In a national emergency strike, a petition is addressed to the:
A. U.S. Supreme Court.
B. federal Court of Appeals.
C. federal district court.
D. state supreme court.
After receiving her credit card bill, Claire feels that the credit card company has made a
mistake: several transactions are not hers. The law that has established procedures for
the prompt handling of such billing disputes is known as the ____.
A. Fair Credit Reporting Act.
B. Fair Credit Billing Act.
C. Fair Debt Collection Practices Act.
D. Truth in Billing Act.
A city ordinance allowed the police to arrest young men who were loitering in any
public place with no apparent purpose and failed to disperse when requested to do so by
the police. William was arrested under the ordinance. What is William’s best legal
challenge to his arrest?
A. The ordinance has no connection to public safety.
B. The ordinance is void for vagueness.
C. The ordinance gives power to the police.
D. The ordinance contains no reference to a state of mind.
Cal, a purchaser, lost $15,000 after purchasing corporate stock based on a false
registration statement. Cal:
A. has no legal recourse through which he may try to recover his loss.
B. may sue the accountant who prepared the registration statement under the Securities
Exchange Act of 1954.
C. may sue the accountant who prepared the registration statement under the Securities
Act of 1933.
D. may sue the corporation of stock fraud under the Securities Exchange Act of 1934.
Once a rule is finalized, it is included in the _____________________.
A. Administrative Register
B. Code of Federal Regulations
C. Uniform Commercial Code
D. Modern Federal Register
Which of the following is a duty vested in a trustee by the court, when the debtor is a
business?
A. He may be authorized to operate the business for a limited period of time.
B. He may be authorized to make payments made by the debtor within 90 days before
the filing of the petition.
C. He may be authorized to sell the debtor’s properties and handover the proceeds of
the sales to the debtor.
D. He may be authorized to pay off the debts according to the personal priority list.
It is said that the law should be viewed as a delicate balancing act because:
A. political parties are competing for power.
B. individuals require restraint to prevent chaos.
C. one company’s contract rights may be upheld at the expense of another’s.
D. one company may overcharge consumers.
Edwin, Marketing VP of Amalgamated Sales, Inc., writes a letter dated August 1 to
Bargain Stores, Inc., offering to sell candy to Bargain Stores at $50 per case for the next
one month. In mid August, Amalgamated receives an offer from Dandy Stores, Inc., to
purchase this candy at a price of $75 per case. Can Amalgamated withdraw its offer to
Bargain Stores?
A. Yes, the offer may be withdrawn since it lacks consideration.
B. No, as this is a firm offer.
C. Yes, the offer was simply an invitation to negotiate.
D. No, as this is only an option.
Tyler has always had a 180 day full warranty from Business Sales when purchasing
office equipment over the past five years. On this occasion Tyler purchased a fax
machine that broke thirty days after Tyler purchased it. Business Sales asserts that it did
not provide a 180 day full warranty on the fax machine and has no legal liability. Which
of the following is true of this situation?
A. Tyler cannot assert a warranty since Business Sales has not provided a fall warranty
on the product.
B. Tyler may assert a warranty based upon past dealings with Business Sales.
C. Business Sales can escape liability by asserting that the defect was caused by the
manufacturer.
D. Tyler can bring a suit against Business Sales and claim punitive damages.
Which of the following is a rule recognized by the Restatement of Contracts?
A. The incompetent party must return all consideration even if the other party knew
about the person’s impairment.
B. If a contract is executed, the impaired party can void the contract without returning
the other party the place he/she was in before.
C. A person’s contractual obligations are partially voidable depending upon the severity
of his/her mental and physical health.
D. A person’s contractual obligations may be voidable if that person suffers from a
mental impairment that prevents him or her from acting in a reasonable manner.
Which of the following do positive law theory and natural law theory have in
common?
A. They originate from an outside source that has emerged from within society.
B. They believe that human values apply to all people at all times.
C. They believe that human decency will ultimately triumph over human cruelty.
D. They believe in forming and dictating ethical decisions to people.
Erin, an American student, boarded with a family while she studied in France for two
months. The family gave Erin her own room and bathroom and fed her breakfast and
dinner every day. Erin was a:
A. tenant.
B. direct owner.
C. lodger.
D. subletter.
Promises under seal:
A. are enforceable in some states for contracts not involving goods.
B. are enforceable under the UCC for contracts involving goods
C. are enforceable under the UCC if made by a merchant, in writing, stating the time
period over which the offer will remain open.
D. are unenforceable as a consideration in a new contract.
The _____ filed for the reorganization plan must be approved by the court before there
can be a vote by creditors on the reorganization plan.
A. disclosure statement
B. confirmation
C. presentment
D. shelter provision
In order to bring a derivative suit, when must a shareholder own stock?
A. At the time of the injury only.
B. At the time of the suit only.
C. Both at the time of the injury and the time of the suit.
D. At the time of the injury, suit, and trial.
Juanita is classified by Maxims Store as an exempt employee. Juanita spends 40% of
her time in management tasks, 30% of her time stocking shelves at Maxims Store, and
30% of her time unloading trucks that supply the store. Which of the following
statements is true?
A. Juanita is appropriately classified.
B. Juanita is inappropriately classified.
C. Juanita is guaranteed at least 60% of minimum wage.
D. Juanita is guaranteed at least 160% of minimum wage.
Iris is looking for a short-term mortgage that will allow her to pay fixed payments at a
relatively low fixed interest rate during the life of the mortgage and one large payment
at the end of the term. What kind of mortgage should Iris take?
A. A balloon-payment mortgage
B. A VA mortgage
C. A conventional mortgage
D. A graduated-payment mortgage
The National Science Foundation was created to:
A. conduct research into all aspects of human life and health and to apply that
understanding to cure illnesses, to alleviate disabilities, and to lengthen human life.
B. support scientific research, to stimulate the national economy, and to safeguard
national security.
C. coordinate advances in technology and engineering as they relate to the practical
jobs of improving the American economy.
D. build an integrated technology policy especially designed to meet the needs of the
national government.
If an abandoned shipwreck is found outside the boundaries of a state, what law
applies?
A. The Abandoned Shipwreck Act
B. The law of finds
C. The law of salvage
D. Either the law of finds or the law of salvage
Ajax Co. has six directors. Three of the directors favor corporate expansion and three
directors want to keep Ajax at its current size and distribute the surplus profit. How will
a court likely resolve this deadlock?
A. Appoint a seventh director to break the tie.
B. Appoint an arbitrator.
C. Order an involuntary dissolution of Ajax.
D. Order the directors to make an agreement or be in contempt of court.
The basic law of a nation or state typically is the:
A. common law.
B. power of the chief executive.
C. constitution.
D. legislation.
In an ____, after the auctioneer calls for bids on an article or lot, that article or lot
cannot be withdrawn unless no bid is made within a reasonable time.
A. auction with reserve
B. enforced auction
C. auction without reserve
D. entitled auction
Employees who believe that their employer has violated FMLA rules can file
complaints with the:
A. Labor Employment Standards Administration.
B. Equal Employment Opportunity Commission.
C. Department of Labor.
D. Office of Veterans’ Employment and Training Service.
Which of the following is true of arbitrators?
A. The arbitrator can make suggestions, but not issue binding decisions.
B. The arbitrator is a non-lawyer from the relevant industry.
C. The arbitrator must be chosen from among the disputing parties.
D. The arbitrator’s decision can be appealed in court.
The insurance company’s liability under comprehensive coverage is limited to the
_____ of the vehicle at the time of the loss.
A. actual cash value
B. outstanding loan value
C. replacement value
D. stated value
Judges on the International Criminal Court serve for a term of:
A. three years.
B. six years.
C. nine years.
D. life.
A statute that made cross-burning a criminal offence would be an example of what type
of crime?
A. Assault
B. Hate speech
C. Arson
D. Terrorism
The right to cast another shareholder’s vote is called:
A. cumulative voting.
B. proxy voting.
C. a pooling agreement.
D. a shareholder proposal.
Which of the following statements holds true for the Nuclear Regulatory Commission?
A. It is responsible for regulating space vehicle reactors.
B. It is responsible for regulating nuclear weapons and military reactors.
C. It is responsible for handling, and disposal of nuclear material.
D. It operates its own reactors and power plants.
In what respect is a bailment legally different from a sale?
A. Title does not transfer in a bailment.
B. Title transfers in a bailment but no price is involved.
C. In both there is a transfer of title but in a bailment the title reverts to the bailer at the
end of the bailment.
D. In a sale the title transfer includes all rights of ownership but in a bailment the title
transfer includes limited rights of ownership.
If Ann sued Sharon for assault, without any factual basis, and the jury ruled in favor of
Sharon, Sharon in turn may sue Ann for:
A. abuse of process.
B. contributory negligence.
C. misuse of legal procedure.
D. malicious prosecution.
