Business Law Exam 1

The U.S. Court of Appeals has ____ circuits. Multiple Choice 6 50 12 10 13

12 The United States has 12 circuits, including a circuit for the District of Columbia.

Assuming there are no vacancies, how many U.S. Supreme Court justices are there? 9 5 15 8 7

9 Nine justices, who have lifetime appointments, make up the high court.

Ari went to work as an independent contracting photographer for Wild Pet Pics, a company specializing in photographing exotic pets, such as monkeys and snakes, with their owners. The company's home office was in California, but Ari worked in Florida. Before he started work, Ari signed an agreement to arbitrate any dispute he had with the company. The arbitration agreement provided that in the event of a dispute, Ari would completely cover the cost of the arbitration; that he could only receive up to $150 in damages regardless of his claims, punitive or otherwise; and that any arbitration would be conducted at the company's home office. The agreement also provided that the arbitrator was not bound to strictly follow the official court rules of evidence. Ari signed the agreement because he really needed a job and liked animals. His only previous animal photography experience, however, had been with cats and dogs. Ari's contract provided that he would be paid $100 per shoot and that the company would take steps to ensure his safety. One day he was called in to photograph a skunk and its owner. He was told by the receptionist at Wild Pet Pics that the skunk had been altered so that it could not spray. Ari felt safe. Unfortunately, the skunk had not been altered. Just as he was starting to shoot, the skunk became upset. It ran towards Ari, sprayed Ari, and in the resulting commotion, Ari's expensive camera was knocked over and broken. Plus, Ari's clothes were ruined and he stank for days. Ari wants to sue Wild Pet Pics for $5,000 to cover the cost of his camera, his clothing, and his general smelliness for several days. Ari says that he cannot afford to pay for the arbitration. What effect will the provision that the arbitration be conducted in the company's home state have on the agreement? None; only because an employee/employer relationship is involved. None because Ari freely signed the agreement. None because a domestic company, not an international one, is involved. A court will be unlikely to enforce the agreement only if it can be proven that Ari did not read the agreement before he signed it. A court may be more likely to not enforce the agreement because of the distance and expense involved.

A court may be more likely to not enforce the agreement because of the distance and expense involved. As recognized in Exhibit 4-2, drafters of arbitration agreements should consider other parties when determining where to hold arbitration. If a company states in its arbitration clause that all disputes will be arbitrated in its state of incorporation, a court might be more likely to not enforce the agreement.

A hacker who intends to exploit a target computer or network to create a serious impact is called a ___________. Scammer Slammer Cyber terrorist Embezzler Crammer

A cyber terrorist is a hacker who intends to exploit a target computer or network to create a serious impact.

Coleman owns a sporting goods store and has purchased top-quality, brand-name athletic shoes from Jade's Shoe Distribution for many years, but they have no written contract in place. Last month, Coleman learned that the latest shipment from Jade's are not authentic, brand-name shoes but instead a knock-off brand that costs a fraction of the price Coleman pays. Coleman cannot sell these shoes because his customers would know the difference, and Coleman demanded Jade refund him. Jade sent Coleman a written request for arbitration within thirty days. In response, Coleman called Jade, threatening to file a lawsuit against Jade and exposing her company as a fraud. Jade laughs, saying Coleman is required to arbitrate their dispute within thirty days. If Coleman and Jade agree to arbitrate their dispute with the American Arbitration Association, which of the following statements would be false about their selection of an arbitrator? The American Arbitration Association will send the parties a list of potential arbitrators. A retired CEO is not permitted to arbitrate because she has not attended law school. A person with no experience in running a business can still be an arbitrator. The general qualifications for being an arbitrator are honesty, impartiality, and subject-matter competence. Arbitrators are expected to follow the Arbitrator's Code of Ethics.

A retired CEO is not permitted to arbitrate because she has not attended law school. When a party contacts the American Arbitration Association, the party receives a list of potential arbitrators. Lawyers, professors, or other professionals typically serve as arbitrators. The general qualifications for being an arbitrator are honesty, impartiality, and subject-matter competence. Additionally, arbitrators are expected to follow the Arbitrator's Code of Ethics.

[Inattentive Driving] Hannah, a first year law student, drove off campus to register for an upcoming conference. Although lawmakers in her state passed a law prohibiting the use of a cell phone while operating a motor vehicle, Hannah was doing just that. When she looked down to pick up a can of soda she dropped, Hannah crashed into the side of Dev's new convertible. A police officer down the street came over to investigate. Hannah explained to him that it was difficult to hold the cell phone in one hand, the soda in the other, and also drive. The officer was not impressed. Dev approached, furious about the significant dent in his new car. Hannah says she has insurance and that she will cover the costs of the whole incident. Dev says that is insufficient; but Hannah says that under case precedent, that is his only remedy. The officer tells Hannah that she must obey duly authorized law, and proceeds to write several citations to her. The law in Hannah's state regulating using cell phones would be classified as which of the following? A statute A type of common law An executive order A uniform law A negative law

A statute Statutes are rules and regulations put forth by legislatures

Which amendment states that the powers that the Constitution does not give to the federal government are reserved for the states? First Second Fifth Sixth Tenth

According to the Tenth Amendment to the Constitution, all powers that the Constitution neither gives exclusively to the federal government nor takes from the states are reserved for the states.

Which doctrine is based on the notion that courts of one country will not sit in judgment on the acts of another state government, done within its own territory? Forum non conveniens dontrine. Foreign Sovereign Immunities Act. Political question doctrine. Act of state doctrine Comity doctrine.

Act of state doctrine The act of state doctrine has been defined as "a nonjurisdictional, prudential doctrine based on the notion that the courts of one country will not sit in judgment on the acts of the government of another state done within its own territory."

Which of the following is one of the three basic types of subsidies? Indirect subsidy Actionable subsidy International subsidy Group subsidy Quantitative subsidy

Actionable subsidy There are three types of subsidies under GATT, actionable subsidies, nonactionable subsidies, and domestic subsidies.

Which of the following is the term that describes wrongful behavior in a criminal action? Mens rea. Actus reus. Res judicta. Stare decisis. Carpe diem.

Actus reus. Crime requires wrongful behavior, that is, actus reus or a guilty act.

Which of the following is reported in the Code of Federal Regulations? Statutes Executive orders Common law Administrative law Congressional orders

Administrative law

The federal court system has exclusive jurisdiction over _______. Admiralty cases only Bankruptcy cases only Federal copyright cases only Admiralty, bankruptcy, and federal copyright cases The federal court system has no exclusive jurisdiction

Admiralty, bankruptcy, and federal copyright cases The federal court system has exclusive jurisdiction over very few cases: admiralty cases, bankruptcy cases, federal criminal prosecutions, lawsuits in which one state sues another state, claims against the United States, and cases involving federal copyrights, patents, or trademarks.

Which of the following is true regarding the federal appellate court system's use of ADR? All federal courts use arbitration but few have mediation programs. While ADR is popular at the district court level, few federal appellate courts use it. Almost all federal circuit courts of appeal have mediation programs underway. By law ADR is outlawed at the federal appellate court level. All federal appellate courts use early neutral case evaluation but none use mediation.

Almost all federal circuit courts of appeal have mediation programs underway. In the federal system, almost all the circuit courts of appeal have mediation programs.

Which of these is or are in the WPH process of ethical decision-making? Freedom only Security only Efficiency only Freedom and security, but not efficiency Freedom, security, and efficiency

Freedom, security, and efficiency Exhibit 2-5 "Primary Values and Business Ethics" outlines an efficient way to apply the second step in the WPH framework. The exhibit identifies four important values influencing business ethics: freedom, security, justice, and efficiency.

Jae and Lydia ran a home insulation company for several years. They, however, encountered a dispute regarding the allocation of profit and agreed to discontinue their business. They could not agree on a number of issues involving not only profits, but also winding up the business, disposing of equipment, and other matters. They agreed to hire an arbitrator to settle their disputes. Jae suggested that they use a local lawyer named Alan to arbitrate the matter, and Lydia agreed. Lydia had some medical problems and requested that the arbitration be postponed for a short time. Jae objected to her request. Alan would not agree to Lydia's request for a postponement, stating that any arbitration proceeding must be heard within 30 days and that the time period was nearly over. Alan conducted the arbitration hearing. He refused to hear any evidence from any witnesses, explaining that he only had the authority to hear testimony from Jae and Lydia. Therefore, Lydia was not able to present testimony of a property appraiser she had hired. Alan proceeded to rule in favor of Jae on all counts. Lydia was very discouraged and discussed the situation with her friend Mia. Mia said "My goodness! Didn't you know that Alan and Jae play golf together every week, that Jae is married to Alan's cousin, and that Jae has loaned money to Alan in the past?" Lydia immediately called Alan and asked him about his connection with Jae. Alan acknowledged those connections. He told Mia, however, that he was perfectly fair and that there was nothing she could do. The Federal Arbitration Act applies. Regarding Alan's refusal of a continuance based upon Lydia's medical problem, which of the following is true? Alan's statement that a hearing must be held within 30 days was correct. Alan was prohibited by law from granting a continuance over Jae's objection. Alan was incorrect regarding the time in which a hearing must be held because under the Federal Arbitration Act, the applicable time period is 60 days. Under the Federal Arbitration Act, an arbitration proceeding may not be postponed based upon illness. Alan was probably wrong in refusing the continuance, and that could present a basis upon which to set aside his award.

An arbitration award may be set aside under the Federal Arbitration Act if the arbitrator refused to postpone a hearing despite sufficient cause.

A benefit of arbitration is which of the following, according to the text? Arbitrators are assigned so parties do not have to pick them. Arbitration is generally less expensive than litigation. Arbitrators are bound by the same rules as judges in applying precedent. Arbitrations can be set aside on appeal for the same reasons as court judgments. Arbitrations prohibit the use of legal counsel.

Arbitration is generally less expensive than litigation. Arbitration is more efficient and less expensive than litigation.

Intermediate Courts of Appeal: Exist in every state Are analogous to the U.S. Supreme Court Have very limited jurisdiction Are courts of last resort Are analogous to federal circuit courts of appeal

Are analogous to federal circuit courts of appeal Intermediate courts of appeal, analogous to federal circuit courts of appeal, exist in approximately half the states. These courts usually have broad jurisdiction, hearing appeals from courts of general and limited jurisdictions, as well as from state administrative agencies. The names of these courts also vary by state, but most states call them courts of appeal or superior courts.

If a defendant is a corporation: No service of process is required Only the president of a corporation can be served Only the agent of the corporation can be served Generally either the president of the corporation or an agent can be served The corporation does not have to receive service

Generally either the president of the corporation or an agent can be served Service of process is the procedure by which courts present documents to defendants. If the defendant is a corporation, courts generally serve either the president of the corporation or an agent that the corporation has appointed to receive service.

Ronaldo promised to sell Linda a Dalmatian puppy for $700 but backed out of the deal. Linda sued Ronaldo in state court for breach of contract and asked for a jury to hear the case. During jury selection, one juror, Mika, said that she did not think she could be fair to Linda because Linda did not appear to be a dog lover. Linda's lawyer asked that Mika not hear the case on the basis that she could not be fair, and the judge excused Mika. Linda also decided that another juror, Sandy, looked at her in a grumpy manner so, without a reason given, Linda's lawyer asked the judge to excuse that juror from serving. The judge did so. After the jury was chosen, Linda's lawyer made a statement to the jury, as did Ronaldo's lawyer. Linda's lawyer then called to the witness stand Jules, a friend of Linda, who heard the discussion held between Linda and Ronaldo regarding the purchase of the puppy. Jules testified under questioning by Linda's lawyer that she heard Linda say that she would pay $700 for the puppy and that she also heard Ronaldo say that he would sell the dog for that amount. Unfortunately for Linda, Jules also testified in response to questioning by Ronaldo's lawyer that Ronaldo distinctly told Linda that he would only sell the puppy to her if Linda came with cash for the puppy within seven days. Linda did not show up with the money for ten days and Ronaldo had already sold the dog to someone else. The judge ruled in favor of Ronaldo. The challenge Linda's lawyer made to Mika is referred to as a[n] _______. Peremptory challenge Challenge for cause Stipulated challenge Fairness challenge Approved challenge

Challenge for cause If a potential juror's response to a question indicates that she or he may be biased, either attorney may challenge, or ask the court to remove that potential juror "for cause."

After a court action brought by Mary, Mary was awarded $1,000 in damages from Stanley because she proved by a preponderance of the evidence that Stanley damaged her bicycle. What type of law applied to Mary's case that resulted in her being awarded $1,000? Criminal Procedural Civil Natural Positive

Civil Civil law lays out the rights and responsibilities implied in relationships between persons and their government. Because Mary brought the court action and was awarded compensation only after proving her case by a preponderance of the evidence, it is clear that this was a civil case.

Which of the following is a characteristic of civil law? Precedent is an important source of law in the civil law system. Civil law systems use a form or system of separation of powers. The civil law procedure is like the U.S. system of checks and balances. In civil law systems the legislative branch has little authority. The judicial branch in civil law systems may create its own new law.

Civil law systems use a form or system of separation of powers. Civil law systems assume a separation of powers, but it is unlike the U.S. system of checks and balances. In civil law systems, the legislative branch has ultimate authority. The judicial branch interprets the code and applies it to resolve disputes. However, the judicial branch cannot create its own law.

Which of the following is reported in the Federal Reporter? Statutes Executive orders Common law Administrative laws Local ordinances

Common law

Which of the following entities enforces laws? State legislatures Federal Congress Community consensus Courts Statutes

Courts Explanation Law is enforceable in the courts the community maintains.

The law that regulates situations in which someone commits an act against the public as a whole is which type of law? Criminal Procedural Civil Natural Positive Explanation

Criminal Criminal law regulates incidents in which someone commits an act against the public as a whole.

At a[n] ______, attorneys examine a witness under oath with a court reporter present. Deposition Interrogatory Inquiry Pre-trial conference Pre-trial mediation

Deposition At a deposition, attorneys examine a witness under oath, and a court reporter (stenographer) records every word the witnesses and attorneys speak.

Which of the following requires that we see murder as a moral action as long as the murderer believes that the action is best for himself or herself? Absolutism Deontology Categorical imperative Uncertainty of thought Ethical relativism

Ethical relativism Ethical relativism denies the existence of objective moral standards. For example, ethical relativism requires that we see murder as a moral action as long as the murderer believes that the action is best for himself or herself.

Adherents of ______ believe that when one individual—the caregiver—meets the needs of one other person—the cared-for party—the caregiver is helping to meet the needs of all the individuals who fall within the cared-for party's web of care. Deontology Utilitarianism Absolutism Virtue ethics Ethics of care

Ethics of care Ethics-of-care theorists argue that when one individual, the caregiver, meets the needs of one other person, the cared-for party, the caregiver is actually helping to meet the needs of all the individuals who fall within the cared-for party's web of care.

The argument that traditional moral hierarchies ignore relationships is a part of which theory of business ethics? Ethics of care Absolutism Consequentialism Deontology Profit motive

Ethics of care Those who adhere to an ethic of care argue that traditional moral hierarchies ignore an important element of life: relationships.

Which of the following is the making of an entry into the books of a bank or corporation that is designed to represent the existence of funds that do not exist? False entry Defalcation False pretenses Ponzi scheme Pretexting

False entry Pursuant to Exhibit 7-1, false entry is an entry in the books of a bank or corporation designed to represent funds that do not exist.

Which of the following is true regarding the protection of "fighting words" under the First Amendment? Fighting words are unprotected speech under the First Amendment. Fighting words are protected speech under the First Amendment only if they are uttered by an individual citizen, not by a corporate representative. Fighting words are protected speech under the First Amendment only if they involve political activity. Fighting words are protected speech under the First Amendment only if they are made in connection with a protest march. Fighting words are protected speech under the First Amendment only if they are made in conjunction with self-defense.

Fighting words are a class of unprotected speech.

Which of the following issues is not addressed by NAFTA ? Free trade in Central America Protecting the environment Developing common environmental standards Freedom from employment discrimination The right to strike

Free trade in Central America NAFTA addresses environmental and workers' rights issues, including protecting the environment, developing common environmental standards, the right to engage in collective bargaining and strikes, prohibitions on forced labor and child labor, freedom from employment discrimination, the right to receive equal pay for work of equal value, and the right to minimum acceptable working conditions and occupational safety and health.

What does the establishment clause of the First Amendment provide? Government cannot make a law prohibiting the free exercise of religion. Government cannot make a law establishing a religion. Government cannot make a law referencing religion in any manner. Government must establish laws respecting religion in order to prevent disruptive behavior such as terrorism and to allow free-exercise by the majority. That only religions recognized when the First Amendment was passed are entitled to recognition and protection.

Government cannot make a law establishing a religion. The establishment clause maintains that government "shall make no law respecting an establishment of religion."

Which of the following is generally true regarding minitrials? It is more costly than arbitration. In a typical minitrial, business representatives have settlement authority. A minitrial utilizes a jury to make a recommended decision. A minitrial must follow and come after a failed mediation. A minitrial must follow and come after an arbitration.

In a typical minitrial, business representatives have settlement authority. In the typical minitrial, the business representatives, who presumably understand the complex matters of the dispute better than an outside arbitrator, have settlement authority.

Sari, a wealthy Hollywood director, worked with the California legislature to create a law that banned actors and actresses from auditioning for roles outside of their gender. Under what test would a court analyze this law to determine if it violated the equal protection clause? Strict scrutiny, because of the gender-based classification Intermediate scrutiny, because of the gender-based classification Rational-basis, because of the gender-based classification Strict scrutiny, because a fundamental right is involved. Rational-basis to determine if a fundamental right is involved.

Intermediate scrutiny, because of the gender-based classification Courts use the intermediate scrutiny test to analyze classifications based on gender.

_______ refers to laws governing the conduct of states and international organizations and their relationships with one another. Comparative law International law Joint law Foreign subsidiary law Affiliate law

International law International law governs the conduct of states and international organizations and their relationships with one another and with natural and juridical persons.

How is absolutism different from ethical relativism and situational ethics? It applies utilitarianism. It holds that a cost-benefit analysis should be applied. It holds that whether an action is moral does not depend on the perspective of the person facing the ethical dilemma. It applies virtue ethics and concentrates on the accepted values of the person at issue as well as those of the community involved. It applies corporate ethics principles.

It holds that whether an action is moral does not depend on the perspective of the person facing the ethical dilemma. Unlike ethical relativism and situational ethics, absolutism holds that whether an action is moral does not depend on the perspective of the person facing the ethical dilemma.

Which of the following is true regarding the use of legal counsel at arbitration proceedings? It is up to each of the parties. They may have legal counsel or they may not. Parties may not have legal counsel. Parties may have legal counsel if they had legal counsel in mediation proceedings. Otherwise, legal counsel may not be used. Individuals may have legal counsel, but corporations may not. Corporations may have legal counsel, but individuals may not.

It is up to each of the parties. They may have legal counsel or they may not. In arbitration, both parties present their case to a neutral third party; they may represent themselves or use legal counsel.

What three countries are signatories to the North American Free Trade Agreement? United States, Canada, and Japan United States, Canada, and Mexico Canada, Mexico, and Great Britain England, France, and Italy England, France, and Spain

The North American Free Trade Agreement (NAFTA) between the United States, Canada, and Mexico is a multilateral free trade agreement.

Lila, who is the president of Party Business, Inc., tells Isaiah that buying stock in Party Business, Inc. right now is a good idea. Isaiah is only casually acquainted with Lila and does not know that she is an officer of the corporation. He, however, acting on her information which he believes to be public knowledge, investigates the company somewhat and proceeds to buy some stock. Both Lila and Isaiah are charged with insider trading. If Isaiah claims he was acting on Lila's information which he believed to be public knowledge, which defense could he claim? Duress Entrapment Mistake of fact. The Fifth Amendment. Nolo contendere.

Mistake of fact. A mistake-of-fact defense tries to prove the defendant made an honest and reasonable mistake that negates the guilty-mind element of a crime.

Which of the following is described as strict liability? Liability without fault. Negligence. Actus reus. Intentional wrongdoing. Recklessness.

Liability without fault, or strict liability, applies to actions that, regardless of the care taken, are specifically prohibited, such as selling cigarettes or alcohol to a minor.

Which of the following Supreme Court cases established the right to counsel before questioning by the police? Whaley v. Reeves Glover v. Smith U.S. v. Glover U.S. v. Parks Miranda v. Arizona

Miranda v. Arizona According to the Supreme Court in Miranda v. Arizona, "Prior to any questioning, the person must be warned that he has a right to remain silent, that any statement he does make may be used as evidence against him, and that he has a right to the presence of an attorney, either retained or appointed."

Less serious crimes punishable by fines or imprisonment of less than one year are which of the following? Misdemeanors. Felonies. Petty offenses. Tort offenses. Any business related crime.

Misdemeanors are less serious crimes punishable by fines or imprisonment for less than one year.

The group that urges states to enact model laws to provide greater uniformity of law is called the ______. Model Law on Uniform State Laws Organization Federal Uniform Law Commission National Conference of Commissioners on Uniform State Laws Model and Uniform Law Consortium Uniform Statutory Enforcement Commission

National Conference of Commissioners on Uniform State Laws The National Conference of Commissioners on Uniform State Laws (NCC) regularly urges states to enact model laws to provide greater uniformity.

The concept of _____ suggests that individuals should have the freedom to disobey a law enacted by people if their conscience goes against the law and they believe the law is wrong. Legal positivism Natural law Legal Realism Conscience reaction Comparative law

Natural law Under natural law, individuals not only have basic human rights but also the freedom to disobey a law enacted by people if their conscience goes against it and they believe it is wrong.

Mateo has a lawsuit in federal district court and asks Rekia, a first year law student, about court-annexed ADR. What should Rekia tell him? Mediation is required by law in federal district court. Arbitration is required by law in federal district court. Mediation is required by law in federal district court, but arbitration is not required. Neither mediation nor arbitration is required by law in federal district court, but all litigants must present a summary of their positions to a case neutral.

Neither mediation nor arbitration is required by law in federal district court, but all litigants must present a summary of their positions to a case neutral. Each district court can decide whether to require ADR.

Coleman owns a sporting goods store and has purchased top-quality, brand-name athletic shoes from Jade's Shoe Distribution for many years, but they have no written contract in place. Last month, Coleman learned that the latest shipment from Jade's are not authentic, brand-name shoes but instead a knock-off brand that costs a fraction of the price Coleman pays. Coleman cannot sell these shoes because his customers would know the difference, and Coleman demanded Jade refund him. Jade sent Coleman a written request for arbitration within thirty days. In response, Coleman called Jade, threatening to file a lawsuit against Jade and exposing her company as a fraud. Jade laughs, saying Coleman is required to arbitrate their dispute within thirty days. Is Jade correct that they are required to arbitrate their dispute? Yes, Jade demanded in writing that they arbitrate their dispute. Yes, but only because Jade's written demand had a thirty day deadline. No, a party is never required to arbitrate. No, arbitration is voluntary and Coleman never signed an agreement to arbitrate their disputes. No, a party cannot enter a contract that requires them to arbitrate instead of filing a lawsuit.

No, arbitration is voluntary and Coleman never signed an agreement to arbitrate their disputes. The primary method of securing arbitration is through a binding arbitration clause. If a contract does not contain a binding arbitration clause, parties may secure arbitration by entering into a submission agreement.

Ari went to work as an independent contracting photographer for Wild Pet Pics, a company specializing in photographing exotic pets, such as monkeys and snakes, with their owners. The company's home office was in California, but Ari worked in Florida. Before he started work, Ari signed an agreement to arbitrate any dispute he had with the company. The arbitration agreement provided that in the event of a dispute, Ari would completely cover the cost of the arbitration; that he could only receive up to $150 in damages regardless of his claims, punitive or otherwise; and that any arbitration would be conducted at the company's home office. The agreement also provided that the arbitrator was not bound to strictly follow the official court rules of evidence. Ari signed the agreement because he really needed a job and liked animals. His only previous animal photography experience, however, had been with cats and dogs. Ari's contract provided that he would be paid $100 per shoot and that the company would take steps to ensure his safety. One day he was called in to photograph a skunk and its owner. He was told by the receptionist at Wild Pet Pics that the skunk had been altered so that it could not spray. Ari felt safe. Unfortunately, the skunk had not been altered. Just as he was starting to shoot, the skunk became upset. It ran towards Ari, sprayed Ari, and in the resulting commotion, Ari's expensive camera was knocked over and broken. Plus, Ari's clothes were ruined and he stank for days. Ari wants to sue Wild Pet Pics for $5,000 to cover the cost of his camera, his clothing, and his general smelliness for several days. Ari says that he cannot afford to pay for the arbitration. Would the arbitration agreement be deemed void because it provided that the arbitrator was not bound by the federal rules of evidence? Yes. Only if the arbitrator was not also a lawyer. Only if the arbitrator was a lawyer. The agreement to arbitrate would be upheld so long as the arbitrator agreed to at least apply federal hearsay rules. No, because the rules of evidence applicable in a trial are typically relaxed in arbitration.

No, because the rules of evidence applicable in a trial are typically relaxed in arbitration. The rules of evidence applicable in a trial are typically relaxed in arbitration.

Which of the following translates directly to "law of merchants?" Lex Mercatoria Lex Seller Ad Merchandiso Lex Loci Res Judicata

One potential source of contract law is the lex mercatoria, which literally translates to the "law of merchants."

Ronaldo promised to sell Linda a Dalmatian puppy for $700 but backed out of the deal. Linda sued Ronaldo in state court for breach of contract and asked for a jury to hear the case. During jury selection, one juror, Mika, said that she did not think she could be fair to Linda because Linda did not appear to be a dog lover. Linda's lawyer asked that Mika not hear the case on the basis that she could not be fair, and the judge excused Mika. Linda also decided that another juror, Sandy, looked at her in a grumpy manner so, without a reason given, Linda's lawyer asked the judge to excuse that juror from serving. The judge did so. After the jury was chosen, Linda's lawyer made a statement to the jury, as did Ronaldo's lawyer. Linda's lawyer then called to the witness stand Jules, a friend of Linda, who heard the discussion held between Linda and Ronaldo regarding the purchase of the puppy. Jules testified under questioning by Linda's lawyer that she heard Linda say that she would pay $700 for the puppy and that she also heard Ronaldo say that he would sell the dog for that amount. Unfortunately for Linda, Jules also testified in response to questioning by Ronaldo's lawyer that Ronaldo distinctly told Linda that he would only sell the puppy to her if Linda came with cash for the puppy within seven days. Linda did not show up with the money for ten days and Ronaldo had already sold the dog to someone else. The judge ruled in favor of Ronaldo. The statements made to the jury by the lawyers immediately after the jury was chosen are referred to as ______. Direct statements Closing selection statements Jury statements Influential statements Opening statements

Opening statements Once the attorneys have impaneled, or selected, a jury, the case begins with opening statements.

The power of a court over persons appearing before it, is referred to as? Subject matter jurisdiction Individual jurisdiction Personal jurisdiction Litigation jurisdiction Superior jurisdiction

Personal jurisdiction is the power of the court over the persons appearing before it.

Which of the following is an ADR method in which a referee is selected and paid by the disputing parties to offer a legally binding judgment in a dispute? Summary jury trial Minitrial Early neutral case evaluation Private trial Neutral submission

Private trial Several states now allow private trials, an ADR method in which a referee is selected and paid by the disputing parties to offer a legally binding judgment in a dispute.

According to the text, which of the following may be a part of the "how" in the WPH process of decision making? Public disclosure, universalization, security, and the Golden Rule Values, public disclosure, and security Profit maximization, security, and public disclosure Whistle-blowing, the Golden Rule, values, and public disclosure Public disclosure, universalization, and the Golden Rule

Public disclosure, universalization, and the Golden Rule

Which amendment provides the right to a speedy and public trial? The Second Amendment. The Third Amendment. The Fourth Amendment. The Fifth Amendment. The Sixth Amendment.

Sixth Amendment protections are crucial to ensuring fair proceedings in a criminal trial including the right to a speedy and public trial.

Which type of legal system exists in North Korea? Civil legal system Common law legal system Socialist legal system Islamic legal system Asian legal system

Socialist legal systems, such as exist in Cuba and North Korea, are based on the premise that the rights of society as a whole outweigh the rights of the individual.

Sofia, co-owner of a popular dance club called Salsa Sensations, discovered her co-owner and best friend Renata, has been secretly pocketing cash receipts. Salsa Sensations' business is booming. Sofia meets Gordon, an attorney. Gordon advises Sofia that she should engage in ADR instead of filing a lawsuit against Renata because it would be faster and cheaper than litigation. Gordon advises that they seek mediation, and, if mediation is unsuccessful, then they should request arbitration or file a lawsuit. However, Sofia is concerned that any statements she makes at mediation could be used against her. What should Gordon tell her? Statements made in mediation can be used in arbitration or trial. Statements made in mediation can be used in trial, but not in arbitration. Statements made in mediation can be used in arbitration, but not trial. Statements made in mediation can not be used in arbitration or trial.

Statements made in mediation can not be used in arbitration or trial. Nothing said during the mediation can be used in another dispute resolution method; the mediation process is confidential.

What type of law are municipal ordinances? Statutes Executive orders Common law Administrative law Local ordinances

Statutes

Which of the following is reported in the United States Code? Statutes Executive orders Common law Administrative law Local ordinances

Statutes

Which of the following is a court's power to hear certain kinds of cases? Subject-matter jurisdiction In kind jurisdiction In personam jurisdiction In loco jurisdiction In area jurisdiction

Subject-matter jurisdiction Subject-matter jurisdiction is a court's power to hear certain kinds of cases.

Which of the following is a tax levied on imported goods? Non-tariff barrier Embargo Indirect barrier Tariff Dumping

Tariff Tariffs are taxes levied on imported goods.

The "public disclosure" test for ethical behavior is sometimes referred to as the ______ test. Television Powell Self-conscious Golden Primary

Television The "public disclosure" test for ethical behavior is sometimes referred to as the television test because it requires us to imagine that our actions are being broadcast on national television.

What was the Supreme Court ruling in Christy Brzonkala v. Antonio J. Morrison et. al., the case in the text involving the constitutionality of the section of the Violence Against Women Act providing for a civil remedy? That Congress lacked authority under the Commerce Clause to pass the section at issue. That because of its police powers, Congress had authority under the Commerce Clause to pass the section at issue. That because gender-motivated crimes were at issue, Congress had authority under the Commerce Clause to pass the section at issue. That because violent crime was involved, Congress had authority under the Commerce Clause to pass the section at issue. That because the petitioner established a link between the cost of crime against women and national productivity, Congress had authority under the Commerce Clause to pass the section at issue.

That Congress lacked authority under the Commerce Clause to pass the section at issue. The court refused to find the section constitutional, rejecting the argument that Congress may regulate noneconomic, violent criminal conduct based solely on that conduct's aggregate effect on interstate commerce.

Which of the following is true regarding revelations involving Enron and WorldCom? That their upholding of high ethical standards in regard to accounting practices supports the conclusion that the business world should be allowed to regulate itself. That WorldCom, a privately held company, had high ethical standards but that Enron, a publicly traded company, engaged in illegal accounting practices supporting the conclusion that privately held companies should be allowed to regulate themselves whereas publicly held companies need significant government regulation. That WorldCom, a privately held company, engaged in illegal accounting practices but that Enron, a publicly traded company, had high ethical standards supporting the conclusion that privately held companies need significant government regulation whereas publicly held companies should be allowed to regulate themselves. That although illegal accounting practices occurred, it is so difficult to find and regulate such practices that any regulation should be left to the free market. That accounting issues with these companies illustrate that the business world cannot be allowed to regulate itself ethically and that government oversight is needed.

That accounting issues with these companies illustrate that the business world cannot be allowed to regulate itself ethically and that government oversight is needed. The revelations of Enron and WorldCom suggested quite blatantly that the business world could not be allowed to regulate itself ethically, and their downfall in part led to many federal regulations designed to promote truthfulness and ethical practices among business managers.

Yolanda found a better job and quit Robert's employment. Yolanda, however, wants to sue Robert because she believes that he may have terminated her employment based on age discrimination if she had not quit. At this point, which of the following would be Robert's best defense to a lawsuit filed by Yolanda in the state in which she worked? That Yolanda lacks standing. That the court lacks in personam jurisdiction. That the state's long-arm statute does not apply. That a default judgment is appropriate. That the case is moot.

That the case is moot. A case is moot when there is no point in the court's hearing the case because no judgment can affect the situation between the parties.

A judge reports that a jury was "hung". What does the judge mean? That the jury wanted to hang the defendant by imposing a heavy sentence. That the jury wanted to hang the prosecutor for unjustly charging the defendant. That the jury could not reach a verdict. That the jury had waited an excessive amount of time before reaching a verdict. That the jury had waited an excessive amount of time before retiring for the evening.

That the jury could not reach a verdict.

Which of the following is asserted by the principle of rights? That whether a business decision is ethical depends on how the decision affects the rights of all involved. That whether a business decision is ethical depends on how the decision affects the rights of stockholders without consideration of other stakeholders. That whether a business decision is ethical depends on how the decision affects the rights of employees without consideration of other stakeholders. That whether a business decision is ethical depends on how the decision affects the overall economy. hat whether a business decision is ethical depends on how the decision affects the rights of organized labor without consideration of other stakeholders.

That whether a business decision is ethical depends on how the decision affects the rights of all involved. The principle of rights asserts that whether a business decision is ethical depends on how the decision affects the rights of all involved, a principle that is foundational to Western culture.

Which of the following is true regarding activities of the Public Company Accounting Oversight Board? The Board ensures that auditors and public accounting firms compile accurate and truthful financial reports for the companies they audit, but it has no responsibility in regard to whistle-blowing protection. The Board requires that companies devise a system that allows employees to report suspicions of unethical behavior, but it does not address financial reports prepared by auditors and public accounting firms. The Board requires that the universalization test be used as the primary ethical guideline and also mandates protection for whistle-blowers who report suspicious activity involving financial reports. The Board ensures that auditors and public accounting firms compile accurate and truthful financial reports for the companies they audit and also requires that companies devise a system that allows employees to report suspicions of unethical behavior. The Public Company Accounting Oversight Board was abolished during the Obama administration and no longer exists.

The Board ensures that auditors and public accounting firms compile accurate and truthful financial reports for the companies they audit and also requires that companies devise a system that allows employees to report suspicions of unethical behavior. As set forth in Exhibit 2-7, the Public Company Accounting Oversight Board is responsible for ensuring that auditors and public accounting firms compile accurate and truthful financial reports for the companies they audit. The act also requires that companies devise a system that allows employees to report suspicions of unethical behavior within the company. The act also protects these whistle-blowers from being fired or from retaliation by their employer for reporting a possible problem within the company.

Delilah worked as a receptionist for Wild Music, a talent agency with many celebrity clients. Delilah also had her own business selling high-end skin care products, which she ran out of her studio apartment. She often contacted skin care clients through her work e-mail, as it was very convenient to search through Wild Music's confidential client list to generate bulk e-mails. Wild Music's confidential client lists also contain financial and credit information for their clients. Delilah e-mails the client list to her home e-mail so that she can analyze and sell information about her clients' spending habits. Delilah's actions could constitute a violation of what law? RICO The M'Naghten Rule The Computer Fraud and Abuse Act The Foreign Corrupt Practices Act The Mail Fraud Act

The Computer Fraud and Abuse Act The Counterfeit Access Device and Computer Fraud and Abuse Act of 1984 (also known as the Computer Fraud and Abuse Act, or CFAA) prohibits six broad categories of computer crimes, including the unauthorized use of a computer to collect financial or credit information protected under federal privacy law.

In United States v. Lopez, the U.S. Supreme Court addressed the constitutionality of the Gun-Free School Zone Act. What did the Court rule? The Court ruled that the law was a valid exercise of congressional authority under the full faith and credit clause. The Court ruled that the law was a valid exercise of congressional authority contained within the Bill of Rights. The Court ruled that Congress exceeded its power under the Bill of Rights when it passed the act. The Court ruled that Congress exceeded its commerce clause authority when it passed the act. The Court ruled that the law was a valid exercise of the Court's authority under the commerce clause.

The Court ruled that Congress exceeded its commerce clause authority when it passed the act. In Lopez, the U.S. Supreme Court ruled that Congress had exceeded its commerce clause authority when it passed the Gun-Free School Zone Act.

In South Dakota v. Dole, the validity of a federal statute granting federal funds for state highways to only those states in which 21 is the legal drinking age was questioned. What did the U.S. Supreme Court rule? The Court upheld the statute. The Court upheld the statute only in the case of states that could not provide matching funds; and if matching funds could be provided, the Court ruled that there was insufficient reason for the law. The Court upheld the statute only in the case of states that could provide matching funds; and if matching funds could not be provided, the Court ruled that Congress was overreaching its power in regard to partnership between state and federal government. The Court struck the statute on the basis that it violated the Commerce Clause under the U.S. Constitution. The Court struck the statute on the basis that it violated the taxing and spending powers of the federal government under the U.S. Constitution.

The Court upheld the statute. In the 1987 case South Dakota v. Dole, the Supreme Court upheld a federal statute that grants federal funds for state highways to only those states in which 21 is the legal drinking age.

Which of the following is an executive agency? The Federal Deposit Insurance Corporation The Federal Trade Commission The Securities and Exchange Commission The Federal Communications Commission The Nuclear Regulatory Commission

The Federal Deposit Insurance Corporation

Religious freedom is protected by which amendment? First Second Fourth Sixth Eighth

The First Amendment contains two provisions, establishment clause and free-exercise clause that protect citizens' freedom of religion.

_____ prohibits U.S. companies from offering or paying bribes to foreign government officials, political parties, and candidates for office for the purpose of obtaining or retaining business. The Foreign Corrupt Practices Act The Foreign Bribery Act The Foreign Political Act The International Fairness Objective Act The International Trade Act

The Foreign Corrupt Practices Act The Foreign Corrupt Practices Act (FCPA) prohibits U.S. companies from offering or paying bribes to foreign government officials, political parties, and candidates for office for the purpose of obtaining or retaining business.

Which of the following serves to combat bribery of foreign officials? The Foreign Official Bribery Act The International Bribery Prohibition Act The Fair Business Act The International Fair Business Practices Act The Foreign Corrupt Practices Act

The Foreign Corrupt Practices Act (FCPA) serves to combat bribery of foreign officials.

The ______ Amendment extends most of the provisions in the Bill of Rights to the states. Thirteenth Fourteenth Correct Twenty-first Twenty-second Fortieth

The Fourteenth Amendment extends most of the provisions in the Bill of Rights to the states, prohibiting state interference in citizens' exercise of their rights.

Citizens are protected from unreasonable searches and seizures under which amendment? First Third Fourth Sixth Tenth

The Fourth Amendment guarantees citizens the right to be "secure in their persons, their homes, and their personal property."

Which of the following allows a defendant to be found not guilty by reason of insanity if he or she did not understand the nature of the act? The irresistible impulse act. The involuntary act. The substantial capacity test. The M'Naghten test. The necessity defense.

The M'Naghten test. Approximately one-third of the states still apply the M'Naghten test, also known as the "right-wrong test" which allows a defendant to be found not guilty if he or she did not understand the nature of the act.

Yoshe developed a great new type of face cream guaranteed to provide total sun protection, remove wrinkles, and result in anyone looking at least ten years younger. Her product, Miracle Face, became extremely popular in the U.S., where she has several shops, and also in other countries to which it was shipped. Yoshe has a number of individuals in other countries seeking to team with her in selling Miracle Face. Sam, a citizen of Mexico, asks that she grant him permission to use her name and any associated trademarks, and allow him to sell Miracle Face in Mexico. Yoshe has an offer, however, from another Mexican citizen, Nora. Nora proposes that she and Yoshe associate together, open a business to sell Miracle Face, and share profits and management responsibilities. Yoshe has also thought about opening her own business in Mexico in conformity with Mexican laws. She would then, hire employees in Mexico to sell the product. Another matter Yoshe has considered is simply arranging for her products to be shipped to Mexico for sale, and she is interested in the effect of any trade agreements in effect between the U.S. and Mexico. Which of the following should Yoshe consider concerning trade agreements between the U.S. and Mexico? The North American Free Trade Agreement The Central American Free Trade Agreement The Tri-Country Free Trade Agreement The Multi-Country Free Trade Agreement The Accessibility Trade Agreement

The North American Free Trade Agreement The North American Free Trade Agreement (NAFTA) between the United States, Canada, and Mexico is a multilateral free trade agreement.

Which of the following requires a "pattern"? The Racketeer Influenced and Corrupt Organizations Act. The False Claims Act. The Sarbanes-Oxley Act of 2002. The crime of false pretenses. The crime of false token.

The Racketeer Influenced and Corrupt Organizations Act. Demonstrating a claim under RICO requires proof of a pattern of racketeering—that is, more than one action.

What was the result at the U.S. Supreme Court level in the Case Opener involving the constitutionality of the "individual mandate" of the Affordable Care Act requiring that most Americans obtain minimum essential health insurance contained within the Affordable Care Act? The Supreme Court upheld the "individual mandate" of the Affordable Care Act on the basis that it was a valid exercise of congressional power under the taxing clause. The Supreme Court upheld the "individual mandate of the Affordable Care Act on the basis that it was a valid exercise of congressional power" under the commerce clause. The Supreme Court upheld the "individual mandate" of the Affordable Care Act on the basis that it was a valid exercise of congressional power under the taxing clause and also under the Commerce Clause. The Supreme Court struck the "individual mandate" from the Affordable Care Act as a violation of the Commerce Clause but allowed the remainder of the law to remain. The Supreme Court struck the "individual mandate" from the Affordable Care Act as a violation of the taxing clause but allowed the remainder of the law to remain.

The Supreme Court upheld the "individual mandate" of the Affordable Care Act on the basis that it was a valid exercise of congressional power under the taxing clause. The United States Supreme Court upheld the individual mandate of the Affordable Care Act (ACA) on the ground that it was a valid exercise of congressional power under the taxing clause.

Which of the following is true regarding international organizations? The United Nations is an international organization, but the International Monetary Fund is not. The International Monetary Fund is an international organization, but neither the United Nations nor the International Bank for Reconstruction and Development (World Bank) are international organizations. The International Bank for Reconstruction and Development (World Bank) and the International Money Fund are international organizations, but the United Nations is not an international organization. The United Nations and the International Monetary Fund are international organizations, but the International Bank for Reconstruction and Development (World Bank) is not. The United Nations, the International Monetary Fund, and the International Bank for Reconstruction and Development (World Bank) are all international organizations.

The United Nations, the International Monetary Fund, and the International Bank for Reconstruction and Development (World Bank) are all international organizations. The United Nations, the International Monetary Fund, the International Bank for Reconstruction and Development (World Bank), and the World Trade Organization are international organizations.

For a person to have standing: Subject matter jurisdiction must exist Personal jurisdiction must exist The case must not be moot. The case must personally affect him or her. There must be an actual controversy.

The case must personally affect him or her. For a person to have standing, the outcome of a case must personally affect him or her.

A defendant can use the _____ defense if the idea for a crime originated not with the defendant but with a police officer or other government official who suggested it to the defendant, and the defendant would not otherwise have committed the crime. Entrapment Necessity Justifiable use of force Duress Inescapable action

The entrapment defense applies if the idea for a crime originated with a police officer or some other government official who suggested it to the defendant, who would not otherwise have committed the crime.

Which of the following are the three independent branches of the federal government? Legislative, executive, and judicial. Legislative, commerce, and safety. Commerce, safety, and law enforcement. Executive, safety, and law enforcement. Law enforcement, judicial, and statutory.

The first three articles of the Constitution establish three independent branches of the federal government: the legislative, executive, and judicial branches.

Which of the following requires that courts in all states uphold contracts and public acts of every state thereby protecting wills, divorce decrees, and judgments in civil courts? The full faith and credit clause The privileges and immunities clause The commerce clause The contract clause The Bill of Rights clause

The full faith and credit clause The full faith and credit clause provision requires that courts in all states uphold contracts and public acts established in other states.

What does protection against "double jeopardy" mean? The government cannot try a person more than once for the same crime. The government cannot try a person more than twice for the same crime. The government must have double proof to prosecute a person twice for the same crime. The government must show that at least two people were injured by the defendant in order to justify trying the defendant twice for the same crime. The government may impose a double sentence on a repeat offender in order to protect the public.

The government cannot try a person more than once for the same crime. The Fifth Amendment protects against double jeopardy meaning that the government cannot try a person more than once for the same crime.

Which of the following holds that a person may be deemed not guilty by reason of insanity, even if he or she knew that a criminal act was wrong, as long as the defendant was driven to commit the crime from some urge resulting from a mental deficiency the defendant could not resist? The irresistible impulse test. The involuntary act. The substantial capacity test. The duress defense. The necessity defense.

The irresistible-impulse test allows a verdict of not guilty by reason of insanity even if the accused knew a criminal act was wrong, as long as some "irresistible impulse" resulting from a mental deficiency drove the person to commit the crime.

_____ principle requires that World Trade Organization member states treat like goods coming from other World Trade Organization member states on an equal basis. The normal trade relations The like treatment The quantitative restrictions The nondiscriminatory The fairness

The normal trade relations Article I of GATT addresses the principle of most-favored-nation relations, a principle now known as normal trade relations, through which WTO member states treat like goods coming from other WTO member states on an equal basis.

Denise McCrae is a school-board member in Mariposa County. Appalled by the amount of junk food in the schools, she convinces the state legislature to pass an ordinance that no stores may sell any unhealthy junk food within 600 feet of any school or daycare center. A political science teacher questions whether the regulation is valid and is told that it is a valid exercise of the jurisdiction's police power to protect its citizens. Convenience stores balk at the regulation and challenge it in court claiming that the law impermissibly affects interstate commerce. Which of the following is the best definition of the term "police power"? The residual powers retained by each state to safeguard the health and welfare of its citizenry. The residual powers retained by the federal government to enforce valid laws and regulations. The powers granted to local government to enter residences without a search warrant. The powers granted to state governments to tax for the purposes of having law enforcement. The powers granted to state government to imprison citizens of other states who commit crimes within a state.

The residual powers retained by each state to safeguard the health and welfare of its citizenry. Police power consists of the residual powers retained by each state to safeguard the health and welfare of its citizenry.

For purposes of diversity-of-citizenship, where does a corporation reside? The state of incorporation only. Only the state in which the corporation has its principal place of business. The state in which the corporation has its principal place of business and the state of incorporation. Any state in which the corporation does business. Any state in which the corporation has done business within the last five years.

The state in which the corporation has its principal place of business and the state of incorporation. A business may reside in two states: the state of its incorporation and the state of its principal place of business.

Which of the following is typically an appropriate venue in a lawsuit? Only the trial court where the defendant resides. Only the trial court where the plaintiff resides. Only the location where the dispute occurred if the lawsuit focuses on a particular incident. Both the trial court where the defendant resides and the trial court where the plaintiff resides. The trial court where the defendant resides and also the location where the dispute occurred if the lawsuit focuses on a particular incident.

The trial court where the defendant resides and also the location where the dispute occurred if the lawsuit focuses on a particular incident. Usually, the trial court where the defendant resides is the appropriate venue; if the focus of the case is a particular incident, the trial court where the dispute occurred is an appropriate venue.

Once the attorneys have impaneled, or selected, a jury, the case begins with opening statements.

True If mediation is unsuccessful, the parties can turn to litigation or arbitration, however, nothing said during the mediation can be used in another dispute resolution method; the mediation process is confidential.

The supreme law of the land is the _________. U.S. Constitution Declaration of Independence U.S. Code Model Law Uniform Code

U.S. Constitution The U.S. Constitution is the supreme law of the land, the foundation for all laws in the United States.

The ______ is a body of law significant to business activities including sales, banking, and warranty. Federal Business Code Model Business Code Uniform Transactional Model Uniform Commercial Code Marketing Transaction Code

Uniform Commercial Code The Uniform Commercial Code is a body of law significant for business activities including sales laws and other regulations affecting commerce, such as bank deposits and collections, title documents, and warranties.

Neville knows that he can bring his case against Bob Ramona in a state court in Tennessee. He is unsure, however, of but he doesn't know which the correct county in which to proceed. Which of the following address the proper county? In personam jurisdiction Venue Subject-matter jurisdiction Diversity jurisdiction Long-arm jurisdiction

Venue Once a case is in the proper court system, venue determines which trial court in the system will hear the case.

The ethical system in which the development of virtues, or positive character traits such as courage, justice, and truthfulness, is the basis for morality is called ______. Absolutism decision Virtual analysis Virtue ethics Fundamentalist approach Categorical imperative

Virtue ethics Virtue ethics is an ethical system in which the development of virtues, or positive character traits such as courage, justice, and truthfulness, is the basis for morality.

Ronaldo promised to sell Linda a Dalmatian puppy for $700 but backed out of the deal. Linda sued Ronaldo in state court for breach of contract and asked for a jury to hear the case. During jury selection, one juror, Mika, said that she did not think she could be fair to Linda because Linda did not appear to be a dog lover. Linda's lawyer asked that Mika not hear the case on the basis that she could not be fair, and the judge excused Mika. Linda also decided that another juror, Sandy, looked at her in a grumpy manner so, without a reason given, Linda's lawyer asked the judge to excuse that juror from serving. The judge did so. After the jury was chosen, Linda's lawyer made a statement to the jury, as did Ronaldo's lawyer. Linda's lawyer then called to the witness stand Jules, a friend of Linda, who heard the discussion held between Linda and Ronaldo regarding the purchase of the puppy. Jules testified under questioning by Linda's lawyer that she heard Linda say that she would pay $700 for the puppy and that she also heard Ronaldo say that he would sell the dog for that amount. Unfortunately for Linda, Jules also testified in response to questioning by Ronaldo's lawyer that Ronaldo distinctly told Linda that he would only sell the puppy to her if Linda came with cash for the puppy within seven days. Linda did not show up with the money for ten days and Ronaldo had already sold the dog to someone else. The judge ruled in favor of Ronaldo. When lawyers choose a jury, it is called ______. Voir dire Jury analysis Jury review Ven dere Shadowing

Voir dire Once the potential jurors have reported for jury duty, the voir dire, or jury selection, process begins.

The ____ facilitates international cooperation in opening markets and provides a forum for future trade negotiations and the settlement of international trade disputes. World Trade Organization Generally Favored Nation Organization National Trade Organization International Cooperation Agreement International Marketing Agreement

World Trade Organization The World Trade Organization facilitates international cooperation in opening markets and provides a forum for future trade negotiations and the settlement of international trade disputes.

Chris, a newly hired Certified Public Accountant, was asked by a business client, a chief executive officer, about the effect of the Sarbanes-Oxley Act on an accounting issue. Chris assured the client that the client should not be concerned about the Act because it is very vague, unspecific, and difficult to understand. Chris also told the CEO that the CEO could not be held personally responsible, regardless of what happened, because only company business was involved. Finally, Chris told the CEO that there is no oversight involved with the act. Later that same day, Chris's coworker discovered that the CEO had been involved in misstating some financial reports and had also destroyed financial documents to cover up fraud. An employee at the company, Olivia, had informed the coworker as well as the SEC. When the issue was mentioned to the CEO, he immediately fired Olivia. Does the Sarbanes-Oxley Act create a board of oversight; and, if so, what is it called? Chris is correct. No oversight board was created by the Act. Yes, a board called the Public Company Accounting Oversight Board was created by the Act. Yes, a board called the Public Accountability Commission was created by the Act. Yes, a board called the CPA Oversight Commission was created by the Act. Yes, a board called the Federal Accountability Commission was created by the Act.

Yes, a board called the Public Company Accounting Oversight Board was created by the Act.

Sofia, co-owner of a popular dance club called Salsa Sensations, discovered her co-owner and best friend Renata, has been secretly pocketing cash receipts. Salsa Sensations' business is booming. Sofia meets Gordon, an attorney. Gordon advises Sofia that she should engage in ADR instead of filing a lawsuit against Renata because it would be faster and cheaper than litigation. Sofia tells Gordon she wants to arbitrate their dispute. Gordon tells Sofia that if the arbitrator does not rule in her favor, they can appeal, but it is very difficult to overturn the decision of an arbitrator. Is Gordon correct? Yes, courts give extreme deference to arbitrators' decisions. No, arbitration decisions are final and binding. No, arbitration decisions are held to the same standard as a judge's ruling. No, arbitration decisions are often overturned because many arbitrators do not have a background in law. Yes, an arbitrator's decision is difficult to overturn because courts often do not have jurisdiction over a private arbitration.

Yes, courts give extreme deference to arbitrators' decisions. The arbitrator's decision is legally binding, but may be appealed. However, courts give extreme deference to arbitrators' decisions.

What is the North American Free Trade Agreement? a) A U.S. law which protects citizens of the United States from being required to follow rules of commerce in foreign countries. b) A trade agreement with Canada and Mexico to help establish the conditions of global trade. c) A trade agreement with 150 countries to establish the conditions of global trade. d) An agreement with the World Trade Organization which allows the WTO to adjudicate trade disputes. e) A U.S. law which mandates citizens of the United States must follow rules of commerce in foreign countries.

b) A trade agreement with Canada and Mexico to help establish the conditions of global trade. NAFTA is a trade agreement with Canada and Mexico to help establish the conditions of global trade.

Emilia filed a charge of discrimination with the Equal Employment Opportunity Commission (EEOC), alleging that her employer, MegaTron, failed to promote her because of her nationality and gender. The EEOC had already received several discrimination charges from other employees alleging similar conduct by MegaTron. When Emilia was hired, she signed an employment contract with a clause that states all work-related claims must be resolved through arbitration. If, after filing her charge of discrimination with the EEOC, Emilia then filed a discrimination lawsuit against MegaTron, what would the court most likely do? a) Dismiss the lawsuit, because of Emilia's poor performance. b) Dismiss the lawsuit because of the binding arbitration clause in her employment contract. c) Allow the lawsuit to move forward because employees have a right to file a lawsuit. d) Allow the lawsuit because Emilia did not foresee she might suffer discrimination. e) Allow the lawsuit because arbitration clauses in employment contracts are not binding on employees.

b) Dismiss the lawsuit because of the binding arbitration clause in her employment contract. In Circuit City v. Saint Clair Adams, the U.S. Supreme Court ruled that the Federal Arbitration Act does apply to employment contracts, thereby making binding arbitration agreements in employment contracts enforceable.

When you read a case, you should: a) Identify the legal issues, apply the facts to the legal issues, and evaluate the reasoning of the judge in light of the facts of the case. b) Consider the truth of the facts of the case, identify legal questions raised, review the decision of the judge, and determine if the judge's decision was justified by the rule of law. c) Find the facts, look for the issue, identify the judge's reason and conclusion, locate the rules of law that govern the reasoning, and apply critical thinking to the judge's reasoning. d) Identify the facts, apply critical thinking skills to determine the truths of the facts, and identify how the judge interpreted the facts in the case.

c) Find the facts, look for the issue, identify the judge's reason and conclusion, locate the rules of law that govern the reasoning, and apply critical thinking to the judge's reasoning.

A company pays bribes in foreign countries in order to conduct operations there. What legal consequences can the company face? a) No legal consequences as long as the bribe was legal in the country where it was paid. b) No legal consequences as long as the company was acting in the best interests of shareholders c) No legal consequences as long as the company had no choice but to pay the bribe if it wished to do business in the foreign country. d) Legal consequences under the Foreign Corrupt Practices Act e) Legal consequences under Glass-Steagall

d) Legal consequences under the Foreign Corrupt Practices Act In December 2008, multinational giant Siemens AG was ordered to pay the largest Foreign Corrupt Practices Act (FCPA) fine in history after admitting to acts of bribery worldwide

A company wants to open a branch in a foreign country but discovers it would have to bribe government officials to get a permit to obtain the materials necessary to build its headquarters. Which of the following is an example of an ethical response? a) Paying the bribe because it is customary in the country where the business is to be constructed. b) Paying the bribe because the company only has to comply with the community standards in the community where it will be operating. c) Paying the bribe because the company's first obligation is to its shareholders. d) Not paying the bribe and bringing in outside materials from a foreign country to complete the construction. e) Not paying the bribe and convincing a local company to illegally sell materials to them, since demanding bribes is unethical behavior.

d) Not paying the bribe and bringing in outside materials from a foreign country to complete the construction. Multinational companies face an ethical dilemma: They must decide whether to pay bribes or find alternative sources of supplies. For instance, when McDonald's opened its doors in Moscow, it made arrangements to receive its supplies from foreign providers. These arrangements ensured that the franchise did not have to engage in questionable business practices.

Which of the following is true about how ethical conceptions shape business law and business relationships in different countries? a) Ethics does not shape business law or business relationships because law and ethics are separate and not interrelated. b) Business law and business relationships should be the same in all countries because ethics provides one correct answer to all questions. c) Business law should be the same in all countries because protecting the rights of shareholders is always the ethically proper course of action. d) Different ethical understandings exist in different countries, but fairness is the highest ethical standard so countries must create uniform laws. e) Different ethical understandings prevail in different countries, so ethical conceptions shape business law and business relationships uniquely in each country.

e) Different ethical understandings prevail in different countries, so ethical conceptions shape business law and business relationships uniquely in each country.