Legal Environment of Business: Chapter 2

  1. Judicial Review
    the process by which a court decides on the constitutionality of legislative enactments and actions of the executive branch
  2. Jurisdiction
    the authority of a court to hear and decide a specific case
  3. Long Arm Statute
    a state statute that permits a state to obtain personal jurisdiction over nonresident defendants. A defendant must have certain "minimum contacts" with that state for the statute to apply
  4. Probate Court
    a state court of limited jurisdiction that conducts proceedings relating to the settlement of a deceased person's estate
  5. Bankruptcy Court
    a federal court of limited jurisdiction that handles only bankruptcy proceedings, which are governed by federal bankruptcy law
  6. Federal Question
    a question that pertains to the U.S. Constitution, acts of Congress, or treaties. A federal question provides a basis for federal jurisdiction
  7. Diversity of Citizenship
    uder article 3, section 2, of the U.S. Constitution, a basis for ferederal district court jurisdiction over a lawsuit between (1) citizens of different states, (2) a foreign country and citizens of a state or of different states, or (3) citizens of a state and citizens or subjects of a foreign country. The amount in controversy must be more than $75,000 before a federal district court can take jurisdiction in such cases
  8. Concurrent Jurisdiction
    jurisdiction that exists when two different courts have the power to hear a case. For example, some cases can be heard in a federal or a state court
  9. Exclusive Jurisdiction
    jurisdiction that exists when a case can be heard only in a particular court or type of court
  10. Docket
    the list of cases entered on a court's calender and thus scheduled
  11. Venue
    the geographic district in which a legal action is tried and from which the jury is selected
  12. Standing to Sue
    the requirement that an individual must have a sufficient stake in a controversy before he or she can bring a lawsuit. The plantiff must demonstrate that he or she has been either injured or threatened with injury
  13. Justiciable Controversy
    a controversy that is not hypothetical or academic but real and substantial; a requirement that must be satisfied before a court will hear a case
  14. Small Claims Court
    a special court in which parties may litigate small claims (such as $5,000 or less). Attorneys are not required in small claims courts and, in some states, are not allowed to represent the parties
  15. Question of Fact
    in a lawsuit, an issue that involves only disputed facts, and not what the law is on a given point. Questions of fact are decided by the jury in a jury trail (by the judge if there is no jury)
  16. Question of Law
    in a lawsuit, an issue involving the application or interpretation of a law. Only a judge, not a jury, can rule on questions of law
  17. Writ of Certiorari
    a writ from a higher court asking the lower court for the record of a case
  18. Rule of Four
    a rule of the United States Supreme Court under which the Court will not issue a writ of certiorari unless at least four justices approve of the decision to issue the writ
  19. Litigation
    the process of resolving a dispute through the court system
  20. Pleading
    statements made by the plantiff and the defendant in a lawsuit that detail thefacts, charges, and defenses involved in the litigation. The complaint and snswer are part of the pleadings
  21. Complaint
    the pleading made by a plantiff alleging wrongdoing on the part of the defendant; the document that, when filed with a court, initiates a lawsuit
  22. Summons
    a document informing a defendant that a legal action has been commenced against him or her and that the defendant must appear in court on a certain date to answer the plantiff's complaint. The document is delivered by a sheriff or any other person so authorized
  23. Default Judgment
    a judgment entered by a court against a defendant who has failed to appear in court to answer or defend against the plantiff's claim
  24. Answer
    procedurally, a defendant's response to the plantiff's complaint
  25. Counterclaim
    a claim made by a defendant in a civil lawsuit against the plantiff. In effect, the defendant is suing the plantiff
  26. Reply
    procedurally, a plantiff's response to a defendant's answer
  27. Motion to Dismiss
    a pleading in which a defendant asserts that the plantiff's claim fails to state a casue of action (this is, has no basis in law) or that there are other grounds on which a suit should be dismissed. Although the defendant normally is the party requesting a dismissal, either the plantiff or the court can also make a motion to dismiss the case
  28. Motion for Judgment on the Pleadings
    a motion by either party to a lawsuit at the close of the pleadings requesting the court to decide the issue solely on the pleadings without proceeding to trial. The motion will be granted only if no facts are in dispute
  29. Motion for Summary Judgment
    a motion requesting the court to enter a judgment without proceeding to trial. The motion can be based on evidence outside the pleadings and will be granted only if no facts are in dispute
  30. Discovery
    a phase in the ligitation process during which the opposing parties may obtain information from each other and from third partie prior to trial
  31. Deposition
    the testimony of a party to a lawsuit or a witness taken under oath before a trial
  32. Interrogatories
    a series of written questions for which written answers are prepared by a party to a lawsuit, usually with the assistance of the party's attorney, and then signed under oath
  33. E-Evidence
    evidence tha consists of computer-generated or electronically recorded information, including e-mail, voice mail, spreadsheets, word-processing documents, and other data
  34. Voir Dire
    old French phrase meaning "to speak the truth." In legal language, the phrase refers to the process in which the attorneys question prospective jurors to learn abou their backgrounds, attitudes, biases, and other characteristics that may affect their ability to serve as impartial jurors
  35. Motion for a Directed Verdict
    in a jury trial, a motion for the judge to take the decision out of the hands of the jury and to direct a verdict for the party who filed the motion on the ground that the other party has not produced sufficient evidence to support her or his claim
  36. Award
    in litigation, the amount of monetary compensation awarded to a plantiff in a civil lawsuit as damages. In the context of alternative dispute resolution, the decision rendered by an arbitrator
  37. Motion for Judgment N.O.V
    a motion requesting the court to grant judgment in favor of the party making the motion on the ground that the jury's verdict against him or her was unreasonable and erroneous
  38. Motion for a New Trial
    a motion asserting that the trial was so fundamentally flaed (because of error, new discovered evidence, prejudice, or another reason) that a new trial is necessary to prevent a miscarriage of justice
  39. Brief
    a formal legal document prepared by a party's attorney (in answer to the appellant's brief) and submitted to an appelate court when a case is appealed. The appellant's brief outlines the facts and issues of the case, the judge's rulings or jury's findings that shoud be reversed or modified, the applicable law, and the arguments on the client's behalf
  40. Alternative Dispute Resolution (ADR)
    the resolution of disputes in ways other than those involved in the traditional judicial process. Negotiation, mediation, and arbitration are forms of ADR
  41. Negotiation
    a process in which parties attempt to settle their dispute informally, with or without attorneys to represent them
  42. Mediation
    a method of settling disputes outside of court by using the services of a neutral third party, who acts as a communicating agent between the parties and assists them in negotiating a settlement
  43. Arbitration
    the settling of a dispute by submitting it to a disinterested third party (other than a court), who renders a decisions that is (most often) legally binding
  44. Arbitration Clause
    a clause in a contract that provides that, in the event of a dispute, the parties will submit the dispute to arbitration rather than ligitate the dispute in court
  45. Summary Jury Trial (SJT)
    a method of settling disputes, used in many federal courts, in which a trial is held, but the jury's verdict is not binding. The verdict acts only as a guide to both sides in reaching an agreement during the mandatory negotiations that immediately follow the summary jury trial
  46. Online Dispute Resolution
    the resolution of disputes with the assistance of organizations that offer dispute-resolution services via the Internet
Card Set
Legal Environment of Business: Chapter 2
Chapter 2