BUL 4421 MIDTERM – BUSINESS LAW STUDY GUIDE |
CHAPTER 1: INTRODUCTION | VERIFIED QUESTIONS &
CORRECT ANSWERS (FAU GENDLER)
Chapter 1: Introduction to Business Law
Relevant areas of business law applicable to human recourse management involve (4): - CORRECT
ANSWER ✅✅✅1. Agency law
2. Contracts
3. Employment and labor laws
4. Employment discrimination
This type of law regulates disputes between private individuals or groups.
(Ex: dispute between landlord and tenant governed by private law). - CORRECT ANSWER
✅✅✅Private law
This type of law regulates disputes between private individuals and government.
(Ex: dumping in violation of state or federal environmental laws). - CORRECT ANSWER
✅✅✅Public law
This type of law delineates the rights and responsibilities implied in relationship between persons, or
between person and their government. - CORRECT ANSWER ✅✅✅Civil law
This type of law regulates incidents in which someone commits an act against the public as a whole,
such as by conducting insider trading on the stock exchange.
- Government is plaintiff - CORRECT ANSWER ✅✅✅Criminal law
Put these laws in order of Hierarchy of Laws: States Statutes, U.S. Constitutions, Common Law, state
constitution, and Federal Statutes - CORRECT ANSWER ✅✅✅- U.S. Constitutions
- Federal Statutes
- State Constitution
- State Statutes
,- Common Law
Collection of legal interpretations made by judges, and are law unless revoked by new statutory law.
- CORRECT ANSWER ✅✅✅Common Law (aka Case Law)
Past decisions in similar cases that guide later decisions thereby providing greater stability and
predictability to the law. - CORRECT ANSWER ✅✅✅Precedent
A principle stating that rulings made in higher courts are binding precedent for lower courts. Latin
for "standing by the decision." - CORRECT ANSWER ✅✅✅Stare Decisis
1. Summaries of common law rules in a particular area of the law that have been enacted in most
states.
2. They do not carry the weight of the law but guide interpretations of certain principles. - CORRECT
ANSWER ✅✅✅Restatements of the Law
Certain habits of mind and specific beliefs about human nature. Beliefs are deeply rooted within a
person's emotions and habits, and thus they are sure to guide one's opinions and decisions. Such
beliefs may be commonly held and create much larger schools of thought thus they are more
common guides to legal interpretation. - CORRECT ANSWER ✅✅✅Schools of Jurisprudence
Name the (5) Schools of Jurisprudence: *CH*i*LL*i*N* - CORRECT ANSWER ✅✅✅1. Cost benefit
analysis
2. Historical School
3. Legal Positivism
4. Legal Realism
5. Natural Law
The school of jurisprudence that recognizes the existence of higher law, or law that is morally
superior to human laws. - CORRECT ANSWER ✅✅✅Natural Law
The school of jurisprudence which holds that because society requires authority, a legal and
authoritative hierarchy should exist. When a law is made, therefore, *obedience is expected because
authority created it.*
1. Must abide by duly authorized law
, 2. Law is distinct from morality
3. Moral questions about the law should not interfere with our inclination to obey it.
4. A judge may write that she is deciding to enforce the law in question but that her decision does
not necessarily mean she sees the law as the morally correct rule. - CORRECT ANSWER
✅✅✅Legal Positivism
A school of jurisdiction that:
1. Follows tradition or custom to shape the law
2. Is closely linked with the doctrine of stare decisis
3. We assume past practice was the product of careful thought. - CORRECT ANSWER
✅✅✅Historical School (aka tradition or custom)
Judges who follow this school of thought are more likely to depart from past court decisions to
account for the fact that our *society is constantly shifting and evolving.*
1. Judges should consider more than just the law
2. Judges should consider factors such as social and economic conditions
(Ex: The law protects pregnant women) - CORRECT ANSWER ✅✅✅Legal Realism
An economic school of jurisprudence in which all costs and benefits of a law are given monetary
values. Those laws with the highest ratios of benefits to costs are then preferable to those with
lower ratios.
(Ex: (i) Polluted land is an economic loss, as it cannot be used for farming or recreation. Polluted
water can be toxic for fish and cannot be used for drinking (ii) the price of environmental cleanup
and lost productivity in the economy as a whole may be even greater. - CORRECT ANSWER
✅✅✅Cost Benefit Analysis
Chapter 2: Business Ethics - CORRECT ANSWER ✅✅✅Chapter 2: Business Ethics
The use of ethics and ethical principles to solve business dilemmas. - CORRECT ANSWER
✅✅✅Business Ethics
Example of bad Business Ethics: - CORRECT ANSWER ✅✅✅Ex: Accutane
- Is a company doing the right thing when it attempts to reduce the costs of advertising by not listing
all possible complications of the medicine for the consumer?
CHAPTER 1: INTRODUCTION | VERIFIED QUESTIONS &
CORRECT ANSWERS (FAU GENDLER)
Chapter 1: Introduction to Business Law
Relevant areas of business law applicable to human recourse management involve (4): - CORRECT
ANSWER ✅✅✅1. Agency law
2. Contracts
3. Employment and labor laws
4. Employment discrimination
This type of law regulates disputes between private individuals or groups.
(Ex: dispute between landlord and tenant governed by private law). - CORRECT ANSWER
✅✅✅Private law
This type of law regulates disputes between private individuals and government.
(Ex: dumping in violation of state or federal environmental laws). - CORRECT ANSWER
✅✅✅Public law
This type of law delineates the rights and responsibilities implied in relationship between persons, or
between person and their government. - CORRECT ANSWER ✅✅✅Civil law
This type of law regulates incidents in which someone commits an act against the public as a whole,
such as by conducting insider trading on the stock exchange.
- Government is plaintiff - CORRECT ANSWER ✅✅✅Criminal law
Put these laws in order of Hierarchy of Laws: States Statutes, U.S. Constitutions, Common Law, state
constitution, and Federal Statutes - CORRECT ANSWER ✅✅✅- U.S. Constitutions
- Federal Statutes
- State Constitution
- State Statutes
,- Common Law
Collection of legal interpretations made by judges, and are law unless revoked by new statutory law.
- CORRECT ANSWER ✅✅✅Common Law (aka Case Law)
Past decisions in similar cases that guide later decisions thereby providing greater stability and
predictability to the law. - CORRECT ANSWER ✅✅✅Precedent
A principle stating that rulings made in higher courts are binding precedent for lower courts. Latin
for "standing by the decision." - CORRECT ANSWER ✅✅✅Stare Decisis
1. Summaries of common law rules in a particular area of the law that have been enacted in most
states.
2. They do not carry the weight of the law but guide interpretations of certain principles. - CORRECT
ANSWER ✅✅✅Restatements of the Law
Certain habits of mind and specific beliefs about human nature. Beliefs are deeply rooted within a
person's emotions and habits, and thus they are sure to guide one's opinions and decisions. Such
beliefs may be commonly held and create much larger schools of thought thus they are more
common guides to legal interpretation. - CORRECT ANSWER ✅✅✅Schools of Jurisprudence
Name the (5) Schools of Jurisprudence: *CH*i*LL*i*N* - CORRECT ANSWER ✅✅✅1. Cost benefit
analysis
2. Historical School
3. Legal Positivism
4. Legal Realism
5. Natural Law
The school of jurisprudence that recognizes the existence of higher law, or law that is morally
superior to human laws. - CORRECT ANSWER ✅✅✅Natural Law
The school of jurisprudence which holds that because society requires authority, a legal and
authoritative hierarchy should exist. When a law is made, therefore, *obedience is expected because
authority created it.*
1. Must abide by duly authorized law
, 2. Law is distinct from morality
3. Moral questions about the law should not interfere with our inclination to obey it.
4. A judge may write that she is deciding to enforce the law in question but that her decision does
not necessarily mean she sees the law as the morally correct rule. - CORRECT ANSWER
✅✅✅Legal Positivism
A school of jurisdiction that:
1. Follows tradition or custom to shape the law
2. Is closely linked with the doctrine of stare decisis
3. We assume past practice was the product of careful thought. - CORRECT ANSWER
✅✅✅Historical School (aka tradition or custom)
Judges who follow this school of thought are more likely to depart from past court decisions to
account for the fact that our *society is constantly shifting and evolving.*
1. Judges should consider more than just the law
2. Judges should consider factors such as social and economic conditions
(Ex: The law protects pregnant women) - CORRECT ANSWER ✅✅✅Legal Realism
An economic school of jurisprudence in which all costs and benefits of a law are given monetary
values. Those laws with the highest ratios of benefits to costs are then preferable to those with
lower ratios.
(Ex: (i) Polluted land is an economic loss, as it cannot be used for farming or recreation. Polluted
water can be toxic for fish and cannot be used for drinking (ii) the price of environmental cleanup
and lost productivity in the economy as a whole may be even greater. - CORRECT ANSWER
✅✅✅Cost Benefit Analysis
Chapter 2: Business Ethics - CORRECT ANSWER ✅✅✅Chapter 2: Business Ethics
The use of ethics and ethical principles to solve business dilemmas. - CORRECT ANSWER
✅✅✅Business Ethics
Example of bad Business Ethics: - CORRECT ANSWER ✅✅✅Ex: Accutane
- Is a company doing the right thing when it attempts to reduce the costs of advertising by not listing
all possible complications of the medicine for the consumer?
