10 TEST BANK B—UNIT ONE: THE LEGAL ENVIRONMENT OF BUSINESS
B19. Refer to Fact Pattern 3–B2. After a final determination in the case of Martin v.
Nichelle, any judgment will be satisfied
a. if the losing party pays the judgment.
b. if the winning party has sufficient assets to cover the amount of
damages sought.
c. if the losing party proves that he or she is unable to pay the judgment.
d. all of the choices.
B20. Refer to Fact Pattern 3–B2. After the state’s highest court’s review of Martin v.
Nichelle, a party can appeal the decision to the United States Supreme Court if
a. a federal question is involved.
b. a question of state law remains unresolved.
c. the party is unsatisfied with the result.
d. the state trial and appellate court rulings are different.
ESSAY QUESTIONS
B1. Chase is injured in an accident while driving an off-road vehicle made by
Drivers Edge, Inc., an out-of-state corporation. Chase files a suit against
Drivers Edge, alleging negligence, and mails a summons and a copy of the
complaint to the firm by certified mail, return receipt requested. The envelope is
addressed in part to “Elvin, President, Drivers Edge, Inc.” The receipt is
returned with the signature of “Francine,” a Drivers Edge employee. A U.S.
Postal employee later testifies that Francine usually receives mail on Drivers
Edge’s behalf. Drivers Edge does not respond to the suit. In a default
judgment, Chase is awarded damages of $500,000. Later, Elvin claims that he
was not notified of the suit and asks the court to set aside the judgment. What
is the issue in this set of facts? What rule applies? What should be the result on
the application of the rule? Why?