1) the ends justify the means: this statement reflects the utilitarian ethical theory.
2) the seller is obligated to resell the goods in cases where the buyer refuses to accept
goods that conform to the contract.
3) a party who has the right to rescind a contract may do so at any time.
4) the best defense for battery is the free and intelligent consent given.
5) an interested party in a will can be a witness to the will.
6) in the absence of a partnership agreement, the rupa provides that any partner who has
not wrongfully dissociated may perform the winding up.
7) under a tenancy at will, property is leased for an indefinite period with an agreement
to pay rent regularly.
8) the noerr-pennington doctrine provides an exception to the clayman act.
9) ordinarily, members of a limited liability company have limited right to manage the
business of the llc.
10) there is a similar set of legal rules that apply to both foreign and alien corporations.
11) the potential anticompetitive effect of a tying agreement is that the sellers
competitors in the sale of the tied product may be foreclosed from competing with the
seller for sales to customers that have entered into tying agreements with the seller.
12) title vii of the 1964 civil rights act forbids employment discrimination on the basis
of race, color, religion, sex, and national origin.
13) under the public policy exception to employment at will, most courts limit public
policy to the policies advanced by existing law.
14) under insurance policies (except life insurance), the insured and the beneficiary may
be the same person.
15) a _____ is a partnership whose partners have elected limited liability status.
a.limited liability company
b.professional corporation
c.professional partnership
d.limited liability partnership
16) one of the founding principles of our government is separation of powers. how do
administrative agencies tend to conform to, or violate this principle?
a.they tend to violate this principle because they perform all three functions of
government.
b.they tend to conform to this principle because most commissioners or board members
are appointed by the president.
c.they tend to conform to this principle because they only follow the law, and do not
make any law.
d.they tend to violate this principle because they are created by congress through
passing of enabling legislations.
17) which of the following is true about the liability of a dissociated partner for
obligations incurred while a partner?
a.to complete the requirements for novation, a dissociated partner must also secure his
release by the partnerships creditors.
b.dissociated partners are not liable to partnership creditors for partnership liabilities
incurred while they were partners.
c.continuing partners must not indemnify dissociated partners from liability on
partnership obligations.
d.a creditors agreement to release an outgoing partner from liability may be implied, but
usually it is express.
18) a professional is not liable for breach of contract if the:
a.professional lacks the required educational qualifications.
b.client has opposed delegation of duties.
c.client obstructs the performance of the contract.
d.professional has not included such liability in the contract.
19) assuming that the economic condition of the country is progressing, peter entered
into a contract with john for the sale of substantial amount of shares of his company for
consideration of $1,000,000. however, due to a slump in the market in the next few
months, peter lost heavily. this would lead to:
a.avoidance of the contract.
b.enforcement of the contract.
c.rescission of the contract.
d.reformation of the contract.
20) gillie, taft, and dall are partners in an architectural firm. the partnership agreement
is silent about the payment of salaries and the division of profits and losses. gillie works
full-time in the firm, and taft and dall each work half-time. taft invested $120,000 in the
firm, and gillie and dall invested $60,000 each. dall is responsible for bringing in 50
percent of the business, and gillie and taft 25 percent each. how should profits of
$120,000 for the year be divided?
a.gillie $60,000, taft $30,000, dall $30,000
b.gillie $40,000, taft, $40,000, dall $40,000
c.gillie $30,000, taft $60,000, dall $30,000
d.gillie $30,000, taft $30,000, dall $60,000
21) which of the following is characteristic of exculpatory clauses?
a.courts favor their use in leases of residential property
b.aids tenants in recovering damages from landlords
c.attempts to insulate landlords from negligence liability to tenants
d.enforceable only in residential property leases
22) in which of the following cases is it most likely that a plaintiff will only have to
prove negligence on the defendants part to recover for defamation?
a.statements that a u.s. senator had someone killed while in office.
b.statements that madonna had someone killed.
c.a statement that you or i murdered an innocent person during a robbery.
d.a credit report on a construction contractor.
23) able co. entered into a contract with baker co. for the sale of goods. both parties are
merchants under the ucc and each party used its own form as an offer and acceptance.
on the reverse of each form, there were minor terms that conflicted with each other.
what is impact of these minor differences in terms in the forms on the contract?
a.there is no contract here because there is a discrepancy between the standard forms
used by the two companies.
b.there is no contract here because there is no meeting of the minds.
c.a contract does exist and is favorable to the third party beneficiaries who can take
advantage of the situation.
d.a contract does exist and it includes the terms agreed upon plus gap-fillers from the
ucc.
24) an agent who accepts a bribe to purchase goods for a principal from a seller who is
a personal friend breaches his _____ duty by taking the money, since it is the agents
duty to work only for the best interests of the principal.
a.fiduciary
b.statutory
c.indemnity
d.gratuitous
25) the white forest employment agency has 35 employees. white forest pays all its
female employees less than all its male employees. it also refuses to refer female
customers to any fortune 500 corporations (all of which are big and have operations in
more than one country). of the two kinds of discrimination in which white forest
engages, which is covered by title vii?
26) janet, age 15, has to make it on her own. to protect herself from the winter winds,
janet buys a coat on credit for $200 from the lifestyle clothing store. the coats
reasonable value is $80. before making any payments on the coat, janet tells the store
that she wants to disaffirm, i.e., she wants her money back in exchange for the coat. can
janet disaffirm? if not, what must she pay?
27) sue has transferred her transferable interest of the partnership business to her
creditor to discharge her debt. however, sue is an efficient manager and she still
manages the business, even after the transfer. is she still a partner?
28) the coriolis corporation is building a new widget plant near honululu, hi. coriolis is
not worried much about the expenses of installing air pollution control equipment
considering honululu came out as the u.s. city with the best air quality according to the
‘state of the air 2011″ report by the american lung association. do you agree with
corioliss stance? under the clean air act, what kind of air pollution control equipment
must coriolis install in the plant? why?
29) dee sues gerry for defamation. dee thinks that the facts clearly are not as stated in
gerrys complaint and that, given dees version of the facts, gerry cannot recover for
defamation. what motion gives gerry the best chance of winning the case early? what
does it involve?
30) carol, a senior manager in bizlaw, inc., encourages rob, her junior manager, to bill
bizlaws clients for his commute time, and identify it as meet and confer with senior
manager. carol explains that she will then adjust her own billing sheet to match this
entry. carol tells rob that all other bizlaw junior and senior managers engage in this
practice, and that clients have never questioned such entries. rob is not sure whether this
would be an ethical action. what should rob do?