661 liability of, 661–662 Torts associated with contracts, 290–292 criminal acts as the basis for, 160 defined, 95 intentional, 95–100 unintentional See Negligence (unintentional torts) Totten trusts, 878 Toxic substances, 754 Toxic Substances Control Act (1976), 754 Trade acceptance (bill of exchange), 372 Trade libel, 98 Trade name, 570 Trade-Related Aspects of Intellectual Property Rights (TRIPS), 152 Trade secrets, 132–133 about, 132 Economic Espionage Act, 133 ethics and, 133 franchisors and, 675 misappropriation of, 132–133 reverse engineering, 132 Trademark Dilution Revision Act (2006), 151 Trademark Electronic Application System (TEAS), 145 Trademark infringement, 148 Trademarks, 145–150, 675 about, 145 defined, 146 distinctiveness or secondary meaning, 147–148 ethics and, 148 franchisors and, 684 generic names and, 148–149 infringement, 148 registration of, 145–146 types of, 146–147 Transferred intent doctrine, 96 Transfer warranties, 405–406 Transnational corporations, 648–651 Traynor, Justice, 116 Treasury shares, 610 Treaties, 11 Treaty, 904 Treaty Clause, 904 Treble damages, 762 Trial brief, 54 Trials, 54–56 burden of proof, 55 closing arguments, 55 cross-examination, 55 defendant’s case, 55 direct examination, 55 entry of judgment, 56 jury deliberation, 55–56 jury instructions, 55–56 jury selection, 54 opening statements, 54–55 plaintiff’s case, 55 rebuttal, 55 re-direct examination, 55 rejoinder, 55 Sixth Amendment right to, 179 Speedy Trial Act, 179 verdict, 55–56 Trier of fact, 54 Truman, Harry S., 903 Truro, Lord, 718 Trust corpus (trust res), 876 Trustee, 433, 876, 878 Trust instrument (trust agreement), 876 Trustor, 433, 878 # 154055   Cust: PEARSON   Au: Cheeseman  Pg No 1018 Z04_CHEE4006_09_SE_SIDX.indd Title: Business Law 1018 Trusts charitable, 878 constructive, 877–878 inter vivos, 877 irrevocable, 876–877 living, 878–879 resulting, 878 spendthrift, 878 testamentary, 877 Totten, 878 Truth-in-Lending Act (TILA), 440–441 Two-party secured transactions, 449–450 Tying arrangements, 774 U UCC Financing Statement, 453 Ultramares doctrine, 852–853 Ultra vires act, 607 Umbrella insurance, 844 Unanimous decision, 30, 163 Unaudited financial statements, 852 Unauthorized signature, 404 Unconditional, defined, 377 Unconditional order to pay, 377–378 Unconditional promise to pay, 377–378 Unconscionability, doctrine of, 353 Unconscionable contracts, 234, 353 Undersecured creditor, 473 Undersecured secured creditor, 473 Underwriter, 831 Undisclosed agency, 508–509 Undisclosed principal, 508–509 Undocumented workers, 526 Undue hardship, 475, 552–553, 559 Undue influence, 245 wills and, 879–880 Unduly burdening interstate commerce, 75 Unemployment compensation, 524 Unenforceable contracts, 193 Unequivocal acceptance, 208 Unexpired leases, 477–478 Unfair advantage theory, 773 Unfair and deceptive practices, 744–745 Unfinished goods, 348 Uniform Arbitration Act, 59 Uniform Commercial Code (UCC) about, 253 additional terms and, 322 Article of, 189, 315, 316–318 Article 2A of UCC, 189, 315, 318–319 Article of, 326, 327 Article (Commercial Paper) of UCC, 371, 414 Article of, 415 Article 4A of, 415, 425 Article of, 326, 326 battle of the forms, 323 contracts and, 189 firm offer rule, 321 leases and, 318–319 sales and, 316–318 Statute of Frauds, 254 See also Statute of Frauds statute of limitations, 352–353 C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE Publishing Services 12/11/14 4:48 pm www.downloadslide.net Subject Index Uniform Computer Information Transactions Act (UCITA), 191, 302–303 Uniform Customs and Practices for Documentary Credits (UCP), 327 Uniform Franchise Offering Circular (UFOC), 675 Uniform Gifts to Minors Act (UGMA), 785 Uniform Limited Liability Company Act (ULLCA), 655 Uniform Limited Partnership Act (ULPA), 586 Uniform Limited Partnership Act of 2001 (re-RULPA), 591 Uniform Partnership Act (UPA), 573 Uniform Sales Act, 315 Uniform Securities Act, 707, 861 Section 101, 861 Uniform Simultaneous Death Act, 872 Uniform Trade Secrets Act, 132 Uniform Transfers to Minors Act (UTMA), 785 Uniformed Services Employment and Reemployment Rights Act (USERRA) (1994), 562 Unilateral contracts, 191–192 Unilateral mistakes, 239 Unilateral refusal to deal, 768 Unilateral rescission, 273 Uninsured motorist coverage, 840 Unintentional torts See Negligence (unintentional torts) Union of South American Nations (UNASUR), 912 Union security agreements, 535–536 Union shop, 535 Unions (labor) See Labor law Unissued shares, 610 United Nations Biosafety Protocol, 742 United Nations Children’s Fund (UNICEF), 904 United Nations Educational, Scientific, and Cultural Organization (UNESCO), 906 United Nations (UN) about, 905 agencies, 906 General Assembly, 905 International Court of Justice, 907 Secretariat, 906 Security Council, 906 United States Army Corps of Engineers, 753 United States Bankruptcy Courts, 26, 464 United States Citizenship and Immigration Services (USCIS), 525 United States Congress, 12, 69 United States Copyright Office, 140 United States Court of Appeals for the Armed Forces, 26 United States Court of Appeals for the Federal Circuit, 134 United States Court of Appeals for Veterans Claims, 26 United States Court of Federal Claims, 26 United States Court of International Trade, 26 United States courts of appeals, 27–28 United States Department of Agriculture (USDA), 739 United States Department of Homeland Security (DHS), 729 United States Department of Housing and Urban Development (HUD), 825 United States Department of Justice (DOJ), 764–765, 825 United States Department of Labor, 520 United States district courts, 27 United States District of Columbia Circuit, 27 United States House of Representatives, 12–13, 69 United States Senate, 12–13, 69 United States Supreme Court See also Federal courts about, 28 cases heard by, 31 critical legal thinking of, 15, 17–18 decisions of, 29–31 defined, 228 federal court system and, 28–29 jurisdiction of, 29 justices, process for choosing, 28 United States Tax Court, 26 United States Trustee, 464 Universal default rule, 442 Universal defenses (real defenses), 407 Unjust detriment, 195 Unjust enrichment, 195 Unlawful detainer action, 818, 821 Unlawful eviction, 819 Unlimited personal liability general partners and, 578, 589 of sole proprietor, 571–572 Unprotected speech, 79–80 child pornography, 80 dangerous speech, 79 defamatory language, 79–80 fighting words, 79 obscene speech, 80 speech promoting overthrow of government, 80 Unqualified indorsement, 391 Unqualified indorser, 401–402 Unqualified opinion, 851 Unreasonable search and seizure, 172 Unreasonable search and seizures, 733 Unregistered securities, sale of, 693 Unsecured credit, 431 Unsecured creditor, 431 Unusual change in circumstances, termination by, 496–497 Usage of trade, 256 Useful inventions, 136 Usurping a corporate opportunity, 628–629 Usurping an opportunity, 501–502 Usurping a partnership opportunity, 576 Usury laws, 228–229 # 154055   Cust: PEARSON   Au: Cheeseman  Pg No 1019 Law Z04_CHEE4006_09_SE_SIDX.indd Title: 1019 Business 1019 Utilitarianism, 714 Utility patents, 135 V Valid contracts, 193 Variable interest rate loans, 378 Variance, 812 Vega, Lope de, 30 Venue, 37 change of, 37 Verdict, 55–56 Vertical merger, 772 backward, 772 forward, 772 Vertical price fixing, 766–767 Vertical restraints of trade, 766, 774 nonprice, 767 Vesting, 524 Veterans, employment protections, 562 Veterans Benefits Act (2010), 562 Veto power, 70 Vicarious liability, 503 Violations, 158 Violent strikes, 537 Virgule, use of, 394 Virtual courthouses, 56 Visitation rights, 898 Void contracts, 193, 226 Void for vagueness, 86 Void leasehold interest, 336 Void title, 336 Voidable contracts, 193, 223 Voidable leasehold interest, 338 Voidable title, 338 Voir dire, 54 Voltaire, Franỗois-Marie Arouet, 76 Voluntary dissolution, 612 Voluntary manslaughter, 164 Voluntary petition, 465 Voting arrangements, 620 cumulative, 619 straight, 619 Voting rights, 17–18, 83 Voting trust, 620 Voting trust certificate, 620 W Warehouse receipt, 792 Warranties about, 357 disclaimers, 362–363, 364 express, 357–358 full, 364 of good title, 365 implied, 405–406 against infringements, 365 limited, 364 Magnuson-Moss Warranty Act, 364 of no interference, 366 of no security interests, 365 of quiet possession, 366 of title and possession, 365–366 Warrantless arrests, 161 Warrantless searches, 172 Warranty liability, 405 C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE12/11/14 Publishing Services 4:48 pm www.downloadslide.net 1020 Subject Index Warren, Earl, 588, 663, 714 Waterman, Judge, 688 Water pollution, 751–754 about, 751 Clean Water Act, 751 ocean pollution, 753 point sources of, 751 Safe Drinking Water Act, 753 thermal pollution, 752 wetlands, 752–753 Web contracts (e-contracts), 190–191, 300–302 Webster, Daniel, 531 Well-known seasoned investors (WKSIs), 695 Wetlands, 752–753 Whistleblower bounty program, 689 Whistleblower Statute, 714 White-collar crimes, 157, 166–169 bribery, 167 criminal conspiracy, 169 criminal fraud, 167 embezzlement, 166 extortion, 167 forgery, 166 mail/wire fraud, 167–168 money laundering, 168 Racketeer Influenced and Corrupt Organizations Act (RICO), 168–169 White knight mergers, 646 Wholesale wire transfers, 425 Wilbraham, Thomas, 22 Wildcat strikes, 537 Williams Act (1968), 644 Section 14(e) of, 645 Wills attestation by witnesses, 870 codicils, 870 defined, 869 formal, 870 holographic, 872 joint, 870–871 mutual, 870–871 nuncupative, 872 personal property and, 786 probate and, 8872 reciprocal, 872 requirements for making, 869–870 revoking, 870 sample of, 872 simultaneous deaths and, 872 subsequent, 870 undue influence and, 879–880 Wilson, Earl, 448 Wilson, Woodrow, 11, 80, 585, 761, 820 Winding up, 580 of corporations, 613 of LLC, 666 WIPO Copyright Treaty, 152 Wire fraud, 167–168 Wordsworth, William, 140 Work product immunity, 863 Work-related test, 506 Work visas, 525 Worker Adjustment and Retraining Notification (WARN) Act, 539 Workers’ compensation, 516–518 Workers’ compensation acts, 516 Workers’ compensation insurance, 516, 842 World Bank, 906 # 154055   Cust: PEARSON   Au: Cheeseman  Pg No 1020 Z04_CHEE4006_09_SE_SIDX.indd Title: Business Law 1020 World Court, 907 World Trade Organization (WTO), 913 dispute resolution, 913 intellectual property protection, 152 World Wide Web (Web), 297–298 Wright, Lord, 45 Writ of attachment, 287, 439 Writ of certiorari, 30 Writ of execution, 439 Writ of garnishment, 287, 439 Writing in defenses to enforcement of contracts, 188 requirement for negotiable instruments, 376 of wills, 870 Written confirmation rule, 324 Written memorandum, 56 Written order, 417 Wrongful death action, 95 Wrongful disassociation, 666 Wrongful dishonor, 418 Wrongful dissolution, 579–580 Wrongful eviction, 819 Wrongful possession, 818 Wrongful termination, 497, 681 WTO appellate body, 913 WTO dispute settlement body, 913 WTO panel, 913 Y Z Zoning, 812 Zoning commission, 812 Zoning ordinances, 812 C/M/Y/K Short / Normal / Long DESIGN SERVICES OF S4CARLISLE Publishing Services 12/11/14 4:48 pm ... Cataloging-in-Publication Data Cheeseman, Henry R., author Business law: legal environment, online commerce, business ethics, and international issues / Henry R Cheeseman, Clinical Professor of Business Law, Director... www.downloadslide.net BUSINESS LAW NINTH EDITION Legal Environment, Online Commerce, Business Ethics, and International Issues Henry R Cheeseman Professor Emeritus Marshall School of Business University... .xxi Part I LEGAL ENVIRONMENT OF BUSINESS AND ONLINE COMMERCE 1 LEGAL HERITAGE AND THE DIGITAL AGE Introduction to Legal Heritage and the Digital Age What is Law? Landmark U.S