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BA 3301 Final Exam Review

Terms in this set (189)

Laws requiring that the police show reasonable cause and obtain a search warrant before entering a place of business to search for evidence are examples of substantive laws.

Answers:
True
False
False
The source of bankruptcy law is a combination of

Answers:
constitutional and common law.
administrative and common law.
statutory and common law.
statutory and administrative law.
statutory and administrative law.
A state statute mandates that the statute of limitations for a negligence lawsuit is two years and the plaintiff is barred from filing the suit if he or she files after that time. This statute is an example of a

Answers:
substantive law.
procedural law.
private law.
criminal law.
procedural law
Secondary sources of law

Answers:
are used as precedent when there is no primary source of law that applies to the facts of a case.

Are advisory only.

are considered a legally binding and valid independent authority.

are binding on both federal and state legal issues.
Are advisory only.
Arbitration and mediation are legitimate dispute resolution methods, that always result in a satisfactory outcome for both sides of the dispute.

Answers:
True
False
True
What state has not adopted the Uniform Commercial Code in its entirety.

Answers:
Mississippi.
California.
Texas
Louisiana.
Louisiana.
Texas Courts have decided that the new voting laws enacted to make voting more secure which prevents drive up voting does not prohibit voting while riding thorugh a voting location as a passenger in a car. This law would be defined as.

Answers:
an election law.
a statute
common law
an administrative law.
...
A single wrongful act may violate both civil law and criminal law simultaneously.

Answers:
True
False
True
Common Law is:

Answers:
Law created by the courts
Law in the Uniform Codes.
Law created by the legislature
Laws created by State Legislatures that are similar.
...
Judicial review is the

Answers:
power of an appellate court to reverse a decision made in a lower court.

power of a federal court to declare a state or federal statute invalid if inconsistent with theConstitution.

power of a state or federal court to declare a statute unconstitutional.

power or right of a court to hear a case.
...
States may never regulate commerce that crosses state borders as this is an exclusive federal power.

Answers:
True
False
...
Most privacy rights aff orded in the Constitution do not extend to the workplace.

Answers:
True
False
...
Congress may tax activities and property that it might not be authorized to regulate under any of theenumerated regulated powers.

Answers:
True
False
...
In the cases of Heart of Atlanta Motel v. U.S. and Katzenbach v. McClung, the Supreme Court found illegaldiscrimination under the Civil Rights Act of 1964 by applying

Answers:
the Commerce Clause.
the Supremacy Clause.
the Equal Protection Clause.
the Necessary and Proper Clause.
...
The Bill of Rights recognizes fundamental constitutional rights of citizens.

Answers:
True
False
...
Protections for the citizenry from unlawful or repressive acts by the government are contained primarily in

Answers:
the Bill of Rights.
Article V of the Constitution.
Article I of the Constitution.
the Preamble to the Constitution.
...
Generally, constitutional protections do not apply to

Answers:
acts of state governments.
acts of administrative agencies.
acts of the federal government.
acts of privately owned businesses.
...
If a city refuses to issue a permit for a political demonstration because it would block traffi c in the area'slargest intersection, that decision would be reviewed using

Answers:
rational basis scrutiny.
strict scrutiny.
no particular form of scrutiny (none is required in this situation).
intermediate scrutiny.
...
An Oregon corporation and a New Hampshire corporation have entered into a contract and agreed thatany legal disputes will be conducted using New Hampshire law. This agreement is called a

Answers:
state selection clause.
venue selection clause.
forum selection clause.
site selection clause.
...
Federal Diversity jurisdiction requires citizens of two diff erent states

Answers:
or a controversy of $75,000 or more.
or a controversy of $50,000 or more.
and a controversy of $50,000 or more.
and a controversy of $75,000 or more.
...
The ultimate arbiter of federal law is

Answers:
the U.S. Supreme Court.
the President.
the Senate.
the full Congress.
...
Which of the following situations will create diversity jurisdiction?

Answers:
Alana, a Delaware resident, is a student at the state university in Delaware and sues for $1 millionafter she was molested on campus due to lack of appropriate security.

Alana, a Delaware resident, sues Morris, a New York resident driving in Delaware, for $80,000when he rear-ends her while she's riding her bicycle and severely injures her.

Alana, a Delaware resident, is a student at an out-of-state university and sues the school for a$50,000 tuition refund when she must leave for a semester for a personal family emergency andthe school refuses a refund or credit.

New York sues Virginia to stop the sale of firearms to New York residents
...
The trial court in New York has heard a case and issued a decision. This decision

Answers:
will be precedent in New York courts and the courts of states immediately surrounding New York.

will be precedent in the courts of all 50 states.

will be precedent in New York courts only.

will not be precedent in any U.S. courts.
...
When an attorney requests a change of venue, the attorney is asking

Answers:
to change the charges that the defendant was originally arrested for and is now on trial for.

to move the trial from one location to another due to the potential unfairness of a trial in the firstlocation.

to move the trial from a state trial court to a federal court in the same state.

for a different judge because of the assigned judge's potential bias.
...
A forum selection clause

Answers:
is created by the court after determining where jurisdiction is the strongest.

is created by the parties after the dispute arises based on the type of dispute and which state'scourt has the appropriate precedent and statutory law to hear the case.

is written into a contract when the contract is entered into.

is created by the contracting parties after the dispute arises and they analyze the fairest location forthe trial.

the case may be filed only in federal court and the amount in controversy is irrelevant.
...
With regard to federal question jurisdiction,

Answers:
the case may be filed in either state or federal court.

the case may be filed only in federal court.

the case may be filed only in state court if the controversy is $75,000 or more.
...
Which of the following does not occur in appellate court trials?

Answers:
Consideration of briefs prepared by each side's attorneys that outline the law and applicableprecedent pertinent to the case.

Oral arguments by each side's attorneys.

Presentation of testimony and new evidence.

Review of lower court transcripts and rulings.
...
Depositions are

Answers:
oral questions, answered orally, asked only of parties.

oral questions, answered orally, asked of parties and witnesses.

written questions, answered in writing, asked of parties and witnesses.

written questions, answered in writing, asked only of parties.
oral questions, answered orally, asked of parties and witnesses.
JR Winery grows grapes and produces wine in the state of Delaware. It purchases its corks from CorkMasters, a California cork importer. Despite a written contract, Cork Masters has informed JR Winery thatit will immediately be raising the cost of corks 20 percent. JR Winery disputes the added charges andclaims a breach of contract. Both companies agree that they want to resolve the dispute through bindingarbitration. The arbitrator fi nds in favor of JR Winery. What, if anything, can Cork Masters do if it wants todispute the arbitrator's decision?

Answers:
Appeal the arbitrator's decision to a federal or state court.

It can ask JR Winery if it would agree to have the case reopened.

File a court action under the Federal Arbitration Act because arbitration cannot be binding.

Have an expert evaluation conducted.
...
A motion for a summary judgment may be filed by either the plaintiff or the defendant.

Answers:
True
False
...
Albert has sued Tina and received a judgment for $50,000. Tina's assets may be exempt from collectionof the judgment if Tina has fi led bankruptcy.

Answers:
True
False
...
A motion for a court to issue a ruling declaring that no trial is necessary because there are no essentialfacts in dispute is called a

Answers:
motion for a judgment as a matter of law.
motion for summary judgment.
motion to dismiss.
motion to dismiss for mistrial.
...
Which of the following is categorized as informal ADR?

Answers:
negotiation
mediation
med-arb
arbitration
...
Which of the following does not result in a decision rendered by a third party?

Answers:
mediation
summary jury trial
expert evaluation
arbitration
...
Which of the following statements is true about jury trials?

Answers:
The judge is present to assist the jury in deliberations.

A potential juror may be removed if he or she demonstrates an obvious bias against one of thelitigants.

A juror may be disqualified for any reason.

Attorneys charge the jury by giving them instructions on how to work through the evidence andcome to a factual decision in the case.
...
From first to last, which of the following trial stages are in the correct order?

Answers:
discovery; jury selection; deliberations; charging the jury

pretrial conference; pleadings; discovery; deliberations

pleadings; discovery; pretrial conference; jury selection

pleadings; discovery; deliberations; jury selection
...
Under the maximizing profi ts theory, a company strives to do no harm, as long as the company continues to be profitable.

Answers:
True
False
...
A particular act can be deemed unethical yet still be legal.

Answers:
True
False
...
Lin-Mara's company has a code of ethics and a separate code of conduct. If she wants to be sure that shecomplies with the company dress code, she would reference the code of ethics.

Answers:
True
False
False
Leah has just handed in a major required report to her professor, and after careful scrutiny, theprofessor fi nds numerous instances of plagiarism. If the school policy and the professor's personal perspective follow a principles-based approach, Leah should be charged and suff er whatever penalty isprescribed by school policy.

Answers:
True
False
...
Under the moral minimum theory, as long as the business remains profi table, the company strives to actas ethically as possible.

Answers:
True
False
...
Tyke's Bikes is a bicycle sales and repair shop in a small city. It sells new and used bikes with a narrowprofi t margin and does repairs at minimal costs. Frequently, if a child comes into the shop with a brokenpart or a fl at tire, Tyke's makes the repair for free if the child has no money. Tyke's also provides a freeone-hour repair class for those who want to learn how to fi x their bikes. At large local organized bikerides, Tyke's provides free services, asking only for voluntary donations. Which theory of corporate socialresponsibility is Tyke's exhibiting?

Answers:
The moderate view, or government's hand theory.

The narrow view, or invisible hand theory.

The hybrid view, or citizen's hand theory.

The broad view, or good corporate citizenship.
...
Codes of ethics are insuffi cient and do not serve their proper purpose if they are intended only to ensurethat company policies are legal.

Answers:
True
False
...
Nobel Prize-winning economist Milton Friedman believed that

Answers:
a deliberate amorality in corporate decision making is discouraged.

Adam Smith's belief - that the common good is best served when economic institutions don'tpursue a common good but instead pursue an economic advantage - is wrong and misguided.
the only responsibility a business has is to maximize shareholder wealth.

managers who pursue social initiatives with corporate funds are morally correct and are pursuinga path that is required regarding their fiduciary duties owed to stakeholders.
...
Faber College, founded in 1904, is an integral part of its surrounding community. Which of the followingis a primary stakeholder in Faber College?

Answers:
The local bar that students frequent when they are not studying.

The community newspaper that runs a weekly column discussing the events at Faber.

The students.

The authors of the textbooks sold to the bookstore for student purchase.
...
A contract that lacks one or more of the basic required elements of a contract or that has not beenformed in conformance with the law from the outset of the agreement is considered

Answers:
void.
voidable.
valid.
enforceable.
...
In Lucy v. Zehmer, the two parties were drinking in a bar when Lucy off ered to buy Zehmer's farm. Aftersome negotiation, a written contract was executed. Zehmer claimed the entire episode was a joke and henever intended to sell his farm. The court determined that

Answers:
because the terms were fair, the parties are bound by the contract regardless of their intent orcapacity.

since the contract was written without lawyers present, it was likely not really serious, so nocontract was actually formed.

since Zehmer claimed to be "high as a Georgia pine" and it was only the liquor talking, there wasno contract.

Zehmer's actions made him appear serious; therefore, he was bound by his act despite what hewas inwardly thinking.
...
All of the following are necessary elements of a contract except

Answers:
capacity.
consideration.
writing.
mutual assent.
...
Elise hires an artist to paint a portrait of her family. This contract is governed by common law.

Answers:
True
False
...
In general, contracts for the sale of goods are governed by:

Answers:
the Uniform Commercial Code.
federal regulations.
state statutory law based on the Uniform Commercial Code.
state common law.
...
All of the following are necessary elements of a contract except

Answers:
mutual assent.
capacity.
writing.
consideration.
...
Helen's cat Fluff y has run away, and she places reward posters throughout her neighborhood. Mark seesone of the reward posters and spends the next six hours searching for Fluff y. While Mark is searching theneighborhood, Fluff y gets hungry and comes home.

Answers:
This is a bilateral contract, and Mark is entitled to be compensated for his efforts.

This is a unilateral contract, and Mark is entitled to nothing because he did not perform.

This is a unilateral contract, and Mark is entitled to be compensated for his efforts.

This is a bilateral contract, and Mark is entitled to nothing because he did not perform.
...
ABC Land Co. is negotiating the sale of an offi ce building to Mega Co. Which laws will govern the contractfor the sale of the building?

Answers:
Hybrid laws.
State common law.
State statutory law based on the Uniform Commercial Code.
The Uniform Commercial Code.
...
Any meeting of the minds resulting in mutual assent to do or refrain from doing something is called acontract.

Answers:
True
False
...
Steve is an avid bicyclist and sends in a $150 fee to participate in an across-the-state ride in the Midwest.A week before the ride, he breaks his leg. Unless the contract specifi cally provides for no refunds underany conditions, he will be able to receive a refund based on impossibility.

Answers:
True
False
...
In which of the following scenarios would enforcement of specifi c performance be appropriate?

Answers:
You order 3 gallons of white ceiling paint from a local store, and the store breaches by notdelivering or making available to you the 3 gallons.

Your bookstore agrees to order a textbook for you but breaches its contract with you by cancelingthe order the next day.

You own the pistol used by Hamilton and contract to buy the pistol used by Burr in the Hamilton-Burr duel to complete your set, but despite the contract the Burr pistol owner refuses to sell at thelast minute.

You order a current-model, name-brand television from a department store, and a few days laterthe store breaches by not ordering it from the manufacturer.
...
Sally has just purchased a home and wants to have an in-ground pool installed. She calls Cool Pools, the company that put in her neighbors' pools. When the company rep comes to her property, he does some soil tests that are standard for the industry and gets the same results as he got when the other poolswere put in, so the company gives her a price quote of $16,000. When Cool Pools begins excavating, itdiscovers solid rock four feet below ground level. The neighbors had no such rock. Cool Pools stops work and informs Sally that it will have to use explosives to remove the rock and the cost of the pool will nowbe $32,000.

Answers:
Sally can have the contract discharged based on impossibility.

Sally is under contract and will have to pay the new price.

Sally can have the contract discharged based on impracticability.

Sally can have the contract discharged based on frustration of purpose.
...
Which of the following is not an equitable remedy?

Answers:
damages
specific performance
injunctive relief
reformation
...
Lon has just come home from serving in the Marines and contracts with a local car dealership topurchase a car. The car must be ordered, and payment is to be made when the car arrives. The next day, Lon receives orders to return to active duty. Realizing that he doesn't need the car, he brings Tony to thedealership and asks that Tony substitute for him. Tony will take delivery and ownership of the car, and Tony will pay the dealership upon delivery. The dealership agrees to have Tony substitute for Lon. What has occurred?

Answers:
An assignment.
A delegation.
A novation.
An accord and satisfaction.
...
Specific performance is almost always available when a real estate contract for the sale of land isinvolved.

Answers:
True
False
...
Damages intended to punish a wrongdoer are called

Answers:
consequential damages.
punitive damages.
compensatory damages.
...
Sharon has contracted with Craig to buy Craig's car. She has agreed to pay $5,000 in cash in exchange forthe title and registration for the vehicle. Sharon and Craig agree to meet at 10 a.m. on Wednesday toexchange their consideration. Unfortunately, Craig dies Tuesday evening.

Answers:
The contract is still valid and Craig's heirs must go through with it based on the agreed terms.

The contract automatically terminates due to impracticability caused by Craig's death.

The contract automatically terminates due to impossibility caused by Craig's death.

The contract is still enforceable; however, Craig's heirs may renegotiate the terms because theyare now the owners of the car.
...
In which of the following situations is a court most likely to fi nd substantial performance?

Answers:
KM Corporation orders 500 boxes of copy paper from MK supply, but MK can deliver only 450boxes.

Olivia orders 3 gallons of paint for the exterior of her house, based on square footage coveredand needed, but the paint supplier can deliver only 2 gallons.

April orders a fully equipped car from a dealer, but although perfect in every way, the car deliveredhas an automatic transmission rather than the manual transmission that she ordered.

Young orders a set of four specially made chrome rims for her car, but the supplier can deliveronly three.
...
The UCC will permit an incomplete or slightly ambiguous contract to be enforced using each of thefollowing criteria except:

Answers:
correspondence or verbal exchanges between the parties.
judicial input of any terms necessary to maintain fairness.
past commercial conduct.
industry standards or norms.
...
In a destination contract, risk of loss passes to the buyer when the goods

Answers:
have passed the halfway point to the destination.
are tendered at the specific destination.
are delivered by the seller to the carrier.
begin the journey to the destination point.
...
The mirror image rule is not enforced under UCC standards.

Answers:
True
False
...
If a merchant sells goods to a buyer who is not a merchant, Article 2 of the UCC will not apply.

Answers:
True
False
...
In the absence of a specifi c contract provision regarding the details of payment, the UCC provides thatpayment be made in full

Answers:
within 30 days of the time and place that delivery occurs.
at the time and place that delivery occurs.
within 10 days of the time and place that delivery occurs.
within 20 days of the time and place that delivery occurs.
...
Cat's Coaster Company uses cork in all of the protective drink coasters that it manufactures. If Cat'senters into an agreement with a cork exporter from Portugal to purchase all of the cork it needs toproduce its products, this would be

Answers:
a necessities contract.
a requirements contract.
an input contract.
an output contract.
...
The only state that has not adopted the UCC is

Answers:
Louisiana.
California.
Arizona.
Texas.
...
If two companies enter into a sales contract and the shipping terms are omitted from the agreement, thecontract will automatically become a shipping contract.

Answers:
True
False
...
In a shipment contract, risk of loss passes to the buyer when the goods

Answers:
begin the journey to the buyers warehouse.
have passed the halfway point to the buyers warehouse
are delivered to the buyers warehouse.
are released by the seller to a carrier
...
Rita Reporter works for a major news network and has been assigned to investigate a story about awoman's death in a small town. She interviews police and other public offi cials, and the investigation ispointing to the woman's ex-husband. When Rita reports live on the air, she states that the investigation isongoing and that the ex-husband is the prime suspect. In fact, the police have just ruled out the ex-husband, but Rita has not yet been informed of that fact. The next day, the ex-husband is fi red, his newwife moves out, and friends are now refusing to talk with him.

Answers:
Rita is guilty of libel for telling a lie that caused injury to the ex-husband.
Rita is guilty of slander for telling a lie that caused injury to the ex-husband.
Rita is not guilty of defamation due to an absolute privilege.
Rita is not guilty of defamation due to a qualified privilege.
...
Lindsay is Jon's manager and calls him into her offi ce after everyone else has gone home for the day. Shecloses the door and tells Jon that he is a thief and that he must return items that he stole from thecompany. In fact, Jon is extremely honest and has never stolen anything in his life. He is extremely upsetand starts to feel sick.

Answers:
Lindsay has not committed a defamation tort.
Lindsay has committed libel.
Lindsay has committed disparagement.
Lindsay has committed slander.
...
Physical harm or injury is required to prove a case of intentional infl iction of emotional distress.

Answers:
True
False
...
Because there is no general duty to act or assist others, a store is not liable if, after washing a fl oor, itfails to notify the public of the slippery condition and someone is injured. Stores give such notification as a convenience to customers but not because of a legal duty.

Answers:
True
False
...
Generally, tort law is governed by

Answers:
constitutional law.
state statutory law.
state common law.
federal statutory law.
...
A person cannot be guilty of negligence if he or she has no duty owed to the plaintiff .

Answers:
True
False
...
Chelsea's house is for sale, and she is selling it through a real estate agent. The house is listed, and anylicensed agent may show the house by using the special accessible key in a lockbox on the front porch.Stan is a licensed agent and brings Paula into the home to show it for a possible sale while Chelsea is nothome. Stan and Paula would be considered

Answers:
invitees.
licensees.
trespassers.
guests.
...
Assume that Iowa has passed a law requiring that motorcycle owners must ensure that anyone riding oroperating their motorcycle wear a helmet. Marta enters an Iowa Harley-Davidson store and wants to takea test ride. She doesn't have a helmet with her and the dealership doesn't have one available in her size,so the proprietor lets her go without one. If she crashes and is injured, the proprietor has committednegligence per se.

Answers:
True
False
...
Professor Smith announces to his dean that the students in his noon class are the worst students that hehas ever had and that they should never have been admitted to the school. The students are actually asqualifi ed as any other students admitted to the school. The students may sue Professor Smith forslander.

Answers:
True
False
...
An independent contractor is not considered an employee but is entitled to minimum wage andovertime protections.

Answers:
True
False
...
Actual authority is the authority that the third party may reasonably assume that the agent possesses.

Answers:
True
False
...
Agency law primarily exists on the

Answers:
constitutional level.
state level.
common law level.
federal level.
...
Gina hired Frank, an attorney, to handle her divorce. If, during face-to-face negotiations, Frank strikes theopposing attorney, Gina will be liable because Frank was her agent employee.

Answers:
True
False
...
A gratuitous agent

Answers:
has no duty of care owed to the principal.

breaches the duty of care when grossly negligent.

is held to the same standard of care as any other type of agent except the independent contractor.

breaches the duty of care when ordinarily negligent.
...
Which of the following is required for an agency to be formed?

Answers:
Consent
Written Agreement
Compensation
Partnership
...
Robert is a wealthy businessman who wishes to purchase a particular property. Realizing that the pricemight become infl ated if his name is made known, he asks Faye to negotiate the purchase of theproperty on his behalf. Faye is the general manager of Robert's east coast operations. Faye reportsdirectly to Robert and is supervised in all respects. Faye is told to tell Philip, the property owner, that sherepresents someone, but she is told not to specify who she works for. The agency would be described as

Answers:
undisclosed.
partially disclosed.
disclosed.
indemnified.
...
Mike worked for Frank's Pizza as a driver and was an agent. His duties consisted of making deliveriesalong a designated route. One day Mike decided to see his girlfriend, Jackie, who lived 50 miles off hispizza route. While driving to his girlfriend's, Mike injured a pedestrian, Chuck. The accident was causedby Mike's negligent driving. Chuck is now suing both Mike and Frank's for personal injuries. Under the circumstances

Answers:
Chuck can recover damages from both Frank's and Mike.
Frank's is never liable for the negligent torts of its agents.
Frank's is liable under the doctrine of respondeat superior.
Frank's is not liable because Mike was on a frolic of his own.
...
An Independent Contractor enjoys which of the following privileges or protections?

Answers:
Overtime pay.
Minimum Wage
Sets own hours.
Two weeks paid vacation
...
The Fair Labor Standards Act does not cover all employees.

Answers:
True
False
...
What covers workplace safety.

Answers:
EEOC
FLSA
ERISSA
OSHA
...
The Electronic Communications Privacy Act prohibits employers from monitoring each of the following,unless consent to monitor is granted, except

Answers:
employee e-mail.
employee incoming personal phone calls.
employee outgoing personal phone calls.
employee voice mail.
...
In Whirlpool v. Marshall, what did the Supreme Court conclude about an employee's right to walk off thejob when faced with a hazardous workplace condition?

Answers:
Despite the lack of specific authorization in the OSHA statute, an employee may walk off the jobwhen faced with a condition the employee reasonably believes will result in serious injury or death
and the context makes it impractical for the employee to contact administration inspectors.

An employee will receive time-and-a-half pay for reporting the danger but staying on the job anyway.

An employee must provide a written statement to the job foreman before walking off the job.

If an employee walks off the job, he or she will be subject to immediate termination.
...
What is an exempt Employee

Answers:
An employee who does not get paid a salary.
An employee who cannot be fired
An employee who does not have to be compensated for overtime.
An employee who cannot be covered by womans's compensation.
...
With regard to polygraph tests,

Answers:
public and private employers may require that employees take no more than one test per year asa condition of employment.

a privately owned drug company may require tests of its employees.

government employees may be required to take tests only if the tests are a part of aninvestigation for theft or economic loss.

an employer may require mandatory tests only if every employee, both management andnonmanagement, is required to be tested.
...
Leon works in an offi ce environment and, during lunch, closes his offi ce door and uses his personallaptop computer to search the Internet for pornography, accessing the company's server via an Ethernetcable connection. The company may monitor his computer usage even though he is using a personallyowned computer.

Answers:
True
False
...
Even though children may legally be employed as actors, the Fair Labor Standards Act requires thatappropriate educational standards be maintained through tutors and/or home schooling.

Answers:
True
False
...
Contributory negligence and comparative negligence are generally not valid defenses to workers'compensation claims.

Answers:
True
False
...
Which of the following would be valid grounds to recognize and apply a bona fi de occupationalqualifi cation?

Answers:
A factory is in a bad part of town, so it refuses to allow women to work the night shift for safetyreasons.

A church has always had a white pastor, so other races who apply are automatically excluded.

A survey of customers at a restaurant shows a preference for female servers, so males are nothired.

A survey of customers at a health spa indicates that same-sex attendants are wanted in lockerrooms for privacy reasons.
...
Alessia has refereed high school and women's college soccer for 10 years. She is fi t, knows the ruleswithout question, and has always received excellent evaluations. When she applies to referee men'scollege games, the men's college referee administrator tells her that he can't use her because womenwon't get the players' respect and because the game looks more serious and acceptable with men refereeing. Alessia is the victim of

Answers:
disparate treatment discrimination.
disparate impact discrimination.
pretextual discrimination.
mixed motives discrimination.
...
The Americans with Disabilities Act applies to employers with ________ employees.

Answers:
15 or more
20 or more
10 or more
25 or more
...
The Americans with Disabilities Act defi nes a disability as being a physical impairment and does notinclude or protect employees regarding mental impairments.

Answers:
True
False
...
The business necessity defense is a defense to

Answers:
disparate impact cases.
disparate treatment cases.
sexual harassment cases.
unequal pay cases.
...
Emmanuelle has been the subject of intense and continuous hostile environment sexual harassmentover a period of months. If she quits before fi ling a complaint with the EEOC, she forfeits the right to fi lethe complaint and seek damages.

Answers:
True
False
...
The most common form of sexual harassment is
quid pro quo
harassment.

Answers:
True
False
...
Bella suspects that she was turned down for a job as a server at Hooters because she is 40 poundsoverweight. She may contact the EEOC, which will investigate her case based on a Title VII violation.

Answers:
True
False
...
Kim, a CPA, works for a small accounting fi rm consisting of two managing partners, six accountants, andfour secretaries. During a skiing vacation, Kim has a serious fall and is paralyzed from the waist down.While she cannot walk, her mind is not aff ected and she is 100 percent capable of performing heraccounting duties. She has asked the fi rm to widen the aisles between cubicles so that she can maneuverher wheelchair and to provide a special desk that is wheelchair friendly. These accommodations wouldcost less than $1,000.

Answers:
Under provisions of the Americans with Disability Act, her requests should not be grantedbecause they are not reasonable.

Since she can still do her job, she is not deemed to have suffered a limitation to a major lifeactivity.

Under provisions of the Americans with Disability Act, her requests should be granted becausethey are reasonable.

The company is not required to make or offer any accommodations to Kim.
...
Brayden is a limited partner in a four-member limited partnership with two general and two limited partners.The partnership is silent with regard to the duration of the partnership, and Brayden wishes to withdraw.

Answers:
The court must grant permission for Brayden to withdraw since the agreement was silent and theother partners and third-party customers of the partnership must be protected.

Brayden must give six months' notice before being permitted to withdraw.

The general partners and the limited partner with the largest liability must agree to his withdrawal.

Brayden may withdraw at any time, and the partnership continues.
...
An advantage of operating as a sole proprietorship is that personal liability for any business losses islimited to the owner's investment in the business.

Answers:
True
False
...
A general partner who rightfully dissociates from a partnership remains liable for predissociation debtsof the partnership.

Answers:
True
False
...
With regard to taxation of partnerships,

Answers:
a partnership must file an information return.

partnerships have no tax-filing responsibilities.

a partnership files a state partnership tax return and pays taxes on its income but no federal filingis required.

a partnership files a federal and state partnership tax return and pays taxes on its income.
...
The Revised Uniform Partnership Act was enacted by Congress to mandate what state Partnership Laws mustprovide.

Answers:
True
False
...
The Revised Uniform Limited Partnership Act requires that there be a written partnership agreementregarding limited partnerships.

Answers:
True
False
...
Even if the parties have no intent to form or operate as a partnership, their conduct may result in the lawrecognizing them as partners.

Answers:
True
False
...
Jack and Jill were living together and formed a general partnership to start a coffee shop. Jack contributed $175,000 and Jill contributed only $10,000 but also all the work to build outthe space, order all the furniture and fixtures and dealing with the accountants and lawyersin establishing the business. The did not have a written partnership agreement. Theyshared the duties in running the business until Jill fell down and broke her crown. Debtbegan piling up. They are sued and Maxwell House Coffee got a $200,000 judgmentagainst them. Who is liable for what?

Answers:
Jill is liable for the first $175,000 because that is her investment. Jack owes$10,000. Maxwell house cannot collect the rest.

They are both liable for the entire amount.

Jack owes 50% and Jill owes 50%. Severable Liability.

Jack owes the first $165,000 (the difference between their cash contributions);they split the remaining amount of the judgment.
...
Xavier, Yani and Zian form a partnership to last 5 years. After 2 years Yani wants to leavethe partnership. Under RUPA it is important that it is determined whether this is a wrongful or rightful dissociation because:

Answers:
The rights and responsibilities of a dissociated partner to the other paertnerswhether rightful or wrongful, might change.

Rightful or Wrongful dissociation makes a difference as to what price thepartnership must pay to buy Yani out.

Yani is no longer liable for future liabilities of the partnership if it not a wrongfuldissociation.

If it is a wrongful dissociation the other partners do not have to let Yani leave.
...
Only two states provide liability protection to general partnerships in the form of a LLP.
...
When an LLC is formed its name must contain a designator such as "Company," "Limited," "Limited LiabilityCompany," or "LLC."
...
A personal guarantee is a pledge from LLP members of personal assets to guarantee payment obligations ofthe business venture.
...
Trish is a partner in an LLP, and the partnership is having a cash fl ow problem. To alleviate the problem,the partnership has initiated a capital call for each partner to contribute an additional $25,000 to thebusiness. If Trish cannot come up with the necessary funds, she may be forced to sell her interest in thepartnership.
...
The ability of members of an LLC to take the tax deductions and income on their individual tax return is anadvantage of a
...
LLCs were originally created by the
...
Carlos is a member of an LLC along with three others. After one year, despite their best eff orts, thebusiness closes and the bank that extended them a loan sues for repayment. The bank may
...
Typically, day-to-day decision making in a manager-managed LLC is performed by
...
LLPs were created to
...
Not all publicly held corporations are classified as public corporations.

Answers:
True
False
...
Unless limited by the articles of incorporation, shareholders may vote to remove a director with orwithout cause; however, the courts may remove a board member only for cause.

Answers:
True
False
...
A corporation does not have the right to political speech under the first amendment.

Answers:
True
False
...
Which of the following gives a person the right to vote at an annual meeting?

Answers:
a debenture
a promissory note
a share of stock
a bond
...
A corporation formed to maintain a charitable operation is called a

Answers:
closely held corporation.
nonprofit corporation.
Subchapter S corporation.
public corporation.
...
Privately held corporations may issue a ________ in lieu of conducting a formal annual meeting.

Answers:
statement of meeting substitution
proof of alternative meeting
unanimous consent resolution
testament of meeting occurrence
...
Thirteen sorority sisters decide to start a dog-walking business. They incorporate under the name ProCanine Walkers, Inc., and advertise their services throughout the city in newspapers and on fl yers theypost. All stock is owned by the 13 principals, and none is off ered to anyone outside the 13. Thiscorporation would be classified as a

Answers:
privately held corporation.
privately held professional corporation.
privately held public professional corporation.
privately held public corporation.
...
Eight businesswomen have formed a privately held corporation. Their stock certifi cates and the stockregister of the corporation are public documents.

Answers:
True
False
...
Which body of law governs the rules regarding the off ering or trading of ownership interests incorporations?

Answers:
Federal law.
State law.
Common law.
The Revised Model Business Corporation Act.
...
Which of the following is not a component in the defi nition of a security?

Answers:
An expectation of profit.
Tangible collateral to secure the instrument.
An investment.
Efforts of a third party to create expected profit.
...
The most commonly used debt instrument is

Answers:
common stock.
a promissory note.
a bond.
a debenture.
...
The Securities Act of 1933 focuses on the

Answers:
common market.
preferred market.
secondary market.
primary market.
...
The Securities Act of 1934 focuses on the

Answers:
secondary market.
common market.
primary market.
preferred market.
...
Which of the following is an equity instrument?

Answers:
promissory note
debenture
common stock
bond
...
Payments made to common stockholders based on the profitability of the company are called ________.

Answers:
debentures
derivatives
bond payments
dividends
...
Whether a dividend is paid depends on

Answers:
the applicable state law, which mandates whether dividends must be paid.

the shareholders voting to award themselves the dividend.

the officers agreeing to pay the dividend.

the board of directors agreeing to pay the dividend.
...
The SEC's computer database, which maintains the national clearinghouse for public corporation disclosures,is known as ________.

Answers:
Edmunds
SEC report
Edgar
Federal Register
...
In 2002, Martha Stewart, the media mogul and CEO of Martha Stewart Living, was prosecuted for insidertrading regarding her sale of ImClone stock. Her stockbroker had informed her that Samuel Waksal, theCEO and chairman of ImClone, was selling substantial amounts of his stock in the company, so she thensold her ImClone holdings. What was Martha's fate?

Answers:
She was found guilty of insider trading as a tippee and went to jail.

She claimed that she was merely acting on her broker's advice and didn't know the informationprovided was material and nonpublic, so she didn't qualify as a tippee.

She was found guilty of obstructing justice in a securities investigation and went to jail.

Since she "saved" only $45,000 by selling her stock, her dealings were deemed too insignificantand the matter was not pursued.
...
The concept that in order to pass judicial muster, the evidence must show that the agency made its fi naldecision based on a consideration of relevant factors without any clear errors of judgment is known as the

Answers:
McDonnell Douglas test.
Chevron test.
arbitrary and capricious standard.
logical-outgrowth test.
...
Disputes on matters under an agency's jurisdiction are adjudicated

Answers:
by licensing boards.
in state courts.
in administrative law hearings.
in federal courts.
...
Who hears an appeal of an administrative law judge's ruling?

Answers:
No one, since there is no administrative appeal process.
A federal judge.
An agency head.
A state judge.
...
Agencies are frequently charged by Congress to study potential solutions to a problem and then exerciselegislative function by creating legally enforceable rules.

Answers:
True
False
...
Administrative agencies are not empowered to hear cases of alleged violations of their regulations andmust depend on the courts for adjudication.

Answers:
True
False
...
What is the name of the test used by the courts to analyze the validity of an agency's statutoryinterpretation and action?

Answers:
Valero test
Chevron test
Amoco test
Texaco test
...
Certain businesses are classifi ed as pervasively regulated, and there is an exception to the warrantrequirement when an agency is conducting regularly scheduled inspections of such businesses.

Answers:
True
False
...
Administrative warrants are held to the same probable cause standard as criminal warrants.

Answers:
True
False
...
The Supreme Court established guidelines for lower courts on applying the arbitrary and capriciousstandard in which case?

Answers:
Fox v. the Federal Communications Commission
Chevron v. NRDC
Motor Vehicle Manufacturing Association v. State Farm Mutual Automobile
Buckley v. Valeo
...
Maria is the CFO of a company being investigated by the SEC for various alleged violations. Each of thefollowing would constitute an obstruction of justice except

Answers:
changing some figures on documents used to support filed financial statements.

ordering her secretary to lie if she is questioned.

refusing to answer questions and invoking the Fifth Amendment.

shredding her personal calendar and appointment book.
...
Ben is the manager of a branch of a large bank. He has regularly taken money from customers' accountsfor his own use and changed the bank records to cover his actions. Ben is guilty of

Answers:
racketeering.
a conspiracy.
a Ponzi scheme.
embezzlement.
...
Jan is on trial for arson. For Jan to be found guilty, her guilt must be proved

Answers:
beyond a reasonable doubt.
by a preponderance of the evidence.
by a reasonable preponderance of the evidence.
beyond a preponderance of the evidence.
...
John Nagler, the CEO of Amtex Box Corp orders Dan Malone the plant supervisor to discard some toxicwaste in the stream that runs behind the plant. There are criminal laws preventing the disposal of thiswaste in this manner. Dan send Mike Jackson the maintenance man to dispose of the waste after dark.Who can be prosecuted for this crime.

Answers:
Only the Corporation, Amtex Box
Nagler, Malone, Jackson and probably the Amtex Box Corp. also.
Mike Jackson, he committed the crime
John Nagle, it was his order
...
Mike raped Kathy in the parking lot of Tom's Pub. The attorney general/district attorney's offi ceprosecuted Mike on rape charges. Subsequently, Kathy filed a lawsuit against Mike for money damages. Classify each legal action.

Answers:
Both cases are criminal.
Both cases are civil.
The attorney general/district attorney's case was a civil case; Jane's lawsuit was a criminal case.
The attorney general/district attorney's case was a criminal case; Jane's lawsuit was a civil case.
...
Mike raped Kathy in the parking lot of Tom's Pub. Subsequently, Kathy fi led a lawsuit against Mike formoney damages. What is her burden of Proof.

Answers:
By a preponderance of the evidence.
Beyond a reasonable doubt
Clear and Convincing
Positively certain
...
Felonies generally are punishable by

Answers:
three months or more of incarceration.
nine months or more of incarceration.
twelve months or more of incarceration.
six months or more of incarceration.
...
From least to most serious, crimes are classifi ed as follows

Answers:
felonies/misdemeanors/infractions.
infractions/misdemeanors/felonies.
misdemeanors/infractions/felonies.
infractions/felonies/misdemeanors.
...
Which of the below have a 5th Amendment right against self incrimination.

Answers:
sole proprietorship
LLC
Publicly Traded Corporation
Corporation
...
It is possible to be in rightful possession of personal property without having actual ownership of theproperty.

Answers:
True
False
...
Riparian rights have to do with

Answers:
water rights.
airspace rights.
subsurface mineral rights.
leasehold rights.
...
Sylvia is a student who parked her car in a university parking lot. To enter the lot, she had to swipe her IDcard to gain access. During class, a thief broke into her car and stole her computer. The school is liable toher under a bailment relationship if it did not exercise proper care in the protection of her car.

Answers:
True
False
...
Which of the following is intellectual or intangible property?

Answers:
a tree
copyrights and patents
oxygen
a car
...
Frazier has returned from a nursery where he has purchased 21 rose bushes to landscape the exterior ofhis home. Each bush has its roots wrapped in burlap, and Frazier carried the bushes home in the back ofhis pickup truck. Frazier has now planted each of the rose bushes. The bushes are real property.

Answers:
True
False
...
In Fontainebleau Hotel v. Eden Roc, the Eden Roc Hotel sued the Fontainebleau Hotel whenFontainebleau began erecting a 14-story addition to its premises that Eden Roc claimed blocked air andsunlight from its pool and sunbathing areas. The court determined that

Answers:
the English law doctrine of "ancient lights" applied only if the building caused a dangerouscircumstance to occur but not if the building caused only a nuisance.

the building could be erected if it could be shown to be useful and beneficial even if it may havebeen erected partly for spite to knowingly harm the plaintiff.

blocking the air and sunlight constituted a nuisance, so the building could be stopped.

the building could be erected if it could be shown to be useful and beneficial as long as there wasno evidence that it was being erected out of spite to knowingly harm the plaintiff.
...
Company A and Company B own adjacent pieces of land. The companies own the full bundle of rights intheir respective properties. Company A digs a mine that starts on its own property but extends, belowground, across the property line. If Company A fi nds minerals below Company B's surface property, itmay mine and use the minerals for its own use because it has not gone onto or disturbed Company B'sproperty.

Answers:
True
False
...
Each of the following is personal property except

Answers:
a car.
a house.
a computer.
business inventory
...
In Ziva Jewelry v. Car Wash Headquarters, when a jewelry salesman left his car at a carwash, it was stolenwith over $850,000 of jewelry hidden inside. When the jeweler sued the carwash, what was the result?

Answers:
The carwash was not liable because it could not have expected it was taking responsibility forover $850,000 worth of jewelry when it accepted the salesman's vehicle.

The carwash was liable for the stolen jewelry because a bailment was formed.

The carwash was not liable for the stolen jewelry because there was no bailment formed.

The carwash was liable because it took responsibility for the jewelry when it accepted the vehiclefor service.
...
Mary Beth has written a novel. Copyright protection regarding her work will be for

Answers:
70 years after her death.
70 years beginning from the date the novel is published.
70 years beginning from the date that she completed the novel.
70 years beginning from the date she began writing the novel.
...
A study published in the Harvard Business Review in January 2000 found that intellectual propertyrepresents approximately ________ of an average firm's value.

Answers:
40 percent
70 percent
60 percent
50 percent
...
A patent equates to a statutorily sanctioned monopoly right.

Answers:
True
False
...
A telephone book listing citizens' names, addresses, and phone numbers may not be copyrighted.

Answers:
True
False
...
Which of the following does not have to be shown for copyright protection to be granted?

Answers:
The work is original.
The work is fixed in a durable medium.
The work has a present or potential value.
The work exhibits some degree of creativity.
...
The only way to obtain protection for a trademark is by registering the trademark with the U.S. Patentand Trademark Office.

Answers:
True
False
...
Which of the following is a service mark?

Answers:
The Adidas three stripes on a pair of sneakers.
McDonald's golden arches.
The GEICO gecko in advertisements.
The Geek Squad at Best Buy.
...
The Computer Software Copyright Act defi ned computer software programs as

Answers:
literary operations.
literary processes.
literary systems.
literary works.
...
United Parcel Service has determined that the fewer left turns their trucks make, the more fuel they canconserve, and the savings are signifi cant. As a result, the company has gone to great lengths to designand schedule delivery routes that primarily make right turns. This business method is patentable.

Answers:
True
False
...
What type of legal system would a government that based its laws on the tenets of Islam have?

Answers:
A mixed legal system.
A religious-based legal system.
A karma law system.
A blended legal system.
...
Legal systems that are made of two or more diff erent legal systems are known as

Answers:
blended legal systems.
multiple legal systems.
mixed legal systems.
combined legal systems.
...
Diplomatic relations do not play a role in the creation of international law.

Answers:
True
False
...
Which of the following is not a primary source of international law?

Answers:
U.N. statutes
judicial decisions
customs
treaties
...
Mediation is an involuntary process that involves a third-party decision maker.

Answers:
True
False
...
The International Court of Justice primarily hears civil and criminal cases.

Answers:
True
False
...
Jose is from Argentina. He works for a railroad business that is controlled by the government. BigContainer Shipping Company is considering sending its South American cargo on that railroad. ShouldBig Container Shipping be concerned with the Foreign Corrupt Practices Act when it takes Jose out to anexpensive dinner?

Answers:
Yes, because Jose is a foreign national.

No, because Jose does not work directly for the government administration but, instead, works fora business.

Yes, because Jose works for a government-controlled business.

No, because it is only dinner.
...
Countries that follow the common law system include the United States, Canada, Australia, and most ofLatin America.

Answers:
True
False
...
How are the International Court of Justice's rulings enforced?

Answers:
Through the U.N. Security Council.
Through unilateral agreement by the parties before their case is heard.
There are no means to enforce the judgments.
Through monetary sanctions.
...
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