Trade law has been used in the U.S. to further not only U.S. economic policy but also
U.S. foreign policy.
a. True
b. False
Answer:
All of the following are principles established by the codes of conduct promulgated by
the Organization for Economic Cooperation and Development (OECD) except:
a. To take into account the policies and objectives of the country with which a
corporation operates.
b. Nondiscrimination in hiring.
c. Mandatory wage scales for countries in which each corporation operates.
d. Utilizing “reasonable terms” when transferring technology.
Answer:
In a global trade transaction seller would ship monster cables from Port of Oakland to
Bangkok, Thailand under an irrevocable letter of credit. The Thai buyer’s bank issued
the letter of credit with the instruction that the monster cables be placed aboard the
George Mason on November 25, 2013. The loading brokers loaded the monster cables
on board the ship on November 26, 2013 at 0100 hours (i.e. 1 am). On the manifest the
broker wrote placed on board November 25, 2013. The confirming bank refuses to pay
due to the fraud. Is the confirming bank obligated to pay to beneficiary or holder of the
letter of credit.
a. True
b. False
Answer:
Due to the fact that foreign competition law violations offer few, if any, damage awards,
there is very little private litigation.
a. True
b. False
Answer:
The drafters of the U.S. Constitution believed:
I. That economic disintegration could result if states were free to tax imports and
exports.
II. That the federal government should share regulation of international commerce with
the states.
a. I only.
b. II only.
c. Both I and II.
d. Neither I nor II.
Answer:
The Bureau of Customs and Border Protection is administered by the:
a. Department of Commerce.
b. Department of State.
c. Department of Treasury.
d. Department of Homeland Security.
Answer:
The principle of nondiscrimination is central to the GATT and is evident in the
following areas:
a. Normal trade relations.
b. National treatment.
c. Elimination of quotas and quantitative restrictions.
d. All of the above.
Answer:
The three types of regulatory schemes for transfer agreements that exist include all but
which of the following:
a. Preapproval.
b. Notification/registration.
c. No regulation.
d. All are types of regulatory schemes.
Answer:
When a nation’s import regulations or procedures are transparent, it is difficult for
foreign firms to gain entrance to its markets.
a. True
b. False
Answer:
Transporting new cars above deck on an ocean carrier would be considered:
a. A peril of the sea.
b. A material deviation from the bill of lading.
c. An act of general average.
d. Two of the above.
e. A, B, and C.
Answer:
With the Civil Rights Act of 1991, Congress extended Title VII to U.S. based firms
operating outside the United States under the “control of U.S. entity”, and not in
conflict with the host countries labor and employment laws.
a. True
b. False
Answer:
If domestic workers are damaged by foreign competition, they may be entitled to two
(2) years of state unemployment benefits and federal trade adjustment assistance.
a. True
b. False
Answer:
The European Commission is even less flexible with respect to know-how transfer
agreements than it is to patent licenses.
a. True
b. False
Answer:
Under the law of the European Union, a country may only bring an antidumping action
against a non-EU member country.
a. True
b. False
Answer:
A number of foreign countries, especially those with a two-tiered board structure,
require substantial employee representation on the board of directors.
a. True
b. False
Answer:
The Paris Convention:
a. Is the seminal patent protection treaty.
b. Requires national treatment for foreign trademark and patent applications from
signatory countries.
c. Provides a trademark holder in any signatory country a twelve-month period of
priority within which to make similar applications in signatory countries.
d. A, B, and C.
Answer:
OPIC insurance does not provide coverage against the loss of assets by U.S. firms in the
case of the nationalization of farms or factories held in a foreign country.
a. True
b. False
Answer:
An ocean carrier is liable for its failure to use due diligence in providing a seaworthy
ship at the beginning of the voyage.
a. True
b. False
Answer:
Transfer agreements in Japan and some newly developed countries such as Korea
require:
a. Approval by the government.
b. Negotiation between the foreign licensor and the government.
c. Notification to the government.
d. Assurance that the agreement has not be entered into corruptly.
Answer:
In EU Measures Concerning Meat and Meat Products, the WTO Dispute Resolution
Panel decided:
a. The EC’s regulation permitting zero residue violates the SPS agreement because
internationally accepted standards permit residue.
b. Where no internationally accepted standards exist, the EC ban on that hormone was
not allowed because it was not based on a risk assessment using scientifically accepted
principals.
c. The decision of the Dispute Resolution Body was overturned by the WTO Appellate
Body in January of 1998.
d. Both A and B are true.
Answer:
One reason international business law still retains a “national” character is that national
attitudes toward economics affect attitudes toward law and regulation.
a. True
b. False
Answer: