Question 7: Common Law and Civil Law
Common law is a legal system that emphasizes on court decisions and that judges have the authority to make laws where no lawmaking statutes exist. It also incorporates legislative precedence as the primary source of law thus ensuring that the law remains precise, uniform and consistent. This type of law has its structure based around adversarial systems whereby two parties - the defense and the prosecution teams - are pitted against each other with the faith of finding the truth. Common law has its origin traced back to England during the middle age period and nations such as the United States, which was colonized by England, adopted this legal system during this period and that is how the US became a common law country.
The main difference between the common law and civil law system lies on the procedural approach to varied codes and legislation. In common law system, cases are used as the principal foundation of law while statutes are not given many interpretations whereas in the civil law system acts are seen as the main source of law and thus the court strictly base their arguments on the provision of codes as well as statutes.
Question 8: Public and Private Law
Public law is a class of law that is concerned with the relationship between the state and its citizens. This law also deals with issues between individuals and which directly affect the society. Instances of public law consist of constitutional law, administrative law, and criminal law.
Private law consists of that aspect of law concerned with the regulation of relationships between persons that help people in solving personal matters. Three examples of this type of law include family, succession and contract laws.
Question 9: Civil law and Criminal Law
Civil law is just like a private law that influences the rights and duties of individuals and thus is primarily concerned with the regulation of relations between persons. It is a law used to solve a dispute between not only individuals but also organizations and always has an obligation to offer compensation to the victim (Salomatin 76-80). On the other hand, criminal law is the law that defines, prevents, detects and punishes crimes. This law has a purpose of inflicting discipline and morals in the society by punishing wrongdoers and preventing others from committing criminal offenses.
The Civil law exists in two ways in this topic. Firstly, the civil law refers to a legal system inspired by the Roman –Germanic law with codified and written collection of legislation that must not be interpreted by judges but strictly follow the standard guidelines for decision making in court. It is the most common legal system in the world. Secondly, civil law can be measured as a class of justice which entails regulations or associations between persons to resolve personal matters.
Question 20: The Specific Sense of Corporate Governance
“Specific” reasons of corporate governance are a particular set of rules set aside to offer protection to the portion of properties that individuals own in corporations. It not only provides legislations that outline the organization, empowerment, and regulation of managers in a corporate but also describes the relation between the managers and the owners of the company.
The artificial rising of the market price of stocks in a corporate business is done to sell expensively a cheaply acquired stock. The artificial raising of market price is a fraudulent activity and in the process, the investors in that particular market end up losing their cash. There are numerous ways through which managers accomplish this. They include:
Wash trading; this is whereby security is sold and repurchased with the purpose of increasing its price.
Bear raid; involves heavy selling in which the price of a stock is pushed down.
Runs; this is an activity whereby the traders come up with rumors about security to raise the price of their stocks in the market.
Pump and pump; this is an activity in which operators of a business send out wrong information to millions of investors about a given security with an attempt to increase the market price of their stocks
Ramping; is another method used by fraudsters to increase the prices of stocks artificially to get more profit within a short while by giving a false impression of a massive trading.
Work cited
Salomatin, Aleksey. "Contemporary Legal Systems and Their Integrative Classification". (2013): 76-80.
