Business Law 335 - Section 2 - True and False, Business Law 335 - Section 3 - True and False, Business Law 335 - Section 1 - True and False

A bill of sale must be prepared on a specific legal form.

False

A company may terminate an employee because the employee has joined a labor union.

False

A competent party may delegate his or her service on a jury to another by appointing an agent.

False

A contract for labor and materials must always be in writing, regardless of the amount of money involved.

False

A contract is always legal and enforceable as long as the parties are competent and they have a mutual understanding.

False

A contract made by a person while intoxicated must be ratified in writing within 30 days.

False

A contract must be completely performed in all its details in order to be considered terminated.

False

A contract with a minor can be ratified by either party.

False

A disadvantage to alternative dispute resolution is that it is far more time-consuming than litigation.

False

A limited partner is allowed to participate in the overall management of the business, and at the same time maintain limited liability.

False

A minor's disaffirmance must be in writing to be effective.

False

A novation is a special kind of assignment where none of the parties to the contract are required to agree to its terms.

False

A party to a contract is released from his or her obligations if a law is passed that increases the cost of performing the contract.

False

A specific oral promise made by a seller is an implied warranty.

False

A straight bill of lading is an instrument used to collect money owed.

False

A tender of performance does not relieve a contracting party of his or her obligation to perform.

False

A third party who benefits incidentally from a contract has a right to the benefits if they exceed $500.

False

A warranty of habitability is the tenant's promise that he or she will inhabit the property according to the terms of the lease

False

Administrative agencies enforce only laws enacted by legislatures.

False

Agreements in restraint of trade can be prosecuted only under federal law.

False

Agreements that restrain marriage are valid if both parties agree to all provisions.

False

All agreements between two competent parties are contracts.

False

All bankruptcy filings are involuntary.

False

All states prohibit all forms of gambling.

False

An agreement based on an illusory promise is enforceable if the purpose of the agreement is legal.

False

An agreement that cannot be completed within six months must be in writing.

False

An alteration that a buyer makes in a product is known as a product flaw.

False

An electronic signature will not satisfy the Statute of Frauds.

False

An employee who performs only mechanical acts under the employer's direction and is subject to the employer's control is legally an agent.

False

An offer to pay for a benefit after it has been received is enforceable.

False

Any warranty can be canceled if the seller claims that it is causing him or her to lose money.

False

Applying the provisions of Superfund has been an easy process, and it has had uniform success.

False

Arbitration clauses in employment contracts are never enforceable.

False

Both breach of warranty and product liability lawsuits are based on tort law rather than contract law.

False

Chapter 9 bankruptcy is sometimes referred to as straight or liquidation bankruptcy.

False

Contracts made while a person is intoxicated are voidable by either party.

False

Contracts that specifically prohibit assignment in their wording can still be assigned if the assignee is known to be a reputable person.

False

Corporations may freely give both charitable contributions and political contributions.

False

Discrimination in employment is covered in Title III of the Civil Rights Act of 1964.

False

Employees who are victims of illegal discrimination may recover for lost earnings but not for emotional distress

False

Environmental regulation is not yet a distinct area of the law.

False

Except for promissory notes, the injured party in a contract may bring suit whenever he or she receives notice that the other party intends to breach the contract.

False

Excess noise (as measured in decibels) cannot affect human health and well-being.

False

Federal law requires that employers establish employee assistance programs.

False

Fixtures are additions to personal property

False

If a court has the power to review the decisions of another court, it has original jurisdiction.

False

If a person knowingly makes a false statement of a material fact in a contract with the intent that the other party rely on it, the person making such false statement can be charged with puffing.

False

Implied contracts are those dealing only with personal transactions.

False

In a Chapter 11 bankruptcy, all daily business decisions must be made and implemented by the bankruptcy court.

False

In a partnership, it is necessary that profits and losses be shared in the same percentages.

False

In a partnership, the expulsion of one of the partners must always be for cause.

False

In all states, the crime of bribery is limited to giving or taking money or property to influence a public official.

False

In an agency exists "at will" the principal has the right to revoke the agency agreement and discharge the agent provided such discharge is for a good reason

False

In most cases, duties required in an employment contract are not delegable.

False

In most cases, the individual voter has direct control over administrative agencies.

False

In order to violate the Computer Fraud and Abuse Act, an individual must act with intent.

False

In our country, the principles and ideals guarding our individual liberty and freedom are presented in the common law.

False

Independent contractors are under the direct control of the person who engages them.

False

Individuals making statements in chat rooms have an absolute right to privacy.

False

It is always illegal for an executive of a firm to buy or sell the stock of the firm.

False

It is perfectly safe to purchase prescription drugs over the Internet.

False

Juvenile courts, the U.S. Tax Court, and domestic relations courts are known as courts of original jurisdiction.

False

Mediation is a form of alternative dispute resolution in which a neutral party decides a case as if he or she were a judge and jury.

False

No contract is enforceable without consideration.

False

Normally appeals from federal district courts are initially heard by state supreme courts.

False

OSHA can impose a fine for a health or safety violation, but it does not have the authority to close a business.

False

Offshore gambling refers to foreign citizens placing bets in casinos located within the United States.

False

Once a person delegates a contractual duty, he or she no longer has responsibility under the contract.

False

Only manufacturers can be held liable in product liability lawsuits.

False

Oral or written evidence cannot legally be introduced to explain unclear portions of a contract.

False

Personal property is land and anything attached to it.

False

Persons familiar with good accounting practices recognize that assets should never exceed liabilities

False

Persons who are living with AIDS are not protected by the provisions of the Americans with Disabilities Act.

False

Pledges and subscriptions are never legally enforceable because they lack the element of consideration.

False

Promises and statements issued after the sale have no effect on the warranty of a product.

False

Ratification of a minor's contracts must be in writing to be effective.

False

Requests for proposals and announcements asking for bids or estimates are usually considered legally binding offers.

False

Sales talk, or puffing, is considered a warranty.

False

Services of artists, musicians, photographers, and athletes can be delegated.

False

Shoplifting is the term that describes the theft of money by employees, such as accountants or cashiers, who steal money from retail stores.

False

Simply visiting a website can sometimes indicate an acceptance by the user of the terms contained on the site.

False

Special courts set up to handle small or minor cases, often with a limit on the amount of the claim, are known as circuit courts.

False

The 'reasonable person' doctrine is concerned with the appeal to a jury to assume how a person would behave under the best conditions.

False

The Anti-Cybersquatting Consumer Protection Act of 1999 makes cybersquatting illegal even if the cybersquatter acts in good faith

False

The Clean Air Act of 1963 deals only with pollution within the boundaries of each state.

False

The Electronic Signatures in Global and National Commerce Act pertains only to cases in which the offeror and the offeree are from different countries.

False

The Federal Trade Commission does not have jurisdiction over advertisements that appear on web pages.

False

The National Highway Traffic Safety Administration has the responsibility of controlling automobile emissions.

False

The Securities and Exchange Commission requires that prospective investors review all of a firm's financial information prior to purchasing any stock in the company.

False

The Statute of Frauds applies only to contracts that have yet to be performed.

False

The United States lacks the abundance of natural resources that many other countries have.

False

The buyer of goods that have been shipped FOB destination must bear the loss if the goods are lost or damaged in transit.

False

The courts often reverse the decisions of administrative agencies.

False

The crime of perjury is limited to the false swearing under oath before a judge in a federal court.

False

The difference between extortion and bribery is that, in extortion, both parties are willing participants in the crime.

False

The government will always prosecute companies that wield monopoly power because competition is always deemed in the public's best interest.

False

The great majority of small business in the U.S. are organized as limited liability companies.

False

The heads of administrative agencies at all levels of government are appointed only by the executive branch.

False

The hearings conducted by administrative agencies customarily include trial by jury.

False

The implied warranty of merchantability means that all merchants warrant their goods to be of the highest quality.

False

The kind of law that results when a court disregards an existing statute, an accepted precedent, or a principle of common law, or interprets them differently, with the result that a new precedent is established, is known as precedent law.

False

The law mandates that all Internet service providers require subscribers to use their true names when entering cyberspace.

False

The law regards actions of minors that result in emancipation as abandonment.

False

The mailbox rule states that an acceptance sent via the postal system or by courier is effective when received by the offeror.

False

The parol evidence rule affects the enforceability of contracts that include oral or written changes in the terms of an existing contract.

False

The parol evidence rule allows a court to consider oral statements of warranties even if these are inconsistent with the written express warranties.

False

The person who holds a life estate in real property can sell absolute ownership or pass it on to his or her heirs

False

The protected class created pursuant to the Age Discrimination in Employment Act is persons over the age of 50.

False

The purpose of criminal law is to compensate injured parties for their losses.

False

The requirement of writing does not apply in auction sales.

False

The shareholders who own the corporation directly manage the activities of the firm.

False

The sole purpose of administrative agencies is to regulate business firms.

False

The tenant's rights in rented property are superior to those of the landlord

False

The tort of libel is concerned with injury to a person's reputation caused by false statements that are used in testimony in court.

False

There are currently no laws prohibiting the use of cookies in the case of adult computer users.

False

There are numerous state, but no federal, regulations covering the misuse of computers and data.

False

There is little similarity between government and the operation of administrative agencies.

False

There is no distinction between lost and mislaid personal property

False

There is no recourse from the decisions made at an administrative agency hearing.

False

Title to fungible goods passes when they are delivered.

False

Title to goods can never pass to another without the consent of the owner.

False

Title to goods shipped FOB shipping point remains with the seller until delivery is made to the buyer.

False

To be legally enforceable, contracts must be in writing.

False

Under federal law, during contract negotiations, employers are required to bargain in good faith, while unions are not.

False

Upon reaching legal age, a minor must ratify earlier completed contracts in writing.

False

When employees with access to a firm's money, such as accountants, cashiers, and bank tellers, wrongfully divert funds to themselves or to others, they are usually charged with burglary.

False

When goods are sold on approval, the buyer has title during the trial period.

False

When one party to a contract receives notice of the other party's intent to breach, he or she may continue with the performance of work or service covered by the contract, complete such work or service, and then sue for the entire amount of damages.

False

When the UCC was written, it was intended that the unconscionable clause would apply only to contracts for services.

False

When threats are used to force someone to enter into a contract, the agreement may be dissolved by either party.

False

While there are express warranties that relate to quality, there are no implied warranties to such.

False

Workers' compensation laws are designed to ensure that all employees are paid fairly.

False

Written contracts must be handwritten to be legally enforceable.

False

valid contract must be typed, printed, or written in pen.

False

"Property" refers to both personal and real property

True

. For a contract to be dissolved because of a mistake, the law usually requires that the mistake be mutual.

True

. Intentional concealment of material facts is just as fraudulent as making false statements.

True

A bankruptcy court may disallow a petition for a Chapter 7 bankruptcy if the individual does not meet the standards of the means test.

True

A buyer whose goods are not delivered within a reasonable time has the right to "cover" - that is, to purchase substitute goods from another seller.

True

A common carrier is a firm in the business of transporting goods or person-by rail, truck, plane or any other mode of transportation.

True

A consumer can terminate a contract made in the home with a door-to-door salesperson within three days.

True

A consumer has three days to cancel a contract in which his or her home has been pledged as security.

True

A contract can be terminated in accordance with provisions in the contract itself.

True

A contract considered shockingly unjust or unfair is an unconscionable contract.

True

A contract for sale differs from a contract to sell primarily in the point at which title passes.

True

A contract for special manufacture, construction, or design of goods is considered a contract for labor and materials.

True

A contract for the sale of various, unrelated articles is considered a divisible contract.

True

A contract in which consideration is based on a promise that is impossible to fulfill cannot be enforced.

True

A contract is breached if one party deliberately or negligently stands in the way of satisfactory performance.

True

A contract is considered executed as soon as all parties have performed all parts of it.

True

A contract of adhesion is characterized by unequal bargaining power of the parties.

True

A contract ratification must apply to the entire contract.

True

A contract resulting from the use of undue influence is voidable at the option of the party wrongfully influenced.

True

A corporation usually has bylaws, which provide rules for the meetings of the corporation.

True

A court order directing a person to refrain from performing a particular act is an injunction.

True

A court that has original jurisdiction in cases involving federal statutes, and in cases when the parties are citizens of different states, is known as a federal district court.

True

A current or former employee may sue his or her employer for defamation if the employer provides information to a third party that is untrue, irrespective of whether it relates to the employee's job performance.

True

A deceptive advertisement is one that contains a material misrepresentation, omission, or practice likely to mislead a consumer who acts reasonably under the circumstances.

True

A deliberate material alteration of a contract that affects the rights or obligations of the parties is cause for termination of the contract.

True

A design defect is a hazardous condition that exists throughout an entire product line.

True

A direct, unqualified rejection terminates an offer.

True

A disadvantage of a sole proprietorship is the difficulty the owner faces in raising money to finance the operations of the business.

True

A disclaimer of a warranty of fitness for a particular purpose is effective if it includes expressions such as "as is" or "with all faults"

True

A easement is the right or interest in land granted for the benefit of one party to make beneficial use of the land of another

True

A finder of personality property has a responsibility to try to return the property to the rightful owner.

True

A general agent is a person authorized to assume complete charge of his or her principal's business.

True

A general release allows for the discharge of a debt because it is viewed as forbearance, a form of consideration.

True

A grantor of life estate in real property maintains a reversion estate

True

A handwritten bill of sale may be an effective legal document.

True

A minor is considered emancipated, and hence responsible for his or her contracts, upon marriage.

True

A minor is responsible for his or her torts and crimes.

True

A newspaper advertisement of goods for sale is usually considered an invitation to trade.

True

A newspaper that prints a story about a public figure, with knowledge that the story is untrue, could be held liable for defamation.

True

A person who defames another individual by exhibiting an insulting drawing in a public place could be charged with libel.

True

A person who finds an article has good title against anyone else except the true owner.

True

A person who is of legal age and at least normal mentality is considered a competent party.

True

A person who profits from the sale of stock as a result of using nonpublic information can be charged with violations of federal law.

True

A person's legal birthday is the same as the day on which his or her birthday is celebrated.

True

A principal is liable for an agent's torts and crimes if they were committed in the ordinary course of the agent's performance of authorized duties

True

A promise of inaction, or forbearance, can be valid consideration.

True

A public nuisance is created when a nuisance impacts public property, such as a navigable river or a state park.

True

A series of letters or e-mail messages among several persons can satisfy the Statute of Frauds.

True

A state wishing to collect a sales tax levies the tax on the buyer of goods but usually requires the seller to collect the tax.

True

A subpoena is an order requiring the recipient to appear at a legal proceeding to provide testimony.

True

A tenancy at sufferance describes the relationship that exists when a tenant wrongfully extends his or her stay beyond the terms of the lease

True

A tenant can legally occupy a landlord's property only with the consent of the landlord

True

A third-party beneficiary has a legal right to receive the benefits of a contract if it is the intent of the contract to benefit the third party.

True

A tort is a violation of the rights of a particular person.

True

A use tax is a tax to a consumer who uses goods within a state, as opposed to buying them within the state.

True

A valid contract can be entirely handwritten.

True

According to the UCC, uncertainty with respect to specific terms does not necessarily invalidate a contract.

True

Acts of an employee while performing duties of employment are considered the acts of the employer.

True

Acts of an employee who performing duties of employment are considered the acts of the employer.

True

Administrative agencies are found at local, state, and federal levels of government.

True

Advertising of drugs is legal so long as detailed information about the drug being advertised is disclosed.

True

Agreements that require the performance of acts against public policy are void.

True

All debtors wishing to file for bankruptcy must receive individual or group credit counseling from an approved, not-for-profit, individual or group budget or credit counseling agency.

True

Amendments to the federal Constitution require approval or ratification, by a majority vote of Congress.

True

An action for specific performance is a request that the court direct a party to perform a particular act agreed upon in a contract.

True

An agent is liable to the principal for any losses that result from the agent's neglect or incompetence.

True

An agent is reasonable in assuming that he or she has the authority that is related to the responsibilities covered in the contract of agency.

True

An agent representing a partially disclosed principal becomes a party to the contract.

True

An agreement by an administrator or executor to pay the debts of the deceased must be in writing to be enforceable.

True

An agreement for the sale of personal property for over $500 must be in writing to be enforceable.

True

An agreement for the sale of real estate must be in writing to be enforceable.

True

An agreement to guarantee debts of another generally must be in writing to be enforceable.

True

An agreement to perform an illegal act is void and unenforceable.

True

An airbill is similar to a bill of lading except that is covers a shipment made by air.

True

An assignment must be in writing if the original contract was required by law to be in writing.

True

An emancipated minor's contracts for necessaries are valid.

True

An employee may sue a third party for a work-related injury or illness, even if the injury or illnesss occurred while the employee was on the job.

True

An employer has the right to be free from featherbedding.

True

An implied warranty of fitness may exist even if the buyer does not make his or her intended use of the merchandise known to the seller.

True

An independent contractor can sue the person with whom he or she made the contract.

True

An offer that includes specific time limits expires automatically when the time is up unless the offeror chooses to extend the offer.

True

Bankruptcies are governed under both federal and state law.

True

Burning to defraud is a special category of crime committed by persons who burn their own property with the intention of collecting insurance money.

True

Businesses that create pollution frequently cause injury to people or damage to their property, and these businesses may be found liable by a court for the tort of negligence.

True

Chapter 12 bankruptcy was specifically created to adjust the debts of family farmers or fishers who earn an annual income

True

Chapter 13 bankruptcy is sometimes referred to as reorganization bankruptcy.

True

Companies that provide websites that are forums for music to be shared without permission of the owners may be liable for copyright infringement.

True

Complete and satisfactory performance of a contract will bring about its termination.

True

Conditions precedent are required acts that must be performed before title passes.

True

Conditions subsequent are required acts that must be performed after a contract is signed.

True

Consideration is one of the elements of a contract.

True

Contract for sale can be oral or written, express or implied.

True

Contracts do not need to be stated in legal language.

True

Contracts for personal services may not be assigned unless there is agreement to the contrary.

True

Contracts of adhesion in cyberspace are valid unless they contain terms that are unreasonable.

True

Corporations continue to live on unless some formal action is taken to discontinue the business.

True

Courts have granted corporations similar constitutional rights to those granted to individuals.

True

Custom of the marketplace can be applied by a court when a warranty is vague and indefinite.

True

Death or disabling illness of a party to a contract terminates the contract if such requires the particular skill or talent of the contracting party.

True

Defamation includes both libel and slander.

True

During the winding up period, there is an orderly liquidation of the partnership assets.

True

Each level of government usually has three branches: executive, legislative, and judicial.

True

Each partner is an agent for all other partners.

True

Employees have no reasonable expectation of privacy while they are at work; hence employers may read their e-mail without first receiving the employee's consent.

True

Employees who are victims of illegal discrimination may recover punitive damages.

True

Employees who transfer money from their employer's account into their own account without authorization can be prosecuted for the crime of embezzlement.

True

Entire contracts are those composed of several related parts.

True

Environmental and safety regulations seldom act as legal restraints of trade even though they limit and restrict how a firm may operate.

True

Estoppel is a legal principle that can prevent an owner from recovering his or her own property under certain circumstances.

True

Executives at all levels of government are elected by the voters.

True

Fraud may be committed either by spoken or written words or by acts or conduct.

True

Goods that physically exist and are owned by the seller at the time of sale are considered existing goods.

True

If a law or regulation makes the performance of a contract illegal, the parties are released from their obligations.

True

If a person's reckless driving results in an automobile accident, he or she can be charged with both a tort and a crime.

True

If an advertisement contains a positive promise and a positive statement of what the advertiser expects in return, the courts will usually hold that the advertisement is an offer.

True

Implied contracts are neither oral nor written.

True

Improper teasing, joking, and so forth can constitute sexual harassment.

True

In Phase II of the drug-testing process, the effectiveness of the drug is measured by comparing subjects who receive the drug to those who receive a placebo.

True

In a contract between a minor and an adult, the adult must perform his or her part of the agreement unless or until the minor decides to withdraw.

True

In a contract between an agent and a third party, the agent can be held responsible to the third party if the identity of the principal is not disclosed

True

In a partnership, the shares of the partners might be equal, or they might vary according to an agreement between or among the partners.

True

In most cases of the sale of future goods, title remains with the seller until the goods are in a deliverable state.

True

In most instances, when bankruptcy is filed, the debtor's assets are sold and the money is distributed among the debtor's creditors to pay the debt that is owed.

True

In order for an acceptance to be valid, it must be communicated to the offeror.

True

In order for an offer to be valid, it must be definite and certain.

True

In recent years, the number of workers' compensation claims that have been filed has increased dramatically, causing a large increase in costs associated with the program.

True

In some states a minor may avoid a contract, even if he or she falsely represented himself or herself.

True

In some states, legislatures and courts have made it clear that employee handbooks are not to be construed as contracts.

True

In some states, the provisions contained in an employee handbook are considered a kind of contract between the employer and the employee.

True

In the event a collective bargaining agreement between a union and employer is not reached, the employer has the right to engage in a lockout.

True

Included in the Clean Water Act are standards for water quality that allow navigable waterways to be used for the propagation of wildlife and for recreational purposes.

True

Internet service providers have the legal right to monitor e-mail without the subscriber's consent.

True

It is legally permissible to delegate contract obligations to perform certain tasks.

True

It is necessary for the average person to understand some of the general principles of law, how to avoid common problem and pitfalls, and know when to seek professional help.

True

Larceny is a broad term that includes most forms of theft.

True

Laws enacted by local governments such as a city council are often called ordinances.

True

Liability is the state of being responsible for a wrong or injury.

True

Manufacturers and retailers have a duty to warn users of dangerous or hazardous characteristics of products.

True

Many states recognize a cause of action for "particle trespass," accepting the theory that businesses are trespassing on another person's property with their pollution particles.

True

Most courts will acknowledge that by clicking the "I accept" button, the user has accepted the offer contained on the web page.

True

Negligence per se occurs when a defendant in a case of negligence has violated a law that was enacted in order to prevent the type of injury that occurred.

True

Once an administrator has been appointed, it is generally difficult to remove him or her from office.

True

One consquence of strict liability is that companies are sometimes hesitant to introduce new or innovative products because of the fear of liability lawsuits.

True

Personal property can either be tangible or intangible

True

Pictures and words are legally obscene if they depict sexual conduct in a manner that is patently offensive under contemporary community standards, appeal to the prurient interest, and, taken as a whole, lack serious literary, scientific, artistic, or political value.

True

Preexisting duty refers to existing debts that must be paid.

True

Promises made in anticipation of marriage are enforceable.

True

Pursuant to the Toxic Substance Control Act of 1976, manufacturers are required to test chemicals thoroughly prior to introducing them into commerce.

True

Since most forms of gambling are illegal, most forms of online gambling are also illegal.

True

Slander is a spoken, and libel is a written, form of defamation.

True

Some assignments are prohibited by public policy.

True

Some state statutes provide that property acquired before a marriage is the community property of both husband and wife

True

Some types of contracts must be in writing to be enforceable.

True

Spam is illegal in the United States.

True

State courts that have original jurisdiction for cases not otherwise directed to a specialized court are trial courts.

True

Statutes are laws passed by state and federal legislatures.

True

Stress-related illnesses are compensable under workers' compensation if the stress was not the result of the employee's ordinary duties on the job.

True

The Consumer Product Safety Commission regularly conducts tests of consumer products sold in the United States.

True

The Federal Trade Commission is responsible for ensuring that advertising in the United States is truthful.

True

The Robinson-Patman Act prohibits price discrimination.

True

The Sherman Antitrust Act prohibits agreements that tend to lessen competition.

True

The Statute of Frauds specifies that certain kinds of contracts must be in writing.

True

The UCC clearly specifies requirements that manufacturers or sellers must follow in making disclaimers.

True

The assignment of certain contracts is prohibited by law.

True

The assignor of a contract right becomes a guarantor.

True

The authority of a court, as granted by a constitution or legislative act, is known as the court's jurisdiction.

True

The buyer to goods sold on approval can indicate his or her consent to keep the goods by retaining them for longer than the agreed time or a reasonable time.

True

The court may make assignments for bankrupt persons.

True

The courts generally do not rule on the adequacy of consideration.

True

The distinction between fraud and misrepresentation is important because the remedies available to an injured party are different.

True

The doctrine of employment at will has been eroded by federal, state, and local statutes; by court decisions; and by public policy.

True

The executive branch of government sees that all enacted legislation is enforced.

True

The four elements of a product liability lawsuit are duty, breach, proximate cause, and damages.

True

The general rule of law regarding the passing of title is that title passes when the parties intend it to pass.

True

The judicial branch of government determines if there have been violations of the law.

True

The landlord-tenant relationship can be created by express or implied contract

True

The law in most states permits the assignment of most contract rights to a third party.

True

The legal term that covers such activities as obtaining goods and other benefits by the use of misleading statements and deception is false pretenses.

True

The major disadvantage of a sole proprietorship is the fact that the owner of the establishment has unlimited liability.

True

The manufacturer is in a better position than the user of a product to prevent injuries because the company has the opportunity to design safe products.

True

The notations in an auctioneer's book of sales of more than $500 satisfies the requirements of the UCC that such contracts be in writing to be enforceable.

True

The owner of cash who entrusts it to another cannot demand the return of the money from a third party to whom the money was given in exchange of something value.

True

The owner of personal property cannot recover it from an innocent third party who purchased it from a seller in possession of the property and who was entrusted with proof of ownership by the real owner.

True

The person who makes a proposal to enter into a contract is the offeror.

True

The power of a court to determine whether laws enacted by legislatures or decisions made by lower courts violate the Constitution is judicial review.

True

The purpose of the Uniform Commercial Code is to provide uniform laws for all states to regulate business transactions in the states.

True

The responsibility of determining whether or not a person is competent rests with anyone who enters into a contract with the person.

True

The sale of food involves the implied warranty of merchantability.

True

The terms of express contracts are specifically stated.

True

The theft of goods from a vehicle in transit is known as hijacking.

True

The title to goods sold with right of return passes to the buyer at the time of sale.

True

The tort of conversion is concerned with acts that deny a person the possession of his or her property.

True

The tort of negligence is a form of carelessness.

True

The tort of nuisance does not entail taking another's property, only detracting from his or her enjoyment of it.

True

The tort of slander is concerned with injury to a person's reputation caused by false statements that are spoken.

True

The unconscionability clause of the Uniform Commercial Code can be applied to the landlord-tenant relationship

True

There is an implied warranty of title with the sale of merchandise that means the seller actually owns the goods.

True

Title is proof of ownership as shown by a bill of sale.

True

Tort law is concerned with compensation for losses suffered by injured parties.

True

Touting occurs when an investor who owns shares of a company's stock posts notices online indicating that the value of the company's stock will increase.

True

Treason is a major crime against the federal government consisting of levying war or giving aid and comfort to an enemy.

True

Two defenses to chargers of defamation are truth and privilege.

True

Under the doctrine of comparative negligence, juries attempt to determine how much in percentage terms the plaintiff was at fault and then reduce the verdict by that amount.

True

Under the terms of the Master Settlement Agreement, cigarette packages must contain a warning from the surgeon general regarding the dangers of smoking.

True

Unenforceable obligations that people have to one another are considered to be an aspect of moral law.

True

Vicarious liability means that one person can be held responsible for the negligent acts of another.

True

Warranties are promises or statements made by manufacturers or sellers.

True

When an individual purchases an item from a brick-and-mortar company and provides his or her e-mail address to the seller, the individual is implicitly consenting to the receipt of e-mail solicitations.

True

While a partnership itself does not pay federal income taxes, it does complete an informational tax return.

True

While the law dealing with warranties is intended to protect the general public, it often has the effect of limited the seller's obligations and responsibilities.

True

White-collar crime, as distinguished from other types of crime, generally does not involve force or violence.

True

Zoning regulations also may act as legal restraints of trade because they restrict where and how businesses may operate.

True

A buyer who purchases a business from a seller receives title to the physical assets but does not gain the goodwill of the business

false

A contract in which an employee agrees not to work for a competitor for a reasonable period of time is unenforceable

false

A landlord is liable for all injuries that occur on the leased premises

false

An infringement is a special form of design patent

false

Because a copyright covers only an expression in words, works of art cannot be protected under copyright law

false

If a tenant abandons the premises, the landlord is permitted to continue charging rent while taking no other action

false

It is illegal for a software producer to require that a user register his or her ownership with the producer

false

Ownership of a trademark is typically noted by using the letter O in a circle

false

The courts have ruled that genetically engineered life forms are not patentable.

false

Title to abandoned property resides with the state

false

A complex, highly specialized accounting and budgeting software program not intended for widespread distribution would likely be considered a trade secret

true

A person who profits from unauthorized use of a patented invention is liable to the patent holder for all profits resulting from such unauthorized use and for any other penalties provided by patent laws

true

A tenant usually has the right to assign or sublease the leased property with the landlord's consent

true

The law relating to trademarks applies equally to the law relating to domain names on the web

true

There is no set time limit on the legal protection available for trade secrets

true

Trademark registrations are issued by the U.S. Patent and Trademark Office of the Department of Commerce

true

Words or terms that become a common part of the language are referred to as generic

true