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CHAPTER 25Transferring NegotiableInstruments 540SECTION 25.1 Transferring Instruments 542Section Assessment 544SECTION 25.2 Indorsements 545Section Assessment 553Chapter Assessment 554CHAPTER 26Collecting NegotiableInstruments 558SECTION 26.1 Holders of Instruments and Defenses 560Section Assessment 567SECTION 26.2 Liabilities of Parties 568Section Assessment 571Chapter Assessment 572UNIT 5 Law Workshop: Using Legal Tools 576UNIT 5 Landmark Case 578UNIT 6Starting a Business 580CHAPTER 27Sole Proprietorship andPartnership 582SECTION 27.1 Sole Proprietorship 584Section Assessment 587SECTION 27.2 The Partnership 588Section Assessment 599Chapter Assessment 600CHAPTER 28Forming and Financing aCorporation 604SECTION 28.1 Corporations 606Chapter Assessment 620Table of Contentsxi
CHAPTER 29Operating a Corporation 624SECTION 29.1 Managing the Corporation 626Section Assessment 632SECTION 29.2 Management Responsibilities 633Section Assessment 639Chapter Assessment 640CHAPTER 30Corporate Regulationand Expansion 644SECTION 30.1 Government Regulation of a Corporation 646Section Assessment 653SECTION 30.2 Corporate Expansion and Dissolution 654Section Assessment 661Chapter Assessment 662UNIT 6 Law Workshop: Using Legal Tools 666UNIT 6 Landmark Case 668UNIT 7Planning for the Future 670CHAPTER 31Marriage 672SECTION 31.1 Marriage Formalities and Restrictions 674Section Assessment 680SECTION 31.2 Marriage Laws 681Section Assessment 687Chapter Assessment 688CHAPTER 32Divorce and Its LegalConsequences 692SECTION 32.1 Ending a Marriage 694Section Assessment 701SECTION 32.2 Divorce Settlement 702Section Assessment 705Chapter Assessment 706xiiTable of Contents
Page 1 and 2: interactive student edition
Page 3 and 4: Program ComponentsYour Understandin
Page 5 and 6: Studying Case LawApplying What You
Page 7 and 8: UNIT 1 Law Workshop: Using Legal To
Page 9 and 10: UNIT 3Understanding Consumer Law 26
Page 11: CHAPTER 21Employment Protection and
Page 15 and 16: Exploring the UnitUnderstanding Bus
Page 17 and 18: Exploring the SectionChapters of th
Page 19 and 20: Exploring Chapter AssessmentChapter
Page 21 and 22: Exploring the Law WorkshopsLaw Work
Page 23 and 24: FeaturesYour Understanding Business
Page 25 and 26: A Global Perspective: Laws Around t
Page 27 and 28: Law & AcademicsThe law is related t
Page 29 and 30: Legal BriefsThese short features di
Page 31 and 32: GORDON W. BROWN studied lawto becom
Page 33 and 34: UNITUNIT OVERVIEWLaws generally ref
Page 35 and 36: CHAPTEREthics and the LawUnderstand
Page 37 and 38: Defining Ethicsl How ethical decisi
Page 39 and 40: GhanaA law can be a decree, a prohi
Page 41 and 42: People want to be treated with resp
Page 43 and 44: decisions. Compassionate people try
Page 45 and 46: Sources of Lawl How to recognize th
Page 47 and 48: Language ArtsThe legal profession h
Page 49 and 50: Limits of Free SpeechThe First Amen
Page 51 and 52: Adopt a PetAre you consideringadopt
Page 53 and 54: CHAPTERASSESSMENTSection 1.1 Defini
Page 55 and 56: CHAPTERASSESSMENTConnect with Scien
Page 57 and 58: CHAPTERThe Court SystemUnderstandin
Page 59 and 60: A Dual Court Systeml How to determi
Page 61 and 62: Supreme CourtThe U.S. Supreme Court
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whether to transfer the case, the c
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Trial Proceduresl How to seek alter
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Another new form of ADR is known as
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AN ANSWERAn answer is the defendant
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predict whether a juror will be fai
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Execution of JudgmentAfter a trial
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SEARCH WARRANTThe scope of a search
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Forensic ScientistIf you’re a fan
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Figure 2.7CAWAORNVAge Limits For Ju
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CHAPTERASSESSMENTSection 2.1 Dual C
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CHAPTERASSESSMENTConnect with Langu
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CHAPTERCriminal LawUnderstanding Bu
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What Is a Crime?l How to tell the d
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Congress to regulate commerce among
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InsanityAmerican law recognizes tha
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Particular Crimesl How to define ma
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a captive. Kidnapping usually inclu
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Figure 3.4Violent Crime Rates by Ra
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68 Unit 1: Knowing About the LawLar
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DRAG RACING AND LIABILITYMany state
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COMPUTER CRIMEBoth the state and th
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CHAPTERASSESSMENTSection 3.1 What I
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CHAPTERASSESSMENTAcquiring and Eval
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CHAPTERThe Law of TortsUnderstandin
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Intentional Tortsl How to tell the
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attery involves the unlawful, unpri
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Smashed Grapesand SlipperyFloorsYou
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Defamation is writtenor spoken inju
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l How to definenegligencel How to e
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Student PrivacyThe searching ofscho
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no longer follow this doctrine, how
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CHAPTERASSESSMENTSection 4.1 Intent
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CHAPTERASSESSMENTWorking with Techn
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UNITLaw Workshop:Using Legal ToolsH
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UNITLandmark CaseCipollone v. Ligge
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UNITUNIT OVERVIEWYou regularly take
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CHAPTERHow Contracts AriseUnderstan
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Contractsl Explain the elementsof l
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theory was called the will theory o
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Characteristics of a ContractContra
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for the other’s promise to do som
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l How to recognize therequirements
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Letting your officemanager know tha
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Student LoansThere are many waysto
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RevocationRevocation is the taking
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CHAPTERASSESSMENTSection 5.1 Contra
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CHAPTERASSESSMENTInterpret and Comm
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CHAPTERGenuine AgreementUnderstandi
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l How to identify theelements of fr
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creates a duty to reveal the hidden
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Resulting LossYou may choose to ent
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Figure 6.3Unilateral Mistake1. Mist
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the agreement can be performed when
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UNDUE INFLUENCEGenuine agreementsca
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CHAPTERASSESSMENTSection 6.1 Fraud
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CHAPTERASSESSMENTInterpreting and C
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CHAPTERContractual CapacityUndersta
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Contractual Capacityl How to explai
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their contracts. The court has esta
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PROVING MAJORITYSome states require
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Returning the Merchandise If a mino
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Ratification of Minors’ Contracts
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Draft RegistrationCelebrating your
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CHAPTERASSESSMENTSection 7.1 Contra
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CHAPTERConsiderationUnderstanding B
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Considerationl How to explain thele
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GiftsA gift is somethingthat is giv
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Common law judgesrarely entertainar
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Disputed AmountsIf the parties to a
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Consideration in Your Everyday Life
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Court ReporterSally Harmon provides
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Figure 8.2The Elements of Promissor
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PREEXISTING DUTIESPreexisting dutie
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CHAPTERASSESSMENTSection 8.1 Consid
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CHAPTERLegalityUnderstanding Busine
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l How to explain whatmakes a contra
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Winner Takes AllBecause she lives i
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At one time, most states prohibited
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THE GREAT SEAL OF THE STATE OF OHIO
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l How to explain thelegal doctrine
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llAgreements inducing fraud or a br
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Agreements to Obstruct JusticeAny c
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CHAPTERASSESSMENTSection 9.1 Legali
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CHAPTERASSESSMENTParticipate as a M
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CHAPTERForm of the ContractUndersta
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The Statute ofFraudsl How to explai
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Unions were formed tohelp protect t
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Civil Process ServerIt’s a good t
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MARRIAGE CONTRACTSAlthough the law
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An exception to the requirement tha
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The Best Evidence RuleThe courts us
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CHAPTERASSESSMENTSection 10.1 Statu
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CHAPTERHow ContractsCome to an EndU
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l How to identify whentime is impor
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Earth DayYour local museummay have
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would prevent such a drastic and un
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Mutual ReleaseJodi and Mark mutuall
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Money damages are themost common re
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long to seek payment. You may not
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CHAPTERASSESSMENTSection 11.1 Perfo
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CHAPTERASSESSMENTParticipate as a M
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CHAPTERTransfer of Contracts andRem
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The Transfer ofContractual Rightsan
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her neighbor, Helen Kane, were in w
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Keeping YourWordRachel agreed to ba
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do her printing job. He could not t
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l How to explain theconcept of anti
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Figure 12.3TypeActual DamagesCompen
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Corporate LawyerRichard Negrin is a
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CHAPTERASSESSMENTSection 12.1 The T
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UNITLaw Workshop:Using Legal ToolsH
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UNITLandmark CaseMastrobuono v. She
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UNITUNIT OVERVIEWThroughout yourlif
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CHAPTERContracts for theSale of Goo
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The Sale and Leaseof Goodsl When to
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A multimillion-dollarmasterpiece pa
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making the offer may request a part
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Buying MoreThan He CanAfford?Angelo
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Ownership andRisk of Loss inSales o
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Similarly, it is sometimes necessar
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When goods are not to be shipped by
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originally purchased the products.
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E-Commerceand the Lawl Tips for saf
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and temporarily withhold payment wh
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CHAPTERASSESSMENTSection 1 The Sale
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CHAPTERThe Importance ofWarrantiesU
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l How to describe thethree ways an
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warranties close to the product or
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FULL WARRANTYA full warranty is one
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Description of the GoodsAny descrip
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Susan it would be perfect for that
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President Kennedyspoke of four basi
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Charitable GiftsGiving to charities
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lAlternative C gives sellers’ war
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CHAPTERASSESSMENTSection 14.1 Expre
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CHAPTERConsumer Protectionand Produ
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Consumer Protectionl How to explain
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COMPLAINT LETTERA complaint letterd
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unlawful and unethical for a realto
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Credit identity theftoccurs when so
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Blowing SmokeThere is no doubt that
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Figure 15.4Dear Customer:See Figure
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Health HazardFor many people,smokin
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WARNINGSWarning labels mustbe place
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CHAPTERASSESSMENTSection 15.1 Consu
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CHAPTEROwning a VehicleUnderstandin
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Acquiring a Vehiclel How to identif
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Parole OfficerAs a parole officer f
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Purchasing a defectiveautomobile ha
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on the other hand, often sell used
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Buying from a Private PartyYou migh
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in cases in which you are led to be
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When an odometer is repaired and ca
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VEHICLEINSURANCEThe insurance types
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Maintenance OnlineAutomakers are be
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CHAPTERASSESSMENTSection 16.1 Ownin
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CHAPTERPersonal Propertyand Bailmen
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Personal Propertyl How to identifyt
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CanadaAt the University of Montreal
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Figure 17.1Intellectual Property an
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Bailmentsl How to define abailmentl
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Return to Sender, or Not?When you r
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Many courts today apply the reasona
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RIGHT OF PRIVACYHotel keepers mustr
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Guests are permitted to keep in the
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Under Article 1,Section 8 of the U.
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CHAPTERASSESSMENTSection 17.1 Perso
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UNITLaw Workshop:Using Legal ToolsD
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UNITDenny v. Ford Motor Co.New York
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UNITUNIT OVERVIEWMost of us must pl
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CHAPTERCreation of an AgencyUnderst
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l How to explain thenature of an ag
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voluntarily agreed upon by both par
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In the early developmentof agency l
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llllllllDoes the hiring person supp
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Talent AgentTo get a job in televis
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l How to recognize thecreation of a
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Coagents If the principal hires two
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AGENCY BY ESTOPPELOften agency rela
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CHAPTERASSESSMENTSection 18.1 Agenc
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CHAPTERAgency Relationshipsand Thei
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Authority and Dutiesl How to define
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Consequently, the key to determinin
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Good FaithAn agency relationship is
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In seventeenth centuryEurope, most
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he or she has the option of holding
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l How to recognizewhen an agencyrel
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ACTUAL NOTICE OFTERMINATIONThe law
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CHAPTERASSESSMENTSection 19.1 Autho
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CHAPTEREmployment LawUnderstanding
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l How to defineemployment-at-willl
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employ more than 100 workers are bo
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Harrington’s case clearly fits wi
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PUBLIC POLICY TORTIf an employee is
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l How to recognizethose areas ofemp
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Using E-Mail at WorkA large company
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Figure 20.1Child Labor LawsThis cha
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CHAPTERASSESSMENTSection 20.1 Emplo
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CHAPTEREmployment Protectionand Equ
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l How to recognize therole that OSH
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Wages, Hours, and BenefitsThe gover
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Family and Medical Leave ActUnder t
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Recent studies suggestthat it is in
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had programs in place. Workers’ c
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children. This system, known as wel
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Figure 21.3LawCivil Rights Act (Tit
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Cesar ChavezUnions exist withinmany
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AMERICANS WITHDISABILITIES ACTThe f
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CHAPTERASSESSMENTSection 21.1 Laws
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UNITLaw Workshop:Using Legal ToolsW
Page 509 and 510:
UNITLandmark CaseAutomobile Workers
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UNITUNIT OVERVIEWMost people usesom
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CHAPTERBorrowing Money andBuying on
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What Is Credit?l How to distinguish
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Example 2. When Jill bought the tru
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According to a recentstudy, the ave
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to erase the debt! He will pay $7,0
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CREDIT CARD BLOCKTo be sure you don
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EQUAL CREDITOPPORTUNITY ACTThe Equa
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Managing Your Debtsl How to recogni
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FAMILY FARMThe family farm is avani
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CHAPTERASSESSMENTSection 22.1 What
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CHAPTERASSESSMENTParticipating Effe
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CHAPTERNegotiable InstrumentsUnders
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l How to state thepurpose of negoti
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Social StudiesThe use of metal form
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An action to enforcethe obligation
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U.S. CompaniesOperating in Other Co
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Electronic ChecksA group of banks h
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CHAPTERASSESSMENTSection 23.1 Purpo
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CHAPTERWriting ChecksUnderstanding
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Checking Accountsl How to describe
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PERSONAL CHECKNever write a check i
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ecords accurate. Fill out the check
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MathematicsWhen you open a checking
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Canine Enforcement OfficerChristine
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Availability of FundsIn the past, b
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Figure 24.6MANAGE YOUR EFT CARD WIS
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CHAPTERASSESSMENTSection 24.1 Check
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CHAPTERASSESSMENTIn groups of two o
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CHAPTERTransferring NegotiableInstr
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TransferringInstrumentsl How to dis
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Example 1. Hanako Lin wrote a check
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Figure 25.1Check FaceChange ofFortu
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Figure 25.4INDORSE HEREDO NOT WRITE
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Safe DrivingAutomobile crashes aret
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E-SignaturesElectronic signatures n
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CHAPTERASSESSMENTSection 25.1 Trans
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CHAPTERASSESSMENTParticipating as a
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CHAPTERCollecting NegotiableInstrum
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l How to determine if aperson is a
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Paying Twice Is Not So NiceA mechan
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FRAUD IN THEINDUCEMENTWhen someone
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Kristina learned that the brakes ha
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Liabilities of Partiesl How to expl
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Figure 26.3DIRECT REDUCTIONMORTGAGE
Page 603 and 604:
CHAPTERASSESSMENTSection 26.1 Holde
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Page 607 and 608:
UNITLaw Workshop:Using Legal ToolsC
Page 609 and 610:
UNITBeach v. Ocwen Federal BankU.S.
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UNITUNIT OVERVIEWMost Americans are
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CHAPTERSole Proprietorshipand Partn
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Sole Proprietorshipl How to define
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Taxing the Sole ProprietorOne advan
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The Partnershipl How to define gene
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PARTNERSHIPFORMATIONA partnership c
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Independence DayAs a citizen of the
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Starting a soleproprietorship can b
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Because each partner is an agent of
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Social StudiesMost people areintere
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CHAPTERASSESSMENTSection 27.1 Sole
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CHAPTERForming and Financinga Corpo
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Corporationsl How to definecorporat
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Social StudiesImagine you have been
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STOCK CERTIFICATESCorporations issu
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CORPORATE NAMESA new corporation ca
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The InsideInformation onNonprofitsB
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LIMITED LIABILITY COMPANIESA new fo
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have incorporated. To deal with the
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CHAPTERASSESSMENTSection 28.1 Corpo
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CHAPTEROperating a CorporationUnder
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l How to definecorporate directorl
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Language ArtsAt one time, insidertr
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many large corporations rent halls
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October 24, 1929, called“Black Th
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Figure 29.3Duties of Corporate Mana
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Many antiliability statutes simply
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Shareholder SuitsA shareholder suit
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CHAPTERASSESSMENTSection 29.1 Manag
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CHAPTERCorporate Regulationand Expa
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l How to identify thesource of the
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Business BluesMany small corporatio
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y the U.S. Supreme Court held that
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THE ENVIRONMENTALPROTECTION AGENCYT
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l How to distinguishamong a merger,
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Taking StockOnline investing hasall
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State LegislatorOliver Robinson got
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in two ways. The corporation can de
Page 693 and 694:
CHAPTERASSESSMENTSection 30.1 Gover
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UNITLaw Workshop:Using Legal ToolsD
Page 699 and 700:
UNITVirginia Bankshares, Inc. v. Sa
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UNITUNIT OVERVIEWGetting married, p
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CHAPTERMarriageUnderstanding Busine
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l How to state when themarriage con
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Domestic ViolenceUnfortunately, dom
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Figure 31.1Premarital AgreementAgre
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Example 2. Gerard Ingels and Ramona
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Figure 31.3U.S. Marriage Laws Summa
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IndiaTo know India, you must unders
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Social StudiesArranged marriages ar
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CHAPTERASSESSMENTSection 31.1 Marri
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CHAPTERDivorce and ItsLegal Consequ
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Ending a Marriagel How to describe
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Figure 32.1Grounds for Divorce and
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Example 2. Elise Carruthers persist
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Fingerprint ExpertKevin Teddy is an
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Divorce Settlementl How to identify
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“Divorce.Com”The Internet is a
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CHAPTERASSESSMENTSection 32.1 Endin
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CHAPTERRenting a Place to LiveUnder
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The RentalAgreementl How to define
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Tenancy at WillA tenancy at will is
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necessary to keep the premises fit
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When renting, keep thevolume on you
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Failure to abide by the restriction
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RoomiesWhen two or more people sign
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CHAPTERASSESSMENTSection 33.1 The R
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CHAPTERBuying a HomeUnderstanding B
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l How to compare theadvantages andd
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Figure 34.2AFFORDING A MORTGAGEYour
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Criminal Court JudgeWhen Dianne Jon
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l How to identify somesuggestions t
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Example 2. Monica and James Dipirro
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Taking OwnershipOwnership of proper
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Eminent Domainand SidewalksJordan i
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Figure 34.7The Nature of Real Prope
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CHAPTERASSESSMENTSection 34.1 Evalu
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CHAPTERInsurance ProtectionUndersta
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l How to explain themeaning and pur
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INSURABLE INTERESTYou cannot take o
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Figure 35.2Life Expectancy Table, A
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When buying term life insurance, yo
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employees who have been laid off pa
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Property Insurancel How to identify
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The NetherlandsDo people who are in
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CHAPTERASSESSMENTSection 35.1 The I
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CHAPTERRetirement and WillsUndersta
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Retirement Incomel How to describe
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Death and TaxesMost people own life
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START EARLYTax-deferred investments
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In 1935, Lord Moynihanand R. Killic
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Figure 36.4LAST WILL AND TESTAMENTO
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Legal ColumnistWhen the topic is th
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Figure 36.5 Distribution of Intesta
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CHAPTERASSESSMENTSection 36.1 Retir
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UNITLaw Workshop:Using Legal Skills
Page 823 and 824:
UNITJones v. Mayer Co.U.S. Supreme
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APPENDIXThe Constitution of theUnit
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APPENDIX ANo Person shall be a Sena
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APPENDIX ATo declare War, grant Let
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APPENDIX AIn Case of the Removal of
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APPENDIX ALegislatures of the State
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APPENDIX AAmendment IXThe enumerati
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APPENDIX AAmendment XVSection 1 ■
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APPENDIX ASection 2 ■ This articl
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APPENDIXThe Declaration ofIndepende
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APPENDIX BHe has made Judges depend
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Aabandoned When an emancipated mino
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ilateral mistake Occurs when both p
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cooling-off rule Provision that giv
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Equal Credit Opportunity Act Ensure
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holographic will Will written entir
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limited-payment life insurance Allo
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passenger People being legally tran
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ight-to-work laws State laws that p
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title The formal written right of o
Page 863 and 864:
AAmerican Legal Aid, Inc.v. Legal A
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ailors, 368bait and switch advertis
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contracts, written, 205-221best evi
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education-industry cooperation, 447
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health maintenance organizations(HM
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limited lifetime of soleproprietors
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pension plans, 456. See also retire
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Securities and Exchange Commission(
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United Nations Commission onInterna
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