DECA Business Law and Ethics

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Acceptance
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Terms in this set (105)
Acceptance
The element of a contract where one party accepts the offer of another party.
Acquistion
The act of assuming possession of another company or some asset.
Administrative Law
The body of rules, regulations, and orders formulated by a governmental body responsible for carrying out statute law.
Affidavit
A written statement made under oath before an officer of the court, a notary public, or other person legally authorized to certify the statement.
Affirmative Action
Steps taken to correct conditions resulting from past discrimination or from violations of a law, particularly with respect to employment.
Agency Relationship
When one party (the agent) acts on behalf of another party (the principal).
American Disabilities Act (ADA)
U.S. law that gives civil rights to disabled persons. That includes equal opportunities in access and use of places such as transportation and buildings.
Appeal
A request to the higher court for review of the lower courts decision. Often, a reversal of judgement is desired.
Appellate Court
Higher court which hears the appeals against the lower courts' judgments.
Arbitration
The procedure by which a dispute may be resolved by an impartial mediator who is not a judge. Arbitration is often used to limit legal cost to both parties.
Back PayMoney rewarded to an employee in a lawsuit that would have been earned if the employee was not illegally fired or denied a promotion.Breach of ContractFailure to perform provisions of a contract.Business LawInvolves issues relating to business organizations, business structures, and business transactions. Also included are issues related to real estate, taxes, and the environment.Business OwnershipCan be defined as how a business is legally set up. Sole proprietorship, partnership, and corporations are all ownership options.BylawsThe rules and regulations enacted by an association or a corporation to provide a framework for its operation and management.. Bylaws govern matters such as meetings, voting, quorums, elections, and the powers of directors and officers.C CorporationsA separate legal entity from those who own it, taxed at the corporate level, owned by shareholders.Chief JusticeThe head of the Supreme Court.Circuit Courts of AppealParties who are dissatisfied with the judgment of a district court may appeal the decision to an Appeals Court that will look for misapplication of the law.Civil LawSeeks to resolve non-criminal disagreements, such as arguments over the meaning of contracts, property ownership, divorce.Commercial LawLaws that govern businesses engaged in commerce, merchandising, trade, and sales. In recent years, this body of law has been codified in the Uniform Commercial Code.Common LawLaw established by following earlier judicial decisions. They change over time.Comparable WorthRequires that people who work similar jobs of similar worth to the employer must be paid the same amount regardless of differences such as gender.Concurrent JurisdictionWhen a case may be heard in either federal or state court. In this situation, a party may chooses the court in which they want the case to be heard.ConsiderationThe element of a contract where one party offers something of value in exchange for a specific action or non-action from another party.ConsortiumAn group of businesses that join together for a specific purpose such as engaging in a joint venture.Consumer Credit Protection ActIs designed to protect money borrowers by requiring complete disclosure of the terms and conditions of finance charges in transactions. This is done by the limiting of garnishment wages and regulating the use of charge accounts.Consumer Product Safety CommissionIs charged with protecting the public from unreasonable risks of serious injury or death from thousands of types of consumer products under the agency's jurisdiction. Products such as cribs, powertools, and household chemicals are all inspected by this commission.Consumer ProtectionThese laws are designed to ensure fair competition and the free flow of truthful information in the marketplace. The laws also prevent businesses that engage in fraud or specified unfair practices from gaining an advantage over competitors.Consumer Protection CommitteeMonitors and reports on the development of the laws concerning false and deceptive advertising, unfair trade practices, and illegal marketing.ConsumerismThe movement seeking to protect and inform consumers by requiring such practices as honest packaging and advertising, product guarantees, and improved safety standards.ContractA written agreement between two or more parties that is enforceable by law.CopyrightThe protection of a creative work from unauthorized use.CorporationA business formation that is recognized as a separate legal entity from those who own it.CreditorA party to whom money is owed.CrimeA wrong against society. Murder and theft are examples.DebtorOne who owes debt to another individual or company.District CourtWhere most federal cases begin. They hear both criminal and civil cases, and each state has at least one.DiversityA type of case that occurs when the parties involved in a case are from different states, and the amount in question exceeds $75,000.Environmental LawBody of rules, regulations,orders, and statutes intended to protect the environment and wildlife. Pollution is also a major concern in environment law.Equal Employment OpportunityIs a law prohibiting discrimination in employment on the basis of things such as race or gender.Equal Pay ActA federal law that requires employers to pay all employees in the same position the same salary, regardless of gender.EthicsA system of moral principles that involves differentiating between right and wrong.Fair Credit Billing Act (FCBA)Designed to protect consumers from unfair billing practices and to provide a mechanism for addressing billing errors in "open end" credit accounts, such as credit card accounts.Fair Credit Reporting ActA United States federal law that regulates the collection, dissemination, and use of consumer information, including consumer credit information.Fair Trade LawsState laws that permit manufacturers to set minimum rates for resale of a product.Federal JurisdictionFederal courts hear two types of cases: federal question and diversity. Cases of a federal question arise under the U.S. Constitution or the laws of the United States. Diversity cases occur when the parties involved in a case are from different states, and the amount in question exceeds $75,000.Federal Trade CommissionStrives to maintain free and fair competition. The agency collects complaints about scams, deceptive advertising, etc.Final JudgementThe written ruling on a lawsuit by the judge who presided at trial.FranchiseA business method where independent owners buy and operate someone else's business name under an agreement to sell specific goods or services and to pay royalties.Garnishment of WagesTaking or seizing money directly from the employee's wages. owed because of an order such as child support.Highest State CourtThe highest rung on the state court system. Parties can appeal their cases to this court if they are dissatisfied with the judgement of a lower court.IncorporateTo form a business entity.Intermediate Appellate CourtsA type of state court that takes appeals from parties dissatisfied with trial courts.Joint VentureWhen two or more parties pursue the same business interest together.Judicial SystemThe system of courts that administer justice.LawA collection of rules imposed by a legal authority.Legal ProcedureThe rules by which a court hears and determines a case. The rules are designed to ensure a fair and consistent application of justice to all cases that come before a court.Limited Liability Company (LLC)Provides the limited liability features of a corporation and the tax efficiencies and operational flexibility of a partnership.Non-Profit OrganizationAn organization that does not distribute its surplus funds to owners or shareholders but instead uses them to help pursue its goals.Occupational Safety and Health AdministrationUS agency created in 1970 to establish and enforce policies for safe working conditions.OfferThe element of a contract where one party makes a clearly-stated offer to another party.PartnershipA legal business relationship of two or more people who share responsibilities, resources, profits and liabilities.Power of AttorneyA written document that designates an agent to act on his/her behalf for a specified period of time.Price DiscriminationThe practice of selling the same product to different buyers at different prices, which is illegal if it harms competition.Price FixingAgreement of competitors to set their prices within a certain range.Principal-AgentOne party grants authority for another party to act on their behalf.Procedural LawRules governing all aspects of how a court case is conducted. The purpose is to make certain that every case is treated justly and consistently.Rule of FourThe rule that four justices on the Supreme Court must agree to hear a case before the case will be tried.S CorporationsA firm that meets the requirements for and has elected to e taxed under the Subchapter S of the Internal Revenue Service (IRS) Code.SettlementAn agreement between two parties in a lawsuit.ShareholderAn individual who owns part of a company by purchasing stocks or a share in the company.Sole ProprietorshipsFirms owned by one person, usually the individual who has day-to-day responsibilities for running the business.State JurisdictionState courts have jurisdiction in cases that do not fall exclusively within the jurisdiction of the federal courts.Substantive LawThe body of law that creates, defines, and regulates conduct.Title VVIA portion of the Federal Civil Rights Act of 1964 that prohibits discrimination in employment on the basis of age, color, national origin, race, religion, or sex.TortA wrongful act, whether intentional or unintentional, that results in injury to another party.Trial Courts of General JurisdictionThe main courts in the state court system and may be referred to as circuit courts, superior courts, or courts of common pleas. They hear cases that fall outside the jurisdiction of limited jurisdiction courts.Trial Courts of Limited JurisdictionCourts that only hear specific types of cases like Traffic Court, Juvenile Court, and Small Claims Court.U.S. Supreme CourtThe highest court of the United States. It is comprised of eight judges and one chief justice.EthicsMoral principles and values applied to social behavior.Business EthicsWhat constitutes right or wrong behavior and the application of moral principles in a business context.Moral MinimumThe minimum degree of ethical behavior expected of a businessperson, which is usually defined as compliance with the law.Stock BuybackThe purchase of shares of a company's own stock by that company on the open market.Stock OptionAn agreement that grants the owner the option to buy a given number of shares of stock at a set price, usually within a specific time period.Ethical ReasoningA reasoning process in which an individual links his or her moral convictions or ethical standards to the particular situation at hand.Categorical ImperativeAn ethical guideline developed by Immanuel Kant under which an action is evaluated in terms of what would happen if everybody else in the same situation, or category, acted the same way.Principle of RightsThe belief that human beings have certain fundamental rights. Whether a business action or decision is ethical depends on how it affects the rights of various groups, such as owners, employees, consumers, suppliers, the community, and society.UtilitarianismAn approach to ethical reasoning in which an action is evaluated in terms of its consequences for those whom it will affect. A "good" action is one that results in the greatest good for the greatest number of people.Cost-Benefit AnalysisA decision-making technique that involves weighing the costs of a given action against the benefits of that action.ReciprocityAn interchange of giving and receiving in social relationships.Ethical IssueProblem, situation, or opportunity that requires an individual, group, or organization to choose among several actions that must be evaluated as right or wrong, ethical or unethical.Ethical DilemmaProblem, situation , or opportunity that requires an individual, group, or organization to choose among several wrong or unethical actions.Abusive/Intimidating BehaviorPhysical threats, false accusations, being annoying, profanity, insults, yelling, harshness, ignoring someone, and unreasonableness.Conflict of InterestWhen an individual must choose whether to advance his or her own interests, those of the organization, or those of some other group.Facilitation PaymentSmall payments made to obtain or retain business or other improper advantages do not constitute bribery payments.Corporate IntelligenceThe collection and analysis of information on markets,technologies, customers and competitors, as well as on socioeconomic and external political trends.Privacy IssueThe monitoring of employees' use of available technology and consumer privacy.Intellectual PropertyProperty created by the intellect, such as inventions, software and books. Patents, copyright and trade secrets are examples.LawRules of conduct established by the government of a society to maintain stability & justice in that society. Laws cannot make people do what is right, but can punish. At times ethics and law will conflict.The Greatest Good PrincipleFor the greatest number of affected people by an action. The more bad that results, the less.Core PracticesDocumented best practices, often encouraged by legal and regulatory forces as well as industry trade associations.Mandated BoundaryThe externally imposed boundaries of conduct, such as laws, rules, regulations, and other requirements.The Golden Rule"Treat others the way you want to be treated."Ethical RelativismA system of ethical thought that says there is no objective or absolute standard of right and wrong.TortA wrongful act or an infringement of a right (other than under contract) leading to civil legal liability.