Small Business at the Foot of the Legal Muse: Interpreting Supreme Court Cases and Their Effects

By Bardwell, Stephanie Huneycutt | Entrepreneurial Executive, January 1, 2010 | Go to article overview

Small Business at the Foot of the Legal Muse: Interpreting Supreme Court Cases and Their Effects


Bardwell, Stephanie Huneycutt, Entrepreneurial Executive


ABSTRACT

Decisions and dicta of the United States Supreme Court provide direct and vivid guidance to business interests, not only in the United States, but across the globe. Large firms use general counsel to provide analysis of significant USSC cases, as well as landmark decisions in key jurisdictions like New York and California. This important case law analysis for large corporations is perceived as a non-essential or unaffordable luxury for small businesses. This paper promotes the use and implementation of LIDM, (Legal Insight Decision Making) as a tool to achieve improved business performance for small business and entrepreneurs; it offers a singularly focused review and preview of business related matters in the current term of the USSC and emphasizes the effect upon small business.

INTRODUCTION AND LITERATURE REVIEW

Small businesses are less likely and less able to navigate legal complexities than multinational or large corporations for three simple reasons: A small business is less likely to have an expert legal advocate or in-house legal counselor, is presumed to be less likely to be subjected to enforcement of the governing regulations yet bears a disproportionate share of the federal regulatory burden (Grain, Hopkins 2001), and is less likely to be able to afford the time, expertise or expense of lobbying for or against legislation. In fact, the best advocate for the small business owner is typically not an individual legal advisor or attorney, but is likely the Office of Advocacy of the SBA.

The Office of Advocacy of the SBA provides extensive data and guidance related to entrepreneurship, job creation, minority and women owned business, banking, lending and credit practices, the environment, venture capitalism and many other important topics. The SBA commissions, funds and publishes research on those topics which are so important to small business interests each year. One important legal topic is the issue of regulatory burdens upon small businesses; in the research triangle of North Carolina, the private consulting firm Management Research and Planning Corporation (MRPC, 2002) investigated the means by which states attempted to piggyback states rules onto the federal Regulatory Flexibility Act. The consultants investigated whether states were effective in alleviating the regulatory burden falling on small businesses. The report concluded that only five states, Virginia, California, New York, Arizona and Illinois were effective in reducing federal regulatory burdens on their residents. However, even the passage of the federal Regulatory Flexibility Act and handmaiden bills like Executive Order 12866 and 13272 which were designed to diminish the federal regulatory burdens on small businesses, cannot fully correct the hefty and disproportionate burden of legal compliance that falls upon small businesses.

Cultivation of knowledge of legal cases related to business law requires virtual "signing up on the USSC dance card" to monitor cases under review. Small business and entrepreneurship educators who desire to further the interests of small business owners, as well as consultants, practitioners and educators can utilize a simple program to analyze the meaning of these landmark cases. It is then possible to transmit that understanding to the discipline by publishing research dedicated to the practice of advocacy for small business and all business.

Small business management experts and some scholars have recognized that familiarity with laws and regulations which have an impact upon business decisions is sometimes unrelated to decision making (Van Auken, Kauffmann and Herrmann 2009). In a remarkable study of owners' familiarity with Bankruptcy laws and their relation to capital acquisition, Van Auken et al recognized that although information is available, small firms may not have full access to the information nor perhaps do the consultants who advise them. Although the study was confined to Iowa businesses, the findings are likely to be applicable to multiple jurisdictions with similar state rules of bankruptcy exemptions, asset protection rules and states which are deed of trust states. …

The rest of this article is only available to active members of Questia

Sign up now for a free, 1-day trial and receive full access to:

  • Questia's entire collection
  • Automatic bibliography creation
  • More helpful research tools like notes, citations, and highlights
  • Ad-free environment

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items

Items saved from this article

This article has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this article

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited article

Small Business at the Foot of the Legal Muse: Interpreting Supreme Court Cases and Their Effects
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Full screen

matching results for page

Cited passage

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited passage

Welcome to the new Questia Reader

The Questia Reader has been updated to provide you with an even better online reading experience.  It is now 100% Responsive, which means you can read our books and articles on any sized device you wish.  All of your favorite tools like notes, highlights, and citations are still here, but the way you select text has been updated to be easier to use, especially on touchscreen devices.  Here's how:

1. Click or tap the first word you want to select.
2. Click or tap the last word you want to select.

OK, got it!

Thanks for trying Questia!

Please continue trying out our research tools, but please note, full functionality is available only to our active members.

Your work will be lost once you leave this Web page.

For full access in an ad-free environment, sign up now for a FREE, 1-day trial.

Already a member? Log in now.