Med-arb is a form of ADR in which both a mediator and an arbitrator work
simultaneously with the disputing parties to resolve differences.
A business subject to an agency’s jurisdiction is required to turn over documents
relevant to determining compliance with a particular rule.
It is not possible for a total stranger with no ties to the alleged victim to commit undue
influence over another.
If two people identify themselves as general partners and create a written partnership
agreement, the law is obligated to recognize their business entity as a general
partnership.
A new startup corporation has gone to a bank for a commercial loan. Recognizing the
startup status of the business and the limited assets the corporation currently possesses,
the bank, to protect its interests, may require that either collateral be pledged or a
personal guarantee be signed by shareholders but may not require both.
Depending on the jurisdiction, computer software programs may be afforded protection
under either copyright law or under patent law.
Under the concept of sovereign immunity, a foreign country is exempt from jurisdiction
in the U.S. courts.
Agencies can monitor compliance with their regulations through inspection of business
facilities under their jurisdiction.
Annuities issued by insurance companies are exempt from full SEC registration
requirements.
If two companies enter into a sales contract and the shipping terms are omitted from the
agreement, the contract will automatically become a shipping contract.
Chapter 7 allows business entities to keep some exempt property.
A party injured by another’s negligence but who is found to have committed
comparative negligence, will recover nothing.
If a merchant sells goods to a buyer who is not a merchant, Article 2 of the UCC will
not apply.
Saudi Arabia uses Islamic law for personal conduct and civil law for business
transactions. Because of this, it has a religious-based legal system.
Robert and Philip are operating a general partnership. Under the Revised Uniform
Partnership Act, if Robert rightfully or wrongfully dissociates from the partnership, the
partnership continues to exist.
Congress may place limits on the use of federal money by states as long as the limit
does not affect or infringe upon a citizen’s constitutional rights.
Laura and Susan have had a motor vehicle accident and Susan has sued Laura claiming
severe back injuries. If Laura wants to obtain a copy of Susan’s doctor and hospital
reports, she should serve a request for admissions to Susan.
Gina has hired Frank, an attorney, to handle her divorce. If during face to face
negotiations, Frank strikes Gina’s husband’s attorney, Gina will be liable because Frank
was her agent employee.
Sole proprietorships may sell equity in the company in order to raise funds.
The Revised Uniform Partnership Act was enacted by Congress to make partnership
law more consistent and standardized throughout the United States.
The Revised Model Business Corporation Act mandates that all corporations other than
single member corporations maintain a board of directors with at least three members
who are independent of the officers and shareholders.
In NLRB v. Midwestern Personnel Services, Inc., the court agreed with the NLRB
position saying that unfair labor practices strikes do not lose their character when
economic motives contribute to its cause and they remains an unfair labor practices
strike as long as employees are motivated in part by unfair labor practices.
Holders of equity securities have no specific right or guarantee of a return on their
investment.
If a party has been delivered nonconforming goods and has rejected them, if they are
forced to cover in order to maintain business operations, they may sue the seller for the
difference in price plus consequential damages.
Fifth Amendment protections against self incrimination apply to corporate entities.
Reasonable suspicion is a higher standard than probable cause.
The Sherman Act only applies to entities who have acted in an unreasonable manner.
Courts are bound by the Restatement of Torts once published.
Online dispute resolution (ODR) has all of the advantages of traditional forms of ADR.
All publicly held corporations are also classified as public corporations.
Some states recognize LLCs but do not permit partnership taxation at the state level.
Each of the following is personal property except:
A.a car.
B.a house.
C.a computer.
D.business inventory.
In Goodrich Corp. v. Town of Middlebury there were two public landfills that were
designated as Superfund sites. The principally responsible parties formed a coalition to
sue several municipalities for assistance in cleanup costs. During the litigation, a special
master was appointed to determine which parties contributed how much waste. When
the case went to trial, the district court chose not to follow the determinations of the
special master and determined themselves the liability of the municipalities. The
decision was appealed. The appellate court determined that disregarding the special
master’s determination of liability was:
A.permissible for the district court because it was within its rights to determine the
municipalities more liable than the special master determined.
B.not permissible because the district court was legally bound by the Superfund to
accept the liability findings of the special master.
C.permissible because the special master should not have been appointed.
D.not permissible because there was no error of law in the determination of liability.
How is a debtor protected in bankruptcy from the moment of filing?
A.the debtor goes to credit counseling
B.personal guarantees of loans are voided
C.an automatic stay is placed on all collection efforts
D.certain transactions are now considered to be voidable
Which of these agencies enforce federal antitrust laws?
A.Securities and Exchange Commission
B.Federal Bureau of Investigation
C.Better Business Bureau
D.Federal Trade Commission
Typically, day to day decision making in an LLC is performed by:
A.the individual principal who filed the initial paperwork to form the business.
B.its board of directors.
C.the top 10% principal investors.
D.its managing members.
The Digital Millennium Copyright Act provided each of the following protections
except:
A.manufacturers of CD-Writers were required to pay 2% of their sales into a fund to be
distributed to copyright holders because the CD-Writers could easily copy music and
other copyrighted works.
B.civil and criminal penalties were established for those who sell or manufacture
products or services that circumvent antipiracy software.
C.restrictions were placed on analog recorders and camcorders that lack antipiracy
features.
D.ISPs were relieved of liability for copyright infringement by their users as long as the
ISP had no knowledge of the infringement.
Which of the following is not a procedural due process issue?
A.that police must obtain a search warrant to enter and search a citizens home for drugs
B.the state of Massachusetts has raised the drinking age to 25 years old
C.the state of Oklahoma passes a statute prohibiting citizens from presenting evidence
in drunk driving trials
D.the state of California passes a statute allowing relatives of victims of violent crimes
to sit on the jury in the general trial court
Which act does the Robinson-Patman Act amend?
A.McCarthy Act
B.Hart-Scott-Rodino Act
C.Sherman Act
D.Clayton Act
Which of these is not one of the primary reasons for the creation of environmental
statutes?
A.protection of wildlife
B.ensure that government agency decisions had minimal environmental impact
C.standardize environmental protections across the country
D.protect an individual’s personal property rights from environmental nuisances
KAM Corp has separate Codes of Ethics and Conduct. Each of the following would
likely be included in their Code of Ethics except:
A.expectations of privacy and dignity to be afforded others.
B.expectations of an individual’s community service.
C.avoidance of conflicts of interest.
D.requirements of procedural due process and impartiality.
The filing of the complaint begins which stage of litigation?
A.the pleadings
B.discovery
C.voir dire
D.the trial
In a products liability case, the plaintiff may pursue legal remedies against the seller
under any of the following categories except:
A.product disparagement.
B.strict liability.
C.negligence.
D.warranty.
Which of the following is not a component in the definition of a security?
A.an investment
B.an expectation of profit
C.secured by tangible collateral
D.efforts of a third party create expected profit
Chapter 13 bankruptcy filings are limited to:
A.businesses.
B.individuals.
C.farms.
D.individuals who own sole proprietorships.
If there is no direct evidence of an agreement to manipulate the competitive market
between two CEOs a prosecutor may use their calendars and subsequent actions that
were not in the usual course of business as circumstantial evidence to prove what
requirement of an antitrust violation?
A.price fixing
B.vertical restraints
C.horizontal restraints
D.meeting of the minds
Robert Hill Corp. is incorporated in the state of Delaware. If they transact business in
Iowa, in Iowa Robert Hill would be characterized as a/an:
A.domestic corporation.
B.foreign corporation.
C.alien corporation.
D.native corporation.
Protections for the citizenry from unlawful or reprehensive acts by the government are
contained primarily in:
A.the Preamble to the Constitution
B.Article I of the Constitution
C.Article V of the Constitution
D.the Bill of Rights
The Worker Adjustment and Retraining Notification Act applies to situations in which
entire plants are to be shut down or a layoff is to occur. WARN applies to:
A.all employers of any size business.
B.employers of 50 or more full time workers with a layoff of 20 or more to occur.
C.employers of 75 or more full time workers with a layoff of 35 or more to occur.
D.employers of 100 or more full time workers with a layoff of 50 or more to occur.
Bud calls Lou and says, “I’ll sell you my car for a thousand bucks, interested?” Lou
says, “I’ll look it up on the Internet. If the Blue Book price is close, I’ll pay you $1000
in the morning.” At sunrise Lou shows up with $1000.00.
A.Bud must sell him the car because Lou accepted the evening before when he
promised to look up the car’s value
B.Bud must sell him the car because he could not revoke his offer after Lou accepted
C.Bud does not have to sell the car because his promise was unclear
D.Bud does not have to sell the car because the payment is based on past consideration
Protection of employee medical information is addressed by the:
A.Health Insurance Portability and Accountability Act.
B.Consolidated Omnibus Budget Reconciliation Act.
C.Social Security Act.
D.Health Care and Education Reconciliation Act.
The document filed with the state that begins the incorporation process in the majority
of states is called the:
A.articles of incorporation.
B.declaration of incorporation.
C.statement of incorporation.
D.certificate of incorporation.
In Vagias v. Woodmont Properties, Vagias wanted to buy a house in Montville. He told
his real estate agent that he wanted to buy there because of the school district’s
reputation. The agent showed him a house in an edition called “Woodmont Courts at
Montville.” Vagias asked if the house was within the jurisdictional limits of Montville.
The agent and a representative for the builder, who both knew the township boundaries,
assured him it was in the city limits. Vagias bought the house but was unable to enroll
his son in the school district because the property was outside the city limits. Vagias
sued, claiming he paid a premium for the house based on the school district’s reputation.
The homebuilder argued that the misrepresentations were unintentional and that Vagias
did not suffer a loss in the value of his home. The court held that;
A.Woodmont was liable because the location of the house was the basis of the bargain
and the misrepresentation was affirmative which met the requirements of the New
Jersey Consumer Fraud Act.
B.Woodmont was liable because the real estate agent showed him a house that did not
meet his requests.
C.Woodmont was not liable because the misrepresentation was not intentional.
D.Woodmont was not liable because the New Jersey Consumer Fraud Act does not
apply to real estate.
The Happy Days Day Care is hiring a child care worker. On their application they
specifically ask if you’ve ever been arrested. Tina has applied for a job at Happy Days
and answered no to the question. She has also answered no to the question asking if
there is any reason that she would not be qualified to work with children. Soon after
Tina is hired she severely shakes a baby to stop it from crying causing the baby injuries.
It is discovered at trial that Tina has been fired from numerous day cares for baby
shaking and other various offenses. If the baby’s parents sue Happy Days:
A.Happy Days is not liable because they made a good faith effort to screen applicants
because they specifically asked about past indiscretions.
B.Happy Days is liable because Tina was not dealing with the public, only with
children.
C.Happy Days is liable for negligent hiring.
D.Happy Days is liable for negligent retention.
A manufacturer of cars advertises that the windshield is shatter proof and would not
break even when hit with a strong impact. While an owner was driving home one day, a
small rock hit the windshield and the windshield broke, cutting the driver. What type of
warranty was breached?
A.an implied warranty
B.an express warranty
C.Magnuson-Moss warranty
D.the warranty of fitness for a particular purpose
Which of the following is a service mark?
A.the Adidas three stripes on a pair of sneakers
B.the GEICO gecko in advertisements
C.McDonald’s golden arches
D.the Geek Squad at Best Buy
You have booked a hotel room for conference at a rate of $100 per day for five days.
When you arrive to check in you are told that the hotel is full and that they overbooked
and cannot supply you with a room. You are forced to go to the only hotel in town with
available rooms and pay $150 per night. If you sue for damages:
A.you are entitled to compensatory damages in the amount of $250.
B.you are entitled to consequential damages in the amount of $250.
C.you are not entitled to any damages because the additional costs were not foreseeable.
D.you are entitled to liquidated damages in the amount of $250.
Where are hearings on matters under an agency’s jurisdictions adjudicated?
A.administrative law hearings
B.state court
C.federal court
D.licensing boards
Eligible workers who take leave under the Family Medical Leave Act:
A.must be paid their regular salary and medical benefits must be continued by the
employer.
B.are not entitled to be paid their salary but the employer must continue providing
medical benefits.
C.are guaranteed their same position upon their return at their same salary.
D.are not guaranteed the same position but must be offered, at minimum, a similar
position, however; their salary pay may be adjusted if the new position is at a different
pay grade.
Josh’s Futbol World orders 500 USA replica soccer jerseys from Victory Apparel, a
sports apparel manufacturer. The jerseys are to be delivered to Josh’s place of business.
When the shipment arrives, Josh’s discovers that they have received 500 pairs of USA
replica shorts but no jerseys. Before they can notify Victory and return the shorts, a fire
destroys the building along with the shipment of shorts.
A.this was a destination contract and since the shorts were tendered to the destination,
Josh’s bears risk of loss until they can be returned
B.this was a destination contract and the shorts are nonconforming goods so Victory did
not complete performance and retains risk of loss
C.this was a shipment contract and Josh’s assumed risk of loss when Victory delivered
the goods to the carrier
D.this was a shipment contract and Victory retains risk of loss until the goods were
tendered to Josh’s at Josh’s establishment
The SEC is an:
A.independent agency that is not under the direct control of the president.
B.independent agency that is under the direct control of the president.
C.independent agency that is under the direct control of the Department of Justice.
D.independent agency that is under the direct control of the U.S. Treasury Department.
Bridget is the tenant in an apartment in New York and her lease expires in three months.
She expects and wants to renew the lease once it expires. Her employer has assigned
her to a two month assignment in Hawaii. She doesn’t want to lose the apartment so she
checks and finds that the lease does not prohibit an assignment of the lease or a sublet
of the lease. She is worried that if she assigns or sublets and the person who moves in
doesn’t pay she may suffer consequences.
A.if she assigns the lease she will not be liable for payment if the assignee doesn’t pay
but she would be liable on a sublease should the subleasee not pay
B.if she subleases she will not be liable for payment should the sublease not pay but she
would be liable on an assignment should the assignee not pay
C.she will be liable whether she assigns or subleases should the assignee or subleasee
not pay
D.she will not be liable whether she assigns or subleases should the assignee or
subleasee not pay
The officer with the least amount of implied authority in relation to the other officers is
the _______.
Name and discuss the three different categories that federal agency actions are
classified as under the National Environmental Policy Act? Provide an example for
each.
The government’s system of checks and balances is called the _______.
Robin has just graduated with an MS in elementary education. He sends his resume to a
number of school boards and one writes back offering an interview for a kindergarten
position. When Robin arrives at the interview it is obvious that the interviewers had
expected a female. They ask a few general questions and conclude the interview. Two
days later he gets a rejection letter. He later finds out that a female applicant with only a
Bachelors degree was hired. He believes that he has been discriminated against due to
sex and he files a complaint with the EEOC. The school district defends by saying that
kindergarten teachers are traditionally female and that the parents’ preference is for a
female to conduct the class. Is the school board justified in their actions and will their
defense be effective?
A corporate bond issued in the amount of $500,000 is called a ________ bond.
Jon visits an upscale restaurant and allows the valet to take and park his car. The
restaurant becomes the ________ of the car in this bailment relationship.
________ is the legal term for the right of ownership in goods.
What is the role of the International Court of Justice?
Explain the difference between a frolic and a detour and how they affect or not affect
the principal’s liability.
In order to _______ a warranty, the seller must do so in a conspicuous writing such as
capital letters or bold print.
When and why would a defendant file a cross-claim and when would a defendant file a
counterclaim?
A ________ has the legal power to void some transfers made before filing for
bankruptcy.
Law suits filed for illegitimate reasons such as for harassment, intimidation, or to cause
the other party unnecessary costs are called abusive or ________ law suits.
What are the four major types of legal systems and the basis of each?
When classifying an employee as exempt or nonexempt regarding Fair Labor Standards
Act coverage, what factors are evaluated to arrive at a determination?
Stella has asked her employer for leave pursuant to the Family Medical Leave Act.
What must she evidence to be eligible for leave?
Stella, the CEO of Mega Movies Studios, Inc., has just announced that Willa Winsome,
the most sought after actress in Hollywood if not the entire world, has agreed to sign
with Mega to star in an up coming movie. A movie starring Willa Winsome is a
guaranteed money maker. Willa, at the time that the announcement was made, is on a
30 day retreat where she spends her entire time meditating and doing other spiritual
endeavors. She receives no visitors and has no phone or Internet. She is totally cut off
from the outside world. Following Stella’s announcement, she begins soliciting funds
from private backers as well as banks in order to finance the film. They are eager to
participate and happily provide Mega with substantial funding. In truth, Stella has never
spoken to Willa about starring in the movie and no deal has been struck. Has Stella
committed a crime?
In what manner was a citizen’s right to privacy initially established? Explain.