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Summary Foundations Of Business Law
- Instelling
- Erasmus Universiteit Rotterdam (EUR)
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CHAPTER 1: LEGAL SYSTEM TERMINOLOGYTwo legal systems:
1. Common law (developed as a system of case law – judges laid down authoritative decisions in
court) – over the time doctrine of binding precedent developed (judges should uphold decisions
if the previous cases are similar) – USA, CANADA, AUSTRALIA
2. Civil law (heavily influenced by roman law, it is a coded system – laws are written)
They are not independent. Written laws will always have to be interpreted, generating case law.
Three elements associated with legal system:
1- Administration of justice via the court structure
2- The legal profession
3- The operation of a common law system
Supreme Court – highest court in a country, Court of Appeal, trial initialization is District Court
High/superior/senior – higher jurisdiction
Low/inferior – lower jurisdiction
The term “court of first instance” – court in which proceedings (duruşma) are initiated.
COURT STRUCTURE IN UK
Superior courts- high value claims and dealing with higher complexity (supreme court, the court of
appeal, high court and crown court)
Inferior courts – country and magistrates courts
Supreme court replaced the House of Lords as the highest court.
Court of Appeal bound both by Supreme court and its own doctrine of binding precedence
High Court bound by both Supreme court and the court of appeal (it has three divisions: queen’s
bench, chancery, and family) – public authorities brought to administrative court
Crown court – a major criminal court, hearing all trials on indictment
County court – deals with civil claims
Magistrates court – deals with criminal cases involving decisions that are not binding on any court
COURT STRUCTURE IN USA
Federal courts – only have power as far as it granted by the constitution
State courts – general competence, can hear both state and federal controversies within the
geographical area
Overlap between federal and state courts lead to forum shopping, where parties select a court they
believe is most favorable to their claim.
, Federal courts in USA
1- Supreme court – composed of chief justice and eight associate justices. It only hears a number
of cases made by certiorari (an order that transfers a case from an appeal court to supreme
court) They have the power of judicial review; they can refuse legislation conflicting with the
constitution
2- Court of appeal – it hears appeals from the district courts located within its respective circuit. It
also reviews decisions made by federal agencies. A specialized court of appeal for the federal
circuit has national jurisdiction to hear specialized cases.
3- District courts – trial courts of federal court system for all cases applying to federal law;
bankruptcy, tax, court of federal claims, international trade
Each state has its own court system, at least one trial court
Alternative to the courts: Alternative Dispute Resolution (ADR)
• Mediation: where a third party helps other parties to reach an agreement
• Conciliation: where a third party offers the parties a non-binding opinion
• Arbitration: where a third party delivers a binding opinion
It is often used in consumer complaints and the relationship between businesses and suppliers (less
formal, quicker and less expensive)
Dutch legal professionals
• Dutch notary: do not prepare work for litigation nor is it allowed to act as an advocate in the
lower courts.
• Dutch advocate
Legal profession in UK
• A solicitor can be described as a general legal advisor (hukuk danışmanı), usually working in
conveyance (temlikname – property purchase and sale), probate (verifying documents such as
wills), the drafting of commercial and company contracts, and the preparation of litigation.
They can also work as an advocate. A solicitor with advocacy certificate is called solicitor
advocate.
• Barristers belong to four Inns of Court. Self-employed barristers work together in chambers
(they share the accommodation, services of the clerk, secretary. The work of most barriers is
that of an advocate, arguing client’s cases in the court which referred to as counsel. They often
specialize in a certain domain and have a right of audience.
To summarize the difference between two, in most legal cases, members of the public will visit a
solicitor. The solicitor will call in the aid of a barrister if expert advice is needed and/or the client’s case
will become a court case and the advocacy expertise of a barrister is required.
Legal profession in the USA
Practicing lawyer is referred to as an attorney. Attorney should pass the bar examination and admitted
to a states bar and after that “attorney-at-law”.
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