,Chapter 1 - An Introduction to Dynamic Business Law
CHAPTER OVERVIEW
Chapter One lays the foundation for the textbook. Make sure you look on the publisher‘s web
site for information about how business law intersects with the six functional areas of business. The
authors encourage students to ―connect to the core,‖ and remember the ways in which law intersects
with other areas of study, including corporate management, production and transportation,
marketing, research and development, accounting and finance, and human resource management.
This manual supports the ―connecting to the core‖ theme by giving ideas for assignments that
encourage students to integrate their business law knowledge with knowledge they are acquiring
from their other business classes. The manual also encourages professors to improve their teaching
skills. Finally, the manual suggests teaching ideas for both beginning and experienced teachers.
LEARNING OBJECTIVES
After reading this chapter, students will be able to:
1-1 Define business law.
1-2 Relate the functional areas of business to the relevant areas of
business law1- 3 Recall the purposes of law.
1-4 Distinguish among types of law.
1-5 Differentiate between sources of the law.
1-6 Identify the various schools of jurisprudence.
LECTURE NOTES WITH DEFINITIONS
In the news… Teaching tip: For each chapter, consider asking students to relate current news
items to material from the chapter.
In addition to ideas students come up with on their own, consider weaving in
news stories provided by the McGraw Hill.
For Chapter One, McGraw Hill offers the following stories:
―Smoking Ban: Tobacco Tyrants: Gone Too Far? Many States Are Putting
Stronger Restrictions on Where You Can Smoke‖
Have states gone too far in banning smoking?
, Whose interests are state legislatures looking out for in
banning smoking?
―College Officer Dealings With Lenders Scrutinized.‖
Should regulators take a more careful look at college officers?
Why created changes in the ways college officers interact with
1-1 Define lenders?
Business law consists of the enforceable rules of conduct that
business law. govern commercial relationships.
1-2 Relate the Business law applies to the six functional areas of business:
functional areas Corporate management
of business to Production and transportation
the relevant
areas of Marketing
business law. Research and development
Accounting and finance
Human resource management
1-3 Recall the Providing order
purposes of Serving as an alternative to fighting
law. Facilitating a sense that change is possible
Encouraging social justice
Guaranteeing personal freedoms
Serving as a moral guide
1-4 Distinguish One way to classify law:
among types of Private law involves disputes between private individuals or groups.
law. Public law involves disputes between private individuals or groups
and their government.
A second way to classify law:
Civil law involves the rights and responsibilities involved in
relationshipsbetween persons and between persons and their
government.
Criminal law involves incidents in which someone commits an act
against the public as a unit.
Teaching tip: Ask students to give an example of a fact situation that
1-5 Differentiate led to both
Sources criminallaw
of business andare:
civil lawsuits, e.g., the O.J. Simpson trials.
between sources 1. Constitutions
of the law. Constitutional law refers to the general limits and powers of
governments as stated in their written constitutions.
2. Statutes or legislative actions
3. Cases
Case law (or common law) is the collection of legal interpretations
made by judges.
Stare decisis means courts are relying on precedent.
Teaching tip: The first time your students encounter an appellate case in
the
, readings, show them what stare decisis looks like in the context of a real
case.
4. Administrative law
Administrative law is the collection of rules and decisions
made by administrative agencies.
5. Treaties
A treaty is a binding agreement between two states or
international organizations.
6. Executive orders
An executive order is a directive that comes from the president or
1-6 Identify the stategovernor.
Schools of jurisprudence are common guides to legal interpretation.
various schools Natural law—certain ethical laws and principles are morally right
of and
jurisprudence. ―above‖ the laws devised by humans.
Legal Positivism—assumes the legitimate political authority
deserves our obedience when it issues a rule.
Identification with the Vulnerable—emphasis on fairness and
looking out for those with the least power.
Historical School/Tradition—emphasis on the use of stare decisis.
Legal Realism—judges consider social and economic conditions.
Cost-benefit Analysis—make calculations to maximize the
ratio of benefits to costs.
Teaching tip: Consider using ―The Case of the Speluncean
Global and At this point
Explorers (linkin below)
the textbook,
to makestudents should
the schools merely havecome
of jurisprudence an awareness
alive.
Comparative that globalization has affected the scope of business law. Consequently,
Law we highlight the definitions to the following key terms that will come up
later in the book:
Trade, i.e. the exchange of goods or services, on a global scale
has ledto the creation of trade agreements that serve as de facto
rules governing the global business environment.
Comparative law—the field of law that studies and compares laws
in different countries.
Appendix on Critical thinking includes the application of evaluative standards to
Critical Thinking assess the quality or the reasoning being offered to support the conclusion.
and Business Critical thinkers will follow this pattern of careful thinking when they read
an argument:
1. Find the facts.
2. Look for the issue.
3. Identify the judge‘s reasons and conclusion.
4. Locate in the decision the rules of law that govern the judge‘s reasoning.
5. Apply critical thinking to the reasoning. Evaluate the reasoning.
Look for potential ambiguity.
Consider the strength of analogies.
CHAPTER OVERVIEW
Chapter One lays the foundation for the textbook. Make sure you look on the publisher‘s web
site for information about how business law intersects with the six functional areas of business. The
authors encourage students to ―connect to the core,‖ and remember the ways in which law intersects
with other areas of study, including corporate management, production and transportation,
marketing, research and development, accounting and finance, and human resource management.
This manual supports the ―connecting to the core‖ theme by giving ideas for assignments that
encourage students to integrate their business law knowledge with knowledge they are acquiring
from their other business classes. The manual also encourages professors to improve their teaching
skills. Finally, the manual suggests teaching ideas for both beginning and experienced teachers.
LEARNING OBJECTIVES
After reading this chapter, students will be able to:
1-1 Define business law.
1-2 Relate the functional areas of business to the relevant areas of
business law1- 3 Recall the purposes of law.
1-4 Distinguish among types of law.
1-5 Differentiate between sources of the law.
1-6 Identify the various schools of jurisprudence.
LECTURE NOTES WITH DEFINITIONS
In the news… Teaching tip: For each chapter, consider asking students to relate current news
items to material from the chapter.
In addition to ideas students come up with on their own, consider weaving in
news stories provided by the McGraw Hill.
For Chapter One, McGraw Hill offers the following stories:
―Smoking Ban: Tobacco Tyrants: Gone Too Far? Many States Are Putting
Stronger Restrictions on Where You Can Smoke‖
Have states gone too far in banning smoking?
, Whose interests are state legislatures looking out for in
banning smoking?
―College Officer Dealings With Lenders Scrutinized.‖
Should regulators take a more careful look at college officers?
Why created changes in the ways college officers interact with
1-1 Define lenders?
Business law consists of the enforceable rules of conduct that
business law. govern commercial relationships.
1-2 Relate the Business law applies to the six functional areas of business:
functional areas Corporate management
of business to Production and transportation
the relevant
areas of Marketing
business law. Research and development
Accounting and finance
Human resource management
1-3 Recall the Providing order
purposes of Serving as an alternative to fighting
law. Facilitating a sense that change is possible
Encouraging social justice
Guaranteeing personal freedoms
Serving as a moral guide
1-4 Distinguish One way to classify law:
among types of Private law involves disputes between private individuals or groups.
law. Public law involves disputes between private individuals or groups
and their government.
A second way to classify law:
Civil law involves the rights and responsibilities involved in
relationshipsbetween persons and between persons and their
government.
Criminal law involves incidents in which someone commits an act
against the public as a unit.
Teaching tip: Ask students to give an example of a fact situation that
1-5 Differentiate led to both
Sources criminallaw
of business andare:
civil lawsuits, e.g., the O.J. Simpson trials.
between sources 1. Constitutions
of the law. Constitutional law refers to the general limits and powers of
governments as stated in their written constitutions.
2. Statutes or legislative actions
3. Cases
Case law (or common law) is the collection of legal interpretations
made by judges.
Stare decisis means courts are relying on precedent.
Teaching tip: The first time your students encounter an appellate case in
the
, readings, show them what stare decisis looks like in the context of a real
case.
4. Administrative law
Administrative law is the collection of rules and decisions
made by administrative agencies.
5. Treaties
A treaty is a binding agreement between two states or
international organizations.
6. Executive orders
An executive order is a directive that comes from the president or
1-6 Identify the stategovernor.
Schools of jurisprudence are common guides to legal interpretation.
various schools Natural law—certain ethical laws and principles are morally right
of and
jurisprudence. ―above‖ the laws devised by humans.
Legal Positivism—assumes the legitimate political authority
deserves our obedience when it issues a rule.
Identification with the Vulnerable—emphasis on fairness and
looking out for those with the least power.
Historical School/Tradition—emphasis on the use of stare decisis.
Legal Realism—judges consider social and economic conditions.
Cost-benefit Analysis—make calculations to maximize the
ratio of benefits to costs.
Teaching tip: Consider using ―The Case of the Speluncean
Global and At this point
Explorers (linkin below)
the textbook,
to makestudents should
the schools merely havecome
of jurisprudence an awareness
alive.
Comparative that globalization has affected the scope of business law. Consequently,
Law we highlight the definitions to the following key terms that will come up
later in the book:
Trade, i.e. the exchange of goods or services, on a global scale
has ledto the creation of trade agreements that serve as de facto
rules governing the global business environment.
Comparative law—the field of law that studies and compares laws
in different countries.
Appendix on Critical thinking includes the application of evaluative standards to
Critical Thinking assess the quality or the reasoning being offered to support the conclusion.
and Business Critical thinkers will follow this pattern of careful thinking when they read
an argument:
1. Find the facts.
2. Look for the issue.
3. Identify the judge‘s reasons and conclusion.
4. Locate in the decision the rules of law that govern the judge‘s reasoning.
5. Apply critical thinking to the reasoning. Evaluate the reasoning.
Look for potential ambiguity.
Consider the strength of analogies.
