| Course | ETH 321 Ethical and Legal Topics in Business (ETH/321) |
|---|---|
| Week | 1 |
| Paper type | Court system analysis |
| Length | about 1,093 words, 4 double-spaced pages plus title page and references |
| Format | APA 7 student paper |
| School | University of Phoenix |
| Program | BS in Business |
| Updated | October 2026 |
Free sample paper for ETH 321 Week 1
Which Court Hears the Case? A Kansas City Brewery's Distributor Dispute and the US Court System
[Student Name]
University of Phoenix
ETH/321: Ethical and Legal Topics in Business
Week 1 Assignment
[Instructor Name]
[Date]
Blue Flint Brewing, its distributor, the dispute and all figures are composites written for a model paper; this is not legal advice.
Blue Flint Brewing, a composite company, brews about 18,000 barrels of beer a year in Kansas City, Missouri. For six years it sold in Kansas through Prairie Line Distributing, based in Wichita, under a written agreement. Last spring Blue Flint ended the agreement, citing falling sales, and signed with a larger Kansas distributor. Prairie Line says the brewery had no valid reason to end the contract and demands $480,000 in lost profits. Its lawyer has threatened to sue. Blue Flint's owners, who have never been in court, want to know where a lawsuit could be filed and what would happen. This paper explains the US court system using their dispute. It is a model paper, not legal advice.
Two Court Systems
Business disputes in this country can land in either of two separate sets of courts. Each state has its own courts, created by its constitution and laws, and the federal government has courts created under Article III of the US Constitution. Mallor et al. (2019) describe the typical state structure as having trial courts of general jurisdiction, where cases begin and facts are decided, intermediate appellate courts, which review trial courts' legal rulings, and a state supreme court with the final say on questions of state law. Missouri's trial courts are called circuit courts; Kansas calls its trial courts district courts. Above those trial courts, each state has an appeals court and a high court.
At the national level there are 94 district courts, which are trial courts; 13 circuit courts of appeals; and the US Supreme Court. Missouri is in the Eighth Circuit; Kansas is in the Tenth.
Subject Matter Jurisdiction
A court must have power over the type of case. State courts of general jurisdiction can hear almost any case, including contract disputes. Federal courts have limited jurisdiction: they hear cases involving federal law, called federal question jurisdiction, and cases between citizens of different states where more than $75,000 is at stake, called diversity jurisdiction. Prairie Line's claim is a breach of contract claim under state law, so there is no federal question. But Blue Flint is a Missouri company and Prairie Line a Kansas company, and the claim is $480,000, so a federal district court would have diversity jurisdiction.
Personal Jurisdiction and Venue
A court also needs power over the defendant, which depends on the defendant's connections to the state. Blue Flint is based in Missouri, so Missouri courts clearly have personal jurisdiction over it. Kansas courts likely do too, because Blue Flint did business in Kansas for six years, shipping beer and working with a Kansas distributor. Venue, the specific location within a court system, follows rules about where parties reside or where events occurred.
The contract the owners signed six years ago may already have decided where they will be sued.
The Contract's Forum Clause
The distribution agreement contains a clause stating that disputes will be heard in state or federal courts in Jackson County, Missouri. Courts generally enforce such forum selection clauses in business contracts. If Prairie Line sued in Wichita, Blue Flint could ask the court to dismiss or transfer the case. The likely forums are therefore the Circuit Court of Jackson County or the federal District Court for the Western District of Missouri. Prairie Line might prefer federal court for its procedures; Blue Flint could, if sued in state court, remove the case to federal court because diversity exists, although removal is not available to a defendant sued in its own home state, which limits Blue Flint's options here.
How the Case Would Proceed
A civil case begins with pleadings: the plaintiff files a complaint, and the defendant responds with an answer or a motion to dismiss. Discovery follows, in which each side obtains documents, emails, sales records and testimony through depositions. Either side may then ask the judge to decide the case without a trial on the ground that no real factual dispute remains, a request called a motion for summary judgment. If the case continues, a trial decides the facts, before a judge or a jury, and applies the law. The losing party may appeal to the court of appeals, which reviews legal errors rather than retrying facts, and in rare cases seek review by the state supreme court or the US Supreme Court.
Most cases never reach trial. Galanter (2004) documented a long decline in the share of federal civil cases resolved by trial, to under 2 percent, as settlement, dismissal and other resolutions replaced trials. Eisenberg and Lanvers (2009) studied federal civil cases in two districts and estimated that a large majority of cases settled, with rates varying by case type. Blue Flint's dispute is likely to settle, probably after discovery shows each side the strength of the other's evidence.
What Matters for Blue Flint's Case
The central question will be whether Blue Flint had the right to end the agreement. The contract allows termination "for cause," including failure to meet sales targets. Blue Flint's sales records show Prairie Line missed targets two years in a row. Kansas, like most states, also regulates when brewers may end distributor agreements, and that statute could matter as much as the contract's wording. These are questions for the trial court, applying state contract law and statutes.
What the Owners Should Do Now
The owners' first step is to find a lawyer licensed in Missouri with experience in beverage distribution disputes, since state distributor laws are specialized. They should gather the contract, every sales report sent to Prairie Line, the written notice of missed targets and all emails about the termination, and they should not delete anything, since destroying evidence after a lawsuit is likely can lead to penalties. They should also avoid discussing the dispute with retailers or on social media.
Lessons for Managers
Know where you can be sued: forum clauses in contracts shape where disputes are heard.
Keep records: sales reports, emails and notices will drive the outcome.
Know the industry's special laws: many states protect beer distributors.
Consider settlement early: litigation through trial can cost more than $200,000 in legal fees for a dispute of this size.
Conclusion
The US court system's two parallel structures, with their rules on jurisdiction and venue, determine where Blue Flint's dispute could be heard. Diversity jurisdiction opens the federal courts; the contract's forum clause points to Jackson County. Understanding how cases proceed, and how rarely they reach trial, helps the owners plan their response and their future contracts.
References
Eisenberg, T., & Lanvers, C. (2009). What is the settlement rate and why should we care? Journal of Empirical Legal Studies, 6(1), 111-146. https://doi.org/10.1111/j.1740-1461.2009.01139.x
Galanter, M. (2004). The vanishing trial: An examination of trials and related matters in federal and state courts. Journal of Empirical Legal Studies, 1(3), 459-570. https://doi.org/10.1111/j.1740-1461.2004.00014.x
Mallor, J. P., Barnes, A. J., Bowers, L. T., & Langvardt, A. W. (2019). Business law: The ethical, global, and e-commerce environment (17th ed.). McGraw-Hill Education.
What the ETH 321 Week 1 instructions ask
The first ETH 321 assignment usually asks students to explain the structure of the US court system and how cases move through it. Students are typically asked to lay out the levels of the federal and state systems, explain jurisdiction, including subject matter, personal and diversity jurisdiction, describe trial procedure and appeals and apply these ideas to a business scenario, sometimes one provided by the instructor. Some versions ask about the role of the US Supreme Court. Use a specific business dispute, explain legal terms in plain language and cite the textbook, statutes or court sources in APA. Close with what a manager should understand or do differently because of the analysis.
How this ETH 321 Week 1 example is built
Our worked paper follows a dispute between a Missouri brewery and a Kansas distributor that claims the brewery wrongly ended their contract. It explains the two parallel court systems: state trial courts, appellate courts and supreme courts in each state, and federal district courts, circuit courts of appeals and the US Supreme Court. Because the parties are from different states and more than $75,000 is at stake, a federal court could hear the case under diversity jurisdiction, as could state courts in Missouri or Kansas. Personal jurisdiction, venue and the contract's forum clause narrow the choice. The paper traces how a lawsuit would proceed from complaint to appeal and notes that most civil cases settle before trial.
ETH 321 Week 1 grading rubric: where the points go
Instructors reward clear explanation applied to a real dispute. Strong papers describe federal and state courts and their levels accurately, explain jurisdiction in plain terms and show how jurisdiction rules would apply to the specific parties. Credit goes to tracing the stages of a civil case, from pleadings and discovery through trial and appeal, and to recognizing that most disputes settle. Graders also look for practical lessons for managers, such as forum clauses and record keeping. Accurate legal terms used correctly, a logical structure and APA citations of the textbook or court sources complete a strong paper.
ETH 321 Week 1 help: mistakes to avoid
Court system papers often describe court levels as a list without explaining why a case would go to one court rather than another. Apply jurisdiction rules to a specific dispute. Another frequent gap is confusing subject matter jurisdiction, the court's power over the type of case, with personal jurisdiction, its power over the parties. Explain both. Students also forget state courts, which hear most business disputes. Include them. Some papers describe trials in detail but skip pretrial stages, where most cases end. Cover discovery and settlement. Finally, end with what a manager should do, such as adding a forum clause to contracts. A tutor can help you check that legal terms are used correctly and that each rule is applied to your facts.
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- ETH 321 Week 5: Intellectual Property
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ETH 321 Week 1 questions, answered
What does ETH 321 Week 1 usually cover?
It usually covers the structure of federal and state courts, jurisdiction, the stages of a civil case and appeals, applied to a business dispute.
Where can I find a free ETH 321 Week 1 sample paper?
The Week 1 paper above explains the US court system through a brewery's contract dispute and the full text is open to every reader here.
What is diversity jurisdiction?
The power of federal courts to hear cases between citizens of different states when more than $75,000 is in dispute.
What is the difference between subject matter and personal jurisdiction?
Subject matter jurisdiction is a court's power over the type of case; personal jurisdiction is its power over the particular parties, based on their connections to the state.
Do most business lawsuits go to trial?
No. Most civil cases are settled or dismissed before trial, often after discovery reveals the strength of each side's evidence.
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