BE 325 Quiz 1

A counterclaim is raised by a plaintiff against a defendant's response to a complaint.

False

A decision on a given issue by a court is not binding on an inferior court.

False

A summary judgment is granted only if there is a genuine question of fact.

False

According to Milton Friedman, when a businessperson spends his or her own money on social causes, he or she is acting as an "agent" and not as a "principal."

False

In most states, the courts no longer grant "equitable" remedies.

False

Stare decisis is a doctrine obligating judges to help persons who have failed to protect their own rights.

False

Uniform laws apply in all states, including those in which the laws have not been adopted.

False

Voir dire is a process for presenting evidence in a case.

False

According to Milton Friedman, all of the following are reasons not to use corporate funds to serve social causes EXCEPT:

It avoids the coercion of non-voluntary parties

The federal government and the state governments constitute the U.S. legal system. This system is based on the legal system of

England.

As discussed in class, which of the following is the most common reason for unethical business practices?

Overemphasis on short-term profit over long-term profit

Quality Products, Inc., files a suit against Retail Sales Corporation. Sid is a witness for Quality. Tod is a witness for Retail. Quality may direct interrogatories to

Retail.

A defendant is a person against whom a lawsuit is brought.

True

A federal case typically originates in a federal district court.

True

A substantive law creates or defines legal rights and obligations.

True

An answer can deny the allegations made in a complaint.

True

In mediation, the mediator proposes a solution that includes what compromises are necessary to reach an agreement.

True

To have standing to sue, a party must have been harmed or have been threatened with harm by the action about which he or she complains.

True

Carol files a suit against Downwind Boat Corporation. Downwind responds that it appears from the pleadings the parties do not dispute the facts and the only question is how the law applies to those facts. Downwind supports this response with witnesses' sworn statements. This is

a motion for summary judgment.

Grady is a judge. In his court, Grady may bar a suit if it is not filed within a proper time according to

a statute of limitations.

Kelly files a suit against Lewis in a state court. The case proceeds to trial, after which the court renders a verdict. The case is appealed to an appellate court After its review of Kelly v. Lewis, the appellate court can

affirm, reverse, or remand all or part of the lower court's decision.

In Ben v. City Car Dealership, a state supreme court held that a minor could cancel a contract for the sale of a car. Now a trial court in the same state is deciding Daphne v. Even Steven Auto Deals, Inc.,, a case with similar facts. Under the doctrine of stare decisis, the trial court is likely to

allow the minor in the Daphne case to cancel the contract.

National Consumer Goods Corporation and Paula Purchaser agree to resolve their dispute in arbitration. The arbitrator's decision is called

an award.

Sam is a judge hearing the case of Local Co. v. National Corp. Applying the relevant rule of law to the facts of the case requires Sam to find previously decided cases that, in relation to the case under consideration, are

as similar as possible

As a judge, Potter applies common law rules. These rules develop from

court decisions.

In a suit against Sandy, Taylor obtains a remedy. In the U.S. legal system, this remedy will most likely be

damages.

In Restful Motel's suit against Sleepy Hotels, Inc., the jury returns a verdict in Restful's favor. Sleepy files a motion stating that even if the evidence is viewed in the light most favorable to Restful, a reasonable jury should not have found in its favor. This is a motion for

judgment n.o.v.

In Sales Distribution Corp. v. Consumer Products Co., the court decides that a precedent is incorrect or inapplicable. The court

may rule contrary to the precedent.

The Securities Exchange Commission (SEC) is an administrative agency. Like other administrative agencies, the SEC was established to

perform a specific function.

As discussed in class, a person who makes a decision based on what's "fair" is most likely motivated by which type of ethics?

rule-based

Java Cafes, Inc., and Kaffe Import Corporation dispute a term in their contract. Refer to Fact Pattern 2-1. If Java and Kaffe have a long-standing business relationship that they would like to continue, a preferred method of settling their dispute may be mediation because

the process is not adversarial.

During the trial phase of Fuel Corporation's suit against Gas Stations, Inc., their attorneys engage in voir dire. This is

the selection of jurors.

Beth is a victim of Carl's violation of a criminal law. Criminal law is concerned with

wrongs committed against the public as a whole.