BUSINESSthLAW TODAY
Essentials 8 Ed.
Roger LeRoy Miller - Institute for University Studies, Arlington, Texas
Gaylord A. Jentz - University of Texas at Austin, Emeritus
Chapter
6
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Criminal Law and
Cyber Crimes
1
Learning Objectives
 What two elements must exist before a person




can be convicted of a crime? Can a
corporation commit crimes?
What are five broad categories of crimes?
What is white collar crime?
What defenses might be raised by criminal
defendants to avoid liability for criminal acts?
What constitutional safeguards exist to
protect persons accused of a crime? What
are the major procedural steps in the criminal
process?
What is cyber crime? What laws apply to
crimes committed in cyberspace?
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2
Civil Law vs. Criminal Law
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3
Civil and Criminal Liability
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4
Criminal Liability
 A person’s wrongful act may hold him liable

(or guilty) in civil actions (tort) and criminal
actions.
State must show beyond a reasonable doubt
that the Defendant:
 Performed an illegal act (actus reus) AND
 While performing the act, had the required intent or
specific state of mind (mens rea).
 Without the required intent there can be no
conviction.
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Corporate Criminal Liability
 Liability of the Corporate Entity.
Crimes must occur within scope of
employment.
Corporations can be held criminally liable
when they FAIL to fulfill certain statutory
duties.
 Corporate officers and directors can be
criminally liable under the
“Responsible Officer” doctrine.
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Types of Crimes
 Violent Crimes.
 Crimes against persons (murder, rape).
 Robbery is a violent crime.
 Property Crimes - Most common, involves
money or property:
 Burglary.
 Larceny.
 Obtaining Goods by False Pretenses.
 Receiving Stolen Goods.
 Arson.
 Forgery.
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Types of Crimes
 Public Order Crimes.
 White Collar Crimes: non-violent crimes
involving a business transaction:
Embezzlement.
Mail and Wire Fraud.
• CASE 6.1 United States v. Lyons (2007).
Bribery.
Theft of Trade Secrets.
Insider Trading.
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Types of Crimes
 Organized Crime.
Money laundering.
Racketeer Influenced and Corrupt
Organizations Act (RICO).
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9
Classification of Crimes
 Felonies: serious crimes punishable by
death or by imprisonment over one (1)
year.
 Misdemeanors: less serious crimes
punishable by fine or by confinement up to
one (1) year.
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10
Defenses to Criminal Liability
Infancy (juvenile).
Mistake.
Intoxication: voluntary
vs. involuntary.
Consent.
Insanity.
Duress.
Justifiable Use of
Force.
Immunity.
Entrapment.
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Statute of Limitations.
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Fourth Amendment Protections
 Search Warrants:
Officer must have Probable Cause.
Exceptions to Warrant.
 Search and Seizure in Businesses.
Warrant required in some cases.
No warrant required for contaminated food or
highly regulated liquor or gun businesses.
CASE 6.2 United States v. Hartwell (2006).
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12
Fifth Amendment Protections
 Due Process of Law.
Opportunity to Object.
Hearing before a neutral Magistrate.
 Double Jeopardy.
Person cannot be retried for the same offense
in the same court.
Civil action, however, is permitted.
 Self-Incrimination.
“Right to Remain Silent” or not testify against
yourself
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Six and Eighth Amendments
 Right to Speedy Trial.
 Right to Jury Trial.
 Right to Public Trial.
 Right to Confront Witnesses.
 Right to Counsel.
CASE 6.3 Fellers v. United States (2004).
 Prohibition on cruel and unusual
punishment.
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14
Exclusionary Rule & Miranda
 Exclusionary Rule.
Evidence obtained in violation of constitutional
procedures must be excluded.
Evidence derived from illegal evidence is “fruit
of the poisonous tree.”
Deters police from misconduct.
 Miranda Rule.
Inform suspect of his rights.
Exceptions: coercion, illegally obtained
evidence.
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15
Criminal Process
Arrest
Booking
Trial
Guilty
Plea
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Initial
Appear
Prelim
Hearing
Arraignment
Charges
Filed
Plea
Bargain
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Cyber Crime
 Cyber crimes involve the use of computers in

cyberspace to injure a person or property.
Most cyber crimes are based on existing
common law crimes, with exceptions:
 Identity Theft.
 Cyber Stalking.
 Hacking.
 Cyber Terrorism.
 Computer Fraud and Abuse Act helps
prosecute computer crime.
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