LE 365 Ch. 31, 8, 48 Practice Questions

turning over future income/earnings to the trustee to execute the plan

A repayment plan under Chapter 13 must include - full up-front payment of all outstanding debts - plans for liquidating assets to pay off debts - turning over future income/earnings to the trustee to execute the plan

No. Student loans, taxes, and goods obtained by fraud are not dischargeable

After graduating from college, Tina works briefly as a salesperson before filing for bankruptcy. Tina's petition states that her only debts are student loans, taxes accruing within the last year, and a claim against her based on her misuse of customers' funds during her employment. Are these debts dischargeable in bankruptcy?

Sole benefit of the bailor - slight standard of care: covers gross negligence - Yes, her garage door should have been closed, and it is not normal for her to leave the garage door open.

Atka owns a valuable speed-boat. She is going on vacation and asks her neighbor, Regina, to store the boat in one stall of Regina's double garage. Regina consents, and the boat is moved into the garage. Regina goes to the store and accidentally leaves the garage door open. While she is at the store, the speedboat is stolen. What standard of care is required in this situation? Has Regina breached that duty?

credit card debt

Harold files a bankruptcy petition. The resulting automatic stay will apply to Harold's payments for - statutory liens for property taxes - child support - credit card debt - all of the choices

Trademark dilution

Imagine Atlanta Braves All-Star outfielder Ronald Acuna Jr. has opened a restaurant chain called "McRonald's." McRonald's is using a similar arch-style design colored navy and red. McDonald's files a lawsuit against Ronald Acuna Jr. and McRonald's requesting an injunction. McDonald's claims McRonald's is weakening the distinctiveness of its brand and is harming its reputation. What is the legal basis of McDonald's claims? - Copyright infringement - Theft of trade secrets - Trademark infringement - Trademark dilution

The court ruled in favor of Chewy Vuitton. No infringement because: - obvious parody - not confusing because goods are not similar, CV did not intend to confuse the public, no actual confusion had taken place No dilution because - obvious parody does not diminish distinctiveness of a famous mark

In the case of Louis Vuitton vs. Chewy Vuitton, Chewy Vuitton created dog toys that looked as if they were from Louis Vuitton. Louis Vuitton brought infringement and dilution claims against Chewy Vuitton. Who won in this case?

1) 3 elements of a gift seem to be met 2) intent - the intent is not completed until marriage is finalized, because an engagement is a promise to get married 3) Yes

Jason and Catharyn got engaged when Jason placed an engagement ring on Catharyn's finger and simultaneously proposed marriage. Catharyn accepted the proposal. The engagement did not last as the parties broke up. Jason asked Catharyn to return the ring but she refused. Jason filed a suit to recover the ring, and the court ruled in Catharyn's favor. Jason appealed. - Under what reasoning could the court affirm the award of the ring to Catharyn? - On what basis could the court reverse the judgment and return the ring? (Hint: Is an engagement ring a completed gift immediately on its delivery?) - Should the court determine who was responsible for breaking off the engagement before awarding ownership of the ring?

Kent - 3 elements of a gift are met: intent, delivery and acceptance

Jennifer adopted a dog - called the Stig - from the Anti-Cruelty Society in Chicago. Jennifer wrote a poem and presented it to Kent, her live-in boyfriend. In the poem, she expressed her intent to give the Stig to him as a gift. While Jennifer and Kent lived together, they were both involved in the Stig's day to day care. They broke up and Kent moved out. Who is the Stig's rightful owner?

Yes, because the products are substantially similar, there is an infringement. An idea just has to be patented, doesn't matter whether it has been sold or not.

John and Andrew Doney invented a hard-bearing device for balancing rotors. Although they obtained a patent for their invention from the US Patent and Trademark Office, it was never used as an automobile wheel balancer. Sometime later, Exetron Corp. produced an automobile wheel balancer that used a hard-bearing device with a support plate similar to that of the Doney's device. Given that the Doneys had not used their device for automobile balancing, does Exetron's use of a similar device infringe on the Doney's patent?

McAfee is correct. The guaranty between Harman and McAfee had not been discharged in his bankruptcy on the basis that it was not included in the list of dischargeable debts in his bankruptcy proceedings.

McAfee loaned $400,000 to Carter Oaks Crossing. Harman, Carter Oaks' president, signed a promissory note providing the company would repay the amount with interest in installments. Harman signed a personal guaranty for the note. Carter Oaks defaulted, so McAfee sued for payment under the guaranty. Harman argued the claim was discharged in his Chapter 7 bankruptcy case. The guaranty was not listed among Harman's debts in his bankruptcy filing. Who is correct and why?

No, claims that cannot be discharged include those claims characterized as domestic-support obligations and property settlement agreements as a result of a separation agreement or a divorce decree.

Michael and Dianna Shankle divorced. An AK state court ordered Michael to pay Dianne alimony and child support, as well as half of the money in their investment accounts. Instead, he withdrew the funds and spent them. Over the next several years, the court repeatedly held Michael in contempt for failing to pay Dianne. Michael eventually filed for bankruptcy, including in the petition's schedule the debt to Dianne of unpaid alimony, child support, and investment funds. Is he entitled to a discharge of this debt?

unsecured credit card debt

Milos files a petition in bankruptcy. His dischargeable debts include: - domestic support obligations - student loans unless the lender would suffer undue hardship - court costs, trustee fees, and attorney's fees associated with the bankruptcy - unsecured credit card debt

Sole benefit of the bailee - Not liable, because he couldn't have reasonably known Max hadn't used the edger previously

Orlando borrows a gas-driven lawn edger from his neighbor Max. Max has not used the edger for two years. Orlando has never owned a lawn edger and is not familiar with its use. Orlando is injured when a loose blade becomes detached while he is edging his yard. Can Orlando hold Max liable for his injuries?

No clear answer, talk through the fair use exceptions. Purpose and character of use - education & teaching purposes Nature of copyrighted work - textbook Amount and substantiality of the portion used - substantial portion, gave copies to every student Effect of use upon potential market for/value of copyrighted work - detrimentally decrease the value of the textbook, because less students will purchase when they are able to obtain a free copy

Professor Wise is teaching a summer seminar in business torts at State University. Several times during the course, he makes copies of relevant sections from business law texts and distributes them to his students. Wise does not realize that the daughter of one of the textbook authors is one of his students. She tells her father about Wise's copying activities, which have taken place without her father's or his publisher's permission. Her father sues Wise for copyright infringement, but Wise claims protection under the fair use doctrine. How will the court decide who will prevail?

Yes, trade secrets

Roslyn, a food buyer for Organic Cornucopia Food Company, decides to go into business for herself as Roslyn's Kitchen. She contacts Organic's suppliers, offering to buy their entire harvest for the next year. She also contacts Organic's customers, offering to sell her products at prices lower than Organic's prices. Has Roslyn violated any of the intellectual property rights discussed in Ch. 8?

- mislaid or lost - must give it back, because he knew whose it was

Sara left her phone in a Lyft. Days later, Vargo contacted her, claiming to have bought the phone from someone else. He promised to mail it to Sara if she would wire $100 to him. When Sara spoke to Vargo about the wire transfer, she referred to the phone as hers and asked, "Are you going to send my phone to me?" Sara paid, but she did not get the phone. Instead, Vargo took it to a Best Buy and exchanged it for credit. Charged with theft of lost property, Vargo claimed he did not know Sara was the phone's owner. -Was Sara's phone lost, mislaid, or abandoned? -What is the finder's responsibility with respect to this type of property?

- Probably, provided Sonya can establish that she took(and therefore owns) the photo

Sonya takes a picture of the New York skyline on her iPhone and posted it to her personal blog. She did not register the photo with the US copyright office. A marketing employee at Van Slyke, LLC came across Sonya's photo and screenshotted it for use on Van Slyke's website. Sonya filed a copyright infringement on his picture? Will she win? - Probably, provided Sonya can prove Van Slyke used the photo without her permission - Probably, provided Sonya can establish that she took(and therefore owns) the photo - Probably not as a skyline photo is a generic commonplace image - Probably not as the photo is not protected intellectual property since she didn't register with the US copyright office

True

T/F: A mere idea of no commercial value to a competitor generally cannot enjoy legal intellectual property protection.

True

T/F: Before filing for bankruptcy, a consumer-debtor must receive credit counseling.

False

T/F: Patents can be renewed so the legal protection lasts indefinitely.

trade dress

The shape of a Goldfish cracker, the red soles of Louboutin shoes, and the plaid pattern on a Burberry scarf are examples of: - trade dress - copyright - service marks - trade names

1. Trademark, trade dress is the distinctive appearance of the product; whereas, a trademark is a mark, motto, device, or emblem fixed to the product so its origin is known and can be identified on the market. 2. Yes, if the game is substantially similar even though Hallowed had not been put on the market yet. 3. No, the video game was not in a fixed, durable medium, so they therefore cannot sue for copyright infringement. 4. Theft of trade secrets

Two computer science majors, Trent & Xavier, have an idea for a new video game, which they propose to call Hallowed. They form a business and begin developing their idea. Several months later, Trent and Xavier run into a problem with their design and consult a friend, Brad, who is an expert in designing computer source codes. After the software is completed but before Hallowed is marketed, a video game called Halo 2 is released for Xbox and PlayStation. Halo 2 uses source codes like those of Hallowed & imitates Hallowed's overall look and feel, although not all features are alike. 1.Would the name Hallowed receive protection as a trademark or a trade dress? How do you make the distinction? 2.If Trent and Xavier had obtained a patent on Hallowed, would the release of Halo 2 have infringed on their patent? Why/why not? 3.Based only on the facts described above, could Trent and Xavier sue the makers of Halo 2 for copyright infringement? What facts support/harm their claim? 4.Suppose that Trent and Xavier discover that Brad took the idea of Hallowed and sold it to the company that produced Halo 2. Which type of IP issue does this raise?

United has a valid claim. It is not a problem that they did not create the fabric design, because you can have a copyright even if you aren't the original creator.

United Fabrics International, Inc. bought a fabric design from an Italian designer and registered a copyright to it with the U.S. Copyright Office. When Macy's, Inc. began selling garments with a similar design, United filed a copyright infringement suit against Macy's. Macy's argued that United did not own a valid copyright to the design and so could not claim infringement. Is it a problem that United did not create the fabric design?

1. The dome is personal property, because it can be detached from the ground. 2. inter vivos, there is no reason to believe it was a "death bed" gift 3. Sole benefit of the bailor - slight duty of care, liable for gross negligence 4. common carrier - absolutely liable for all loss or damage to goods, can't contract away liability

Vanessa Denai purchased 40 acres of land in rural LA. On the property were a 1,600 sqft house and a metal barn. Denai later met Lance Finney who had been seeking a small plot of rural property to rent. Denai invited Finney to live on a corner of her property in exchange for Finney's assistance in cutting wood and tending the property. Denai agreed to store Finney's sailboat in her barn. With Denai's consent, Finney constructed a concrete and oak foundation on Denai's property. Finney then purchased a 190 sqft dome for $3,395. The dome was shipped by Doty Express, a transportation company licensed to serve the public. Finney installed the dome frame and fabric exterior so that the dome was detachable from the foundation. A year later, Denai wrote Finney a note stating "I've decided to give you four acres of land surrounding your dome as drawn on this map." The gift violated no local land-use restrictions. 1. Is the dome real property or personal property? 2. Is Denai's gift of land to Finney a gift causa mortis or inter vivos? 3. What type of bailment relationship was created when Denai agreed to store Finney's boat? What degree of care is Denai required to exercise? 4. What standard of care applied to the shipment of the dome by Doty Express?

- reorganization, such as chapter 11

Wild West Tours, Inc. wants to formulate a plan under which it pays a portion of its debts and is discharged of the remainder while continuing in business. To accomplish this goal, Wild West should file a petition in bankruptcy for relief through - reorganization, such as chapter 11 - straight bankruptcy plan - repayment plan, such as chapter 13 - liquidation, such as chapter 7