Business Law Final Study Guide
Section 2 of the Sherman Act states that:
"Every person who shall monopolize, or attempt to monopolize shall be deemed guilty of a felony."
According to the stakeholder theory, __________.
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Courts today often determine that an at-will employee's firing was a violation of an implied employment contract term.
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Which of the following is true about the U.S. Constitution?
????
Betty hired workers from the privileged class but without the use of specific contractual terms. This scenario is an example of _____.
?????
Which of the following is a part of the Fifth Amendment?
?????
Which of the following is a point of view that influences the Critical Legal Studies school of legal thought?
??????
Which of the following is true according to the first tier or substantive due process claims?
??????
Which of the following is true for the relationship between rights and duties in positive law?
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The source of law that is foundational in the US legal system is
??????????
Which of the following is a proximate cause?
A cause that is foreseeable and "not too remote"
The court has created three classifications under the Fourteenth Amendment. The outcome of any equal protection case can usually be predicted by knowing how the court is likely to classify the case. That said, which of the following is true?
A government action interfering with a fundamental right will receive strict scrutiny.
Which of the following is an example of battery?
A person poking someone in the chest with his/her finger to emphasize a point
Which of the following is a necessary condition for a partnership by estoppel?
A representation to a third party that there is in fact a partnership.
In Virginia Rulon-Miller's case, the court's decision (judgement) was based on which source or sources of law
A state Constitution
In Pennzoil v. Texaco, there was intentional interference with "contractual relations." Which of the following statements are true?
According to Pennzoil, there was only a memorandum of understanding, not a contract.
An employer voluntarily makes up for his or her past discrimination by hiring workers from disadvantaged classes. What is the employer's voluntary action known as?
Affirmative action
Which of the following is true of assignment of partnership rights in a limited partnership? 4
An assignee of a limited partnership becomes a partner if provided for in the certificate.
Which of the following is an example of quid pro quo?
Ariana's boss promised her a promotion if she went out on a date with him.
Which of the following is true according to Aristotle and Virtue theory?
Aristotle rejected wealth, pleasure and fame as the distinguishing feature of humans as opposed to other species.
Mr. Brown, Mr. Hobbs, and Mr. Young want to enter into a partnership to open a food joint. Which of the following names for their partnership need not be registered under the fictitious names statutes of their state?
Brown, Hobbs, and Young.
Tort law addresses
Cases that involve some kind of harm between plaintiff and defendant when no contract exists.
According to conscious capitalism, which of the following is true?
Companies should operate with a holistic of systems view.
In the seventeenth century, kings extracted higher taxes and intervened more directly in the affairs of businesses by refusing to permit them to operate in corporate form except by royal grant. This came to be known as the _____.
Concession theory
_________ helps companies support the idea that profit and prosperity must go hand in hand with social justice and environmental stewardship
Conscious capitalism
The ________ would use the law to overturn the hierarchical structures of domination or power in the modern, contemporary society.
Critical legal studies school of thought.
_____ is a remedy used to break up a firm into smaller, independent units, where the firm has exercised its monopoly power unlawfully.
Diverstiture
Which of the following is not directly covered by federal law?
Employment discrimination based on marital status
"Act utilitarianism" describes the rule or principle, if followed routinely, that creates the greatest good.
False
"An employee was fired because he complained to the state environmental agency that his employer was allowing polluted water into the storm drainage system, in violation of environmental laws. If he was an at-will employee, his firing was allowable."
False
"Assault" is defined as the unauthorized and harmful, injury-causing or offensive physical contact with another person
False
"Jim Crow" was the nick-name of James Crow, an influential Southern senator who promoted equal employment rights for blacks in the U.S.
False
A "foreign" LLC means its registration was originally in a foreign country.
False
A business managers fiduciary duty refers to resisting hostile takeover bids or proposals.
False
A closely held corporation cannot have assets greater than $50 million dollars.
False
A corporation can never be a partner in a partnership.
False
A creditor beneficiary cannot sue to enforce the terms of a contract because he is not a party to the contract.
False
A donee beneficiary has no right.
False
A gratuitous assignment is always revocable.
False
A horizontal merger might occur when a baby store operating in California acquires a movie ticket distributor in Los Angeles.
False
A limited partner who is in competition with her limited partnership may not inspect the firm's books and records.
False
A limited partner's ability to divest herself of her interest in the firm requires agreement among the other limited partners and the general partner.
False
A publicly held corporation is a government entity.
False
Able and Baker had a partnership and in that capacity incurred debt. If they convert to an LLC their old debt will be subject to the insulation from personal liability that characterizes the LLC.
False
According to most observations about corporations, ethics, and corporate culture, the best code of ethics tend to be compliance driven.
False
According to the Fifth and Fourteenth Amendments, all corporations doing business in the United States also have the privilege against self-incrimination guaranteed for natural persons.
False
All states have adopted the Revised UPA.
False
An at-will accountant could be fired for refusing to participate in "cooking" the books-in misrepresenting the true financial condition of the firm she works for.
False
Article III of the Constitution refers to the powers and jurisdiction of administrative agencies
False
As per the Uniform Limited Partnership Act (ULPA)-1985, limited partners do not have the right to inspect the firm's books and records.
False
As with general partnerships, the general partner in a limited partnership is not usually salaried.
False
Belmont applied for a job with Cole Co. but didn't get hired because, Cole said, he was only 28, "too young for this work." Belmont has a good age discrimination case against Cole.
False
Cases like U.S. v. Lopez and U.S. v. Morrison continued the trend since World War II that Congress could use the commerce clause to legislate very broadly for the public good.
False
Civil law systems are most often seen in countries that were at one time under British colonial rule
False
Common law is made up of decisions by courts that involve interpretations of statutes, regulations, and treaties
False
Contract rights are always assignable
False
Creation of a limited partnership is as easily done as creating a general partnership.
False
Dissolution of the LP is necessarily followed by its winding up and termination.
False
Employment discrimination based on sexual orientation is covered by the federal law
False
For purposes of the Privileges and Immunities Clause of the Constitution, corporations are considered citizens.
False
If a business entity is created to insulate its owners from person liability beyond their contributions, a court will "pierce the corporate veil" and hold these people personally liable for obligations to their creditors because what they have done is considered a fraud on creditors.
False
If a competitor lies about your product, your remedy would be in contract law, not tort law
False
If you have a right of free expression, the government must respect that right, but can put unreasonable limits on it.
False
In a publicly held corporation, which has many shareholders, the separation of ownership and control is less pronounced.
False
In case of limited liability companies (LLCs), all the members are equally liable to third parties regardless of the owner's level of participation.
False
In case of limited liability limited partnerships (LLLPs), only the limited partners benefit from a full, status-based liability shield.
False
In the 19th century U.S. courts protected workers' rights to form unions by refusing to declare strikes "criminal conspiracies."
False
International torts result from a defendant's failure to exercise ordinary or "due" care.
False
It is not necessary to file with the state to achieve the limited liability of the LLC.
False
It is not unlawful for a union to bargain with an employer to sell its products above a certain price floor.
False
It would be lawful for Toyota and Ford to agree that Ford would sell no cars in California provided that Toyota would sell no cars in Illinois, Indiana, Michigan, and Ohio.
False
LLCs cannot have free transferability of the LLC interest.
False
Limited partners may vote to terminate the LP.
False
Limited partners owe fiduciary duties to the limited partnership.
False
Members of the public are intended beneficiaries of contracts made by the government with a contractor to do public works.
False
Most duties in a contract are almost never expressly delegated.
False
Partnership law permits an investor to put capital into a general partnership and realize tax benefits without liability for the acts of the other partners.
False
Personal services are delegable.
False
Sherman Act violations against price-fixing are limited to minimum prices, not maximum prices.
False
State and federal statutes that prohibit discrimination on the basis of race or gender are basically legislative exceptions to the civil-law employment-at-will rule.
False
Statements made during the course of judicial proceedings can serve as a basis of defamation suit.
False
The Citizens United case struck down some federal statutory limits on corporate electioneering communications.
False
The Equal Pay Act of 1963 covers federal workers.
False
The LLC is a good vehicle to raise significant money from a public offering of its membership.
False
The LLC is always centrally managed, like a partnership.
False
The United States has followed the example of other industrialized democracies in having a Supreme Court that has the exclusive power to interpret what the Constitution means.
False
The control of the limited partnership is in the hands of the limited partners.
False
The existence of an at-will partnership would need to be evidenced by some writing in order to avoid invalidation under the statute of frauds.
False
The great disadvantage of the LLC is that the managing person stands liable as a general partner.
False
The law of negligence requires us to avoid doing anything that is harmful to others, regardless of how unforeseeable the harm might be. This way, we are all protected from harm at the hands of others.
False
The law regarding LLCs is fairly uniform throughout the U.S.
False
The positivist school of legal though relies on social context and the actual behavior of the main people who enforce the law
False
The primary disadvantage of the Sub-S corporation remains the double taxation of its income.
False
The problem with early efforts to form LLCs was that they were not "corporate-like" enough.
False
Tort law is intended to punish wrong-doers so that the public is protected from negligence and internationally harmful acts.
False
Under product misuse, a plaintiff who uses a product in an unexpected and unusual way will typically be able to recover money damages for injuries caused by such misuse.
False
Under the Constitution, politicians from a small number of states can block a treaty's ratification in the U.S. House of Representatives.
False
Under the Uniform Commercial Code, an assignments of rights in excess of $1,000 must be in writing
False
Under utilitarianism, we can rest assured we are acting ethically whenever our act provides the greatest benefit to us, even if it does not provide the greatest benefit to society as a whole.
False
We define ethics as the study of what is right and wrong. And, only right and wrong from an individual's subjective moral point of view.
False
When Congress delegates authority to an administrative agency, Congress can leave guidelines for agency action so vague that the agencies can do practically anything they want
False
When a member of the LLC dies or becomes bankrupt, the LLC necessarily dissolves.
False
When the promisee is not indebted to the third person but intends for him or her to have the benefit of the promisor's performance, the third person is a creditor beneficiary.
False
Whenever the word "good" is used, we always mean "morally" or "ethically" good.
False
the First Amendment offers little protection for those who would deliberately inflict emotional distress on Facebook or other social media, so making fun of a public figure in the U.S. is legally risky.
False
The commerce clause gives the Commerce Department the exclusive power to make laws relating to foreign trade and commerce and to commerce between the various states.
False.
Unlike the Revised Uniform Partnership Act (RUPA), the Uniform Partnership Act (UPA) does not permit partnerships to form among anyone apart from natural persons.
False.
The Sherman Antitrust Act of 1890 was formed to:
Forbid combinations in restraint of trade and monopolizing.
What is the "agency problem" often discussed in corporate governance?
How to get the managers' interests well aligned with the shareholders interests.
Which of the following is the best example of the dormant commerce clause?
If a state law is an "undue burden" on interstate commerce, it will be struck down.
Where was natural law discovered?
In constitutions and statutes?
A code-law system __________.
Is one where all the legal rules are in one comprehensive legislative enactment
What is the significance of President Lyndon Johnson's Executive Order 1126?
It prohibits private discrimination by federal contractors.
Dominator culture is _________
One in which man is tasked with making all that he controls economically productive.
What is an example of a social contract?
Options A & B. Option A - the rules of a sorority Option B - the Constitution of the United States
_____ is a partnership arising when in fact none exists, where one allows himself or herself to be represented as a partner, thus incurring partnership liability.
Partnership by estoppel
Which of the following statements is true of partnerships?
Partnerships between parents and minor children are lawful.
Which of the following is true regarding civil cases?
Plaintiff brings the case and defendant must answer
Which school of thought says that law is "the command of a sovereign"?
Positive-law school of legal though
_____________ describes what rule or principle that if followed regularly, will create the greatest good.
Rule utilitarianism.
Which of the following is most likely to be considered a partnership?
Scissors, a salon for women, co-owned and managed jointly by Wanda and Ginny, who share profits equally.
Which of the following is true regarding the stakes of various stakeholders?
Some stakeholders can be economically dependent, even without an ownership interest.
If the business cannot be performed within one year from the time that the agreement is entered into, the partnership agreement should be in writing to avoid invalidation under the:
Statute of Frauds.
Which of the following is stated by Article I, Section 8, which sets forth the powers of the federal legislature?
The Congress shall have power to regulate commerce with foreign nations.
Which of the following prohibits employers from using voice stress analyzers on employees?
The Employee Polygraph Protection Act
Which of the following is known as the "Typhoid Mary of Antitrust?"
The Robinson-Patman Act
Which of the following is true about fundamental liberties?
The Supreme Court is said to have selectively incorporated the Bill of Rights as binding on states using due process clause of the Fourteenth Amendment
Which of the following should be the Supreme Court's preferred course of action, if it wants to determine the degree with which margarine can act as a substitute product for butter due to the latter's increase in prices?
The Supreme Court should look at the cross-elasticity of demand between margarine and butter.
RUPA makes partnerships legal entities in which respect? Partnerships have....
The ability to own property in their own names
A corporate veil could be pierced in which of the following circumstances?
The corporation is inadequately financed.
Which of the following is true in the case of a tort?
The judgement against a defendant in a civil tort suit is usually expressed in monetary terms.
The manager's fiduciary duty refers to _________.
The moral duty managers have to act as responsible agents to the owners.
Which of the following is true of a closely held corporation?
The shareholders in a closely held corporation are fewer in number.
The legal realist school of thought states that
The social context of law is critically important
Which of the following is true of a publicly held corporation?
The stock in a publicly held corporation is widely held.
In Lester v Albers Super Markets, Inc., the court's decision was largely based on which of the following reasons?
There was no force or threat of any character.
"Common law" began with decisions by judges in England
True
"Conscious capitalism" combines the viewpoints of stakeholder theory and shareholder primacy
True
"critical legal studies" scholars accept the general idea that law is fair and neutral in distributing goods among members of society
True
A benefit to the LLC is that no annual meetings are required and no minutes need to be kept.
True
A charter is essentially a contract between the state and the corporation.
True
A consent decree is a judicial order entered into by defendants in lieu of litigating, in which they admit their guilt but agree to not carry on certain activities complained of.
True
A corporation is a "person" capable of suing, being sued, and having rights and duties in our legal system.
True
A delegation is the transfer to a third party of the duty to perform under a contract.
True
A holding is the court's complete answer to an issue that is critical to deciding the case and helps people interpret the meaning of the case as a precedent (standard going forward) for future cases
True
A horizontal merger occurs between competitors.
True
A limited liability limited partnership (LLLP) is a limited partnership that affords insulation from personal liability to all members.
True
A limited partner can withdraw from the firm at any time, with proper notice.
True
A news magazine may use a baseball player's picture on its cover without first obtaining written permission
True
A novation ordinarily arises when a new obligor agrees to pay or do that which was agreed to by the original obligor to the contract, and obligee accepts this new arrangement.
True
A partnership by estoppel is a legal finding that a partnership exists even though the "partners" did not intend to have a partnership.
True
A partnership may or may not have a partnership agreement as long as the tests of partnership are met.
True
A public or municipal corporation is a governmental entity.
True
A right that will arise from a future contract cannot be the subject of a present assignment.
True
A state's long-arm statute cannot grand personal jurisdiction that the state cannot constitutionally claim
True
A vertical allocation of customers or territory is only illegal if competition to the markets as a whole is adversely affected.
True
According to Michael Josephson, if a decision does not exist that satisfies the greatest number of core values, you should try to determine which decision delivers the greatest good to the various stakeholders
True
According to contract law, breaking a promise (or promise-breaking) without a legal excuse would be unethical
True
According to the Uniform Partnership Act, the various forms of joint ownership by themselves do not establish partnership, whether or not the co-owners share profits made by the use of the property.
True
According to the case Harris v. Forklift Systems, an employee does not need to prove severe psychological injury in order to win a Title VII sexual harassment claim
True
According to the theory of natural law, it is morally acceptable for a person to demonstrate civil disobedience of a positive law that violates natural law
True
Agreements by competitors to boycott those who engage in undesirable practices are unlawful.
True
An obligee is one who has the right to receive a contract benefit.
True
As in a partnership, the limited liability company (LLC) property is not specific to any member, but each has a personal property interest in general.
True
California law does not allow for a limited liability limited partnership (LLLP) to be formed in California.
True
Choosing the particular state in which to incorporate is one of the first critical decisions to be made after deciding to incorporate.
True
Corporations are frequently the general partner in a limited partnership.
True
Drafters of the Sherman Act based the act on a common-law policy against monopolies and other infringements on competition.
True
Economist Milton Friedman is often quoted as having said that the only moral duty a corporation has is to make the most possible money, or to maximize profits, for its stockholders.
True
Even if the incorporators omit some important steps, it is still possible for a court, under estoppel principles, to treat the business as a corporation.
True
Failure to follow corporate formalities may subject stockholders to personal liability.
True
Generally, the S corporation pays no corporate income tax.
True
Hudson's Bay Company, founded in 1670, still operates today.
True
If a person receives a share of the profits of a business, it is assumed she is a partner.
True
If a plaintiff recovers $1 million as compensatory damages, she doesn't need to pay tax on the award.
True
If partners have no partnership agreement, their relations are governed by the UPA or its derivatives.
True
If seniority systems are not the result of intentional discrimination, they are lawful.
True
If the certificate of limited partnership that is filed with the secretary of state is substantially defective, a general partnership is created.
True
Immanuel Kant said that we should be able to universalize any particular law or action to determine whether it is ethical
True
In 1888, both Republicans and Democrats put an antitrust plank in their platforms.
True
In Katko v. Briney, the court held that a property owner was not legally justified in using a spring-gun capable of inflicting death or serious injury to protect an unoccupied structure on his property
True
In Title VII of the Civil Rights Act of 1964, Congress for the first time outlawed discrimination in employment based on race, sex, or national origin.
True
In a civil case, the tort victim or his family brings the action (not the state).
True
In a strict liability case, the plaintiff does not need to show "fault" (or negligence).
True
In determining a case public figures must prove that the defendant only had the facts wrong, but also lied to the public in a malicious way with reckless disregard of the truth.
True
In the 1950s and early '60s, police used tear gas, truncheons, firehoses and vicious dogs to dissuade African Americans in the South from exercising their constitutional rights to equal protection.
True
LLC members are not liable for contracts made or torts committed in the scope of business.
True
Liability between two partners in a partnership is shared.
True
Limited liability companies are the entity of choice for people who know what they are doing.
True
Limited partners have no power to dissolve a firm, except on court orders.
True
Limited partnerships were recognized in the early twentieth century and today are governed mostly by the Uniform Limited Partnership Act.
True
Mrs. Knittle quits her business, Knittle's Knitting Shop; she assigns the lease and her insurance policy to Parker's Pistol Packing, a company that packs shotgun shells with gunpowder. The assignment of the insurance policy is ineffective.
True
No agreement is necessary to form a partnership.
True
Non-registration of the partnership name will violate the assumed or fictitious name statutes of most states.
True
Partnership law imposed personal liability on the partners because people tend to be more careful when they are personally liable for their own mistakes and bad judgment.
True
Partnerships "at will" are not covered by the Statute of Frauds
True
Partnerships are not taxable entities and so they do not pay income taxes.
True
Possessing a monopoly is not per se unlawful.
True
Price-fixing agreements are per se violations of Section 1 of the Sherman Act.
True
Prior to the 1800s, incorporation was typically granted in United States only by special acts of state legislatures.
True
Problems of acceptance of an assignment normally arise only when the assignor intends the assignment as a gift.
True
Quid pro quo sexual harassment is said to exist when any part of the job is made conditional on sexual activity.
True
Stakeholders can be economically dependent without having ownership
True
States cannot constitutionally pass laws that interfere with federal laws, but if not preempted from acting legislatively in a given area or subject, states can pass standards that are more stringent than the federal laws.
True
Sub-S corporations, limited liability partnerships, and limited liability limited partnerships are all entities.
True
Substantive legal rules tell us how to act with each other, and how to act with regard to the government
True
The "actual cause" as an element of proving negligence is sometimes referred to as the "but for" cause. For example, "But for" the negligence of the defendant, the plaintiff's injuries would not have occurred.
True
The "corporate veil" means that there is a separate, legally recognized corporate entity that shields the people behind the corporation from personal liability.
True
The Citizens United v. Federal Election Commission case held that corporations are "persons" with "free speech rights" and can spend unlimited amounts of money in political advocacy.
True
The Clayton Act was enacted in 1914 to plug the loopholes in the Sherman Act.
True
The Federal Trade Commission Act is a civil statute, involving no criminal penalties.
True
The LLC is an entity.
True
The LP is almost always a "mere conduit" for income to the owners so that it pays no income tax.
True
The Robinson - Patman Act applies only to sale of commodities.
True
The Supreme Court has articulated the view that the U.S. Constitution sets the framework for all other U.S. laws, whether statutory or judicially created.
True
The Supreme Court has reserved for itself the power to determine when state action is excessive, even when Congress has not used the commerce clause to regulate.
True
The U.S. Supreme Court can reject and override the president's executive orders if they don't align with the Constitution's language and how the constitution has been previously interpreted.
True
The UPA allows partnership to own property.
True
The Uniform Partnership Act (UPA) and the Uniform Limited Partnership Act (RUPA) served as codification and rationalization of the common-law and equitable rules that governed partnerships in the 19th century.
True
The agency problem in corporate governance is about how to well-align managers' interests with the shareholders' interests
True
The beneficiary's rights are always limited by the terms of the contract.
True
The beneficiary's rights may be altered as long as they have not vested.
True
The civil law system (based in Roman and Napoleonic law) is one alternative to the common-law legal system
True
The constitution says that the president has the veto power to over-ride any legislation, but the House and Senate can override a presidential veto with a two-thirds vote in each chamber
True
The decline of union membership is one cause of the increasing income inequality in the U.S.
True
The delegation of a duty leaves the delegator still liable.
True
The fictitious names statutes in most states of US require that anyone doing business under a name other than his real name register the name.
True
The first step in the termination of the limited liability company (LLC) is dissolution.
True
The mercantile theory of the law merchant held that the partnership is a legal entity that can have rights and duties independent of those its members.
True
The more the law affords business people insulation from personal liability, the more business risks they tend to take.
True
The obligor must be informed of an assignment for it to be valid.
True
The owners of S corporation have limited liability.
True
The right of a child to freely contract for long, tedious hours of work was upheld by the court in Hammer v. Dagenhart in 1918.
True
The third wave of the limited liability partnership (LLP) legislation offered full shield protection which meant no unlimited liability at all.
True
The true measure of morality is a positive result rather than rules, according to utilitarianism
True
The word tort comes from the Latin word tortum, which means twisted or crooked.
True
To put an assignment into effect, the assignor must make known his intention to transfer the rights to the third person.
True
U.S. law imposes no obligation to rescue anyone in a situation we did not create or have a hand in creating.
True
ULPA-2001 abolishes the "control rule" and allows full limited liability for limited partners even if they participate in the management of the LP.
True
Under ULPA-1985, a limited partner who became significantly involved in running the business lost her status as a limited partner and became a general partner.
True
Under the Constitution, the federal government is allowed to ask any of its employees or take an oath that they will defend the Constitution from "all enemies, either foreign or domestic."
True
Unlike corporations, partnerships can be created accidently.
True
What is legal is not always ethical and what is ethical is not always legal.
True
According to 1973 Griswold v. Connecticut case, Roe v. Wade, the Supreme Court did not act on the basis of clear and unequivocal direct language in the Constitution that protects individual privacy.
True.
The original source of limited partnership law is the _____ that was drafted in 1916.
Uniform Limited Partnership Act (ULPA)
Sharing of profits of a business gives rise to...
a strong but rebuttable presumption that the business is a partnership.
According to deontology ____________.
abiding by the right rules is emphasized instead of achieving the best results.
There is a well-established defense to a plaintiff's tort action where the plaintiff has knowingly and voluntarily entered into a hazardous activity, which results in injury. This is known as _____.
assumption of risk
Compensatory damages include what kinds of things?
both money and lost wages
The power of small states is magnified by the Senate's _____, which traditionally requires 60 out of 100 senators to vote to bring a bill to the floor for an up-or-down vote.
closure rule
Merv Grazinski, driving his Winnebago, put it on cruise control to go make coffee. The Winnebago went off the road, turned over several times, and left Grazinski paralyzed from the waist down. He brings a product liability lawsuit against Winnebago. Which of the following is the best possible defense for Winnebago to use at trial?
contributory negligence
A corporation that exists in law, having met all of the necessary legal requirements is called a _____.
de jure corporation
In a(n) _____ type of Title VII case, the employee should show the effect of the employer's discriminatory action.
disparate impact
In a(n) _____ type of lawsuit, the plaintiff asserts that because of race, sex, religion, or national origin, he or she has been treated less favorably than others within the organization.
disparate treatment
Based on the supremacy clause, the _____ says that state and federal laws that conflict must yield to the superior law, which is federal law.
doctrine of preemption.
The court's ruling in Bush v. Gore was allegedly based on the _____.
equal protection clause
When Congress uses its power under the commerce clause, it can expressly state that it wishes to have _________.
exclusive regulatory authority
A partnership intentionally created and recognized, orally or in writing is known as a(n) _______________ partnership.
express
Michelle bakes cakes during her vacations and sells them to people in her neighborhood. Her friend Diana visits her during the vacation and helps her out in baking. Michelle knows that baking is a lot of work, and insists on paying Diana for helping her. Diana picks up the techniques of baking quickly and soon begins visiting Michelle daily, to help her bake. She begins looking for new customers for cakes and, on Michelle's insistence, they start sharing the profits. Under this case, Michelle and Diana have a(n) _____ partnership.
express
The historical school of law ________.
felt that precedent would be more important than moral arguments
Under the Employee Retirement Income Security Act, employees are entitled to vested interests in retirement benefits within _____ of beginning employment.
five years
In criminal cases,
guilty defendants are punished
Which is not true about a partnership name? It cannot...
include the name of any of the partners.
Under the _____ a seller who deals with two or more retail customers but passes their orders on to a single wholesaler and sells the total quantity to the wholesaler in one transaction, can be held to have violated Section 2 of the Clayton Act.
indirect purchaser doctrine
A limited liability company:
insulates its owners from pass-through taxation.
In Katko v. Briney the plaintiff was injured by a spring gun while trespassing on the defendant's property. The court held that it was a(n) _________.
intentional tort
A municipal corporation:
is not organized for profit.
Article I of the Constitution discusses ________.
legislative powers
Carl and Christine decided to open a small food joint together by investing capital and sharing the profits. However, Christine chose not to participate in the day to day activities of the food joint and Carl was singularly liable to any losses that their food joint made. It can be said that a _____ was formed by Carl and Christine.
limited partnership
A horizontal restraint of trade differs from a vertical restraint of trade in that the horizontal restraint of trade:
limits the competition between rival firms in the same industry.
A New York statute makes it a(n) _______ to use the name, portrait, or picture of any person for advertising purposes or for the purposes of trade (business) without first obtaining written consent.
misdemeanor
T&U Ltd. drives its competitors out of business by charging low prices for its mopeds, thus becoming the only moped provider in the market. This resultant market is known as a(n)_____.
monopoly
Public corporations are also known as _____ corporations.
municipal
A partnership agreement need not discuss:
none of these need to be in the partnership agreement
In Whitlock v. University of Denver,
options a & b option a - the trial jury awarded Whitlock compensatory damages, believing that the University had been more negligent than Whitlock himself. option b - the Supreme Court of Colorado made an important distinction between a "negligent failure to act" and "negligent affirmative action"
Title VII of the Civil Rights Act of 1964:
outlawed discrimination in employment based on race, religion, sex, or national origin.
Eva enters into an agreement with Ron to purchase $5,000 worth of shares in Happy Supermarket Inc. before the incorporation of the Happy Supermarket. The offer is deemed accepted at the moment the supermarket is incorporated. This offer or agreement is also known as _____.
pre-incorporation stock subscription
The _____ dictates that the question of regulatory propriety must first be submitted to the regulating agency before the courts will rule on an antitrust question.
primary jurisdiction doctrine
B&T Inc. sells exclusively to Humdingers in North Dakota, and T&Y Inc. sells both to Humdingers and several other wholesalers. If T&Y Inc. cuts its prices to Humdingers while charging higher prices to the other wholesalers, B&T Inc. experiences an adverse effect. This adverse effect is an example of a(n)_____.
primary-line injury
Contract law states that ___________
promise-breaking is unethical
_____ are individuals who take the steps necessary to form the corporation, and they often will receive stock in exchange for their efforts.
promoters
Delta Inc., a large private corporation that deals in the manufacturing of car engines, is listed in the national stock exchange and has about 1,900 shareholders. The shareholders are allowed to freely transfer their interest in shares with the help of the stock exchanges and are eligible for certain dividends based on the number of shares they hold. It would be correct to say that Delta Inc. is a _____ corporation.
publicly held
According to utilitarianism, __________.
results, not rules, are emphasized
Grain Train Inc. sells wheat to both Whack Inc. and Snack Inc., both manufacturers of wheat breads in New York. However, Grain Train Inc. helps Pack Inc. cut its costs by supplying wheat at low prices which in turn distorts the competition between Pack Inc. and Snack Inc. This is an example of a(n) _____ at the buyer's level.
secondary-line injury
The Occupational Safety and Health Act gives the _____ the power to establish national health and safety standards.
secretary of labor
Thomas Hobbes is generally regarded as the preeminent ______ theorist.
social contract
The _____ clause of the Fifth Amendment ensures that the government does not take private property without fair compensation
takings
Which of the following kinds of law are most often found in state law as opposed to federal law?
torts and contracts?
Which of the following are "core values", according to Josephson?
trustworthiness
The owner of B&K Inc., a cookie manufacturing company, entered into an agreement with Edwin, a retailer. According to the agreement, Edwin was not allowed to sell the cookies of B&K at a price lesser than $2 per pack. This is an example of a(n) _____.
vertical restraint of trade
In labor union law, a "closed shop" is
where a person doesn't have to join a union, but must pay the union an amount equal to union dues.
