NYU Stern: Law, Business ; Society – Flashcards

A market in which profit opportunities are eliminated almost instantaneously.

theory, stating that, when an imperfection in the market makes a transaction less efficient than it could be, a company will undertake foreign direct investment to internalize the transaction and thereby remove the imperfection

The market situation in which there are many sellers in a market and no seller is large enough to dictate the price of a product

(economics) a market in which there are many buyers but only one seller

producers having full knowledge of the prices and quantities of resources available, and consumers having full knowledge of the prices and quantities of final goods and services available

any disparity in relevant market information among parties in a transaction

indirect or unintended consequences imposed on society that may not be understood or anticipated

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Anything that is or may be subject to ownership. As conceived by the political philosopher John Locke, the right to property is a natural right superior to human law (laws made by government).

i) What is it, what forms does it take, and what is its function in society? ii) How does the government decide what is, and is not, property? iii) In what sense is a corporation property, and why does this matter?

The ownership of intangible and non-physical goods. This includes ideas, names, designs, symbols, artwork, writings, and other creations.

i) What the the basic forms (hint: patent, copyright, trade secret)? ii) Where are the three different forms of intelectual property "found" in law? iii) How are such property rights inforced? iv) What is a "trademark," and what is it's function?

legal agreements for the exchange of resources and services

i) What is a contract and what roles do contracts play in business and society? ii) What are the necessary elements of a contract? iii) What does it mean when a party "breaches" a contract? What happens then? iv) Are all contracts enforceable? Why or why not?

a business that serves other businesses

i) What does it mean to form a principal-agent relationship? ii) When do an agent's actions create liability for the principal? iii) What does it mean for someone to be a fiducary agent? iv) What duties does a fiduciary have to his or her principal? v) What duties does a principal owe to a fiduciary? vi) Why are agency relationships, whether fiduciary or otherwise, fundamentally important to the practice of business?

the occupation for which you are paid

i) How is an employee different from a mere agent? ii) What does it mean to be employed "at will"? iii) How are basic human rights embodied in U. S Laws governing employment? For example: a. What responsibilities do employers have to prevent discrimination in employment? b. What restrictions exist on wage rates, work hours, child labor, etc? c. What is workman's compensation insurance and what does it do? d. What responsibilities do firms have regarding workplace safety?

The legal obligation of sellers to pay damages to individuals who are injured by defective or unsafe products

i) What are the three different doctrines by which a firm can incur a liability for a product or service (hint: negligence, warranty, strict liability) ii) What must someone do to make the case that a firm has been negligent in a products liability case? iii) How does an implied warranty differ from an expressed warranty, and why does this matter? iv) What must someone do to make a case under the doctrine of strict liability?

Doing business with other organizations (B2B) is by far larger than with consumers (B2C). Interorganizational systems (IOS) are the information systems that handle the information flow between trading partners.

i) How would you explain the differences between a proprietorship, a partnership, and a for-profit corporation? ii) What are the practical differences between a "private" versus a "publicly traded" corporation? iii) How does a "not-for-profit" corporation differ from a for profit corporation? iv) What market conditions might favor the formation of a "customer cooperative" to serve a market (rather than an investor owned firm)? v) What market conditions might favor the formation of a "supplier cooperative" to serve a market (rather than an investor owned firm)? vi) In what ways has Sarbanes-Oxley (SOX) substantially changed the governance of publicly traded corporations?

the body of law that ensures through capital market regulations that all investors have equal access to and an equal opportunity to react to new and relevant information and that governs the buying and selling of securities/two federal statutes enacted in response to stock market crash Securities Act of 1933 Securities Exchange Act of 1934

i) What are the three basic doctrines of insider trading? ii) What role does the concept of fiduciary duty play in these doctrines iii) What are the roles of the SEC and the DOJ in enforcing Insider Trading laws?

Statue of Fraud 1. Land 2. Goods over $500

i) What is the difference between stauatory law and common law? ii) What is the doctrine of stare decisis, and why does it matter? iii) Be prepared to consider the importance of each of the following Amendments to the Consitution with regard to business and society: 1st, 4th, 5th, 6th, 7th, 8th, 9th, 10th. iv) What are the major difference in process and substance between a criminal case and a civil case? v) What is the particular importance of the 10th amendment to the practice of business? vi) What are the major federal regulatory agencies that affect the practice of business, when were they founded, for what purposes, and under what circumstances? vii) What are the United States Sentencing Guidelines and why should we care?

Found in article 1 of Constitution 1) lay and collect taxes 2) borrow money 3) regulate foreign and interstate comerce 4) set naturalization and bankruptcy laws 5) coin money and regulates its value * regulates weights and measures 6) punish counterfeiters 7) set up a post office system and post roads 8) grant patents 9) create lower courts to the Supreme Court 10) define and punish pirates 11) define and punish offenses against the law of nations 12) exercise control over District of Columbia 13) Control federal forts, dockyards, parks, and federal buildings