Legal Envt Bus. Test 1.

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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. Mediation 2. Negotiation

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 authority does the federal government have under the Commerce Clause? Choose 2 answer choices.

1. To regulate commerce on the national and local levels 2. To regulate international commerce

What is the system of government called in which states form a union and share sovereign power with the central government of the union?

federalism

An arbitrator is different than a mediator because an arbitrator:

has the authority to make a binding award.

What business speech is protected by the First Amendment?

Some types of advertising

The abbreviation "U.S." in the legal citation Brown v. Board of Education, 347 U.S. 483 (1954) references the:

United States Reports.

In contrast to federal courts, state courts have what kind of jurisdiction?

broad

What do legal professionals use to analyze court decisions that are relevant to their clients' cases?

case briefing

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.

What does substantive due process require? Choose 2 answer choices.

1. a compelling governmental interest if a fundamental right is involved 2. a legitimate governmental purpose if a non-fundamental right is involved

Which of the following are methods of preventing unethical behavior? Choose 2 answers.

1. establishing a company code of ethics 2. terminating an employee for unethical behavior

equitable maxims

General propositions or principles of law that have to do with fairness (equity).

damages

A monetary award sought as a remedy for a breach of contract or a tortious act.

What is preemption in the Supremacy Clause?

Federal law is supreme over state law.

Which of the following is an example of federal agency regulations that impact business operations?

Internal Revenue Service rules for business tax audits

In which of the following situations would ONLY state law apply?

Jim and John Brown want to form the Two Brothers Cleaning and Janitorial Company, Inc. and do business in Maryland.

Under which principle of ethics would a person consider whether his or her action is one that every other person should take?

Kant's categorical imperative

Constitutional law

Law that is based on the U.S. Constitution and the constitutions of the various states.

The idea that each person has intrinsic biases that impact their decisions is a component of which school of thought?

Legal Realist School

The belief that as humans we are all entitled to certain fundamental rights is a component of which school of thought?

Natural Law

You've decided to buy some rental property but know very little about the law regarding landlord-tenant relations. You head to the local law library to do a little research on the subject. The law librarian is extremely helpful, and with his help, you have lots of reading material about landlord-tenant law! You discover there are several kinds of law and that some laws are procedural and other laws are substantive. What do you think procedural law covers?

The methods of enforcing the rights established by substantive law.

Federal question cases are those that involve: (Choose 3 answer choices)

1. a federal treaty. 2. a federal statute. 3. the U.S. Constitution.

plaintiff

A party that initiates a lawsuit.

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.

defendant

One against whom a lawsuit is brought, or the accused person in a criminal proceeding.

What does venue refer to?

geographic location of the court

If the U.S. Supreme Court determines that a state or federal law violates the U.S. Constitution, it may:

invalidate the law.

Which of the following is the provision of the U.S. Constitution that establishes federal law precedence over state law?

the Supremacy Clause

A company exhibits responsible corporate citizenship when it:

uses its wealth and influence to benefit society as a whole

Which of the following is a correct statement of federal preemption of state law under the Supremacy Clause? Choose 2 answers.

1. A state's attempt to regulate television and radio is preempted by federal law because the federal government has regulated the entire field. 2. A state law that requires documentation of citizenship is preempted by the National Voter Registration Act because the act only requires a statement under oath.

Federal courts have exclusive subject matter jurisdiction over which of the following? Choose 2 answer choices.

1. Bankruptcies 2. Patent/trademark/copyright cases

Which of the following citations indicates that the citation is referencing state statutory law? Choose 2 answers.

1. Cal. Penal Code § 11164(a) (West 2020) 2. Ark. Code Ann. § 6-17-2401 (2020)

What is true of corporate political speech? Choose 2 answers.

1. Corporate political speech is protected by the First Amendment. 2. Political donations are protected by the First Amendment as types of corporate political speech.

Which of the following illustrates a financial or non-financial cost of unreported unethical behavior to a company? Choose 2 answers.

1. Employee morale hit an all-time low when Scott, the line supervisor, ignored repeated instances of harassment by certain employees. 2. Sweet Home Diner lost half of its business when the community became outraged with the owner for failing to stop the racist social media postings of the restaurant manager.

Which of the following are considerations of corporate social responsibility? Choose 3 answer choices.

1. Issues within the community where a business is located 2. Ethical treatment of employees and suppliers 3. Environmental impact of a business

A restriction on commercial speech will be valid if it meets three criteria. What are they? Choose 3 answers.

1. It must seek to implement a substantial government interest. 2. It must not be overly restrictive to meet its objectives. 3. It must directly advance a government interest.

What does the First Amendment protect regarding religion? Choose 2 answer choices.

1. It protects a person's right to hold no religious beliefs. 2. It protects the exercise of religious practices.

courts of equity

A court that decides controversies and administers justice according to the rules, principles, and precedents of equity.

remedies

The relief given to an innocent party to enforce a right or compensate for the violation of a right.

case law

The rules of law announced in court decisions. Case law interprets statutes, regulations, constitutional provisions, and other case law.

liability

The state of being legally responsible (liable) for something, such as a debt or obligation.

State statutory law is created by:

elected members of the state legislature.

Which branch of government has the authority to enact law?

legislative

A legal citation for a court decision is used by legal professionals to research the law, and includes:

party names, location of the published case, court, and date of decision.

Which of the following are required for a diversity of citizenship case? Choose 2 answer choices.

1. Parties that are citizens of different states 2. An amount in controversy over $75,000

Ethics is the consideration of how one should act, based on which of the following concepts?

morality, or principles of right and wrong

petitioner

In equity practice, a party that initiates a lawsuit.

respondent

In equity practice, the party who answers a complaint or other proceeding.

In the United States, who creates state statutory law?

State legislatures

statutory law

The body of law enacted by legislative bodies (as opposed to constitutional law, administrative law, or case law).

The principle of stare decisis does which of the following?

creates predictability in the legal system

You recently had an accident on the job. Some equipment fell on you causing a serious injury, and your medical bills alone are likely to be over $85,000. You claim an outside vendor who was working on the equipment that day created the problem that caused the injury, and you want to sue. You live and work in Texas, and the outside vendor is a resident of Oklahoma. Where do you think you should file the lawsuit?

in either federal or state court

What is the medium level of scrutiny, sometimes called heightened scrutiny, that a court will use when deciding a case that involves a quasi-suspect class?

intermediate scrutiny

Substantive law governs a person's:

rights and responsibilities.

Under the principle of rights, the term "rights" refers to:

the fundamental rights of human beings.

In ethics, compliance with the law is considered:

the moral minimum.

In what situations does federal law preempt state law? Choose 2 answer choices.

1. When Congress passes very detailed laws 2. When Congress passes a law and creates an agency to enforce that law

How does the Fifth Amendment apply to fundamental rights?

Fundamental rights are a determining factor in the analysis under substantive due process.

defense

Reasons that a defendant offers in an action or suit as to why the plaintiff should not obtain what he or she is seeking.

common law

The body of law developed from custom or judicial decisions in English and U.S. courts, not attributable to a legislature.

Which of the following is a true statement of the powers of a branch of the federal government?

The power to enact laws is vested in the legislative branch.

breaches

To violate a law, by an act or an omission, or to break a legal obligation that one owes to another person or to society.

Which of the following types of jurisdiction relates to the power of a higher court to review the decision of a lower court?

appellate jurisdiction

When the parties in a dispute present their arguments and evidence to a neutral third party who then renders a decision, it is called:

arbitration.

The role of a mediator is to:

assist parties in a dispute in resolving their differences out of court.

How a hearing or court case is conducted is governed by:

procedural law.

What is the lowest level of review by a court to determine whether a government action unconstitutionally infringes on protected rights?

rational basis review

Historically, the common law developed from:

the unification of local customs and laws in feudal England.

administrative law

The body of law created by administrative agencies in order to carry out their duties and responsibilities.

A court has personal jurisdiction over a party in which of the following circumstances? Choose 2 answer choices.

1. When a party brings a case in its court 2. When the party's property at issue in the case exists within the geographic boundaries of the authority of the court

What are the three levels of scrutiny used by courts to determine the constitutionality of a government action? Choose 3 answers.

1. intermediate scrutiny 2. strict scrutiny 3. rational basis review

Legal researchers will use which of the following tools to locate a court decision? Choose 2 answers.

1. online legal research engines such as Lexis, Westlaw, or Bloomberg 2. bound volumes of reported court decisions, organized by jurisdiction, date, and courts

Which of the following represent two of the potential financial costs of reporting unethical behavior? Choose 2 answer choices.

1. penalties, fines, and lawsuits against the company 2. the loss of top performing employees

When making a decision using the stakeholder theory of management, a business professional would place more weight on which of the following? Choose 2 answers.

1. the harm to customers from using the company's product over profits 2. the impact of its decisions on employees over the profitability of the business

What type of speech does not receive First Amendment protections? Choose 3 answers.

1. threats to the president of the United States 2. obscenity 3. speech that incites lawlessness

How many circuits are the federal appeals courts divided into?

12, including the D.C. circuit

courts of law

A court in which the only remedies that can be granted are things of value, such as money damages. In the early English king's courts, courts of law were distinct from courts of equity.

administrative agency

A federal or state government agency created by the legislature to perform a specific function, such as to make and enforce rules pertaining to the environment.

statutes of limitations

A federal or state statute setting the maximum time period during which a certain action can be brought or certain rights enforced.

ordinances

A law passed by a local governing unit, such as a city or a county.

uniform laws

A model law created by the National Conference of Commissioners on Uniform State Laws and/or the American Law Institute for the states to consider adopting. If a state adopts the law, it becomes statutory law in that state. Each state has the option of adopting or rejecting all or part of a uniform law.

remedies in equity

A remedy allowed by courts in situations where remedies at law are not appropriate. Remedies in equity include injunction, specific performance, rescission and restitution, and reformation.

remedies at law

A remedy available in a court of law. Money damages are awarded as a remedy at law.

What situation would NOT be regulated by the federal government under the Commerce Clause?

A state requiring lawyers practicing in the state to be licensed

independent regulatory agencies

An administrative agency that is not considered part of the government's executive branch and is not subject to the authority of the president. Independent agency officials cannot be removed without cause.

executive agencies

An administrative agency within the executive branch of government. At the federal level, executive agencies are those within the cabinet departments.

What does the Free Exercise Clause require?

Any government employment restrictions related to religion must satisfy two requirements.

You live in Texas. During the COVID-19 pandemic, you decide to visit your cousins in New York City. The number of coronavirus cases in New York state is at an all-time low. The number of cases in Texas, however, is at an all-time high. To help control the spread of the disease in New York, the governor of New York issues an order requiring that all visitors from Texas quarantine for two weeks upon arrival in New York. This order will be in effect at the time of your planned trip. You had hoped to visit some of the sites of New York City and do not want to spend two weeks inside at your cousin's house. You believe the order of the governor violates your fundamental right to interstate travel. Does the order of the governor restricting travel violate your substantive due process rights?

No, it doesn't, because the interest of the government in controlling the spread of coronavirus and protecting the health of New Yorkers is a compelling state interest.

laches

The equitable doctrine that bars a party's right to legal action if the party has neglected for an unreasonable length of time to act on his or her rights.

You are the manager of a sandwich shop called Buns-R-Us, which has twelve employees. The corporate office has a very robust ethical code of conduct for employee behavior and has trained each employee on it. On a personal level, you disagree with some of the rules. And, because you are the manager, you choose not to follow them. When your employees see that you, as the manager, do not follow the rules, what's the likely consequence?

They will likely not follow the rules either.

The ethical model that focuses on the outcome of a decision, as opposed to the motives behind the decision, is:

Utilitarianism

Which of the following activities is an example of corporate social responsibility?

establishment of a foundation that funds high school educational initiatives

The federal and most state judicial branches have at least these three levels in the court system:

trial court, intermediate appellate court, and highest appellate court.

Under which theory of ethics would a decision be ethical if it provides the greatest benefit for the largest number of individuals?

utilitarianism


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