introduction to legal process in the united states (1)sources of law (2)court system (3)judicial...
TRANSCRIPT
Introduction to Legal Processin the United States
(1) Sources of law(2) Court system(3) Judicial process
Alan R. Palmiter 23 Jan 12
(1) Sources of law
• Legislative
• Executive / Administrative
• Judicial
Federalism: federal (supreme) vs. state
Legislative (Congress)• Constitution• Statutes• Legislative history
Administrative (Securities & Exchange Commission)
• Regulation (rules)• Agency decisions• Opinions• No-action letters
Judicial (federal courts)• Constitutional review• Statutory interpretation• Common law (precedent)
(2) Court systems
Federal
USSupreme
Court
US Court ofAppeals
NC Business
Court
NC Superior
Court
NCDistrictCourt
NC Court ofAppeals
NCSupreme
Court
Special Court
USDistrict Court
State (North Carolina)
Judicial infoFederal• US Supreme Court
– Discretionary review (from federal courts of appeal and state supreme courts)
– Original jurisdiction (state vs. state)– Appointed for life by President (Senate
confirms)• US Courts of Appeals
– Appeal of right from US trial courts– Review of errors (primarily legal)– 11 regional circuits / DC Circuit /
Federal Circuit• US trial courts
– US District Courts• Limited jurisdiction (federal questions /
diversity cases)• Exclusive / concurrent jurisdiction• Juries for $ damages / judges for
injunctions– Special courts
• US Claims Court• US Bankruptcy Court• US International Court of Trade• US Tax Court
State (North Carolina)• NC Supreme Court
– Discretionary review (questions of law)– Elected (7 justices)
• NC Court of Appeals– Appeal of right from superior courts– Review of errors (factual / legal)– 15 elected judges (appeals heard by 3-
judge panels) • NC trial courts
– Superior court: felonies / civil > 10K / jury trial
– District courts: minor criminal / civil <10K / family law
– Magistrate court: traffic court / small civil <4K
– Small claims court: small civil <4K, pro se (no attorney)
– Special business court: by reference• Sits in Greensboro, Raleigh, Charlotte• Three appointed judges• All filings in electronic form
(3) Judicial process
Pleading
Filters at each stage
Discovery
Pre-trial
Trial
Post-trial(appeals)
Pleading• Complaint (individual or
class action)• Answer (counterclaim /
cross-claim)
• Filters – Default judgment– Motion to dismiss– Rule11 sanctions
Discovery• Depositions• Interrogatories• Document requests• Examinations (physical and
mental)• Admissions
• Filters– Discovery sanctions
Pre-trial• Settlement conference• Alternative dispute
methods: mediation / arbitration
• Pre-trial conference
• Filters– Summary judgment– Voluntary dismissal
(settlement)
Trial• Jury / bench trial• Live, continuous: witness /
exhibits • Rules of evidence• Lawyer arguments
• Filters– Directed verdict
(judgment as matter of law)
Post-trial (appeals)• Reopen case before appeal• Enforcement of judgment• Appeal (on record)
• Filters – Judgment notwithstanding
verdict (NOV)– Appeal: affirm, reversal,
remand
Basic Inc. v. Levinson (US 1988) 1. What are the facts in the case? • What allegations did the plaintiffs make?• What kind of suit is this? What do the plaintiffs seek?• Who are the defendants?
2. What is the issue that the Court addresses? • What are the arguments of the defendants?• What are the responses by the plaintiffs?
3. What is the definition of materiality adopted by the Court? • What alternatives did the Court have in choosing a definition?• What is an "agreement in principle" definition? a "price and structure" definition?• What is a "probability-magnitude" test? Is this how financial markets judge
information's materiality?
4. Why does the Court adopt a case-by-case definition of materiality? • Why does the Court reject the bright-line tests urged by the defendants?• What are the advantages and disadvantages of the Court's approach?• After this case, when should corporate executives disclose merger negotiations?
5. After this case, when can corporate executives strategically misinform securities markets about merger plans?