LEGL Exam Three

false

misdemeanors are punishable by a mandatory jail sentence of 18 months

limited partners

not responsible for the debts of the business organization/limited liability -mangerial control: do not get involved in management or will lose limited liability (can ask questions, consult but if you cross that line you can lose the limited liability status)

taxation

some are single tax or double tax

continuity

stability/duration of organization over time (what happens if an owner dies? or retires?

secretary

the administrative agency __________ is responsible for publication of all agency actions in the Federal Register, which is published daily

a sole proprietorship

the only business organization protected by the fifth amendment privilege against compulsory self-incrimination is

true

the sixth amendment provides protection in criminal cases by providing a right to a speedy trial and public trial

true

the sound is used to identify the commercial origin of a product or service, then it can be granted sound mark protection by the PTO

true

the term administrative agencies describe the boards, bureaus, commissions, and organizations that make up the governmental bureaucracy

design, utility, and plant

three types of patents are

false

trade secrets, to be protected, must be registered with the PTO

true

trademarks can enjoy a potentially unlimited protection period

certification mark

used by someone other than the owner to certified quality of point of origin own-gurantee gs baring the mark have ascertain standards - does not strictly enforce? then owner of the mark loses registration

all of the above

which of the following are governmental agencies -Equal Employment Opportunity Commission (EEOC) -Securities and Exchange Commission (SEC) -Environmental Protection Agency (EPA) -all of the above

it allows sentencing just as if the defendant pleaded guilty or was found guilty

which of the following is true about a nolo contendere plea?

termination

winding the whole thing down, liquidating asset, disposed ,removed from official registry, no longer exists

partnerships

•agreement between two or more persons to share a common interest in commercial endeavor •sharing profits and losses •unlimited liability

partnerships

•cost is minimal and second cheapest •easily formed compared to others •must register with the state •extremely risky to operate w/o agreement

s corporation

•has all legal features of a corporation •shareholderd have to account on their individual income tax returns for shares of profits or losses •shareholders avoid having a tax assessed on the corporate income • have to be people/individuals (no more than 100 shareholders)

sole proprietorship

•more than 75% of businesses are this type of organization •very limited due to lack of multiple owners

partnerships

•names on naming partenrhsip •cant use company or corproation •generally and severally reliable •shared financial commitment is a bonus •complimentary skills

sole proprietorship

•owned and run by a single individual hwo is entitled to all the profits •least expensive business organization to create

s corporations

•shareholders of certain corporations unanimously elect to have the organization treated like a partnership for income tax purposes •shareholders treated like partners

false

Administrative Law Judges have very little power or authority under the law

false

a grand jury and a petit jury are the same type of jury used to exact same way in the same types if cases

derivative suit

a minority shareholder who believes that a majority shareholder has acted in his/her personal interest to the detriment of the corporation may bring a derivative suit against the majority shareholder on behalf of the corporation

foreign

a type of corporation that operates in states other than the state you are incporpated

intellectual property

a work or invention that is the result of creativity, such as a manuscript or a design, to which one has rights and for which one may apply for a patent, copyright, trademark, etc.

likelihood of confusion

consumers confuse a product for something else -actionable infringement

implied

contractual liability: continue to deal w/ someone

apparent authority

contractual liability: they just assume its there but it is no longer there (must have a protocol when it comes to terminating an employee)

actual authority

contractual liability: written or oral

creative expressions

copyright is a form of intellectual property that protects __________ an inventive act information that is valuable because it is secret creative expressions

false

every state in the united states has the equivalent of the Federal Register to document the administrative rules and regulations of the state i.e. the Georgia Register, the Ohio Register, the California Register, etc.

true

fraud can be a tort and provide a basis for undermining the validity of a contract, but fraudulent conduct can be criminal in nature

double tax

happens when a company earns a profit in the form of dividends. The company pays the taxes on its annual profits first. Then, after the company pays its dividends to shareholders, shareholders pay a second tax.

true

if an illegal activity violates both federal and state laws, the double jeopardy clause does not prevent two trials, one in federal court and one in state court

limited partnerships

includes all the authorities of a partnership

sole proprietorship

is in total control -no formal documentation is needed except for a business license for some places -can dissolve but cant transfer •unlimited liability for obligation for this type of organization

quasi judicial

issue decision like a court

quite limited

judicial review of an administrative agency's adjudications by its very nature is ______________

cost of creation

legal steps necessary to form a particular type of business organization -people consider and question time, effort, money

trade dress

look or design of a product or service -visual presentation (coke bottle shape)

criminal violation

manufacturing and trafficking counterfeit trademarked products is a ______________

corporations

artificial and intangible entity created under the authority of a states law

service mark

associated with a service- unregistered is a superscript sm

fiduciary duties

attorney has ______ duty to a client; corporate officer has _________ duty to shareholders

managerial control of decision

consider potential conflicts and mechanisms that can be used to deal with disputes (sometimes going into0-can cause organization to suffer or even fail owner liability: to what degree is the owner is liable for things, how does liability pass from the

piercing the corporate veil

"a legal phrase that describes the owners of a corporation losing the limited liability that having a corporation provides them"

color mark

-is difficult and very narrow since 1998, Tiffany Blue® has been registered as a color trademark by Tiffany and, in 2001, was standardized as a custom color created by Pantone® exclusively for Tiffany and not publicly available. -someone can choose to paint their door that color however someone operating a jewlery store cannot

hybrid forms of business organizations

-limited partnerships -s corporations -limited liability companies -limited liability partnerships

basic forms of business organizations

-sole proprietorship -partnerships -corporations

limited liability company

-treated as nontaxible enititied likes partnerships -limited liability dor members like cororpations -owners have more flexibility compared with S corporation -management control is vested with it memebers

limited liability partnership

-variation of the LLC -have characteristics of both a partnership and corporation -members can contribute not personally responsible for third parties

criteria for copyright protection

-work must be original -must be fixed in a tangible medium of expression -must show creative expression

domestic

a corporation the state is in which it is originally incorporated

cost of creation, continuity, managerial control of decision, taxation, owner liability

Factors to Consider when selecting a business's organizational form

all of the options

PTO can deny trademark registration if: the mark is the same or similar to another mark -- the mark is generic the mark contains prohibited or reserved names or designs, like the US flag all of the options

all of the options

The Copyright Act specifies that a fair use of copyrighted materials is not an infringement of the owner's property. Examples of fair use include which of the following? news reporting scholarship or research all of the options

pyrotechnics

The Station Nightclub in Rhode Island in 2003 was caused by ____________

intent

__________ is an important element of many criminal laws

shareholders

____________ do not have to pay taxes

copyright law

______________ grants property in certain creative expressions & prohibits others from reproducing it w/o permission

false

a collective mark is meant to be used by someone other than the owner of the mark to certify the quality, point of origin, or other characteristics of goods or services; for instance, like certified fair trade mark or certified gluten free mark

false

a computer engaging in artificial intelligence inventions can be a party seeking a patent within the parameters of the Patent Act

alien

a corporation that was created in another country but is doing business in the U.S

quasi legislative

agencies are allowed to make rules and regulations that make the impact and enforce of law

true

an administrative agency can make rules and regulations that have the force and effect of law

a cease and desist order

an agency may order a violator to stop the objectionable activity and refrain from any further similar violations. this type of agency is called ___________

proxy

an agent appointed by a shareholder for the purpose of voting shares

fiduciary duties

an obligation to act in the best interest of another party; it exists when one has a special trust, confidence, or reliance on a fiduciary to exercise discretion or expertise

dissolution

any change in ownership that changes legal existence from one to the next and legal entity no longer exists

trademark

any mark or picture design-designated by a superscript by ™ if it is not registered but a circle r ® is registered

generic marks

cannot be protected -if a trademark becomes generic it then it stops being protected and loses their mark

station nightclub fire

caused by pyrotechnics had proximate audience fireworks and the building was engulfed in flames ~ resulted in 100 deaths and many more injured ~people urged the gov to put more regulations in place - now venues need a proximate audience permit

infringement

civil violation of a trademark -remedies include damages and injunctions and orders to destroy inffinging products

article 1 section 8

congress grants the power "to promote the progress of science and useful arts, by securimg for limited times to authors and inventors the exclusive right to their respective writings and discoveries" in __________ of the Constitution

fiduciary duties

directors/officers have ________ to the corporation and minority shareholders in closely held corporations

fair use exception

discussion cristicm or parody of a mark, comparative advertisement trade imitation product -criminal activity (deliberate intent makes it criminal)

collective mark

dont want others to use it- memeberiship or collective organixation and used by members of organization

false

driving in excess of the speed limit is malum in se

corpoate liability/piercing the corporate veil

notwithstanding the limited liability enjoyed by corporate shareholders' creditors of a closely held corporation may be able to reach shareholders' personal assets in the following situations: -shareholders used the corporation to defraud customersand/or counterparties -shareholders commingled corporate and personal assets -using as an alter ego

publicly held (business organization)

owned by hundreds even thousands of people, stock is public (sold and owned with the exception of a few private investors) -microsoft, jm

closely held (business organization)

owned by just a few persons -limits on how many people and who can own shares (ex: family owned/operated business)

copyright infringement

owner has to establish that defendant violated his or her exclusive rights of -reproduction -creation of derivative works -distribution -performance -displays

general partners

personally liable for the organization's debt/management control -no limited on their personal liability -if you have a switch of general partners you have to dissolve and come back -mangerial control: general partners are in control

the fourth amendment

persons and corporations are protected from unreasonable searches and seizures by the government by

false

primary jurisdiction is a court created rule that avoids the premature interruption of the administrative process by requiring a claim to complete the administrative agency process before seeking the review of a court