1. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. C HAPTER 3: C IVIL D ISPUTE R ESOLUTION

2. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. T OPICS C OVERED IN C HAPTER 3: C IVIL D ISPUTE R ESOLUTION  The Court System A.The Federal Courts B.State Courts  Jurisdiction A.Subject Matter Jurisdiction B.Jurisdiction over the Parties  Civil Dispute Resolution A.Civil Procedure B.Alternative Dispute Resolution 2

3. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. T HE C OURT S YSTEM  Federal Courts. District Courts – trial courts of general jurisdiction that can hear and decide most legal controversies. Courts of Appeals – hear appeals from district courts and review orders of certain administrative agencies. 3

4. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. T HE C OURT S YSTEM  Federal Courts. The Supreme Court – nation's highest court, whose principal function is to review decisions of the Federal Courts of Appeals and the highest State courts. Special Courts – have jurisdiction over cases in a particular area of Federal law. Includes the U.S. Court of Federal Claims, the U.S. Tax Court, the U.S. Bankruptcy Courts, and the U.S. Court of Appeals for the Federal Circuit. 4

5. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. U.S. Supreme Court Highest State Courts Many Administrative Agencies U.S. District Courts Tax Court Bankruptcy Court U.S. Courts of Appeals U.S. Claims Court Patent and Trademark Office Court of International Trade U.S. Court of Appeals for the Federal Circuit F EDERAL C OURT S YSTEM

6. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. Puerto Rico is part of Circuit 1 Virgin Islands are part of Circuit 3 Northern Marianna Islands are part of Circuit 9 (along with Alaska and Hawaii.) D.C. Circuit Washington, D.C. Federal Circuit Washington, D.C. Source: Administrative Office of the United States Courts, January 1983     6 6 1 1 2 2 3 3 4 4 11 5 5 7 7 8 8 9 9 10 U.S. C IRCUIT C OURTS OF A PPEAL

7. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. T HE C OURT S YSTEM  State Courts. Inferior Trial Courts – hear minor criminal cases, such as traffic offenses, and civil cases involving small amounts of money; conduct preliminary hearings in more serious criminal cases. Trial Courts – have general jurisdiction over civil and criminal cases.  7

8. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. T HE C OURT S YSTEM  State Courts. Appellate Courts – include one or two levels; the highest court's decisions are final except in those cases reviewed by the U.S. Supreme Court. 8

9. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. S TATE C OURT S YSTEM State Supreme Court Intermediate Appellate Court Trial Courts Inferior Trail Courts Special Courts

10. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. J URISDICTION  Power or authority of a court to hear and decide a given case.  Subject Matter Jurisdiction – authority of a court to judge a controversy of a particular kind of case.  10

11. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. J URISDICTION  Subject Matter Jurisdiction. Federal Jurisdiction: limited jurisdiction. Exclusive Federal Jurisdiction. Concurrent Federal Jurisdiction. – Diversity of Citizenship: » Plaintiffs and defendants from different states, » Foreign country brings suit against US citizens. » Suit is between US citizen and citizens of a foreign country. 11

12. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. J URISDICTION  W HITE V. FCI USA, I NC. (2003).  Subject Matter Jurisdiction. Exclusive State Jurisdiction: jurisdiction over all other (non federal) matters. Conflict of Laws.  12

13. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. Exclusive State Jurisdiction Concurrent Jurisdiction 1. Federal crimes 2. Bankruptcy 3. Patents 4. Copyright and trademarks 5. Admiralty 6. Antitrust 7. Suits against the United States 8. Specified federal statutes Exclusive Federal Jurisdiction 1. Federal questions 2. Diversity of citizenship All other matters F EDERAL AND S TATE J URISDICTION

14. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. U.S. Supreme Court State Intermediate Appellate Court U.S. District Court in that Circuit U.S. Circuit Court of Appeals State Supreme Court State Trial Court Binding on questions of federal law Binding on questions of state law S TARE D ECISIS IN THE D UAL C OURT S YSTEM

15. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. J URISDICTION  W ORLD -W IDE V OLKSWAGEN C ORP. V. W OODSON (1980). Describe the factors courts use to determine whether ‘sufficient minimum contacts’ exist. 15

16. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. J URISDICTION  In Personam Jurisdiction – jurisdiction based upon claims against a person, in contrast to jurisdiction over the person's property. Most states have adopted long-arm statutes. 16

17. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. J URISDICTION OVER THE P ARTIES  In Rem Jurisdiction – jurisdiction based on claims against property.  Attachment Jurisdiction – jurisdiction over a defendant's property to obtain payment of a claim not related to the property.  Venue: geographic area where lawsuit should be brought. 17

18. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. Type of Jurisdiction Parties -- Courts must have authority over the parties to the case. This may be: Subject Matter-- some courts have all authority over certain types of cases. Jurisdiction can be: In rem Personal Quasi in rem State Concurrent Federal Defendant resident Long-arm statute J URISDICTION

19. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. C IVIL D ISPUTE R ESOLUTION  The Pleadings – a series of statements that give notice and establish the issues of fact and law presented and disputed. Complaint – initial pleading by the plaintiff stating his case. Summons – notice given to inform a person of a lawsuit against her.  19

20. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. C IVIL D ISPUTE R ESOLUTION  The Pleadings. Responses to Complaint. If defendant does not answer, court can enter a default judgment. Defendant can file a demurrer. Defendant can answer, and deny all claims, and assert affirmative defenses (which defense must prove at trial), and file a counterclaim. 20

21. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. C IVIL D ISPUTE R ESOLUTION  Pretrial Procedure. Judgment on Pleadings – a final ruling in favor of one party by the judge based on the pleadings. Discovery – right of each party to obtain evidence from the other party.  21

22. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. C IVIL D ISPUTE R ESOLUTION  Pretrial Procedure. Pretrial Conference – a conference between the judge and the attorneys to simplify the issues in dispute and to attempt to settle the dispute without trial.  22

23. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. C IVIL D ISPUTE R ESOLUTION  Pretrial Procedure. Summary Judgment – final ruling by the judge in favor of one party based on the evidence disclosed by discovery. P ARKER V. T WENTIETH C ENTURY -F OX F ILM C ORP. P ARKER V. T WENTIETH C ENTURY -F OX F ILM C ORP. (1970).  23

24. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. C IVIL D ISPUTE R ESOLUTION  Trial. Jury Selection – (voir dire) each party has an unlimited number of challenges for cause and a limited number of peremptory challenges. E DMONSON V. L EESVILLE C ONCRETE C OMPANY, I NC. (1991). E DMONSON V. L EESVILLE C ONCRETE C OMPANY, I NC. (1991). 24

25. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. C IVIL D ISPUTE R ESOLUTION  Trial. Jury Selection. Offer of Proof: preserve for review on appeal. Directed Verdict: final, binding determination. Closing Argument: to the jury. Jury Instructions. Verdict: the jury's decision based on those facts the jury determines the evidence proves. 25

26. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. C IVIL D ISPUTE R ESOLUTION  Trial. Motions Challenging Verdict – include motions for a new trial and a motion for judgment notwithstanding the verdict.  Appeal. Determines whether the trial court committed prejudicial error. 26

27. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. C IVIL D ISPUTE R ESOLUTION  Enforcement. Plaintiff with an unpaid judgment may resort to a writ of execution to have the sheriff seize property of the defendants and garnishment to collect money owed. 27

28. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. S TAGES IN C IVIL P ROCEDURE Pleadings Pretrial Trial Appeal Enforcement Determine what facts are in dispute Discover what evidence there is to prove the facts in dispute Determine what facts are provided by the evidence Review the lower court’s actions for prejudicial error Implement the court’s judgment Complaint, Answer, Reply Discover, Conference, Summary Judgment Jury Selection Opening Statements Introduction of Evidence Closing Arguments Judgment on Verdict Briefs and Transcript Oral Argument, Decision Execution, Garnishment

29. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. C IVIL D ISPUTE R ESOLUTION  Arbitration – a nonjudicial proceeding in which a neutral party selected by the disputants renders a binding decision (award). Types of Arbitration. Consensual Arbitration. Compulsory Arbitration.  29

30. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. C IVIL D ISPUTE R ESOLUTION  Arbitration. Procedure. International Arbitration. Court-Annexed Arbitration. R ENT -A-C ENTER, W EST, I NC. V. J ACKSON (2010). R ENT -A-C ENTER, W EST, I NC. V. J ACKSON (2010). 30

31. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. C IVIL D ISPUTE R ESOLUTION  Conciliation. Nonbinding process in which a third party acts as an intermediary between the disputing parties. 31

32. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. C IVIL D ISPUTE R ESOLUTION  Mediation. Nonbinding process in which a third party acts as an intermediary between the disputing parties and proposes solutions for them to consider. 32

33. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. C IVIL D ISPUTE R ESOLUTION  Mini-Trial. Nonbinding process in which attorneys for the disputing parties present evidence to managers of the disputing parties and a neutral third party, after which the managers attempt to negotiate a settlement in consultation with the third party. 33

34. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. C IVIL D ISPUTE R ESOLUTION  Summary Jury Trial. Mock trial followed by negotiations.  Negotiation. Consensual bargaining process in which the parties attempt to reach an agreement resolving their dispute without the involvement of third parties. 34

35. © 2013 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use. ADR C OMPARISON