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Judicial review

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process of determining whether laws or actions of other two branches are constitutional (checks and balances)

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Jurisdiction

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the official power to make legal decisions and judgments; before hearing case court must have jurisdiction over defendant or property involved in suit

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In personam jurisdiction

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personal jurisdiction over any person/business that resides in certain geographic area

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In rem jurisdiction

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jurisdiction over property that is located within its boundaries

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Long arm statute

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court can exercise personal jurisdiction over certain out-of-state defendants based on activities that took place within the state

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Minimum contacts

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before court can exercise jurisdiction over out-of-state defendant, must be demonstrated that defendant had sufficient contacts w/ state to justify jurisdiction

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Corporate contacts

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corporation normally subject to personal jurisdiction in state it is incorporated, has principal office, and/or is doing business

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Jurisdiction over subject matter

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certain courts are empowered to hear certain kinds of disputes

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General jurisdiction

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court can decide cases involving broad array of issues (e.g. state trial court, federal district court)

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Probate courts

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state court that handle only disposition of person's assets and obligations after that person's death (example of limited jurisdiction)

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Original jurisdiction

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courts of first instance (trial courts); lawsuits begin, trials take place, evidence is presented (Federal system: district courts= trial courts)

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Appellate jurisdiction

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cases being brought to court based on appeal from lower court

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Federal court has subject matter jurisdiction when:

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1. federal question is involved (US constitution, treaty, federal law) 2. diversity of citizenship

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Diversity of Citizenship

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1. Plaintiff and defendant are residents of different states 2. dollar amount in controversy must exceed $75,000 -Court will apply relevant state law (state where the court sits)

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Federal Question

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when cause of action is based in part on US Constitution, treaty, or federal law

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Negligence

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failure to exercise standard of care that reasonable person would exercise in similar circumstances

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Exclusive jurisdiction

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when cases can be tried only in federal courts or only in state courts Federal courts have exclusive jurisdiction in: Federal crimes, bankruptcy, most patent and copyright claims, lawsuits against US, some admiralty law State courts have exclusive jurisdiction in: Divorse and adoption

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Concurrent jurisdiction

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when both federal and state courts have power to hear a case... party may choose to bring suit in either federal or state court

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Sliding-scale standard

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determines when courts can exercise personal jurisdiction over out-of-state defendant based on defendant's Web activities 1. conducting substantial business over internet= jurisdiction is proper 2. when there is interactivity thru website, depends on circumstances 3. passive advertising on Web= jurisdiction never proper

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Minimum Contacts with Online Business

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firm has to comply with laws in any jurisdiction in which it targets customers for its products

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Venue

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concerned with most appropriate (or convenient) location for a trial Civil case: venue typically where defendant resides Criminal case: normally where crime occurred

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Standing to sue

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sufficient stake in matter to justify seeking relief thru court system; 3 elements: 1. Harm- plaintiff must have suffered or will suffer harm 2. Causation- must be causal connection b/t conduct and injury 3. Remedy- likely that favorable court decisions will make up for injury suffered

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Question of fact

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deals with what really happened in regard to dispute being tried

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Question of law

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concerns application or interpretation of law (only judge can rule on questions of law)

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Federal Court System

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1. US district courts (trial courts, general jurisdiction) 2. US courts of appeals 3. US Supreme Court

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Circuits

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13 circuits in US, each circuit has one court of appeals; circuit court of appeals decisions are binding on all courts within circuit court's jurisdiction

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Supreme Court

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original/trial jurisdiction (rare), mainly functions as appeals court; final authority on Constitution and federal law

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Writ of certiorari

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order issued by Supreme Court to a lower court requiring lower court to send record of the case for review

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Rule of four

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Supreme court will not issue writ of certiorari unless at least 4 out of 9 justices approve of it

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Litigation

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process of resolving dispute through court system; expensive and time consuming

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Alternative dispute resolution (ADR)

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allows for alternative way of settling conflict, provides more privacy, is quicker than litigation, often cheaper

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Negotiation

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process in which parties attempt to settle their dispute informally, with or without attorneys to represent them; simplest and least expensive method

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Mediation

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neutral third party acts as mediator and works with both sides in dispute to facilitate resolution (emphasizes points of agreement, helps parties evaluate options); meant to reach mutually satisfactory resolution, decision not binding

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Arbitration

answer

neutral third party or panel of experts hears dispute and imposes resolution on the parties; usually legally binding

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Award

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arbitrator's decision; usually final word on matter

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Arbitration clause

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included in some contracts specifying that disputes arising under contract will be resolved thru arbitration rather than litigation

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Early neutral case evaluation

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parties select neutral third party to assess strengths and weaknesses of each party's claims

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Summary jury trial

answer

parties present their arguments and evidence and jury renders verdict; not binding but mandatory negotiations follow

Business Law text and cases Chapter 2 Vocab – Flashcards

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