GBL 295 Lecture 1: American Legal System

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The actors in the legal system and their relationship to the business community. Jurisdiction: power of a court to hear a case and render a binding decision. Original jurisdiction: power to initially hear and decide (try) a case. Appellate jurisdiction: power to review a decision previously made by a trial court. Summons and complaint are handed to the defendant through service. In most cases corporations are required to appoint an agent to receive service. Agent has the legal authority to receive service for the corporation. Courts power is limited to the borders of the state in which it is located. Long-arm statute: authorizes a state court to obtain jurisdiction over an out of state defendant when that party has sufficient minimum contacts with the state. In rem jurisdiction: power of a court to render a decision that affects property directly rather than the owner of the property. Used when the owner of the property cannot be located for personal service.

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