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BLAW Week 3 notes, Chapter 3 Cont.

by: Christine Gilbert

BLAW Week 3 notes, Chapter 3 Cont. 316

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Christine Gilbert

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About this Document

Still a continuation of Chapter 3, covering the topics of jurisdiction, and an in-depth look at the stages of a civil lawsuit. Very important topics for the upcoming first exam!
Legal Environment of Business
Professor Nancy Oretskin
Class Notes
business, business consulting, Law, american constituiton, constitutional law, Civil Procedure
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This 6 page Class Notes was uploaded by Christine Gilbert on Monday September 26, 2016. The Class Notes belongs to 316 at New Mexico State University taught by Professor Nancy Oretskin in Fall 2016. Since its upload, it has received 5 views. For similar materials see Legal Environment of Business in BLAW at New Mexico State University.


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Date Created: 09/26/16
Chapter 3 cont., part 2 9/1/16 Interesting fact: Over 50% of corporations are incorporated in Delaware. It developed business  aptitude to make it more attractive for business and population growth.  Jurisdiction is a synonym for authority.   Concurrent jurisdiction: a case that can go to either court, Federal [due to Federal Question or  Diversity] or State [born in the state].  *If you don’t have the choice to go into Federal court, you don’t have concurrent jurisdiction! When you have concurrent jurisdiction, it’s not a right or wrong answer with which court to  choose, (Federal or State): it’s your choice and what would be best for your case.  ­ Keep in mind how judges are elected, what’s their area of expertise [some states require  all judges handle all legal cases, and some categorize judges], and what the precedent  would be for this case.   Exclusive jurisdiction: only State has jurisdiction for a case.  NOTE: In reading a case, you have to be able to discern who’s the Plaintiff, who’s the  Defendant, and what the issue is.  Persuasion: to try and convince a judge to follow a specific precedent in another state.  Binding: The current precedent of jurisdiction Adversarial: Able to argue against the other side. (It’s an important skill to have, which includes  having adept research skills.) Used in court, trial, legal system etc. NOTE: Yes, you CAN reverse a prior court decision (the precedent), but through a lot of effort.  Long­Arm Statute: (review) the ability of a State to reach outside its jurisdiction to pull an entity  back into its jurisdiction: the entity/individual is served with a subpoena. (as long as the State can establish minimum contacts.) Stages of a Civil Lawsuit Phase I – Pleadings  Phase II – Discovery  Phase III – Trial  Phase IV – Appeal  Phase I: Pleadings (60­120 day period of time)  1) Complaint: Plaintiff files this at the Trial court and names the Defendant  a. Parties (Defendant and Plaintiff, the people)  b. Identifies the law being violated (the issue)  c. Facts d. Request for what you want (i.e. damages, money, etc.)  o Service of process: serving the Defendant with a summons, (subpoena), and a  complaint ­ (from the 5  and 14  Amendments of Due Process)  Plaintiff has to  show that the Defendant has received the serve.  o Done to try and enforce “fairness” and democracy.  Due Process: provides two important things for the Defendant:  i. Notice ii. Opportunity to be heard  *After getting a complaint, (if you are in the defendant’s seat), you can go back and amend the  complaint with new information.  2) Answer:  a. The Defendant must answer/respond to every allegation (statement) in the  complaint. (Admit, deny, or “lack information upon which to form an opinion,”  which is a fancy way of saying, “I don’t know.”)  i. Remember that Truth is ALWAYS on your side! (Lies are not: lies you  forget, and Truth you remember.)  b. Counterclaim: the Defendant has the opportunity to accuse the Plaintiff of any  issues. (Can also bring in other Defendants)  i. Race Judis: all parties that are potential defendants MUST be added in the  Answering process: can’t be added later in the case.  NOTE: What do you need to win a court case? A favorable judgement: if the defendant doesn’t  answer in the allotted time, and you can prove service, default judgement is given.   *As a defendant, you can request to vacate default judgement.  Court isn’t a vending machine: you have to go back for everything. (Many cases are just  abandoned)  Phase II: Discovery No matter what the movies show, an attorney NEVER asks a question in a trail court that the  witness doesn’t know how to answer.  1) Interrogatories: open­ended questions you can serve to parties in a lawsuit. (But ONLY  parties in the lawsuit!)  2) Deposition: requirement of anybody (not just a party in the case), to a non­court location  (i.e. an office) to ask questions regarding the case. (Depositions are one of the reasons  why Civil lawsuits can cost so much. In the U.S., everyone pays for their own legal fees  unless otherwise stated in a statute or contract.) *Perjury kicks you into Criminal law if you contradict your deposition and you are caught.  3) Request for Admission:  4) Request for Documents: i.e. *contracts, can include emails, texts, etc., which is why  lawyer use letters. (your phone number can be obtained in an interrogatory if necessary),  5) Request for Physical Examination: if the case involves a claim on injuries.  If anyone refuses to give you information, like emails, physical exams, etc.: boom, subpoena *contract: legally enforceable promise.  (9/6/16) Review Chapter 3 cases and look for what the issue the Supreme Court dealt with!! Hint: the  legal definitions the book gives directly after the case are usually because those are the issues  within the case.  In­class discussion of cases:  Mim vs Arrow: decided in the Supreme Court of the U.S. (i.e. Federal court) the real issue for  the Supreme court was an issue of jurisdiction: if this case was indeed a Federal or State issue.  ­ Mim filled the case in Federal court claiming Federal Question issue: violation of a  Statute.  ­ Arrow challenged Federal Court appeal ­ Supreme court ruled that Federal jurisdiction was legitimate because of specificities of  the Statue.  World­Wide Volkswagen Corp vs Wooden:  ­ Robinsons claimed Federal jurisdiction due to Diversity ­ WWV claimed not Diversity due to lack of minimum contacts  ­ WWV defeated Federal jurisdiction claim Cont. of Chapter 3 – Stages of Civil Lawsuit End of Discovery (Phase II) before trial:  ­ Plaintiff or Defendant or 3  party can file a motion for Summary Judgement.  *****Summary Judgement: states that there is no genuine issue of material fact and the party is  entitled to a judgement as a matter of law.   Looking at precedents. Many cases are decided on Summary Judgement motions without every going to court.  Stipulated facts: facts that both sides can agree on.    Most lawyers respond to more summary judgements motions than actually go to trial. You can  lose the Summary Judgement motion and still appeal.    If you don’t want a summary judgement motion and want to actually go to trial, you must prove that there is a dispute!  Based on the law and the facts  (At this point in the process, about a year has already gone by…)  Phase III: Trial 1) Select a Jury: you have to request a trial­by­jury in the complaint. (A Trial­by­jury is a  right, but it is NOT self­executing: you have to know that it’s there and bring it up if you  want it.) o Self­executing: asking for a right in order to invoke it in a case.  o Every state uses different criteria to select jurors. (NM does voter and vehicle  registration: the position is a paid one but states vary on pay rates.) o **Attorneys have the preemptory challenges (without cause) to remove jurors and unlimited challenges with cause.  o The Jury decides the credibility of the witness (if they’re lying or telling the  truth), so you want to pick your jury well!  o Petit Jury: jury in a civil case trial. (Grand juries are ONLY IN CRIMINAL law  cases to determine an indictment before a trial takes places, i.e. in the initial  process of starting the lawsuit.)  2) Opening Statements: first given by Plaintiff o Usually attempting to “entertain” (to a point) and capture the attention of the jury. (Unfortunately sometimes the jury pays more attention to the opening and closing  statements than to the witnesses and evidence)  o Evidence comes from witnesses, not opening/closing statements  3) Witnesses:  o Attorneys must ask direct questions to witnesses  o Attorneys cannot ask leading questions. {“Objection, leading the witness,” these  can be hard to avoid if your witness chokes and forgets how they were supposed  to answer.) o Judges calls: “Sustained,” “Overturned,” “Hearsay:” meaning out­of­court  statement to the truth of the matter at present. (Rumor has it…)   o Witnesses cannot invoke hearsay.  o When the witnesses are called, ALL evidence is disclosed.  Directed Verdict: claim judge to override jury and make a verdict to show the other  side hasn’t met their Burden of Proof. (Very rarely granted, but strategically requested.)  Defense: impeachment witness  someone who is going to argue against the Plaintiff  Veracity: truthfulness can use this to challenge a Plaintiff’s witness.  4) Closing Arguments: Plaintiff goes first. Something along the lines of, “see, I was right in  my opening statement that we’d prove…”   5) Judge gives the Jury “Jury Instructions:” Providing legal definitions and information  from case at hand.  6) Jury Deliberation:  o Sometimes the jury is sequestered, i.e. sheltered from the media o In a Civil case, the jury determines if the defendant is liable, not guilty [criminal  law only].  o Jury’s verdict turns into a judgement in the hands of the judge.  o JNOV: Judgement Not Withstanding the Verdict: issued by the party that lost in  attempt to immediately reverse verdict of the jury. (HAD TO HAVE ASKED for  DIRECTED VERDICT earlier. Issued when jury members were asleep, crazy,  etc.     Suing: typically suing for 1. Damages (money), 2. Injunction (stop order), 3. Specific  performance (non­money: “order that they give me the piano!”) Compensatory damages: money to compensate for damages  Punitive damages: used for “punishment” damages.  Phase IV: Appeal (If you lose at trial court) ­ Have to appeal within 30 days of trial case to the appropriate appellate court ­ Briefing will be scheduled  ­ NO new witnesses or facts: stuck with the evidence in the case forever, unless you have a retrial.  (9/8/16) Appeals process:  ­ 30 days after court decision ­ Oral process only; have to use transcript from trial case ­ You don’t get a different opinion of the evidence  ­ You have to follow the person you beat to get the money once you win: the court doesn’t  enforce that.  ADR, Alternative Dispute Resolution:  1) Negotiation: a. Interest­based negotiation: how to regulate w/people that you absolutely hate.  (Type of negotiation and very useful). 90% of the time parties pay willingly,  because they were part of the process.  2) Settlement Facilitation 3) Arbitration: “quazi” [meaning “kind of like but not really] – judicial process  a. 1­3 arbitrators issue a decision, called an award.  b. You can take an award and turn it into a judgement in a court  c. This method is used in baseball and International Disputes.  i. Hard to enforce judgments between two countries when using two  different legal systems.  ii. Always use arbitration in International disputes iii. Have to include pre­dispute clause in the contract stipulating that, if a  dispute arises, arbitration would be used to settle the dispute.  iv. File motion to the court to mandate arbitration in court proceeding and  show contract.  v. If you don’t like the result of the award? Too bad: you can’t re­open an  arbitration dispute. 4) Mediation: facilitated negotiation a. Third party mediates  b. Mediated agreement (if it goes well)  c. If it doesn’t go well and you go to court, the mediator CANNOT be called as a  witness.  Benefits of ADR:  ­ Faster ­ Cheaper  ­ Better terms with trading partner than after taking them to court  ­ Less publicity/reputation dragging Treaties:  ­ NY Convention (named so because it was signed in NY), ratified by 143 countries, and  thereby enforceable in those 143 countries. It concerns the process of arbitration.


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