1.

Law for Business, 17e

by Ashcroft and Ashcroft

Chapter 1:
Introduction to Law

Law for Business, 17e, by Ashcroft and Ashcroft, © 2011 Cengage Learning
 1.2

Learning Objectives

• Define law.
• Explain why we have laws.
• List four sources of law.
• Distinguish law and ethics.
 1.3

What is Law?

Blackstone’s definition is
famous: “Law is a rule of civil
conduct, commanding what
is right and prohibiting what
is wrong.”
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Introduction

• Business law is concerned with

what is right or wrong regarding
business transactions.
• The law is also concerned with
establishing a framework in which
khuon kho

society can operate as smoothly as

possible to avoid disputes.
 1.5

Roots of Our
Legal System
• English, French, and Spanish
influences.
• Mostly from English because the 13
original colonies were English.
thông luat

• We get our common law and equity

concepts from English law.
 1.6

Types of Law
He thong' thong luat

• Common law - customs that gradually

became law. Colonists brought this
concept of law to America from England.
He thong' luat cong bang
• Equity law - system based on fairness in
which money damages sometimes are
not sufficient. This gave rise to the
following:
• Restraining orders
• Injunctions
 1.7

Types of Law

• Restraining orders: a written

instruction made by a court that
forbids (= does not allow) a particular
action until a judge has made a
decision about the matter
• Injunctions: an official order given by a
law court, usually to stop someone
from doing something
 1.8

Sources of Law

Federal, State, Local

Constitutions
Bill of Rights

Federal, State, Local

Statutes
Codes
 1.9

Sources of Law
Tuyen ngon nhan quyen`

The Bill of Rights is the first 10 Amendments to the

Constitution. It spells out Americans’ rights in relation
to their government. It guarantees civil rights and
liberties to the individual—like freedom of speech,
press, and religion. It sets rules for due process of law
and reserves all powers not delegated to the Federal
Government to the people or the States. And it
specifies that “the enumeration in the Constitution, of
certain rights, shall not be construed to deny or
disparage others retained by the people.
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Sources of Law

• Judicial decisions
• Precedents
• Stare decisis
• Administrative agency orders
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Sources of Law
An' le.

Precedents: an action, situation, or decision

that has already happened and can be used as a
reason why a similar action or decision should be
performed or made

Stare decisis: a doctrine or policy of following

rules or principles laid down in previous judicial
decisions unless they contravene the ordinary
principles of justice
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Bases for Ethical

Judgment
• Personal values coming from:
• Religious beliefs
• Individual experiences
• Cultural background
• Scientific knowledge
• Because all people had differing
backgrounds, judgments as to what
is right and wrong vary.
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Ethical Principles

Seriousness of consequences
– Laws do not reflect everything we
believe about right or wrong; less serious
matters are not addressed.
Consensus of majority
– Laws can’t possibly reflect every
individual’s concept of right or wrong.
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Ethical Principles

Change in ethical standards

– Behavior evolves as society evolves.
Legally enforceable
– Organizations have codes of professional
responsibility, and violations provide the
basis for penalties.
Voluntary
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Do you have
any questions?