Business Law for Managers Mindtap Questions
The U.S. Constitution does which of the following? (Choose 3 answer choices)
1. It creates 3 branches of government 2. It provides for the fundamental rights of citizens 3. It divides ruling authority between a state and the federal system
A written agreement outlining the roles of partners, their rights, and their duties are called:
a partnership agreement.
Fernando is riding his Kawasaki motorcycle and the front wheel falls off. Fernando is severely injured, of course. Fernando hires a mechanic to look at the motorcycle. The mechanic discovers that the bolt that holds the front tire in place had broken in half because it was not thick enough, and this is what caused the tire to fall off. The mechanic explained that using a thicker bolt would only have cost a few dollars more! Fernando sues Kawasaki for his injuries, claiming that Kawasaki had used a defective design in manufacturing its motorcycle. To be successful in his defective design product liability lawsuit, Fernando must prove:
that a reasonable alternative design was available, and that as a result of the failure of Kawasaki to adopt the alternative design, the product was not reasonably safe.
Milo is the owner of a sporting goods store that has only been open for three months. The holiday season is coming up, and Milo realizes that he will need extra help. Milo asks his friend Jess to help him out at the store. Milo and Jess agree that Jess will work during the months of November and December. However, because Milo is unsure how much help he will need and how much he will be able to pay, they agree to decide each week on the hours that Jess will work for the following week, and to decide the hourly rate after Jess has worked two weeks before she receives her first paycheck. Just before November 1, Jess takes a job at another store. If Milo tries to sue Jess for breach of contract, the court will probably decide:
that the parties had no contract because the terms of the offer were not definite.
While Reginald was vacationing in Florida, he visited an exotic pet shop and decided to purchase a baby alligator. When Reginald returned to his home state of New Jersey, he built an appropriate enclosure for his alligator that would allow for its growth. Reginald also made sure to post warning signs and install sufficient locks on all his gates to ensure that the public could not wander into his yard and be harmed by the alligator. What Reginald failed to do, however, was to research the law in New Jersey regarding exotic pets such as pet alligators. Two months after Reginald returned home with the alligator, a sheriff's deputy knocked on his door to issue a citation to Reginald for violating a state statute that makes it illegal to keep alligators as pets. The deputy confiscated the alligator and fined Reginald $500. The state statute that Reginald violated was created by:
the state legislature
Historically, the common law developed from:
the unification of local customs and laws in feudal England.
Maya is an undocumented alien. She wants to provide her family with a good life in the United States, so she moves to a small town in West Virginia with her two daughters, Anita and Luisa. When school starts, she goes to the local elementary school to register the children. The principal of the school denies her request to enroll the children in school based on a West Virginia statute that authorizes school districts to deny enrollment to undocumented aliens. The principal's action in denying access to an education for the two children based on their status as undocumented aliens:
violates the Equal Protection Clause of the Fourteenth Amendment.
What are the two types of actual authority? Choose 2 answer choices.
1. Implied authority 2. Express authority
The result of a merger between two corporations is that:
only one corporation continues to exist.
Which of the following are generally the benefits of preferred stockholders? Choose 2 answer choices.
1. Preferred stockholders are first in line for a payout in the event of stock liquidation. 2. Preferred stockholders are first in line for a payout of dividends.
An employer reacts to an employee's report of a Title VII violation by cursing and making offensive jokes about that employee and moves the employee to another department. What part of Title VII could apply? Choose 2 answer choices.
1. Retaliation. 2. Hostile work environment
Why are seniority systems beneficial? Choose 2 answer choices.
1. Seniority systems are a defense to employment discrimination. As a result, the employer would have fewer related legal issues. 2. Seniority systems encourage employee loyalty to the employer.
The formation of a partnership without a partnership agreement requires which of the following? Choose 2 answers.
1. Sharing of profits and losses 2. Sharing of management duties
What are the elements of consideration? Choose 2 answer choices.
1. an exchange to which the parties agree 2. something of value from each party
During the pandemic of 2020, the City of Mayberry passes an ordinance that requires all citizens to wear a face mask in public. Addison believes that the government cannot regulate his personal behavior and refuses to wear a mask; he says that forcing him to wear a mask violates his constitutional rights! A police officer stops Addison on the street and arrests him for violating the city ordinance. Can Addison successfully challenge the mask ordinance on constitutional grounds?
No, requiring people to wear a face mask during a pandemic is a valid exercise of the state's police power.
Keisha entered into a contract with Ron to cater all of his parties. Larry interfered with those arrangements and persuaded Ron to move his business from Keisha to Larry. Which tort would be appropriate for Keisha to file against Larry? Choose 2 answer choices.
1. Wrongful interference with a contractual relationship. 2. Tortious interference with a contract
What restrictions on business speech are allowed by the First Amendment? Choose 2 answer choices.
1. Some advertising venues for tobacco 2. Limitations on advertisements for alcohol
What must a party show to win a substantial performance lawsuit? Choose 2 answer choices.
1. The breach was not intentional. 2. He or she acted in good faith
Samuel has mental competency issues. Samuel entered into a contract with Beth, but now Samuel is petitioning the court to terminate the contract. What options does the court have in ruling in the case? Choose 2 answer choices.
1. The contract is void if Samuel has been previously determined to be mentally incompetent. 2. The contract is voidable if Samuel was incompetent at the time the contract was formed.
What does agency by ratification require? Choose 2 answer choices.
1. The principal affirms the agent's entire act, not just a portion. 2. The principal must have the legal capacity to contract.
In what situation could a party enforce strict performance?
1. When the parties specifically agree to it in the contract 2. When the requirement is reasonable
How do agency relationships affect businesses and the business world? Choose 2 answer choices.
1. Workers can specialize and become experts. 2. Businesses can grow by hiring employees.
Fatima is on the board of directors of Tyson Inc. Fatima never attends board meetings and never inspects the books of the company. The board hires Alexis as the chief executive officer (CEO) of Tyson. For the next two years, while Alexis is serving as CEO, Alexis delegates important tasks to employees who are not trained for the tasks, fails to monitor the corporate bank accounts, and approves several high-dollar contracts without making reasonable inquiries about them. Alexis also enters into two contracts on behalf of the corporation with other companies in which she owns an interest. If Tyson suffers a loss because of Alexis's actions:
both Alexis and Fatima can be held liable.
Sanchez and Yan entered into a contract that required Sanchez to deliver twenty textbooks to Yan's bookstore every month by the fifteenth of the month. Six months after Sanchez and Yan entered into this contract, Sanchez breached the contract by not delivering the textbooks to Yan's bookstore. After Sanchez breached the contract, Yan sued Sanchez for her damages. Yan must choose the appropriate court in which to file her lawsuit. To do this, Yan needs to be sure the court has:both subject matter and in personam jurisdiction in the case.
both subject matter and in personam jurisdiction in the case.
Fritz applies for a job as a waiter at Mexico Cantina. Three positions are available, but he is not hired for any of them. Fritz inquires about his application and is informed by the restaurant manager that they could not hire him because he is not Hispanic. Fritz is told that Mexico Cantina wants its patrons to experience an authentic Mexican dining event in its restaurant, so Mexico Cantina will only hire female Mexican wait staff, who are then required to dress in traditional Mexican outfits. Fritz sues for employment discrimination, claiming that Mexico Cantina discriminated against him because he is not Hispanic. Mexico Cantina responds to the lawsuit by claiming that being female and Hispanic are bona fide occupational qualifications (BFOQ). Fritz will probably:
win the lawsuit because race is not a bona fide occupational qualification.
While Reginald was vacationing in Florida, he visited an exotic pet shop and decided to purchase a baby alligator. When Reginald returned to his home state of New Jersey, he built an appropriate enclosure for his alligator that would allow for its growth. Reginald also made sure to post warning signs and install sufficient locks on all his gates to ensure that the public could not wander into his yard and be harmed by the alligator. What Reginald failed to do, however, was to research the law in New Jersey regarding exotic pets such as pet alligators. Two months after Reginald returned home with the alligator, a sheriff's deputy knocked on his door to issue a citation to Reginald for violating a state statute that makes it illegal to keep alligators as pets. The deputy confiscated the alligator and fined Reginald $500. If Reginald decides to challenge the constitutionality of the statute on which the citation was issued, Reginald would do so through:
the judicial branch of state government
Which of the following are qualities of a non-profit corporation? Choose 2 answers.
1. It does not provide dividends to shareholders. 2. Its goal is to earn a profit
To win a wrongful interference with a contract case, a plaintiff must prove which of the following elements? Choose 3 answer choices.
1. The defendant knew a contract between the plaintiff and a third party existed. 2. The plaintiff experienced injury or damages as a result of the defendant's actions. 3. A valid contract existed between the plaintiff and a third party.
Which of the following is a necessary element of the business judgment rule? Choose 2 answer choices.
1. The person acted in good faith 2. The person acted with the care of an ordinarily prudent person
The TRIPS Agreement does which of the following? Choose 2 answer choices.
1. establishes standards for protection of intellectual property 2. requires members of the WTO to have laws and remedies protecting intellectual property rights
Which of the following must approve a merger: (Select all that apply)
1. the board of directors of the targeted company. 2. the shareholders of the targeted company.
To succeed on a promissory estoppel claim, and plaintiff must show: (Select all that apply)
1. the defendant made a promise to the plaintiff 2. the defendant knew the plaintiff would rely on the promise 3. the plaintiff relied on the defendant's promise
Which of the following are things a contracting party must consider when seeking to modify a contract? (Select 2 answers)
1. whether additional consideration will be needed 2. whether the modification must be in writing
Benjamin works for The Cabinet Maker, a large manufacturing plant that makes ready-to-hang cabinets for the kitchen and bath. Benjamin is running a table saw that cuts wood into strips to make a cabinet. As Benjamin loads wood onto the conveyer belt, he slips on the concrete floor and falls into the table saw. Benjamin's face and arms are severely injured by the table saw, and he is rushed to the hospital. Benjamin's injuries are so severe that he is admitted to the hospital for four days. The Cabinet Maker must file a report of Benjamin's work-related injury with the Occupational Safety and Health Administration (OSHA) within:
24 hours
Rosemary's son Dave is a United States Marine. Dave was recently injured in a covert operation in the Middle East and now needs round-the-clock care. Rosemary works at the Silver Spoon Café, which has 63 employees. Rosemary advises her supervisor that she needs to take time off to care for Dave. Rosemary quickly uses up all her accrued leave time, so she applies for time off under the Family and Medical Leave Act (FMLA). Under the FMLA, Rosemary may take unpaid time off to care for her injured son for up to:
26 weeks
Mayflower Trucking Inc. incorporates and issues 1000 shares of common stock. The articles of incorporation of Mayflower Trucking grants shareholders preemptive rights. Shawn owns 100 shares of Mayflower stock. If Mayflower issues 500 more shares of common stock, Shawn has the right to purchase:
50 shares
Which of the following contracts violate public policy?
A contract for the sale of a kidney
Which of the following contracts would be enforceable?
A contract with an unlicensed retail clothing store
A foreign corporation is:
A foreign corporation is:
What does the ratification of an agency relationship include?
A party affirms the contract another person made with a third party.
In general, which of these contract terms is NOT required to meet the requirement of definiteness?
Acceptance
What authority is ended with the termination of an agency relationship?
Actual authority
For what terminations does a principal NOT have a duty to notify third parties?
Agencies terminated by operation of law
Arnold, a contractor, enters into an agreement with Oswald to build a house for Oswald. In the agreement, Arnold promises to build the house to Oswald's specifications. Oswald agrees to pay for the work on completion according to the terms set out in the agreement. Arnold states that he is licensed by the state contractors licensing board. Which of these statements are covenants?
Arnold promises to build the house to Oswald's specifications. Oswald agrees to pay for the work on completion according to the terms set out in the agreement.
Why is a defendant relieved of liability by a superseding cause?
Because the second event breaks the causal connection between the defendant's act and the plaintiff's injuries
Where do the funds to pay out workers' compensation claims come from?
Business contributions to a state held fund
A company handbook states that employees will be given warnings for three instances of arriving late for work, after which they will be fired. An employee is fired after being late for the first time. Which of the exceptions to at-will employment could apply?
Contractual agreements.
Which of the following is a defense in which the target corporation sells of its most valuable or desirable asset?
Crown Jewel aka Scorched Earth
Adina owns Yogi's Yogurt in Fort Smith, Arkansas. Adina sells the yogurt shop to Dagmar. The contract for the sale of the business includes a clause that prohibits Adina from owning or working in any restaurant in Arkansas for two years from the date of the sale. One year after the sale is completed, Adina opens a steakhouse in West Memphis, Arkansas, which is 300 miles from Fort Smith. If Dagmar sues Adina for breaching the terms of the contract:
Dagmar will probably lose because the covenant not to compete is too restrictive.
The Equal Protection Clause applies to which parties?
Governmental employees
Otto orally agrees to install three wells for Green Space Energy over the next eighteen months. When the three wells are completed, Green Space Energy will pay Otto $10,000. After the first well is completed, Green Space Energy tells Otto that it does not want any more wells. Green Space Energy refuses to pay Otto for the first well, claiming that the contract was not in writing and, therefore, not enforceable. If Otto sues Green Space Energy to enforce the contract:
Green Space Energy will have to pay Otto a reasonable price for the one well that was installed.
Bill and Mark have lived together for twenty years, and they finally decide to get married. Three days after their marriage, Bill returns to his job at Hometown Furnishings. When his supervisor finds out that Bill has just gotten married to a man, she immediately fires Bill. Bill is devastated; he has worked for Hometown Furnishings for five years and never had an issue of any kind. The next day, Bill and Mark go to see an attorney to discuss Bill's options. The attorney will likely advise Bill that:
Hometown Furnishings firing him because he is gay violates the Civil Rights Act of 1964.
A state passes a law requiring all police officers to be of a certain height. Some women challenge the law under the Equal Protection Clause because the average height of women is shorter than that of men. What standard would the court use to make a decision?
Intermediate scrutiny.
Which of the following lists the steps of a trial in the correct chronological order from beginning to end?
Jury selection, opening statements, plaintiff's case, defendant's case
In what situation would justification be appropriate?
Justification is appropriate for either type of wrongful interference tort.
Which law specifically allows an employer to require union membership after working a specific period of time?
Labor-Management Relations Act.
The belief that as humans we are all entitled to certain fundamental rights is a component of which school of thought?
Natural Law
If a partner wrongfully dissociates, do they get a vote on whether the partnership should continue?
No, wrongfully dissociating partners do not get to vote on the matter.
Which situation would be considered sufficient consideration for a contract to exist?
Pam agrees to pay Derek $500 if he does not sit next to her in class anymore.
Fred and Wilma enter into a contract for horse riding lessons. Fred accidentally types the price for lessons to be $4.00 each instead of $44.00 each. Wilma wishes to enforce the contract at $4.00 per lesson. Which remedy would be most effective?
Reformation
Roland and Alfreeda enter into a written agency agreement in which Alfreeda will represent Roland as his agent to obtain acting jobs for Roland. No termination provisions are included in the written agreement. If Roland wishes to terminate his agreement with Alfreeda:
Roland must do so in writing because the agency agreement is in writing.
Ruby, a seventeen-year-old, purchases a car from Smitz Used Auto Sales and agrees to pay for it over a period of twenty-four months. Ruby makes the payments for four months but then decides the car payment is too much for her limited budget. Ruby tells Smitz that she wants to stop making payments and that she wants out of the contract completely. The contract between Ruby and Smitz can be canceled by:
Ruby, because she is a minor, but Ruby must return the car.
What business speech is protected by the First Amendment?
Some types of advertising
Mary and Hanna, who are Tennessee residents, were traveling through Mississippi when they were involved in an automobile accident with Franco, who is a resident of Mississippi. Franco sues Mary, who was driving the car, in federal court in Mississippi and asks for $100,000 to reimburse him for his medical bills and lost wages. In deciding the case, what law will the federal district judge apply?
State law
How is substantial performance involved with the classification of material breaches versus immaterial breaches?
Substantial performance involves an immaterial breach.
What can a defendant present to win a strict liability case?
The consumer altered the product since purchasing it and that caused the harm
What must a plaintiff show to be awarded a quasi-contract in a lawsuit?
The defendant was unjustly enriched
What is the key factor in apparent authority?
The principal's actions
Wilton World is a huge hotel chain. The Wilton World Hotel in San Francisco wants to hire a local artist to paint some landscapes of the Bay area to display in its hotel. Carl contacts the San Francisco Wilton World manager and shows them samples of his paintings. The manager is very pleased with Carl's work and offers Carl $5,000 to paint six landscape paintings. Carl eagerly accepts, so they begin to discuss who should draft the contract. The contract will probably be drafted by:
Wilton World's attorney.
Ambiguous contract terms will be interpreted:
against the drafter
The first sale doctrine:
allows a person who owns a lawfully made copy of a copyrighted work to sell the copy.
Gerald has been a sales representative for Goldsmith's Department Store for the past five years. When Gerald was hired, the general manager told Gerald that he would have a job there as long as he made $3,000 in sales each month. Every month, Gerald has exceeded that level in sales, so he is surprised when his supervisor calls him into the office and fires him. Gerald tells the supervisor about the promise from the general manager not to fire him as long as his sales were $3,000 each month. The supervisor responds by telling Gerald that the law in this state is employment at will, so he can fire him at any time for any reason. If Gerald sues Goldsmith's for wrongful termination, he will likely:
be successful because the general manager orally promised him that he would remain in his job as long as his sales stayed at a specific level, and he has maintained that level.
A shareholder has the right to inspect the corporate books, if done:
in good faith and for a proper purpose.
Any partner:
may act as an agent who binds the partnership.
If a trial court judge is deciding an issue that has never come before the court (a case of first impression), they:
may create new precedent.
Patentability requires the invention be:
novel, non-obvious, and useful.
What is the role of an administrative law judge (ALJ)?
An ALJ is an employee of the agency bringing the charges.
What must a plaintiff prove in an intentional tort case?
Intent to commit the act.
Midwest Life Insurance sells a life insurance policy to Thiago. Under the terms of the contract between Thiago and Midwest Life, Thiago will pay $75 per month for the policy, and, upon Thiago's death, Midwest Life will pay $100,000 to Laurelei. Four years later, Thiago dies, and Midwest refuses to pay under the terms of the policy. The party entitled to sue Midwest for its failure to honor the terms of the contract is:
Laurelei, because she is a donee beneficiary.
Which of the following scenarios illustrates a business world without agency relationships?
The owner prepares the tax returns.
Mateo is sixteen years old and just got his first job bagging groceries at Harry's Market, a local grocery store. During the school year, Mateo works limited hours after school and on the weekends. Now that school is out, Harry's Market increases Mateo's hours to six days a week and eight hours a day. Mateo's mother Isabel is concerned about Mateo working such long hours. She knows there is a federal law, the Fair Labor Standards Act (FLSA), that protects children from working long hours and too many days per week. When Isabel raises the issue with Mateo's supervisor, Mateo's supervisor explains to Isabel that:
under the FLSA, children who are sixteen or seventeen years old may work unlimited hours as long as they work in nonhazardous jobs.
Freddy carries his books and school supplies in a large backpack. The hallways at Freddy's school are always very crowded. One day, Freddy turns around quickly to talk to a friend, and a sharp pencil that is sticking out of his backpack gouges Lorraine in the eye. Lorraine ends up losing the use of her eye. If Lorraine sues Freddy in a negligence action, the standard the court will use to determine whether Freddy is liable is:
what a reasonable person would have done under the circumstances.
What is the result if parties agree to a contract orally, but it is a contract that must be in writing under the statute of frauds? Choose 2 answer choices.
1. The contract is voidable 2. The parties can complete the contract
Which mistake is likely to be voidable?
Billateral mistake
An employer requires a college degree to work in any position in the company. What part of Title VII could apply?
Disparate treatment.
Cari discovers that Lucas has a criminal background and shares this information with others where they both work. Which intentional tort could apply here?
Public Disclosure of Private Facts
Which of the following creates a bilateral contract?
a sale of goods with payment at delivery
Andre is involved in a business dispute with his former partner, Ned. Instead of filing a lawsuit, Andre and Ned decide to use alternative dispute resolution (ADR) to settle their dispute. Andre and Ned choose to present their case to a neutral third party, and that third party will decide the case. The form of ADR that Andre and Ned have decided to use is:
arbitration
An arbitrator is different than a mediator because an arbitrator:
has the authority to make a binding award.
A shareholder voting class:
may have different voting multiples than other classes.
Anne Marie has surgery to have her gall bladder removed at Mt. Sinai Hospital. The surgery goes well, but several days later, Anne Marie experiences severe abdominal pain. X-rays reveal a small surgical instrument in Anne Marie's abdominal cavity. Anne Marie has to endure another surgery to remove the instrument. Anne Marie sues the surgeon for negligence. To win her negligence lawsuit against the surgeon, Anne Marie must prove:
that a reasonable surgeon would not have left a surgical instrument in her abdominal cavity.
Rhea, a 45-year-old supervisor in a women's retail clothing store, recently learned that a younger co-worker was promoted to a position she had applied for. Rhea has more experience and more time with the company and has always gotten excellent scores in her annual reviews. Rhea files an action with the Equal Employment Opportunity Commission (EEOC) for age discrimination. The Administrative Law Judge (ALJ) issues an order in favor of Rhea. This decision of the ALJ is:
the final order in the case unless the store appeals.
What are two types of challenges an attorney can make during voir dire? Choose 2 answers.
1. Peremptory challenges 2. Challenge for cause
Which of the following qualifies for protection under the first sale doctrine?
Lucia purchases a book and later resells it to her friend.
Noah and Otto have been neighbors for years. They have also been arguing for years, and each of them prohibits the other from coming onto his property. One day, as Noah is getting in his car to go to work, he sees Otto's 15-year-old son Hank lying in Otto's front yard. Hank had been mowing the yard when he lost his footing and fell, and the mower ran over his leg. Noah rushes over to help Hank. Because Otto is not home, Noah helps the boy and waits with him until his mom comes home. Later, when Otto finds out what happened, he wants to sue Noah for coming onto his property. If Otto sues Noah for coming onto Otto's property without permission, Otto will:
lose because the trespass was warranted.
Bart, Sam, and Greg create Big Barns Sales LLC, a company that builds pre-constructed barns. They file the certificate of organization with the secretary of state and create an operating agreement for the LLC. The operating agreement, however, does not address the method by which the LLC will be managed. Because management of the LLC is not addressed in the operating agreement, it is assumed the LLC will be:
member-managed; all members will vote on decisions of the LLC, and the majority vote controls.
Genna and four others are establishing a business to create monogrammed items of personal clothing to sell to the general public. Genna is concerned about entering into business with others and possibly being liable for their actions, so she convinces the others that they should incorporate. After doing some basic research on how to incorporate a business, Genna starts preparing the articles of incorporation. At a minimum, Genna must make sure that the articles of incorporation include:
the name of the corporation, the number of shares of stock the corporation is authorized to issue, the name and street address of the initial registered agent of the corporation and his or her registered office, and the name and address of each incorporator.
Zoey is really angry at her coworker, Aaron, because he constantly criticizes everything she does. One day, Aaron stops by Zoey's desk and is verbally abusive to her. Zoey just can't stand it anymore. As Aaron is walking away from her desk, Zoey picks up her heavy metal stapler and throws it at Aaron. The stapler misses its mark and hits Zane instead. If Zane sues Zoey for the tort of battery, Zane will likely:
win, because Zoey's intent to hit Aaron transfers to Zane.
Which of the following events would likely qualify as a force majeure? (Select 3 answers)
1. A flood destroying a manufacturing facility 2. A worldwide pandemic 3. A war breaking out between two countries in which a buyer and seller were located
Which of the following results in a rightful dissociation of a partner? (Select all that apply)
1. A partner dies 2. A partner provides the partnership with notice of intent to withdraw
Which of the following workers are generally NOT eligible for workers' compensation? Choose 3 answers.
1. Agricultural workers 2. Temporary workers 3. Domestic workers
Which of the elements required to prove negligence involve the reasonable person standard? Choose 2 answer choices.
1. Duty of care. 2. Breach of duty of care.
What are the best remedies for wrongful termination in the case of someone who found another job three months after being fired? Choose 2 answer choices.
1. Lost wages 2. Lost benefits
Which classification or scrutiny would be appropriate for a court to use to examine a state law regulating the price of milk. Choose 2 answer choices.
1. Minimal Scrutiny 2. Rational Basis Test
A court has personal jurisdiction over a party in which of the following circumstances? Choose 2 answer choices.
1. When the party's property at issue in the case exists within the geographic boundaries of the authority of the court 2. When a party brings a case in its court
In which of the following would the business judgment rule not help a manager escape liability? Choose 2 answer choices.
1. When they did not act in the best interests of the corporation 2. When they committed an illegal act
What are the legal differences between a material breach and an immaterial breach of contract? Choose 2 answer choices.
1. Whether the court will discharge the contract 2. The level of the performance of the contractual obligations
The fair use doctrine applies to reproductions of copyrighted works for the purpose of: (Select 3 answers)
1. criticism 2. teaching and scholarship 3. news reporting
Arvitz and Siri have been friends for thirty years. Arvitz agrees to sell Siri a fifty percent ownership in his bait and tackle shop for $50,000. Because they are such good friends, Arvitz thinks they do not need to contact a lawyer to draw up an agreement; after all, a partnership can be created without a formal written agreement. Siri thinks it would probably be a good idea to have a lawyer draft an agreement, so he contacts Attorney Frost about drawing up the contract. What is Attorney Frost's primary goal in drafting the contract?
Attorney Frost's primary goal in drafting this contract is to protect Siri from litigation, or, if litigation does occur, making sure the contract has been drafted in such a way that Siri wins.
Dakota's series of romantic novels is very popular in the United States, so much so that her publisher, Antwone, wants to begin publishing the novels in other countries as well. Antwone approaches a publishing house in Australia, and the publishing house is open to discussing a deal. Dakota is concerned that her copyright only protects her in the United States, so Dakota asks Antwone to research that for her. When Antwone researches that issue for Dakota, he will discover that:
Dakota's novels will be protected if both the United States and Australia are signatories to the Berne Convention.
Which of the following is a valid offer?
Eric offers to buy Arun's house for $775,000 with no contingencies because Eric's lease ends in two months. Arun wants to think about it and six days later has not yet responded.
What factor should a plaintiff consider when deciding which interference tort applies to a situation?
If the plaintiff had a contract with another party who breached the contract.
Under the common law, which of the following is true?
In a case of first impression, a judge may use persuasive authorities rather than precedents.
Which of the following distinguishes promissory estoppel cases from quasi-contract cases?
In promissory estoppel cases there is a promise; in quasi-contract cases there is not.
Which classification or scrutiny would be appropriate for a court to use to examine a state regulation requiring firefighters to be men because of the demanding physical requirements of the job?
Intermediate Scrutiny
Jasper, Saul, and Kenyon plan to open a new business providing sky-diving lessons and selling sky-diving equipment. Each of them plans to contribute the same amount of money to get the business started, and each will work for the business. Jasper is concerned about the possibility of being liable for the acts of Saul and Kenyon. Jasper also wants to make sure he does not pay more taxes than required. After reviewing the types of business entities available, Jasper suggests to Saul and Kenyon that they organize their new business as a(n):
LLC
Jane decides to terminate her position with Roseworld Flowers after six years of employment. When Jane was hired, she signed Rosewood's standard employee agreement. In the agreement, Jane agreed not to work for a competitor in the same county for three years. Three months after Jane terminates her employment, she begins work for Tipton Florist, a florist in the same county as Roseworld. Roseworld sues Jane for violating the terms of her employee agreement because she went to work for a competitor less than three years after her termination with Roseworld. Jane defends by stating that the agreement prohibited her from working for a competitor in the same county for three years from the date of the agreement, which was six years ago. Will Roseworld be successful in its lawsuit against Jane?
No, Roseworld will not be successful in its lawsuit against Jane because the contract is ambiguous.
Mexico, the United States and Canada entered into the United States-Mexico-Canada Agreement (USMCA) in 2020. One provision of the USMCA prevents any party from passing laws that restrict the cross-border flow of data. Mexico passes a statute that restricts the cross-border flow of data from England. Is the Mexican statute a violation of the USMCA?
No, the Mexican statute is not a violation of the USMCA because England is not a signatory to the USMCA.
The president signs an executive order declaring that any president may now run for three terms of office instead of two. How could his/her power be checked by the legislative branch?
The legislature could impeach him/her
Which of the elements must a plaintiff prove to prevail in a negligence lawsuit?
The plaintiff must address all of the elements.
When establishing a takeover defense, which of the following must be the board's primary concern?
The wellbeing of the corporation
How may rules about parol evidence impact a contract modification?
They may require that a contract modification be in writing.
Grover is a sales representative for Avon Products Inc., a company that sells beauty and gift products door-to-door. Ruby, Grover's manager, assigns Grover a certain territory in which to work. The territory that Grover is assigned has historically had one of the highest sales records in the state. Ruby is concerned that Grover is not adequately working the territory, so she allows Regina to also sell in that same territory. Does Grover have any grounds on which to file a lawsuit against Ruby?
Yes, Ruby has violated a principal's duty of cooperation and may be liable to Grover for Grover's lost profits.
Isaiah wants to build a new shopping complex. He is afraid that once news gets out about his plans, the price of the land where he wants to build the shopping complex will increase in price. Isaiah, therefore, hires Landon to purchase the parcels of land for him and to keep the fact that Landon is working for Isaiah a secret. Landon enters into a written contract for the sale of the land with Miriam and does not tell Miriam that Landon is an agent for anyone else on the deal. Isaiah refuses to buy the property from Miriam. Is Landon obligated to perform the contract with Miriam?
Yes, he is because there was an undisclosed principal who failed to perform.
Maryanne offers to sell her 2015 Mustang convertible to April for $15,000, and April agrees to those terms. April brings the $15,000 to Maryanne, and Maryanne promises to deliver the Mustang to April the next day after she has it detailed. At this point, Maryanne and April have:
an executory contract
Jones Construction Company is building a series of new subdivisions in Newtown over the next two years. Jones enters into a verbal agreement with Harley Concrete Inc. to construct all the driveways and sidewalks in the subdivisions that Jones will be building. Jones and Harley agree on a price of $130 per cubic yard and that Jones will pay Harley at the end of each project. Harley completes the first project, which is four sidewalks and sixteen driveways, and bills Jones for the project. Jones decides that the price is too high and refuses to pay, claiming that they have no obligation to pay because the parties did not have a valid contract. If Harley sues Jones for payment the court would probably:
apply quasi contract theory and award the fair market value of the work that Harley completed.
Lorenzo and Antonio agree that Antonio will buy Lorenzo's Go Cart Fun Park for $300,000. Lorenzo asks his lawyer to draft the contract. Lorenzo is surprised when the contract that the attorney drafts contains more than the description of the property, the price, and the payment terms. The contract also contains paragraphs that describe the choice of law and forum, how the contract can be modified, terms for assigning rights and delegating duties under the contract, and an arbitration clause. Lorenzo's lawyer explains to Lorenzo that these are boilerplate, and that they are important because:
boilerplate creates a private law that governs disputes between the parties.
Lucy cannot stand the fact that her ex-husband, Ethan, is about to get remarried. After all, it was a horrible breakup, and Ethan was really mean to her. Lucy decides to get her revenge by telling Ethan's employer that Ethan stole large amounts of money from his previous employer, even though Lucy knows it is not true. If Lucy follows through on her plan, she will have:
committed the tort of defamation because it is an untrue statement intended to harm Ethan's reputation, and she stated it to another person.
Helen purchases a cup of hot cocoa from the Yum Yum Shoppe. As Helen is leaving the shop, she tries to retrieve her keys from her purse and spills the entire cup of hot cocoa on herself. The cocoa is so hot that it causes third-degree burns and puts Helen in the hospital for two weeks. The Yum Yum Shoppe has received many complaints over the years about the cocoa being too hot but ignored the complaints because most of its customers enjoy the really hot cocoa. If Helen successfully sues the Yum Yum Shoppe in a negligence action, Helen could possibly receive:
compensatory damages and punitive damages.
Bernard and Hilda have both worked for Home Refinance Inc. for many years. Bernard has been with the company for fifteen years, and Hilda has been with the company for nine years. Both Bernard and Hilda are loan managers for the company, so they perform the exact same duties. Hilda discovers that Bernard's salary is twenty percent higher than hers. She cannot believe that she is paid less for the same job just because she is a woman. If Hilda sues the company over the disparity in pay, Hilda's lawsuit will likely:
fail if Home Refinance can prove the difference in pay is due to Bernard's seniority.
Which of the following types of trademarks are in the correct order, from highest protection to lowest protection?
fanciful, arbitrary, suggestive, descriptive, generic
Sar signs a contract with a new customer, her biggest one yet. The next day, Sar learns that her biggest competitor, Jen, has convinced the customer to sign with Jen and break the contract with Sar. Sar is upset about the deal but does not want to sue. Sar's attorney, however, encourages Sar to sue Jen. Her attorney tells Sar that it is important to sue Jen, who acted badly, for policy reasons. In addition to compensating Sar for her losses, a lawsuit would:
help deter Jen and others from committing similar bad behavior in the future.
Harold offers to sell Emma his farmland in Bryson County. After discussing the sale at length in front of their friends Nicole and Jackson, Harold and Emma orally agree on a price of $120,000 for the land. The next day, Emma goes to the bank and withdraws $120,000 to pay Harold for the land. When Emma presents the $120,000 to Harold, Harold tells Emma he was just joking and does not wish to sell the land. Emma tries to enforce the deal, and Harold continues to refuse by saying that the deal was not in writing, and, therefore, it is unenforceable. The contract between Harold and Emma for the sale of the land:
is not enforceable because it violates the statute of frauds.
Alexander's SUV rolls over and crashes because one of the tires shredded. The tire was only six months old. Alexander's SUV is totaled, he incurs $80,000 in medical bills, loses four weeks of pay at work, and suffers horrendous pain. Alexander sues Cooper Tires, the company that manufactured the tire. Alexander finds out during the discovery phase of the lawsuit that Cooper Tires had been made aware of the tire shredding problem but made a business decision not to fix the problem or recall the tires because it would be very costly to do so. If Alexander is successful in his lawsuit against Cooper tires, the court is likely to award:
punitive damages, in addition to compensatory damages, to punish Cooper Tires for its bad behavior.
Monica has created her own cleaning solution. Monica's friends encourage her to sell the cleaning solution; they think it is so fantastic they believe Monica will make a lot of money on it. They encourage Monica to apply for a patent on the cleaning solution formula so that no one can copy it, and so Monica will be the only one who can sell it. Monica likes the idea of making a lot of money but knows she will have to reveal her formula to obtain a patent, otherwise she would have to keep it a trade secret. If Monica decides to apply for and receives a patent on the cleaning solution:
she has revealed the formula, but has the sole right to produce it and sell it for twenty years.
Congress has the right to pass laws, as long as:
they do not conflict with the United States Constitution.
Lola, Jacy, and Tate plan to create a company to manufacture bicycles. After reviewing the pros and cons of the various forms of business enterprises, they decide to create a limited liability company. To create a limited liability company:
they must file a certificate of organization with the secretary of state and should create an operating agreement, although an operating agreement is not required.
Benita has a food truck where she sells spicy fried gorditas. Benita has been making the gorditas for years, using her family's recipe that has been passed down from generation to generation. Benita wants to protect her family recipe from being revealed to anyone else, so Benita considers the options available to her for the protection of her intellectual property. Because Benita's main concern is protecting the recipe from being revealed to anyone else, Benita's best approach is to treat the family fried gordita recipe as a:
trade secret
A company which has used a trademark similar to another's trademark in a way that is likely to cause confusion among consumers has committed:
trademark infringement
Which of the following is required in the Articles of Organization for an LLC? Choose 2 answers.
1. The principal place of business 2. The name of the business
Which act or statement is a valid offer?
A detailed advertisement
Franklin tosses a ball up in the air and intends to catch it, yet the ball hits a bystander, Yen, and injures her. Which of the following is correct?
Franklin was negligent.
How could liability be determined with superseding causes?
If the third party's actions or the second event are unforeseeable, the defendant who causes the first act could be relieved of liability.
Which type of lack of capacity is easiest to prove?
Minor status
May the government terminate a government employee who speaks out against policies and procedures?
No, if the matter is one of public concern.
Esther is pulled over for crossing the yellow line with her automobile. The officer suspects Esther is intoxicated, so she administers a field sobriety test. Esther blows a .16 on the test, so the officer arrests Esther for DWI. Esther decides to fight the charge. Her defense is that she is an alcoholic, and the laws against driving while intoxicated unconstitutionally discriminate against her and other alcoholics. Does Esther have a valid defense to her DWI charge?
No, she does not because laws that regulate economic or social issues are presumed valid, and the courts will apply minimum scrutiny in evaluating whether such laws discriminate against people.
What is an exception to the statute of frauds?
Promissory Estoppel
How would a customer preference for women attendants in the women's restroom or locker room be judged under employment discrimination?
The gender preference could be a BFOQ.
Agency rules are similar to statutes because of which one of the following?
They are legal requirements and binding as if Congress has passed them.
Owen offers to sell his motorcycle to Julian for $5,000. After he makes the offer, Owen has second thoughts. Owen can revoke the offer to sell his motorcycle to Julian:
as long as Julian has not yet accepted the offer.
The principle of stare decisis does which of the following?
creates predictability in the legal system
Congress passes a law making it a crime to use marijuana. The judiciary can check the power of Congress by:
declaring the law unconstitutional
Xavier and Ciara form a corporation to provide cleaning services to local businesses. After two years of trying to make a go of the business, the profits they had hoped for are just not there. Xavier and Ciara decide to dissolve the corporation and go their separate ways. To terminate the corporate entity, Xavier and Ciara must:
file articles of dissolution with the state, notify the creditors of the corporation of the dissolution, and establish a date (at least 120 days after the date of dissolution) by which all claims against the corporation must be received.
Kelly lives in Arkansas and works in the data division of Acxiom Corporation. Acxiom has its headquarters in Conway, Arkansas. Acxiom is incorporated in Delaware, however, because of the corporate-friendly laws in that state. Kelly works in a(n):
foreign corporation because Acxiom is incorporated in a different state than the division where Kelly works.
Mia contracted with Greencare Lawn Service for a pest treatment on Mia's lawn for $1,000. Pat lives next door to Mia. Greencare mistakenly treats Pat's lawn instead of Mia's. When Greencare seeks payment from Pat, Greencare can probably receive:
from Pat an amount less than the contract amount that will reimburse Greencare for expenses incurred.
The formation of LLCs is governed by:
the laws of the state in which the LLC is created.
Courts will consider all EXCEPT the following in determining whether the fair use doctrine applies:
the medium of the copyrighted work.
Which of the following should be approved by shareholders? Choose 2 answers.
1. A dissolution of the corporation 2. An acquisition of the company by another company
Which of these contracts would be enforceable, despite the existence of a mistake? Choose 2 answer choices.
1. Christopher agrees to sell his washer and dryer to Ella. Ella thinks the dryer uses gas instead of electricity, but she is incorrect. 2. Christopher agrees to sell his washer and dryer to Ella in "as is" condition. Ella thinks the set is in excellent condition and is willing to take a chance on buying it. Neither works after a few weeks of use.
The National Labor Relations Board (NLRB) is involved in what union activities? Choose 2 answer choices.
1. Collective bargaining 2. Union certification
The reasonable person standard can vary based on what factors? Choose 2 answer choices.
1. Facts and circumstances of the situation 2. The occupation of the defendant
The reasonable person standard applies to which of the required elements to be proved in a negligence case? Choose 2 answer choices.
1. Duty of care 2. Breach of duty
In what situations would a court be likely to award a quasi-contract? Choose 2 answer choices.
1. If the defendant was unjustly enriched and played a part in deceiving the plaintiff 2. When the unjust enrichment is a relatively insignificant amount of money
In general, certain terms must be included in contracts to satisfy the requirement of definiteness. What are the exceptions to this rule? Choose 2 answer choices.
1. Courts can complete a contract to supply some missing items 2. Sales contracts under the UCC
A chain of jewelry stores uses an actress, Felicity Fake, who resembles Rachel Real, a famous actress, to appear in commercials for their stores, with the intent of giving the impression that Rachel Real is endorsing the chain. They dress Felicity in a dress similar to the dress Rachel Real wore in her most famous movie and ask Felicity to imitate Rachel's voice. Rachel Real is insulted by the presentation. For which intentional tort could Rachel sue the company? Choose 2 answer choices.
1. Appropriation 2. Invasion of Privacy
Direct infringement includes which of the following? Choose 3 answer choices.
1. Making a patented invention without permission from the patent owner 2. Using a patented invention without permission of the patent owner 3. Selling a patented invention without permission from the patent owner
A product liability lawsuit can be filed under which legal theory? Choose 3 answer choices.
1. Negligence 2. Strict Liability 3. Intentional Tort
Which of the following are the TWO types of ADR that results in parties voluntarily signing a settlement agreement rather than proceeding to trial? Choose 2 answer choices.
1. Negotiation 2. Mediation
What are the differences between legal and equitable remedies? Choose 2 answer choices.
1. One requires actions instead of damages 2. One is monetary
Federal courts have exclusive subject matter jurisdiction over which of the following? Choose 2 answer choices.
1. Patent/trademark/copyright cases 2. Bankruptcies
Partners have which of the following duties? Choose 3 answers.
1. Record keeping 2. Fiduciary duties 3. Capital contribution
Danny hires Evelyn to install a swimming pool at Danny's home for $40,000, to be completed by June 1. Evelyn completes the job on time. When Danny inspects the pool, he discovers that Evelyn used a vinyl lining, and the contract called for a fiberglass lining. Danny refuses to pay Evelyn, stating that Evelyn breached the contract because the contract was not completed according to the specifications stated in the contract. If Evelyn sues Danny for the contract price:
Evelyn will probably receive the contract price less the cost to replace the pool liner with a fiberglass liner.
The idea that each person has intrinsic biases that impact their decisions is a component of which school of thought?
Legal Realist School
Selma wants to buy Matilda's house. Selma has been admiring the house for a long time and has asked Matilda repeatedly to sell the house to her, but Matilda has always refused. Finally, Selma tells Matilda that if Matilda does not sell Selma the house, Selma will kill Matilda's daughter. Afraid for her daughter's life, Matilda signs the contract to sell the house to Selma. If Matilda later tries to rescind the contract:
Matilda may rescind the contract on the grounds that she signed the contract under duress.
Geraldo is the owner/manager of Geraldo's Cleaning Service, a firm that cleans office building. Geraldo has a team of seven employees who do a fantastic job. To encourage them to keep up the good work, Geraldo tells his employees that if they continue to work hard until the end of the quarter and if he is pleased with his profits at the end of the quarter, he will give them each a $100 bonus. At the end of the quarter, the company's profits were extremely high. Will Geraldo have to make good on his promise of a $100 bonus for each employee?
No, Geraldo will not have to award the bonuses because his offer of a $100 bonus if he is pleased with his profits was an illusory promise.
Heather is an artist and has several watercolors she would like to sell. Heather orally asks Rylee to sell the paintings for her and directs Rylee that each painting should be sold for at least $100. Rylee schedules a showing in her art gallery to display Heather's paintings. On the day of the showing, a customer offers to buy one of the paintings for $100, and Rylee accepts. When Heather finds out the price the painting sold for, she tries to get the painting back from the customer. Heather claims that she and Rylee did not have a written agency agreement, and, therefore, an agency relationship did not exist between them. Is Heather correct?
No, most agency agreements do not have to be in writing to be effective.
A U.S. citizen who writes a book in the United States automatically has copyright protections in other signatory countries under which agreement?
The Berne Convention
Tillie is served with a lawsuit to collect a debt Tillie allegedly owes to Big Ben Clocks. The summons attached to the lawsuit says that Tillie has thirty days to answer the complaint. Fifteen days later, Tillie receives a copy of a default judgment in the mail, directing Tillie to pay $1000 to Big Ben Clocks. Does Tillie have any grounds on which to have the default judgment set aside?
Yes, it is a violation of procedural due process.
Nadia needs help running her bakery. Nadia contacts her friend Zoey, who has baking experience but lives in another state, and offers Zoey a job. Nadia orally promises Zoey that she will employ Zoey for at least two years. Zoey quits her job in the other state, moves her family, and begins to work for Nadia. After three months, Nadia terminates Zoey's employment. Zoey sues Nadia, claiming they had a contract for two years. If Nadia defends the lawsuit by claiming the contract could not be enforced because it violates the statute of frauds, the court will likely hold in favor of:
Zoey, under the theory of promissory estoppel.
Rando and Shania are involved in an automobile accident. Rando decides to sue Shania for his injuries, so he files a complaint, a formal pleading that starts the lawsuit and sets out the allegations that Rando has against Shania. Rando has the complaint, along with a summons, served on Shania to give her notice of the lawsuit. If Shania does not respond to the complaint:
a default judgment may be entered against her.
Onida is an employee at Kale's Manufacturing Company. The company makes bicycle tires, and Onida's job is to inspect the inner tubes before they are inserted into the tires. She recently noticed that the inner tubes are thinner than the safety specifications require. Onida tells her supervisor, Tom, about the problem, and is instructed to ignore it because these thinner tubes save the company money. Onida cannot ignore this problem in good conscience, so she tells Tom that if he is not going to report the problem, she will. Tom then fires Onida. Kale's Manufacturing Company is in an employment-at-will state. If Onida brings a lawsuit for wrongful termination, she will likely:
be successful because she was fired for an unlawful reason.
Sanderson drives a delivery truck for Jim's Wholesale Foods. As Sanderson is on his way to a local delivery, he rear-ends Sarah's car. Sanderson immediately gets out of the delivery truck to assist Sarah. Sanderson tells Sarah that he did not intend to hit her and that he is very sorry. Sarah's car is totaled, and Sarah is taken to the hospital with extensive injuries. Once Sarah is discharged from the hospital, she visits an attorney to discuss her options. Sarah's attorney advises her that she can sue:
both Sanderson and Jim's Wholesale Foods.
Reginald hires Sophia to deliver pizzas for his restaurant. All goes well at first. But one night, Sophia decides to go to a concert instead of delivering pizzas. She delegates her delivery tasks to Rosemary, who accepts the delegation and agrees to deliver the pizzas. However, instead of delivering the pizzas, Rosemary takes the pizzas home to her family. At the end of the evening, Reginald has many unhappy customers, and wants to sue for breach of contract to recover the income he lost for the evening. Reginald should be able to sue:
both Sophia and Rosemary.
Chloe is taking a botany class at the local university, so she purchases the textbook from the bookstore. Several of Chloe's friends are also taking the botany class. Chloe decides to make some money on her purchase of the textbook. Chloe scans the book into her computer and then sells the digital copies to her friends for 25 percent of the price they would have paid for the textbook. After selling her digital "product" to six friends, Chloe not only has more than recovered the cost of her textbook, she can still sell the book back to the bookstore at the end of the semester. Genius! By scanning and selling the textbook, Chloe has:
committed copyright infringement because her actions are not permissible under the first sale doctrine.
For the past year, Zegrida has been writing a historical fiction novel based on the experiences of her family as they immigrated to the United States from Latvia during World War II. When finished, she contacted a publisher and was shocked to discover that her book had just been published two weeks ago with Fran, a business acquaintance of Zegrida, listed as the author. Two months ago, Zegrida had asked Fran to review the book and give feedback, but instead, Fran published the book under her own name. Zegrida plans to sue Fran for copyright infringement and is trying to decide in which court to sue. Zegrida must sue Fran:
in federal district court because the suit involves a copyright issue.
Marlo is about to be transferred overseas and wants to sell her house. Julianna, who is not a real estate agent, offers to sell the house for Marlo for free. Marlo jumps at the chance to get such a valuable service for free! Because Julianna offered to sell the house for free, Julianna owes Marlo:
no duty to sell the house, but if Julianna does attempt to sell the house, she owes Marlo the duty to use reasonable diligence and skill in performing the task.
Tala operates Sunshine Event Planning as a sole proprietorship. Lately, Tala has become dissatisfied with her employee, Leon. Leon continually refuses to follow directions, calls in late to work, and generally is not performing up to Tala's standards. Before Tala can fire Leon, she must obtain approval from:
no one
Elton is a state representative for the North Dakota legislature. Recently, Elton and his colleagues in the legislature proposed a law that would increase the penalty drivers would have to pay if they pass a stopped school bus. The type of law that Elton and his colleagues will enact is known as:
statutory law
Angelina's neighbor Andrew tore down a fence that separated Angelina's property from Andrew's property. Angelina was outraged because she believed the fence was a part of her property and Andrew had no right to tear it down. Angelina sued Andrew, and after several months, they went to trial. In deciding the case, the court relied on the decision made in a previous case from the same jurisdiction that had similar facts and similar issues. The previous case the court relied on is referred to as:
precedent
If an employee reports illegal behavior of a publicly traded company and is later terminated because of it, under Sarbanes-Oxley they may be entitled to:
reinstatement, back pay, and attorneys' fees.
The faculty at Hopeland University have always been predominantly white. Concerned that it may be discriminating against potential nonwhite faculty members, Hopeland institutes an affirmative action program that provides that fifty percent of any new faculty positions at the university will be reserved for nonwhite applicants. Clara, who is white, applies for a faculty position at Hopeland. The position is given to a black applicant, even though Clara has more teaching experience and higher educational credentials. When Clara challenges the hiring decision by claiming that the Hopeland University affirmative action program violates the Equal Protection Clause of the Fourteenth Amendment:
she may be successful because the Hopeland University affirmative action program uses quotas.
Johnson lives near Dollywood, a popular theme park in Tennessee. Johnson decides to begin a new money-making venture selling screen printed t-shirts from a booth just down the road from the theme park, to take advantage of the traffic that flows by on its way to the park. Johnson's t-shirts, however, will not be Dollywood-themed t-shirts; they will be Johnson's own creations. Johnson's daughter Susan helps him in his new venture by manning the booth from time to time, but Johnson has total control over everything about the business—from ordering the t-shirts, paying the bills, pricing the t-shirts, paying the taxes on his sales, and receiving all the profits from the venture. Even though Johnson put no thought into what kind of business venture he was creating when he started his business, Johnson has effectively created a:
sole proprietorship
In a unilateral contract:
substantially undertaking performance prevents the offeror from revoking the offer.
Arvitz purchases a copy of Wordsample 7.0 software, the newest version of the word processing program he normally uses. Arvitz wants to share a copy of the software with his friends Kim and Carrie, but the program was designed to only be copied once. Arvitz is a decent programmer, so after spending a little time with the program, Arvitz learns how to bypass the code that only allows the program to be copied once. Arvitz then makes copies of the program and gives these copies to Kim and Carrie. By copying the word processing program and giving the program to his friends, Arvitz has violated:
the Digital Millennium Copyright Act.
Harold is the owner of Fairway Lawn Service, which provides lawn-care services to residential and commercial customers. Harold regularly sprays his customers' lawns with a pesticide that contains glyphosate. The Environmental Protection Agency (EPA) issues a citation to Harold for commercial use of the pesticide. The EPA says glyphosate can only be used in residential applications. Harold knows that this has not been the law in the past, so he searches the EPA website for information about glyphosate. Harold finds nothing that indicates glyphosate cannot be used in commercial applications, so Harold demands a hearing to dispute the citation he has been issued. Harold will probably:
win because the EPA did not give notice of the rule change regarding glyphosate.