BUSI 301 Quiz 1 Introduction, Ethics solutions complete answers

BUSI 301 Quiz 1 Introduction, Ethics solutions complete answers

 

What does the so called public disclosure or “television test” mean in regard to ethical considerations?

 

Which of the following is one of the numerous purposes fulfilled by the law?

 

What does the “Golden Rule” mean when discussing ethics?

 

When a crime is committed against the public such as insider training, price fixing, or embezzlement, who prosecutes the crime?

 

What establishes the fundamental principles and rules by which the United States and individual states are governed?

 

Hulio and Helena work for Corporate Enterprise. Both see what they believe to be unethical treatment of a certain group of employees. The employees do not complain and do not say anything about this treatment. Hulio and Helena are not sure whether to report the potential violation. This is an example of an ethical _____________.

 

Which of the following schools of jurisprudence is most closely tied to the pursuit of efficiency?

 

To the Dogs. Alice loves all animals and is starting a new grooming business for dogs. She believes that animals are very important and plans to exceed any applicable regulations regarding cleanliness and health standards. Alice thinks some local regulations make no sense. For example, there is a local ordinance that all dogs must be kept on a leash at all times when not in a fenced area. Although Alice lives on a large lot with plenty of room for dogs to run free, she plans to obey the leash regulation and all others. She is aware, however, that members of the community have had success in changing local regulations by petitioning the city council. Alice plans to proceed in that manner to attempt a change in the leash law. Alice's plan to seek change through following what others have done in the past by petitioning city council is rooted in which of the following?

 

According to the textbook, which of the following is not one of the core values associated with Adidas?

 

Which of the following is an incorrect statement regarding values?

 

In which of the following cases did the U.S. Supreme Court rely on precedent to strike down a school's admissions policy that reserved slots for members of minority races?

 

In the “WH” process of ethical decision making, what does the “H” stand for? Use Exhibit 2-6

 

Raul worked for Townsend Industries developing secret genetic testing equipment to sell to hospitals and research facilities. In a financial bind, Raul sold some of the plans for the newest laboratory testing equipment to Townsend Industries’ biggest competitor. This involves:

 

Which of the following do not spell out what market participants may and may not legally do?

 

Inattentive Driving. While cutting class and driving off campus to check on her new dress for the upcoming formal, Molly, a busy college student, is busy talking on her cell phone with her friend Sharon. Molly is trying to talk Sharon into going to the dance with her brother, who has a big crush on Sharon. Unfortunately for Molly, there is a statute in her state outlawing talking on a cell phone while operating a motor vehicle. Molly crashes into the side of Sam's new convertible when she looks down to pick up a can of soda she just dropped onto her new jeans. A police officer just down the street comes over to investigate. Molly explains to him that it was difficult to hold the cell phone in one hand, the soda in the other, and also drive. The officer was not impressed. Around that time Sam comes along. He is furious regarding the significant dent in his new car. Molly says she has insurance and that she will cover the whole incident. Sam says that is insufficient. The officer is annoyed because it is his lunch break. He tells Molly that she must obey the law and proceeds to write several citations to her. Which type or types of law is or are involved in the above situation considering Molly's interaction with both the officer and Sam?

 

Temecula, California has instituted a new code regarding motorized scooters. This is an example of a(n):

 

Environmental Concerns. Connie, the president of a company that makes paper, has a new interest in the environment. She recently went to a seminar on environmental dangers and has decided to take steps to clean things up. She started at home and was also committed to change things at work. Connie had to face the fact that her company has been cheating and is not in compliance with applicable environmental regulations due to dumping in a nearby river. Her company has never been cited, however, because it employs a very large number of people in the community, including the mayor's wife and the chief-of-police's brother. On her mission to clean things up, Connie has decided to go even further than the law requires and install the very latest environmental protections. When she announced her plan, the chair of the company's board of directors, Brooke, had a meeting with Connie. Brooke told Connie to analyze the situation carefully because the cost of the additional equipment would mean no dividend to shareholders and no raise for employees. Furthermore, Brooke told Connie that installing all the new equipment would result in higher prices for the company's paper products and could bankrupt the company because of foreign competition. Brooke hinted that Connie could be fired if she persisted. Brooke suggested that Connie just be concerned with a minimal standard of ethics. Connie, however, decides to go forward with her plan to clean things up because she wants to treat others in the same manner that she wants to be treated. Connie's approach is best referred to as the __________.

 

International Expansion. Zach wants to expand his coffee business internationally - into Zeno, a small remote country in Africa. His best friend Zora asks him if he plans to hire legal counsel for the expansion. Zach replies, "Of course not. The U.S. has the strictest laws regarding contracts, employment, and business practices. So long as I'm legal here, I'm legal anywhere. Besides, I studied up on Zeno law ten years ago, and I know it all." Zach proceeds and lands in jail in the remote country of Zeno for violating recently passed laws protecting employees and mandating certain benefits. Authorities there claim that he sexually harassed an employee, failed to pay sufficient wages, and failed to give employees Zeno's mandated 12 weeks of vacation per year.

 

Which of the following is true regarding Zach's defense that he thought he knew the law of Zeno because he had studied it some years before and that the laws under which he was arrested were new?

 

The Stolen Book. Betty tells Susan that Bob stole her business law book from her car. The next day Susan confronts Bob and slaps him for stealing her book. Bob has Susan arrested for slapping him. Susan sues Bob for damages in the amount of the book and for maliciously having her arrested. Claiming that she lied, Bob sues Betty for defamation. The action Bob has against Betty for defamation involves which of the following?

 

When evaluating primary values, what is not one of the alternative meanings to “justice” described in the textbook?

 

The state of Minnesota's legislature implemented a new law governing how much salt and sand could be distributed on the roadways when the weather turned icy. This action by the legislature is known as

 

In the United States, which law is determined to be the supreme law of the land, the foundation for all laws?

 

The Environmental Protection Agency, Occupational Safety and Health Administration and Consumer Product Safety Commission are all types of

 

A decision of a state appeals court is not binding on a trial court located in the same jurisdiction of the same state.

 

Crimes are prosecuted not by individuals but by the state or federal government.

 

The legislative branch of government creates statutory law.

 

Assume a restaurant is forced to pay damages to a person who suffered food poisoning after eating at the restaurant. What type of law is involved?

 

In 2009, Mississippi Valley Silica Company was ordered to pay a plaintiff $9 million because the court ruled that it sold sand to the plaintiff's employer with the knowledge that using the sand on a regular basis would expose a worker to a form of cancer, and Mississippi Valley did not alert those who bought the sand about the risk. The $9 million recovery is an example of a

 

When a crime is committed against the public such as insider training, price fixing, or embezzlement, who prosecutes the crime?

 

When classifying law, which of the following is not a way in which law is classified?

 

Business law consists of the enforceable rules of conduct that govern commercial relationships.

 

Which type of law involves the rights and responsibilities involved in relationships between persons, and between persons and their government?

 

If a computer store dumps waste behind its building in violation of local, state, or federal environmental regulations, the resulting dispute focuses on __________ law.

 

Which of the following is one of the numerous purposes fulfilled by the law?

 

What establishes the fundamental principles and rules by which the United States and individual states are governed?

 

When judges make legal interpretations, this is often referred to as case law or

 

the term stare decisis means "standing by the decision."

 

Laws comparing and studying the laws in different countries are known as contributory law.

 

What types of powers do appellate courts have?

 

Which of the following is not one of the areas of exclusive jurisdiction that a federal court offers?

 

If an appellate court concludes that the trial court's ruling was incorrect and remands the case, the appellate court will conduct the new trial or hearing.

 

What is a provision in a contract mandating that all disputes arising under the contract be settled by arbitration called?

 

What type of jurisdiction do trial courts have?

 

After filing the initial pleadings and motions, the parties gather evidence through a process known as _____.

 

Toledan witnesses an accident involving Yema and Norland. Yema chooses not to sue Norland, but Toledan does not want Norland to get away with his negligent actions, so he sues Norland. If the court dismisses the case, on what grounds would they do so?

 

Penelope is being sued by her old employer over a breach of contract. The plaintiff sends Penelope a list of written questions that she is to answer under oath. These are known as _____.

 

What does the term ADR mean with regard to the resolution of civil disputes?

 

When a case involving diversity of citizenship is tried in federal court, there are two specific jurisdictional requirements that must be met. What are the conditions?

 

The term ADR refers to the resolution of legal disputes through litigation.

 

Derran is being examined under oath by an opposing party's attorney. All responses are being recorded by a court reporter. This process is known as a(n)

 

Suppose a plaintiff alleges that a North Carolina campaign-financing law violates his First Amendment (to the United States Constitution) free speech rights. This case _____, and it falls under _____ jurisdiction.

 

Which of the following is true regarding state court jurisdiction?

 

Which form of jurisdiction determines which court system may hear a particular type of case?

 

Which of the following is true regarding the speed and cost of alternative dispute resolution (ADR)?

 

Billy knows that he can bring his case against Bob in a state court in Tennessee. He is unsure, however, of which county in which to proceed. Which of the following addresses the proper county?

 

A mediator is selected for the disputing parties by the court with appropriate jurisdiction over the case.

 

Employees are one of the major stakeholders of a business.

 

Which of the following would not be considered a stakeholder for the purposes of the WH framework?

 

Business managers should make sure they consider all relevant stakeholders when they engage in ethical reasoning.

 

An ethical dilemma is a problem about what a firm should do for which no clear, right decision is available.

 

What does the so called public disclosure or "television test" mean in regard to ethical considerations?

 

The stakeholders of a business are limited to those who have an ownership interest in the business.

 

Ethics is the study and practice of decisions that meet, but do not exceed, minimum standards of behavior prescribed by law.

 

The "Who" in the WH process of ethical decision making means what?

 

The social responsibility of business consists of the expectations the community imposes on firms doing business within its borders.

 

The federal court system has exclusive jurisdiction only over claims arising out of federal statutes.

 

Which of the following are the only possible decisions an appellate court can render?

 

In personam jurisdiction requires that a party appear before the court.

 

A reply by the plaintiff is similar to a(n) _______________ by the defendant.

 

For purposes of determining subject matter jurisdiction, a corporation is a resident of

 

Which form of ADR does NOT use a neutral third party to solve a dispute?

 

Which document initiates the lawsuit?

 

Which one of the following is a disadvantage of arbitration over litigation?

 

Most cases will fall under state court jurisdiction.

 

There are three levels in the federal court system.

 

The types of civil cases that can be brought in federal district court include:

 

Which court would have jurisdiction over the following types of cases: bankruptcy, patent and copyright cases, and antitrust issues?

 

"Guaranteeing personal freedoms" is:

 

Assume a judge writes that she is deciding to enforce a law in question because it is fair to everyone in society and helps those with less to become more equal. The judge would have leanings in the direction of _______________________.

 

Which of the following is one of the numerous purposes fulfilled by the law?

 

Jay Carter was stopped by the police and accidentally mistaken as a wanted criminal. He was taken to the police station and held for four days before being let go. If he were to sue for damages caused by his mistaken imprisonment, what law would be applicable?

 

Betty tells Susan that Bob stole her business law book from her car. The next day, Susan confronts Bob and slaps him for stealing her book. Bob has Susan arrested for slapping him. Susan sues Bob for damages in the amount of the book and for maliciously having her arrested. Claiming that she lied, Bob sues Betty for defamation. The action Bob has against Betty for defamation involves which of the following?

 

When a crime is committed against the public such as insider training, price fixing, or embezzlement, who prosecutes the crime?

 

In the United States, which law is determined to be the supreme law of the land, the foundation for all laws?

 

Assume a businessperson who owns a computer equipment store is delinquent in paying rent to the landlord. The resulting dispute entails _______________ law.

 

When judges make legal interpretations, this is often referred to as case law or ___________.

 

If Tim Cook's secondhand computer store dumps waste behind its building in violation of local, state or federal regulations, the resulting dispute against Cook's store involves _____________ law.

 

Brown v. The Board of Education is a case that abolished discriminatory policies for individuals of different racial backgrounds in schools and has been used in accordance with _________________ as a binding precedent.

 

Directives requiring officials in the executive branch to perform their functions in a particular manner and issued by the US President or state governors are ______________________.

 

General Colin Powell retired from military service and went to work with the Veterans Administration, which is an agency that makes rules and decisions regarding veteran's affairs. The rule and decision-making involves:

 

Michael Phelps was driving under the influence and hit and injured a pedestrian in violation of the law in Reno, Nevada against drinking and driving. Under which of the following will Michael be charged?

 

When courts rely on precedent, they are obeying stare decisis which means:

 

Rooney and Kate work for Corporate Enterprise. Both see what they believe to be unethical treatment of a certain group of employees. The employees do not complain and do not say anything about this treatment. Rooney and Kate are not sure whether to report the potential violation. This is an example of an ethical _____________.

 

The social responsibility of business consists of the expectations __________ impose(s) on firms.

 

Which of the following is an example of the primary value of freedom?

 

The "Who" in the WH process of ethical decision making means what?

 

What does the "Golden Rule" mean when discussing ethics?

 

What does the so called public disclosure or "television test" mean in regard to ethical considerations?

 

If Labron decides that it is okay to cheat on his taxes, and he believes that it is okay for everyone to cheat on their taxes, which ethical test does he believe in?

 

Connie, the president of a company that makes paper, has a new interest in the environment. She recently went to a seminar on environmental dangers and has decided to take steps to clean things up. She started at home and was also committed to change things at work. Connie had to face the fact that her company has been cheating and is not in compliance with applicable environmental regulations due to dumping in a nearby river. Her company has never been cited, however, because it employs a very large number of people in the community, including the mayor's wife and the chief-of-police's brother. On her mission to clean things up, Connie has decided to go even further than the law requires and install the very latest environmental protections. When she announced her plan, the chair of the company's board of directors, Brooke, had a meeting with Connie. Brooke told Connie to analyze the situation carefully because the cost of the additional equipment would mean no dividend to shareholders and no raise for employees. Furthermore, Brooke told Connie that installing all the new equipment would result in higher prices for the company's paper products and could bankrupt the company because of foreign competition. Brooke hinted that Connie could be fired if she persisted. Brooke suggested that Connie just be concerned with a minimal standard of ethics. Which of the following is the minimal standard that a business must meet in a consideration of business ethics?

 

Connie, the president of a company that makes paper, has a new interest in the environment. She recently went to a seminar on environmental dangers and has decided to take steps to clean things up. She started at home and was also committed to change things at work. Connie had to face the fact that her company has been cheating and is not in compliance with applicable environmental regulations due to dumping in a nearby river. Her company has never been cited, however, because it employs a very large number of people in the community, including the mayor's wife and the chief-of-police's brother. On her mission to clean things up, Connie has decided to go even further than the law requires and install the very latest environmental protections. When she announced her plan, the chair of the company's board of directors, Brooke, had a meeting with Connie. Brooke told Connie to analyze the situation carefully because the cost of the additional equipment would mean no dividend to shareholders and no raise for employees. Furthermore, Brooke told Connie that installing all the new equipment would result in higher prices for the company's paper products and could bankrupt the company because of foreign competition. Brooke hinted that Connie could be fired if she persisted. Brooke suggested that Connie just be concerned with a minimal standard of ethics. Which of the following would be a stakeholder in the company?

 

Connie, the president of a company that makes paper, has a new interest in the environment. She recently went to a seminar on environmental dangers and has decided to take steps to clean things up. She started at home and was also committed to change things at work. Connie had to face the fact that her company has been cheating and is not in compliance with applicable environmental regulations due to dumping in a nearby river. Her company has never been cited, however, because it employs a very large number of people in the community, including the mayor's wife and the chief-of-police's brother. On her mission to clean things up, Connie has decided to go even further than the law requires and install the very latest environmental protections. When she announced her plan, the chair of the company's board of directors, Brooke, had a meeting with Connie. Brooke told Connie to analyze the situation carefully because the cost of the additional equipment would mean no dividend to shareholders and no raise for employees. Furthermore, Brooke told Connie that installing all the new equipment would result in higher prices for the company's paper products and could bankrupt the company because of foreign competition. Brooke hinted that Connie could be fired if she persisted. Brooke suggested that Connie just be concerned with a minimal standard of ethics. Connie, however, decides to go forward with her plan to clean things up because she wants to treat others in the same manner that she wants to be treated. Connie's approach is best referred to as the __________.

 

Before business managers consider the social responsibilities of firms in their communities, they need to:

 

The many groups of people affected by a firm's decisions are know as:

 

Which of the following would NOT be considered a stakeholder for the purposes of the WH framework?

 

Chadwick owns a retail store, which Scarlett manages and in which Chris, Elizabeth, and Jeremy work as sales clerks. Each clerk has two dependent children. Paul and Zoe come into the store to buy clothes. If Chadwick decides to reduce the price of the clothes he sells by changing his supplier to a company who uses unfair labor practices to make the clothes, who is affected by this change?

 

In the "WH" process of ethical decision making, what does the "H" stand for?

 

What type of jurisdiction do trial courts have?

 

Most states have a statute that allows for its court system to serve an out-of-state defendant if certain minimum contact requirements are met. What is the name of this statute?

 

Billy knows that he can bring his case against Bob in a state court in Tennessee. He is unsure, however, in which county to proceed. Which of the following addresses the proper county?

 

Which of the following is not one of the areas of exclusive jurisdiction that a federal court offers?

 

If a corporation is being sued by an individual, where is the corporation's residence considered to be?

 

Suppose Kanye West alleges that a North Carolina campaign-financing law violates his First Amendment (to the United States Constitution) free speech rights. This case _____, and it falls under _____ jurisdiction.

 

Which of the following is true regarding the United States Supreme Court?

 

Courts can give final judgments that solve existing problems; they cannot provide rulings about _____.

 

Which defense is used when the defendant admits the facts are accurate but there are additional facts that the defendant can point to that provide justifiable actions by the defendant?

 

After the discovery process, either party can file a motion for _____. This motion asserts that no factual disputes exist and that if the judge applied the law to the undisputed facts, her only reasonable decision would be in favor of the moving party.

 

Martha Stewart is being sued by her old business partner over a breach of contract. The plaintiff sends Martha a list of written questions that she is to answer under oath. These are known as _____

 

Which of the following is true regarding the speed and cost of alternative dispute resolution (ADR)?

 

Which of the following makes mediation advantageous?

 

Assume you know that Robert has told a lie about a friend of yours, Yolanda. You tell Yolanda that she should sue for defamation, but she has no interest in that. Can you sue on behalf of Yolanda?

 

Which of the following is NOT one of the ways an arbitrator's award may be set aside?

 

The term "checks and balances" means that _____.

 

Sam is engaged in the criminal activity of growing marijuana at his home in Georgia. A couple of police officers, while randomly passing through the neighborhood, saw Sam to his mailbox. They thought that he looked a little "scruffy", so they decided to check out Sam. They immediately broke down Sam's door, searched his home and arrested him. The police officer in charge told Sam that because marijuana was involved, he lost his rights against self-incrimination and that he might as well confess. Sam proceeded to confess to growing marijuana and a number of other crimes. The judge was so angry with Sam that he threw him in jail for two months without any kind of hearing. Sam's lawyer questions whether Sam lost his right to self-incrimination. Which of the following is true on that issue?

 

The common law process of _____ allows courts to review legislative and executive actions to determine whether they are constitutional.

 

Sam is engaged in the criminal activity of growing marijuana at his home in Georgia. A couple of police officers, while randomly passing through the neighborhood, saw Sam to his mailbox. They thought that he looked a little "scruffy", so they decided to check out Sam. They immediately broke down Sam's door, searched his home and arrested him. The police officer in charge told Sam that because marijuana was involved, he lost his rights against self-incrimination and that he might as well confess. Sam proceeded to confess to growing marijuana and a number of other crimes. The judge was so angry with Sam that he threw him in jail for two months without any kind of hearing. Sam's lawyer is concerned that the judge has not granted Sam a hearing. Which of the following is a right that the judge has violated?

 

Which constitutional amendment extends most of the provisions in the Bill of Rights to the states, prohibiting state interference in citizens' exercise of their rights?

 

Bill Gates was on trial for conspiracy to commit murder. Bill chose not to testify against himself for fear of self-incrimination. Which amendment protects Bill's right not to have to testify in court?

 

What does the Establishment Clause of the First Amendment to the United States Constitution provide?

 

When can government agents obtain a search warrant?

 

New State passes a law prohibiting the importation of out-of-state apples in order to help in-state growers. Which of the following is the best argument for the out-of-state growers who wish to challenge the new law?

 

Conan O'Brien has been acquitted in an embezzlement case brought against him by the federal government. Federal prosecutors would like to try Conan again for the same crime. What constitutional protection, if any, does Conan have?

 

Viola Davis owns a home and farmland in the middle of Boxer County, Mississippi. The government determines that Viola's farmland is a prime spot for a new interchange for the national highway system. The government can take Viola's property as long as there is just compensation under which of the following clauses?

 

The United States Congress implements a new law indicating that in order to vote, a person must be a citizen of the United States for more than 10 years and must have a valid driver's license for the past 5 years. What is the best way for a citizen to bring a constitutional challenge against this new law?

 

Pursuant to _____, the United States Supreme Court can hear a lower court's case and determine the constitutionality of the lower court's ruling.

 

Which of the following is true regarding a constitutional right to privacy?

 

Which amendment to the United States Constitution guarantees citizens both procedural due process and substantive due process?

 

. Bank teller Ben receives $1,000 from a customer for deposit into the customer's bank account. Instead of placing the money into the customer's account, Ben puts it into his pocket. Which of the following offenses has he committed?

 

Heidi decided to make extra money by offering to do investments for her friends for a fee. She actually did no investing, but used the funds from new friends to pay off earlier enrollees. This worked well for a while, but her scheme came to light when her supply of new friends came to an end. She is guilty of which of the following practices?

 

Robby calls Bobby on the telephone and threatens to come over and break his nose. Which of the following is true?

 

While driving her car down the street, Susan sees a child playing near the road with no adult around. Which of the following is most likely true in a given jurisdiction?

 

Constance asks Kathy if Kathy will sell her used business book for $50. What is the status of the negotiations?

 

Inez, wishing to sell a used business law book, calls Janice and tells her that if she does not hear from her within twenty-four hours, she will assume that Janice wishes to purchase the book for $50. After the expiration of twenty-four hours, which of the following is correct regarding the status of the proposed book sale?

 

Victor robbed Safe Bank of a significant sum of cash. Safe Bank offered a reward of $10,000 for anyone who captured or provided information leading to the capture of Victor. Ted, a police officer in town, promised Safe Bank officials that he would apprehend Victor. While on duty, Ted arrested Victor. The bank refuses to pay Ted any of the reward money. Which of the following is true regarding the bank's decision not to pay Ted the reward?

 

Yolanda agrees to bathe and groom Wendy's dog, Fluffy, for $20. Yolanda agreed to the price before seeing Fluffy, a very plump, grouchy Pembroke Welsh Corgi dog with lots of hair. Yolanda tells Wendy that if she is going to groom Fluffy, the price will be $30. Wendy agrees although noting that the dog is named "Fluffy." Yolanda bathes and grooms Fluffy, but Wendy will only pay $20. Which of the following is correct regarding Yolanda's entitlement to the extra $10?

 

Aaron, a new police officer, was criticized by his supervisor for failing to make a sufficient number of arrests. Aaron went into a section of town known for criminal activity, picked up several suspicious looking individuals, read them the Miranda rights, and arrested them hoping that they would confess to something. Alice, one of the detainees, was scared; and, hoping to cut a deal, immediately confessed to burglarizing a local pawnshop. Which of the following is Alice's best defense at trial?

 

Ed goes door-to-door selling magazine subscriptions. Ed knows, however, that he is simply taking money for subscriptions and has absolutely no intention of ever arranging for the provision of magazines. Which of the following offenses, if any, has he committed?

 

A judge reports that a jury was "hung." What does the judge mean?

 

Mike gets angry because Ben made a better grade on a test than he did. They get into an argument, and Mike takes a swing at Ben intending to hit him. Ben shoves Mike in order to avoid the blow. Which of the following is true regarding Ben's actions?

 

In assessing the tort of defamation, the courts must seek a balance between the right to protect one's reputation with the rights afforded under:

 

Assume Bob is driving and suddenly has an unexpected heart attack causing him to run over a student crossing the street breaking the student's leg in the process. Which of the following is true?

 

Harry accepts Frank's offer to sell a used car for $2,000. At what point is there a binding contract?

 

If Maria says to Peter, "I bet you a million dollars that it is going to rain tomorrow," and Peter knows that Maria is joking, it would not be a valid offer based upon:

 

Gretchen offers $100 to anyone who can return her lost dog, Sparky. Haley hears the offer, finds and returns the dog and requests the money. Gretchen says that there is no binding contract. Which of the following is true regarding Gretchen's statement?

 

Sam offers Betty his bicycle for $75. Which of the following is an example of an illusory promise on the part of Betty?

 

Sally goes to have her hair trimmed and agrees to pay $40 to the stylist. While there, Sally decides that she would also like highlights. The stylist informs her that highlights will cost an additional $30. Sally agrees to the price, gets the highlights, but refuses to pay the extra amount. What is the likely result in a dispute between Sally and the stylist, and why?

 

Courtney, who does not keep up with the price of current technology, agrees to buy a used computer from Jake for $2,500. Later, Brice tells Courtney that she made a really bad deal and that she could get an even better new computer for no more than $1,000. Courtney tells Jake that she is not giving him any money because he was not fair with her. Which of the following is the most likely result if Jake sues Courtney alleging breach of contract?

 

Kwami claims that he could not understand contractual terms given by Agrib because of tiny, hard-to-read print on the back of the agreement and the excessive use of legalese. Kwami is referring to which of the following?

 

Soni purchased a used car from Dings and Dents used cars when she was 17. She had a deal whereby she paid $100 per month on the car. She drove the car and made payments for fourteen months after she turned 18. Then, she returned the car to Dings and Dents and told them that she wanted all her money back. Dings and Dents claimed the car was a necessity. Soni and her parents claimed that the parents were ready and willing to provide a car to Soni and that she only purchased the car from Dings and Dents because she liked that particular style and color. In the dispute between Soni and the owner of Dings and Dents, which of the following is true regarding the defense of Soni and her parents that the car was a necessary?

 

Jane operates a home decorations shop selling slightly used goods. She bought a painting from Sally for the shop. Bob came into the shop and asked if the painting was by Bill, a local artist of some repute. Jane, without checking with Sally, says, "I'm sure it is" because she was too busy to check with Sally as to who painted it. Bob bought the painting. A week or so later, he took the painting by Bill's studio. Bill just laughed and said that he never painted anything that horrible. Bob took the painting back to Jane and asked for a refund. Jane refused on the basis that she never gave refunds and that Bob took the risk that the painting was not done by Bill. Should Bob sue in small claims court, who will likely win and why?

 

Marcy wanted to buy Lucy's land and use it to breed small pigs to be kept as pets. Although she did not ask Lucy anything about it, Marcy, who loved pigs, assumed that the neighbors would be pleased with the pigs being in the area. After the contract for the land sale was entered into, Marcy was surprised when she received a petition signed by all surrounding landowners objecting to the presence of the pigs and threatening to sue Marcy for nuisance. Which of the following would be the result if Marcy attempts to rescind the contract and recover damages only on the basis of the neighbor's objection to a pig farm?

 

Ahmed is hired to do computer sales for an electronics store. He agrees that if he leaves his employment, he will not work for another computer store within 25 miles for a period of two years. That type of agreement is called a(n) _____.

 

At age 17, in a state in which the age of majority is 18, Sally purchased a prom dress from Formal Stuff. She wore it to the prom and then attempted to return it to the store claiming that she was a minor and that she was entitled to a refund. The dress had clearly been worn and had a purple stain that Sally claimed was from grape juice. Which of the following is true regarding Sally's attempt to return the damaged dress?

 

Bobby is very angry with his former girlfriend, Tessa, and decides to start rumors, that would constitute the tort of defamation, that she has a vile disease, cheated on tests, and stole from friends. Bobby wants to enlist the help of Charles but knows that Charles would be hesitant to assist in his endeavors. One evening, however, Charles drank too much beer and was clearly intoxicated - a fact apparent to Bobby. Bobby had him sign a contract agreeing to defame Tessa for $50. When he sobers up, Charles tells Bobby that he was drunk and that he has no intention of defaming Tessa. Which of the following is true regarding the claim of Charles that he should be able to avoid the contract involving Tessa because he was intoxicated?

 

George offered to sell his used computer to Penelope for $300, and Penelope accepted. Both George and Penelope believed that the computer was one year old. When the receipt was found, however, it was discovered that the computer was actually 15 months old. Penelope wants out of the agreement based on mutual mistake. Which of the following is George's best position in an attempt to enforce the contract?

 

Heather innocently misrepresented the status of a puppy as being a full-blooded Pomeranian when actually it was a mixed breed. Brad had contracted to purchase the dog, but the problem was discovered prior to his paying for the dog and picking it up. Nevertheless, Brad was very angry and felt that Heather should have been more careful. He said that he planned to rescind the contract and also sue her for damages to punish her and deter others from behaving similarly. Which of the following is true regarding the remedies available to Brad?

 

Abe contracted with Suzanne to feed and walk her Corgi mix dog, Baby, for $100 while Suzanne was on vacation for one week. One day before Suzanne was to leave, Abe came over and said that Baby would be a significant amount of trouble and that he would have to receive $150 in order to walk and feed Baby. Suzanne reluctantly agreed. When she returned from vacation, she handed Abe $100 and refused to pay more. Abe threatens to take her to small claims court. What would be the likely result?

 

Harry has two houses, a house on the lake and a house in town. Rebecca wants to buy the house on the lake. Harry and Rebecca orally agree that Rebecca will buy the house on the lake for $300,000. Harry hurriedly writes out a contract providing that he would sell "his house" to Rebecca for $300,000. Harry signs the top of the document. Rebecca does not sign at all. Harry backs out of the contract, and Rebecca sues him. He tells the judge that the statute of frauds is not satisfied because Rebecca did not sign at all.Which of the following is true regarding Harry's assertion that the statute of frauds is not satisfied because Rebecca did not sign the document?

 

Sally agrees to mow Paul's yard for $300 for the summer. Paul wishes to assign the contract to his grandmother. Sally objects because Paul's yard is very small while the grandmother's yard is over an acre. Which of the following is the correct legal outcome for the dispute between Sally and Paul?

 

Bill contracts with Jane to wash her car and then delegates the duty to Paul. Paul fails to wash the car. Which of the following is true regarding Bill's duty to Jane, if any?

 

College president Wally contracts with Alice to teach business law. Alice does a fine job teaching but gets mad at Wally and will not turn in grades. What type of order would Wally seek to require Alice to abide by her contract?

 

Maurice finds a dream home on the lake. He wants to buy it but is unsure whether he can get a loan. He signs a contract with the seller that he will buy the home if he can get a loan. This provision that Maurice did not have to buy the house unless he was able to get a loan is referred to as which of the following?

 

For $300,000, Willis agrees to build a new home for Robert, who is very picky. Willis builds the home to Robert's specifications with one exception. The faucets and linoleum flooring in an upstairs powder room are not exactly what Robert specified. That was a mistake on Willis' part, but he had not intentionally failed to follow specifications. When Robert sees the powder room, he goes ballistic and tells Willis that he will not pay Willis anything for the house. It will take $500 to put in correct faucets and linoleum. Willis says that he is willing to pay $500 to put Robert in the position he would have been in had the correct faucets and linoleum been used, but that is all he is willing to do. Which of the following is true regarding whether Willis breached the contract?

 

Candy, who operated a hair and nail salon called "Up Sweep," had a crush on Bruce, a stylist there. He paid her no attention. Finally, Candy told him that to get her approval of his new blow dryer request, he needs to take her on a date and give her a kiss. Bruce reluctantly did so. What type of harassment was involved in Candy's indication to Bruce that if he wanted a new blow dryer, then he needed to take her out on a date?

 

Gracie was surprised and pleased to find she was pregnant. She worked as a waitress at Good Food and was aware that Groucho, her employer, had allowed employees who were ill for reasons that were not work related to take paid time off. For example, her friend Craig was off with pay for two months after suffering a mild heart attack, and her friend Bonnie was off of work for three months when she ran her personal watercraft into a dock and broke her leg. Gracie told her employer Groucho about her pregnancy. He very angrily told her that pregnancy was completely voluntary, that he was not paying her a dime when she was off work, and that she would be lucky if he even allowed her to continue working at all because she would not be as cute when she gained weight. He also said that he serves families, and he does not want the kids to ask embarrassing questions of their parents regarding Gracie's condition. Gracie was very angry and threatened to sue. What will be the likely result if Groucho defends on the basis that customers will object to Gracie's condition?

 

Phyllis, who is 30 years old, works for We Add for You Accounting. Phyllis has worked there for a number of years and is considering quitting in order to spend more time with her kids. Her boss, Bolivar tells her that he has been monitoring her conversations and that he particularly enjoys the conversations between her and her single female friends involving failed dating experiences. He asks her to keep those up. Phyllis tells him that her personal phone calls are none of his business. Bolivar says that he can listen if he wants because the phones are his. Which of the following is true regarding Bolivar's listening to the personal phone calls of Phyllis?

 

Harry has two houses, a house on the lake and a house in town. Rebecca wants to buy the house on the lake. Harry and Rebecca orally agree that Rebecca will buy the house on the lake for $300,000. Harry hurriedly writes out a contract providing that he would sell "his house" to Rebecca for $300,000. Harry signs the top of the document. Rebecca does not sign at all. No merger clause is included in the contract. Harry backs out of the contract, and Rebecca sues him. He tells the judge that the statute of frauds is not satisfied because he did not sign the document at the end and also because Rebecca did not sign at all. He also tells the judge that, at any rate, the agreement referred to the house in town, not the house on the lake; and that under the parol evidence rule, he had the right to identify the correct house. Which of the following is true regarding Harry's assertion that under the parol evidence rule he alone had the right to identify the house referenced in the contract?

 

Billy had a contract to paint Jan's house for $800 including the duty to clean up any debris. The contract between Billy and Jan did not contain an anti-assignment clause. Billy, who was very busy, assigned the contract, including the right to payment and the duty to paint, to Richard who was interested in making some extra money and had experience painting. Billy did not tell Jan about the assignment because he did not want any trouble nor did Richard mention the assignment to her. In fact, Richard never met Jan because he painted while she was at work. After Richard did a good job painting the house, Jan sent a check to Billy for $800. Billy needed the money to pay some bills, so he spent it. He thought he would have money coming in with which to pay Richard, but that did not happen. Richard asked Jan for $800 when it was not forthcoming from Billy. Jan refused. Richard said that he was going to sue her and Billy. Jan called Billy and told him that he had no right to delegate the contract. Another problem involved disposal of debris. Although Richard was a good, competent painter, he forgot and left some old paint cans at Jan's house. Jan demanded that Billy come and properly dispose of the paint cans because they could not simply be put in the trash. Billy refused and told her that she would have to get Richard to dispose of the paint cans because that was his responsibility. Which of the following is true regarding Jan's statement to Billy that he had no right to delegate duties under the contract?

 

Maurice finds a dream home on the lake. He wants to buy it but is unsure whether he can get a loan. He signs a contract with the seller that he will buy the home if he can get a loan. Maurice also includes a contractual clause into the contract with the seller that if the purchase goes through but he loses his job within one year, the seller will repurchase the house for the same price Maurice paid for it. After getting a loan and buying the home, Maurice decided that he wanted new windows put into the home. He entered into a contract with a window contractor. The window contractor visited the home, but Maurice was always gone. The contractor made several attempts to reach Maurice, but Maurice would not return phone calls and made no attempt to assist the contractor with installation. The provision that the seller will repurchase the home if Maurice loses his job within one year of the sale is referred to as which of the following

 

Beverly decides to go on a great trip to Hawaii. She needs someone, however, to take care of her two dogs, Creaky and Toady, while she is gone. Creaky has hives, and Toady passes gas frequently because of a digestive problem. Beverly hires Frank three months in advance and they reach a contractual arrangement whereby he will be paid $200 for keeping the dogs for two weeks. Frank comes over two months before Beverly is set to leave, takes one look at Creaky and Toady, and declares that they are too gross to be around. Beverly then hires Alice who agrees to care for Creaky and Toady. Two days before Beverly is set to leave, however, Alice calls and tells her that she just broke both her legs in an automobile accident, sustained other injuries, and has been put on bed rest for two months. Beverly is forced to take the dogs with her on vacation at great expense. Which of the following is true regarding Alice's refusal to keep Creaky and Toady?

 

Juanita, a female, and Igor, a male, both worked for a construction company as on site traffic controllers. Both had been with the company for 5 years and both had the same level of education, but Igor was paid $3.00 more per hour than Juanita. If Juanita complains to the company about the wage difference, the company could argue that men and women may be paid different wages under the Equal Pay Act when ____.

 

Mona is a state representative. She believes that her state should pass a law mandating that all employees receive at least one week of vacation per year. Nick, one of her fellow representatives, tells her that the state legislature cannot do so because federal law may only grant an increase in employment rights. He tells her that only Congress in Washington D.C. could pass a law increasing benefits. Nick, on the other hand, wants to pass a law repealing the federal Age Discrimination in Employment Act because he believes that younger workers should get a break. When Mona challenges him and disagrees, he tells her that state legislatures may reduce federal rights, just not add to them. Who is right on the issues involving vacation and the age act, and why?

 

Matt Gaetz committed a crime for which he was found guilty and will serve a 10-year sentence in the penitentiary. What type of crime was this?

 

Lil Nas X told Cardi B. that if she did not pay him $10,000 by the week's end, he would take incriminating documents he has against her to the local police. This type of behavior is known as _____.

 

Which term in criminal law means "the guilty act?"

 

If a person commits a minor offense such as violating a building code, this is known as a(n) _____.

 

Due to the high cost of college, a student decides to counterfeit $100 bills to help pay for tuition. This is known as _____.

 

William Wales solicited clients for high-profit returns from a fictitious new internet business. William's employees paid off the early investors from new funds raised to cover the costs. This type of fraudulent crime is known as _____.

 

Which of the following is not considered a computer crime?

 

Which of the following is true regarding the personal liability of corporate executives for a business crime?

 

The Miranda rights provide that a law enforcement officer must inform an arrested individual of which of the following before the officer questions the individual?

 

Which of the following was created specifically to curb white-collar crime?

 

Enron, Arthur Anderson, WorldCom and Global Crossing where all reasons that the United States Congress passed which of the following Acts?

 

Luellen and Minka are arrested for soliciting sexual favors on a street corner, which is against the law in their state. After being arrested and read their Miranda rights, Luellen and Minka will be taken to the police station for _____.

 

A judge reports that a jury was "hung". What does the judge mean?

 

Torts are generally classified as _____.

 

If the defendant is careless such that someone else suffers a detriment or harm, this type of tort is known as _____.

 

A(n) _____ tort occurs when the defendant takes an action that is inherently dangerous and cannot ever be undertaken safely, no matter what precautions the defendant takes.autions the defendant takes.

 

Which of the following is an absolute defense to defamation?

 

Of the following, who would typically be public figures for the purposes of the public figure privilege to actions for defamation?

 

This type of tort protects an individual right to keep certain things out of public view even if they are true.

 

Gordon was angry with his restaurant competitor Guy because Guy kept taking all of Gordon's business. Gordon falsely posted on his Facebook page that Guy's restaurant actually belonged to the mob. This is the tort of _____.

 

Which of the following is correct regarding intentional torts and negligent torts?

 

Which of the following are elements of causation?

 

Which of the following types of damages is intended to reimburse a plaintiff for his or her losses?

 

Vivian sells phony stock certificates to Michael to make a quick buck and pay off her loan shark. When Vivian's scheme is revealed and Michael sues her, the court awards Michael $10,000 for the money he lost and an additional $5,000 to punish Vivian for her wrongdoing. What type of damages are the $5,000?

 

Which of the following applies to cases in which the defendant has violated a statute enacted to prevent a certain type of harm from befalling a specific group to which the plaintiff belongs?

 

According to the _____ defense, a defendant may avoid liability by establishing that the plaintiff voluntarily and unreasonably encountered the risk of the actual harm that the defendant caused.

 

A _____ cause is an unforeseeable event which interrupts the causal chain between the defendant's breach of duty and the damages the plaintiff suffered.

 

Which of the following are examples of people who do NOT have the capacity to enter into legally binding contracts?

 

Khloe posts notices in her neighborhood promising to pay $1,000 for the return of her missing Siamese cat. Two days later, Paris finds the missing cat and returns it to Khloe. What type of contract is this?

 

Which of the following are the two primary sources of contract law?

 

Which of the following is recognized by a court to prevent one party from being unjustly enriched at the expense of another party?

 

A(n) _____ contract is, in effect, not a contract at all.

 

Which type of contract allows one or both of the parties the ability to either withdraw from the contract or to enforce the contract?

 

Harry accepts Frank's offer to sell a used car for $2,000. At what point is there a binding a contract?

 

Rihanna finds a piece of land that she is interested in purchasing. She asks Dwayne, the landowner, to hold the land for her while she makes a decision. Dwayne says that for $1,000, he will hold the land for her while she decides, and Rihanna agrees. This is an example of a(n) _____.

 

As a general rule, when is revocation of an offer effective?

 

If the subject matter of an offer is destroyed, the offer _____.

 

Which of the following is true if no means of communicating an acceptance is specified in an offer?

 

Ozzy offers Taylor the right to buy his entire collection of compact discs. Taylor tells Ozzy no. Taylor's response is considered _____.

 

In which of the following ways may an offeree accept a unilateral contract?

 

Which of the following is a promise to refrain from doing something you are legally entitled to do?

 

Keke promised to sell Tori her diamond necklace next week and Tori promised to pay $2,000 when she received the necklace. What type of contract is this?

 

If Trae Young, an adult, promises his basketball coach that he will stop smoking for two (2) years if the coach promises to pay him $5,000, Trae's promise is considered _____.

 

Sam offers Betty his bicycle for $75. Which of the following is an example of an illusory promise on the part of Betty?

 

Courts seldom consider _____, meaning that courts usually do no determine whether a contracting party made a good bargain.

 

For a court to enforce a promise, ______

 

Oprah is a customer service representative. Oprah's supervisor tells her that because she was so good at "diffusing" a customer relations issue last month, he will pay her a $500 bonus. Is the supervisor's promise enforceable?

 

Which of the following is true regarding a valid accord and satisfaction?

 

Nick indicates to his brother, Kevin, that if Kevin will write a number-one hit song, Nick will think about making Kevin his sole writing contributor. This is an example of _____.

 

An exception to the preexisting duty rule is _____.

 

Charli contracts with Luxury Once-Owned Cars to buy a car and pay monthly installment payments of $375. This is an example of ____

 

A promise to do something that you are already obligated to do is _____.

 

Most contracts require that both parties give consideration in a contract. Which of the following is an exception to that rule?

 

Carole Baskin has been adjudicated insane by a court. If she makes a contract, the contract would be _____.

 

Ahmed is hired to do computer sales for an electronics store. He agrees that if he leaves his employment, he will not work for another computer store within 25 miles for a period of two years. That type of agreement is called a(n) _______________

 

Dixie D. is a sixteen-year-old who would like to disaffirm her automobile purchase contract with Hollywood Used Cars, LLC (Hollywood). What must Dixie do to disaffirm?

 

Because their contracts are _____, minors have the right, until a reasonable time after reaching the age of majority, to _____, or avoid, their contracts.

 

If a minor chooses to disaffirm a contract, what is the obligation placed on the minor?

 

In most states, what is the legal significance when a minor misrepresents his age?

 

Which of the following occurs when a person reaches the age of majority and states, either orally or in writing, that he or she intends to be bound by the contact entered into as a minor?

 

Which of the following is true regarding the ability of persons suffering from a mental illness to enter into a binding contract?

 

Which of the following is true if a contract is disaffirmed on the basis of intoxication?

 

If a contract is _____, it is unenforceable.

 

Which of the following is true regarding an agreement to commit a crime or a tort?

 

Which of the following are the two main purposes of professional licensing statutes?

 

A party who claims that he or she could not understand contractual terms because of tiny, hard-to-read print on the back of an agreement and the excessive use of legalese is referring to which of the following?

 

Bobby is very angry with his former girlfriend, Tessa, and decides to start rumors that would constitute the tort of defamation that she has a vile disease, cheated on tests, and stole from friends. Bobby wants to enlist the help of Charles, but knows that Charles would be hesitant to assist in his endeavors. One evening, however, Charles drank too much beer and was clearly intoxicated - a fact apparent to Bobby. Bobby had him sign a contract agreeing to defame Tessa for $50. When he sobers up, Charles tells Bobby that he was drunk and that he has no intention of defaming Tessa. Which of the following is true regarding the claim of Charles that he should be able to avoid the contract involving Tessa because he was intoxicated?

 

Pushy-n-Bossy Company, Inc. creates contracts with its clients that are presented on a "take-it-or-leave-it" basis. Courts typically find these types of agreements to be _____.

 

Which of the following is necessary in order to establish that a mutual mistake involving a basic assumption about the subject matter of a contract was made?

 

For a mutual mistake to interfere with legal consent, it must involve a _____ effect on the agreement.

 

The distinction between a _____ and a _____ mistake is significant in determining which contracts are voidable.

 

What is the legal term that refers to intent or knowledge of wrongdoing?

 

Which of the following can be treated as the equivalent of an actual assertion in a fraudulent misrepresentation case?

 

When Kim Kardashian sells her house, she does not inform the buyer that the basement leaks during times of heavy rain. This is considered _____, which is the equivalent of an actual assertion.

 

Under what condition(s) will a court now find nondisclosure as having the same legal effect as an actual false assertion?

 

Lex is negotiating a contract with Lois. He becomes angry that Lois will not agree to the proposed contract terms. Lex threatens Lois with a criminal lawsuit claiming that he knew Lois did not pay taxes last year and is therefore a tax evader. This is an example of _____.

 

Which of the following occurs when a party threatens to file a legitimate (in other words, a non-frivolous) civil lawsuit unless another party gives consent to the terms of a contract?

 

Donald's attorney Rudy is discussing with Donald his willingness to sell property to a partner. This sale will greatly benefit Rudy financially. Rudy reminds Donald that he has never led him astray in all the years he has helped him. He continues to persuade Donald over time that it is a great deal to sell the property to his partner. This is a form of _____.

 

With duress, the _____ necessary for legal _____ has been removed by the specifics of the threat.

 

Which of the following occurs when a person threatens not to perform a contract obligation unless the other party either signs another contract with the person making the threat or pays him or her a higher price than was specified in the original agreement?

 

Which of the following is INCORRECT regarding the statute of frauds and an interest in land?

 

To satisfy the Uniform Commercial Code, a contract or memorandum need only state which of the following with respect to goods to be sold?

 

In contracts other than those governed by the Uniform Commercial Code (UCC), which of the following is/are required for a writing to be considered sufficient under the statute of frauds?

 

If the plaintiff is seeking legal damages which would put him in the same position he would have been in had the contract been fully performed, he is suing for _____ damages.

 

The obligation to use reasonable efforts to minimize damage resulting from a breach is referred as the duty to _____ one's damages.

 

College president, Wally, contracts with Alice to teach business law. Alice does a fine job teaching, but gets mad at Wally and will not turn in grades. What type of order would Wally seek to require Alice to abide by her contract?

 

Which type of damages would occur if the parties specify in advance the amount of losses or a formula in assessing the losses against the breaching party?

 

Selma is suing William for fraud that induced her to enter into a contract with him. William sold Selma worthless stocks that he falsely and intentionally claimed were very valuable. To punish William for his fraudulent misrepresentation, Selma can seek _____ damages.

 

Which of the following is a basis for discharge by operation of law when performance is still objectively possible but would be extraordinarily injurious or expensive to one party?

 

Ariana and Cristiano have an agreement in which Ariana will paint the entire first floor of Cristiano's house for $5,000. As it turns out, Cristiano cannot afford to have the whole first floor painted. They decide that instead of the entire first floor, Ariana will paint the living room and dining room only for $2,500. They put the original contract into a paper shredder and enter into another contract indicating the new terms. This is an example of a(n) _____.

 

In order for a novation to be valid, what has to happen?

 

Which of the following occurs when parties agree that they wish to discharge each other from their mutual obligations and therefore rescind or cancel the contract?

 

Which of the following is a condition courts require in order to recognize substantial performance?

 

Selena agreed to tutor Lola in Spanish for two (2) hours and Lola agreed to pay $25 per hour for the tutoring services. Selena tutored Lola and Lola paid Selena $50. This means that the parties have been _____.

 

Tom Brady has agreed to buy a large set of vintage stereo speakers and turntables from Ace Pawn Shop, Inc. (Ace). Per the terms of their agreement, Ace must deliver the speakers to Tom on July 1, and Tom will pay $5000 cash to Ace's driver immediately upon taking delivery. This is an example of a contract that is subject to _____.

 

Megan Rapinoe is offered a two-year employment contract with the local police department that is contingent upon her first passing a physical examination. What type of contractual condition is involved in this case

 

Which of the following is NOT a way a party's contractual obligations can be discharged?

 

Lionel promises Dionne that if she will rent an apartment to his daughter Nicole, he will pay the rent. Lionel is the _____ and Dionne is the _____.

 

Pink watches as the city she lives in starts to pave the street in front of her house. Unfortunately, the city and the paving company become entangled in a contract dispute. Pink knows that the price of her house will increase once the street is paved. In this scenario, Pink would be a(n) _____ to the contract.

 

Which of the following is true regarding the rights of an incidental beneficiary to a contract to sue to recover incidental rights?

 

Nicole and Keith enter into a life insurance contract that names their daughter Sunday Rose as the beneficiary. What type of beneficiary is Sunday Rose?

 

Which of the following is true regarding the rights of an intended beneficiary?

 

Bill contracts with Jane to wash her car and the delegates the duty to Paul. Paul fails to wash the car. Which of the following is true regarding Bill's duty to Jane, if any?

 

Which of the following may be assigned even in the presence of an anti-assignment clause?

 

When may a court rule that parol evidence MIGHT be admissible to further the court's understanding of an agreement?

 

Which of the following is an accurate description of the parol evidence rule?

 

Under Title VII of the Civil Rights Act of 1964, which of the following occurs procedurally after an employee-plaintiff establishes a prima facie case in an action alleging disparate-treatment discrimination in employment in the form of an illegal discharge?

 

Which of the following is not one of the six functional areas of business that sits on a foundation of business law?

 

"Guaranteeing personal freedoms" is:

 

Which of the following is one of the numerous purposes fulfilled by the law?

 

Assume a judge writes that she is deciding to enforce a law in question because it is fair to everyone in society and helps those with less to become more equal. The judge would have leanings in the direction of ___________________.

 

When classifying law, which of the following is not a way in which law is classified?

 

When Austin, Texas decides to implement a new tax code that will impose a new tax on business owners within its city limits, which law is applicable?

 

Tara was driving under the influence and hit and injured a pedestrian in violation of the law in Clear Lake, Minnesota against drinking and driving. Under which of the following laws will Tara be charged?

 

A majority of citizens in a democracy can agree to permit certain authorities to make and enforce rules describing what behavior is permitted and encouraged in their community. These rules are what we refer to as __________.

 

Which type of law involves the rights and responsibilities involved in relationships between persons, and between persons and their government?

 

Assume the Securities and Exchange Commission (SEC) prosecutes someone for insider trading. That prosecution is an example of __________.

 

What establishes the fundamental principles and rules by which the United States and individual states are governed?

 

Kamal is looking to find the law that Georgia passed in regard to mud flaps required on 18-wheel semi-trucks. Where would he look to find the law?

 

Assume a businessperson who owns a computer equipment store is delinquent in paying rent to the landlord. The resulting dispute entails _______________ law.

 

Hulio and Helena work for Corporate Enterprise. Both see what they believe to be unethical treatment of a certain group of employees. The employees do not complain and do not say anything about this treatment. Hulio and Helena are not sure whether to report the potential violation. This is an example of an ethical _____________.

 

Which of the following is an incorrect statement regarding values?

 

Which of the following is an example of the primary value of freedom?

 

What do values generally represent?

 

What does the so called public disclosure or "television test" mean in regard to ethical considerations?

 

Before business managers consider the social responsibilities of firms in their communities, they need to:

 

When evaluating primary values, what is NOT one of the alternative meanings to "justice" described in the textbook?

 

Which of the following would not be considered a stakeholder for the purposes of the WH framework?

 

In the "WH" process of ethical decision making, what does the "H" stand for?

 

The study and practice of decisions about what is good or right is _______________.

 

What do trial court juries determine?

 

Most states have a statute that allows for its court system to serve an out-of-state defendant if certain minimum contact requirements are met. What is the name of this statute?

 

Which of the following is true regarding state court jurisdiction?

 

Assume you know that Robert has told a lie about a friend of yours, Yolanda. You tell Yolanda that she should sue for defamation, but she has no interest in that. Can you sue on behalf of Yolanda?

 

To minimize extra costs associated with future litigation, many businesses will include in their contracts __________.

 

Billy knows that he can bring his case against Bob in a state court in Tennessee. He is unsure, however, of which county in which to proceed. Which of the following addresses the proper county?

 

Which defense is used when the defendant admits the facts are accurate but there are additional facts that the defendant can point to that provide justifiable actions by the defendant?

 

Wemett, a witness to a motor vehicle accident, is gravely ill with cancer. Penny, who was injured in the accident, would like to preserve Wemett's testimony for trial in case he dies before the trial date. What should Penny do?

 

Attorney Candy represents plaintiff Ann who is suing her neighbor for nuisance, claiming that the neighbor plays music too late at night. Candy puts Ann on the stand and asks her questions. Candy is involved in which of the following?

 

The formal written document that begins a civil lawsuit and contains the plaintiff's list of allegations against the defendant is the _________________.

 

Under what circumstance(s) may an arbitration award be set aside under the Federal Arbitration Act?

 

What is a provision in a contract mandating that all disputes arising under the contract be settled by arbitration called?

 

Toledan witnesses an accident involving Yema and Norland. Yema chooses not to sue Norland, but Toledan does not want Norland to get away with his negligent actions, so he sues Norland. If the court dismisses the case, on what grounds would they do so?

 

________________ is a type of intensive negotiation in which disputing parties select a neutral party to help facilitate communication and suggest ways for the parties to solve their dispute.

 

Connie, the president of a company that makes paper, has a new interest in the environment. She recently went to a seminar on environmental dangers and has decided to take steps to clean things up. She started at home and was also committed to change things at work. Connie had to face the fact that her company has been cheating and is not in compliance with applicable environmental regulations due to dumping in a nearby river. Her company has never been cited, however, because it employs a very large number of people in the community, including the mayor's wife and the chief-of-police's brother. On her mission to clean things up, Connie has decided to go even further than the law requires and install the very latest environmental protections. When she announced her plan, the chair of the company's board of directors, Brooke, had a meeting with Connie. Brooke told Connie to analyze the situation carefully because the cost of the additional equipment would mean no dividend to shareholders and no raise for employees. Furthermore, Brooke told Connie that installing all the new equipment would result in higher prices for the company's paper products and could bankrupt the company because of foreign competition. Brooke hinted that Connie could be fired if she persisted. Brooke suggested that Connie just be concerned with a minimal standard of ethics. Which of the following would be a stakeholder in the company?

 

Connie, the president of a company that makes paper, has a new interest in the environment. She recently went to a seminar on environmental dangers and has decided to take steps to clean things up. She started at home and was also committed to change things at work. Connie had to face the fact that her company has been cheating and is not in compliance with applicable environmental regulations due to dumping in a nearby river. Her company has never been cited, however, because it employs a very large number of people in the community, including the mayor's wife and the chief-of-police's brother. On her mission to clean things up, Connie has decided to go even further than the law requires and install the very latest environmental protections. When she announced her plan, the chair of the company's board of directors, Brooke, had a meeting with Connie. Brooke told Connie to analyze the situation carefully because the cost of the additional equipment would mean no dividend to shareholders and no raise for employees. Furthermore, Brooke told Connie that installing all the new equipment would result in higher prices for the company's paper products and could bankrupt the company because of foreign competition. Brooke hinted that Connie could be fired if she persisted. Brooke suggested that Connie just be concerned with a minimal standard of ethics. Connie, however, decides to go forward with her plan to clean things up because she wants to treat others in the same manner that she wants to be treated. Connie's approach is best referred to as the __________.

 

Connie, the president of a company that makes paper, has a new interest in the environment. She recently went to a seminar on environmental dangers and has decided to take steps to clean things up. She started at home and was also committed to change things at work. Connie had to face the fact that her company has been cheating and is not in compliance with applicable environmental regulations due to dumping in a nearby river. Her company has never been cited, however, because it employs a very large number of people in the community, including the mayor's wife and the chief-of-police's brother. On her mission to clean things up, Connie has decided to go even further than the law requires and install the very latest environmental protections. When she announced her plan, the chair of the company's board of directors, Brooke, had a meeting with Connie. Brooke told Connie to analyze the situation carefully because the cost of the additional equipment would mean no dividend to shareholders and no raise for employees. Furthermore, Brooke told Connie that installing all the new equipment would result in higher prices for the company's paper products and could bankrupt the company because of foreign competition. Brooke hinted that Connie could be fired if she persisted. Brooke suggested that Connie just be concerned with a minimal standard of ethics. Which of the following is the minimal standard that a business must meet in a consideration of business ethics?

 

The ______ is a significant body of law for business activities. It includes sales laws and other regulations affecting commerce, such as bank deposits and collections, title documents, and warranties.

 

"Guaranteeing personal freedoms" is:

 

Which of the following is true regarding treaties at the federal level?

 

To the Dogs. Alice loves all animals and is starting a new grooming business for dogs. She believes that animals are very important and plans to exceed any applicable regulations regarding cleanliness and health standards. Alice thinks some local regulations make no sense. For example, there is a local ordinance that all dogs must be kept on a leash at all times when not in a fenced area. Although Alice lives on a large lot with plenty of room for dogs to run free, she plans to obey the leash regulation and all others. She is aware, however, that members of the community have had success in changing local regulations by petitioning the city council. Alice plans to proceed in that manner to attempt a change in the leash law. Alice's plan to seek change through following what others have done in the past by petitioning city council is rooted in which of the following?

 

The stakeholders of a business are limited to those who have an ownership interest in the business.

 

Which of the following is an example of the primary value of freedom?

 

The "public disclosure" test is also known as the ______.

 

Ethics is the study and practice of decisions that meet, but do not exceed, minimum standards of behavior prescribed by law.

 

Which of the following is an incorrect statement regarding values?

 

The parties to a lawsuit can submit their cases to arbitration:

 

Which of the following is a reason that an arbitration award may be set aside under the Federal Arbitration Act?

 

Supreme Court. Jim, who is a bit eccentric, says that he is fed up with the way a certain employer in his town treats employees and that he is going to sue that employer in an effort to improve matters. Jim also says that he is going to start his case at the appellate court level, skipping over all those "lesser" judges. Jim says that those justices will surely hear him out and that he will also seek a jury. Although he is not a lawyer, Jim believes that the offenses of the employer are so severe that the justices will appreciate his attempt to make things better for the employees involved. Will Jim get a jury at the appellate court level?

 

Trial courts are courts of _____ jurisdiction.

 

In which of the following do parties select a neutral third party and explain their respective positions to the neutral third party, who then evaluates the strengths and weaknesses of the case?

 

Which of the following is(are) positive about arbitration?

 

Jim, a Connecticut resident, ran a red light while he was vacationing in California and collided with Amanda's car. Amanda suffered extensive injuries from the accident and successfully sued Jim for $200,000 in a California state court. The California court exercised quasi in rem jurisdiction over Jim's California vacation home by seizing it and selling it for $300,000. What must the court do with the excess proceeds?

 

Sexual Harassment ADR. Jenny is very angry with her supervisor, Sleaze, at the Mexican fast-food restaurant at which she works which is owned by an international company located in Mexico. He has been making inappropriate sexual comments to her and other employees. Jenny decides to sue and retains a lawyer, Brice. Brice talks with the owners of the restaurant and is informed that Jenny signed an agreement to arbitrate any claims. Brice tells Jenny that it is completely up to her and that if she wishes, she can disregard the arbitration agreement and proceed to court. Jenny informed Brice about other employees who had complained about sexual harassment and entered into mediation agreements. Brice promises her that he will get copies of all documents and everything that was taken down by the court reporter at those mediations. He also tells Jenny in response to her question about the possibility of mediation in her case to forget it because mediation is pretty much the same thing as arbitration. What is the effect of the arbitration agreement on Jenny's ability to file an action in court?

 

Assume you know that Robert has told a lie about a friend of yours, Yolanda. You tell Yolanda that she should sue for defamation, but she has no interest in that. Can you sue on behalf of Yolanda?

 

Bob sued Jane over a motor vehicle accident. Bob and Jane settled the case prior to trial for $1,000. The lawsuit is now ______.

 

The Environmental Protection Agency (EPA) is an example of a(n) _____ agency.

 

Today, administrative agencies:

 

Which of the following is a false statement regarding federal independent agencies?

 

Sometimes when the state and federal governments have concurrent authority, the federal government can decide to regulate that area exclusively. In such a situation, according to the doctrine of _____, the state law is unconstitutional.

 

Masked Bandit. Barry, who owned a small convenience store, was robbed when a masked bandit entered his store and demanded his cash while pointing a gun at him. As the bandit ran out of the store, Barry grabbed his own gun and shot the bandit in the leg. When the police arrived, Barry was arrested along with the thief. Barry claimed that no charges should be brought against him because his action in shooting the robber was justified. After the arrest, the officers searched his store and found marijuana. When Barry complained about the arrest and search, the officer in charge told him that because the state police were involved, federal constitutional rights were waived. Barry is trying to obtain legal representation in an attempt to get out of jail, but cannot afford a lawyer because he just spent all his funds buying the illegal drugs for resale that have now been confiscated by the police. Sam, another inmate, asks Barry if the officers explained his rights to him; but Barry only recalls being arrested, hustled into the police cruiser, and whisked off to jail. The bandit will likely be charged with a(n) _____ offense.

 

Which of the following is an incorrect statement regarding the Computer Fraud and Abuse Act?

 

For a corporation to be held criminally liable for the acts of an employee, the prosecutor does not have to prove that:

 

Which of the following is a true statement regarding the personal liability of corporate executives for a business crime?

 

Which of the following occurs when a plaintiff implicitly assumes a known risk?

 

Which of the following is not a defense to battery?

 

Which of the following is an incorrect statement regarding the doctrine of res ipsa loquitur?

 

When would a plaintiff use the doctrine of res ipsa loquitur?

 

Property that the original owner has discarded is ______ property.

 

Which of the following was not a factor the court considered in the Toys "R" Us, Inc. v. Canarsie Kidde Shop, Inc. case in determining whether "Kids 'r' Us" infringed on the "Toys 'R' Us" mark?

 

What was the holding of the United States Supreme Court in the Qualltex Co. v. Jacobson Products Co. case?

 

________ contracts arise not from words but from the conduct of the parties.

 

Expiration of the statute of limitations period for a breach of contract action may make a contract ________.

 

Which of the following are formal contracts?

 

Gretchen offers $100 to anyone who can return her lost dog, Sparky. Haley returns the dog and requests the money. Gretchen says that there is no binding contract. Which of the following is true regarding Gretchen's statement?

 

If Maria says to Peter "I bet you a million dollars that it is going to rain tomorrow" and Peter knows that Maria is joking, Maria's statement would not be a valid offer due to the lack of:

 

Marcy's Mom. Marcy's mother, Sue, did not want her to date until she was older. She also wanted Marcy to attend law school. Just before Marcy started her freshman year in college, Sue told Marcy that if Marcy would refrain from dating until she received her law degree, then Sue would pay off all Marcy's school loans and throw in an extra $50,000. Marcy agrees and states, "Thanks, Mom, and by the way, when I graduate I'm throwing you a big party for all you've done for me!" Sue smiles and hugs Marcy. Marcy finished law school and asked for payment of her loans, the $50,000 in cash, and for a car. Sue said, "No way - I know you went out on some dates during law school, and I never agreed on the car." Marcy said those were just study nights and that her mother had never objected to Marcy's frequent statements that she wanted a car upon graduation. Sue asks about the party. Marcy tells her that she is nuts because there is no way Marcy can afford a party since Sue has backed out of the deal. After some serious negotiation Marcy and Sue settled their dispute with Sue agreeing to pay for half of Marcy's school loans and for all the expenses of Marcy's upcoming wedding, and to forget about Marcy's throwing a party for her. What type of alleged debt was involved in the dispute between Marcy and Sue involving the school loans, additional funds, car, and party?

 

In the Hamer v. Sidway case cited in the textbook, the New York Court of Appeals concluded that:

 

How many states regulate professional licenses?

 

What is the legal significance in most states when a minor misrepresents his or her age?

 

Which of the following are the two main purposes of professional licensing statutes?

 

In order to disaffirm a contract, a minor must _____.

 

Irresponsible Teen. At age 17, in a state in which the age of majority is 18, Sally purchased a prom dress from Formal Stuff. She wore it to the prom and then attempted to return it to the store claiming that she was a minor and that she was entitled to a refund. The dress had clearly been worn and had a purple stain that Sally claimed was from grape juice. Additionally, a few days before she turned 18, Sally purchased a used car from Dings and Dents used cars. She had a deal whereby she paid $100 per month on the car. She drove the car and made payments for fourteen months after she turned 18. Then, she returned the car to Dings and Dents and told them that she wanted all her money back. Dings and Dents claimed the car was a necessity. Sally and her parents claimed that the parents were ready and willing to provide a car to Sally and that she only purchased the car from Dings and Dents because she liked that particular style and color. When purchases of the dress and car were made, the sellers knew that Sally was under the age of 18. Which of the following is true regarding Sally's attempt to return the damaged dress?

 

Irresponsible Teen. At age 17, in a state in which the age of majority is 18, Sally purchased a prom dress from Formal Stuff. She wore it to the prom and then attempted to return it to the store claiming that she was a minor and that she was entitled to a refund. The dress had clearly been worn and had a purple stain that Sally claimed was from grape juice. Additionally, a few days before she turned 18, Sally purchased a used car from Dings and Dents used cars. She had a deal whereby she paid $100 per month on the car. She drove the car and made payments for fourteen months after she turned 18. Then, she returned the car to Dings and Dents and told them that she wanted all her money back. Dings and Dents claimed the car was a necessity. Sally and her parents claimed that the parents were ready and willing to provide a car to Sally and that she only purchased the car from Dings and Dents because she liked that particular style and color. When purchases of the dress and car were made, the sellers knew that Sally was under the age of 18. In the dispute between Sally and the owner of Dings and Dents, which of the following is true regarding any claim that Sally affirmed the contract?

 

Useless Friend. Charles, who is very gullible, is friends with Bobby. Bobby, who cannot be trusted, decides to try to bind Charles to a contract in Bobby's favor. Bobby has Charles sign a contract promising to wash Bobby's car once a week for a month for $80. The contract incorporated by reference terms on the back. The terms on the back were in very small print and required Charles for one year to cook dinner for Bobby, do his laundry, and clean his apartment. Bobby is also very angry with his former girlfriend, Tessa, and decides to start rumors, that would constitute the tort of defamation, such as that she has a vile disease, cheated on tests, and stole from friends. Bobby wants to enlist the help of Charles but knows that Charles would be hesitant to assist in his endeavors. One evening, however, Charles drank too much beer and was clearly intoxicated - a fact apparent to Bobby. Bobby had him sign a contract agreeing to defame Tessa for $50. When he sobers up, Charles tells Bobby that he was drunk and that he has no intention of defaming Tessa, who also happens to be Charles's new girlfriend. He also finally takes a look at the contract involving work for Bobby and tells Bobby that the contract is outrageous and that he has no intentions of going through with any of it. Which of the following is true under the Restatement of Contracts, Section 16, regarding Charles's claim that he should be able to avoid the contract involving Tessa because he was intoxicated?

 

When a contract is voidable, it may be _____ or canceled.

 

Which of the following involve(s) the active hiding of the truth about a material fact?

 

Scheming Friends. Willy very much wants to rent a basement apartment in Weaver's home. Willy threatens to tell all Weaver's friends that he and Weaver had been arrested for illegally smoking marijuana unless Weaver rents the apartment to him for $100 per month. Weaver reluctantly agrees to rent the apartment to Willy for that amount. Willy also wants to buy Weaver's car. Weaver runs back the odometer on the car before Willy test-drives it. Willy is impressed by the low mileage and agrees to buy the car. Finally, Weaver offers to sell Willy a ring for Willy's fiancée. Weaver tells Willy that the ring is a diamond and believes that to be true. After the deal is made, however, a jeweler friend of Weaver's informs him that the ring is a fake. When Willy shows up with the money, Weaver says nothing. He just hands Willy the ring and takes the money. Later, Willy finds out that the odometer was run backwards from another friend to whom Weaver confided. Willy also finds out from his girlfriend that the ring is a fake. Which of the following is true regarding Willy's agreement to purchase the car?

 

Pet Pig Farm. Marcy wanted to buy Lucy's land and use it to breed small pigs to be kept as pets. Marcy told Lucy that having water on the property was very important. Lucy assured her that a spring ran through one corner of the property. Therefore, Marcy agreed to buy the farm. Although she did not ask Lucy anything about it, Marcy, who loved pigs, assumed that the neighbors would be pleased with the pigs being in the area. In a separate contract, Lucy also agreed to sell Marcy a used truck for $5,000. After the contract for the land sale was entered into, it was discovered that actually the spring did not run through the corner of Lucy's property. The area in which the spring ran actually belonged to a neighbor. Additionally, when Lucy brought Marcy the used truck, Marcy said, "That's not the truck!" It was discovered that Lucy, who had two trucks, thought that Marcy had bought the older truck when Marcy thought she had purchased the newer truck. Marcy was also surprised when she received a petition signed by all surrounding landowners objecting to the presence of the pigs and threatening to sue Marcy for nuisance. Assuming that Lucy fraudulently made a misrepresentation regarding the spring running through the corner of the farm knowing the statement was not correct, considering only the lack of a spring issue, which of the following is true if Marcy does not want to go through with the sale of the farm?

 

Which of the following types of contracts does not fall within the statute of frauds?

 

Which of the following is a false statement regarding the main-purpose rule as it relates to a promise to pay someone else's debt?

 

Painted House. Billy had a contract to paint Jan's house for $800 including the duty to clean up any debris. The contract between Billy and Jan did not contain an anti-assignment clause. Billy, who was very busy, assigned the contract, including the right to payment and the duty to paint, to Richard who was interested in making some extra money and had experience painting. Billy did not tell Jan about the assignment because he did not want any trouble nor did Richard mention the assignment to her. In fact, Richard never met Jan because he painted while she was at work. After Richard did a good job painting the house, Jan sent a check to Billy for $800. Billy needed the money to pay some bills, so he spent it. He thought he would have money coming in with which to pay Richard, but that did not happen. Richard asked Jan for $800 when it was not forthcoming from Billy. Jan refused. Richard said that he was going to sue her and Billy. Jan called Billy and told him that he had no right to assign the contract. Another problem involved disposal of debris. Although Richard was a good, competent painter, he forgot and left some old paint cans at Jan's house. Jan demanded that Billy come and properly dispose of the paint cans because they could not simply be put in the trash. Billy refused and told her that she would have to get Richard to dispose of the paint cans because that was his responsibility. Which of the following is true regarding Jan's statement to Richard that he had no right to delegate duties under the contract?

 

Which of the following was the result on appeal in Heritage Constructors, Inc. v. Chrietzberg Electric, Inc. and Richard Marc Chrietzberg, the case in the textbook involving a wastewater treatment plant improvement project in which the project's electrical work involved the use of a subcontractor, with the general contractor suing the subcontractor for withdrawing its bid?

 

If the plaintiff wants a court order that requires the defendant to fulfill the terms of the contract, the plaintiff is seeking _____.

 

Suppose that Jeremiah was unfairly terminated before his employment contract expired, and he had to spend $500 to find another job. His job search expenditures would be considered _____ damages.

 

_____ is used as a basis for discharge by operation of law when performance is still objectively possible but would be extraordinarily injurious or expensive to one party.

 

A contract may be discharged by operation of law through _______________.

 

_____ occur when each party's performance is conditioned on the performance of the other party.

 

Under the Uniform Commercial Code, how may an acceptance be made?

 

Under the Uniform Commercial Code, lease contracts that require payments of _____ must be in writing in order to be enforceable.

 

A sales contract that combines goods with services is a(n) _____.

 

With a simple delivery contract involving goods sold by a merchant that are to be delivered to the buyer, when does risk of loss transfer to the buyer?

 

Which of the following are types of conditional sales contracts?

 

Which of the following require that the seller make proper shipping arrangements and deliver goods to the buyer via a common carrier, but does not require a guarantee of the safety of goods to their destination?

 

Which of the following is true when the shipping term "FAS" is used?

 

Carpet Woes. Beau went shopping at ABC Carpet. He saw some carpet he liked but could not make up his mind. The manager at ABC Carpet wrote down the proposed purchase price for him along with a statement that the price would be good for three months. Two months later Beau went back to ABC Carpet to purchase the carpet. Unfortunately, the price had gone up. Beau showed the manager his writing and guaranteed price, but the manager said that the offer was no longer good. Although he had to pay more than the ABC manager had initially promised, Beau proceeded to purchase his carpet from ABC Carpet, and he also contracted with ABC to do the installation. Unfortunately, Beau almost immediately started to have problems with the carpet. Beau told the sales manager of ABC Carpet that he was planning on bringing suit for breach of warranty. The sales manager, however, told him that the breach of warranty provisions only applied to sales of goods and that the carpet purchase was for installation, a service. Which of the following is true regarding whether the Uniform Commercial Code (UCC) applies to the contract Beau had with ABC Carpet?

 

Used Car Problems. ABC Motors sold a used car to Frank, who wrote a bad check for the car and left town but not before he sold the car to Betty, who paid $1,100 (a fair price for the car) believing that Frank had all rights to sell it. Assuming that ABC Motors was an innocent purchaser from the thief, which of the following is true regarding Betty's obligations, if any?

 

What actions does the Uniform Commercial Code allow a court to take if it discovers that a contract or lease provision is unconscionable?

 

Accidental Sale. ABC Motors ordinarily deals in used cars and does some amount of repair work. Robby entrusted his automobile to ABC Motors to have the oil changed and get new brakes. The car was parked in the lot along with other cars, some of which were for sale. The manager of ABC Motors accidentally sold the car to Connie because she saw it and took it upon herself to offer a good price. The manager was attempting to increase the shop's profit margin. Connie had no idea that the car did not belong to ABC Motors. When Robby went to pick up the car, he was very upset that it was gone. The manager told Robby that he was very sorry, but that he was not negligent and only made an honest mistake. According to the manager, Robby accepted the risk of this type of loss, and his only recourse was against Connie. Which of the following is true regarding the manager's statement that Robby's only recourse is against Connie?

 

Wrecked Furniture. Ralph buys new furniture for his living room from Good Times Furniture. It is agreed that the goods will be placed with a common carrier for delivery. The contract between Ralph and Good Times is ambiguous regarding whether the seller had the duty to deliver the goods only to the common carrier's hands or whether the seller had the duty to deliver the goods to Ralph's home. Unfortunately, on the way to Ralph's home, through no fault of the delivery driver, the delivery truck was wrecked and the furniture was significantly damaged. Which of the following is true regarding the risk of loss at the time the goods were damaged?

 

Which of the following are damages for lost profits a buyer may recover in the event of a breach of contract?

 

The three warranties of quality that arise under the Uniform Commercial Code are the:

 

How can a buyer waive warranty rights?

 

Stacy, located in Florida, is entering into a contract with Natasha, located in Russia, for the purchase of snow globes to sell to people who do not typically get to see snow. Stacy is familiar with the Uniform Commercial Code, but she is uneasy about what law would apply if she has a dispute with Natasha regarding the contract. She would like for Florida law to apply. Which of the following is the best advice to Stacy?

 

In which of the following situations would a court likely to pierce the corporate veil?

 

A(n) ________ is an individual who applies to the state for incorporation on behalf of a corporation.

 

Which of the following is a correct statement regarding law governing the incorporation process and corporate taxation?

 

Stocks that are issued to individuals below their fair market value are called ________ stocks.

 

________ directors are not officers or employees of the corporation.

 

A(n) ________ occurs when a group within a corporation, usually management, buys all outstanding corporate stock held by the public.

 

If corporate directors fail to sue when the corporation has been harmed by an individual, another corporation, or a director, individual shareholders can file a _____ on behalf of the corporation.

 

Which of the following is a term for a requirement that a minimum number of directors be present at a meeting for decisions made at the meeting to be valid?

 

If a corporation has fewer than fifty shareholders, the Revised Model Business Corporation Act allows companies to ________.

 

Typically, how are corporate directors chosen?

 

Which of the following is a false statement regarding the liability of directors and officers for criminal behavior?

 

How is the number of corporate directors determined?

 

Which of the following is false regarding officers of a corporation?

 

Nails. Mona and her friends Jack and Bobby, all United States citizens, want to open a nail salon in Tennessee. They would all like to avoid personal liability for debts of the business and for wrongful acts of each other. They would also like to avoid taxation as much as possible. Mona is in favor of a corporation and asks if there is any problem with that form of business. Jack and Bobby say that they want to receive profit distributions and that they are concerned about excessive taxation with a corporation. Jack and Bobby urged the formation of a partnership even in the face of personal liability. Mona did some research and suggested an S corporation to Jack and Bobby. Are Jack and Bobby correct that tax liability will likely be greater with a corporate form of business (not an S corporate form) and why?

 

Shaky Bicycles. Rhonda, an incorporator who filed the articles of incorporation for ABC Corporation, a corporation set up to sell bicycles, listed the correct town and street but incorrectly put the wrong street number in the document. Helen, a manufacturer of bicycle parts, had sold a number of parts to ABC Corporation. Unfortunately, the corporation was not making any profit, and Helen was not paid in a timely manner. Rhonda told her that the corporation was not liable because it was not validly formed due to the address mistake. Bernice, another creditor of ABC Corporation, also claimed that a shareholder of Shaky Bicycles, Slick, was personally liable to her. Bernice alleged that Slick committed fraud against her when he told her that ABC Corporation was making large amounts of money, that if she would only lend $50,000 to the corporation he would marry her, and that the corporation would make so much money that she would be wealthy in six months. She made the loan, but the corporation has been unable to repay her. Slick told her that he is sorry, but that her only avenue of recovery is through the corporation. Assuming ABC's corporate status is in place, which of the following is Bernice's best theory in order to hold Slick personally liable to her?

 

_____ protects employees against discrimination and harassment based upon race, color, religion, national origin, and sex.

 

Discrimination based upon _____ is protected by Title VII of the Civil Rights Act of 1964.

 

Which of the following was recognized by the United States Supreme Court in Oncale v. Sundowner Offshore Services, Inc., the case in the textbook addressing whether a plaintiff could prevail in a sexual harassment when the harassers were of the same sex?

 

Which of the following is an accurate statement regarding the extent to which the National Labor Relations Act (NLRA) protects the rights of employees to act together to address conditions at work?

 

Which of the following organizations are covered by Title VII of the Civil Rights Act of 1964?

 

Which of the following was the result in Teresa Harris v. Forklift Systems, Inc., the case in the textbook in which the United States Supreme Court addressed the issue of whether an employee must suffer serious psychological damage in order to pursue damages for a claim of sexual harassment?

 

Dog and Formals. Paul owns a dog grooming business and needs patient people to work there. He gives all applicants a test he obtained from a management firm that has been proven to measure psychological traits such as patience. Penny alleges sex discrimination after she fails the test miserably and Paul refuses to hire her. Paul tells her that there is no way he is giving her a dime because he is entitled to protect his client's dogs. Upon learning that her state lacked a state office representing the Equal Opportunity Commission, Penny immediately sues him in federal court alleging a violation of Title VII. Paul, who is getting tired of the dog grooming business, also opens a new formal wear shop and needs to hire employees there as well. He wants to appeal to high school and college-age young ladies attending proms and formals. Paul decides that he does not want older sales clerks to assist in choosing formal dresses. He only wants young, attractive ones. Paul runs an ad in the local paper seeking applicants for sales clerks and stating that a qualification for the job is computer training while in high school. Tina, age 60, applies and tells Paul that while she sees no reason that computer training should be required, she attended computer training in adult education and has excellent computer and sales skills. Paul refuses to hire her, telling her that unless he follows the ad, he may be seen as practicing discrimination. Deciding that formal wear is more trouble than dogs, Paul shuts down the formal wear store. Which of the following is true regarding Paul's test for patience?

 

For Judge Oh to be comfortable with natural law as a legal philosophy, which of the following would need to be true?

 

Which of the following is true of legal realism?

 

If Judge Oh were a person who believed in the wisdom of legal positivism, he would _____________________.

 

Obedience to precedent is especially powerful among believers in which legal philosophy?

 

Tradition places an emphasis on:

 

Fairness is the central guide for which legal philosophy?

 

In critical thinking language, what do we call the court's decision?

 

Why are the differences between a precedent and the current case important?

 

Which critical thinking skill or skills would be most relevant to the makers of RelaxEze in determining whether to move forward with their strategy?

 

What are the most basic building blocks in a legal decision?

 

When we ask why a particular decision was made by a court, we are expressing which of the following?

 

Which of the following are summaries of common law rules in a particular area of the law that have been enacted by most states?

 

When courts rely on precedent, they are obeying ______.

 

If someone commits an act against the public, he or she will be violating what type of law?

 

The Stolen Book. Betty tells Susan that Bob stole her business law book from her car. The next day Susan confronts Bob and slaps him for stealing her book. Bob has Susan arrested for slapping him. Susan sues Bob for damages in the amount of the book and for maliciously having her arrested. Claiming that she lied, Bob sues Betty for defamation. Bob is anxious to see Susan punished for slapping him. Which of the following is true regarding action Bob can take?

 

In which of the following cases did the U.S. Supreme Court rely on precedent to strike down a school's admissions policy that reserved slots for members of minority races?

 

The laws put forth by the legislative branch are referred to as:

 

Which of the following is true regarding administrative agencies?

 

The Stolen Book. Betty tells Susan that Bob stole her business law book from her car. The next day Susan confronts Bob and slaps him for stealing her book. Bob has Susan arrested for slapping him. Susan sues Bob for damages in the amount of the book and for maliciously having her arrested. Claiming that she lied, Bob sues Betty for defamation. The prosecution by the government against Susan for slapping Bob involves which of the following?

 

The National Conference of Commissioners on Uniform State Laws (NCC) was an important source of the ______.

 

Which of the following is an example of an independent federal administrative agency?

 

What are local legislative laws called?

 

Assume a businessperson who owns a computer equipment store is delinquent in paying rent to the landlord. The resulting dispute involves ______.

 

Which of the following is not a purpose of the law as set forth in the text?

 

Which of the following is a term used to refer to laws that are contained in one convenient location?

 

International Expansion. Zach wants to expand his coffee business internationally - into Zeno, a small remote country in Africa. His best friend Zora asks him if he plans to hire legal counsel for the expansion. Zach replies, "Of course not. The U.S. has the strictest laws regarding contracts, employment, and business practices. So long as I'm legal here, I'm legal anywhere. Besides, I studied up on Zeno law ten years ago, and I know it all." Zach proceeds and lands in jail in the remote country of Zeno for violating recently passed laws protecting employees and mandating certain benefits. Authorities there claim that he sexually harassed an employee, failed to pay sufficient wages, and failed to give employees Zeno's mandated 12 weeks of vacation per year.Which of the following is true regarding Zach's legal problems in Zeno?

 

The Stolen Book. Betty tells Susan that Bob stole her business law book from her car. The next day Susan confronts Bob and slaps him for stealing her book. Bob has Susan arrested for slapping him. Susan sues Bob for damages in the amount of the book and for maliciously having her arrested. Claiming that she lied, Bob sues Betty for defamation. The action Bob has against Betty for defamation involves which of the following?

 

International Expansion. Zach wants to expand his coffee business internationally - into Zeno, a small remote country in Africa. His best friend Zora asks him if he plans to hire legal counsel for the expansion. Zach replies, "Of course not. The U.S. has the strictest laws regarding contracts, employment, and business practices. So long as I'm legal here, I'm legal anywhere. Besides, I studied up on Zeno law ten years ago, and I know it all." Zach proceeds and lands in jail in the remote country of Zeno for violating recently passed laws protecting employees and mandating certain benefits. Authorities there claim that he sexually harassed an employee, failed to pay sufficient wages, and failed to give employees Zeno's mandated 12 weeks of vacation per year. Which of the following is true regarding Zach's defense that he thought he knew the law of Zeno because he had studied it some years before and that the laws under which he was arrested were new?

Rules in international business change frequently, and Zach had a duty to stay current. It is not a defense that he studied the law at one time and that the laws at issue were new.

 

 

Crimes are prosecuted by:

 

Which of the following is not a commonly recognized classification of the law?

 

How many of the functional areas of business sit on a foundation of business law?

 

Which of the following involves disputes between private individuals or groups and their government?

 

____ consists of the enforceable rules of conduct that govern commercial relationships.

 

Legislative acts passed by the United States Congress can be found in the ______.

 

The term ______ involves the use of past decisions to guide future decisions.

 

What are local legislative laws called?

 

A case that has been used in accordance with stare decisis as a binding precedent is _____, which abolished discriminatory policies for individuals of different racial backgrounds.

 

Which of the following is one of the numerous purposes fulfilled by the law?

 

Assume the Securities and Exchange Commission (SEC) prosecutes someone for insider trading. That prosecution is an example of ______.

 

Which of the following are summaries of common law rules in a particular area of the law that have been enacted by most states?

 

"Guaranteeing personal freedoms" is:

 

Which type of law involves the rights and responsibilities involved in relationships between persons, and between persons and their government?

 

Which of the following involves remedies available to an individual when his or her rights are violated?

 

Candy wants to start an Internet business. The Chinese government tells her that certain items on her site are objectionable and illegal, and that if she wants to do business in China, she must remove the objectionable material. Which of the following is true?

 

Public law involves disputes between:

 

A court is obeying stare decisis if it:

 

Which of the following terms means that past decisions guide future decisions?

 

The __________ are a collection of all the laws in one convenient location.

 

Which of the following topics is not regulated by the Uniform Commercial Code?

 

Candy wants to start an Internet business. The Chinese government tells her that certain items on her site are objectionable and illegal, and that if she wants to do business in China, she must remove the objectionable material. Which of the following is true?

 

Louisville, Kentucky is debating a new business ordinance that will address sidewalks in its city. Members of the Louisville city council do not need to concern themselves with which of the following issues?

 

Summaries of the common law that have been enacted by most states are known as:

 

Assume a restaurant is forced to pay damages to a person who suffered food poisoning after eating at the restaurant. What type of law is involved?

 

One of the most often-used guidelines for shaping the law is tradition, or custom, which is also called __________.

 

If a computer store dumps waste behind its building in violation of local, state, or federal environmental regulations, the resulting dispute focuses on __________ law.

 

The _____ contains all the executive orders created by the president.

 

Inattentive Driving. While cutting class and driving off campus to check on her new dress for the upcoming formal, Molly, a busy college student, is busy talking on her cell phone with her friend Sharon. Molly is trying to talk Sharon into going to the dance with her brother, who has a big crush on Sharon. Unfortunately for Molly, there is a statute in her state outlawing talking on a cell phone while operating a motor vehicle. Molly crashes into the side of Sam's new convertible when she looks down to pick up a can of soda she just dropped onto her new jeans. A police officer just down the street comes over to investigate. Molly explains to him that it was difficult to hold the cell phone in one hand, the soda in the other, and also drive. The officer was not impressed. Around that time Sam comes along. He is furious regarding the significant dent in his new car. Molly says she has insurance and that she will cover the whole incident. Sam says that is insufficient. The officer is annoyed because it is his lunch break. He tells Molly that she must obey the law and proceeds to write several citations to her. Which type or types of law is or are involved in the above situation considering Molly's interaction with both the officer and Sam?

 

A purpose of the law is to serve as a moral guide by indicating __________ expectations of citizens and organizations.

 

In 2009, Mississippi Valley Silica Company was ordered to pay a plaintiff $9 million because the court ruled that it sold sand to the plaintiff's employer with the knowledge that using the sand on a regular basis would expose a worker to a form of cancer, and Mississippi Valley did not alert those who bought the sand about the risk. The $9 million recovery is an example of a __________.

 

Temecula, California has instituted a new code regarding motorized scooters. This is an example of a(n):

 

What type of jurisdiction do trial courts have?

 

Which form of jurisdiction determines which court system may hear a particular type of case?

 

The United States Congress is determining whether to change the tax code for U.S. businesses. Two business entities who will be directly impacted want to sue. What threshold requirement will this situation not pass?

 

A plaintiff must have a concrete and actual injury in order to have __________.

 

Which of the following is true about an arbitration hearing?

 

The social responsibility of business consists of the expectations _____ impose(s) on firms.

 

The "public disclosure" test is also known as the ______.

 

The "W" in the WH process of ethical decision making stands for:

 

Which of the following is an example of the primary value of freedom?

 

Which of the following is an incorrect statement regarding values?

 

The idea that we should interact with other people in a manner consistent with the manner in which we would like for them to interact with us is called the ______.

 

Positive abstractions that capture our sense of what is good or desirable are ______.

 

If we consider what the world would be like if a decision is copied by everyone else, we would be using which of the following ethical guidelines?

 

An ethical _____ is a problem about what a firm should do for which no clear, right decision is available.

 

In 2007, Dole was sued by a group of its employees for:

 

Environmental Concerns. Connie, the president of a company that makes paper, has a new interest in the environment. She recently went to a seminar on environmental dangers and has decided to take steps to clean things up. She started at home and was also committed to change things at work. Connie had to face the fact that her company has been cheating and is not in compliance with applicable environmental regulations due to dumping in a nearby river. Her company has never been cited, however, because it employs a very large number of people in the community, including the mayor's wife and the chief-of-police's brother. On her mission to clean things up, Connie has decided to go even further than the law requires and install the very latest environmental protections. When she announced her plan, the chair of the company's board of directors, Brooke, had a meeting with Connie. Brooke told Connie to analyze the situation carefully because the cost of the additional equipment would mean no dividend to shareholders and no raise for employees. Furthermore, Brooke told Connie that installing all the new equipment would result in higher prices for the company's paper products and could bankrupt the company because of foreign competition. Brooke hinted that Connie could be fired if she persisted. Brooke suggested that Connie just be concerned with a minimal standard of ethics. Which of the following would be a stakeholder in the company?

 

Environmental Concerns. Connie, the president of a company that makes paper, has a new interest in the environment. She recently went to a seminar on environmental dangers and has decided to take steps to clean things up. She started at home and was also committed to change things at work. Connie had to face the fact that her company has been cheating and is not in compliance with applicable environmental regulations due to dumping in a nearby river. Her company has never been cited, however, because it employs a very large number of people in the community, including the mayor's wife and the chief-of-police's brother. On her mission to clean things up, Connie has decided to go even further than the law requires and install the very latest environmental protections. When she announced her plan, the chair of the company's board of directors, Brooke, had a meeting with Connie. Brooke told Connie to analyze the situation carefully because the cost of the additional equipment would mean no dividend to shareholders and no raise for employees. Furthermore, Brooke told Connie that installing all the new equipment would result in higher prices for the company's paper products and could bankrupt the company because of foreign competition. Brooke hinted that Connie could be fired if she persisted. Brooke suggested that Connie just be concerned with a minimal standard of ethics. Which of the following is the minimal standard that a business must meet in a consideration of business ethics?

 

Environmental Concerns. Connie, the president of a company that makes paper, has a new interest in the environment. She recently went to a seminar on environmental dangers and has decided to take steps to clean things up. She started at home and was also committed to change things at work. Connie had to face the fact that her company has been cheating and is not in compliance with applicable environmental regulations due to dumping in a nearby river. Her company has never been cited, however, because it employs a very large number of people in the community, including the mayor's wife and the chief-of-police's brother. On her mission to clean things up, Connie has decided to go even further than the law requires and install the very latest environmental protections. When she announced her plan, the chair of the company's board of directors, Brooke, had a meeting with Connie. Brooke told Connie to analyze the situation carefully because the cost of the additional equipment would mean no dividend to shareholders and no raise for employees. Furthermore, Brooke told Connie that installing all the new equipment would result in higher prices for the company's paper products and could bankrupt the company because of foreign competition. Brooke hinted that Connie could be fired if she persisted. Brooke suggested that Connie just be concerned with a minimal standard of ethics. Connie, however, decides to go forward with her plan to clean things up under the theory that she wants to treat others in the same manner that she wants to be treated. Under Connie's theory, if she did not understand the importance of the environmental improvements, she would want them to be thrust upon her. Connie's idea is best referred to as the ______.