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Business Law - Case Study Example

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This case study demonstrates the confusion that sometimes arises between the federal laws and the state laws as business owners worry about which law has the constitutional authority to regulate their business activities (Clarkson et al., 2008).
(I) In the United States, the…
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Business Law Case Study This case study demonstrates the confusion that sometimes arises between the federal laws and the state laws as business owners worry about which law has the constitutional authority to regulate their business activities (Clarkson et al., 2008).
(I) In the United States, the federal government is supported by the Constitution to enact any laws that would serve the purpose of protecting the interests of US citizens; in a similar vein, state governments, which act as independent plenary bodies, can also make laws as stipulated in the diverse state constitutions (Clarkson et al., 2008).
(II) The federal statute to protect endangered bird species could be challenged in US District Court located in Minnesota, and the Missouri state statute about toxic-carrying vehicles could be challenged at the Circuit Court of Missouri, while the one dealing with interracial couples could be challenged at Circuit Court of Missouri (Family branch).
(III) The argument against the Federal Statute to protect endangered birds would be that the State of Minnesota has not enacted any laws against using the area for construction purposes; the argument against Missouri state statutes would be that the US Constitution (which is the last legally binding documents for US citizens) doesn’t enforce such requirements.
(IV) The main roles of the courts are to interpret the laws and pass appropriate judgements in accordance with the both the US Constitution and the state constitutions (Clarkson et al., 2008).
Case Study 2
(I) Ralph can either lodge his case at Nevada Supreme Court or use the US District Court in Nevada. These two courts have the constitutional powers to hear the litigation instituted by Ralph against Drug-Free Enterprises for breaching the contractual agreement between them (Clarkson et al., 2008).

(ii) Addressing the issue of jurisdiction authority, Nevada Supreme Court has the Constitutional authority to hear the case because Drug-Free Enterprises is incorporated in its jurisdiction. With similar reason, the US Constitution has statutes that handle the issue of breach of commercial contracts. And since all states in America are legally bound by the US Constitution (under the jurisdiction of the federal government), hence the US District Court in Nevada can hear this litigation against Drug-Free Enterprises (Clarkson et al., 2008).
(iii) In order for Ralph to win this case, his argument must be presented strongly by invoking the statutes of the Federal Government and the state of Nevada that prohibit the act of contract-breaching. Such laws include Section 235 (2) of the Restatement Second of Contracts and comment (b) to Section 235, which states that inability to performance a contractual duty is a breach of the contract (paraphrased). And the Nevada’s Law of Commercial contract acceptance and execution should be utilized; for example, NRS 97.299, which supports having a concrete agreement in place for any business transaction. And failure to follow the statute may result in a criminal charge.
Reference
Clarkson, K.W., Gaylord, A. J, Cross, F.B., and Miller, R.. L. (2008). Business Law: Text and Cases (West’s Business Law) (11th ed.). Akron, Ohio: South-Western College/West. Read More
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