Business Law Final 8

STUDY
PLAY
176. An agent has a duty to notify his principal of all facts relevant to the purpose of the agency.
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177. An independent contractor is an agent and an employee of the person who hired her.
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178. Geary was fired by his supervisor for revealing to higher management a serious problem with a company product. He sued for wrongful dismissal. You would expect the court to hold that Geary would be successful because he proved that if the product had gone to market it could have cost many lives.
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179. In Foley v. Interactive Data, the California supreme court held that for an employer to ignore written termination guidelines does not provide a basis for suing for breach of employment contract.
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180. All employee handbooks are held to create binding contractual obligations on the part of employers who use them.
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181. If an agent commits a tort outside the agent's scope of employment, the agent is liable to the third party for damages incurred.
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182. In Armstrong v. Food Lion, where employees at a grocery store beat two customers, the court held the store liable under the rule of vicarious liability.
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183. A company hired independent contractors to sell their products door-to-door. One sales rep, who had a criminal history, assaulted a customer, who sued the parent company. You would expect the court to hold the company liable for negligence.
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Congress creates the Federal Authority on Homelessness (FAH) and gave it broad powers to issue regulations, conduct searches, investigate areas where homelessness is a particular problem, and bring actions against those who discriminate against the homeless, or fail to follow FAH regulations.


In March 2006, FAH issued a rule that businesses with 15 or more employees cannot discriminate against the homeless in employment. The regulation states that businesses must take steps to recruit homeless people as employees and must provide homeless employees with adequate shelter. No public hearings are held and the final rule was published in the Federal Register in June, 2006. In October, 2006 FAH inspectors arrive at Elroy's Tackle Shop in Eureka, California. Elroy employs 18 people, including clerks, cashiers, and fishing guides. The inspectors ask Elroy what steps he has taken to hire a homeless person. He tells the inspectors that he has taken no steps, they fine him $5000 and inform him that he had better take such steps soon.


Elroy did not know FAH existed or that he had a duty to try to hire homeless people. He calls his attorney, Maia, and asks her what to do. She suggests that he file a complaint stating that FAH failed to follow proper procedures when it issued the rule.


Please answer the following question(s) with reference to these facts.


____ 184. Refer to Fact Pattern 15-1. If Elroy need to obtain documents from the FAH in order to help him with his lawsuit against the agency, he could obtain these documents under the Privacy Act.
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185. The Equal Employment Opportunity Commission is newer than most federal agencies.
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186. Rules that identify an agency's structure, method of operation, or detail its internal practices are called substantive or legislative rules.
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187. Comments on proposed regulations may be filed only by parties with standing to address the regulation.
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188. Businesses subject to regulation can be made to report to the regulatory agency on a routine basis, including any violations of the law they commit.
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189. As a result of the Supreme Court case Dow Chemical v. U.S., administrative agencies are required to obtain a search warrant before they conducted observations.
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190. Businesses do not have to comply with subpoenas from regulatory agencies, they must come from a U.S. Attorney to be fully enforceable.
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191. Administrative law judges are appointed by the president with the consent of the Senate for 10 year terms of office.
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192. A party injured by an administrative rule always has the right to seek review of the rule in federal court.
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193. The Supreme Court had held that there may be no judicial review of an agency action unless the agency decision is final.
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194. Most companies provide employees with assistance programs to deal with alcohol and other substance-abuse problems
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195. Violations of OSHA regulations are civil, there are no criminal penalties.
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196. The Worker Adjustment and Retraining Notification Act (WARN) requires employers to let all employees know at least 60 days in advance before there will be layoffs or a worker will be fired.
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197. It is illegal under the Taft-Hartley Act for a union to engage in featherbedding.
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198. The NLRB requires unions and employers to bargain in good faith with respect to mandatory subjects.
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199. The Equal Pay Act allows pay differentials between men and women if based on a merit system.
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200. Under the Equal Pay Act, if women have been discriminated against by getting lower pay than men, for the same work, salaries must be equalized, either by lowering the men's salaries or raising the women's salaries.
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