Chapter 5 Business Law

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1
US Constitution
-series of compromises about power.
-embodies the fundamental laws and principles the US governs
2
Alexander Hamilton
Federalist
-urged strong central government
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Patrick Henry
Antifederalist
feared a powerful central government
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Father of the Constitution
James Madison
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Article 1 Branch
Legislative Branch
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Article 2 Branch
Executive
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Article 3 Branch
Judicial
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# of Amendments
27
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Bill of Rights- 1791
-First 10 Amendments
-Protect the rights of the people
-US Constitution did not explain rights of citizens
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National government divided into...
3 branches, each individual and equal
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10th Amendment
Gave power to states for regulations
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13th Amendment
Ended Slavery
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15th Amendment
Right to vote regardless of race
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18th and 21st Amendment
-Ban of Alcohol
-Repeals the 18th
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19th Amendment
Right to vote regardless of sex
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Article 1 Section 8
18 types of statues that congress is allowed to pass.
-imposing taxes, declaring war, and coining money
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"All powers not delegated to the US by the Constitution...
....are reserved to the states"
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Commerce Clause
Article 1 Section 8, gives Congress the power to regulate commerce with foreign nations and states
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Commerce Clause on Interstate Commerce
-coordination and fairness to commerce
-stop the states from imposing taxes and regulations that harm domestic trade
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Substantial Effect Rule
Congress may regulate any activity that has a substantial economic effect on interstate commerce.
DOES NOT require that things travel from state to state
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Dormant Aspect
Holds that a state statue discriminating against interstate commerce is always unconstituitonal
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Supremacy Clause
Constitution, federal statues, and treaties, the supreme law of the land
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Federal law PREEMPTS the state law
Preempts: it controls the issue
State Law loses to Federal Law
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State Law controls when....
-no conflicting federal law
-congress has not intended to dominate the issue
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President's most basic job and 3 key powers
to enforce the nation's laws
-Appointment, legislation, and foreign policy
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Agencies' head
nominates most of them
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President's role in legislation
-appoints supreme court judges
-proposes bills to congress
-too many proposals come from president and congress becomes overly passive
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Foreign Policy
coordinates international efforts, negotiating treaties, commander in chief of armed forces
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Declare War
NOT president
Only Senate
Caused presidents to use troops without declaring war
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Judicial Power
creates supreme court
permits Congress to establish lower courts within the federal court system
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Federal Courts 2 key functions
adjudication and judicial review
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Adjudicating Cases
hears criminal and civil cases
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Judicial review
-Doesn't appear in constitution
-refers to the power of federal courts to declare a statue or government action unconstitutional and void
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Judicial activism
A court's willingness to get involved and decide on constitutional grounds
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Judicial Restraint
A court's attitude that it should leave lawmaking to legislators
- stay out of it
-opposite of judicial activism
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Incorporation
the constitutional protections extend to all levels of the government
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Constitutional rights generally protect...
against governmental acts.
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Freedom of Speech
1st Amendment
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Political Speech
Protected unless it is intended and likely to create imminent lawless action
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Time, Place, and Manner
-government may regulate
-free speech zones
-permit, daylight hours, police supervision, and sanitation
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Obscenity
has never received constitutional protection
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What is obscene?
-average person takes prurient interest
-depicts sexual conduct
-lacks serious value
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Commercial Speech
Communication that proposes a business transaction
-Ex: Ads
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Regulating Commercial Speech
Govt may regulate if rules are reasonable and directed to a legit goal.
-Outlaw false or misleading commercial speech
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Procedural Due Process
Before taking someone's property they need to give them a chance to oppose
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Takings Clause
Gov can take property for public use but needs to compensate
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Eminent Domain
the gov's power to take property for public use
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Substantive Due Process
Rights that are so fundamental that a government cannot take them
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14th-Equal Protection Clause
Government must treat people equally
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Minimal Scrutiny
-economic & social relations
-Government actions that classify people or corporations on these bases are almost always upheld.
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Intermediate Scrutiny
-gender
-sometimes upheld
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strict scrutiny
-Race, Ethnicity, and fundamental rights
-almost never upheld
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Fundamental Rights
Rights so basic that any governmental interference with them is suspect and likely to be unconstitutional
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