- 1. In the United States, if two people independently developed the same invention, the patent will be granted to the first to file for the patent, not the first to invent the invention.
- 2. The concept of consideration is that the parties to a contract should carefully consider the terms of all contracts before they are entered into.
- 3. Offers for both bilateral and unilateral contracts involve a promise by
- 4. Intentional infliction of emotional distress requires that the conduct be outrageous.
- 5. Law is intended to protect persons, but not their property, from unwanted interference from others.
- 6. The most important factor in whether one who performs services for another is an independent contractor is the degree of control that the party who has done the hiring can exercise over the party doing the work.
- 7. The federal government has any power that the U.S. Constitution does not give to the states.
- 8. The mailbox rule provides that an acceptance sent through the mail is effective only when it reaches the offeror's mailbox.
- 9. The offeror is the party with the power to decide whether to create a contract.
10. Under the stakeholder interest theory of the social responsibility of business, a business has obligations to both shareholders and employees, but not to others.
- 11. There are no patent laws at the state level.
- 12. Corporations can function only through the use of agents.
- 13. There is no duty to compensate a gratuitous agent.
- 14. Death of the offeror terminates an offer even if the offer could still be
carried out by the estate of the offeror, such as the sale of property of
- 15. One goal of the law is to anticipate all disputes that can arise in the
future and to establish laws that address all situations before they arise.
16. The Uniform Commercial Code is a source of contract law that has been adopted by only a minority of the states.
- 17. Under the maximizing profits theory of the social responsibility of
business, it is improper for a business to undertake charitable acts for
the benefit of society if doing so reduces profits.
- 18. The granting of a patent terminates the ability to challenge its validity.
19. A principal does not need contractual capacity in order to appoint an agent.
- 20. A principal's liability for the tort of an agent depends on the degree of disclosure of the agency relationship.
- 21. The English law courts where characterized by applying a uniform system of law that emphasized legal procedure over the merits of the individual case.
- 22. Due to lack of consideration, a promise to make a gift will not be enforced and a court will usually order a completed gift to be returned.
- 23. An offer made in jest , where a reasonable person would conclude that
it was made in jest, cannot result in a contract.
- 24. Under the corporate citizenship theory of the social responsibility of business, a business has multiple obligations, but these obligations are only to those who have some direct interest or connection with the business.
- 25. In order to be patentable, an invention must be proven to be able to be marketed profitably.
- 26. A power of attorney requires that the agent, or attorney-in-fact, be a licensed lawyer.
- 27. In order to be liable for a negligence tort, one must have intended the consequences of the act or conduct in question.
- 28. Trademarks are protected for a nonrenewable 10-year period.
- 29. The federal common law of contracts is the most important common law source with state common law relative to contracts filing in gaps in the federal common law.
- 30. Persons found to have committed a tort usually must either pay a fine or serve time in prison.
- 1. The Equal Employment Opportunity Commission has the power to do the following except: (a)
- a. pass amendments to the Civil Rights Act of 1964 and other antidiscrimination statutes.
- b. File suits to enforce antidiscrimination statutes on behalf of complaints.
- c. Conduct investigations related to the antidiscrimination laws.
- d. Interpret antidiscrimination statutes.
- 2. Which of the following are protected classes under Title VII of the Civil Rights Act of 1964?: (a)
- a. Race, national origin and sex
- b. Race, national origin and political affiliation
- c. Race, religion and sexual orientation
- d. National origin, race and alien status
- e. Religion, color and prior welfare eligibility
- 3. Which is true about the two kinds of discrimination that are actionable under Title VII?(a)
- a. Disparate impact and disparate treatment are both based on how an employer treats a specific individual.
- b. Disparate impact and disparate treatment are both based on how an employer treats a protected class.
- c. Disparate treatment refers to individuals and disparate impact refers to protected classes.
- d. Disparate impact refers to individuals and disparate treatment refers to protected classes.
- 4. One of the requirements for a factory assembly job at "Slap-it-Together" is that the worker be less
than six feet tall. Bob applies for the job, but is not hired. Which is true? (d)
- a. Slap-it-Together is in violation of Title VII only if Bob is less than six feet tall
- b. Slap-it-Together is in violation of Title VII only if Bob is over six feet tall.
- c. Slap-it-Together is in violation of Title VII only if Bob can show that he is over six feet tall and he was not hired because he was too tall.
- d. Slap-it-Together is in violation of Title VII if the height requirement has the result of discriminating against men and the height requirement does not relate to fitness for the particular job.
- 5. According to the text, law can be defined as:(b)
- a. the actions that a person is not allowed to perform.
- b. a body of rules of action or conduct prescribed by controlling authority.
- c. what an individual believes to be fair and just.
- d. the persons responsible for the enforcement of society's rules.
- e. the justification for the redistribution of wealth.
6. The following courts were common in England before the founding of the United States except(c)
- a. Chancery Courts.
- b. Bankruptcy Courts.
- c. Merchant Courts.
- d. Equity Courts.
- 7. The general jurisdiction trial court in the federal system is called the(d)
- a. United States Trial Court
- b. United States Circuit Court
- c. United States General Court
- d. United States District Court
- 8. Judges for federal courts are selected:(c)
- a. by nationwide election.
- b. by election by the voters within the state where they preside.
- c. by the President, subject to confirmation by the Senate.
- d. by the Supreme Court justices.
- e. by the sitting federal judges within the same circuit.
- 9. If the U.S. Supreme court reaches a tie decision:(e)
- a. the case will be reconsidered in the following year.
- b. the decision will be held in abeyance until one of the justices decides to change his or her mind.
- c. the case will be returned to the Circuit Court of Appeals to reconsider the case in light of the tie decision by the Supreme Court.
- d. the lower court decision in the case is overturned.
- e. the lower court decision in the case is affirmed.
- 10. In what year was the U.S. Constitution written?(b)
- a. 1776
- b. 1782
- c. 1787
- d. 1812
- e. 1865
- 11. The two main functions of the U.S. Constitution are to:(d)
- a. create the three branches of government and create the individuals states.
- b. create the three branches of government and promote a strong economy.
- c. protect individual rights and establish the electoral college.
- d. create the three branches of government and protect individual rights.
- e. provide all citizens with a right to vote and allow for judicial review of laws.
- 12. Powers that are not mentioned in the U.S. Constitution: (b)
- a. are held both by the states and by the federal government.
- b. are reserved to the states.
- c. are reserved to the federal government.
- d. can be delegated by the U.S. Supreme Court to either the states or federal government.
- e. cannot be exercised by either the states or the federal government.
- 13. The Commerce Clause gives the federal government the power to regulate commerce that: (b)
- a. actually crosses state lines only.
- b. affects interstate commerce or is conducted with foreign nations or Indian tribes.
- c. the states have chosen not to regulate.
- d. involves at least one business domiciled in the United States.
- 14. The Bill of Rights is another name for: (d)
- a. the Articles of Confederation.
- b. the U.S. Constitution.
- c. the document that explains the U.S. Constitution.
- d. the first ten amendments to the U.S. Constitution.
- e. the first seven articles of the U.S. Constitution.
- 15. Which of the following receives at least some protection under the U.S. Constitution? (e)
- a. Political speech only
- b. Political speech and commercial speech
- c. Offensive speech and commercial speech
- d. Commercial speech only
- e. Political speech, commercial speech and offensive speech
- 16. What is the primary function of an agent in a principal-agent relationship? (b)
- a. Protect the principal from legal liability.
- b. Conduct business on behalf of the principal.
- c. Enter into contracts with the principal.
- d. Operate as a partner with the principal.
- e. Maintain the principal's status quo.
- 17. Which of the following is true? (c)
- a. All employees are agents, and no independent contractors are agents.
- b. All employees are agents, and some independent contractors are agents.
- c. Some employees are agents, and some independent contractors are agents.
- d. Some employees are agents, and no independent contractors are agents.
- e. No employees are agents, and no independent contractors are agents.
- 18. Which of the following is generally true about a relationship where one party works for another? (d)
- a. A party can simultaneously be an employee and an independent contractor.
- b. A party can simultaneously be an employee and an agent.
- c. A party can simultaneously be an independent contractor and an agent.
- d. Both B and C are true.
- e. A,B and C are true.
- 19. In deciding sexual harassment cases, some courts have applied: (d)
- a. the reasonable woman standard.
- b. the liberal society standard.
- c. the workplace reality conduct standard.
- d. the reciprocal conduct standard.
- e. the foreseeable offensiveness standard.
- 20. An equitable remedy is: (a)
- a. any remedy that is fair to the parties involved.
- b. a remedy fashioned by the chancery court to fit the particular situation.
- c. any remedy granted by the merchant court.
- d. unable to be modified from its rigid prescribed form.
- e. required to be approved by the law court.
- 21. How many woman have served as justices on the U.S. Supreme Court? (c)
- a. None
- b. One
- c. Two
- d. Three
- e. Five
- 22. When can a state regulate in an area that the federal government has validly chosen to regulate? (c)
- a. Only if Congress expressly allows it.
- b. Only if the U.S. Supreme Court expressly allows it.
- c. When the federal statute or regulation does not expressly provide that the federal government exclusively regulates in the area.
- d. In all situations because the concept of federalism allows regulation in all areas.
- e. Only in areas that the federal government does not regulate.
- 23. An express agency requires: (b)
- a. a written agreement between the principal and agent.
- b. an oral or written agreement between the principal and agent.
- c. no agreement if the conduct indicates an implied agreement.
- d. an ongoing arrangement or a reasonable period of time.
24. There are extensive federal regulations covering airplanes and pilots. Assume that the state of Missouri passes a statute containing numerous requirements, some conflicting with the federal rules, covering the licensing of airplane pilots and the operation of aircraft. A pilot's constitutional challenge to this statute would most likely succeed on the basis of: (a)
- a. the preemption doctrine.
- b. the Equal Protection Clause.
- c. substantive due process.
- d. the state police power.
25. Which of the following are ways that a partnership can be created? (e)
- a. Written agreement of the parties
- b. Oral agreement of the parties
- c. Conduct of the parties
- d. A and B
- e. A, B and C
- 26. In a discrimination case brought under Title VII of the Civil Rights Act of 1964, how much back pay, if any can be recovered by a plaintiff? (e)
- a. None
- b. One year
- c. Two years, but only if the employer's actions were intentional.
- d. Two years
- e. Back pay can be recovered, but there is no statutory limit in the length of time for which it can be recovered.
- 27. A legal system that relies on extensive codes in which judicial decisions do not become law is known as what kind of legal system? (d)
- a. Code law
- b. Equitable law
- c. Common law
- d. Civil law
- 28. The requirement that a plaintiff have a stake in the outcome of a case is the requirement of: (d)
- a. jurisdiction.
- b. certiorari.
- c. venue.
- d. standing.
- e. relevance.
- 29. The concept of in personem jurisdiction is that: (a)
- a. a court has the power to make and enforce a judgement against a particular person.
- b. a party has a personal stake in the outcome of a particular case.
- c. special requirements must be met in non-business cases involving individuals
- d. the case has been filed at the correct location with the state.
- 30. Compared to an employee, an independent contractor is characterized by: (c)
- a. not being paid as much for the work performed.
- b. a lack of liability for her own actions.
- c. more freedom to do her work in the manner she determines.
- d. less ability to hire others to assist her.
- 31. In which of the following forms of business organization does at least one of the owners have unlimited personal liability for debts of the business? (d)
- a. Sole proprietorship
- b. General partnership
- c. Limitd partnership
- d. A and B only
- e. A, B and C
- 32. Which of the following would be a legal defense to a charge of discrimination under Title VII? (d)
- a. Discrimination based on merit.
- b. Discrimination based on seniority.
- c. Discrimination based on a bona fide occupational qualification.
- d. A, B and C.
- e. B and C only.
- 33. In the United States, the supreme law of the land includes. (a)
- a. the U.S. Constitution only.
- b. the statutes passed by Congress only.
- c. the U.S. Constitution and executive orders issued by the President.
- d. the U.S. Constitution and treaties with foreign governments.
- e. the U.S. Constitution and statutes passed by Congress.
- 34. Which branch of government has the authority to determine the validity of a law? (c)
- a. Executive
- b. Administrative
- c. Judicial
- d. Legislative
- 35. Live testimony taken under oath before the actual trial is a discovery device known as a(n): (a)
- a. deposition.
- b. interrogatory.
- c. arbitration.
- d. intervention.
- e. production of evidence.
- 36. What is "voir dire?" (c)
- a. The jury deliberation process in a trial
- b. The U.S. Supreme Court's case selection process
- c. The jury selection process in a trial
- d. A discovery method to learn about the other party's case
- e. A motion to dismiss a case
- 37. Owners of which type of business entity are called members? (e)
- a. C corporation
- b. S corporation
- c. Limited liability partnership
- d. Sole proprietorship
- e. Limited liability company
- 38. Which of the following statements regarding a partnership is true? (d)
- a. A partnership is an involuntary association.
- b. To be valid, a partnership must have a written partnership agreement.
- c. A partnership is a separate, tax-paying entity for federal tax purposes.
- d. Partners in a partnership have personal liability much like that of sole proprietors.
- e. All of the partners in a partnership have limited liability.
- 39. Mike, an 80-year-old resident of North Dakota, has long desired to experience driving in New York City during rush hour. He realizes his goal, but gets into an accident with a taxi driver who has never been outside of New York City. The accident causes $24,000 in damage to Mike's Porsche Boxter. Mike wants to sue the taxi driver. Where can Mike file his lawsuit? (a)
- a. In state or federal court in either North Dakota or New York
- b. In state or federal court in New York only
- c. Only in state court in New York
- d. Only in federal court in New York
- e. In federal court in either New York or New Jersey
- 40. The Equal Pay Act of 1963 prevents discrimination on the basis of: (c)
- a. race only.
- b. age only.
- c. sex only.
- d. race or sex.
- e. The same categories that are protected under the Civil Rights Act of 1964.
- 41. The person empowered by the corporation to receive notice of lawsuits against it is called the: (c)
- a. incorporator.
- b. promoter.
- c. registered agent.
- d. president.
- e. director du jour.
- 42. A partnership is created:
- a. if the managing partner files appropriate papers with the secretary of state.
- b. if two or more persons or entities engage in an ongoing business activity for profit.
- c. upon the issuance of stock to the partners.
- d. once there is a valid partnership agreement.
- e. when the Internal Revenue Service issues the appropriate approval of tax status.
- 43. Which of the following is true about the Americans with Disabilities Act?
- a. It affects only the employment of persons with disabilities.
- b. It clearly sets limits and requirements relevant to employers.
- c. It only prevents discrimination based on disabilities, but employers can be required to incur costs in order to accommodate disabled individuals in their jobs.
- d. It requires employers to ask about an applicant's disabilities so that the employer knows if the applicant is covered.
- 44. When statutes are organized by topic, the resulting compilation of law is known as: (a)
- a. a code.
- b. common law.
- c. civil law.
- d. precedent.
- 45. Which of the following is not a characteristic of a corporation? (c)
- a. Limited liability of owners
- b. Free transferability of shares
- c. Limited period of existence
- d. Centralized management
- 46. In the Civil Rights Act of 1866, the protection from employment discrimination is based on: (b)
- a. the constitutional right to have employment be free of discrimination.
- b. the Equal Protection Clause of the U.S. Constitution.
- c. the right of all persons to the same rights to make and enforce contracts as white persons enjoy.
- d. the bill of rights.
- e. the Equal Pay Act.
- 47. A woman was physically abused for years by her husband. The woman has limited education and never worked outside the home. One day after being abused the previous evening, she plotted to kill her husband when he came home that night. The husband came home and the woman killed him. At the time of the crime, the husband was not making any threats. In the woman's trial, which of the following would be most consistent with feminist legal theory? (a)
- a. Whether the killing was justified should be viewed from the standpoint of a reasonable woman, not from that of a reasonable man.
- b. Any abuse justifies the killing of the abuser
- c. A woman should not be guilty of murder if the murder victim is a man who abused her.
- d. The jury should be composed only of women.
- 48. A nonprofit corporation is: (d)
- a. any corporation that has never made a profit
- b. any corporation that does not intend to make a profit.
- c. a corporation formed for charitable, educational, religious or scientific purposes that cannot make a profit.
- d. a corporation formed for charitable , educational, religious or scientific purposes that can make a profit, although any profit may not be distributed to its members, officers or directors.
- 49. A professional corporation is one that: (c)
- a. is formed with the assistance of a lawyer
- b. has been in existence long enough to reasonably assure that it will be profitable in the near future.
- c. is typically used as a form of doing business by doctors and lawyers.
- d. does not have shareholders.
50. Which court systems have a three-level system, with a trial level, appellate level and Supreme court, or court of last resort, at the top? (b)
- a. The federal court system and all state court systems
- b. The federal court system and most state court systems
- c. The federal court system, but none of the state court systems
- d. All state court systems, but not the federal court system
- e. Neither the federal court system nor any of the state court systems