Representative Pete Stark said the following in a speech on the floor of the U.S. House
of Representatives, “You”re going to spend it to blow up innocent people if we can get
enough kids to grow old enough for you to send to Iraq to get their heads blown off for
the president’s amusement.” Representative Stark:
a. is protected from defamation liability because of the privilege for elected officials.
b. is liable to the president for defamation because the statement was not related to
government issues.
c.is not liable for defamation because of the public figure privilege.
d.both a and c
The judicial approach to antitrust cases is one of weighing benefits to competition.
a. True
b. False
Cicily Bridgeport and Collin Wilson own Northeastern Galleries and Upper West
Galleries, respectively. For artists displaying paintings in their galleries, Cicily and
Collin charge a 22% commission for any sales made. Cicily and Collin have always
charged 22%, but there is a slump in sales. When Cicily meets Collin at a Met event,
she suggests, “Collin, let’s both go to 25%. What can they do if we both charge 25%
and we can earn enough to make up for the market downturn.” Cicily:
a. has committed a perseviolation of the Sherman Act.
b. has committed a perseviolation of the Clayton Act.
c.has agreed to a group boycott.
d.none of the above
Before administrative agencies’ rules become law, there must be congressional
approval.
a. True
b. False
The statutory agent is the party who will be served with lawsuits against the
corporation.
a. True
b. False
Which of the following does the U.S. Justice Department refer to as a “red flag” for
FCPA violations?
a. large consulting fees
b. hiring consultants to do all foreign business
c. allowing consultants to act independently in foreign countries
d. all of the above
Snow-Man manufactures a cotton candy machine. It will not sell its machine unless the
buyer purchases at least five-dozen paper cones for holding the cotton candy. The
cotton candy machine is:
a. the tying product.
b. the tied product.
c.neither of the above – it is not a tying arrangement
d.none of the above
John Renfro was recently downsized as part of a corporate restructuring at the jet
propulsion firm where he works.
Renfro is confused, “Do I have any rights on my health insurance? What about
unemployment?”. Which sources of law would have information for Renfro in
answering his questions?
a. jurisprudence
b. ordinances
c.executive orders
d.federal statutes (U.S.C.)
Businesses are never liable for criminal activity on their premises.
a. True
b. False
Milton Friedman’s standard for business social responsibility is one that requires a
company to do all that it can for its community.
a. True
b. False
The uniform laws on partnerships and corporations are found codified in the United
States Code.
a. True
b. False
What will the city use as a defense in the case?
a. That the stray bullet incidents were remote and isolated.
b. That Ms. Leitch was contributorily negligent for being in an outside area of a
restaurant on New Year’s Eve in Delray Beach.
c.That you cannot be held liable for the criminal activities of third parties.
d.That there is strict liability for wounds from guns within city limits.
The Telecommunications Act of 1996 deals with the placement of cell phone towers.
a. True
b. False
In the ParableoftheSadhu, the hikers’ climb is successful.
a. True
b. False
Product misuse is a defense in product liability:
a. unless the misuse is the result of a failure to warn.
b. unless it is a negligence action.
c.unless it is a warranty action.
d.unless the state follows Section 402A.
e. none of the above
Situational ethics is also known as moral relativism.
a. True
b. False
Which of the following acts established the Superfund?
a. Solid Waste Disposal Act
b. Resource Recovery Act
c.Toxic Substances Control Act
d.none of the above
An independent contractor is not an agent of the principal.
a. True
b. False
If there is a hung jury:
a. the case must be dismissed.
b. the judge finds in favor of the defendant.
c.the case can be retried.
d.the judge can grant summary judgment.
Coca-Cola, Inc.and PepsiCo, Inc.have only one distributor each in the Phoenix area.
The Phoenix market is an intensely competitive soft drink market with prices being
among the lowest in the nation. A local restaurateur has requested a dealership from
PepsiCo and has been denie
d.He claims an antitrust violation. Which of the following statements is true?
a. The denial of the distributorship to someone who can afford it is anticompetitive and
is a per se violation.
b. The denial is justifiable given the level of interbrand competition.
c.The denial is an example of resale price maintenance.
d.none of the above
Which of the following would be a “defect” for purposes of 402A?
a. failure to warn not to put a hair dryer in water
b. food package that permits tampering
c.a missing bolt on a car steering column
d.all of the above
The maximum liability for a credit card holder whose card is lost or stolen is:
a. $50.
b. $50 if the cardholder notifies the creditor.
c.$0.
d.none of the above
FICA contributions are covered under FLSA.
a. True
b. False
Jill DesJardines experiences a broken leg when one of the wheels on her new in-line
skates falls off as she is skating. The manufacturer:
a. is not liable because Jill assumed the risk of in-line skating.
b. can disclaim all such liability for products such as these skates.
c.is liable for a defective product.
d.both a and b
e. none of the above
Contributory negligence:
a. can be a partial defense in product liability cases for negligence.
b. is the same as comparative negligence.
c.is no longer permitted as evidence in suits.
d.none of the above
Who would have standing to bring a civil suit under section 10(b)?
a. purchaser of shares
b. contractor with firm who loses business
c.person who refrained from buying because of overly pessimistic information
d.person who refrained from selling because of overly optimistic information
e. all of the above
Publicly traded companies can no longer issue non-GAAP financial statements.
a. True
b. False
Proximate cause is the same thing as causation.
a. True
b. False
The sole proprietor’s personal assets are subject to business creditor attachment.
a. True
b. False
Which of the following is not regulated by the EPA?
a. acid rain
b. nuisance
c.drinking water
d.toxic waste
A motion to dismiss can be granted:
a. any time throughout the case.
b. only after the plaintiff’s case has been presented.
c.only after the defendant’s case has been presented.
d.only if summary judgment is also appropriate.
Which of the following is a true statement about depositions?
a. They are generally held in a courtroom.
b. They are not taken under oath.
c.They must be preceded by interrogatories.
d.none of the above