Ch. 9 Kuratko quiz

Copyrights have to be registered with the Copyright Office

false

Which of the following is recognized as a disadvantage of partnerships?

lack of continuity

A Chapter 11 proceeding allows the business to operate as a(n) _____, which means that the court appoints a trustee to oversee the management of the business.

liquidation

Which of the following is not one of the major sections of the Bankruptcy Act?

liquidation

A trademark is a distinctive _____ that is identified with a company's product.

name

The registration of a trademark has a lifetime of

10 years plus 10 year renewable periods

Design patent protection lasts for _____ years.

15

Which of the following explains how death affects the duration of a corporation?

A corporation is unaffected by the death of a shareholder

Which of the following is a useful rule used to avoid pitfalls in selecting a trademark?

Never choose a trademark without first conducting a trademark search

In order to obtain a patent, an application should be filed with the

Patent and Trademark Office of the Department of Commerce.

A typical symptom of impending bankruptcy is when

other firms seem to be selling products that are a generation ahead.

T/F: A copyright provides exclusive rights to creative individuals for the protection of their artistic productions.

True

T/F: A trademark is a distinctive name, mark, or symbol that is identified with a company's product.

True

A series of short paragraphs, each of which identifies a particular feature that is protected by the patent, is known as a

a claim

The determination of fair use of copyrighted material is based on

the effect of use on the potential market for the work

T/F: Because of the fair use doctrine, it is sometimes difficult to establish infringement.

true

T/F: If infringement can be proven in court, a monetary award may be given to the trademark holder.

true

T/F: Once issued, the trademark is registered with the Patent and Trademark Office.

true

T/F: Patents eventually expire.

true

T/F: Works created and copyrighted after January 1, 1978, are protected for the life of the author plus 70 years.

true

Which of the following is a suggestion to minimize legal costs?

visit the lawyer during normal hours of operation

The part of a patent application that defines and limits the patented invention is known as the

claim

The part of a patent application that identifies the features that are protected is known as the

claim.

Copyrights can be placed on all of the following except

ideas

Legal protection is granted to computer programs in which of the following forms?

copyright

Which of the following is not a trademark?

description

T/F: Business owners normally prefer Chapter 7 bankruptcy over any other form of bankruptcy.

false

T/F: Design patents last for 20 years

false

T/F: The registration of a trademark lasts for 40 years, with continuous renewal every 10 years.

false

An infringement budget deals with

legal battles

Specific forms of partnership include _____ and _____.

limited partnerships and limited liability partnerships

In bankruptcy terms, Chapter 7 is often called liquidation.

liquidation

A patent gives the holder a temporary

monopoly

Which of the following is an indicator that an entrepreneur's business is failing?

obligations are greater than assets

To establish a sole proprietorship, a person needs to

obtain whatever local or state licenses are necessary

The two parts to a patent application are claims and

specification.

T/F: Anyone who violates an author's exclusive rights under a copyright is liable for infringement.

true

T/F: The two parts of a patent application are specification and claims.

true

The failure of a trademark owner to file an affidavit stating it is in use is referred to as which of the following trademark invalidation reasons?

cleaning-out procedure

According to the U.S. Patent and Trademark Office, the process of obtaining a patent takes about _____ years.

3

A B corporation's legal structure expands corporate accountability to encompass all of the following except

comprehensive and transparent social performance standards

Because of the _____ doctrine, it is sometimes difficult to establish infringement.

fair use

When a trademark becomes the name of a general group of products or services, the trademark protection may be lost because of

generic meaning

Items that can qualify for patent protection include all of the following except

ideas

An S corporation takes its name from

Subchapter S.

T/F: In bankruptcy terms, Chapter 7 is often called liquidation.

True

T/F: Three primary legal forms of organization are the sole proprietorship, the partnership, and the corporation.

True

Works created after January 1, 1978, have a copyright for the life of the author plus

70 years

T/F: Chapter 7, Chapter 9, and Chapter 11 are the most common forms of bankruptcy.

false

T/F: A patent is an intellectual property right.

true

T/F: At present, the courts have held that the unauthorized use of another's mark in a domain name may constitute trademark infringement.

true

T/F: Attorney-hopping is the best way to keep legal fees to a minimum.

false

A trademark may be invalidated in all of the following ways except

generic words

T/F: One of the principal advantages of a corporation is that the stockholder's liability (the most money a person can lose) is limited to an individual's investment.

true

If a trademark has not been used for two consecutive years, it could be invalidated under

abandonment.

T/F: Chapter 13 bankruptcy involves a reorganization of the enterprise.

false

The patent process is neither complex nor does it require careful planning.

false

T/F: The object of a patent is to provide the holder with a temporary monopoly on his or her innovation.

true

T/F: Entrepreneurs should not be concerned with establishing a clear fee structure with an attorney before any legal matters are handled.

false

T/F: It often is possible to obtain more capital and a better range of skills in a sole proprietorship than in a partnership.

false

To effectively pursue a patent violation, experts recommend that the entrepreneur

prepare a realistic budget for infringement.

The text of a patent application is known as the

specification

Which of the following falls under Chapter 7 bankruptcy?

The debtor is relieved of obligations.

Which of the following statements regarding sole proprietorships is true?

a sole proprietorship is owned and operated by one person

What percentage of issued patents is considered commercially valuable?

a very small percentage

Anyone who violates an author's exclusive rights under a copyright is liable for

actual damages plus any profits from use.

The purpose of filing for Chapter 13 bankruptcy is

adjustment

The owner of a copyright may do all of the following except

deduct the intrinsic value of the rights from one's taxes

The process of trademark registration is

expensive

A patent infringer can be liable for all _____ resulting from the infringement as well as for legal fees.

profits

For the author of creative material to obtain a copyright, the material must be in _____ form.

tangible