Business Law Today PDF
Document Details
Uploaded by Deleted User
2020
Roger LeRoy Miller
Tags
Summary
This document is a textbook on business law. It covers topics such as courts and alternative dispute resolution. It also includes learning objectives, chapter outlines, and case examples.
Full Transcript
Roger LeRoy Miller BUSINESS LAW Today STANDARD EDITION TEXT & SUMMARIZED CASES, 12e Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 20...
Roger LeRoy Miller BUSINESS LAW Today STANDARD EDITION TEXT & SUMMARIZED CASES, 12e Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Courts and Alternative Dispute Resolution Chapter 4 Chapter Outline 4-1 The Judiciary’s Role in American Government 4-2 Basic Judicial Requirements 4-3 The State and Federal Court Systems 4-4 Following a State Court Case 4-5 Courts Online 4-6 Alternative Dispute Resolution Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Learning Objectives (slide 1 of 2) 1. What is judicial review? How and when was the power of judicial review established? 2. How are the courts applying traditional jurisdictional concepts to cases involving internet transactions? 3. What is the difference between the focus of a trial court and an appellate court?Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Learning Objectives (slide 2 of 2) 4. What is discovery, and how does electronic discovery differ from traditional discovery? 5. What is an electronic court filing system? 6. What are three alternative methods of resolving disputes? Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-1 The Judiciary’s Role in American Government 4-1a Judicial Review Judicial review: The process by which a court decides on the constitutionality of legislative enactments and actions of the executive branch 4-1b The Origins of Judicial Review in the United States The U.S. Constitution makes no mention of the power of judicial review. See Chapter 4 Landmark in the Law feature: Marbury v. Madison (1803) Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Landmark in the Law Marbury v. Madison (1803) Power of judicial review remains unchallenged and is exercised by federal and state courts Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-2 Basic Judicial Requirements 4-2a Jurisdiction Jurisdiction: Juris (law) diction (to speak) is the authority of a court to hear and decide a specific action. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-2a Jurisdiction (slide 1 of 7) Jurisdiction over Persons or Property Personal jurisdiction gives a court the authority to hear and decide a dispute involving any person or business that resides in the court’s geographic area. Long Arm Statutes: Used for non-resident parties based on “minimum contacts” with state Case Example 4.2 Ji-Haw Industrial Co. v. Broquet (2008) Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-2a Jurisdiction (slide 2 of 7) Jurisdiction over Persons or Property A corporations is normally subject to personal jurisdiction in the state in which it is incorporated, has its principle office, and is doing business. Case Example 4.3 State ex rel. Norfolk Southern Railway Co. v. Dolan (2017) Jurisdiction over Subject Matter Subject matter jurisdiction is the authority of a court to hear and decide certain types of disputes; examples include probate court and bankruptcy , court. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-2a Jurisdiction (slide 3 of 7) Jurisdiction over Subject Matter In both federal and state court systems, a trial court’s subject matter jurisdiction may be limited by: 1. The subject of the lawsuit. 2. The sum in controversy. 3. Whether the case involves felony or misdemeanor. 4. Whether proceeding is trial or appeal. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-2a Jurisdiction (slide 4 of 7) Original and Appellate Jurisdiction Original jurisdiction: The authority of a court to hear and decide a dispute in the first instance. Appellate jurisdiction: The authority of a court to review a prior decision in the same case made by another court. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-2a Jurisdiction (slide 5 of 7) Jurisdiction of the Federal Courts Federal Questions Diversity of Citizenship “Diversity” cases occur when: 1. The parties are not from the same state, and 2. The amount in controversy is greater than $75,000. Case Example 4.4 Mala v. Crown Bay Marina, Inc. (2013) Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-2a Jurisdiction (slide 6 of 7) Exclusive versus Concurrent Jurisdiction Concurrent jurisdiction: Exists when two different courts have the power to hear a case. Exclusive jurisdiction: Exists when a case can be heard only in a federal court or a state court. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-2a Jurisdiction (slide 7 of 7) Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-2b Jurisdiction in Cyberspace (slide 1 of 2) Courts use a “sliding scale” standard for determining when the exercise of jurisdiction over an out-of-state defendant is proper: 1. When the defendant conducts substantial business over the Internet, jurisdiction is proper. 2. When there is some interactivity through a Web site website, jurisdiction may be proper (depending on the circumstances). Case Example 4.5 Delahoussaye v. Boelter (2016) 3. If the defendant merely engages in passive advertising on the web, jurisdiction is never proper. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-2b Jurisdiction in Cyberspace (slide 2 of 2) International Jurisdictional Issues The Internet is global in scope, it raises international jurisdictional issues. The world’s courts seem to be developing a standard that echoes the minimum-contacts requirement applied by U.S. courts. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Spotlight on Gucci: Case 4.1 Gucci America, Inc. v. Wang Huoqing (2011) Suppose that Gucci had not presented evidence that Huoqing made one actual sale through his Web site to a resident (the PI) of the court’s district. Would the court still have found that it had personal jurisdiction over Huoqing? Why or why not? Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-2c Venue Venue: The geographic district in which a legal action is tried and from which the jury is selected. Venue in a civil case typically is where the defendant resides. Venue in a criminal case normally is where the crime occurred. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-2d Standing to Sue To bring a lawsuit, a party must have “standing” to sue. Standing to sue: The legal requirement that an individual must have a sufficient stake in a controversy before he or she can bring a lawsuit. A person can have standing to sue on behalf of another person, Standing to sue requires that the controversy at issue be a justiciable controversy (one that is real and substantial, as opposed to hypothetical or academic). Case Example 4.6 Wagner v. CitiMortgage, Inc. (2014) Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-3 The State and Federal Court Systems (slide 1 of 2) Federal courts are not superior to state courts. They are simply an independent system of courts. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-3 The State and Federal Court Systems (slide 2 of 2) Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-3a The State Court Systems (slide 1 of 2) Trial Courts Courts in which trials are held and testimony taken Small claims courts: A special court in which parties can litigate small claims without an attorney. These courts only hear civil cases involving claims of less than a certain amount (usually $5,000). Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-3a The State Court Systems (slide 2 of 2) Appellate, or Reviewing, Courts Typically limit their reviews to questions of law rather than questions of fact. Usually defer to the trial court’s findings on questions of fact unless the findings are erroneous. The decisions of each state’s highest court are final on all questions of state law. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-3b The Federal Court System (slide 1 of 4) U.S. District Courts At the federal level, these are equivalent to a state trial court of general jurisdiction. There are currently 94 federal judicial districts. U.S. Courts of Appeals There are 13 U.S. courts of appeals (also called circuit courts). The Court of Appeals for the Thirteenth Circuit is called the Federal Circuit. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-3b The Federal Court System (slide 2 of 4) Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-3b The Federal Court System (slide 3 of 4) The United States Supreme Court Consists of 9 justices Can review any case decided by any of the federal courts of appeals, and has appellate authority over some cases decided in state courts Appeals to the Supreme Court Most cases reach the U.S. Supreme Court on writ of certiorari, which requires that at least four justices (the Rule of Four) agree the case merits the Court’s review. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-3b The Federal Court System (slide 4 of 4) Petitions Granted by the Court Typically occurs when the case raises important constitutional questions or lower courts issue conflicting decisions on a significant issue. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-4 Following a State Court Case 4-4a The Pleadings Litigation: The process of resolving a dispute through the court system. Pleadings: Written documents that inform each of the parties of one another’s claims and defenses and specify the issues involved in the lawsuit. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-4a The Pleadings (slide 1 of 4) The Plaintiff’s Complaint: Contains statements alleging: The facts necessary for court to take jurisdiction. A brief summary of facts necessary to show that the plaintiff is entitled to relief. A statement of the remedy that the plaintiff seeks. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-4a The Pleadings (slide 2 of 4) Service of Process: The delivery of the complaint and summons to a defendant. Default Judgment: A judgment entered by a court against a defendant who has failed to appear in court to answer or defend against the plaintiff’s claim. The method of service depends on the rules of the court or jurisdiction in which the lawsuit is brought. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-4a The Pleadings (slide 3 of 4) The Defendant’s Answer: A response to the plaintiff’s complaint. Counterclaim: A claim made by a defendant in a civil lawsuit against the plaintiff. Reply: A plaintiff’s response to a defendant’s answer. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-4a The Pleadings (slide 4 of 4) Motion to Dismiss Motion to dismiss: A pleading in which a defendant admits the facts as alleged by the plaintiff but asserts that the plaintiff’s claim to state a cause of action has no basis in law. Case Example 4.9 Espresso Distribution Corp. v. Santana Sales & Marketing Group, Inc. (2013) Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-4b Pretrial Motions Motion for judgment on the pleadings A motion by either party to a lawsuit at the close of the pleadings requesting the court to decide the issue solely on the pleadings without proceeding to trial. The motion will be granted only if no facts are in dispute. Motion for summary judgment A motion requesting the court to enter a judgment without proceeding to trial. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-4c Discovery (slide 1 of 4) Discovery: A method by which the opposing parties obtain information from each other to prepare for trial. Depositions: Sworn testimony by a party to the lawsuit or any witness. Interrogatories: Written questions that are directed to the plaintiff or defendant for which written answers are prepared and then signed under oath. Case Example 4.10 Construction Laborers Trust Funds for Southern California Administrative Co. v. Montalvo (2011) Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-4c Discovery (slide 2 of 4) Requests for Other Information A party can serve a written request on the other party for an admission of the truth on matters relating to the trial. The party can also gain access to documents and other items not in her or his possession in order to inspect and examine them. A party can ask the court to order a physical or mental examination of the opposing party. Courts will do so only if the need for the information outweighs the right to privacy of the person to be examined. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-4c Discovery (slide 3 of 4) Electronic Discovery: Any relevant material, including information stored electronically, can be the object of a discovery request including e-mail and spreadsheets (known as e-evidence) and metadata (described as “data about data”). E-Discovery Procedures The Federal Rules of Civil Procedure deal specifically with the preservation, retrieval, and production of electronic data. Experts must usually hired to retrieve evidence in its electronic format. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-4c Discovery (slide 4 of 4) Electronic Discovery Advantages and Disadvantages: E-discovery can provide useful and damaging evidence or “smoking gun” information but it is also time-consuming and expensive. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-4d Pretrial Conference Informal discussion between the judge and opposing counsel Explore the possibility of a settlement, or identify the real issues in dispute, and plan the course of the trial Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-4e Jury Selection Trials can be with or without a jury (bench trial). Seventh amendment guarantees the right to jury trial in federal cases if the amount in controversy exceeds $20. Voir dire is the process of jury selection. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-4f At the Trial (slide 1 of 2) Opening Arguments and Examination of Witnesses Motion for a directed verdict: A motion for the judge to take the decision out of the hands of the jury and to direct a verdict for the party making the motion on the ground that the other party has not produced sufficient evidence to support her or his claim. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-4f At the Trial (slide 2 of 2) Closing Arguments and Awards After the defense concludes its presentation, the attorneys present their closing arguments, each urging a verdict in favor of her or his client. The judge instructs the jury in the law that applies to the case, and the jury retires to the jury room to deliberate a verdict. If the jury finds for the plaintiff, it will also decide on the amount of the award (monetary compensation given to a party at the end of a trial or other proceeding). Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-4g Posttrial Motions Motion for judgment n.o.v. A motion requesting the court to grant judgment in favor of the party making the motion on the ground that the jury’s verdict against him or her was unreasonable and erroneous. Motion for a new trial A motion asserting that the trial was so fundamentally flawed (because of error, newly discovered evidence, prejudice, or another reason) that a new trial is necessary to prevent a miscarriage of justice. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-4h The Appeal (slide 1 of 2) Filing the Appeal Brief: A written summary or statement prepared by one side in a lawsuit to explain its case to the judge. Appellate Review: After reviewing a case, an appellate court can: Affirm the trials court’s decision Reverse the court’s judgement Remand (send back) the case to trial court Affirm or reverse a decision in part Modify the lower court’s decision Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-4h The Appeal (slide 2 of 2) Appeal to a Higher Appellate Court The losing party may appeal the intermediate appellate court’s ruling to the jurisdiction’s supreme court or its equivalent, which begins a new round of briefing. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-4i Enforcing the Judgment Even if a plaintiff wins a damages award, there is no guarantee she can collect it from the defendant. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-5 Courts Online Most courts today have websites that may contain a variety of information. In some states, court clerks offer information about the court’s docket (its schedule of cases to be heard) and other searchable databases online. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-5a Electronic Filing A number of state and federal courts allow parties to file litigation-related documents with the courts electronically. Case Management/Electronic Case Files (CM/ECF): The federal court system’s electronic filing system. Access to (CM/ECF) is available through PACER (Public Access to Court Electronic Records) Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-5b Cyber Courts and Proceedings In the future, litigants may be able to use cyber courts, in which judicial proceedings take place only on the Internet. Electronic courtroom projects have already been developed in some federal and state courts in MI, CA, DE, LA, and NC. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-6 Alternative Dispute Resolution ADR: The resolution of disputes in ways other than those involved in the traditional judicial process, such as negotiation, mediation, and arbitration. Unless court-ordered, there is no record that is an important factor in commercial litigation due to trade secrets. Most common forms of ADR: Negotiation, mediation, arbitration. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-6a Negotiation Negotiation is informal discussion in which the parties attempt to settle their dispute informally, with or without attorneys to represent them. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-6b Mediation Mediation: A method of settling disputes outside the courts by using the services of a neutral third party, who acts as a communicating agent between the parties and assists them in negotiating a settlement. Mediation is not as adversarial as litigation and tends to reduce hostility between the parties. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-6c Arbitration (slide 1 of 4) Arbitration: The settling of a dispute by submitting it to a disinterested third party (other than a court), who renders a decision. The Arbitrator’s Decision: The award and final word on the matter. A court will set aside an award only in the event of one of the following: The arbitrator’s conduct or “bad faith” substantially prejudiced the rights of one of the parties. The award violates public policy. The arbitrator exceeded her or his powers. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-6c Arbitration (slide 2 of 4) Arbitration Clauses: A clause provides that any dispute that arises under the contract will be resolved through arbitration rather than through the court system. Arbitration Statutes: Most states have statutes (often based in part on the Uniform Arbitration Act) under which arbitration clauses will be enforced. Case Example 4.13 In re Cox Enterprises, Inc. Set-top Cable Television Box Antitrust Litigation (2016). Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-6c Arbitration (slide 3 of 4) The Issue of Arbitrability: When one party files a lawsuit to compel arbitration, the court must decide whether the matter can be resolved through arbitration. Mandatory Arbitration in the Employment Context: The U.S. Supreme Court has held that mandatory arbitration clauses in employment contracts are generally enforceable. Classic Case Example 4.14 Gilmer v. Interstate/Johnson Lane Corp. (1991) Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-6c Arbitration (slide 4 of 4) Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-6d Other Types of ADR 1. Early neutral case evaluation 2. Mini-trial 3. Summary jury trial (SJT): A method of settling disputes by holding a trial in which the jury’s verdict is not binding but instead guides the parties toward reaching an agreement during the mandatory negotiations that immediately follow. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-6e Providers of ADR Services Government agencies and private organizations American Arbitration Association (AAA) Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 4-6f Online Dispute Resolution ODR is the settlement of disputes in online forums. Rules being developed in online forums may become codes of conduct. ODR may be best suited for resolving small- to medium-sized business liability claims, which may not be worth the expense of litigation or traditional ADR. Miller, Business Law Today, Standard Edition: Text & Summarized Cases, 12th Edition. © 2020 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.