Chapter #z04 #z- #zAdministrative
#zLaw
INSTRUCTOR MANUAL FOR #z #z
Dynamic Business Law The Essentials 6e Kubasek
#z #z #z #z #z #z
Chapter 1-25 #z
Chapter 1 - An Introduction to Dynamic Business Law
#z #z #z #z #z #z #z #z
CHAPTER #zOVERVIEW
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 law
1-3 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 #zNOTES #zWITH #zDEFINITIONS
In #zthe #znews… Teaching #ztip: #zFor #zeach #zchapter, #zconsider #zasking #zstudents #zto #zrelate #zcurrent
#znews #zitems #zto #zmaterial #zfrom #zthe #zchapter.
In #zaddition #zto #zideas #zstudents #zcome #zup #zwith #zon #ztheir #zown, #zconsider
#zweaving #zin # z news #zstories #zprovided #zby #zthe #zMcGraw #zHill.
For #zChapter #zOne, #zMcGraw #zHill #zoffers #zthe #zfollowing #zstories:
―Smoking # z Ban: # z Tobacco # z Tyrants: # z Gone # z Too # z Far? # z Many # z States
# z Are # z Putting #zStronger #zRestrictions #zon #zWhere #zYou #zCan #zSmoke‖
Have #zstates #zgone #ztoo #zfar #zin #zbanning #zsmoking?
4-1
© #zMcGraw #zHill #zLLC. #zAll #zrights #zreserved. #zNo #zreproduction #zor #zdistribution #zwithout #zthe #zprior #zwritten #zconsent #zof
#zMcGraw #zHill #zLLC.
,Chapter #z04-Administrative
#zLaw
Whose # z interests # z are # z state # z legislatures # z looking # z out
# z for # z in # z banning #zsmoking?
―College #zOfficer #zDealings #zWith #zLenders #zScrutinized.‖
Should #zregulators #ztake #za #zmore #zcareful #zlook #zat #zcollege #zofficers?
Why #zcreated #zchanges #zin #zthe #zways #zcollege #zofficers #zinteract #zwith
#zlenders?
1-1 # z Define Business # z law # z consists # z of # z the # z enforceable # z rules # z of
# z business #zlaw. # z conduct # z that # z govern #zcommercial #zrelationships.
1-2 #zRelate #zthe Business #zlaw #zapplies #zto #zthe #zsix #zfunctional #zareas #zof #zbusiness:
#zfunctional #zareas #zof
Corporate #zmanagement
#zbusiness #zto #zthe
Production #zand #ztransportation
#zrelevant #zareas #zof
#zbusiness #zlaw.
Marketing
Research #zand #zdevelopment
Accounting #zand #zfinance
Human #zresource #zmanagement
1-3 #zRecall #zthe Providing #zorder
#zpurposes #zof Serving #zas #zan #zalternative #zto #zfighting
#zlaw.
Facilitating #za #zsense #zthat #zchange #zis #zpossible
Encouraging #zsocial #zjustice
Guaranteeing #zpersonal #zfreedoms
Serving #zas #za #zmoral #zguide
1-4 #zDistinguish One #zway #zto #zclassify #zlaw:
#zamong #ztypes #zof Private #zlaw #zinvolves #zdisputes #zbetween #zprivate #zindividuals #zor #zgroups.
#zlaw.
Public #zlaw #zinvolves #zdisputes #zbetween #zprivate #zindividuals #zor #zgroups #zand
#ztheir # z government.
A #zsecond #zway #zto #zclassify #zlaw:
Civil # z law # z involves # z the # z rights # z and # z responsibilities # z involved # z in
# z relationships #zbetween #zpersons #zand #zbetween #zpersons #zand #ztheir
#zgovernment.
Criminal #zlaw #zinvolves #zincidents #zin #zwhich #zsomeone #zcommits #zan #zact
#zagainst #zthe #zpublic #zas #za #zunit.
Teaching # z tip: # z Ask # z students # z to # z give # z an # z example # z of # z a # z fact
# z situation # z that # z led # z to #zboth #zcriminal #zand #zcivil #zlawsuits, #ze.g., #zthe #zO.J.
#zSimpson #ztrials.
4-2
© #zMcGraw #zHill #zLLC. #zAll #zrights #zreserved. #zNo #zreproduction #zor #zdistribution #zwithout #zthe #zprior #zwritten #zconsent #zof
#zMcGraw #zHill #zLLC.
,Chapter #z04 #z- #zAdministrative
Law#zDifferentiate
#z1-5 Sources #zof #zbusiness #zlaw #zare:
#zbetween #zsources #zof 1. Constitutions
#zthe #zlaw.
Constitutional #zlaw #zrefers #zto #zthe #zgeneral #zlimits #zand #zpowers #zof
#zgovernments #zas #zstated #zin #ztheir #zwritten #zconstitutions.
2. Statutes #zor #zlegislative #zactions
3. Cases
Case #zlaw # z (or #zcommon #zlaw) #zis #zthe #zcollection #zof #zlegal #zinterpretations
#zmade #zby # z judges.
Stare #zdecisis #zmeans #zcourts #zare #zrelying #zon #zprecedent.
Teaching # z tip: # z The # z first # z time # z your # z students # z encounter # z an # z appellate
# z case # z in # z the
4-3
© #zMcGraw #zHill #zLLC. #zAll #zrights #zreserved. #zNo #zreproduction #zor #zdistribution #zwithout #zthe #zprior #zwritten #zconsent #zof
#zMcGraw #zHill #zLLC.
, Chapter #z04-Administrative
#zLaw
readings, #zshow #zthem #zwhat #zstare #zdecisis #zlooks #zlike #zin #zthe #zcontext #zof #za #zreal
#zcase.
4. Administrative #zlaw
Administrative # z law # z is # z the # z collection # z of # z rules # z and
# z decisions # z made # z by #zadministrative #zagencies.
5. Treaties
A # z treaty # z is # z a # z binding # z agreement # z between # z two # z states
# z or # z international # z organizations.
6. # z # z Executive #zorders
An # z executive # z order # z is # z a # z directive # z that # z comes # z from # z the
# z president # z or # z state # z governor.
1-6 #zIdentify #zthe Schools #zof #zjurisprudence #zare #zcommon #zguides #zto #zlegal #zinterpretation.
#zvarious #zschools #zof
Natural #z law—certain # z ethical # z laws # z and # z principles # z are #z morally
#zjurisprudence. #z right # z and
―above‖ #zthe #zlaws #zdevised #zby #zhumans.
Legal # z Positivism—assumes # z the # z legitimate # z political # z authority
# z deserves #zour #zobedience #zwhen #zit #zissues #za #zrule.
Identification #zwith #zthe #zVulnerable—emphasis #zon #zfairness #zand
#zlooking #zout #zfor #zthose #zwith #zthe #zleast #zpower.
Historical #zSchool/Tradition—emphasis #zon #zthe #zuse #zof #zstare #zdecisis.
Legal #zRealism—judges #zconsider #zsocial #zand #zeconomic #zconditions.
Cost-benefit # z Analysis—make # z calculations # z to # z maximize # z the
# z ratio # z of #zbenefits #zto #zcosts.
Teaching # z tip: # z Consider # z using # z ―The # z Case # z of # z the # z Speluncean
# z Explorers # z (link #zbelow) #zto #zmake #zthe #zschools #zof #zjurisprudence #zcome
#zalive.
Global #zand At #zthis #zpoint #zin #zthe #ztextbook, #zstudents #zshould #zmerely #zhave #zan #zawareness
#zComparative #zthat #zglobalization #zhas #zaffected #zthe #zscope #zof #zbusiness #zlaw. #zConsequently,
#zLaw #zwe #zhighlight #zthe #zdefinitions #zto #zthe #zfollowing #zkey #zterms #zthat #zwill #zcome
#zup #zlater #zin # z the #zbook:
Trade, #zi.e. #zthe #zexchange #zof #zgoods #zor #zservices, #zon #za #zglobal #zscale
#zhas #zled # z to #zthe #zcreation #zof #ztrade #zagreements #zthat #zserve #zas #zde
#zfacto #zrules #zgoverning #zthe #zglobal #zbusiness #zenvironment.
Comparative #zlaw—the #zfield #zof #zlaw #zthat #zstudies #zand #zcompares
#zlaws #zin #zdifferent #zcountries.
4-4
© #zMcGraw #zHill #zLLC. #zAll #zrights #zreserved. #zNo #zreproduction #zor #zdistribution #zwithout #zthe #zprior #zwritten #zconsent #zof
#zMcGraw #zHill #zLLC.
#zLaw
INSTRUCTOR MANUAL FOR #z #z
Dynamic Business Law The Essentials 6e Kubasek
#z #z #z #z #z #z
Chapter 1-25 #z
Chapter 1 - An Introduction to Dynamic Business Law
#z #z #z #z #z #z #z #z
CHAPTER #zOVERVIEW
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 law
1-3 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 #zNOTES #zWITH #zDEFINITIONS
In #zthe #znews… Teaching #ztip: #zFor #zeach #zchapter, #zconsider #zasking #zstudents #zto #zrelate #zcurrent
#znews #zitems #zto #zmaterial #zfrom #zthe #zchapter.
In #zaddition #zto #zideas #zstudents #zcome #zup #zwith #zon #ztheir #zown, #zconsider
#zweaving #zin # z news #zstories #zprovided #zby #zthe #zMcGraw #zHill.
For #zChapter #zOne, #zMcGraw #zHill #zoffers #zthe #zfollowing #zstories:
―Smoking # z Ban: # z Tobacco # z Tyrants: # z Gone # z Too # z Far? # z Many # z States
# z Are # z Putting #zStronger #zRestrictions #zon #zWhere #zYou #zCan #zSmoke‖
Have #zstates #zgone #ztoo #zfar #zin #zbanning #zsmoking?
4-1
© #zMcGraw #zHill #zLLC. #zAll #zrights #zreserved. #zNo #zreproduction #zor #zdistribution #zwithout #zthe #zprior #zwritten #zconsent #zof
#zMcGraw #zHill #zLLC.
,Chapter #z04-Administrative
#zLaw
Whose # z interests # z are # z state # z legislatures # z looking # z out
# z for # z in # z banning #zsmoking?
―College #zOfficer #zDealings #zWith #zLenders #zScrutinized.‖
Should #zregulators #ztake #za #zmore #zcareful #zlook #zat #zcollege #zofficers?
Why #zcreated #zchanges #zin #zthe #zways #zcollege #zofficers #zinteract #zwith
#zlenders?
1-1 # z Define Business # z law # z consists # z of # z the # z enforceable # z rules # z of
# z business #zlaw. # z conduct # z that # z govern #zcommercial #zrelationships.
1-2 #zRelate #zthe Business #zlaw #zapplies #zto #zthe #zsix #zfunctional #zareas #zof #zbusiness:
#zfunctional #zareas #zof
Corporate #zmanagement
#zbusiness #zto #zthe
Production #zand #ztransportation
#zrelevant #zareas #zof
#zbusiness #zlaw.
Marketing
Research #zand #zdevelopment
Accounting #zand #zfinance
Human #zresource #zmanagement
1-3 #zRecall #zthe Providing #zorder
#zpurposes #zof Serving #zas #zan #zalternative #zto #zfighting
#zlaw.
Facilitating #za #zsense #zthat #zchange #zis #zpossible
Encouraging #zsocial #zjustice
Guaranteeing #zpersonal #zfreedoms
Serving #zas #za #zmoral #zguide
1-4 #zDistinguish One #zway #zto #zclassify #zlaw:
#zamong #ztypes #zof Private #zlaw #zinvolves #zdisputes #zbetween #zprivate #zindividuals #zor #zgroups.
#zlaw.
Public #zlaw #zinvolves #zdisputes #zbetween #zprivate #zindividuals #zor #zgroups #zand
#ztheir # z government.
A #zsecond #zway #zto #zclassify #zlaw:
Civil # z law # z involves # z the # z rights # z and # z responsibilities # z involved # z in
# z relationships #zbetween #zpersons #zand #zbetween #zpersons #zand #ztheir
#zgovernment.
Criminal #zlaw #zinvolves #zincidents #zin #zwhich #zsomeone #zcommits #zan #zact
#zagainst #zthe #zpublic #zas #za #zunit.
Teaching # z tip: # z Ask # z students # z to # z give # z an # z example # z of # z a # z fact
# z situation # z that # z led # z to #zboth #zcriminal #zand #zcivil #zlawsuits, #ze.g., #zthe #zO.J.
#zSimpson #ztrials.
4-2
© #zMcGraw #zHill #zLLC. #zAll #zrights #zreserved. #zNo #zreproduction #zor #zdistribution #zwithout #zthe #zprior #zwritten #zconsent #zof
#zMcGraw #zHill #zLLC.
,Chapter #z04 #z- #zAdministrative
Law#zDifferentiate
#z1-5 Sources #zof #zbusiness #zlaw #zare:
#zbetween #zsources #zof 1. Constitutions
#zthe #zlaw.
Constitutional #zlaw #zrefers #zto #zthe #zgeneral #zlimits #zand #zpowers #zof
#zgovernments #zas #zstated #zin #ztheir #zwritten #zconstitutions.
2. Statutes #zor #zlegislative #zactions
3. Cases
Case #zlaw # z (or #zcommon #zlaw) #zis #zthe #zcollection #zof #zlegal #zinterpretations
#zmade #zby # z judges.
Stare #zdecisis #zmeans #zcourts #zare #zrelying #zon #zprecedent.
Teaching # z tip: # z The # z first # z time # z your # z students # z encounter # z an # z appellate
# z case # z in # z the
4-3
© #zMcGraw #zHill #zLLC. #zAll #zrights #zreserved. #zNo #zreproduction #zor #zdistribution #zwithout #zthe #zprior #zwritten #zconsent #zof
#zMcGraw #zHill #zLLC.
, Chapter #z04-Administrative
#zLaw
readings, #zshow #zthem #zwhat #zstare #zdecisis #zlooks #zlike #zin #zthe #zcontext #zof #za #zreal
#zcase.
4. Administrative #zlaw
Administrative # z law # z is # z the # z collection # z of # z rules # z and
# z decisions # z made # z by #zadministrative #zagencies.
5. Treaties
A # z treaty # z is # z a # z binding # z agreement # z between # z two # z states
# z or # z international # z organizations.
6. # z # z Executive #zorders
An # z executive # z order # z is # z a # z directive # z that # z comes # z from # z the
# z president # z or # z state # z governor.
1-6 #zIdentify #zthe Schools #zof #zjurisprudence #zare #zcommon #zguides #zto #zlegal #zinterpretation.
#zvarious #zschools #zof
Natural #z law—certain # z ethical # z laws # z and # z principles # z are #z morally
#zjurisprudence. #z right # z and
―above‖ #zthe #zlaws #zdevised #zby #zhumans.
Legal # z Positivism—assumes # z the # z legitimate # z political # z authority
# z deserves #zour #zobedience #zwhen #zit #zissues #za #zrule.
Identification #zwith #zthe #zVulnerable—emphasis #zon #zfairness #zand
#zlooking #zout #zfor #zthose #zwith #zthe #zleast #zpower.
Historical #zSchool/Tradition—emphasis #zon #zthe #zuse #zof #zstare #zdecisis.
Legal #zRealism—judges #zconsider #zsocial #zand #zeconomic #zconditions.
Cost-benefit # z Analysis—make # z calculations # z to # z maximize # z the
# z ratio # z of #zbenefits #zto #zcosts.
Teaching # z tip: # z Consider # z using # z ―The # z Case # z of # z the # z Speluncean
# z Explorers # z (link #zbelow) #zto #zmake #zthe #zschools #zof #zjurisprudence #zcome
#zalive.
Global #zand At #zthis #zpoint #zin #zthe #ztextbook, #zstudents #zshould #zmerely #zhave #zan #zawareness
#zComparative #zthat #zglobalization #zhas #zaffected #zthe #zscope #zof #zbusiness #zlaw. #zConsequently,
#zLaw #zwe #zhighlight #zthe #zdefinitions #zto #zthe #zfollowing #zkey #zterms #zthat #zwill #zcome
#zup #zlater #zin # z the #zbook:
Trade, #zi.e. #zthe #zexchange #zof #zgoods #zor #zservices, #zon #za #zglobal #zscale
#zhas #zled # z to #zthe #zcreation #zof #ztrade #zagreements #zthat #zserve #zas #zde
#zfacto #zrules #zgoverning #zthe #zglobal #zbusiness #zenvironment.
Comparative #zlaw—the #zfield #zof #zlaw #zthat #zstudies #zand #zcompares
#zlaws #zin #zdifferent #zcountries.
4-4
© #zMcGraw #zHill #zLLC. #zAll #zrights #zreserved. #zNo #zreproduction #zor #zdistribution #zwithout #zthe #zprior #zwritten #zconsent #zof
#zMcGraw #zHill #zLLC.
