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40 terms

BUSINESS LAW TEST #1

STUDY
PLAY
Law includes enforceable rules governing relationships between individuals and their society.
TRUE
A state law that conflicts with the U.S. Constitution will be deemed unconstitutional.
TRUE
Federal administrative agencies specify the powers of Congress.
FALSE
Common law is a term for the law that is known to most of us.
FALSE
Hawaii enacts a state law that violates the U.S. Constitution. This law can be enforced by
a. no one.
b. the federal government only.
c. the state of Hawaii only.
d. the United States Supreme Court only.
A
The River City Council, the Santa Clara County Board, the Texas state legislature, and the U.S. Congress enact laws. These laws constitute

a. administrative law.
b. case law.
c. stare decisis.
d. statutory law.
D
Jill is an appellate court judge. In this capacity, Jill establishes a rule of law. Under the doctrine of stare decisis, the principle must be adhered to by

a. all courts.
b. courts of lower rank only.
c. that court and courts of lower rank.
d. that court only.
C
Net Corporation files a suit against Omega, Inc., alleging that Omega breached a contract to sell Net a computer system for $100,000. Net is

a. the appellant.
b. the appellee.
c. the defendant.
d. the plaintiff.
D
In a suit against Kathy, Lon obtains specific performance. This is

a. an equitable remedy and a remedy at law.
b. an equitable remedy only.
c. a remedy at law only.
d. not a remedy.
...
Beth is a victim of Carl's violation of a criminal law. Criminal law is con¬cerned with
a. the prosecution of private individuals by other private individuals.
b. the prosecution of public officials by private individuals.
c. the relief available when a person's rights are violated.
d. wrongs committed against the public as a whole.
D
A federal form of government is one in which sovereign power is vested entirely in a central governing authority.
FALSE
Under the Constitution, the judicial branch enforces the laws.
FALSE
The state governments retain all powers not specifically delegated to the federal government.
TRUE
Local governments, including cities, can exercise police powers
TRUE
The First Amendment protects symbolic speech.
TRUE
Under the Constitution, the legislative branch of the government
a. administers the laws.
b. enforces the laws.
c. interprets the laws.
d. makes the laws.
D
Household Furnishings, Inc., distributes its merchandise on an inter¬state basis. Under the commerce clause, Congress has the power to regulate

a. any commercial activity in the United States.
b. only activities that are in intrastate commerce.
c. only activities that are in local commerce.
d. only activities that are not in commerce.
A
Tom files a suit against the state of Utah, claiming that a Utah state law violates the commerce clause. The court will agree if the statute

a. imposes a substantial burden on interstate commerce.
b. promotes the public order, health, safety, morals, or general welfare.
c. regulates activities within Utah's borders.
d. regulates private activities.
A
Dian, a U.S. citizen, is the owner of Eagle, Inc. The Bill of Rights embod¬ies a series of protections for Dian against various types of interference by

a. business entities only.
b. private individuals only.
c. the government only.
d. business entities, private individuals, and the government.
C
Best Sales Corporation regularly advertises its products. Under the First Amendment, these ads and other commercial speech are given

a. less protection than noncommercial speech.
b. more protection than noncommercial speech.
c. no protection.
d. the same protection as noncommercial speech.
A
The function of the courts is to interpret and apply the law.
TRUE
A long arm statute permits a court to exercise jurisdiction over an out-of-state defendant.
TRUE
For purposes of diversity of citizenship, a corporation is a citizen only of the state in which it is incorporated.
FALSE
To have standing to sue, a party must have been harmed or have been threatened with harm by the action about which he or she complains.
TRUE
The United States Supreme Court can review a decision by a state's high¬est court only if a question of federal law is involved.
TRUE
Leo, a resident of Missouri, owns a warehouse in Nebraska. A dispute arises over the ownership of the warehouse with Opal, a resident of Kansas. Opal files a suit against Leo in Nebraska. Regarding this suit, Nebraska has
a. diversity jurisdiction.
b. in personam jurisdiction.
c. in rem jurisdiction.
d. no jurisdiction.
C
The case of Able, Inc. v. Baker is heard in a Connecticut court with origi¬nal jurisdiction. The case of Charlie v. Delta, Inc. is heard in a Connecticut court with appellate jurisdiction. The difference be¬tween original and ap¬pellate jurisdiction is whether

a. a case is being heard for the first time.
b. the court is exercising a new type of jurisdiction.
c. the parties' legal arguments are innovative.
d. the subject matter of a case involves new facts.
A
Ilsa files a suit against Jack. The document that sets out the ground for the court's jurisdiction, the basis of Ilsa's case, and the relief that Ilsa seeks is

a. the answer.
b. the complaint.
c. the service of process.
d. the summons.
B
Ann files a suit against Beta Products, Inc. Beta responds that even if Ann's statement of the facts is true, according to the law Beta is not liable. This is

a. a counterclaim.
b. a motion for judgment on the pleadings.
c. a motion for summary judgment.
d. a motion to dismiss.
D
Jim files a suit against Kay. Before going to trial, the parties meet, with their attorneys to represent them, to present their dispute to a third party who is not a judge but who renders a legally binding decision. This is

a. arbitration.
b. litigation.
c. mediation.
d. negotiation.
A
A person may commit an intentional tort if he or she acts knowing with substantial certainty that certain consequences will result.
TRUE
Slander involves the oral communication of defamatory language
TRUE
A written defamatory statement must be communicated to a third party to be actionable.
TRUE
Puffery is fraud.
FALSE
An ordinary person standard determines whether allegedly negligent con¬duct resulted in a breach of a duty of care.
FALSE
Ann believes that Burt is about to hit her. To prevent harmful contact in this situation, Ann may use

a. any force.
b. any force, except force that is likely to cause death.
c. force that is reasonably necessary.
d. no force.
C
Lon trespasses on Mega Corporation's property. Through the use of rea¬son¬able force, Mega's security guard Ned detains Lon until the police ar¬rive. Mega is liable for

a. assault and battery.
b. false imprisonment.
c. intentional infliction of emotional distress.
d. none of the above.
D
Dale hears Ed falsely accuse Flo of stealing from Great Warehouse, Inc., their employer. Ed's statement is defamatory

a. because Dale heard it.
b. only if Ed made the statement loudly.
c. only if Ed's statement is also published in the Dispatch, a local paper.
d. only if Flo suffers emotional distress.
A
Acme Computers, a computer store, takes unethical steps to divert the customers of Cyber Goods, an adjacent competing store. Acme may be liable for

a. appropriation.
b. wrongful interference with a business relationship.
c. wrongful interference with a contractual relationship.
d. none of the above.
B
Amber pushes Brad into the path of an oncoming car driven by Carol. Don tries to rescue Brad, but the car hits both of them. Amber is liable for the injuries of

a. Brad and Don.
b. Brad only.
c. Don only.
d. neither Brad nor Don.
A