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Smith and Robersonís Business Law,9780324001952
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Smith and Robersonís Business Law



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South-Western College/West
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This is the 11th edition with a publication date of 7/21/1999.

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This updated classic features a comprehensive presentation of business law topics. Also topics that reflect AACSB are covered, including all topics on the business law portion of the CPA exam. It's uniquely-located end-of-chapter cases give edited facts and decisions to preserve the language of the court. In addition text and cases have been updated throughout.

Author Biography

Richard A. Mann is professor of Business Law at the Kenan-Flagler School of Business Administration, University of North Carolina at Chapel Hill Barry S. Roberts is Professor of Business Law at the Kenan-Flagler School of Business Administration, University of North Carolina at Chapel Hill

Table of Contents

Prefacep. xv
Table of Casesp. xviii
Table of Illustrationsp. xxxiii
The Legal Environment of Businessp. 1
Introduction to Lawp. 2
Nature of Lawp. 2
Classification of Lawp. 4
Sources of Lawp. 5
Legal Analysisp. 9
Business Ethics and the Social Responsibility of Businessp. 14
Law versus Ethicsp. 15
Ethical Theoriesp. 15
Ethical Standards in Businessp. 18
Ethical Responsibilities of Businessp. 19
Legal Processp. 31
The Court Systemp. 31
The Federal Courtsp. 31
State Courtsp. 33
Jurisdictionp. 34
Subject Matter Jurisdictionp. 34
Jurisdiction over the Partiesp. 36
Civil Dispute Resolutionp. 38
Civil Procedurep. 38
Alternative Dispute Resolutionp. 42
Constitutional Lawp. 58
Basic Principles of Constitutional Lawp. 58
Powers of Governmentp. 60
Limitations on Governmentp. 63
Administrative Lawp. 83
Operation of Administrative Agenciesp. 84
Limits on Administrative Agenciesp. 86
Criminal Lawp. 98
Nature of Crimesp. 98
White-Collar Crimep. 101
Crimes against Businessp. 102
Defenses to Crimesp. 104
Criminal Procedurep. 104
Intentional Tortsp. 115
Intentp. 116
Harm to the Personp. 116
Harm to the Right of Dignityp. 118
Harm to Propertyp. 120
Harm to Economic Interestsp. 121
Defenses to Intentional Tortsp. 123
Negligence and Strict Liabilityp. 137
Negligencep. 137
Breach of Duty of Carep. 137
Proximate Causep. 142
Injuryp. 144
Defenses to Negligencep. 144
Strict Liabilityp. 145
Activities Giving Rise to Strict Liabilityp. 145
Defenses to Strict Liabilityp. 147
Contractsp. 161
Introduction to Contractsp. 162
Development of the Law of Contractsp. 162
Definition of a Contractp. 163
Requirements of a Contractp. 164
Classification of Contractsp. 165
Promissory Estoppelp. 167
Quasi Contractsp. 167
Mutual Assentp. 179
Offerp. 179
Essentials of an Offerp. 180
Duration of Offersp. 182
Acceptancep. 185
Communication of Acceptancep. 185
Variant Acceptancesp. 187
Conduct Invalidating Assentp. 200
Duressp. 200
Undue Influencep. 201
Fraudp. 201
Nonfraudulent Misrepresentationp. 204
Mistakep. 204
Considerationp. 220
Legal Sufficiencyp. 220
Bargained-For Exchangep. 224
Contracts without Considerationp. 225
Illegal Bargainsp. 238
Violations of Statutesp. 238
Violations of Public Policyp. 240
Effect of Illegalityp. 242
Contractual Capacityp. 253
Minorsp. 253
Incompetent Personsp. 255
Intoxicated Personsp. 256
Contracts in Writingp. 266
Statute of Fraudsp. 266
Contracts within the Statute of Fraudsp. 266
Compliance with the Statute of Fraudsp. 271
Effect of Noncompliancep. 272
Parol Evidence Rulep. 273
The Rulep. 273
Situations to Which the Rule Does Not Applyp. 273
Supplemental Evidencep. 274
Interpretation of Contractsp. 274
Third Parties to Contractsp. 288
Assignment of Rightsp. 288
Delegation of Dutiesp. 291
Third-Party Beneficiary Contractsp. 293
Performance, Breach, and Dischargep. 306
Conditionsp. 306
Discharge by Performancep. 308
Discharge by Breachp. 308
Discharge by Agreement of the Partiesp. 310
Discharge by Operation of Lawp. 310
Remediesp. 326
Interests Protected by Contract Remediesp. 326
Monetary Damagesp. 326
Remedies in Equityp. 330
Restitutionp. 331
Limitations on Remediesp. 332
Agencyp. 345
Relationship of Principal and Agentp. 346
Nature of Agencyp. 346
Creation of Agencyp. 347
Duties of Agent to Principalp. 348
Duties of Principal to Agentp. 350
Termination of Agencyp. 352
Relationship with Third Partiesp. 368
Relationship of Principal and Third Personsp. 368
Contract Liability of the Principalp. 368
Tort Liability of the Principalp. 374
Criminal Liability of the Principalp. 377
Relationship of Agent and Third Personsp. 377
Contract Liability of Agentp. 377
Tort Liability of Agentp. 379
Rights of Agent against Third Personp. 379
Salesp. 393
Introduction to Sales and Leasesp. 394
Nature of Sales and Leasesp. 394
Definitionsp. 395
Fundamental Principles of Article 2 and Article 2Ap. 396
Formation of Sales and Lease Contractsp. 399
Manifestation of Mutual Assentp. 399
Considerationp. 402
Form of the Contractp. 402
Performancep. 418
Performance by the Sellerp. 418
Performance by the Buyerp. 423
Obligations of Both Partiesp. 425
Transfer of Title and Risk of Lossp. 441
Transfer of Titlep. 441
Risk of Lossp. 445
Sales of Goods in Bulkp. 448
Products Liability: Warranties and Strict Liability in Tortp. 463
Warrantiesp. 463
Types of Warrantiesp. 463
Obstacles to Warranty Actionsp. 466
Strict Liability in Tortp. 470
Requirements of Strict Liabilityp. 470
Obstacles to Recoveryp. 473
Remediesp. 491
Remedies of the Sellerp. 491
Remedies of the Buyerp. 495
Contractual Provisions Affecting Remediesp. 500
Negotiable Instrumentsp. 515
Form and Contentp. 516
Negotiabilityp. 516
Types of Negotiable Instrumentsp. 518
Formal Requirements of Negotiable Instrumentsp. 519
Transferp. 533
Negotiationp. 533
Indorsementsp. 536
Holder in Due Coursep. 549
Requirements of a Holder in Due Coursep. 549
Holder in Due Course Statusp. 554
The Preferred Position of a Holder in Due Coursep. 555
Limitations upon Holder in Due Course Rightsp. 559
Liability of Partiesp. 571
Contractual Liabilityp. 571
Signaturep. 571
Liability of Primary Partiesp. 572
Liability of Secondary Partiesp. 573
Termination of Liabilityp. 577
Liability Based on Warrantyp. 577
Warranties on Transferp. 578
Warranties on Presentmentp. 579
Bank Deposits, Collections, and Funds Transfersp. 590
Bank Deposits and Collectionsp. 590
Collection of Itemsp. 590
Relationship between Payor Bank and Its Customerp. 594
Electronic Funds Transfersp. 596
Types of Electronic Funds Transfersp. 597
Consumer Funds Transfersp. 597
Wholesale Funds Transfersp. 599
Unincorporated Business Associationsp. 613
Formation and Dissolution of General Partnershipsp. 614
Choosing a Business Associationp. 614
Factors Affecting the Choicep. 614
Forms of Business Associationsp. 616
Formation of General Partnershipsp. 617
Nature of Partnershipp. 618
Formation of a Partnershipp. 619
Dissolution of General Partnershipsp. 625
Dissolutionp. 626
Winding Upp. 628
Continuation after Dissolutionp. 630
Operation of General Partnershipsp. 645
Relationships among Partnersp. 645
Duties among Partnersp. 645
Rights among Partnersp. 647
Relationship between Partners and Third Partiesp. 649
Contracts of Partnershipp. 649
Torts and Crimes of Partnershipp. 651
Admissions of and Notice to a Partnerp. 652
Liability of Incoming Partnerp. 652
Limited Partnerships and Limited Liability Companiesp. 664
Limited Partnershipsp. 664
Limited Liability Companiesp. 670
Other Types of Unincorporated Business Associationsp. 673
Corporationsp. 685
Nature, Formation, and Powersp. 686
Nature of Corporationsp. 686
Corporate Attributesp. 687
Classification of Corporationsp. 688
Formation of a Corporationp. 690
Organizing the Corporationp. 690
Formalities of Incorporationp. 691
Recognition or Disregard of Corporatenessp. 693
Defective Incorporationp. 694
Piercing the Corporate Veilp. 695
Corporate Powersp. 697
Sources of Corporate Powersp. 697
Ultra Vires Actsp. 697
Liability for Torts and Crimesp. 698
Financial Structurep. 714
Debt Securitiesp. 714
Authority to Issue Debt Securitiesp. 715
Types of Debt Securitiesp. 715
Equity Securitiesp. 715
Issuance of Sharesp. 716
Classes of Sharesp. 719
Dividends and Other Distributionsp. 720
Types of Dividends and Other Distributionsp. 721
Legal Restrictions on Dividends and Other Distributionsp. 722
Declaration and Payment of Distributionsp. 724
Liability for Improper Dividends and Distributionsp. 724
Management Structurep. 737
Corporate Governancep. 737
Role of Shareholdersp. 738
Voting Rights of Shareholdersp. 738
Enforcement Rights of Shareholdersp. 743
Role of Directors and Officersp. 744
Function of the Board of Directorsp. 745
Election and Tenure of Directorsp. 746
Exercise of Directors' Functionsp. 746
Officersp. 748
Duties of Directors and Officersp. 748
Fundamental Changesp. 768
Charter Amendmentsp. 768
Combinationsp. 769
Dissolutionp. 772
Debtor and Creditor Relationsp. 785
Secured Transactions and Suretyshipp. 786
Secured Transactions in Personal Propertyp. 786
Essentials of Secured Transactionsp. 786
Classification of Collateralp. 787
Attachmentp. 788
Perfectionp. 792
Priorities among Competing Interestsp. 796
Defaultp. 800
Suretyshipp. 802
Nature and Formationp. 802
Rights of Suretyp. 804
Defenses of Surety and Principal Debtorp. 805
Bankruptcyp. 822
Federal Bankruptcy Lawp. 822
Case Administration--Chapter 3p. 823
Creditors, the Debtor, and the Estate--Chapter 5p. 824
Liquidation--Chapter 7p. 829
Reorganization--Chapter 11p. 831
Adjustment of Debts of a Family Farmer--Chapter 12p. 833
Adjustment of Debts of Individuals--Chapter 13p. 834
Creditors' Rights and Debtor's Relief Outside of Bankruptcyp. 835
Creditors' Rightsp. 836
Debtor's Reliefp. 836
Regulation of Businessp. 849
Protection of Intellectual Propertyp. 850
Trade Secretsp. 850
Trade Symbolsp. 851
Trade Namesp. 854
Copyrightsp. 854
Patentsp. 856
Antitrustp. 871
Sherman Actp. 871
Clayton Actp. 876
Robinson-Patman Actp. 878
Federal Trade Commission Actp. 879
Consumer Protectionp. 894
State and Federal Consumer Protection Agenciesp. 894
Consumer Purchasesp. 897
Consumer Credit Transactionsp. 900
Creditors' Remediesp. 905
Employment Lawp. 917
Labor Lawp. 917
Employment Discrimination Lawp. 919
Employee Protectionp. 924
Securities Regulationp. 947
Securities Act of 1933p. 948
Definition of a Securityp. 948
Registration of Securitiesp. 948
Exempt Securitiesp. 950
Exempt Transactions for Issuersp. 950
Exempt Transactions for Non-Issuersp. 953
Liabilityp. 954
Securities Exchange Act of 1934p. 956
Disclosurep. 957
Liabilityp. 960
Accountants' Legal Liabilityp. 979
Common Lawp. 979
Federal Securities Lawp. 982
Environmental Lawp. 995
Common Law Actions for Environmental Damagep. 995
Nuisancep. 995
Trespass to Landp. 996
Strict Liability for Abnormally Dangerous Activitiesp. 996
Problems Common to Private Causes of Actionp. 996
Federal Regulation of the Environmentp. 996
The National Environmental Policy Actp. 997
The Clean Air Actp. 998
The Clean Water Actp. 1000
Hazardous Substancesp. 1001
International Protection of the Ozone Layerp. 1004
International Business Lawp. 1016
The International Environmentp. 1016
Jurisdiction over Actions of Foreign Governmentsp. 1018
Transacting Business Abroadp. 1019
Forms of Multinational Enterprisesp. 1022
Propertyp. 1039
Introduction to Property and Property Insurancep. 1040
Introduction to Propertyp. 1040
Kinds of Propertyp. 1040
Incidents of Property Ownershipp. 1042
Personal Propertyp. 1042
Transfer of Titlep. 1042
Concurrent Ownershipp. 1044
Property Insurancep. 1044
Fire and Property Insurancep. 1045
Nature of Insurance Contractsp. 1046
Bailments and Documents of Titlep. 1061
Bailmentsp. 1061
Essential Elements of a Bailmentp. 1061
Rights and Duties of Bailor and Baileep. 1062
Special Types of Bailmentsp. 1064
Documents of Titlep. 1066
Types of Documents of Titlep. 1066
Negotiability of Documents of Titlep. 1067
Interests in Real Propertyp. 1081
Freehold Estatesp. 1081
Leasehold Estatesp. 1083
Concurrent Ownershipp. 1087
Nonpossessory Interestsp. 1089
Transfer and Control of Real Propertyp. 1102
Transfer of Real Propertyp. 1102
Contract of Salep. 1102
Deedsp. 1103
Secured Transactionsp. 1105
Adverse Possessionp. 1107
Public and Private Controlsp. 1107
Zoningp. 1107
Eminent Domainp. 1108
Private Restrictions upon Land Usep. 1109
Trusts and Decedents' Estatesp. 1122
Trustsp. 1122
Types of Trustsp. 1122
Creation of Trustsp. 1124
Termination of a Trustp. 1125
Decedents' Estatesp. 1126
Willsp. 1126
Intestate Successionp. 1130
Administration of Estatesp. 1130
Appendicesp. 1
The Constitution of the United States of Americap. 2
Uniform Commercial Codep. 10
Uniform Partnership Actp. 113
Revised Model Business Corporation Actp. 120
Dictionary of Legal Termsp. 156
Indexp. 181
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