CHAPTER 4.docx

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MGMT 644

CHAPTER 4 (Chapter 5 book) CONSTITUTIONAL LAW FOR BUSINESS AND E-COMMERCE Constitution – history  The constitution is the fundamental law of the U.S., ratified in 1788.  The constitution serves 3 major purposes: 1. Creates 3 branches of federal government (executive, legislative, judicial) 2. Assigns powers to these branches. 3. Protects individual rights by limiting the government’s ability to restrict those rights. Federalism:  The U.S.’s form of government, in which the federal government & the 50 state governments share power. - Enumerated Powers: certain powers given to federal government by states. Ex. Federal government is authorized to deal w/national & international affairs. - Reserved Powers: any powers that are not specifically delegated to federal government by Constitution are reserved to the state governments. Separation of Powers: constitution divides federal government into 3 branches  Legislative Branch: established by article I of constitution. Bicameral: consists of Senate & House of Representatives (known as Congress).  Executive Branch: established by article II of constitution. Consists of the president & vice president. President is elected by Electoral College.  Judicial Branch: established by article III of constitution. Consists of the Supreme Court & other federal courts. Checks and Balances  A system built into the U.S. Constitution to prevent any one of the 3 branches of the government from becoming too powerful. - Supreme Court - interprets constitution: Judicial branch has authority to examine acts of 2 other branches of government & determine whether those acts are constitutional. - Executive Branch – treaties and veto: can enter into treaties only with advice & consent of 2/3rds of senate. - Legislative Branch – creates federal courts and overrides court made law - Impeachment of President Supremacy Clause:  All federal law, federal constitution, treaties, & federal regulations as long as it’s enacted in the constitution, is the supreme law of land. - Federal law rules –preemption doctrine: state/local law that conflicts w/valid federal law is unconstitutional. Commerce Clause: “Power to regulate commerce with foreign nations, and among the several states, and with Indian tribes” 3 types of commerce that the U.S. Constitution allows federal government to regulate: 1. Native Americans and the U.S. Government 2. Foreign Commerce- only congress can deal w/foreign countries not states. 3. Federal Regulation of Interstate Commerce- commerce that moves between states or that affects commerce between states. Federal government has the authority to regulate interstate commerce. Interstate vs. Intrastate Effects on Interstate Commerce Test: If act has some affect on interstate commerce then they can use the power to act that law. Everything affects interstate commerce State Police Power - regulation over Intrastate Commerce Can’t “unduly burden” interstate commerce Dormant Commerce Clause: Federal government has the commerce clause power to regulate an area of commerce but has chosen not to regulate that area of commerce. E-Commerce and Constitution Bill of Rights – first ten amendments of Constitution  Bill of rights guarantees certain fundamental rights to natural persons & protects those rights from intrusive government action. Incorporation Doctrine - T he incorporation doctrine is the legal theory that allows the Supreme Court to apply the Bill of Rights to the states under the Fourteenth Amendment Due Process and Equal Protection Clauses. Freedom ostSpeech 1 Amendment – “Congress shall make no law respecting the establishment of religion, or pr
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