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 country that allowed the
dumping.
c. a “dumping duty” will be imposed on the dumped goods if the Commerce
Department determines the goods are being sold at less than fair value and that this
harms an American industry.
d. All the above are correct.
An employee at a large factory tells his employer that he needs to stay home for a week
to care for his sick child. Can the employer legally fire him?
a. No, if the employee claims rights under the FMLA.
b. Yes, because the employee is not entitled to receive sick leave.
c. No, unless the employee expects to receive his usual compensation during his
absence.
d. Yes, an employee at will can be fired for any reason.
The doctrine of estoppel would most often apply in situations of:
a. implied authority.
b. apparent authority.
c. transaction authority.
d. actual authority.
Extraterritoriality
a. The power of a Country to go into other countries and enforce their labor laws.on
citizens of other countries.
b. The power to regulate tariffs in foreign nations as provided for by GATT.
c. The power of one nation to impose its laws in other countries on its citizens.
d. The power of a Company to extend its subsidiaries overseas without abiding by our
trade laws.
Jim agreed to show Donna’s car to a potential buyer. Donna was not able to be home
since she had to attend a meeting. After showing the car, Jim left the keys in it and the
car was stolen. Which statement is correct?
a. Jim is an agent of Donna.
b. Jim is not an agent of Donna since he was not paid.
c. Jim did not owe a duty of care in showing the car
d. Jim can sell his car to the buyer who came to look at Donnas.
Miguel reprogrammed a cellular telephone so that it intercepted electronic funds
transfers and rerouted them to Miguels bank account. What crime has he committed?
a. Insurance fraud, since the banks insurance will have to cover the misdirected funds.
b. Wire fraud.
c. Mail fraud.
d. Embezzlement
The United States has ____ percent of the worlds population and consumes about ____
percent of the worlds energy.
a. 20; 65
b. 25; 10
c. 10; 50
d. 5; 25
Illegally obtained evidence is not permitted to be used at a criminal trial based upon the:
a. silver plate doctrine.
b. exclusionary rule
c. fair play doctrine.
d. Eighth Amendment.
George’s Wholesale agrees to purchase 1,000 pounds of bananas from Chickadee
Exports at 39 cents per pound. George’s does not have the money for the bananas now,
but promises to pay in two months. Chickadee Exports wants to make the sale, but is
worried about waiting for the payment, knowing the bananas are not “appealing
collateral. So, Chickadee prepares an instrument claiming Georges $400 sorting
machine as collateral. George’s never signs the agreement, but accepts the shipment of
bananas. This is an example of a:
a. check.
b. security interest.
c. promissory note.
d. None of the above.
If Becky promises not to drink alcohol until she becomes a legal adult in exchange for
Ben’s promise of $1,000, the agreement is:
a. enforceable because Becky is giving up the right to do something she would
otherwise be entitled to do.
b. enforceable because the agreement accomplishes Ben’s goal of keeping Becky from
drinking.
c. not enforceable because Becky does not have a legal right to drink alcohol.
d. not enforceable because Becky is a minor and could disaffirm the contract.
A bailment is different from a gift because:
a. a gift requires consideration, but a bailment does not.
b. a gift requires delivery, but a bailment does not.
c. in a bailment, only possession of the property is transferred to the bailee, whereas
with a gift, both possession and ownership must pass to the donee.
d. a gift is always a contract, but a bailment is generally not a contract.
Who has priority
a. perfected over non perfected;
b. when not perfected; first to attach.
c. both perfected ; first to file.
d. all of the above
Oxtron, Inc., a U.S. company, and Leer, an Argentinean company, orally agreed to a
contract under which Oxtron is to ship medical devices to Leer. The contract is
governed by the CISG. Which statement is correct?
a. The contract is not enforceable because it is oral.
b. Whether the contract is enforceable without a written agreement depends on the
value of the medical devices.
c. Whether the contract is enforceable without a written agreement depends on whether
the medical devices are a necessity.
d. The contract is enforceable without a written agreement.
Sarah has car insurance. While driving her automobile, Sarah negligently ran a red light
and hit Vi’s car. Which type of coverage will pay for the damage done to Vi’s car?
a. Liability insurance.
b. Comprehensive insurance.
c. Collision insurance.
d. Uninsured motorist insurance.
If each partys promises are listed separately in the contract, the are probably:
a. covenantal promises.
b. conditional promises.
c. reciprocal promises.
d. material promises.
Felicia, an elderly woman, does not speak or read English well. Felicia is a recent
immigrant to this country. A dishonest immigration officer tells Felicia to sign several
documents as being necessary to maintain her legal alien status. Unknown to Felicia,
she signs a promissory note. The immigration officer thereafter sells the note to
Neighborhood Bank, a holder in due course, who goes after Felicia for payment of the
note. Felicia’s defense to the Neighborhood Bank is:
a. fraud in the completion.
b. fraud in the execution.
c. unauthorized completion.
d. breach of contract.
The maximum rate of interest for credit transactions is established by:
a. state law.
b. federal law.
c. the Federal Reserve Board.
d. the FTC.
A plaintiff sues in negligence but has no direct proof that the defendant behaved
unreasonably. Which of the following is most likely to help the plaintiff?
a. Res judicata.
b. Stare decisis.
c. Res ipsa loquitur.
d. Mens rea.
When a party to a contract makes a unilateral mistake, the contract:
a. generally can be rescinded by the mistaken party.
b. is void.
c. can be rescinded by either party.
d. generally cannot be rescinded by the mistaken party unless the contract is
unconscionable or it is proven that the nonmistaken party knew of the error.
Under the common laws mirror image rule,
a. the parties do not need to intend a contract.
b. an offeree can adds or alters any terms.
c. when one party makes an offer, the offeree must accept those exact terms
d. is equally important under the UCC.
The Solomans own a cabin on the south side of Mount Henry. One day, the Solomans
told Bennie and Claudia they could live in the cabin and use it as they wished until the
Solomans wanted to use it again. Twelve years later, the Solomans informed Bennie and
Claudia that they were going to spend the summer at the cabin and that Bennie and
Claudia would have to make other arrangements for the summer. Bennie and Claudia
claimed that they had acquired title by adverse possession, because they had occupied
the property for the period of time required for adverse possession under state law (10
years in that state). Are Bennie and Claudia correct?
a. Yes, Bennie and Claudia were living on the property with exclusive, open possession
for a continuous period of time for the required 10 years.
b. Yes, Bennie and Claudia had the Solomans’ permission, therefore the possession was
not illegal.
c. No, Bennie’s and Claudia’s possession was with the Solomans’ permission and
therefore the claim was not adverse to the Solomans.
d. No, there was no warranty deed transferred to Bennie and Claudia.
Jack goes to Fast Copy Center and pays to have 40 copies of a textbook made. Jack
then sells the photocopied versions of the book to fellow students for $60 a copy (as
opposed to the $95 textbook price). The textbook author learns of this and sues Jack and
the copy center. Which statement is correct?
a. Jack and the copy center are both liable to the author.
b. Jack is liable to the author but the copy center is not.
c. The copy center is liable to the author but Jack is not.
d. Neither the copy center nor Jack is liable to the author.
Under the Clean Air Act:
a. states and the EPA were to act as partners wherein the individual states would
formulate State Implementation Plans to meet primary and secondary standards created
by the EPA.
b. the EPA formulated primary and secondary standards for air pollution; however, the
individual states were not required to comply with these standards if they already had
reasonable state statutes or regulations in place.
c. the states were required to follow the guidelines established by the EPA and did not
have the authority to create their own state plans for implementing the federal
standards.
d. state laws or regulations preempt or take precedence over the guidelines promulgated
by the EPA.
The primary goal of the North American Free Trade Agreement (NAFTA) is to:
a. allow Canada, the United States, and Mexico to compete as a common economic
entity against other countries in the world.
b. allow for the free and unrestricted movement of people from one country to another
to improve the labor market of all three counties.
c. eliminate almost all trade barriers between the three nations.
d. All the above are correct.
A contractual assurance that goods will meet certain standards
a. Is implied
b. Is a warranty
c. can be disclaimed.
d. May not be expressed
Mohammad was an employee in the new product development department of Estay Inc.
Mohammad was directly involved in the development of a new product that Estay
intended to launch in 6 months. Estay took great care to keep information concerning
the new product a secret. Ceries, Inc., a competitor of Estay, persuaded Mohammad to
leave Estay to direct Ceries’ marketing department. Which statement is correct?
a. Mohammad can share with Ceries the confidential information he knows about
Estay’s new product because he was directly involved in its development.
b. Mohammad can share with Ceries the confidential information he knows about
Estay’s new product because his agency relationship with Estay is terminated.
c. Mohammad cannot share with Ceries the confidential information he knows about
Estay’s new product because of the equal dignities rule.
d. Mohammad cannot share with Ceries the confidential information he knows about
Estay’s new product because he has a duty not to disclose confidential information he
acquired during the agency.
MajorLine offered travel packages, including airfare and hotel accommodations, at a
discounted price on their website. However, after Jason charged MajorLine’s fees to his
credit card, he did not receive the promised airline tickets or the coupons for a reduced
hotel rate. He found that other customers had been similarly defrauded. MajorLine:
a. can be prosecuted under state law.
b. can be prosecuted under the Computer Fraud and Abuse Act.
c. Both a and b.
d. cannot be prosecuted because fraud over the Internet is not yet defined as a crime in
any statutes.
If an appellate court holds a lower courts decision void it is called:
a. a reversal
b. a remand
c. an affirmation
d. nolle pros
Mackey wants to work as a security guard. However the employer hires Wanda instead.
The primary reason the employer chose Wanda is her gender. What is the best defense
against Mackeys sex discrimination suit?
a. Wanda will supervise girls and be responsible for searching female employees when
necessary.
b. Wanda is more attractive than Mackey.
c. Wanda is stronger than Mackey
d. Wanda studied as a nun.
A trust created in a will is:
a. an inter vivos trust.
b. a constructive trust.
c. a testamentary trust.
d. a probate trust.
According to the UCC, one or more open terms will not cause a sales contract to fail for
indefiniteness as long as the parties intended to make a contract and there is a
reasonably certain basis for the court to grant an appropriate remedy.
List and discuss the protections afforded criminal defendants by the Bill of Rights.
Francesca cannot serve as a trustee in a bankruptcy case because she is not a lawyer.
The Equal Pay Act prohibits salary differences based upon gender.
A disparate impact case involves a rule that, on its face, is not discriminatory, but in
practice excludes too many people in a protected group.
Raul agrees to paint Mike’s house for $1,000. Before finishing, Raul states it is too hot
to finish, and Mike offers to pay $1,200 if Raul finishes. Mike’s statement that he will
pay $1,200 is unenforceable.
Discuss the purpose of and problems with the Kyoto Protocol from the perspective of
the United States.
The UCC imposes a duty of good faith in the performance of all contracts.
“Bait and switch” tactics are not a violation of FTC rules if the consumer is given a
choice of which product to buy.
Define the common law. Discuss its conflicting goals and the doctrine created to serve
one of these goals.
Compare and contrast the following forms of business organization: sole proprietorship,
general partnership, limited partnership, limited liability company, and corporation as to
ease of formation, liability of owners, management, and tax implications.
Discuss how a corporation is terminated.
Under Utilitarian ethics if a decision maximizes happiness in the most people it is
ethical
Mary goes into Honest Harry’s Electronics and purchases a TV. Mary agrees to pay for
the TV in 30 days on the store’s “30 days same as cash” plan. This is an executory
contract.
Disability insurance is important because the average person is seven times more likely
to be disabled for at least 90 days than to die before age 65.
Bry, Inc. and Gangl Co. entered into an oral agreement for the sale of 3,000 sweaters.
Both parties performed as required under the contract. Bry delivered the sweaters and
Gangl accepted and paid for them. Since the contract is fully executed, it makes no
difference that it was oral.
The level of care a bailee is held to depends on who receives the benefits of the
bailment
Lucky, a contractor, enters into a contract with Penny, a homeowner, to remodel her
kitchen. The contract provides a specific completion date, but does not specify what
will happen if Lucky does not have the job finished by the date. So, Penny may deduct
$100 per day from the contract price until the job is finished, because this is the
industry norm.
A person who violates the Clean Water Act can face possible imprisonment in addition
to other penalties.
Anyone has the right to submit evidence that a patent is not novel.