Business & Finance Chapter 2 Cases concerning the application of the U.S. Constitution are federal

subject Type Homework Help
subject Pages 9
subject Words 1715
subject Authors Al H. Ringleb, Frances L. Edwards, Roger E. Meiners

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66. Cases concerning the application of the U.S. Constitution are federal questions within the power of the federal
courts.
a. True
b. False
67. Diversity of citizenship is a basis for allowing federal jurisdiction when a legal dispute arises between citizens of
different states.
a. True
b. False
68. Diversity of citizenship in federal courts refers only to cases where one party is a U.S. citizen and the other party to
the case is a citizen of another country.
a. True
b. False
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69. To get a case into federal court which involves parties from different states, the claim must involve more than
$5,000.
a. True
b. False
70. A court's jurisdictional authority is generally limited to the boundaries of the state in which it is located.
a. True
b. False
71. The area over which a court has the power to hear cases is called territorial jurisdiction.
a. True
b. False
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72. The plaintiff notifies the defendant of a legal action against him by a conflict-of law declaration.
a. True
b. False
73. Service of process is usually by newspaper publication.
a. True
b. False
74. In general, constructive notice to a defendant, such a publication in the newspaper, is not sufficient notification.
a. True
b. False
75. The power of a court over a defendant is called in personam jurisdiction.
a. True
b. False
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76. For a court to have in personam jurisdiction over the defendant to a suit, the defendant must agree to allow the
court to resolve the matter in dispute.
a. True
b. False
77. If a defendant fails to appear in court after receiving a summons, the court will order that a default judgment be
entered against that defendant.
a. True
b. False
78. A default judgment is entered against a defendant who fails to present a "legally sufficient defense" to the court.
a. True
b. False
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79. A court has jurisdiction over a business defendant if the business has a web site that can be accessed in the state in
which suit was filed.
a. True
b. False
80. A long-arm statute is a state law that allows state courts to reach beyond the state to obtain jurisdiction over non-
residents.
a. True
b. False
81. State long-arm statutes may be used to obtain jurisdiction over any corporation regardless of how much business it
does in a state.
a. True
b. False
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82. A court can exercise jurisdiction over a corporate defendant if the court is located in the state in which the
corporation is incorporated.
a. True
b. False
83. A court can exercise jurisdiction over a corporate defendant if the court is located in the state in which the
corporation has a production plant.
a. True
b. False
84. A court can exercise jurisdiction over a corporate defendant if the court is located in the state in which the
corporation is doing business.
a. True
b. False
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85. A court can exercise jurisdiction over a corporate defendant if the court is located in the state in which the
corporation has "visible advertising."
a. True
b. False
86. In Blimka v. My Web Wholesalers, which involved a dispute between an Idaho resident who ordered jeans from a
Maine website-based seller, the Idaho court held that since the Maine seller had no physical presence in Idaho it
was not subject to Idaho court jurisdiction.
a. True
b. False
87. In Blimka v. My Web Wholesalers, which involved a dispute between an Idaho resident who ordered jeans from a
Maine website-based seller, the Idaho court held that the Maine seller was subject to Idaho court jurisdiction under
the state long-arm statute.
a. True
b. False
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88. In Blimka v. My Web Wholesalers, which involved a dispute between an Idaho resident who ordered jeans from a
Maine website-based seller, the Idaho court held that due to diversity of citizenship the case would have to be heard
in federal court.
a. True
b. False
89. In Blimka v. My Web Wholesalers, which involved a dispute between an Idaho resident who ordered jeans from a
Maine website-based seller, the Idaho court held that since the Maine seller intended to do business in Idaho, it
became subject to Idaho court jurisdiction.
a. True
b. False
90. In rem jurisdiction means that a court has the power to issue a judgment with respect to property such as a house
or bank account.
a. True
b. False
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91. A case involving in rem jurisdiction means a court has authority to control property such as a house, but does not
include intangible property, such as stock in a company.
a. True
b. False
92. Under in rem jurisdiction, a court has power over the real (physical) property of a defendant but not financial assets
of a defendant.
a. True
b. False
93. Under in rem jurisdiction, a court has power over the property of a defendant regardless of where the property is
located.
a. True
b. False
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94. If a dispute may be resolved in federal courts only, the federal court is said to have exclusive jurisdiction.
a. True
b. False
95. Federal courts have jurisdiction over matters such as divorce if the parties to the case now live in separate states.
a. True
b. False
96. If both parties to a case live in the same state and there is less than $75,000 in dispute, then no matter what the
legal issue, the case must be in state court.
a. True
b. False
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97. If the parties to a case are from different states, there is more than $75,000 in dispute, and state law is involved, the
case may be heard in either federal or state court.
a. True
b. False
98. If the parties to a case are from different states, there is more than $75,000 in dispute, and federal law is involved,
the case may be heard in either federal or state court.
a. True
b. False
99. Concurrent jurisdiction means both a state court and a federal court may have the power to hear a case.
a. True
b. False

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