BUS LAW 85185

subject Type Homework Help
subject Pages 32
subject Words 6572
subject Authors Sean P. Melvin

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page-pf1
In Oncale v. Sundowner Offshore Services, Inc., the court determined that same sex
harassment is a legitimate issue covered and actionable under Title VII.
Jan has been fired by her employer for poor job performance. Jan is still entitled to
apply for and receive employer provided health care under provisions of the
Consolidated Omnibus Budget Reconciliation Act.
Implied contracts may be found through language contained in an employee handbook
or manual.
page-pf2
Nominal damages are rarely awarded in contract cases.
Liquidated damages must be directly related to the breach of contract they are
compensating the nonbreaching party for.
The out of existence option is not risky if the debtor has no assets.
page-pf3
The rule of addition applies when someone creates something exactly like an item
already patented but adds some sort of extra feature or improvement. That new extra
featured item will not be considered a patent infringement.
Punitive damages are intended to punish wrongdoers in civil actions.
It is not illegal for a grocery store to require a customer to buy milk in order to buy
cookies.
page-pf4
If Annie borrows money to pay for her kitchen upgrades from her aunt Bethany,
Bethany does not need to provide required disclosures under the Truth in Lending Act.
Officers and directors owe fiduciary duties to the corporation and its shareholders,
however; none of the shareholders owe such duties because they cannot bind the
company.
page-pf5
Under the Truth in Lending Act, creditors have a week to notify consumers of their
right to cancel the transaction.
The SEC has the power to suspend or revoke the licenses of brokers that violate
securities laws.
Burt has contracted with Mel to put a concrete driveway on Mel's property. If Burt
delegates the duty of laying the driveway to Chuck, and Chuck does an unacceptable
job, Mel may sue Burt for damages.
page-pf6
One disadvantage of a sole proprietorship business entity is that it is restricted to a
single location and cannot expand.
Congress has no power to remove an agency head.
E-mail communications between parties in an ongoing business relationship has been
found to create sufficient minimum contacts to establish personal jurisdiction without a
separate physical presence and is the prevailing law throughout the U.S.
page-pf7
Amendments to the Constitution function as a protection of the citizenry from unlawful
or repressive acts of the government.
Kevin's transfer of $10,000 to his brother to pay off a loan two months before filing
bankruptcy can be undone by the trustee.
Larry has sued Jeff and received judgment in the amount of $24,000. Larry is a
judgment creditor.
page-pf8
Patent applicants often rely on trade secret laws to protect their inventions while patent
applications are in progress.
If an item has been patented, but has not been marked as patented on the item, should
infringement occur, the patent holder is generally barred from collecting damages.
Should an adult find out that they have entered into a contract with a minor, the adult
page-pf9
may disaffirm the contract if they do so before the minor reaches the legal age.
Congress has twice passed federal statutes intending to control pornography over the
Internet with regard to distribution to minors and both times the law was struck down as
being too broad and too vague, therefore infringing on freedom of speech rights of the
general public.
Most oral agreements will be enforceable as contracts by courts.
page-pfa
If a company files bankruptcy, preferred stock holders have priority over common stock
holders and will be paid from the bankruptcy estate first if payments are to be made.
If an Oregon Corporation sues the Environmental Protection Agency, a federal
administrative agency, they may sue in either an Oregon State court or in a federal
district court located in Oregon.
Intellectual property rights protection come from several multilateral agreements.
page-pfb
According to the Zippo standard, web sites that provide information but do not provide
the opportunity to conduct on-line transactions are deemed to be passive and do not
create personal jurisdiction over the defendant company that operates the site.
The most common way for commercial real estate to be transferred is by inheritance.
The foundation and underlying principle of all securities regulation is disclosure.
page-pfc
Mike is a bartender. Every day he pockets twenty dollars or so by not ringing up some
sales when paid in cash. Mike, because he is stealing from his employer while on the
job is guilty of embezzlement.
Horizontal restraints are agreements between:
A.business and government
B.noncompetitors
C.competitors
D.consumers and government
page-pfd
A disadvantage of choosing a publicly held corporate form to operate a business is:
A.the pass through taxation.
B.the unlimited liability of officers and directors.
C.the cost and formalities of setup.
D.the difficulty of raising capital.
Carlos is a member of an LLC along with three others. After one year, despite their best
efforts, the business closes and the bank which extended them a loan sues for
repayment. The bank may:
A.sue Carlos for only 25% their loss under rules pertaining to LLCs.
B.sue Carlos for the entire amount because Carlos is jointly and severally liable for the
loss.
C.sue Carlos only if he is a managing member.
D.sue the LLC but may not sue Carlos.
page-pfe
Which of the following is not a defense to defamation?
A.conditional privilege
B.absolute privilege
C.publication
D.truth
The state of Kansas has enacted a new law requiring all commercial trucks driving on
Kansas roads to have special mud flaps installed. These mud flaps have been proven to
make driving in the rain significantly safer due to reduced mist created by trucks
driving in the rain although data regarding accidents and injuries has not yet been
determined. Any truck entering Kansas must have these flaps installed or will be subject
to a significant fine and delay. The cost for purchase and installation of these flaps is
$1,000 per truck. In short, trucks must have these flaps or go around the state. This
Kansas law:
A.is valid because it only applies to Kansas roads and such a law is entirely intrastate
B.is valid because Kansas's right to protect its citizens under its police powers will
override any outside challenges to this law
C.is invalid because this law is intended to regulate interstate commerce, an enumerated
federal power
D.is invalid because although on its face it's an intrastate law, this statute will have a
significant economic effect on interstate commerce causing an undue burden
page-pff
Delaware is a popular state for many corporations to incorporate in. Each of the
following is a Delaware incorporation advantage except:
A.Delaware has a well-established body of case law so the reliability and consistency of
judicial decisions is enhanced.
B.Delaware statutes give officers and directors a wide range of decision making latitude
not requiring shareholder consent.
C.Delaware statutes provide officers and directors strong protections from shareholder
lawsuits alleging management negligence.
D.Delaware's tax structure provides significant tax benefits to out of state corporations
incorporating in the state of Delaware.
To which of the following would a dram shop law apply?
A.Moe's Barber Shop
B.Larry's House of Watches
C.Curley's Tavern
page-pf10
D.Shemp's House of Pancakes
When the American Arbitration Association receives an application for appointment of
an arbitrator, it:
A.meets with a local trial judge to determine whether litigation or arbitration will be
most efficient and advantageous based on the parties and the nature of the dispute.
B.meets with attorneys from both sides to determine whether litigation or arbitration
will be most efficient and advantageous based on the parties and the nature of the
dispute.
C.receives a list of suggested arbitrators from both parties and then selects the arbitrator
who then informs the parties of the procedures and rules of arbitration.
D.appoints a tribunal administrator who then informs the parties of the procedures and
rules of arbitration.
Mike calls Beth asking her to referee a soccer game. Beth is not obligated to work the
game. If she accepts the assignment and works the game she is told the time of the
page-pf11
game, she must wear an approved uniform and she is paid a fee. Once on the pitch
(field) she is in complete control. Beth is considered a/an:
A.incidental contractor.
B.principal.
C.an employee/agent.
D.independent contractor.
Arthur has attached a device to a local ATM machine that records customer's bank
account numbers and ATM passwords. He then sells these account numbers and
passwords to nefarious individuals who use the information to steal money from the
customer's accounts. Arthur:
A.is guilty of a crime under the Computer Fraud and Abuse Act as amended by the
Patriot Act.
B.is guilty of a crime under the Mail Fraud Act.
C.is not guilty of a crime because he isn't the one stealing the money.
D.is guilty of the crime of embezzlement.
page-pf12
JR Winery grows grapes and produces wine in the state of Delaware. They purchase
their corks from Cork Masters, a California cork importer. Despite a written contract,
Cork Masters has informed JR Winery that they will immediately be raising the cost of
corks 20%. JR Winery disputes the added charges and claims a breach of contract. They
agree that they want to resolve the dispute as cheaply as possible but also agree that
they want to actually see each other during any dispute resolution proceedings. Which
type of ODR would best suit their mutual interests?
A.online negotiation
B.online mediation
C.online arbitration
D.med-arb
How are the International Court of Justice's rulings enforced?
A.there are no means to enforce the judgments
B.through the U.N. Security Council
C.through monetary sanctions
D.through unilateral agreement by the parties before their case is heard
page-pf13
What is the purpose of the International Chamber of Commerce Terms?
A.to standardize contractual terms and avoid confusion due to language barriers
B.to provide basic contract law for international sales of goods
C.to standardize the monetary units used in international contracts
D.to provide a forum for arbitration of UNCISG contracts
Alan is stopped at a traffic light when he is run into by Bianca. He sues her for
negligence. At trial, Alan produces evidence that Bianca had a blood alcohol level of
1.3, that she was texting at the time of the accident and that she was not wearing her
prescription glasses when she rear ended him. This type of evidence produced by Alan
would be called:
A.inculpatory evidence.
B.summary evidence.
C.exculpatory evidence.
D.direct evidence.
page-pf14
With regard to disclosures required by franchisors to prospective franchisees, which of
the following is an incorrect statement?
A.franchisors must provide evidence of the franchisor's financial stability
B.franchisors must provide background information related to the franchisor's board of
directors and officers
C.franchisors must provide terms of ownership of intellectual property involved in the
franchise agreement
D.franchisors must provide evidence that the disclosure statements provided have been
approved by the Federal Trade Commission
Jack is a truck driver employee of Ace Trucking. While delivering his cargo he sees that
the truck assigned to him is low on gas. Jack pulls into a convenient station and puts
$50 worth of gas in which will allow him to complete his assignment and return to the
depot.
A.Ace is not required to reimburse Jack unless he had been given the express actual
authority to purchase gas on behalf of the principal prior to starting the delivery
B.Ace is not required to reimburse Jack unless he phoned in and asked for and was
granted permission to purchase gas
C.Ace will be required to reimburse Jack for the cost of the gas based on implied
authority stemming from his express authority to drive the truck
D.Ace will be required to reimburse Jack because apparent authority gives him the right
page-pf15
to buy gas when it is apparent that it is needed
Ben has just been diagnosed with diabetes. He has the disease under control through
diet, exercise and drugs. He is an assistant manager at a chain department store and is
fully capable of performing all of his job functions and needs no accommodations. Ben
rides a bicycle over 100 miles per week, participates in half marathons and regularly
works out at the YMCA. When he applies for a promotion to manage a store in the
chain, he is turned down because his superiors are concerned that his diabetes could
affect his job performance. Is Ben disabled and does the Americans with Disabilities
Act afford him any protections?
Officer Tom stops Kathy because she looks like a criminal to him and after a pat down
finds marijuana in her pocket. He then uses the drugs to justify a warrant to search her
home for drugs. The search uncovers eight kilos of cocaine.
A.the marijuana in her pocket would be excluded from evidence; however, the eight
kilos were found pursuant to a warrant so they are admissible evidence at trial
page-pf16
B.both the marijuana from her pocket and the eight kilos of cocaine would be
admissible evidence at trial
C.the marijuana would be admissible at trial but not the cocaine because marijuana and
cocaine are so different
D.neither the marijuana nor the cocaine would be admissible at trial
Wilma has a valid driver's license but has a tendency to get speeding tickets. Fred tells
her that he will pay her $1,000.00 if she does not get a ticket for one year. Wilma drives
very cautiously and goes one year without a ticket. Is Fred obligated to pay?
A.yes, because Wilma gave up a legal right based on the agreement
B.no, because $1,000.00 is not an adequate amount based on Wilma's detriment
C.no, because Wilma suffered no detriment in this agreement
D.yes, because a promise is a promise and consideration has nothing to do with this
agreement
page-pf17
Which of the following statements may be grounds for a misrepresentation, innocent or
fraudulent, to occur?
A.this car is the best looking car in its price class
B.this is the best car that money can buy
C.this car gets 32 miles per gallon in highway driving
D.this car has the most comfortable ride you can buy
The utilitarian approach to moral philosophy was founded by:
A.Jeremy Bentham.
B.Immanuel Kant.
C.Cicero.
D.Kenneth Lay.
page-pf18
Mike is walking through a parking lot and finds Kathy lying unconscious. He puts her
in his car and takes her to the hospital. The hospital saves her life and when she
becomes conscious they present her with a bill.
A.Kathy has to pay based on a unilateral contract
B.Kathy has to pay based on an implied contract
C.Kathy has to pay based on a quasi contract
D.Mike has to pay because he brought her to the hospital
Two merchants agree to a sale of goods to be shipped by boat from Maine to Florida.
No other shipping terms are indicated. If the boat sinks during the trip and all the goods
are destroyed:
A.the buyer may sue the seller, but not the carrier for their loss.
B.the seller may sue the carrier because the seller maintained risk of loss and the right
to sue for losses.
C.the buyer may sue both the seller and the carrier for their loss.
D.the buyer may sue the carrier, but not the seller for their loss.
page-pf19
The reputed mastermind of the Enron business model was:
A.Kenneth Lay, founder and Chief Executive Officer.
B.Jeffrey Skilling, Chief Operating Officer.
C.Andrew Fastow, Chief Financial Officer.
D.Rick Clausey, Chief Accounting Officer.
The origins of LLPs were rooted in protection of:
A.private service firm partnerships.
B.private service firm sole proprietorships.
C.professional service firm partnerships.
D.professional service firm sole proprietorships.
page-pf1a
Harry seeks to implement a policy of enhanced values management in his office. Which
of the following is not a direct outcome of values management in the workplace that
Harry can directly expect?
A.managing values in Harry's workplace will legitimize managerial actions
B.managing values in Harry's workplace will strengthen the cohesiveness and balance
of his organization's culture
C.managing values in Harry's workplace will enhance profit and profitability
D.managing values in Harry's workplace will cultivate greater sensitivity to the impact
of the company's values and messages
In Falcon et al. v. Starbucks Corporation, after Starbucks reclassified the assistant store
managers (ASMs ) from exempt to nonexempt for FLSA purposes, changing their job
duties but not their labor budgets and discouraging overtime, the court found:
A.reclassifying an employee after the employee has begun work violates the FLSA.
B.maintaining a policy of discouraging overtime is unlawful and could, along with
other factors, lead to a consistent pattern of FLSA violations.
C.maintaining a policy of discouraging overtime, while not unlawful, could, along with
other factors, lead to a consistent pattern of FLSA violations.
D.reclassifying the ASMs from exempt to nonexempt was an improper reclassification
and the ASMs should indeed be exempt and not qualified for overtime compensation.
page-pf1b
The trial court in New York has heard a case and issued a decision. This decision:
A.will be precedent in New York courts only.
B.will be precedent in New York courts and the courts of states immediately
surrounding New York.
C.will be precedent in the courts of all 50 states.
D.will not be precedent in any U.S. courts.
Unsafe workplace conditions are monitored and regulated under:
A.ERISA.
B.COBRA.
C.HIPPA.
D.OSHA.
page-pf1c
With regard to federal question jurisdiction:
A.the case may be filed in either state or federal court.
B.the case may only be filed in state court if the controversy is $75,000 or more.
C.the case may only be filed in federal court if the controversy is $75,000 or more.
D.the case may only be filed in federal court and the amount in controversy is
irrelevant.
The Family Medical Leave Act provides that eligible employees be permitted:
A.six weeks of unpaid leave during any twelve month period.
B.six weeks of paid leave during any twelve month period.
C.twelve weeks of unpaid leave during any twelve month period.
D.twelve weeks of paid leave during any twelve month period.
page-pf1d
Sam and Dave are going to open a sporting goods store. They sign a written limited
partnership agreement naming Dave as a limited partner and Sam the general partner.
Sam files a certificate of limited partnership with the state. Sam contributes $100,000
toward the startup while Dave contributes $200,000 and they agree to split profits
evenly because Sam will be working in the store and operating the day to day business.
About a month after they open, the business is not doing well so Dave starts becoming
more involved. Soon he is requiring that Sam approve all purchases with him and Dave
is actively directing Jack, the sole other employee. One day, Geoff, a customer, is
injured when a bowling ball falls off a shelf and shatters his foot. Geoff sues and is
awarded a judgment of $1 million.
A.as this was a limited partnership, Sam is liable for $800,000 and Dave is liable for
$200,000
B.Sam and Dave are each liable up to $500,000 each
C.under the circumstances, Sam and Dave are both jointly and severally liable for the
full $1 million
D.whoever negligently secured the bowling ball on the shelf is liable for the $1 million
liability
A creditor with an interest in real property is called a/an:
A.surety.
B.unsecured creditor.
C.mortgagee.
D.mortgagor.
page-pf1e
Which of these is not an administrative agency function?
A.policymaking
B.creating statutes
C.licensing and permitting
D.investigation and enforcement
The number of civil cases filed in state and federal courts combined in 2008 exceeded:
A.10 thousand.
B.10 million.
C.20 thousand.
D.20 million.
page-pf1f
Illegal acquisition of a company's trade secret constitutes ______.
Appointing another person to perform one's duties under a contract is called a _______.
Assume that you have money you'd like to invest in stock. Would you prefer to invest in
a company that evidences values based on the invisible hand theory, the government's
hand theory or the management's hand theory of operations? Explain reasons for your
choice and indicate why the rejected choices were not chosen.
page-pf20
Piet, a Delaware resident, goes out to dinner at Ed's House of Crabs, a restaurant
incorporated and operating in Maryland. As Piet walks to his table, he slips on some
crab parts that had fallen to the floor and had not been cleaned up by Ed's staff. He
suffers a severe back injury that requires multiple operations and extensive therapy. As
Piet prepares to file a law suit for negligence, what are Piet's options with regard to
jurisdiction and venue in determining which court to file the suit in?
page-pf21
Officer Kent is a 25 year veteran of the state police force. He has conducted thousands
of investigations and made thousands of arrests. One day he sees a man and woman
talking on a street corner. He approaches them and conducts a pat down search of each
finding two marijuana joints in the man's pocket but nothing on the woman's person. He
then forces the woman to empty her purse which contains a packet of cocaine. He
arrests them and takes them back to the station. When asked by his superior what made
him think the couple was culpable he said, "twenty-five years of experience and a
feeling in my gut". Will the drugs be permitted into evidence at their trial?
On a bond, the face amount is also called the _______.
Fully explain the components of the Zippo standard as they are used to establish or
page-pf22
refute minimal contacts regarding out-of-state Internet company defendants.
What has Congress done to try to prevent individuals from abusing bankruptcy
protections?
page-pf23
Name the five instances in which a federal trial court may establish personal
jurisdiction over a defendant.
The party petitioning or asking for an appeal is called the _______.
Plastic Enterprises sends a purchase order to Felt Industries to buy recycled soda bottles
for delivery at Steven's Point. Felt sends an acknowledgement form confirming all of
the terms in the purchase order but designating delivery to be at Johnson's Point, two
miles down the coast from Steven's Point. Do the parties have a contract and where will
the delivery be?
page-pf24
Describe the probable cause standard used for administrative warrants.
If a ship wreck causes an oil spill, the legislation that regulates it is known as the
________ Act.
Government acts that affect semi-suspect or quasi-suspect classifications require that
the court apply ________ scrutiny to determine the act's validity.
page-pf25
Treasury Secretary Geitner had knowledge of the AIG bonuses but failed to stop them
because they were ________ obligations between a private company and its employees.
Ownership of land is typically evidenced by a ______.
Under Sarbanes-Oxley, requiring the payback of corporate bonuses that were awarded
and later found to be based on false disclosures is called a ________ provision.
page-pf26
What procedures or policies should employers implement to protect themselves from
charges of discrimination even when firing an employee for misconduct?
An ________ stops creditors from pursing their collection actions.

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