Also known as: business enterprise · business-enterprise · business organization · business entity
Written by attorneys · grounded in primary & secondary sources — see below
A commercial organization such as a corporation, partnership, limited liability company, or other entity organized to conduct business for profit.
Brighton Manufacturing distributed a printed catalog listing prices for industrial parts to potential buyers across several states. A recipient responded by ordering a large quantity at the listed price. Brighton Manufacturing refused to ship, explaining that further negotiation was required. The recipient sued for breach, claiming the catalog constituted an offer.
Society of the Sisters operated several private schools in Oregon. A new state statute required all children to attend public schools. The Society sued to enjoin enforcement, alleging the law would destroy its business and property interests. The Court considered whether the statute unconstitutionally interfered with the operation of the schools.
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Hobby Lobby Stores operated as a closely held corporation with religious objections to certain contraceptives. Federal regulations required the company to provide insurance coverage including those contraceptives. Hobby Lobby sued, claiming the mandate substantially burdened its religious exercise. The Court examined whether the company could assert free-exercise rights.
Youngstown Sheet & Tube operated steel mills critical to national defense production. The President issued an order directing the Secretary of Commerce to seize and operate the mills during a labor dispute. The company sought to enjoin the seizure. The Court addressed whether the executive action exceeded constitutional authority.
Beneficial Industrial Loan Corporation faced a shareholder derivative suit alleging mismanagement. State law required the plaintiff to post security for the corporation's litigation expenses. The plaintiff challenged the requirement as unconstitutional. The Court considered whether the bond rule violated due process or equal protection.
American Radiator and Standard Sanitary Corporation manufactured valves in Ohio and sold them to a Pennsylvania boiler assembler. A defective valve caused an explosion in Illinois, injuring a resident. The injured party sued the Ohio manufacturer in Illinois court. The court examined whether the manufacturer's contacts supported personal jurisdiction.
Business enterprises commonly issue catalogs, price lists, and circulars to publicize goods. These materials are not ordinarily understood as offers because they invite further negotiation rather than manifesting an intention to be bound immediately. An advertisement becomes an offer only when it contains language of commitment or invites acceptance without further communication.
Supporting sources
Certain business enterprises, such as closely held corporations, may assert free-exercise rights when a regulation substantially burdens their religious exercise. Courts examine whether the enterprise is distinct from its owners and whether the regulation forces the entity to act contrary to its owners' beliefs.
Supporting sources
A business enterprise may be subject to personal jurisdiction in a state where its products are placed in the stream of commerce and cause injury, even if the enterprise itself has no direct physical presence there. The analysis focuses on the entity's contacts with the forum through distribution channels rather than its formal organizational structure.
…terms of the agreement point the same way. We are told at the outset by way of recital that “the said Otis F. Wood possesses a business organization adapted to the placing of such indorsements as the said Lucy, Lady Duff-Gordon has approved.” The implication is that the plaintiff’s business organization will be used for the purpose for…