Quiz Mark 2. Business - Business Law

1

A disclosed principal is liable to a third party for a contract made by the agent acting within the scope of his or her authority.

2

Remedies for the Equal Pay Act would include:

3

Louise owned a house next to Robert's house. Robert made a contract with Midcity Painters to paint his house. The painters arrived to paint Robert's house, but mistakenly painted Louise's house. She saw the painters at work and made no comment. Later,

4

If a seller buries important terms of its sales agreement in fine print, this could constitute procedural unconscionability

5

Antitrust suits may be brought by the federal government or by private parties

6

In a closed-end credit transaction:

7

________ authorized the National Labor Relations Board to hold hearings on unfair labor practices and correct wrongs resulting from them.

8

Conditional privilege is provided to employers to encourage them to give honest assessments of their former employees

9

Vysion produces TVs it sells nationwide. Vysion contracted with Karol's Appliances to make it the exclusive distributor of Vysion TVs in the San Diego area. Karol's received a promise that Vysion would not sell its TVs to any other retailer within 20 miles of Karol's. In its San Diego stores, Karol's has a unique pricing policy. A higher price is charged to customers wearing suits than to

in Business

customers not wearing suits. Karol's salespeople give non-suit-wearing customers 10% discounts off of the list price, and refuse any discounts to suit-wearing customers. Don's, a rival of Karol's, asked Vysion to allow it to sell its products in San Diego. Vysion refused, pointing to its contract with Karol's. Vysion's distribution policy differs in New York from what it is in California. In New York, Vysion allows every distributor who asks to sell Vysion TVs. However, Vysion requires that New York retailers sign contracts stating that they agree not to sell Vysion products below prices in a monthly "price list" sent by Vysion. In contracts with its distributors nationwide, Vysion insists that sales of its TVs be tied to sales of its VCRs. No consumer is allowed to purchase a Vysion TV without also buying a Vysion VCR. The contract signed by Vysion with Karol's Appliances that guarantees Karol will be the sole distributor of Vysion products in the San Diego area is:
a. a customer restriction
b. a vertical price restraint c. a retail price restraint
d. a territorial restraint
e. a horizontal price restraint

10

Many states require the owner of lost property to make a reasonably diligent search to locate the finder

11

Felipe is a member of Great States Trucking LLC. Felipe's relationship to Great States ends, but the firm continues to do business. This is

12

If a tortfeasor is engaged in certain activities and someone is injured or killed, then under _____ the tortfeasor is held liable no matter how careful or careless he or she may have been.

13

Commercial Storage Corporation obtains an insurance policy that covers losses to the insured as a result of fire. This is

14

Under the Clean Air Act, the Environmental Protection Agency (EPA) only requires states it classifies as major polluters to develop a state implementation plan for meeting the national ambient air quality standards.

15

One simple way of addressing foreign tax risks is a(n) __________, whereby the local licensee is obligated to pay all taxes other than those specifically allocated to the foreign partner

16

Certain debts are not dischargeable in bankruptcy.

17

Paul and Diana are married and own a home. Both of their names are on the mortgage. This is an example of

18

Payments made by one divorced spouse to the other divorced spouse are collectively referred to as ________

19

A copyright prevents the copying of an idea

20

Which state does your textbook cite as being particularly attractive to companies looking to incorporate?

21

In a federal trademark dilution lawsuit, which of these need the plaintiff NOT prove at trial?

22

Forcing a party to enter into a contract under the fear of threats constitutes undue influence.

23

In incorporating E-prise, the promoter gave an incorrect ZIP Code for the registered agent. All of the other requirements for incorporation were met. E-prise is a(n)

24

Normally, an employer is liable for a supervisor’s sexual harassment only if the supervisor took a tangible employment action against an employee.

25

In recent years, the courts have unanimously reinforced the common law doctrine of employment at will.

26

What is required in order for an offer to be considered a firm offer under the UCC? If a firm offer is silent as to time, what is the effect? Compare this effect with the result of silence as to time under the common law.

27

Chase, the owner of Data Master, a sole proprietorship, wants to obtain additional business capital. This opportunity is most likely limited to

28

The maker or the drawer may create a bearer instrument by using the following language: "to bearer" or "to the order of bearer."

29

What area was picked for the test market?

30

Define mass layoffs

31

The Naples Police Dept. (NPD) has 55 officers and 30 support personnel. NPD has just adopted new hiring standards for new police officers. These include a minimum height of 5'8" and a minimum weight of 160 pounds. Susan is a recent graduate with a Bachelor's Degree in Police Science. She wants to get a job as a police officer in Naples. However Susan is only 5'5" and weighs 130 pounds. If Susan brings a legal challenge to NPD's new hiring standards, what legal basis might she have?

32

With reference to the United States Bankruptcy Code, which of the following is an advantage of bankruptcy to debtors?

33

Which of the following is true of limited liability companies? A) An LLC can be sued by third-parties as a separate entity

34

Dangers that were not known or not fully appreciated at the time the product was manufactured are known as and account for the largest dollar volume and greatest number of product liability cases

35

Examples of agreements that violate government statutes and are unenforceable by the courts are contracts for the sale of alcohol by licensed distributers.

36

Briefly describe the two clauses included in the concept of freedom of religion.

37

What options did the employer have at its disposal to improve the performance of the sales department other than the massive terminations of its older employees?

38

Discuss the scope of the Endangered Species Act

39

Define and compare the terms "vagueness" and "ambiguity."

40

When a shareholder brings a _______ action, he is suing on behalf of the corporation itself to enforce a right

41

A promoter who enters a preincorporation contract in the name of the corporation usually remains liable on the contract even if the corporation adopts it

42

What is the reasonable person standard? How is it applied to each of the following? a. Children b. Persons with physical disabilities c. Persons who are mentally retarded d. Professional people with advanced degrees and training, such as doctors, lawyers, and accountants e. Persons acting in emergency situations f. Persons who violate statutory duties

The reasonable person is a fictitious individual who is always careful and prudent and never negligent. The reasonable person standard is external and objective.
a. Children must conform to the standard of a reasonable person of like age, intelligence, and experience under like circumstances.
b. The standard is that of a reasonable person under like disability.
c. A mentally retarded person is held to the standard of conduct of a reasonable person who is NOT mentally deficient.
d. Persons who practice a profession are held to the same care and skill normally possessed by members in good standing of their profession
e. Emergencies are taken into consideration. The standard of care is that of a reasonable person under the circumstances, and the emergency is considered to be part of the circumstances.
f. If the statute is found to be applicable, the majority of courts hold that an unexcused violation is negligence per se; that is, it is conclusively negligent conduct.

43

Assume that a client who sells rare, antique artwork wishes to sue a party who agreed to buy an original painting by Picasso. The client flew to Chicago to discuss the deal with the potential buyer and incurred $2,000 in travel expenses

44

Which of the following is included in the formalities of forming a corporation?

45

An alternative name for case law is statutory law.

46

Need for a product, or anxiety and other stress experienced during a business transaction, or price gouging may make a consumer's choice less voluntary, and misleading advertising or incomplete understanding of a product's complexity may make his or her consent less informed.

47

When an administrative agency is established, the legislature usually:

48

In a pollution case involving a public nuisance, the right held in common by the public that has likely been violated is the:

49

Edward's Excursions Inc. filed for Chapter 7 bankruptcy. It has $100,000 of assets and has the following debts outstanding:$50,000 to Arthur secured by a boat worth $25,000.$30,000 to Bradley secured by a truck worth $30,000.$20,000 to Clarence unsecured.The month before Edward's closed and filed for bankruptcy, its employees earned $10,000 for which they did not get paid. They also should have been credited with $3,000 for their pension plan. Edward's owes $4,000 in back taxes. In the process of administering the estate, the trustee paid $5,000 in attorney fees. In what order will these claims be paid?

Secured-Arthur gets $25,000 from the boat (or sale); Bradley gets $30,000 from the truck (or sale). Unsecured-attorney, $5,000; employees, $10,000; pension plan, $3,000; taxes, $4,000; Arthur and Clarence share $23,000 on a pro-rata basis.

Summary:
$100,000
- 25,000	to Arthur (secured)
75,000
- 30,000	to Bradley (secured)
45,000
- 5,000	to attorney (priority)
40,000
- 10,000	to employees (priority)
30,000
- 3,000	for pension plan (priority)
27,000
- 4,000	for taxes (priority)
23,000	to be divided between Arthur and Clarence for their unsecured claims of $25,000 and $20,000 respectively. Arthur will get 25/45 and Clarence will get 20/45, or $12,777.77 and $10,222.22 respectively. Arthur and Clarence are both general creditors on these claims and thus they must share on a pro-rata basis.

50

A(n) ________ is a corporation where the outstanding shares of stock and managerial control are held by fewer than ________ shareholders.

51

The right to ___________ is a second chance for a seller to make a proper tender of conforming goods

52

A sale involving both goods and services is known as a mixed sale

Find your answers, solutions and more...

We made it much easier for you to find exactly what you're looking for on Sciemce. Enjoy our search engine "Clutch."

Save a GPA. Donate your notes with us.

Quiz Mark 2. Business - Business Law

Recent Packs