Exam 4: The Constitution: Focus on Application to Business

Individuals are protected from self-incrimination by:

The Supreme Court has held that highly regulated professions, such as lawyers and doctors, are subject to extensive state restrictions on advertising because these are "learned professions."

The Eighth Amendment concerns cruel and unusual punishment and excessive fines.

The most important part of the Constitution with respect to businesses is:

To help stimulate jobs in its wine industry, New York does not tax New York wines but taxes other wines $1 per bottle. This tax is:

Katzenbach v. McClung involved a restaurant that served food to black customers only at take-out windows. White customers would be seated. The Department of Justice was able to successfully sue the restaurant for violation of the Civil Rights Act because:

The Supreme Court has never reversed itself on a major constitutional issue.

States may constitutionally impose a tax:

In Citizens United the Supreme Court upheld the McCain-Feingold Act that placed strict limits on campaign spending soon before an election.

For a state to tax a business, the state must have:

Congress and the states may share regulatory responsibilities.

If, to help the development of small businesses, a state legislature imposes a lower tax rate on goods produced by small businesses in the state than it imposes on goods produced by similar businesses from other states, the tax is unconstitutional.

The states do not have the power to limit federal taxes on property owned by citizens in their own states.

The Uniform Division of Income for Tax Purposes Act uses which of the following factors to divide a company's income:

Due process rights are concerned with the fairness of law enforcement procedures as well as with the content of legislation.

States may impose taxes on goods imported from other countries so long as the tax rate is the same as that imposed on businesses within the state.

Fact Pattern 4-1 You own Priscilla's Pecans. You employ five people and sell your pecan products in one town in Georgia. Your products are not sold in any other state. The federal government imposes regulations on the pecan industry. The Georgia legislature issues its own safety laws that are stricter than the federal rules. Georgia also places a tax on pecan products made out-of-state because it fears those products will not be as safe as those produced in Georgia under the strict Georgia regulations. The regulations raise the cost of doing business. To register your unhappiness with the Georgia regulations you attach a label to your products that alerts customers to the rules and expresses your view that the rules are unnecessary and too costly. You donate $10,000 to the campaign of Lucinda Snopes, a friend who is running for the legislature. She opposes the pecan law. Buddy Reeves, the county attorney, reads the label criticizing the new safety regulations. He draws up a complaint against you and against Priscilla's for distributing inflammatory statements in commerce. He instructs the sheriff to seize your products in order to stop distribution of your statement, which the sheriff does. You contact attorney Travis Shifflett and ask him to represent you. -Refer to Fact Pattern 4-1. Your attorney will rely on which case to argue that the labels are legal, protected speech and the regulation is unconstitutional:

The Magna Carta of 1215 limited the powers of the king (the monarch) in the United Kingdom.

If the federal government creates regulations over certain business practices, states may not imitate those regulations if state rules, like the federal rules, will limit interstate commerce.

Suppose the Texas legislature ruled that all motorcycle drivers and passengers under the age of 21 had to wear helmets. This could be attacked by a young motorcycle driver who did not want to wear a helmet as a violation of: