This chapter expands your definition of what our legal system is by providing you with information you probably never got in high school â or donât remember learning, anyway. Maybe you slept through class the day these things were covered! With a more complete understanding of our legal system, youâre better able to avoid getting into legal hot water, and you feel more confident about exercising your legal rights when you do.
And now for your remedial crash course on our legal system. . . .
What Are Laws and Where Do They Come From?
Our laws reflect societyâs standards, values, and expectations. They establish âthe rules of the gameâ in our personal interactions and in our business dealings, helping to ensure that weâre treated fairly and that we treat others fairly, too. Laws establish our responsibilities and our rights and help us both avoid problems and resolve problems.
The laws that govern our lives come from six basic sources: the U.S. Constitution, the Bill of Rights, statute law, administrative law, common law, and case law.
The Constitution
The Constitution is the granddaddy of all U.S. law, the supreme law of the land, and the standard against which all other laws are measured. It established this country as a republic and determined the structure of our Congressional system. The Constitution applies to all Americans.
The Constitution is a âlivingâ document because our lawmakers can amend it to respond to changes in our countryâs needs, concerns, and values. Presently, the Constitution consists of 7 articles, 10 amendments that make up the Bill of Rights, and 17 other amendments that have been adopted over the years.
The Bill of Rights
The Bill of Rights defines the fundamental rights of all Americans. It places limits on how much control the federal government can exercise over our lives by guaranteeing certain freedoms, which include the following:
The right to freedom of religion
The right to freedom of the press
The right to a speedy and public trial
The right to protection against unreasonable searches and seizures
State law
In addition to the U.S. Constitution, each of the 50 states has its own constitution, which provides the basis for the statesâ own laws. States can make their own laws as long as those laws donât conflict with federal laws and donât violate the tenets of the U.S. Constitution. In fact, state laws frequently expand or enhance federal laws. For example, the federal Fair Credit Reporting Act says that consumers have the right to receive a free copy of their credit report if they apply for credit, employment, or insurance and are denied it due to information in their report. Some states have passed their own laws related to credit bureaus; such laws specify that consumers are entitled to a free copy of their credit report every year, whether or not theyâre turned down for credit, insurance, or employment.
When a federal law applies to a legal problem youâre faced with, check with your state attorney generalâs office to find out if your state has an additional law that can help you.
Statute law
Another basic kind of law is statute law â laws adopted by the U.S. Congress and by state and local elected officials. These laws most affect our daily lives, which is why we really should be familiar with them. They apply to such things as our credit rights, our rights when weâre contacted by a debt collector, the right to leave our property to others, our rights and responsibilities as married couples or parents, the rules of the road, and so on. Many of these laws are covered in this book.
Administrative law
Administrative law is perhaps better described as rules and regulations created and enforced by regulatory agencies. For example, the Internal Revenue Service has the power to tell us what we can and canât deduct on our tax returns and can fine us when we violate its rules; the Federal Trade Commission can establish rules governing what telemarketers and debt collectors can and canât do when they contact us, and it can take legal action against businesses that ignore its rules; and the Environmental Protection Agency has the power to control the kinds and levels of emissions that businesses may release into the environment and to impose penalties and other sanctions on companies t...
