Under normal trade relations, when a nation extends some privilege or right to one of
its trading partners, that privilege automatically becomes applicable to all other trading
partners.
a. True
b. False
Answer:
Which of the following does not generally characterize foreign distributors?
a. They are independent firms.
b. They are usually located in the country from which the goods are exported.
c. They assume the risks of warehousing the goods.
d. The often trail end users of the product.
Answer:
In the licensing agreement the licensor would set the geographic and field-of-use
limitations on licensees.
a. True
b. False
Answer:
Bills of lading are meant to be:
a. Substitutes for money.
b. A means of transferring goods to buyers.
c. Sight drafts.
d. Guarantees for payment of the goods.
Answer:
NAFTA sets environmental standards for all three countries that were met in 2004.
a. True
b. False
Answer:
The EU has generally taken a more aggressive approach to environmental protection
than the U.S. has. One significant example is the EU’s requirement to carefully consider
and approve the introduction of:
a. genetically modified organisms.
b. herbicides and pesticides.
c. gasoline-powered vehicles.
d. nuclear power plants.
Answer:
Passive investment in less-developed countries is similar to other developed countries
since equity shares are easily transferable worldwide.
a. True
b. False
Answer:
ADR refers to:
a. Alternative (or Alternate) Dispute Resolution.
b. Alternative Disruption Requirement.
c. A Data Reference System.
d. Atlantic Development Relations.
Answer:
Freight forwarders act as the seller’s or exporter’s agent.
a. True
b. False
Answer:
Nations have made considerable progress in putting into effect regional agreements for
the prevention of marine pollution.
a. True
b. False
Answer:
It is a defense to a prosecution under the Foreign Corrupt Practices Act that:
a. The amount paid was under $5,000.
b. Adequate records were kept to accurately reflect the transaction.
c. The payment was considered legal under the local law of the country in which the
payment was made.
d. The payment was made to expedite the performance of a routine governmental
action, such as processing paperwork needed for a travel visa.
e. The U.S. defendant can show that the payment was made in the routine course of
business.
Answer:
Advertising of sexually explicit messages would be most severely regulated in which of
the following countries:
a. Denmark.
b. Sweden.
c. The United States.
d. Saudi Arabia.
Answer:
Thailand’s import restrictions on cigarettes:
a. Were justified under GATT article XI as protection of domestic agriculture.
b. Were justified in the interest of public health.
c. Were not justified under GATT article XI as protection of domestic agriculture.
d. Were not justified because they violated the principle of free trade.
Answer:
Payments made to foreign officials by an individual for the purpose of expediting or
securing the performance of a routine or clerical governmental action are subject to
fines up to $100,000 and/or a jail term of up to five years.
a. True
b. False
Answer:
All of the following indicate that a product has been substantially transformed except:
a. the product has a new name, character or use.
b. the product has been advanced in value.
c. the product underwent a change in tariff classification.
d. the product has been manufactured in one country and shipped to an intermediary
country before coming to the U.S.
Answer:
The European Union has both a common multinational patent application process as
well as the individual country processes.
a. True
b. False
Answer:
In an international dispute, where there is no choice of law and forum the forum with
greatest interest under conflicts of law, will have the jurisdiction to hear the dispute.
a. True
b. False
Answer:
The rule that usually prevails for interpreting documents that are submitted to a bank
for payment under a letter of credit is commonly called the:
a. Good faith rule.
b. Reasonable compliance rule.
c. Strict compliance rule.
d. Holder in due course rule.
Answer:
The General Agreement on Tariffs and Trade is today the most important instrument for
regulating international trade.
a. True
b. False
Answer:
Prolonged negotiations for membership in the EU constitute an effective veto of
membership, as in the case of which country?
a. Latvia
b. Turkey
c. Croatia
d. Pakistan
Answer:
In general, at common law and in civil law jurisdictions, the choice of law clauses is
rarely upheld.
a. True
b. False
Answer:
In the People’s Republic of China, domestic contract law serves largely to enforce
commitments made between state agencies.
a. True
b. False
Answer:
The UN’s Guiding Principles for Business on Human Rights Article 23 states all of the
following except:
a. Businesses should comply with all applicable laws and respect internationally
recognized human rights, wherever they operate.
b. Businesses should seek ways to honor the principles of internationally recognized
human rights when faced with conflicting requirements.
c. Businesses should seek to comply with the laws of their home country before
considering internationally recognized human rights.
d. Businesses should treat the risk of causing or contributing to gross human rights
abuses as a legal compliance issues wherever they operate.
Answer:
The European Union treaties prohibit discrimination on the basis of:
a. Religion.
b. Ethnic Background.
c. Nationality.
d. All of the above.
Answer:
The following are all possible organizations that the parties may use to control the
arbitration process except:
a. International Chamber of Commerce.
b. American Arbitration Association.
c. London Court of International Arbitration.
d. U.S. Arbitration Committee.
Answer: