BUSINESS LAW
[Name]
[Date]
Real, Intellectual, and Personal Property
Q1
Real, personal or intellectual properties are the three types of property that can be legally owned by a person or an entity. Each of these has distinctive characteristics that differentiate one from the other. The two characteristics of real property are, one, immovable (fixed) and two tangible. A good example of real property is land and the structure built on it. On the other hand, the characteristics of personal property are that they are one, movable and two, can either be tangibles (chattels) or intangibles (bank accounts, insurance policies, franchise, licenses among others). The third category of property is intellectual property. One of the distinctive characteristics of intellectual properties is that they are intangibles (Rogers, 2012). The other defining feature of intellectual property is that one can own the property and still allow others to use the property so long as they do not infringe on the owners property right. In that case, ownership of intellectual property is not as absolute as it is with real and personal property.
Under the United States law, the rights that accrue from each type of property are different. The rights in real and personal property are defined by possession. In real property, the evidence of possession is commonly through writing which is evidenced in the possession of a deed. The only difference is in advance possession, which is rare in real practice. The main reason for ownership by possession is to define exclusive ownership and eliminate conflicts. The right over intellectual property is through copyrights or patents (Rogers, 2012). The reason for such ownership is that the right to use any intellectual property is not actually absolute. They are limited, either by use or by time. A good example is that an author has intellectual rights over a book, but others can use the book so long as they acknowledge the author.
Q2
As Orlikoff article rightly articulates, Sarbanes-Oxley Act of 2002 imposes sweeping measures requiring the corporate board of directors to observe a high standard of financial disclosures that are strict enough to prevent accounting frauds in public companies. Like Orlikoff observes, the reform is perceived to be both for-profit and not-for-profit organizations. In this case, the corporate board of directors is required to enact a code of ethics for their corporations.
In, the same spirit of Sarbanes-Oxley Act, small businesses and privately held companies have ethical duties. They owe a duty to all their stakeholders including their employees, customers, vendors, and even the local people around which they operate. For instance, an ethical employer, whether for privately held company or public company, should not of an employee as a means to an end, but as a major stakeholder of the company. In that regard, just like Sarbanes-Oxley Act does to for-profit and not for profit organizations, the law should impose ethical requirements on all small businesses or privately held companies (Rogers, 2012). The marketplace is not in a position to regulate small businesses or privately held companies. If private companies were to be unregulated, due to their dominant position, they would exploit both employees and customers for private gain.
Reference
Rogers, S. (2012). Essentials of Business Law. San Diego, CA; Bridgepoint Education, Inc.
