Archives: Quiz

The State of the Union message is a. delivered by the president to the General Assembly of the United Nations at least once every four years. b. a policy statement of Congress over which the president seldom has influence. c. […]

The phrase “don”t ask, don”t tell” refers to a policy toward gay men and lesbians a. governing their employment by the CIA and the FBI. b. allowing them to serve in the military so long as they did not declare […]

More than ______ nuclear warheads are known to be stockpiled worldwide. a. 80 b. 900 c. 6,000 d. 22,000 e. 500,000 Today, in national elections, most campaign tasks are handled by a. former successful politicians. b. professionals who donate their […]

Politically speaking, American women are a. more likely than men to support capital punishment. b. less likely than men to be concerned about the environment. c. more likely than men to support social welfare programs. d. more likely than men […]

The 1995 case, ______, marked the first time in sixty years that the Supreme Court had placed a limit on the national government’s authority under the commerce clause. a. McCulloch v. Maryland b. Roe v. Wade c. Gibbons v. Ogden […]

The law is what ______ says it is at any point in time, generally speaking. a. the Senate b. the Supreme Court c. the president d. the press e. the academic community Powers held jointly by the national and state […]

The rights to collect taxes, to spend, and to regulate commerce are a. powers that have only recently been granted to Congress. b. powers reserved exclusively for the states. c. powers reserved for the president. d. the most important domestic […]

The Medicaid program is funded a. in equal shares by every state. b. by a tax on private insurance companies. c. by a combination of state and federal taxpayers. d. exclusively by the federal government. e. exclusively by state governments. […]

The modern Republican Party was founded when the issue of ______ divided both existing political parties. a. income taxation b. export taxation c. slavery d. the stagnant domestic economy e. government response to public health issues Which of the following […]

The Equal Rights Amendment was a. ratified by the final state and became part of the Constitution on July 13, 1981. b. not ratified by the necessary thirty-eight states. c. vetoed by President Ronald Reagan. d. not approved by the […]

The de facto power in the Senate belongs to a. President of the Senate. b. President pro tempore of the Senate. c. Senator designate selected by the president. d. Senate majority and minority leaders and their respective whips. e. the […]

The three-fifths compromise illustrates the power of ______ at the Constitutional Convention. a. the southern states b. the northern states c. the small states d. the large states e. women The Reconstruction statutes, or civil rights acts, ultimately a. did […]

The doctrine of containment set forth by George F. Kennan a. proposed that the United States should seek to “roll back” Communism in Eastern Europe. b. was expressed in the Truman Doctrine enunciated by President Harry Truman in 1947. c. […]

Remedies of the agent for breach of duty by the principal arise out of contract and tort law. A surety cannot assert the principal debtor’s bankruptcy as a defense to avoid liability on the debtor’s obligation. Answer: t Proceeds consist […]

A franchisor is the purchaser of a franchise. In most states, a director cannot be removed from a corporate board for a breach of duty. Answer: F The ownership right to stock exists independently of a stock certificate. Answer: T […]

The primary measure of monopoly power is a competitor’s assessment of the acts of a firm under review. If the corporate directors fail to sue in the corporate name to redress a wrong suffered by the corporation, then the shareholders […]

A limited liability company can be taxed as a partnership. There are no circumstances under which a contract can be tendered by multiple deliveries of goods. Answer: F Contract law assures the parties to private agreements that the promises they […]

All states require that members of certain professions to have licenses. A writ of execution is a writ that puts in force a court decree or judgment. Answer: T When a buyer breaches a contract, the risk of loss immediately […]

If a seller repudiates a contract, the buyer’s damages do not have to be adjusted to reflect any expenses that were saved as a result of the breach. The incompetence of a customer revokes a bank’s authority to pay an […]

A trademark does not need to be registered to support a trademark infringement action. The establishment clause of the U.S. Constitution prohibits the federal government from establishing a state-sponsored religion. Answer: T An offer that a statute makes illegal terminates […]

A buyer may reject a seller’s goods under any circumstances. Bylaws are the internal rules of management for a corporation. Answer: T Some states require that a franchisor submit advertising aimed at prospective franchisees to the state for approval. Answer: […]

A nuncupative will is a will that is completely in the handwriting of the testator. Symbolic speech is defined as nonverbal expressions of belief and is protected by the First Amendment. Answer: T The 1995 Federal Trademark Dilution Act allowed […]

The U.S. Postal Service is a public corporation. The majority rule controls decisions on ordinary matters connected with partnership business. Answer: T An offer does not need to be communicated to the offeree to become effective. Answer: F Employees who […]

A contract is an agreement that can be enforced in court. Under the UETA, a contract is unenforceable if it is solely in electronic form. Answer: F A seller has an insurable interest in goods as long as he or […]

Banks may not assign their loan contracts to other firms. Article 2 of the UCC sets forth the requirements for sales contracts and Article 2A covers similar issues for lease contracts. Answer: t The Securities Exchange Act of 1934 provides […]

All forms of gambling are legal in all states. Joint venturers have the authority to enter into contracts for the business that will bind the joint venture. Answer: T A covenant not to sue does not always bar further recovery. […]

A party is entitled to cancel a contract based on the other party’s material breach. If no children or grandchildren survive a decedent who dies without a will, a surviving spouse is entitled to the entire estate. Answer: T Some […]

Sexual harassment occurs only if sexual favors are demanded of an employee. Property used by a government for a public purpose such as a park is community property. Answer: F Insurance coverage is never effective until a formal written policy […]

Picking pockets is larceny. Private parties cannot sue violators of Section 10(b) and Rule 10b-5. Answer: F An accountant is not liable for a misstatement to a purchaser of securities who knew of the misstatement but invested anyway. Answer: T […]

Future members of a limited liability company (LLC) may enter into contracts on the entity’s behalf before the LLC is formed. Generally, contract doctrines apply to a landlord-tenant relationship. Answer: T A false statement by an expert to a naive […]

French’s Fast Fries (3F) requires that its employees wear uniforms and protective clothing while on the job. 3F provides a locker room for the employees to leave their street clothes and personal items while working. A sign on the back […]

An agency can terminate once its purpose is achieved. Laws governing franchising are designed in part to prevent franchisors from terminating franchises without good cause. Answer: T A unilateral mistake is a mistake made by both parties to a contract. […]

A contract is sometimes voidable if one party is aware that the other party made a mistake of fact. Patent infringement is a tort. Answer: T Federal law does not prohibit employers from classifying jobs as male or female. Answer: […]

Article I, Section 8, of the U.S. Constitution permits Congress to regulate interstate commerce. A trade association practice or agreement that restrains trade is analyzed under the rule of reason. Answer: T Private parties can sue violators of the Securities […]

Lawyers are not allowed to represent people in small claims courts in any of the states. In many states, an operating agreement is not required for a limited liability company to exist. Answer: T The contract term “free on board” […]

Liability insurance protects against liability imposed on the insured as a result of injuries to the person or property of another. Management may never legally limit unionizing activities. Answer: F A deficiency judgment requires a borrower to pay the amount […]

A tenant has a duty to maintain in a reasonably safe condition those areas under his or her control. Under the theory of negligence, the duty of care requires a careless act. Answer: F When the risk of loss for […]

Cybersquatting occurs when a person repeatedly visits a business’s website. Parents who sign a contract made by their minor child with an adult have the same option to disaffirm as the child. Answer: f Employers cannot forbid their employees from […]

When a breach of contract occurs, the innocent injured party has a duty to mitigate the damages. A certified check is a check that has been signed by a notary public. Answer: F A financing statement is effective for five […]

It is not possible to violate a business regulation without realizing it. Under a destination contract, the risk of loss passes to the buyer when the goods are duly delivered to the carrier. Answer: F There are legal questions involved […]

A franchisor’s decision to terminate a franchise may be made in the normal course of business operations. Scienter exists if a party makes a statement that he or she believes to be scientifically verifiable. Answer: F Authority declared in clear, […]

Some states permit a corporate board to have fewer than three directors. Stare decisis is a doctrine obligating judges to follow the precedents established within their jurisdictions. Answer: T The Clayton Act prohibits certain classes of price discrimination. Answer: T […]

If an employee dies in a work-related incident, the employer must notify OSHA within eight hours. Revocation is effective on dispatch. Answer: F A joint venture resembles a partnership but is taxed like a corporation. Answer: F A check is […]

An artisan’s lien is a security device created at statutory law through which a creditor can recover payment for labor and materials used to increase the value of real property. In some states, a judgment creditor must obtain a separate […]

Instruments that say nothing about when payment is due are payable on demand. If a buyer accepts a shipment of goods and later discovers a defect, acceptance cannot be revoked. Answer: F A contract for a sale of goods priced […]

The laws governing franchising are primarily designed to protect franchisors from dishonest franchisees. Andy leases to Burgertown Franchise Corporation a 10,000 square-foot building under a written lease with a twenty-year term, rent payable annually. The lease includes a clause stating […]

Labels on vegetables and fruits are not required to indicate where the food originated. Buying or selling securities on the basis of nonpublic information is illegal only if the profit from the transaction is unreasonable. Answer: F During a storm […]

A landlord is usually required to give some period of notice to terminate a periodic tenancy. A corporate name must include the word Corporation, Incorporated, Company, or Limited, or abbreviations of these terms. Answer: T When a nave purchaser relies […]

A partnership agreement can include almost any terms that the partners wish. An oral contract may be enforceable if enforcing the promise is the only way to avoid injustice. Answer: T A contract for the sale of minerals is considered […]

Precise Engineering Corporation has a contract with Quik Mart Stores to provide customized software for Quik’s inventory control system. Retail Outlets, Inc., Quik’s competitor, induces Sam, a Precise subcontractor who is writing code for the Quik software, to delay delivery […]