Law For Business

by Ashcroft, Janet

• ISBN13: 9780324261066
• ISBN10: 0324261063
• Edition: 15th
• Format: Hardcover
• Copyright: 2004-07-23
• Publisher: South-Western College/West

Summary

This book is a practical approach to law that emphasizes current and relevant topics for business transactions. The basic business law concepts are covered without the excessive theory that often makes the law seem incomprehensible. The substantial breath of this text, laden with examples and cases, is an effective introduction to a variety of legal topics.

Table of Contents

Preface	ix
Part 1: The Legal System and the Legal Environment of Business	1	(48)
Introduction to Law	2	(9)
Objectives of Law	3	(1)
Roots of Our Legal System	3	(1)
The Common Law	3	(1)
Equity	4	(1)
Sources of Law	4	(2)
Civil Versus Criminal Law	6	(2)
Tort Law	8	(1)
Ethics	8	(2)
Questions	10	(1)
Internet Resources for Business Law	10	(1)
Courts and Court Procedure	11	(11)
Function of the Courts	11	(1)
Jurisdiction of Courts	12	(1)
Classification of Courts	13	(4)
Court Officers	17	(1)
Procedure in Courts of Record	18	(1)
Procedure in Small Claims Court	19	(1)
Questions	20	(1)
Internet Resources for Business Law	21	(1)
Business Torts and Crimes	22	(17)
Torts	22	(2)
Interference with a Contract or Economic Advantage	24	(4)
Crimes	28	(1)
Types of Business Crimes	28	(7)
Questions	35	(1)
Case Problems	35	(3)
Internet Resources for Business Law	38	(1)
Government Regulation of Business	39	(10)
Purpose of Regulation	40	(1)
Administrative Agencies	40	(2)
Antitrust	42	(2)
Environmental Protection	44	(2)
Questions	46	(1)
Internet Resources for Business Law	47	(2)
Ethics in Practice	47	(2)
Part 2: Contracts	49	(100)
Nature and Classes of Contracts	50	(9)
Requirements for a Contract	51	(1)
Contracts Contrasted with Agreements	51	(1)
Classification of Contracts	52	(4)
Questions	56	(1)
Case Problems	57	(1)
Internet Resources for Business Law	58	(1)
Offer and Acceptance	59	(10)
Requirements of a Valid Offer	60	(1)
Invitations to Make Offers	61	(2)
Duration of the Offer	63	(1)
The Acceptance	64	(1)
Counteroffers	65	(1)
Inquiries Not Constituting Rejection	66	(1)
Manner of Acceptance	66	(1)
Questions	67	(1)
Case Problems	67	(1)
Internet Resources for Business Law	68	(1)
Capacity to Contract	69	(10)
Minors	70	(4)
Mentally Incompetent Persons	74	(1)
Intoxicated Persons	74	(1)
Convicts	75	(1)
Questions	76	(1)
Case Problems	76	(2)
Internet Resources for Business Law	78	(1)
Consideration	79	(9)
Nature of Consideration	79	(1)
Adequacy of Consideration	80	(4)
Exceptions to Requirement of Consideration	84	(1)
Questions	85	(1)
Case Problems	86	(1)
Internet Resources for Business Law	87	(1)
Defective Agreements	88	(14)
Mistakes	88	(1)
Mistakes that Invalidate Contracts	89	(2)
Mistakes that Do Not Invalidate Contracts	91	(2)
Fraud	93	(2)
Duress	95	(2)
Undue Influence	97	(1)
Remedies for Breach of Contract Because of Fraud, Duress, or Undue Influence	97	(1)
Questions	98	(1)
Case Problems	98	(3)
Internet Resources for Business Law	101	(1)
Illegal Agreements	102	(11)
Contracts Prohibited by Statute	103	(5)
Contracts Contrary to Public Policy	108	(1)
Questions	109	(1)
Case Problems	110	(2)
Internet Resources for Business Law	112	(1)
Written Contracts	113	(10)
Reasons for Written Contracts	113	(1)
Statute of Frauds	114	(4)
Note or Memorandum	118	(1)
Other Written Contracts	118	(1)
Parol Evidence Rule	119	(1)
Questions	119	(1)
Case Problems	120	(2)
Internet Resources for Business Law	122	(1)
Third Parties and Contracts	123	(10)
Involving a Third Party	123	(4)
Technicalities of an Assignment	127	(2)
Joint, Several and Joint and Several Contracts	129	(2)
Questions	131	(1)
Case Problems	131	(1)
Internet Resources for Business Law	132	(1)
Termination of Contracts	133	(16)
Methods by Which Contracts Are Terminated	133	(6)
Remedies for Breach of Contract	139	(3)
Malpractice	142	(1)
Questions	142	(1)
Case Problems	143	(2)
Internet Resources for Business Law	145	(4)
Ethics in Practice	145	(1)
Summary Cases	146	(3)
Part 3: Personal Property	149	(32)
Nature of Personal Property	150	(13)
Personal Property	150	(2)
Methods of Acquiring Personal Property	152	(3)
Bailments	155	(1)
The Bailment Agreement	155	(1)
Delivery and Acceptance	156	(1)
Return of the Bailed Property	156	(1)
Types of Bailments	157	(2)
Conversion of Bailed Property by the Bailee	159	(1)
Questions	159	(1)
Case Problems	160	(2)
Internet Resources for Business Law	162	(1)
Special Bailments	163	(18)
Carriers	163	(1)
Liability of Common Carriers of Goods	164	(8)
Hotelkeepers	172	(2)
Questions	174	(1)
Case Problems	175	(2)
Internet Resources for Business Law	177	(4)
Ethics in Practice	177	(1)
Summary Cases	178	(3)
Part 4: Sales	181	(56)
Sales of Personal Property	182	(9)
Property Subject to Sale	183	(1)
Sales and Contracts to Sell	183	(1)
Sales of Goods and Contracts for Services	184	(1)
Price	184	(1)
Existing Goods	185	(1)
Future Goods	186	(1)
Bill of Sale	186	(1)
Illegal Sales	187	(1)
International Sales Contracts	188	(1)
Questions	188	(1)
Case Problems	188	(2)
Internet Resources for Business Law	190	(1)
Formalities of a Sale	191	(8)
Multiple Purchases and the Statute of Frauds	192	(1)
When Proof of Oral Contract Is Permitted	192	(3)
Nature of the Writing Required	195	(1)
Questions	196	(1)
Case Problems	196	(2)
Internet Resources for Business Law	198	(1)
Transfer of Title and Risk in Sales Contracts	199	(14)
Potential Problems in Sales Transactions	200	(1)
Classification of Sales Transactions	200	(1)
Ownership, Insurable Interests, and Risk of Loss in Particular Transactions	201	(3)
Damage to or Destruction of Goods	204	(2)
Sales on Approval and with Right to Return	206	(1)
Special Rules on Transfer of Title	207	(3)
Questions	210	(1)
Case Problems	210	(2)
Internet Resources for Business Law	212	(1)
Warranties, Product Liability, and Consumer Protection	213	(24)
Express Warranties	214	(1)
Implied Warranties	215	(1)
Full or Limited Warranties	215	(1)
Warranties of All Sellers	215	(3)
Additional Warranties of Merchant	218	(1)
Warranties in Particular Sales	219	(1)
Exclusion and Surrender of Warranties	220	(2)
Product Liability	222	(2)
Identity of Parties	224	(1)
Nature and Cause of Harm	225	(1)
Consumer Protection	225	(6)
Questions	231	(1)
Case Problems	231	(3)
Internet Resources for Business Law	234	(3)
Ethics in Practice	234	(1)
Summary Cases	235	(2)
Part 5: Negotiable Instruments	237	(70)
Nature of Negotiable Instruments	238	(11)
History and Development	238	(1)
Negotiation	239	(1)
Order Paper and Bearer Paper	239	(1)
Classification of Commercial Paper	240	(1)
Parties to Negotiable Instruments	240	(3)
Negotiation and Assignment	243	(1)
Credit and Collection	244	(1)
Electronic Fund Transfers	244	(2)
Questions	246	(1)
Case Problems	246	(2)
Internet Resources for Business Law	248	(1)
Essentials of Negotiability	249	(9)
Requirements	249	(5)
Issue and Delivery	254	(1)
Delivery of an Incomplete Instrument	254	(1)
Date and Place	255	(1)
Questions	256	(1)
Case Problems	256	(1)
Internet Resources for Business Law	257	(1)
Promissory Notes and Drafts	258	(14)
Notes	259	(2)
Drafts	261	(2)
Checks	263	(6)
Questions	269	(1)
Case Problems	269	(2)
Internet Resources for Business Law	271	(1)
Negotiation and Discharge	272	(9)
Place of Indorsement	273	(1)
Multiple Payees	274	(1)
Kinds of Indorsements	275	(2)
Liability of Indorser	277	(1)
Obligation of Negotiator of Bearer Paper	277	(1)
Discharge of the Obligation	278	(1)
Questions	278	(1)
Case Problems	279	(1)
Internet Resources for Business Law	280	(1)
Liabilities of Parties and Holders in Due Course	281	(15)
Liability for the Face of the Paper	282	(5)
Liability for Warranties	287	(1)
Holders in Due Course	288	(2)
Holder Through a Holder in Due Course	290	(1)
Holders of Consumer Paper	290	(2)
Questions	292	(1)
Case Problems	292	(3)
Internet Resources for Business Law	295	(1)
Defenses	296	(11)
Classification of Defenses	297	(4)
Miscellaneous Matters	301	(1)
Questions	302	(1)
Case Problems	302	(1)
Internet Resources for Business Law	303	(4)
Ethics in Practice	303	(1)
Summary Cases	304	(3)
Part 6: Agency and Employment	307	(66)
Nature and Creation of an Agency	308	(12)
Importance of Agency	309	(1)
What Powers May Be Delegated to an Agent?	309	(1)
Who May Appoint an Agent?	309	(1)
Who May Act as an Agent?	310	(1)
Classification of Agents	310	(1)
Additional Types of Agents	311	(1)
Extent of Authority	312	(1)
Creation of an Agency	313	(2)
Other Employment Relationships	315	(1)
Questions	316	(1)
Case Problems	316	(3)
Internet Resources for Business Law	319	(1)
Operation and Termination of an Agency	320	(11)
Agent's Duties to Principal	321	(2)
Principal's Duties to Agent	323	(1)
Agent's Liabilities to Third Parties	324	(1)
Principal's Duties and Liabilities to Third Parties	325	(1)
Termination of an Agency by Acts of the Parties	325	(2)
Termination by Operation of Law	327	(1)
Notice of Termination	328	(1)
Questions	328	(1)
Case Problems	329	(1)
Internet Resources for Business Law	330	(1)
Employer and Employee Relations	331	(12)
Creation of Employer and Employee Relationship	332	(1)
Duties and Liabilities of the Employer	333	(1)
Common-Law Defenses of the Employer	334	(1)
Statutory Modification of Common Law	335	(1)
Liabilities of the Employer to Third Parties	336	(1)
Employee's Duties to the Employer	337	(1)
Federal Social Security Act	338	(2)
Questions	340	(1)
Case Problems	340	(2)
Internet Resources for Business Law	342	(1)
Employees' Rights	343	(16)
Discrimination	344	(6)
Testing	350	(2)
Protections	352	(2)
Other Sources of Rights	354	(1)
Questions	354	(1)
Case Problems	355	(3)
Internet Resources for Business Law	358	(1)
Labor Legislation	359	(14)
The Fair Labor Standards Act	360	(1)
The National Labor Relations Act and the Labor Management Relations Act	361	(3)
The Labor-Management Reporting and Disclosure Act	364	(2)
Questions	366	(1)
Case Problems	366	(2)
Internet Resources for Business Law	368	(5)
Ethics in Practice	368	(1)
Summary Cases	369	(4)
Part 7: Business Organization	373	(72)
Introduction to Business Organization	374	(12)
Sole Proprietorship	374	(3)
Partnership	377	(4)
Corporations	381	(2)
Questions	383	(1)
Case Problems	383	(2)
Internet Resources for Business Law	385	(1)
Creation and Operation of a Partnership	386	(13)
Partnership Agreements	386	(2)
Partnership Firm Name	388	(1)
Partner's Interest in Partnership Property	389	(1)
Duties of Partners	389	(2)
Rights of Partners	391	(2)
Liabilities of Partners	393	(1)
Nature of Partnership Liabilities	394	(1)
Authority of a Partner	395	(1)
Sharing of Profits and Losses	396	(1)
Questions	396	(1)
Case Problems	396	(2)
Internet Resources for Business Law	398	(1)
Dissolution of a Partnership	399	(10)
Dissolution by Acts of the Parties	400	(1)
Dissolution by Court Decree	401	(1)
Dissolution by Operation of Law	402	(2)
Effects of Dissolution	404	(1)
Notice of Dissolution	404	(1)
Distribution of Assets	405	(1)
Questions	405	(1)
Case Problems	405	(3)
Internet Resources for Business Law	408	(1)
Nature of a Corporation	409	(9)
Classification by Purpose	409	(2)
Classification by State of Incorporation	411	(1)
Formation of a Corporation	411	(1)
Liability on Promoter's Contracts and Expenses	412	(1)
Issuance of Stock	412	(1)
Articles of Incorporation	413	(1)
Powers of a Corporation	413	(2)
Ultra Vires Contracts	415	(1)
Questions	415	(1)
Case Problems	416	(1)
Internet Resources for Business Law	417	(1)
Ownership of a Corporation	418	(11)
Ownership	419	(1)
Stock Certificate	419	(1)
Classes of Stock	419	(2)
Kinds of Stock	421	(2)
Transfer of Stock	423	(1)
Stock Options	423	(1)
Dividends	423	(1)
Laws Regulating Stock Sales	424	(2)
Questions	426	(1)
Case Problems	427	(1)
Internet Resources for Business Law	428	(1)
Management and Dissolution of a Corporation	429	(16)
Stockholders' Meetings	430	(4)
Rights of Stockholders	434	(1)
Directors	434	(1)
Officers	435	(1)
Liabilities of Directors and Officers	436	(2)
Corporate Combinations	438	(1)
Dissolution	438	(1)
Questions	439	(1)
Case Problems	439	(2)
Internet Resources for Business Law	441	(4)
Ethics in Practice	441	(1)
Summary Cases	442	(3)
Part 8: Risk-Bearing Devices	445	(50)
Principles of Insurance	446	(10)
Terms Used in Insurance	447	(1)
Types of Insurance Companies	448	(1)
Who May Be Insured	449	(1)
Some Legal Aspects of the Insurance Contract	450	(3)
Questions	453	(1)
Case Problems	453	(2)
Internet Resources for Business Law	455	(1)
Types of Insurance	456	(15)
Life Insurance	456	(4)
Property Insurance	460	(2)
Description of the Property	462	(1)
Coinsurance	462	(1)
Repairs and Replacements	463	(1)
Defense and Notice of Lawsuits	463	(1)
Automobile Insurance	464	(4)
Questions	468	(1)
Case Problems	469	(1)
Internet Resources for Business Law	470	(1)
Security Devices	471	(11)
Guaranty and Suretyship	471	(5)
Secured Credit Sales	476	(2)
Effect of Default	478	(1)
Questions	479	(1)
Case Problems	480	(1)
Internet Resources for Business Law	481	(1)
Bankruptcy	482	(13)
Who Can File a Petition of Bankruptcy?	483	(1)
Kinds of Debtors	483	(1)
Procedure in a Liquidation Case	484	(1)
Exempt Property	484	(1)
Included Property	485	(1)
Duties of the Debtor	485	(1)
Proof of Claims	485	(1)
Reclamations	485	(1)
Types of Claims	486	(1)
Priority of Claims	486	(1)
Discharge of Indebtedness	487	(1)
Debts Not Discharged	487	(1)
Nonliquidation Plans	487	(1)
Questions	488	(1)
Case Problems	489	(2)
Internet Resources for Business Law	491	(4)
Ethics in Practice	491	(1)
Summary Cases	492	(3)
Part 9: Real Property	495	(66)
Nature of Real Property	496	(11)
Distinguishing Real Property	496	(2)
Multiple Ownership	498	(3)
Estates in Property	501	(1)
Other Interests in Real Property	502	(1)
Acquiring Real Property	502	(2)
Questions	504	(1)
Case Problems	504	(2)
Internet Resources for Business Law	506	(1)
Transfer of Real Property	507	(9)
Deeds	507	(3)
Provisions in a Deed	510	(2)
Delivery	512	(1)
Recording	512	(1)
Abstract of Title	513	(1)
Title Insurance	513	(1)
Questions	513	(1)
Case Problems	514	(1)
Internet Resources for Business Law	515	(1)
Real Estate Mortgages	516	(12)
The Mortgage Contract	517	(1)
Recording	517	(2)
Duties of the Mortgagor	519	(1)
Rights of the Mortgagor	520	(2)
Foreclosure	522	(1)
Assignment of the Mortgage	523	(1)
Deed of Trust	523	(1)
Mortgage Insurance	524	(1)
Questions	524	(1)
Case Problems	525	(2)
Internet Resources for Business Law	527	(1)
Landlord and Tenant	528	(14)
The Lease	529	(1)
Types of Tenancies	529	(4)
Rights of the Tenant	533	(1)
Duties of the Tenant	534	(1)
Rights of the Landlord	535	(1)
Duties of the Landlord	536	(1)
Termination of the Lease	537	(2)
Improvements	539	(1)
Discrimination	539	(1)
Questions	539	(1)
Case Problems	540	(1)
Internet Resources for Business Law	541	(1)
Wills, Inheritances, and Trusts	542	(19)
Limitations on Disposition of Property	543	(1)
Terms Common to Wills	544	(1)
Distinguishing Characteristics of a Will	544	(1)
Formalities	544	(1)
Special Types of Wills	545	(1)
The Wording of a Will	546	(1)
Revocation	546	(1)
Codicils	547	(1)
Abatement and Ademption	548	(1)
Probate of a Will	549	(1)
When Administration is Unnecessary	550	(1)
Title by Descent	550	(1)
Per Capita and Per Stirpes Distribution	550	(1)
Administrators	551	(1)
Trusts	552	(3)
Questions	555	(1)
Case Problems	556	(2)
Internet Resources for Business Law	558	(3)
Ethics in Practice	558	(1)
Summary Cases	559	(2)
Glossary	561	(12)
Index	573