In a lawsuit between Digital Hardware Corporation and Software Engineering Associates, Inc., the court applies the doctrine of stare decisis. What is this doctrine? What does this doctrine have to do with the American legal system?

What will be an ideal response?


In a common law legal system, past judicial decisions are binding in current disputes with similar facts. This feature of the common law, which is the basis of the American legal system, is unique because, unlike the law in other legal systems, it is judge-made law. Within the common law system, when possible, judges attempt to be consistent and to base their decisions on the principles suggested by earlier cases. The body of principles and doctrines that form the common law emerged over time as judges applied the principles announced in earlier cases to subsequent legal controversies. The practice of deciding cases with reference to former decisions, or precedents¾the cornerstone of the American legal system¾is called the doctrine of stare decisis. Under this doctrine, judges are obligated to follow the precedents established within their jurisdictions. This helps courts to be more efficient, and makes the law more stable and predictable.

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Mary's Fine Fashions Mary's Fine Fashions manufactures and sells various types of women's clothing. At the end of 2011, Mary had estimated for the production and sale of 25,000 short-sleeve shirts. Each shirt has a standard calling for 2.5 yards of direct material at a standard rate of $1.25 per yard and 12 minutes of direct labor time at a standard rate of $.20 per minute. During 2012, the

company actually produced and sold 23,000 shirts. These 23,000 shirts had an actual direct materials cost of $77,142 (59,340 yards at $1.30 per yard) and an actual direct labor cost of $63,250 (253,000 minutes at $.25 per minute). Each shirt sells for $20. Refer to the Mary's Fine Fashions information above. What is Mary's net operating income based on a flexible budget? A) $332,925 B) $361,875 C) $347,400 D) $307,400

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Under the Statute of Frauds, a bailment agreement must be in writing if it is for more than one year

Indicate whether the statement is true or false

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Brandon is preparing a short informational report for his boss and wants to begin his research by conducting informal research. What should he consider doing?

A) Searching through his company's files for background information and previous correspondence B) Talking with his boss to get more information about the type of information his boss would like included in the report C) Conducting an informal online survey using a tool like Survey Monkey D) Brandon should consider doing all of these.

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