Law ANS: A binding set of rules for human behavior established by legitimate authority.
Precedent ANS: A controlling role, example, or guide established by a judge that provides a framework
for other judges to follow in later cases.
stare decisis ANS: Let the decision stand; decisions are based on precedents from previous cases
Judicial Review ANS: The power of the Supreme Court to consider whether a law comports with the
Constitution.
Supremacy Clause ANS: It establishes that the federal constitution, and federal law generally, take
precedence over state laws, and even state constitutions.
Agency Agreement ANS: A contract relationship between a principal and an agent whereby the principal
authorizes the agent to work on his or her behalf and with power to bind the principal.
Contract ANS: A legally binding agreement between two parties
Tort ANS: A civil wrong which causes someone harm.
Vicarious Liability ANS: A form of secondary liability that comes from the doctrine of respondeat
superior - "let the master answer for the servant".
Scope of Employment ANS: The legal consideration of the various foreseeable activities which may
occur in the performance of a persons job.
,Frolic and Detour ANS: An employee's physical departure from the job in order to further is or her own
interests and not the employers.
Going and Coming Rule ANS: A legal principle that removes an employers liability from employees
actions going to and from their place of employment
Dual Purpose Mission ANS: Occurs when an employee conducts personal and work business at the
same time; subjecting the employer to liability for the employees actions.
Independent Contractor ANS: A worker who is not subject to wage, discrimination, tax, or liability laws.
Common Law Agency ANS: A test that classifies a worker as an employee if the employer maintains the
right to control the method of work performed.
Economic Realities Test ANS: A test that classifies a worker as an employee if the employee is
substantially economically dependent on an employer. Does the worker have little freedom to exit the
relationship because they are economically dependent on the business?
20-Factor Analysis ANS: A guide adopted by the IRS for determining if a worker should be classified as
an independent contractor
USERRA ANS: Uniformed Services Employment and Reemployment Rights Act.
NLRA (Wagner Act) of 1935 ANS: National Labor Relations Act; Established the right of workers to form
unions, collectively bargain, and strike. Outlined the unfair labor practices in which a management could
engage
ADEA ANS: Age Discrimination Employment Act—forbids discrimination against any person aged 40 or
older in hiring, firing, promotion, or other aspect of employment.
,IRCA ANS: Immigration Reform and Control Act of 1986
Integrated Enterprise ANS: Operations of two or more employers are considered so intertwined that
they can be considered the single employer. A firm may not purposely or unintentionally avoid laws by
dividing itself into small units, which by themselves, would not be covered by an employment law
statute.
Joint Employer ANS: Two entities, not engaged in an integrated enterprise, that each exert control over
an employee.
Covered Employment Agency ANS: An agency that regularly procures employees for at least one
covered employer; subject to employment law regulation.
Covered Employer ANS: An employer that is engaged in a commerce industry and employs fifteen or
more employees.
employment at will doctrine ANS: The predominant rule governing employer-employee relations that
states that an employer may terminate an employee at any time, for any legal reason, without incurring
liability.
Public Policy Exception ANS: A rule of exception to the employment at-will doctrine that states that an
employer cannot terminate an employee for reasons that violate public policy.
Retaliatory Discharge ANS: Termination of an employee as punishment for engaging in a protected
activity. Terminating an employee for anything other than a work-performance related reason.
Implied Contract ANS: A legally binging agreement which is created, not through formal contract
negotiation and documentation, but by the actions of the employer and the employee.
, Statute of Frauds ANS: A doctrine that requires certain contracts to be in writing.
Implied Covenant of Good Faith and Fair Dealing ANS: A presumption that each party in a contract will
deal with each other in good faith and fairness.
Constructive Discharge ANS: Conditions of unfairness or mistreatment exist at work to such a degree
that no reasonable employee would feel he or she had any other option but to quit.
Intentional Interference with a Contract ANS: An employees claim that a third party (perhaps a
coworker or client) pressures the employer to terminate an employee without cause.
Intentional Infliction of Emotional Distress ANS: An employees claim that an employer terminated an
employee in an intentionally reckless or outrageous manner that caused serious emotional and
psychological damage.
Arbitration ANS: A procedure for resolving collective bargaining impasses by which an arbitrator (third
party) choose a solution to the dispute.
Covenant of Good Faith ANS: A presumption that each party in a contract will deal with each other in
good faith and fairness.
Common Law ANS: Principles developed over centuries as a result of legal decisions made by judges in
individual cases.
Employee ANS: One who performs services under the direction and control of another.
Employer ANS: One who employs the services of others in exchange for wages.