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Business law today text and summarized case 9th by miller


Beyond Our Borders

This feature provides
a perspective on
the global legal
environment,
international laws, and
laws of other nations
that relate to specific
legal concepts or topics
discussed in a chapter.

The Impact of Foreign Law on the United
States Supreme Court 17

The CISG’s Approach to Revocation
of Acceptance 351

The United States Looks into International
Bribery 58


Protecting U.S. Consumers from CrossBorder Telemarketers 379

Islamic Law Courts Abroad and at Home 74

Islamic Law and Respondeat Superior 507

“Libel Tourism” 102

Sexual Harassment in Other Nations 540

The Anti-Counterfeiting Trade
Agreement 146

Limited Liability Companies in Other
Nations 560

An Absence of Codified Criminal Law:
The Pushtun Way 154

Derivative Actions in Other Nations 598

Russian Hackers to the Fore 183
The Statute of Frauds and International Sales
Contracts 258

Corporate Governance in Other Nations 629
The European Union’s Expanding Role in
Antitrust Litigation 657
Arbitration versus Litigation 728

Impossibility or Impracticability
of Performance in Germany 283

Landmark in the Law

This feature discusses
seminal cases,
statutes, or other legal
developments that have


had significant effects
on business law.

EEquitable Principles and Maxims 10

MacPherson v. Buick Motor Co. (1916) 367

Marbury v. Madison (1803) 66
M

Federal Trade Commission Rule 433 416

Palsgraf v. Long Island
P
Railroad Co. (1928) 116
R

Check Clearing in the 21st Century Act
(Check 21) 437

TThe Digital Millennium
Copyright Act of 1998 142
C

The Bankruptcy Reform Act of 2005 467

Miranda v. Arizona (1966) 170
Hamer v. Sidway (1891) 224
The Statute of Frauds 254
Hadley v. Baxendale (1854) 287
The Uniform Commercial Code 301

The Doctrine of Respondeat Superior 505
Limited Liability Company (LLC)
Statutes 558
The Securities and Exchange
Commission 612
The Sherman Antitrust Act of 1890 642


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The Essentials

Business Law Today
TEXT & SUMMARIZED CASES
E-Commerce, Legal, Ethical,
and Global Environment

Roger LeRoy Miller

NINTH EDITION

Herbert D. Kelleher
Emeritus Professor in Business Law
MSIS Department
University of Texas at Austin

Institute for University Studies
Arlington, Texas

(John Elk III/Lonely Planet Images/Getty Images)

Gaylord A. Jentz

Australia • Brazil • Japan • Korea • Mexico • Singapore • Spain • United Kingdom • United States


Business Law Today
The Essentials
TEXT & SUMMARIZED CASES
E-Commerce, Legal, Ethical,
and Global Environment
NINTH EDITION
Vice President and Editorial Director:
Jack Calhoun
Editor-in-Chief:
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Library of Congress Control Number: 2009937995
Student Edition ISBN-13: 978-0-324-78615-6
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Contents in Brief

Chapter 18

Employment Law 514

Chapter 19

The Entrepreneur’s Options 552

Chapter 20

Corporations 574

Chapter 21

Investor Protection, Insider Trading,
and Corporate Governance 610

Chapter 22

Promoting Competition 640

Chapter 23

Personal Property,
Bailments, and Insurance 663

Chapter 24

Real Property
and Environmental Law 691

Chapter 25

International Law
in a Global Economy 717

Chapter 1

The Historical and
Constitutional Foundations 1

Chapter 2

Ethics and Business Decision Making 43

Chapter 3

Courts and
Alternative Dispute Resolution 64

Chapter 4

Torts and Cyber Torts 97

Chapter 5

Intellectual Property
and Internet Law 126

Chapter 6

Criminal Law 152

Chapter 7

Cyber Crime 179

Chapter 8

Contracts: Nature, Classification,
Agreement, and Consideration 199

Chapter 9

Contracts: Capacity,
Legality, Assent, and Form 235

Chapter 10

Contracts: Third Party Rights,
Discharge, Breach, and Remedies 266

Appendix A

Sales and Leases:
Formation, Title, and Risk 300

How to Brief Cases
and Analyze Case Problems A–1

Appendix B

The Constitution of the United States A–3

Chapter 11

Appe
e ndicc e s
Appendices

Chapter 12

Sales and Leases:
Performance and Breach 334

Appendix C

Articles 2 and 2A of the
Uniform Commercial Code A–10

Chapter 13

Warranties, Product Liability,
and Consumer Law 358

Appendix D

Chapter 14

Negotiable Instruments 391

The Sarbanes-Oxley Act of 2002
(Excerpts and Explanatory
Comments) A–43

Chapter 15

Checks and Banking
in the Digital Age 424

Appendix E

Sample Answers for End-of-Chapter
Hypothetical Questions with Sample
Answer A–49

Chapter 16

Security Interests, Creditors’
Rights, and Bankruptcy 449

Glossary G–1

Agency 488

Index I–1

Chapter 17

Table of Cases TC–1

v


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Contents*

*Consult the inside front and back covers of this book for
easy reference to the many special features in this textbook.

Chapter 1

The Historical and
Constitutional Foundations 1

Business Activities and the Legal Environment 2
Sources of American Law 3
The Common Law Tradition 7
Classifications of Law 10
Landmark in the Law Equitable Principles and Maxims 10

The Constitutional Powers of Government 12
Heart of Atlanta Motel v. United States (1964) 13

Business and the Bill of Rights 15
Beyond Our Borders The Impact of Foreign Law on the United States
Supreme Court 17

Fog Cutter Capital Group, Inc. v. Securities and Exchange
Commission (2007) 53

Making Ethical Business Decisions 55
Practical Solutions to Corporate Ethics Questions 55
Business Ethics on a Global Level 56
Adapting the Law to the Online Environment Corporate Reputations
under Attack 57
Beyond Our Borders The United States Looks into International
Bribery 58
Reviewing . . . Ethics and Business Decision Making 59
Linking the Law to Managerial Accounting Managing a Company’s
Reputation 59
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Bad Frog Brewery, Inc. v. New York State Liquor Authority (1998) 19
Adapting the Law to the Online Environment The Supreme Court
Upholds a Law That Prohibits Pandering Virtual Child Pornography 21

Chapter 3

Courts and
Alternative Dispute Resolution 64

In re Episcopal Church Cases (2009) 22

Due Process and Equal Protection 23
Privacy Rights 25
Reviewing . . . The Historical and Constitutional Foundations 27
Linking the Law to Management Dealing with Administrative Law 27
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Appendix to Chapter 1: Finding and Analyzing the Law 33

Finding Statutory and Administrative Law 33
Finding Case Law 34
Reading and Understanding Case Law 36
Chapter 2

Ethics and Business Decision Making 43

The Judiciary’s Role in American Government 64
Basic Judicial Requirements 65
Landmark in the Law Marbury v. Madison (1803) 66
Preventing Legal Disputes 70
Oregon v. Legal Services Corp. (2009) 71

The State and Federal Court Systems 72
Beyond Our Borders Islamic Law Courts Abroad and at Home 74

Following a State Court Case 77
Adapting the Law to the Online Environment
Electronic Evidence for Discovery 81

The Duty to Preserve

Evans v. Eaton Corp. (2008) 83

The Courts Adapt to the Online World 84
Alternative Dispute Resolution 85
NCR Corp. v. Korala Associates, Ltd. (2008) 88

Business Ethics 44
United States v. Skilling (2009) 45
Preventing Legal Disputes 47

Ethical Transgressions by Financial Institutions 49
Approaches to Ethical Reasoning 51

Reviewing . . . Courts and Alternative Dispute Resolution 91
Business Application To Sue or Not to Sue? 91
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

vii


viii

CO N T E N TS

Torts and Cyber Torts 97

Chapter 4

The Basis of Tort Law 98
Intentional Torts against Persons 99
Beyond Our Borders “Libel Tourism” 102
McClain v. Octagon Plaza, LLC (2008) 107

Intentional Torts against Property 109
Trustees of University of District of Columbia v. Vossoughi (2009) 111

Unintentional Torts (Negligence) 112
Preventing Legal Disputes 114
Landmark in the Law Palsgraf v. Long Island Railroad Co. (1928) 116

Strict Liability 118
Cyber Torts—Online Defamation 119
Fair Housing Council of San Fernando Valley v. Roommate.com,
LLC (2008) 120
Adapting the Law to the Online Environment Should CDA Immunity
Extend to Negligence Claims against MySpace? 120
Reviewing . . . Torts and Cyber Torts 121
Business Application How Important Is Tort Liability to Business? 121
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Chapter 5

Intellectual Property
and Internet Law 126

Chapter 6

Criminal Law 152

Civil Law and Criminal Law 152
Beyond Our Borders
Pushtun Way 154

An Absence of Codified Criminal Law: The

Criminal Liability 154
Preventing Legal Disputes 157

Types of Crimes 157
Defenses to Criminal Liability 163
Constitutional Safeguards and Criminal Procedures 165
United States v. Moon (2008) 167
Herring v. United States (2009) 169
Landmark in the Law Miranda v. Arizona (1966) 170

Criminal Process 171
Reviewing . . . Criminal Law 173
Business Application Determining How Much Force You Can Use to
Prevent Crimes on Business Premises 174
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Chapter 7

Cyber Crime 179

Computer Crime and the Internet 179
Cyber Crimes against Persons and Property 180
Beyond Our Borders Russian Hackers to the Fore 183

Trademarks and Related Property 127
The Coca-Cola Co. v. Koke Co. of America (1920) 127

Cyber Marks 132
George V Restauration S.A. v. Little Rest Twelve, Inc. (2009) 134
Preventing Legal Disputes 135

Patents 135
KSR International Co. v. Teleflex, Inc. (2007) 136

Copyrights 137
Adapting the Law to the Online Environment Should the Law
Continue to Allow Business Process Patents? 138
Landmark in the Law The Digital Millennium Copyright Act of 1998 142

Trade Secrets 143
International Protection for Intellectual Property 144
Beyond Our Borders The Anti-Counterfeiting Trade Agreement 146
Reviewing . . . Intellectual Property and Internet Law 146
Linking the Law to Marketing Trademarks and Service Marks 147
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

State v. Cline (2008) 185

Cyber Crimes in the Business World 185
The Spread of Spam 189
Cyber Crimes against the Community—Gambling in
Cyberspace 190
United States v. $6,976,934.65, Plus Interest Deposited into Royal Bank of
Scotland International (2009) 191

Fighting Cyber Crime 192
Adapting the Law to the Online Environment Can Students Who Gain
Unauthorized Access to an Online Antiplagiarism Service Be Subject to
the Computer Fraud and Abuse Act? 193
Reviewing . . . Cyber Crime 194
Business Application How Can You Protect against Identity Theft? 195
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises


ix

CO N T E N TS

Chapter 8

Contracts: Nature, Classification,
Agreement, and Consideration 199

An Overview of Contract Law 200
Types of Contracts 202
Uhrhahn Construction & Design, Inc. v. Hopkins (2008) 205

Agreement 208

Chapter 10

Contracts: Third Party Rights,
Discharge, Breach, and Remedies 266

Assignment and Delegation 267
Third Party Beneficiaries 272
Revels v. Miss America Organization (2007) 274

Contract Discharge 275

Lucy v. Zehmer (1954) 209

Wisconsin Electric Power Co. v. Union Pacific Railroad Co. (2009) 277

Preventing Legal Disputes 211

Beyond Our Borders Impossibility or Impracticability of Performance
in Germany 283

T. W. Nickerson, Inc. v. Fleet National Bank (2009) 213

Agreement in E-Contracts 218
Consideration 223
Landmark in the Law Hamer v. Sidway (1891) 224
Reviewing . . . Contracts: Nature, Classification, Agreement, and
Consideration 227
Linking the Law to Marketing Customer Relationship
Management 228
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Chapter 9

Contracts: Capacity,
Legality, Assent, and Form 235

Contractual Capacity 236
Legality 239

Damages 284
Preventing Legal Disputes 286
Landmark in the Law Hadley v. Baxendale (1854) 287

Equitable Remedies 288
Drake v. Hance (2009) 291

Recovery Based on Quasi Contract 292
Election of Remedies 293
Reviewing . . . Contracts: Third Party Rights, Discharge, Breach,
and Remedies 293
Business Application What Do You Do When You Cannot Perform? 293
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Chapter 11

Sales and Lease:
Formation, Title, and Risk 300

Comedy Club, Inc. v. Improv West Associates (2009) 241
Preventing Legal Disputes 242

Voluntary Consent 245
Inkel v. Pride Chevrolet-Pontiac, Inc. (2008) 247

The Scope of the UCC and Articles 2 (Sales)
and 2A (Leases) 301

Adapting the Law to the Online Environment Online Personals—
Fraud and Misrepresentation Issues 249

Landmark in the Law The Uniform Commercial Code 301
Adapting the Law to the Online Environment The Thorny Issue of
Taxing Internet Sales 303

Rosenzweig v. Givens (2009) 251

Jannusch v. Naffziger (2008) 304

Form 253
Landmark in the Law The Statute of Frauds 254
Beyond Our Borders The Statute of Frauds and International Sales
Contracts 258
Reviewing . . . Contracts: Capacity, Legality, Assent, and Form 260
Linking the Law to Business Communication When E-Mails Become
Enforceable Contracts 260
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

The Formation of Sales and Lease Contracts 306
Preventing Legal Disputes 309
Glacial Plains Cooperative v. Lindgren (2009) 314
Jones v. Star Credit Corp. (1969) 316

Title and Risk of Loss 317
Contracts for the International Sale of Goods 322
Reviewing . . . Sales and Leases: Formation, Title, and Risk 324
Business Application Who Bears the Risk of Loss—the Seller or the
Buyer? 324

Appendix to Chapter 11: An Example of a Contract for the
International Sale of Coffee 330
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises


x

CO N T E N TS

Chapter 12

Sales and Leases:
Performance and Breach 334

Performance Obligations 334
Obligations of the Seller or Lessor 335
Maple Farms, Inc. v. City School District of Elmira (1974) 338
Preventing Legal Disputes 341

Obligations of the Buyer or Lessee 341
Anticipatory Repudiation 342
Remedies of the Seller or Lessor 343
Remedies of the Buyer or Lessee 346
Houseman v. Dare (2009) 347
Fitl v. Strek (2005) 350
Beyond Our Borders The CISG’s Approach to Revocation of
Acceptance 351

Limitation of Remedies 351
Reviewing . . . Sales and Leases: Performance and Breach 352
Business Application What Can You Do When a Contract Is
Breached? 352
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Chapter 13

Warranties, Product Liability,
and Consumer Law 358

Chapter 14

Negotiable Instruments 391

Types of Instruments 392
Requirements for Negotiability 395
Preventing Legal Disputes 396
Foundation Property Investments, LLC v. CTP, LLC (2007) 399

Transfer of Instruments 401
Holder in Due Course (HDC) 405
Georg v. Metro Fixtures Contractors, Inc. (2008) 406
South Central Bank of Daviess County v. Lynnville National
Bank (2009) 407

Signature and Warranty Liability 409
Defenses, Limitations, and Discharge 414
Landmark in the Law Federal Trade Commission Rule 433 416
Reviewing . . . Negotiable Instruments 417
Business Application Pitfalls When Writing and Indorsing Checks 417
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Chapter 15

Checks and Banking
in the Digital Age 424

Checks 424
MidAmerica Bank, FSB v. Charter One Bank (2009) 426

Warranties 359
Preventing Legal Disputes 360
Webster v. Blue Ship Tea Room, Inc. (1964) 361

Product Liability 366
Strict Product Liability 366

The Bank-Customer Relationship 427
Bank’s Duty to Honor Checks 428
Auto-Owners Insurance Co. v. Bank One (2008) 431
Preventing Legal Disputes 433

Bank’s Duty to Accept Deposits 434

Landmark in the Law MacPherson v. Buick Motor Co. (1916) 367

Landmark in the Law Check Clearing in the 21st Century Act
(Check 21) 437

Wyeth v. Levine (2009) 370

Bank One, N.A. v. Dunn (2006) 439

Adapting the Law to the Online Environment Should Video Games Be
Required to Have Warning Labels? 372

Defenses to Product Liability 372
Consumer Law 375
Federal Trade Commission v. QT, Inc. (2008) 376
Beyond Our Borders Protecting U.S. Consumers from Cross-Border
Telemarketers 379
Reviewing . . . Warranties, Product Liability, and Consumer Law 384
Linking the Law to Management Quality Control 385
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Electronic Fund Transfers 440
E-Money and Online Banking 442
Reviewing . . . Checks and Banking in the Digital Age 443
Linking the Law to Economics Banking in a Period of Crisis 444
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Chapter 16

Security Interests,
Creditors’ Rights, and Bankruptcy 449

Security Interests in Personal Property 450
Preventing Legal Disputes 453


xi

CO N T E N TS

Hicklin v. Onyx Acceptance Corp. (2009) 458

Additional Laws Assisting Creditors 459
Capital Color Printing, Inc. v. Ahern (2008) 464

Laws Assisting Debtors 465
Bankruptcy Proceedings 466

Employee Privacy Rights 524
Preventing Legal Disputes 526

Immigration Law 528
Castellanos-Contreras v. Decatur Hotels, LLC (2009) 531

Employment Discrimination 531

Landmark in the Law The Bankruptcy Reform Act of 2005 467

Beyond Our Borders Sexual Harassment in Other Nations 540

In re Kuehn (2009) 471

Sprint/United Management Co. v. Mendelsohn (2008) 541
Rohr v. Salt River Project Agricultural Improvement and Power
District (2009) 543

Adapting the Law to the Online Environment The Debt That Never
Goes Away—It’s Discharged in Bankruptcy But Still on the Debtor’s
Credit Report 477
Reviewing . . . Security Interests, Creditors’ Rights, and Bankruptcy 482
Linking the Law to Economics The Effects of Bankruptcy Law on
Consumers and Businesses 482
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Reviewing . . . Employment Law 546
Linking the Law to Management Human Resource Management
Comes to the Fore 547
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Chapter 19
Chapter 17

The Entrepreneur’s Options 552

Agency Relationships in Business 488
Major Business Forms 552

Agency Relationships 489
Lopez v. El Palmar Taxi, Inc. (2009) 491

How Agency Relationships Are Formed 492
Duties of Agents and Principals 494
Preventing Legal Disputes 496

Agent’s Authority 497
Ermoian v. Desert Hospital (2007) 499

Liability in Agency Relationships 500

1515 North Wells, LP v. 1513 North Wells, LLC (2009) 555
Allen v. Dackman (2009) 556
Landmark in the Law Limited Liability Company Statutes 558
Beyond Our Borders Limited Liability Companies in Other Nations 560

Special Business Forms 561
Private Franchises 564
Adapting the Law to the Online Environment Satisfying the FTC’s
Franchise Rule in the Internet Age 566
LJL Transportation, Inc. v. Pilot Air Freight Corp. (2009) 567

Warner v. Southwest Desert Images, LLC (2008) 503

Preventing Legal Disputes 568

Landmark in the Law The Doctrine of Respondeat Superior 505

Reviewing . . . The Entrepreneur’s Options 568
Business Application What Problems Can a Franchisee Anticipate? 568

How Agency Relationships Are Terminated 506
Beyond Our Borders Islamic Law and Respondeat Superior 507
Reviewing . . . Agency 508
Business Application How Can an Employer Use Independent
Contractors? 509
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Chapter 20

Corporations 574

Corporate Nature and Classification 575
Chapter 18

Employment Law 514

Employment at Will 514
Wage and Hour Laws 516
Layoffs 518
Family and Medical Leave 519
Worker Health and Safety 520
Income Security 521

Adapting the Law to the Online Environment Economic Recession
Fuels the Internet Taxation Debate 577
Williams v. Stanford (2008) 580

Corporate Formation and Powers 581
Brown v. W.P. Media, Inc. (2009) 583

Corporate Financing 584
Corporate Management—Directors and Officers 586
Preventing Legal Disputes 588
Guth v. Loft, Inc. (1939) 590


xii

CO N T E N TS

Corporate Ownership—Shareholders 592
Beyond Our Borders Derivative Actions in Other Nations 598

Mergers and Acquisitions 598
Termination 601
Reviewing . . . Corporations 603
Linking the Law to Finance Sources of Funds 603
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Chapter 21

Investor Protection, Insider Trading,
and Corporate Governance 610

Securities Act of 1933 611
Landmark in the Law The Securities and Exchange Commission 612
Preventing Legal Disputes 613

Securities Exchange Act of 1934 618
Adapting the Law to the Online Environment Corporate Blogs and
Tweets Must Comply with the Securities Exchange Act 619
Securities and Exchange Commission v. Texas Gulf Sulphur Co. (1968) 620
Stoneridge Investment Partners, LLC v. Scientific-Atlanta, Inc. (2008) 622
Stark Trading v. Falconbridge, Ltd. (2009) 626

State Securities Laws 627
Corporate Governance 628
Beyond Our Borders Corporate Governance in Other Nations 629

Beyond Our Borders The European Union’s Expanding Role in Antitrust
Litigation 657
Reviewing . . . Promoting Competition 657
Business Application How Can You Avoid Antitrust Problems? 658
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Chapter 23

Personal Property,
Bailments, and Insurance 663

Property Ownership 664
Acquiring Ownership of Personal Property 665
In re Estate of Piper (1984) 667

Mislaid, Lost, and Abandoned Property 669
Bailments 670
Preventing Legal Disputes 671
LaPlace v. Briere (2009) 675

Insurance 677
Woo v. Fireman’s Fund Insurance Co. (2007) 684
Reviewing . . . Personal Property, Bailments, and Insurance 685
Business Application How Can You Manage Risk in Cyberspace? 685
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Online Securities Fraud 632
Reviewing . . . Investor Protection, Insider Trading, and Corporate
Governance 634
Linking the Law to Taxation The Tax Consequences of Deleveraging
during an Economic Crisis 634
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Chapter 22

Promoting Competition 640

Chapter 24

Real Property
and Environmental Law 691

The Nature of Real Property 691
Preventing Legal Disputes 693

Ownership Interests in Real Property 693
Roman Catholic Church of Our Lady of Sorrows v. Prince Realty
Management, LLC (2008) 695

Transfer of Ownership 696
The Sherman Antitrust Act 641
Landmark in the Law The Sherman Antitrust Act of 1890 642

Section 1 of the Sherman Act 643
Leegin Creative Leather Products, Inc. v. PSKS, Inc. (2007) 646

Section 2 of the Sherman Act 646
Preventing Legal Disputes 648
Weyerhaeuser Co. v. Ross-Simmons Hardwood Lumber Co. (2007) 649

The Clayton Act 650
Chicago Bridge & Iron Co. v. Federal Trade Commission (2008) 653

Enforcement and Exemptions 654
U.S. Antitrust Laws in the Global Context 655

Drake v. Walton County (2009) 699

Leasehold Estates 700
Landlord-Tenant Relationships 701
Environmental Law 703
Entergy Corp. v. Riverkeeper, Inc. (2009) 707
Reviewing . . . Real Property and Environmental Law 711
Linking the Law to Economics Eminent Domain 711
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises


xiii

CO N T E N TS

Chapter 25

International Law
in a Global Economy 717

International Law—Sources and Principles 718
Doing Business Internationally 720
Regulation of Specific Business Activities 722
Fuji Photo Film Co. v. International Trade Commission (2007) 723
United States v. Inn Foods, Inc. (2009) 724

Commercial Contracts in an International Setting 726
Preventing Legal Disputes 726
Beyond Our Borders Arbitration versus Litigation 728

Payment Methods for International Transactions 728
U.S. Laws in a Global Context 729

Appendices
Appendix A How to Brief Cases
and Analyze Case Problems A–1
Appendix B The Constitution of the United States A–3
Appendix C Articles 2 and 2A of the Uniform
Commercial Code A–10
Appendix D The Sarbanes-Oxley Act of 2002 (Excerpts
and Explanatory Comments) A–43
Appendix E Sample Answers for End-of-Chapter
Hypothetical Questions with Sample
Answer A–49

Khulumani v. Barclay National Bank, Ltd. (2007) 731
Reviewing . . . International Law in a Global Economy 732
Linking the Law to Marketing Going Global 733
Key Terms • Chapter Summary • ExamPrep • For Review •
Hypothetical Scenarios and Case Problems • Critical Thinking and
Writing Assignments • Practical Internet Exercises

Glossary G–1
Table of Cases TC–1
Index I–1


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Preface to the Instructor
Business law and the legal environment should be an exciting, contemporary, and interesting course. Business Law Today: The Essentials, Ninth Edition, imparts this excitement
to your students. We have spent a great deal of effort in giving this book a visual appeal
that will encourage students to learn the law. By incorporating the latest research results,
Business Law Today: The Essentials continues its established tradition of being the most upto-date text on the market. The law presented in the Ninth Edition of Business Law Today:
The Essentials includes new statutes, regulations, and cases, as well as the most recent
developments in cyberlaw.
You will find that coverage of traditional business law has not been sacrificed in the
process of creating this text. Additionally, Business Law Today: The Essentials explicitly
addresses the American Assembly of Collegiate Schools of Business’s (AACSB’s) broad array
of curriculum requirements. For example, many of the features and special pedagogical
devices in this text focus on the global, political, ethical, social, environmental, technological, and cultural contexts of business law. In addition, critical-thinking skills are reinforced
throughout the text.

A New Chapter on Cyber Crime
Cyber crime has become an increasingly critical problem for businesses today. We believe
that this problem is important enough to warrant a separate chapter (Chapter 7), which is
new to this edition. In it, we examine such cyber crimes as hacking, identity theft, phishing, spamming, and online credit-card fraud. We also discuss the difficulties in prosecuting
cyber criminals, many of whom reside in other countries.

Practical and Effective Learning Tools
Instructors have come to rely on the coverage, accuracy, and applicability of Business Law
Today: The Essentials. For this edition, we have included a number of features to make
the text even more applicable to today’s business environment and to promote criticalthinking skills. We have also significantly streamlined and reorganized the materials, and
have focused on making the text more cohesive and understandable.
We have added a new Linking the Law feature to encourage interdisciplinary learning, as
well as many new highlighted and numbered Case Examples to help students understand
how courts decide real-world disputes. As in the last edition, we continue to provide a
variety of assessment tools, including the new ExamPrep section, plus sample questions
and Reviewing features. The following subsections outline the new and retained special
features of this text.

New Feature Links the Law to Other Business School Disciplines
For the Ninth Edition of Business Law Today: The Essentials, we have added a special new
feature entitled Linking the Law to [Accounting, Economics, Finance, Management,
Marketing, or Taxation]. This special feature appears in selected chapters to underscore
how the law relates to various other disciplines in the typical business school curriculum.
This new feature not only enables instructors to meet AACSB teaching requirements but
also provides vital and practical information to students on how the subjects they study
are interconnected. In addition, each of these features concludes with a For Critical Analysis
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question that is designed to encourage students to engage in critical thinking and to consider the implications of the topic under discussion. Some of the new Linking the Law
features include:





Linking the Law to Managerial Accounting: Managing a Company’s Reputation (Chapter 2)
Linking the Law to Management: Quality Control (Chapter 13)
Linking the Law to Economics: Banking in a Period of Crisis (Chapter 15)
Linking the Law to Marketing: Going Global (Chapter 25)

New Highlighted and Numbered Case Examples
One of the most appreciated features of Business Law Today: The Essentials has always been
the highlighted numbered examples that appear throughout the book to illustrate the legal
principles under discussion. For this edition, rather than presenting more summarized
cases in each chapter, we have expanded the in-text numbered examples to include Case
Examples. These Case Examples are integrated appropriately throughout the text and present the facts, issues, and rulings from actual court cases. Students can quickly read through
the example to see how courts apply the legal principles under discussion.

Business Application
Every chapter in the Ninth Edition concludes with either a Linking the Law feature or a
Business Application feature. The Business Application focuses on practical considerations
related to the chapter’s contents and concludes with a checklist of tips for the businessperson. For example, some of the topics include:
• Determining How Much Force You Can Use to Prevent Crimes on Business Premises
(Chapter 6)
• What Can You Do When a Contract Is Breached? (Chapter 12)
• How Can an Employer Use Independent Contractors? (Chapter 17)

Preventing Legal Disputes
For this edition of Business Law Today: The Essentials, we continue our emphasis on providing practical information in every chapter through a special feature entitled Preventing Legal
Disputes. These brief, integrated sections offer sensible guidance on steps that businesspersons
can take in their daily transactions to avoid legal disputes and litigation in a particular area.

Adapting the Law to the Online Environment
The Ninth Edition contains many new Adapting the Law to the Online Environment features, which examine cutting-edge cyberlaw issues coming before today’s courts. Here are
some examples of these features:
• The Supreme Court Upholds a Law That Prohibits Pandering Virtual Child Pornography (Chapter 1)
• Should CDA Immunity Extend to Negligence Claims against MySpace? (Chapter 4)
• Should the Law Continue to Allow Business Process Patents? (Chapter 5)
• The Debt That Never Goes Away—It’s Discharged in Bankruptcy But Still on the Debtor’s
Credit Report (Chapter 16)
• Corporate Blogs and Tweets Must Comply with the Securities Exchange Act
(Chapter 21)
Each feature concludes with a For Critical Analysis section that asks the student to think
critically about some facet of the issues discussed in the feature. Suggested answers to
these questions are included in both the Instructor’s Manual and the Answers Manual
that accompany this text.


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xvii

Critical–Thinking and Legal Reasoning Elements
Because today’s business leaders are often required to think “outside the box” when
making business decisions, we offer many critical-thinking elements that challenge students’ understanding of the materials beyond simple retention. Your students’ criticalthinking and legal reasoning skills will be increased as they work through the numerous
pedagogical devices throughout the text. Nearly every feature and every case presented
in the text conclude with some type of critical-thinking question. These questions
include For Critical Analysis, What If the Facts Were Different? and Why Is This
Case Important?
In addition, in the chapter-ending materials, we include a separate section of questions
that focus on critical thinking and writing.
• Nearly every chapter includes a Critical Legal Thinking question that requires students
to think critically about some aspect of the law discussed in the chapter.
• Selected chapters include a Critical Thinking and Writing Assignment for Business
question that focuses on critical thinking and writing in a business-oriented context.
Additionally, for the Ninth Edition, we have completely revised and updated the Handbook
on Critical Thinking in Business Law and the Legal Environment. This important revised
resource will enhance your students’ ability to think critically about issues in business law and
the legal environment. It is available on request as part of a bundle with the main text. Ask
your South-Western/Cengage Learning sales representative about this impressive package.

Reviewing Features and ExamPrep Sections
At the end of each chapter in this text, we include a Reviewing feature that helps
solidify students’ understanding of the chapter materials. Each of these features presents a hypothetical scenario and then asks a series of questions that require students
to identify the issues and apply the legal concepts discussed in the chapter. This feature
is intended to help students review the chapter materials in a simple and interesting
way. You can use this feature as the basis for a lively in-class discussion or encourage students to use it for self-study and assessment before completing homework
assignments.
In every chapter, following the Chapter Summary, a new ExamPrep section appears
that includes two Issue Spotters related to the chapter’s topics. These Issue Spotters
facilitate student learning and review of the chapter materials. In addition, the section
refers students to the text’s Web site for the answers to the Issue Spotters and for additional
study tools, such as Flashcards and Interactive Quizzes correlated to the chapter.

Beyond Our Borders
This feature gives students an awareness of the global legal environment by indicating how
international laws or the laws of other nations deal with specific legal concepts or topics
being discussed in the chapter. Each of these features concludes with a For Critical Analysis
question. Suggested answers to these questions are included in both the Instructor’s
Manual and the Answers Manual that accompany this text.

Landmark in the Law
This feature discusses a landmark case, statute, or other legal development that has
had a significant effect on business law. Each of these features has a section titled
Application to Today’s World, which indicates how the law discussed in the feature
affects the legal landscape of today’s world. In addition, a Relevant Web Sites section
directs students to the book’s Companion Web site for links to additional information
available online.


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Two Questions with Sample Answers in Each Chapter
For those instructors who would like students to have sample answers available for some
of the chapter-ending questions, we have included two such questions in every chapter.
Each chapter includes a Hypothetical Question with Sample Answer that is answered in
Appendix E of the text and a Case Problem with Sample Answer that is based on an actual
case and answered on the text’s Web site. Students can compare their own answers with the
answers provided to determine whether they have applied the law correctly and to learn
what needs to be included when answering the end-of-chapter questions and case problems. The sample answers to both types of questions are posted on the text’s Companion
Web site at www.cengage.com/blaw/blt for your convenience.

Ethical Issues
In addition to a chapter on ethics, chapter-ending ethical questions, and the Ethical
Considerations in many of the For Critical Analysis questions in cases presented in this
text, we have included a special feature called Ethical Issue. This feature, which is closely
integrated with the text, opens with a question addressing an ethical dimension of the topic
being discussed. The feature is intended to make sure students understand that ethics is an
integral part of business law and the legal environment.

Business Law Today: The Essentials on the Web
For this edition of Business Law Today: The Essentials, we have redesigned and streamlined the text’s Web site so that users can easily locate the resources they seek. When
you visit the text’s Web site at www.cengage.com/blaw/blt, you will find a broad array
of teaching/learning resources, including the following:
• Relevant Web Sites for all of the Landmark in the Law features and the Classic Cases that
are presented in this text.
• Sample Answers to the Case Problems with Sample Answers and the Hypothetical Questions
with Sample Answers that appear at the end of every chapter.
• Answers to the Issue Spotters referenced in the new ExamPrep sections of every
chapter.
• Answers to the Even-Numbered For Review Questions that appear at the end of every
chapter.
• Videos referenced in the Video Questions that appear at the ends of selected chapters
(available only with a passcode).
• Practical Internet Exercises for every chapter in the text (at least two per chapter) that
provide students with practical information on topics covered in the text and acquaint
students with the legal resources that are available online.
• An Interactive Quiz that includes a number of questions related to each chapter’s
contents.
• Key Terms for every chapter in the text.
• Flashcards that provide students with an optional study tool to review the Key Terms in
every chapter.
• Appendix A: How to Brief Cases and Analyze Case Problems is posted on the Web site.
• PowerPoint Slides revised for this edition.
• Legal reference materials that offer links to selected statutes referenced in the text, a
Spanish glossary, and other important legal resources.
• Online Legal Research Guide: 2010–2011 Edition, which includes hyperlinks to various Web sites and tips for evaluating the information provided.
• Court Case Updates that present summaries of new cases from around the country that
specifically relate to the topics covered in the chapters of this text.


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Business Law Digital Video Library
Business Law Today: The Essentials includes Video Questions at the end of selected chapters
that can be used as homework assignments, discussion starters, or classroom demonstrations. Each of these questions directs students to the text’s Web site to view a video relevant
to a topic covered in the chapter. This instruction is followed by a series of questions based
on the video. The questions are repeated on the Web site, when the student accesses the
video. Suggested answers for all of the Video Questions are given in both the Instructor’s Manual and the Answers Manual that accompany this text.
The videos are part of the Business Law Digital Video Library, a compendium of more
than sixty video scenarios and explanations. An access code for the videos can be packaged
with each new copy of this textbook for no additional charge. If Business Law Digital Video
Library access did not come packaged with the textbook, it can be purchased online at
www.cengage.com/blaw/dvl.

Case Presentation and Special Pedagogy
In addition to the components of the Business Law Today: The Essentials teaching/learning
package described above, the Ninth Edition offers effective case presentation and a number
of special pedagogical devices, including those described here.

Case Presentation and Format
For this edition, we have carefully selected recent cases for each chapter that not only provide on-point illustrations of the legal principles discussed in the chapter but also are of
high interest to students. The cases are numbered sequentially for easy referencing in class
discussions, homework assignments, and examinations. The vast majority of cases in this
text are new to the Ninth Edition.
Each case is presented in a special format, which begins with the case title and citation
(including parallel citations). Whenever possible, we also include a URL, just below the
case citation, that can be used to access the case online (a footnote to the URL explains how
to find the specific case at that Web site). We then briefly outline the facts of the dispute,
the legal issue presented, and the court’s decision. To enhance student understanding, we
paraphrase the reason for the court’s decision.
Each case concludes with one of the following:
• For Critical Analysis These questions require students to think about the court’s holding from a variety of different perspectives. For instance, a student might be asked to
consider the economic or social ramifications of a particular ruling. Suggested answers
to these questions are included in both the Instructor’s Manual and the Answers
Manual that accompany this text.
• What If the Facts Were Different? These questions ask the student to decide whether
a specified change in the facts of the case would alter the outcome of the case and how.
Suggested answers to these questions are included in both the Instructor’s Manual
and the Answers Manual that accompany this text.
• Why Is This Case Important? These questions, which are answered in the text, clearly
set forth the importance of the court’s decision in the specific case in the legal environment. Some of these questions focus specifically on why businesspersons today should
heed the court’s ruling in a particular case.
• Impact of This Case on Today’s Law For every Classic Case, we have included these sections to clarify the relevance of the case to modern law. We have also included a section


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titled Relevant Web Sites at the conclusion of each Classic Case that directs students to the
text’s Web site for additional online resources.

Other Pedagogical Devices within Each Chapter
• Learning Objectives—A series of brief questions at the beginning of each chapter that
provide a framework for the student as he or she reads through the chapter.
• Chapter Outline—An outline of the chapter’s first-level headings.
• Margin definitions.
• On the Web feature—Located in the margins, this feature directs students to relevant
Web sites where they will find online articles, statutes, or other legal or information
sources concerning a topic being discussed in the text.
• Highlighted and numbered examples that illustrate legal principles.
• Highlighted and numbered Case Examples that are new to this edition and provide
illustrations of legal principles in actual court cases.
• URLs for cases—Whenever possible, we have included URLs just below the case citation that can be used to access the cases presented in the text.
• Exhibits and forms.
• Concept Summaries—Whenever key areas of law need additional emphasis, we provide
a Concept Summary to add clarity.
• Photographs (with critical-thinking questions) and cartoons.

Chapter-Ending Pedagogy











Key Terms (with appropriate page references).
Chapter Summary (in graphic format with page references).
ExamPrep (including two new Issue Spotters for each chapter).
For Review—The questions set forth in the chapter-opening Learning Objectives section
are presented again to aid the student in reviewing the chapter. Answers to the evennumbered questions for each chapter are provided on the text’s Web site.
Hypothetical Questions and Case Problems (which include a Hypothetical Question
with Sample Answer, a Case Problem with Sample Answer, and A Question of Ethics in every
chapter).
Critical Thinking and Writing Assignments (including Critical Legal Thinking and Video
Questions in selected chapters).
Case Problem with Sample Answer—Each chapter contains one of these case problems,
for which the answer has been provided on the text’s Web site.
Practical Internet Exercises for each chapter.

Supplemental Teaching Materials
This edition of Business Law Today: The Essentials is accompanied by an expansive number
of teaching and learning supplements. Individually and in conjunction with a number of
our colleagues, we have developed supplementary teaching materials that we believe are
the best available today. Each component of the supplements package is listed below.

Printed Supplements
• Instructor’s Manual (includes at least one additional case on point per chapter,
answers to all For Critical Analysis questions, Reviewing features, and Video Questions.
The Instructor’s Manual is also available on the Instructor’s Resource CD-ROM, or IRCD,
described below).


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xxi

• Study Guide.
• A comprehensive Test Bank (also available on the IRCD).
• Answers Manual (includes answers to the Hypothetical Questions and Case Problems,
For Critical Analysis questions, and Video Questions in the text. Also available on
the IRCD.)
• Handbook on Critical Thinking in Business Law and the Legal Environment (an important resource that has been completely revised and updated for this edition).

Software, Video, and Multimedia Supplements
• Instructor’s Resource CD-ROM (IRCD)—The IRCD includes the following supplements: Instructor’s Manual, Answers Manual, Test Bank, Case-Problem Cases, Case
Printouts, ExamView, PowerPoint slides, Lecture Outline System, transparency masters,
Instructor’s Manual for the Drama of the Law video series, Handbook of Landmark Cases
and Statutes in Business Law and the Legal Environment, Handbook on Critical Thinking in
Business Law and the Legal Environment, and A Guide to Personal Law.
• Business Law Digital Video Library—Provides access to more than sixty videos that
spark class discussion and clarify core legal concepts. Access is available as an optional
package with each new text at no additional cost. If Business Law Digital Video Library
access did not come packaged with the textbook, it can be purchased online at www.
cengage.com/blaw/dvl.
• Global Economic Watch—An online portal that addresses issues raised by the most
recent global economic crisis and includes a global issues database, an overview and
timeline of events, and links to the latest news. For more information on how you can
access this new resource, please visit www.cengage.com/thewatch.

For Users of the Eighth Edition
We thought that those of you who have been using Business Law Today: The Essentials
would like to know some of the major changes that have been made for the Ninth
Edition. In addition to the changes noted below, you will find that most of the cases
in this text are new to this edition. Nearly every chapter has two new cases, and some
chapters have three new cases. Each chapter also has one, two, or even three new case
problems.

New Features and Special Pedagogy
We have added the following entirely new elements for the Ninth Edition:
• Linking the Law features that relate legal principles to other business disciplines.
• Case Examples that are highlighted and numbered consecutively with the other in-text
examples to illustrate legal principles, but are based on the facts and decisions of actual
courts.
• ExamPrep sections in every chapter that include two Issue Spotters as well as references
to the Interactive Quizzes and Flashcards available on the text’s Web site.

Significantly Revised Chapters
Every chapter of the Ninth Edition has been revised as necessary to incorporate new developments in the law or to streamline the presentations. We have reorganized the chapters
for the Ninth Edition to facilitate testing. Other major changes and additions made for this
edition include the following:


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• Chapter 2 (Ethics and Business Decision Making)—This chapter has been substantially revised and refocused to be more pragmatic. The chapter now includes a
step-by-step approach to making ethical business decisions, as well as several new
features discussing how companies and management can deal with attacks on a company’s reputation.
• Chapter 5 (Intellectual Property and Internet Law)—The materials on intellectual
property rights in the online environment have been thoroughly revised and updated.
A new subsection addresses the problem of counterfeit goods, and the discussion
of domain names and cybersquatting has been updated. Several recent Supreme
Court cases are discussed in the text and in the feature dealing with business process
patents.
• Chapter 7 (Cyber Crime)—This chapter is entirely new to this edition and deals
with the growing problem of cyber crime, including many types of Internet fraud,
identity theft, phishing, cyberstalking, credit-card crime, hackers, piracy, spam, and
gambling. The chapter also covers some of the difficulties involved in prosecuting
cyber crime.
• Chapters 8 through 10 (the Contracts chapters)—We have merged our discussion of
online contracting and electronic signatures with our coverage of traditional contracts.
We have also added more examples, new Case Examples, and updates throughout, and
we have streamlined coverage.
• Chapters 11 through 16—We have streamlined and reorganized the materials that
deal with commercial transactions and aspects of the Uniform Commercial Code. This
includes the chapters on sales and lease law, negotiable instruments, banking, and
security interests, creditors’ rights, and bankruptcy. We have focused on making these
materials more comprehensible and readable, particularly in the areas of negotiable
instruments and secured transactions.
• Chapter 18 (Employment Law)—The chapter covering employment law has been
thoroughly revised and updated to include discussions of legal issues facing employers today. It includes an entirely new section on immigration law (a topic of increasing
importance to employers), coverage of the 2009 changes to the Family and Medical
Leave Act, and an updated discussion of electronic monitoring of employees. The
chapter covers the latest developments and United States Supreme Court decisions
on constructive discharge, retaliation, religious discrimination, and age discrimination. It also includes the 2009 equal pay legislation and the 2008 amendments to the
Americans with Disabilities Act.
• Chapter 20 (Corporations)—This chapter provides an updated and streamlined presentation of issues surrounding corporation formation and termination. The chapter was
revamped to include more on taxation, holding companies, venture capital, and private
equity capital. We have updated the materials and examples throughout and included a
new Classic Case on the duty of loyalty, a discussion of directors’ committees, and up-todate information on e-proxy rules.
• Chapter 21 (Investor Protection, Insider Trading, and Corporate Governance)—We
have revised this chapter to discuss the simplified registration process for “wellknown seasoned issuers” and provide recent examples of insider trading and online
securities fraud. New features discuss the disclosure of financial information on
corporate blogs and tweets, and the tax consequences of deleveraging during an
economic crisis.
• Chapter 22 (Promoting Competition)—We have reworked the materials on relevant
market somewhat and added more discussion of the Robinson-Patman Act and the
Herfindahl-Hirschman Index. The chapter includes updated interlocking directorate
figures and an updated discussion of global antitrust law.


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Acknowledgments
Numerous careful and conscientious users of Business Law Today: The Essentials were
kind enough to help us revise this book. In addition, the staff at South-Western/Cengage
Learning went out of their way to make sure that this edition came out early and in accurate form. In particular, we wish to thank Rob Dewey and Vicky True for their countless
new ideas, many of which have been incorporated into the Ninth Edition. We also extend
special thanks to Jan Lamar, our longtime developmental editor, for her many useful suggestions and for her efforts in coordinating reviews and ensuring the timely and accurate
publication of all supplemental materials. We are particularly indebted to Jennifer Garamy
for her support and excellent marketing advice.
Our production manager and designer, Bill Stryker, made sure that we came out with
an error-free, visually attractive edition. We will always be in his debt. We thank our photo
researcher, Anne Sheroff, for providing us with an amazingly varied number of choices of
photographs for this edition. We are also indebted to the staff at Parkwood Composition,
our compositor. Their ability to generate the pages for this text quickly and accurately
made it possible for us to meet our ambitious printing schedule.
We must especially thank Vickie Reierson and Katherine Marie Silsbee for their management of the project, as well as for the application of their superb research and editorial
skills. We also wish to thank William Eric Hollowell, coauthor of the Instructor’s Manual,
Study Guide, Test Bank, and Online Legal Research Guide, for his excellent research efforts.
The copyediting services of Pat Lewis and Mary Berry were invaluable, and the proofreading by Beverly Peavler and Loretta Palagi will not go unnoticed. Finally, our appreciation
goes to Roxanna Lee and Suzanne Jasin for their many special efforts on the project.

Acknowledgments for Previous Editions
John J. Balek
Morton College, Illinois
Jay Ballantine
University of Colorado, Boulder
Lorraine K. Bannai
Western Washington University
Marlene E. Barken
Ithaca College, New York
Daryl Barton
Eastern Michigan University
Merlin Bauer
Mid State Technical College, Wisconsin
Donna E. Becker
Frederick Community College, Maryland
Richard J. Bennet
Three Rivers Community College, Connecticut
Brad Botz
Garden City Community College, Kansas
Teresa Brady
Holy Family College, Philadelphia
Lee B. Burgunder
California Polytechnic University—
San Luis Obispo

Bradley D. Childs
Belmont University, Tennessee
Dale Clark
Corning Community College, New York
Stanley J. Dabrowski
Hudson County Community College, New Jersey
Sandra J. Defebaugh
Eastern Michigan University
Patricia L. DeFrain
Glendale College, California
Julia G. Derrick
Brevard Community College, Florida
Joe D. Dillsaver
Northeastern State University, Oklahoma
Claude W. Dotson
Northwest College, Wyoming
Larry R. Edwards
Tarrant County Junior College, South
Campus, Texas
Jacolin Eichelberger
Hillsborough Community College, Florida
George E. Eigsti
Kansas City, Kansas, Community College


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Florence E. Elliott-Howard
Stephen F. Austin State University, Texas
Tony Enerva
Lakeland Community College, Ohio
Benjamin C. Fassberg
Prince George’s Community College, Maryland
Jerry Furniss
University of Montana
Elizabeth J. Guerriero
Northeast Louisiana University
Phil Harmeson
University of South Dakota
Nancy L. Hart
Midland College, Texas
Janine S. Hiller
Virginia Polytechnic Institute & State University
Karen A. Holmes
Hudson Valley Community College, New York
Fred Ittner
College of Alameda, California
Susan S. Jarvis
University of Texas, Pan American, Texas
Jack E. Karns
East Carolina University, North Carolina
Sarah Weiner Keidan
Oakland Community College, Michigan
Richard N. Kleeberg
Solano Community College, California
Bradley T. Lutz
Hillsborough Community College, Florida
Darlene Mallick
Anne Arundel Community College, Maryland
John D. Mallonee
Manatee Community College, Florida
Joseph D. Marcus
Prince George’s Community College, Maryland
Woodrow J. Maxwell
Hudson Valley Community College, New York
Beverly McCormick
Morehead State University, Kentucky
William J. McDevitt
Saint Joseph’s University, Pennsylvania
John W. McGee
Aims Community College, Colorado
James K. Miersma
Milwaukee Area Technical Institute, Wisconsin
Susan J. Mitchell
Des Moines Area Community College, Iowa

Jim Lee Morgan
West Los Angeles College, California
Jack K. Morton
University of Montana
Solange North
Fox Valley Technical Institute, Wisconsin
Jamie L. O’Brien
South Dakota State University
Robert H. Orr
Florida Community College at Jacksonville
George Otto
Truman College, Illinois
Thomas L. Palmer
Northern Arizona University
David W. Pan
University of Tulsa, Oklahoma
Donald L. Petote
Genessee Community College, New York
Francis D. Polk
Ocean County College, New Jersey
Gregory Rabb
Jamestown Community College, New York
Brad Reid
Abilene Christian University, Texas
Donald A. Roark
University of West Florida
Hugh Rode
Utah Valley State College
William M. Rutledge
Macomb Community College, Michigan
Martha Wright Sartoris
North Hennepin Community College, Minnesota
Anne W. Schacherl
Madison Area Technical College, Wisconsin
Edward F. Shafer
Rochester Community College, Minnesota
Lou Ann Simpson
Drake University, Iowa
Denise Smith
Missouri Western State College
Hugh M. Spall
Central Washington University
Maurice Tonissi
Quinsigamond Community College, Massachusetts
James D. Van Tassel
Mission College, California
Frederick J. Walsh
Franklin Pierce College, New Hampshire


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