Instructor Manual For g g g
DynamicgBusinessgLawgThegEssentials,g5thgEdition,gNancygKubasekgChapterg
1-25g
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Chapterg1:ggAngIntroductiongtogthegFundamentalsgofgDynamicgBusinessgLawgandg
BusinessgEthicsggg
g
1.gCHAPTERgOVERVIEWgg
g
Chapterg1glaysgthegfoundationgforgthegtextbook.gThegtextbookgemphasizesgwaysgingwhichgbusine
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g
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g
2.gLEARNINGgOBJECTIVESg
Aftergreadinggthisgchapter,gstudentsgwillgbegablegtoganswergthegfollowinggquestions:gggg
ggggggggggggggggggggggggggggggggg
1. Whatgisgbusinessglaw?g
2. Howgdoesgbusinessglawgrelategtogbusinessgeducation?g
3. Whatgaregthegpurposesgofglaw?g
4. Whatgaregalternativegwaysgtogclassifyglaw?g
5. Whatgaregthegsourcesgofglaw?g
6. Whatgaregthegvariousgschoolsgofgjurisprudence?g
g
3.gLECTUREgNOTESgWITHgDEFINITIONSg
g
a.gIngthegnews…g
Teachinggtip:ggForgeachgchapter,gconsidergaskinggstudentsgtogrelategcurrentgnewsgitemsgtogmateri
algfromgthegchapter.g
g
Ingadditiongtogideasgstudentsgcomegupgwithgongtheirgown,gconsidergweavinggingnewsgstoriesgprov
idedgbygthegMcGraw-Hill.ggStoriesgaregavailablegviagagMcGraw-
HillgDVD,gandgongthegpublisher‘sgwebgsite.g
ForgChaptergOne,gMcGraw-Hillgoffersgthegfollowinggstories:g
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―SmokinggBan:ggTobaccogTyrants:gGonegToogFar?gManygStatesgAregPuttinggStrongergRestricti
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• Havegstatesggonegtoogfargingbanninggsmoking?g
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1-1g
©g2021gMcGraw-
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,―CollegegOfficergDealingsgWithgLendersgScrutinized.‖g
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• Whygcreatedgchangesgingthegwaysgcollegegofficersginteractgwithglenders?g
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b. Whatgisgbusinessglaw?g
Businessglawgconsistsgofgthegenforceablegrulesgofgconductgthatggoverngthegactionsgofgbuyersgandg
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g
c. Howgdoesgbusinessglawgrelategtogbusinessgeducation?g
Businessglawgappliesgtogthegsixgfunctionalgareasgofgbusiness:g
• Managementg
• Productiongandgtransportationg
• Marketingg
• Researchgandgdevelopmentg
• Accountinggandgfinanceg
• Humangresourcegmanagementg
g
d. Whatgaregthegpurposesgofglaw?g
• Providinggorderg
• Servinggasgangalternativegtogfightingg
• Facilitatinggagsensegthatgchangegisgpossibleg
• Encouraginggsocialgjusticeg
• Guaranteeinggpersonalgfreedomsg
• Servinggasgagmoralgguideg
g
e. Whatgaregalternativegwaysgtogclassifyglaw?gOnegwaygtogclassif
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Privateglawginvolvesgdisputesgbetweengprivategindividualsgorggroups.g
Publicglawginvolvesgdisputesgbetweengprivategindividualsgorggroupsgandgtheirggovernment.g
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Criminalglawgisgthegbodygofglawsgthatginvolvegthegrightsgandgresponsibilitiesgangindividualghasg
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Teachinggtip:ggAskgstudentsgtoggivegangexamplegofgagfactgsituationgthatgledgtogbothgcriminalgand
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g
f.gWhatgaregthegsourcesgofglaw?g
Sourcesgofgbusinessglawgare:g
1. Constitutionsg
Constitutionalglawgrefersgtogtheggeneralglimitsgandgpowersgofggovernmentsgasgstatedgingtheirgwri
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2. Statutesgorglegislativegactionsggg
Statutesgorglegislativegactionsgrefergtogthegassortmentgofgrulesgandgregulationsgputgforthgbyglegi
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3. Casesg
1-2g
©g2021gMcGraw-
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g
,Caseglawg(orgcommonglaw)gisgthegcollectiongofglegalginterpretationsgmadegbygjudges.gPrecede
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Staregdecisisgisgagprinciplegstatinggthatgrulingsgmadeginghighergcourtsgaregbindinggprecedentgforgl
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4. Administrativeglawg
Administrativeglawgisgthegcollectiongofgrulesgandgdecisionsgmadegbygadministrativegagenciesgtog
fillgingparticulargdetailsgmissinggfromgconstitutionsgandgstatutes.g
5. Treatiesg
Agtreatygisgagbindinggagreementgbetweengtwogstatesgorginternationalgorganizations.g
6.ggExecutivegordersg
Angexecutivegordergisgagdirectivegthatgcomesgfromgthegpresidentgorgstateggovernor.g
g
g.gWhatgaregthegvariousgschoolsgofglegalginterpretation?g
Somegschoolsgofglegalginterpretationginclude:g
• IdentificationgwithgthegVulnerable—
gemphasisgongfairnessgandglookinggoutgforgthosegwithgthegleastgpower.g
• HistoricalgSchool/gTradition—emphasisgongthegusegofgtraditionsgandgstaregdecisis.g
• LegalgRealism—judgesgconsidergcontextgsuchgasgsocialgandgeconomicgconditions.g
• Cost-benefitgAnalysis—
emphasisgisgongassigninggmonetarygvaluesgtogcostsgandgbenefitsgofgtheglawgingordergtogm
akegcalculationsgtogmaximizegthegratiogofgbenefitsgtogcosts.g
g
Teachinggtip:ggConsidergusingg―ThegCasegofgthegSpelunceangExplorersg(linkgbelow)gtogmakegt
hegschoolsgofgjurisprudencegcomegalive.g
g
h.gAppendixgongCriticalgThinkinggandgBusinessgLawg
Criticalgthinkinggincludesgthegapplicationgofgevaluativegstandardsgtogassessgthegqualitygorgthegrea
soninggbeinggofferedgtogsupportgthegconclusion.ggCriticalgthinkersgwillgfollowgthisgpatterngofgcare
fulgthinkinggwhengtheygreadgangargument:g
1. Findgthegfacts.g
2. Lookgforegthegissue.g
3. Identifygthegjudge‘sgreasonsgandgconclusion.g4.ggLocategingthegdecisiongthegrulesgofglawgthatgg
overngthegjudge‘sgreasoning.g
5.ggApplygcriticalgthinkinggtogthegreasoning.ggEvaluategthegreasoning.g
• Lookgforgpotentialgambiguity.g
• Considergthegstrengthgofganalogies.g
• Checkgthegqualitygofgthegjudge‘sgreasoning.g
• Decidegwhethergimportantginformationgisgmissing.g
• Considergthegpossibilitygofgrivalgcauses.g
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4.gTEACHINGgSKILLS:gBLOOM’SgTAXONOMYgSETSgTHEgSTAGEgTOgTHINK
gABOUTgTHEgKINDSgOFgQUESTIONSgTOgASKgYOURgSTUDENTSg
BenjamingBloom,ginghisgTaxonomygofgEducationalgObjectives,*gdevelopedgaghierarchygofgcognit
ivegfunctions.ggHisgworkgsetsgthegstagegforgteachersgtogunderstandgwhygitgisgimportantgtogthinkgca
refullygaboutgthegkindsgofgquestionsgtheygaskgingclass.g
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1-3g
©g2021gMcGraw-
HillgEducation.gAllgrightsgreserved.gNogreproductiongorgdistributiongwithoutgthegpriorgwrittengconsentgofgMcGrawHillgEducation
.gg
g
, ThegObjectiveg Samplegquestionsg
Knowledgeg • Whatgisgbusinessglaw?g
Lowestglevelgofglearninggandgisgmostlygmemory.gg • Whatgaregthegfourgelementsgofgagnegligencegcla
Thegstudentgrecognizesgandgrecallsginformation.g im?g
Comprehensiong • Whatgisgyourgunderstandinggofgthegconceptgofg
Lowestglevelgofgunderstanding.gThegstudentgparap staregdecisis?g
hrasesgorgexplainsgsomething.g • Whatgdoesgyourgtextbookgmeangbygdeontology
?g
Applicationg • Howgwouldgagnaturalglawgthinkergrespondgtogt
Studentgdemonstratesghergunderstandinggofgabstrac hisgparticulargfactgpattern?g
tgrules,gprinciples,gorggeneralizationsgbygusinggthe • Usegagparticulargcasegrulegtogdeterminegwhethe
mgtogsolveglife-likegproblems.g rgthegplaintiffgwillgbegsuccessfulginghergclaim.g
Analysisgg • Providegthegreasoninggforgthegfollowinggstatem
Studentgbreaksgdowngagcommunicationgtogdiscover ent:gAllgcontractsgdognotgneedgtogbegingwriting
gtheghiddengstructuregasgwellgasgassumptions.g gtogbegenforceable.g
• Breakgdowngagparticulargjudge‘sgopiniongtogun
derstandgthegassumptionsgthegjudgegisgmaking.
g
Synthesisg • Explainghowgtwogparticulargschoolsgofglegalgint
Studentgcreativelygcombinesgelementsgandgpartsgto erpretationgaregrelated.g
gformgagwholegnewgstructure.g • Makegagconnectiongbetweengduressgandginsanit
y.g
Evaluationg • Identifygandgexplaingagreasoninggflawgingthegju
Highestglevelgofglearning.gStudentgmakesgagcritical dge‘sgargument.g
gjudgmentgaboutgthegvaluegofgtheg • Evaluategthegfollowinggstatement:g
ggggggggggggggggggggg
*gBENJAMINgBLOOM,gTAXONOMYgOFgEDUCATIONALgOBJECTIVES:gTHEgCLASSIFIC
ATIONgOFgEDUCATIONALgGOALSg(1954).g
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communication. Arbitrationgandgmediationgaregbettergformsgofgdisputegresolutiongthanglitigation
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.g
g
g
1-4g
©g2021gMcGraw-
HillgEducation.gAllgrightsgreserved.gNogreproductiongorgdistributiongwithoutgthegpriorgwrittengconsentgofgMcGrawHillgEducation
.gg
g
DynamicgBusinessgLawgThegEssentials,g5thgEdition,gNancygKubasekgChapterg
1-25g
g
Chapterg1:ggAngIntroductiongtogthegFundamentalsgofgDynamicgBusinessgLawgandg
BusinessgEthicsggg
g
1.gCHAPTERgOVERVIEWgg
g
Chapterg1glaysgthegfoundationgforgthegtextbook.gThegtextbookgemphasizesgwaysgingwhichgbusine
ssglawgintersectsgwithgthegsixgfunctionalgareasgofgbusiness.gThroughoutgthegtextbook,gthegauthors
gwillgencouragegstudentsgtog―connectgtogthegcore,‖gandgremembergthegwaysgingwhichglawginterse
ctsgwithgothergareasgofgstudy,gincludinggcorporategmanagement,gproductiongandgtransportation,g
marketing,gresearchgandgdevelopment,gaccountinggandgfinance,gandghumangresourcegmanagemen
t.g
g
g
Thisgmanualgsupportsgtheg―connectinggtogthegcore‖gthemegbyggivinggideasgforgassignmentsgthatg
encouragegstudentsgtogintegrategtheirgbusinessglawgknowledgegwithgknowledgegtheygaregacquirin
ggfromgtheirgothergbusinessgclasses.gThegmanualgalsogencouragesgprofessorsgtogimprovegtheirgtea
chinggskills.ggFinally,gthegmanualgsuggestsgteachinggideasgforgbothgbeginninggandgexperiencedgte
achers.ggg
g
2.gLEARNINGgOBJECTIVESg
Aftergreadinggthisgchapter,gstudentsgwillgbegablegtoganswergthegfollowinggquestions:gggg
ggggggggggggggggggggggggggggggggg
1. Whatgisgbusinessglaw?g
2. Howgdoesgbusinessglawgrelategtogbusinessgeducation?g
3. Whatgaregthegpurposesgofglaw?g
4. Whatgaregalternativegwaysgtogclassifyglaw?g
5. Whatgaregthegsourcesgofglaw?g
6. Whatgaregthegvariousgschoolsgofgjurisprudence?g
g
3.gLECTUREgNOTESgWITHgDEFINITIONSg
g
a.gIngthegnews…g
Teachinggtip:ggForgeachgchapter,gconsidergaskinggstudentsgtogrelategcurrentgnewsgitemsgtogmateri
algfromgthegchapter.g
g
Ingadditiongtogideasgstudentsgcomegupgwithgongtheirgown,gconsidergweavinggingnewsgstoriesgprov
idedgbygthegMcGraw-Hill.ggStoriesgaregavailablegviagagMcGraw-
HillgDVD,gandgongthegpublisher‘sgwebgsite.g
ForgChaptergOne,gMcGraw-Hillgoffersgthegfollowinggstories:g
g
―SmokinggBan:ggTobaccogTyrants:gGonegToogFar?gManygStatesgAregPuttinggStrongergRestricti
onsgongWheregYougCangSmoke‖g
• Havegstatesggonegtoogfargingbanninggsmoking?g
• Whoseginterestsgaregstateglegislaturesglookinggoutgforgingbanninggsmoking?g
g
1-1g
©g2021gMcGraw-
HillgEducation.gAllgrightsgreserved.gNogreproductiongorgdistributiongwithoutgthegpriorgwrittengconsentgofgMcGrawHillgEducation
.gg
g
,―CollegegOfficergDealingsgWithgLendersgScrutinized.‖g
• Shouldgregulatorsgtakegagmoregcarefulglookgatgcollegegofficers?ggg
• Whygcreatedgchangesgingthegwaysgcollegegofficersginteractgwithglenders?g
g
g
b. Whatgisgbusinessglaw?g
Businessglawgconsistsgofgthegenforceablegrulesgofgconductgthatggoverngthegactionsgofgbuyersgandg
sellersgingmarketgexchanges.gg
g
c. Howgdoesgbusinessglawgrelategtogbusinessgeducation?g
Businessglawgappliesgtogthegsixgfunctionalgareasgofgbusiness:g
• Managementg
• Productiongandgtransportationg
• Marketingg
• Researchgandgdevelopmentg
• Accountinggandgfinanceg
• Humangresourcegmanagementg
g
d. Whatgaregthegpurposesgofglaw?g
• Providinggorderg
• Servinggasgangalternativegtogfightingg
• Facilitatinggagsensegthatgchangegisgpossibleg
• Encouraginggsocialgjusticeg
• Guaranteeinggpersonalgfreedomsg
• Servinggasgagmoralgguideg
g
e. Whatgaregalternativegwaysgtogclassifyglaw?gOnegwaygtogclassif
yglaw:g
Privateglawginvolvesgdisputesgbetweengprivategindividualsgorggroups.g
Publicglawginvolvesgdisputesgbetweengprivategindividualsgorggroupsgandgtheirggovernment.g
g
Agsecondgwaygtogclassifyglaw:g
Civilglawgisgthegbodygofglawsgthatggoverngthegrightsgandgresponsibilitiesgeithergbetweengpersonsg
orgbetweengpersonsgandgtheirggovernment.gg
Criminalglawgisgthegbodygofglawsgthatginvolvegthegrightsgandgresponsibilitiesgangindividualghasg
withgrespectgtogthegpublicgasgagwhole.gg
Teachinggtip:ggAskgstudentsgtoggivegangexamplegofgagfactgsituationgthatgledgtogbothgcriminalgand
gcivilglawsuits,ge.g.,gthegO.J.gSimpsongtrials.g
g
f.gWhatgaregthegsourcesgofglaw?g
Sourcesgofgbusinessglawgare:g
1. Constitutionsg
Constitutionalglawgrefersgtogtheggeneralglimitsgandgpowersgofggovernmentsgasgstatedgingtheirgwri
ttengconstitutions.g
2. Statutesgorglegislativegactionsggg
Statutesgorglegislativegactionsgrefergtogthegassortmentgofgrulesgandgregulationsgputgforthgbyglegi
slatures.g
3. Casesg
1-2g
©g2021gMcGraw-
HillgEducation.gAllgrightsgreserved.gNogreproductiongorgdistributiongwithoutgthegpriorgwrittengconsentgofgMcGrawHillgEducation
.gg
g
,Caseglawg(orgcommonglaw)gisgthegcollectiongofglegalginterpretationsgmadegbygjudges.gPrecede
ntgisgagtoolgusedgbygjudgesgtogmakegrulingsgongcasesgongthegbasisgofgkeygsimilaritiesgtogprevio
usgcases.gg
Staregdecisisgisgagprinciplegstatinggthatgrulingsgmadeginghighergcourtsgaregbindinggprecedentgforgl
owergcourts.gg
Teachinggtip:ggThegfirstgtimegyourgstudentsgencountergangappellategcasegingthegreadings,gshowgth
emgwhatgstaregdecisisglooksglikegingthegcontextgofgagrealgcase.g
4. Administrativeglawg
Administrativeglawgisgthegcollectiongofgrulesgandgdecisionsgmadegbygadministrativegagenciesgtog
fillgingparticulargdetailsgmissinggfromgconstitutionsgandgstatutes.g
5. Treatiesg
Agtreatygisgagbindinggagreementgbetweengtwogstatesgorginternationalgorganizations.g
6.ggExecutivegordersg
Angexecutivegordergisgagdirectivegthatgcomesgfromgthegpresidentgorgstateggovernor.g
g
g.gWhatgaregthegvariousgschoolsgofglegalginterpretation?g
Somegschoolsgofglegalginterpretationginclude:g
• IdentificationgwithgthegVulnerable—
gemphasisgongfairnessgandglookinggoutgforgthosegwithgthegleastgpower.g
• HistoricalgSchool/gTradition—emphasisgongthegusegofgtraditionsgandgstaregdecisis.g
• LegalgRealism—judgesgconsidergcontextgsuchgasgsocialgandgeconomicgconditions.g
• Cost-benefitgAnalysis—
emphasisgisgongassigninggmonetarygvaluesgtogcostsgandgbenefitsgofgtheglawgingordergtogm
akegcalculationsgtogmaximizegthegratiogofgbenefitsgtogcosts.g
g
Teachinggtip:ggConsidergusingg―ThegCasegofgthegSpelunceangExplorersg(linkgbelow)gtogmakegt
hegschoolsgofgjurisprudencegcomegalive.g
g
h.gAppendixgongCriticalgThinkinggandgBusinessgLawg
Criticalgthinkinggincludesgthegapplicationgofgevaluativegstandardsgtogassessgthegqualitygorgthegrea
soninggbeinggofferedgtogsupportgthegconclusion.ggCriticalgthinkersgwillgfollowgthisgpatterngofgcare
fulgthinkinggwhengtheygreadgangargument:g
1. Findgthegfacts.g
2. Lookgforegthegissue.g
3. Identifygthegjudge‘sgreasonsgandgconclusion.g4.ggLocategingthegdecisiongthegrulesgofglawgthatgg
overngthegjudge‘sgreasoning.g
5.ggApplygcriticalgthinkinggtogthegreasoning.ggEvaluategthegreasoning.g
• Lookgforgpotentialgambiguity.g
• Considergthegstrengthgofganalogies.g
• Checkgthegqualitygofgthegjudge‘sgreasoning.g
• Decidegwhethergimportantginformationgisgmissing.g
• Considergthegpossibilitygofgrivalgcauses.g
g
g
4.gTEACHINGgSKILLS:gBLOOM’SgTAXONOMYgSETSgTHEgSTAGEgTOgTHINK
gABOUTgTHEgKINDSgOFgQUESTIONSgTOgASKgYOURgSTUDENTSg
BenjamingBloom,ginghisgTaxonomygofgEducationalgObjectives,*gdevelopedgaghierarchygofgcognit
ivegfunctions.ggHisgworkgsetsgthegstagegforgteachersgtogunderstandgwhygitgisgimportantgtogthinkgca
refullygaboutgthegkindsgofgquestionsgtheygaskgingclass.g
g
1-3g
©g2021gMcGraw-
HillgEducation.gAllgrightsgreserved.gNogreproductiongorgdistributiongwithoutgthegpriorgwrittengconsentgofgMcGrawHillgEducation
.gg
g
, ThegObjectiveg Samplegquestionsg
Knowledgeg • Whatgisgbusinessglaw?g
Lowestglevelgofglearninggandgisgmostlygmemory.gg • Whatgaregthegfourgelementsgofgagnegligencegcla
Thegstudentgrecognizesgandgrecallsginformation.g im?g
Comprehensiong • Whatgisgyourgunderstandinggofgthegconceptgofg
Lowestglevelgofgunderstanding.gThegstudentgparap staregdecisis?g
hrasesgorgexplainsgsomething.g • Whatgdoesgyourgtextbookgmeangbygdeontology
?g
Applicationg • Howgwouldgagnaturalglawgthinkergrespondgtogt
Studentgdemonstratesghergunderstandinggofgabstrac hisgparticulargfactgpattern?g
tgrules,gprinciples,gorggeneralizationsgbygusinggthe • Usegagparticulargcasegrulegtogdeterminegwhethe
mgtogsolveglife-likegproblems.g rgthegplaintiffgwillgbegsuccessfulginghergclaim.g
Analysisgg • Providegthegreasoninggforgthegfollowinggstatem
Studentgbreaksgdowngagcommunicationgtogdiscover ent:gAllgcontractsgdognotgneedgtogbegingwriting
gtheghiddengstructuregasgwellgasgassumptions.g gtogbegenforceable.g
• Breakgdowngagparticulargjudge‘sgopiniongtogun
derstandgthegassumptionsgthegjudgegisgmaking.
g
Synthesisg • Explainghowgtwogparticulargschoolsgofglegalgint
Studentgcreativelygcombinesgelementsgandgpartsgto erpretationgaregrelated.g
gformgagwholegnewgstructure.g • Makegagconnectiongbetweengduressgandginsanit
y.g
Evaluationg • Identifygandgexplaingagreasoninggflawgingthegju
Highestglevelgofglearning.gStudentgmakesgagcritical dge‘sgargument.g
gjudgmentgaboutgthegvaluegofgtheg • Evaluategthegfollowinggstatement:g
ggggggggggggggggggggg
*gBENJAMINgBLOOM,gTAXONOMYgOFgEDUCATIONALgOBJECTIVES:gTHEgCLASSIFIC
ATIONgOFgEDUCATIONALgGOALSg(1954).g
g
communication. Arbitrationgandgmediationgaregbettergformsgofgdisputegresolutiongthanglitigation
g
.g
g
g
1-4g
©g2021gMcGraw-
HillgEducation.gAllgrightsgreserved.gNogreproductiongorgdistributiongwithoutgthegpriorgwrittengconsentgofgMcGrawHillgEducation
.gg
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