1. The U.S. Constitution is the supreme law of the United States.
(Points: 2) True False 2...
1. The U.S. Constitution is the supreme law of the United States. (Points: 2) True False 2. Common law is a term for social manners and customs that are familiar to most of us. (Points: 2) True False 3. A state court can exercise jurisdiction over anyone within the boundaries of the state. (Points: 2) True False 4. To have standing to sue, a party must have been harmed or have been threatened with harm by the action about which he or she complains. (Points: 2) True False 5. To act ethically is to think narrowly about what is best in the short run for one?s employer. (Points: 2) True False 6. The roles that women play in some foreign countries may present some difficult ethical problems for firms doing business internationally. (Points: 2) True False 7. In theory, causation in fact is limitless. (Points: 2) True False 8. There are no statutes regulating the use of spam. (Points: 2) True False 9. An applicant cannot register a trademark on the basis of an intention to use the mark in commerce. (Points: 2) True False 10. A patent cannot be obtained for a plant or an animal. (Points: 2) True False 11. Criminal liability depends on the commission or omission of an act. (Points: 2) True False 12. A promisee is a person who makes a promise. (Points: 2) True False 13. Three elements?agreement, consideration, and contractual capacity?are sufficient to form a binding contract. (Points: 2) True False 14. Parties can form a contract without putting the terms in writing. (Points: 2) True False 15. An offer must be communicated by mail or in person. (Points: 2) True False 16. Rescission is the substitution of one party to a contract for a third party, who agrees to assume the contractual duties. (Points: 2) True False 17. An accord and satisfaction requires that the amount of a debt must not be in dispute. (Points: 2) True False 18. Parents are required by law to provide necessaries for their minor children. (Points: 2) True False 19. Most courts are usually very concerned about the fairness of contracts. (Points: 2) True False 20. If a price quotation contains a mistake in the adding of a number of figures, the contract may not be enforceable. (Points: 2) True False 21. An expert's false statement to a naive buyer about a technical detail may entitle the buyer to rescind a contract. (Points: 2) True False 22. Alienation is a transfer of the ownership of land. (Points: 2) True False 23. Complete performance occurs when conditions in a contract are fully satisfied. (Points: 2) True False 24. When a contract party alters a written contract, the other party must adapt his or her performance accordingly. (Points: 2) True False 25. A party seeking to recover compensatory damages may also be entitled to recover incidental damages. (Points: 2) True False 26. Specific performance is the remedy customarily used when there is no actual contract or agreement between two parties. (Points: 2) True False 27. Recovery under quasi contract may be used when one party partially performs under a contract that is unenforceable. (Points: 2) True False 28. To date, most courts have applied traditional common law principles to cases arising in e-commerce. (Points: 2) True False 29. Under the UETA, a signature may be denied legal effect solely because it is in electronic form. (Points: 2) True False 30. A principal has a duty to cooperate with the agent. (Points: 2) True False 31. Any party who uses an e-agent is bound by the e-agent's actions. (Points: 2) True False 32. Wrongful termination of an agency relationship can subject the canceling party to a suit for damages. (Points: 2) True False 33. To recover workers' compensation, an employee must prove that an injury was not the fault of the employer. (Points: 2) True False 34. An employer must verify documents establishing a prospective worker's identity and eligibility to work in the United States. (Points: 2) True False 35. An employer must modify its job-application process so that those with disabilities can compete for jobs with those who do not have disabilities. (Points: 2) True False 36. An employee who leaves a job voluntarily cannot later claim to have been "constructively discharged" on the basis of unlawful discrimination. (Points: 2) True False 37. In winding up a limited partnership, non-partner creditors are paid before the partners receive their capital contributions. (Points: 2) True False 38. A limited liability company cannot be taxed as a corporation. (Points: 2) True False 39. A business trust is somewhat similar to a corporation. (Points: 2) True False 40. Corporate officers hire corporate directors. (Points: 2) True False 41. A shareholder in a professional corporation can be liable for malpractice arising from the rendering of professional services. (Points: 2) True False 42. Shareholder approval is required when a corporation buys all of the assets of another company. (Points: 2) True False 43. A corporate officer is not expected to be informed on corporate matters. (Points: 2) True False 44. Preemptive rights entitle shareholders to bring a derivative suit against the corporation. (Points: 2) True False 45. Damages awarded in a shareholder's derivative suit go to the shareholder personally. (Points: 2) True False 46. A corporation whose security does not qualify for an exemption can dispense with the requirement of a registration statement. (Points: 2) True False 47. Any corporation with more than $10 million in assets and 500 or more shareholders must register with the Securities and Exchange Commission. (Points: 2) True False 48. State securities laws apply only to interstate transactions. (Points: 2) True False 49. The U.S. Congress enacts a new federal statute that sets different standards for the liability of businesses selling defective products. This statute applies (Points: 2) only to matters not covered by state law. only to those states that adopt the statute. to all of the states. to none of the states. 50. The Uniform Commercial Code has been adopted, at least in part, in (Points: 2) all states. 45 states. 25 states. no states. 51. Household Furnishings, Inc., distributes its merchandise on an interstate basis. Under the commerce clause, Congress has the power to regulate (Points: 2) any commercial activity in the United States that substantially affects interstate commerce. only activities that are in intrastate commerce. only activities that are in local commerce. only activities that are not in commerce. 52. Inferior Company sells products that are poorly made. Jack, who has never bought an Inferior product, files a suit against Inferior, alleging that its products are defective. The firm's best ground for dismissal of the suit is that Jack does not have (Points: 2) certiorari. jurisdiction. standing. sufficient minimum contacts. 53. Cody wants to appeal his case against Digital Corporation to the United States Supreme Court. Cody must ask the Court to issue a writ of (Points: 2) certiorari. jurisdiction. standing. venue. 54. Leo, a resident of Missouri, owns a warehouse in Nebraska. He becomes involved in a dispute over the ownership of the warehouse with Opal, a resident of Kansas. Opal files a suit against Leo in Nebraska. Regarding this suit, Nebraska has (Points: 2) diversity jurisdiction. in personam jurisdiction. in rem jurisdiction. no jurisdiction. 55. In studying the legal environment of business, Professor Dooley?s students also review ethics in a business context. Ethics includes the study of what constitutes (Points: 2) fair or just behavior. financially rewarding behavior. legal behavior. religious behavior. 56. Dion, an accountant for Engineering Associates, Inc., attempts to apply the duty-based approach to ethical reasoning in conflicts that occur on the job. This approach is based on the idea that a person must (Points: 2) achieve the greatest good for the most people. avoid unethical behavior regardless of the consequences. conform to society?s ethical standards. place his or her employer?s interest first. 57. In making business decisions, Brian, personnel manager for Conservative Investments, Inc., applies his belief that all persons have fundamental rights. This is (Points: 2) a religious rule. the categorical imperative. the principle of rights. utilitarianism. 58. Callie, a lawyer on the staff of Droll International Ltd., applies the utilitarian theory of ethics in business contexts. Utilitarianism focuses on (Points: 2) moral values. religious beliefs. the consequences of an action. the nature of an action. 59. Amber pushes Brad into the path of an oncoming car driven by Carol. Don tries to rescue Brad, but the car hits both of them. Amber is liable for the injuries of (Points: 2) Brad and Don. Brad only. Don only. neither Brad nor Don. 60. Aero Cola features Bubbly Cola?s trademark without its owner?s permission. Dana buys a bottle of Aero Cola. The mark has been infringed by (Points: 2) Aero. Bubbly. Dana. none of the choices. 61. In 2009, Sara writes Terror at the Track, a novel about racecar driving. Sara does not register the work with the appropriate government office. Under federal copyright law, Sara?s work is protected (Points: 2) for ten years. for twenty years. for the life of the author plus seventy years. forever. 62. Portia, a businessperson, is convicted of RICO offenses. Portia's penalties may include (Points: 2) dissolution of her business but not forfeiture of its assets or imprisonment. forfeiture of the business assets but not dissolution of the business or imprisonment. imprisonment and dissolution of her business but not forfeiture of its assets. dissolution of her business, forfeiture of its assets, and imprisonment. 63. Barb allows Candy to enter Barb's warehouse and take a DVD player. Charged with theft, Candy can successfully claim, as a defense, (Points: 2) consent. duress. entrapment. self-defense. 64. Lara is indicted for a crime. Mac, the arresting officer, advises Lara of her right to counsel. Lara waives the right and confesses to the crime. Later, Lara claims that her confession should be excluded as evidence from her trial. The statement will most likely be (Points: 2) admitted because Lara knew she did the crime and confessed. admitted because Lara made it after being advised of her rights. excluded because a confession is not admissible in a criminal trial. excluded because it was elicited before Lara was advised of her rights. 65. Britney promises to deliver a certain couch to Dan, who promises to pay for the service. Britney does not perform. She may be required to (Points: 2) do nothing. make another promise. pay damages. perform a different service. 66. Retail Investment Company offers to sell a certain mall to Shopping Stores, Inc., if it accepts before 10 A.M. Monday. A contract is formed if Shopping Stores' acceptance is received (Points: 2) any time on Monday. before 10 A.M. Monday. before 11 A.M. Monday. within twenty-four hours of 10 A.M. Monday. 67. Quality Steel Corporation files a suit against Rite Tool Company, claiming that the consideration for their contract is inadequate. The court will most likely not examine the adequacy of the consideration if (Points: 2) it is obvious that the consideration is adequate. Rite Tool asserts that there is adequate consideration. something of value passed between the parties. the consideration is worth more than $100. 68. Eastside Warehouse offers to sell a forklift to Forest Lumber Company, but it is stolen before Forest accepts. Eastside must obtain (Points: 2) a forklift for Forest, if Eastside's insurance covers the loss. a forklift for Forest, if it wants one. nothing for Forest, because that would extend the time of the offer. nothing for Forest, because the theft terminated the offer. 69. Don enters into a contract with Emma, who does not have contractual capacity. Don can enforce the contract only if Emma (Points: 2) elects not to avoid the contract. is a minor. is intoxicated or mentally incompetent. is a minor, intoxicated, or mentally incompetent. 70. On Tad's 18th birthday, he decides that he no longer wants to keep a car he bought from U-Pick Autos, Inc., when he was 17. His right to disaffirm the deal will depend on (Points: 2) the car's condition when Tad bought it. the car's current condition. whether Tad acts within a reasonable period of time. whether U-Pick has the right to disaffirm. 71. National Insurance Company violates a statute when selling an insurance policy to Opal. The policy may be enforced by (Points: 2) National Insurance only. National Insurance or Opal. no one. Opal only. 72. Joy induces Kelly to enter into a contract for the purchase of a condominium about which Joy knowingly misrepresents a number of material features. When Kelly discovers the truth, Kelly can (Points: 2) enforce the contract and seek damages. enforce the contract but not seek damages. neither enforce the contract nor seek damages. seek damages but not enforce the contract. 73. Clay buys an MP3 player for $200 and a pair of stereo speakers for $600 from a Discount City store, and downloads $300 worth of digital music from E-Music.com. To be enforceable, the contract that must be in writing is the purchase of (Points: 2) the digital music, the MP3 player, and the speakers. the MP3 player and the speakers only. the MP3 player only. the speakers only. 74. Musical Production Company and Nora enter into a contract that calls for Nora to write six songs for which Musical agrees to pay her. Nora transfers her right to payment under the contract to Omni Entertainment Agency. Nora is (Points: 2) a delegator. an assignor. a payor. a righter. 75. Rural Development Corporation (RDC) and Sid enter into a contract for the clear-cutting of RDC?s 50-acre tract for which RDC agrees to pay Sid. Sid transfers his duty to log the tract under the contract to Timber Logging Company. Timber is (Points: 2) a delegatee. an assignee. an obligee. a prohibitee. 76. Safe-T Guard Services enters into a contract to secure Taylor's Business Park from vandalism and theft between 6 P.M. and 6 A.M. nightly for six months. At the end of the term, if there has been no vandalism or theft in the Park, Safe-T's performance will have been (Points: 2) absolute. complete. conditional. substantial. 77. A zoning law that affects the lease will cause its termination. Union City's zoning board adopts a new zoning classification that affects the lease. This adoption satisfies (Points: 2) no condition. the condition precedent. the concurrent condition. the condition subsequent. 78. Julio contracts to provide lawn-mowing services to Kevin for $140 per month. Julio cannot transfer this duty (Points: 2) under any circumstances. without continuing to be potentially liable. without Kevin?s consent. without paying Kevin at least one monthly fee. 79. Recreational Pools, Inc., agrees to build a swimming pool for Sandy, but fails to build it according to the contract specifications. Sandy hires Total Fix-It Company to finish the project. Sandy may recover from Recreational Pools (Points: 2) the contract price less costs of materials and labor. the contract price. the costs needed to complete construction. profits plus the costs incurred up to the time of the breach. 80. Vista Properties, Inc., leases an office building to World Corporation. At the time, the amount of damages on World's default is difficult to determine, so the parties reasonably estimate, and the lease provides, that if World defaults, Vista is entitled to $50,000 as "liquidated damages." This amount is (Points: 2) an unenforceable limitation of liability. an unenforceable penalty. liquidated damages. punitive damages. 81. Outstate Properties, Inc. (OPI), agrees to sell certain acreage to Pia. OPI repudiates the deal. Pia sues OPI and recovers damages. Pia can now obtain (Points: 2) an amount in quasi contract. damages representing restitution. specific performance of the deal. nothing more. 82. High-Tech Services, Inc., and Internet Investments Corporation enter into a con?tract that would otherwise be subject to the UETA but purports to "opt out." The UETA covers (Points: 2) none of the contract. only the part of the contract that concerns computer information. only the part of the contract that does not concern computer information. the entire contract. 83. Omni Products, Inc., and Plenty Sales Corporation transact a deal over the Internet. Their contract does not mention the UETA. The UETA covers (Points: 2) none of the contract. only the part of the contract that does not involve e-commerce. only the part of the contract that involves e-signatures. the entire contract. 84. Precision Applications Corporation (PAC) sends an electronic record to Quotient Systems, Inc., a PAC customer. Under the UETA, the record will be considered received when it (Points: 2) enters Quotient's processing system in a readable form, even if no person is aware of its receipt. enters Quotient?s processing system in a readable form, only if a person is aware of its receipt. is midway between the parties' processing systems. passes out of PAC's control. 85. Sanitary Supplies Company requires its customers to pay by check. Tyla, a Sanitary driver, tells customers on her route that they can pay her with cash. When Sanitary learns of Tyla's collections, it takes no action to stop her. Tyla steals some of the cash. Sanitary may suffer the loss under the doctrine of (Points: 2) apparent authority. equal authority. express authority. implied authority. 86. Sunny is a salesperson for Tech Instruments, Inc. (TI). She misrepresents to Universal Piping Company, a customer, that a certain device has a certain capability. In reliance, Universal buys the device. Liable for this misrepresentation is (Points: 2) Sunny and TI. Sunny only. TI only. Universal but neither Sunny nor TI. 87. Ida hires Jim, a real estate broker, to act as her agent to sell her land for $100,000. Oil is discovered beneath the land, causing its market value to increase 100-fold. The agency agreement is likely (Points: 2) still in force if Ida gives Jim additional consideration. still in force if Jim does not mention the oil to prospective customers. terminated by mutual consent of the parties. terminated by operation of law. 88. Gus is an employee of Harden Steel Company. Under federal labor law, Gus and other employees have the right to (Points: 2) bargain collectively with Harden through their representatives. insist that Harden require union membership as a condition of work. interfere with the efforts of others to form labor organizations. refuse to bargain with Harden through their representatives. 89. Fruits & Vegetables, Inc., employs hundreds of seasonal and permanent workers, both skilled and unskilled, in seven states. Fruits & Vegetables can hire illegal immigrants (Points: 2) if either the employer or the immigrants file special forms. only if the employer files a special form. only if the immigrants file special forms. under no circumstances. 90. Bo and Clancy decide to do business as Dynamo Production Associates. To be a partnership, this association can result from an agreement that is (Points: 2) express, but not from an agreement that is implied. implied, but not from an agreement that is express. oral, written, or implied by conduct. written, but not from an agreement that is oral or implied. 91. Energy Resources, LLC, is a limited liability company. Rather than distribute its profits to its members, Energy wants to reinvest the profits in its business. For this reason, Energy may choose to be taxed as (Points: 2) a corporation. a franchise. a partnership. a sole proprietorship. 92. B2B, LLC, is a limited liability company. Among its members, a dispute arises that the operating agreement does not cover. The dispute is governed by (Points: 2) the applicable state LLC statute. a federal Uniform LLC Law. the principles of partnership law. a state corporation statute. 93. Like the bylaws of other corporations, the bylaws of Retail Sales, Inc., (Points: 2) establish the operating name of the corporation. establish the value and classes of corporate stock. were adopted at its first organizational meeting. were submitted for approval to the public official in charge. 94. Nina is a director of Omega, Inc. Under the standard of due care owed by directors of a corporation, Nina's decisions must be (Points: 2) ambiguous and questionable. arguable and defensible. informed and reasonable. perfect and unassailable. 95. Cole is a shareholder of Donut Holes, Inc. Cole will be deemed to have a fiduciary duty to Donut Holes and its minority shareholders if he has (Points: 2) a restriction on the transferability of his shares. a right of first refusal. a sufficient number of shares to exercise de facto control. watered stock. 96. Mit-E Clean Corporation wants to make an offering of securities to the public. This offering is not exempt from registration under the Securities Act of 1933. Before the firm sells its securities, it must provide investors with (Points: 2) a forward-looking financial forecast. an investment contract. a prospectus. a road show. 97. Hobie, the chief executive officer of Ideal Gamers, Inc. (IGI), intentionally understates the amount of IGI?s debts in information provided to investors as part of an issue of IGI stock. Jaq buys the stock and suffers a loss. Hobie may be subject to (Points: 2) government prosecution and Jaq's suit. neither government prosecution nor Jaq's suit. only government prosecution. only Jaq's suit. 98. Kirk is the chief financial officer of Lemon Corporation, which is required to file certain financial statements with the Securities and Exchange Commission (SEC). Under the Sarbanes-Oxley Act of 2002, Kirk must personally (Points: 2) certify that the statements are accurate. delegate the responsibility for preparing the statements. deliver the statements to the appropriate SEC officer. prepare the statements. 99. Heavy Hauling, Inc., is a public company whose shares are traded in the public securities markets. Under the Sarbanes-Oxley Act of 2002, to ensure that Heavy Hauling?s financial results are accurate and timely, the firm?s senior officers must set up and maintain (Points: 2) internal "disclosure controls and procedures." external "release and reveal timetables." personal "peruse and review liability policies." public "information and discussion forums." 100. Begin Anew Enterprise, Inc., completes its registration process and begins advertising the availability of its new issue of securities. The firm places a tombstone ad in the financial papers. This ad tells prospective investors (Points: 2) about investing. about the company. where to buy the securities. where to obtain a prospectus.Submitted: 6 years ago.Category: Homework