Archives

Which of the following Acts sets goals without regard to the cost involved in meeting the goals? a. Clean Water Act. b. Clean Air Act. c. Both the Clean Water Act and the Clean Air Act. d. Neither the Clean […]

Zebra Toy Company, located in Chicago, sells $500,000 worth of toys to a London, England, wholesaler. This contract could be governed by: a. Illinois’s Uniform Commercial Code. b. English law. c. the CISG. d. All the above are correct. Claude […]

Which of the following would be an example of a civil lawsuit? a. George is being prosecuted for bank fraud. b. The government has initiated an action against Jeff for operating a motor vehicle under the influence of alcohol. c. […]

Which of the following is not required to create a valid trust: a. mental capacity of the grantor. b. witnesses. c. a beneficiary(ies). d. property transferred to the trust. If the subject of the contract includes issues that may be […]

An Environmental Impact Statement must be prepared for every major federal action that significantly affects the quality of the environment. The two principal requirements of the Foreign Corrupt Practices Act involve bribes and grease payments. Answer: F First Federal loaned […]

A major advantage of an Asset Protection Trust is: a. It is shielded from creditors that arise after the trust is established b. Its proceeds are tax-free. c. Its value cannot decline due to stock market fluctuations. d. It has […]

If a foreign company “dumps” goods on the United States market: a. the goods will be considered illegal goods and not be allowed to be sold in the United States. b. the United States will issue trade sanctions against the […]

Erica’s supervisor told her to arrange for a conference room at the Kelly Inn. Erica has express authority to contract for the room. If Velma, as a birthday present, assigns to Jim her contractual right to collect $50 from Wood […]

The WTO is: a. a world trade organization that regulates trade among its member nations. b. a treaty negotiated by the European Union to regulate its trade c. a world court established by the GATT treaty that hears trade disputed. […]

Fact Pattern 30-1 David has worked as a CPA for Accountants R Us for about eight months. When his wife had a baby, he requested to take some time off. He believes he is allowed to do so pursuant to […]

The Federal sentencing guidelines are just guidelines. Judges do not have to follow them. In a construction contract, there is a $1000 per day estimate of damages for each day that the contract runs over the completion date. The contractor […]

In order for a copyright holder to collect money damages from a person who used copyrighted material, it must be proven that: a. the infringement was intentional. b. the copyright holder sustained more than $500 in actual damages. c. the […]

Molly and Craig are the original parties to a contract. Craig is obligated to design a Website for Molly. They subsequently make an agreement with Eric that Eric should take the place of Craig and assume all of Craig’s rights […]

Krista, the Director of Advertising at Trein, Inc., approved a series of magazine advertisements using a close-up photograph of celebrity look-alike models driving a train engine with the slogan, “Get on Board with Trein. Each ad included a signature, meant […]

A Japanese company operates a ship called the Kinia. If the Kinia sails in U.S. waters, it must comply with the standards set by the Clean Water Act. Which of the following projects would require the preparation of an Environmental […]

Pat’s Pen Co. manufacturers and sells an inexpensive ball-point pen. Salley’s Stationery purchases the pens for $.25 each in quantities of 1,000. Salley’s discovered that a national chain, a competitor of Salley’s, buys the pen at $.20 for 1,000. If […]

The burden of proof required in a criminal case is: a. clear and convincing. b. a preponderance. c. beyond a reasonable doubt. d. highest degree of honesty. In the first decade of this century, music sales at American record labels […]

A draft is always a check, but a check is not always a draft. Singleton, an eighty-year-old widower, remarried. The next day, he made a will leaving everything to his son, Joey. A week after his marriage, Singleton died. How […]

In Hernandez v. Arizona Board of Regents, the court held that individuals who: a. intentionally provide alcohol to minors can be liable for negligence to injured third parties. b. intentionally provide alcohol to minors cannot be held liable for negligence […]

When can shareholders of a corporation be held personally liable for the liabilities of the corporation. a. if corporate shareholders do not comply with the technicalities of corporation law. b. If they are corporate officers c. If they are corporate […]

Which statement is true about procedures for filing a Title VII case? a. The plaintiff must file within 60 days of the wrongdoing. b. The plaintiff must exhaust all legal remedies through the courts before filing a case with the […]

Which of the following would probably not be required of employers to reasonably accommodate for religious beliefs? a. flexible scheduling. b. closing the business on Sundays. c. reassigning employees within the company. d. allowing employees to switch work schedules. When […]

Nate works as a carnival barker. His employment contract specifies that he can be fired if he “loses his voice. This is an example of: a. vagueness. b. extortion. c. ambiguity. d. duress. An engagement letter is a written contract: […]

Kyle was eating clam chowder soup in a restaurant when a very small piece of bone lodged in his throat. Fortunately, he was able to remove the bone with his fingers. However, he was upset by the incident and sued […]

Identify the basic job of a President of the United States, the source of executive power, and three key powers associated with the position of President. Jacob has been quite ill. When three of his neighbors come to visit one […]

Donna defaulted on her loan owed to Second State Savings and Loan. The loan was secured with Donna’s car. Donna used the car for personal and family reasons. Which statement is correct? a. Second State may take Donna’s car without […]

A major motion picture distributor offers to provide a television station with three very popular, desirable films. However, as part of the agreement, the distributor requires that the television station also purchase four films that are not very desirable. This […]

The concept of stare decisis focuses most on: a. predictability. b. flexibility. c. legislative intent. d. change. Nestles sold a drink called Boost Kid Essentials, which contained probiotics and claimed that Boost would prevent children from getting sick or missing […]

Researchers who study happiness find that people expect material goods to make them happier than they actually do. Define and discuss the purposes of the “business judgment rule.” Answer: The business judgment rule is a common law concept that a […]

The EPA brought an administrative action against Boch Industries for violating the Clean Air Act. The administrative law judge ruled in the EPA’s favor. Boch Industries: a. can appeal the decision to a U.S. Court of Appeals and then to […]

Texas v Johnson dealt with the legality of burning an American flag. Under the Equal Pay Act of 1963 an employee may not be paid at a lesser rate than employees of the opposite sex for tasks requiring equal skill, […]

Opinion is generally a valid defense in a defamation lawsuit because it is not meant to be a factual statement. Big Corporation is served with a subpoena to turn over business records to an administrative agency. What are three possible […]

Sprock is a holder in due course on an instrument issued by Klingon. Which of the following defenses could be successfully raised by Klingon? a. Forgery. b. Prior payment. c. Breach of contract. d. Fraud in the inducement. Dick offers […]

The accounting firm of Griggs, Macon, and Fiurre audits the financial records of Chasse Co. The Sarbanes-Oxley Act prohibits the accounting firm from providing consulting services to Chasse on human resource matters. Ricardo has agreed to sell his family farm […]

Congresswoman Sloan introduced a bill in the House of Representatives. If the bill is approved by the House committee specializing in that subject, the bill will go to: a. a Senate committee specializing in the subject matter of the proposed […]

Mentally infirmed Sasha contracts to purchase a piano for $2,500 in 60 monthly installment payments. Six months later she tries to void the contract on grounds of mental impairment. A court will: a. normally void the contract without requiring anything […]