Bus Law Exam 2 Study Guide
Employment Law
• Wisconsin an early leader in worker rights (ex. Workers Comp)
• 1932 – Norris LaGuardia Act
o Permits employees to form labor union without employer interference
o Prohibits federal courts from getting involved in nonviolent labor unions
• 1935 – National Labor Relations Act
o Foundation of law in this country
o Created the Labor Relations Board
• 1935 – Wager Act
o Prohibits unfair employer practices
▪ Can’t interfere with employees’ rights to organize
▪ Can’t discriminate against union members
▪ Can’t refuse to bargain in good faith
• 1947 – Taft Hartley (Labor Management Relations Act)
o Employers have rights too
o Prohibits unfair union practices
o Prohibits closed shops (have to be a member of the union to be hired), but permits
union shops (join union when get hired)
• 1957 – Labor Management Reporting Act (Landrum – Griffin Act)
o High point in union power
• 1963 – Equal Pay Act
o Prohibits employer from discriminating between employees on the basis of gender by
paying unequal wages for the same work
o Burden of proof: first lies with the employee (shifts after prove) then employer has to
prove wage is different for reason other than gender
• 1964 – Civil Rights Act
o Prohibits discrimination in the employment-relation processes
o Prohibited discrimination is proscribed criteria to produce disparate treatment. A prima
facie case is when the employee
▪ In protected class
▪ Applied for position and was qualified
▪ Yet was denied the position
• 1977 – Age Discrimination Act
• 1993 – Americans with Disabilities Act
o Need to provide individuals with disabilities accommodations at businesses
• Employee Protections – Employment Will
o Discharge without adequate cause and can quit whenever as long as not discrimination
• 1911 – Workers Compensation
o Started in Wisconsin
o Only need to prove hurt in the workplace and can’t sue employer
• 1935 – Social Security
o Provide limited retirement and death benefits
o Now 4 Major benefits programs: old age and survivors insurance, disability, Medicare,
social security
• 1970 – Occupational Safety and Health Act (OSHA)
o Enacted to ensure workers a safe work environment
o Established board
• Title VII
o Prohibits discrimination
o Who files a compliant: the person aggrieved
o Remedies: Prima Fica case – back pay, attorney’s fees, fringe benefits. Whatever you
would have had if you had been hired or promoted
o Defenses:
▪ Seniority system: longer you’ve been there more you can make
▪ Professionally developed ability test: a skill you need
▪ Bona Fide Occupational Qualification: some type of certificate (ex. CPA)
▪ Compensation based on performance result: Bona Fide Merit
Secured Transactions
• Secured transaction: an agreement by which one party obtains a security interest in the
personal property of another to secure the payment of debt
o Lien: liability that follows the property
o Consensual lien: voluntarily pledging assets to secure the loan
o Static vs. non-static
▪ Static: buy car and then pay for it every month. Deal done paying for it monthly
▪ Non-static: credit card. Every month have different balance (line of credit)
o Secured Party: the person in whose favor a security interest is created or provided for
under a security agreement. Includes lenders, vendors, and consignors
o Collateral: property subject to a security interest or agricultural lien
o Debtor: a person having an interest in the collateral other than the secured party; a
seller of accounts, chattel paper, payment intangibles
o Obligor: person who owes payment which is secured by security interest
• Collateral Classifications
o Goods: moveable, tangible property
▪ Consumer goods
▪ Inventory
▪ Equipment: includes computer software embedded in goods themselves
▪ Fixtures: firmly attached to real property that they are part of real estate
o Indispensable Paper
▪ Chattel Paper: both a debt and a security interest
▪ Instruments: negotiable instruments and securities
o Intangibles: accounts, general
• Purchase Money Security: purchase the car, borrow the funds to buy car, secure the loan with
the car you are purchasing, automatic payment
• Requisites for Enforceability: agreement in writing for a security interest in described collateral.
Signed by debtor.
o Debtor has rights in collateral
o Perfection (against 3rd parties): filing a statement to say that they can take possession
▪ File a f/s: may be used for all collateral except instruments, good for 5 years
▪ Possession by secured party (a pledge): used for goods, instruments, etc.
▪ Automatic perfection: upon attachment (apples to a purchase money security
interest)
• Attachment
o Value: contract law consideration, binding commitment
o Debtors right in collateral: personal property that debtor owns, possess, or is acquiring
o Executory agreement: continuous payment like employment contract (Not when you
buy a car because when you buy the car it is yours)
• If default
