UNIVERSITY OF TEXAS AT AUSTIN
McCombs School of Business
LEB 320F and LEB 323 - The Legal Environment of Business
Fall Semester, 2007
LECTURER: Larry J. Laurent TEL: 512-996-8844 (Law Office - Aus.)
OFFICE: Room 3.418 OFF. HOURS: By Appointment, before and
E-Mail: ljllaw@sbcglobal.net; or ljl496@ut.edu before and after class
REQUIRED TEXTBOOKS: West’s Business Law, 10th Ed.; Clarkson, Miller, Jentz, and Cross
COURSE DESCRIPTION: This survey course covers the American legal system, tort law and legal
aspects of business transactions. Specific areas of study include the nature and sources of law, state and
federal court systems and procedures, principal – agency relationships, torts, contracts, UCC, business ethics,
constitutional issues, government regulation of business and the formation and operation of basic business
associations.
LEARNING GOALS:
a. To provide a broad understanding of both the Texas and federal legal (court) systems and knowledge
of the civil litigation process to aid the student in identifying and applying cost-risk evaluation to
legal disputes in his/her business career.
b. To provide an understanding of the rationale for the law of torts, the criteria for tort actions and
knowledge of selected tort actions applicable to individuals and business.
c. To provide an understanding of the laws governing the use of contracts in business, the elements
required to create contractual relationships, and development of the ability to analyze and apply
contractual concepts.
d. To provide an appreciation and understanding of the use of law and legal principles as a societal
mechanism and its interrelationship with the general concepts of ethical and social behavior.
e. To provide an understanding of the law of principal-agent relationships (e.g., employee/employer)
and its application and impact on individual and business relationships.
f. To provide the student with an understanding of the basic legal concepts that govern business
relationships, to identify potential legal issues that may affect business interests and the means
through which those problem issues can be resolved.
SKILLS STUDENTS WILL (SHOULD) ACQUIRE:
Implicit in any understanding of basic legal concepts and our judicial system is the ability to analyze legal
problems and fact situations and be able to apply applicable legal concepts. All skills or learning outcomes
below assume the ability of the student to do so.
a. Students will learn about court jurisdiction and the impact of the court’s jurisdiction on the judicial
process, and be able to make general determinations as to the application of jurisdiction.
b. Students will learn the elements of litigation and the alternatives to litigation such as mediation.
c. Students will gain an understanding of the relationship of the United States Constitution to the power
of the federal government and state governments, and the Constitution’s application to individual
and business activities.
d. Students will learn the source of individual liberties under selected amendments to the United States
Constitution, and the application of such amendments.
e. Students will gain an understanding of the law of torts and its impact on society, as well as a detailed
knowledge of specific torts, including negligence, assault, battery, false imprisonment, fraud,
slander, libel, trespass, negligence and wrongful interference with contractual relationships.
f. Students will gain detailed knowledge of each element of common law contract.
g. Students will learn how to review a factual statement and determine the presence or absence of
contract.
h. Students will learn the concept and application of the law of agency and be able to distinguish
between an agent and independent contractor and their respective benefits and liabilities.
i. Students will learn the competing interests inherent in the law and the ethical implications resulting
from both personal and business decisions.
j. Students will obtain a basic understanding of the law of sales and some of the distinctions of sales
from that of common law contract.
SKILLS STUDENTS ARE EXPECTED TO BRING INTO THIS COURSE:
a. An interest and willingness to delve into legal issues involved in business relationships and an ability
to reason and to discern applicable issues from factual situations.
b A willingness to read the assigned course materials and conceptualize the covered legal principles in
everyday personal and business relationships.
INSTRUCTOR'S COURSE/CLASSROOM POLICIES:
A. INSTRUCTIONAL METHODOLOGY:
Your Instructor will teach the course through the use of lectures, questions and answers and class discussion
where you, the student, will discuss the covered class materials. Students should be aware from the
beginning that, generally, there are no black and white answers in the law – therefore the students’ opinions
are encouraged - and may even prove to be correct. It will be the intent of the Instructor to teach you the
essential elements of law that you will need to know when you enter the business world. Real world legal
case studies handled by the Instructor will be used to illustrate the legal pitfalls and legal problems awaiting
each business law student in the real world of business. One assigned chapter will be covered during each
class session. The student who pays attention, comes to class, studies his/her class assignments and
participates in class discussions will learn more and be better prepared to succeed in the world of business
than the slacker who buys course credits, skips class, spends more time partying than studying, crams at the
last minute for exams and barely gets by. The student is left to decide which alternative he/she seeks to
utilize!
B. CONDUCT OF CLASSES AND THE IMPORTANCE OF CLASS PREPARATION:
1. All students will be expected to purchase, beg borrow or somehow appropriate the class text book
- West’s Business Law, 10th Edition (condensed notebook version). Yes, the student will need
this book to pass this course! Each class will usually cover one (1) assigned chapter, however, on
occasion the class will cover two chapters during a class period.
2. Students will be expected to read all assigned materials in the course text prior to each class, as
well as all case studies incorporated into the assigned text materials in the text. Students will be
expected to be prepared to answer questions asked by the Instructor and to participate in class
discussions relating to all topics covered in the daily course assignment.
3. All classes will begin promptly at the designated time. Students should make every effort to
arrive at class on time - not after the Instructor has begun his lecture. Pop quizzes may be given
during class and the student’s cumulative grade on the pop quizzes will be added to the student’s
test score for each testing period.
4. Student participation and analysis of class topics and related issues will be considered by the
Instructor in the Instructor’s evaluation of the student’s final grade (e.g. favorable consideration
will be given those students who are prepared for class and who regularly ask questions and
engage in class discussions).
5. Students who are absent from class will miss an opportunity to obtain an understanding of the
practical applications of the materials covered in class assignments and likely miss a pop quiz that
cannot be made up.
6. The class immediately prior to each scheduled test will be set aside for a review of the
course materials covered during the testing period and to assist the student in his/her
preparation for the scheduled class examination.
C. ATTENDANCE:
Mandatory and on time! Enough said. History clearly indicates that those students who regularly attend
class and participate in class discussions of the topic matters covered in class assignments make
substantially higher grades on exams and receive higher overall grades than those students who skip class
and/or do not participate in class discussions. Accordingly:
(1) Students will be expected to attend each regularly scheduled class period and will be called upon
for class recitation and response to lecture questions.
(2) Understanding the legal concepts that will be covered requires a knowledge and evaluation of all
factors involved in the legal concept, including the common sense factor, accordingly, students
should be aware that in the area of law there is no real right or wrong answer - so take your best
shot at answering the instructor’s questions. Trying is the first step toward actually learning
something!
(3) Students are encouraged to offer their viewpoints as to how various legal concepts are or should
be applied.
(4) Case decisions in the text materials will highlight the particular application of those legal
principles covered in class. Accordingly, all students will be expected to have read all of the
cases and all text materials in the assigned chapter(s) prior to class meetings.
(5) The class will discuss covered text materials in the context of daily legal problems.
(6) Students will be tested over all material covered in each assigned chapter;
(7) Class attendance, preparation and class participation will be very important and helpful in the
student’s ability to obtain a high final grade!
D. EXAMINATIONS:
(1) There will be four (4) examinations given during the semester. The last (fourth) exam will be the
“final” examination and will cover only the text and course materials covered during the fourth
testing period – in order words, the final examination will not be cumulative.
(2) Students will be required to take all examinations on the date they are scheduled. Students will
not be permitted to shift the date of any scheduled examination, including the “final”
examination
(3) Students arriving late for any scheduled examination will be permitted to take the examination
but will be required to finish the examination within the allotted class time for the examination,
however, tardy students will not be allowed additional time to take an examination due to their
tardiness.
(4) No student will be entitled to leave the classroom or speak with any other student once an
examination has been passed out, except upon approval of the Instructor.
(5) No student will be entitled to begin taking an examination after any other student has completed
the examination.
(6) In the event any student has a valid school reason for not taking the examination on the scheduled
date it shall be the student’s responsibility to promptly notify the Instructor of the reason for the
student’s inability to take such scheduled examination and make arrangements with the Instructor
to take the make-up examination in accordance with Department policy on make-up examinations
(See, Section "E" below).
(7) No student shall be permitted to take an examination prior to the scheduled exam date.
(8) Students must turn in both the test and their Scantron card. Should any student not turn in both
his/her exam paper and his/her Scantron card after completing an exam, or fail to take a make-up
exam, a grade of zero (0) will be entered for the student’s exam grade.
(9) All students must put their name on both the test and the Scantron card.
E. MAKE-UP EXAMINATIONS:
Make-up examinations will be given according to Business School rules relating to make-up
examinations. Students shall make all efforts to take make-up exams prior to the next scheduled class. A
grade of incomplete will be assigned until the student takes and turns in the make-up examination.
F. POP QUIZZES:
Throughout each of the “testing periods” the Instructor may give pop quizzes over materials and case
decisions covered in the class assignment(s). The student’s cumulative score on all pop quizzes given
during a testing period will be added to the student’s examination score for that testing period in
determining the student’s total grade for each examination taken. Please Note - There Will Be No Make-
up Pop Quizzes Given - Period!!! Students must be sure to put their names on the pop quiz. If the
Instructor does not have a Student’s pop quiz, it will be presumed that the Student did not attend class,
did not take the pop quiz and will not receive credit for the pop quiz score.
G. GRADE EVALUATION:
The course will be divided into four (4) “testing periods.” Each testing period will cover five to six
assigned chapters in the textbook. The student’s actual “Exam Grade” for each testing period will consist
of the total of: (i) the student’s correct answers on the examination, plus (ii) the class curve (if any), plus
(iii) the student’s total score on any pop quizzes taken during the corresponding testing period, plus (iv)
any extra credit earned by the student during the testing period, (as set out below). The student’s fourth
(final) examination grade will calculated in the same manner as the three prior Exam Grades.
The student’s Final Course Grade will be calculated by taking the sum total of each of the student’s four
Examination Grades and dividing by four. If a student’s test grade is on the border between two different
grades (e.g. a 79∀ or an 89∀) the Instructor will take into consideration the student’s record of class
attendance and class participation throughout the semester (thus, class attendance and class participation
really do make a difference!) Grades will be determined on the standard of: 90.0 or above – “A”, 80.0
to 89.9 – “B”, 70.0 to 79.9 – “C”, 60.0 to 69.9 – “D” and below 60.0 – failing.
Students may enhance their opportunity to obtain a higher Exam Grade by doing the Extra Credit work,
as discussed below. In order for an Extra Credit paper to be considered, it must be turned in prior to the
corresponding Examination Date. All examination grades will be posted on Blackboard as soon as the
Instructor has had a chance to grade them. Please don’t badger the Instructor about your getting your
grade as he will grade the tests as quickly as possible.
H. DROP/WITHDRAWAL:
In accordance with Business School rules.
I. ACADEMIC HONESTY:
Submission of any work for a grade for which unauthorized help has been received is termed academic
dishonesty and will be grounds for a failing grade in the course. "Unauthorized" is a term used here to
designate stealing, copying (with or without permission) and collaboration with other individuals in
preparing work assignments.
J. CLASSROOM DECORUM::
Students must turn off all cell phones prior to the Instructor’s commencement of class. Students should
not leave the classroom once class has begun without having previously informed the Instructor of your
need to leave class early. Students will NOT TALK while the Instructor is giving his lecture.
K. EXTRA CREDIT:
Extra Credit assignments may be made by the Instructor from time to time. The student’s Extra Credit
will be added to the student’s pop quiz points, test grade and class curve, if any, in determining the
student’s Exam Grade. In writing an extra credit paper the student will be expected to demonstrate
his/her understanding of those legal issues addressed – the idea being that the Instructor wants to see that
the student has taken an interest in some legal issue, has attempted to develop an understanding of those
legal issues involved, and is able to evaluate and discuss the legal concepts and issues involved. Extra
Credit papers must be hand delivered or e-mailed to the instructor in either M/S Word or Word Perfect
format no later than the assigned date.
Your Instructor will be available to meet with any student at any time during his office hours, as noted in
the heading of this Syllabus.
REMEMBER THE IMMORTAL WORDS OF THAT GREAT COUNTRY WESTERN SAGE -
TOM T. HALL – IT’S FASTER HORSES, YOUNGER WOMEN, OLDER WHISKEY AND MORE
MONEY!!!!!
YOU NEED TO KNOW YOUR LEGAL RIGHTS IN THE WORLD OF BUSINESS TO BE
SUCCESSFUL. STUDY HARD AND HAVE FUN; HOPEFULLY, YOU WILL ONLY TAKE
THIS COURSE ONCE.