Business Law Test 1

Quackity Quack Company's ad states that its product is "the best on the market today." Because of this a, the Federal Trade Commission is most likely to

...

In a suit against Corbin, Donatella obtains damages, This is...

A payment of money or property as compensation

Dallas and Ellyn operate Freestyle Riders, a bicycle shop, as a partnership. Taxes on the Business's income are paid by

Dallas and Ellyn

Hawaii enacts a state law that violates the U.S Constitution. This law can be enforced by?

No one

The legislature of the state of Mississippi enacts a new statute that sets standards for the liability of businesses selling defective products. This statute applies

Only in Mississippi

The Securities Exchange Commissions an administrative agency. The chief purpose of such agencies is to.

Perform specific government functions

On behalf of RiteNow Collection Agency, Sid poses as a police officer in an attempt to collect payment from Tylo for a shipment of scuba equipment that she returned to Undersea Co two months earlier. This violates

The Fair Debt Collection Practices act

Congress enacts a law that sets out a medical-device approval process for the Food and Drug Administration to follow. The law includes a preemption provision. A device that goes through the process injures Joe, who files a claim under state law to recover. The court will most likely rule that.

The federal law preempts Joe's state law claim

The Federal Trade Commission is a government agency that issues rules, orders, and decisions. The Georgia state legislature enacts statute. The Jackson County Board and the Peach City Council enacts ordinances. Administrative law includes.

The rules, orders, and decisions of the Federal Trade Commission

Stingo operates Tropic Burger Restaurant as a Corp. A customer slips and breaks her ankle in the restaurant and is awarded damages by a court. Those damages must most likely by paid by

Tropic Burger

Jess and Kelly own and operate Little Tykes, a small-business enterprise. LT pays taxes on its profits and Jess and Kelly pay taxes on the profits that are afterwards distributed to them, LT is

a Corp

Elan Elite Service Co offer of shares of stock in itself to anyone who is willing to pay $600 per share is

a public offering

The 5 shareholders of Orthopedic Ease, Inc a medical equipment firm, want to prevent each other from selling the shares to 3rd parties without first being given the opportunity to buy them. This can be provided for in

a shareholder agreement

National Standard Company(NCS) products are identified with a trademark. For several years, NCS allows others to use the mark without permission and without protest. This may be deemed on NCS's part

abandonment of the mark

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 to cancel the contract

In suit against Evan, Floyd obtains an injunction. This is

an order to do or to refrain from doing a particular act.

Minnesota enacts a statute to ban advertising in "bad taste". This statute would likely be held by a court to be

an unconstitutional restriction of speech

Nero opened Oh! Fudge! a candy store, as a Corp. When doing business on behalf of the store, to avoid personal liability Nero should sign contracts

as an agent for the Corp

Frosty's Appliance Store advertises freezers at a "Special Low Price of $@99." When Garth tries to buy one of the freezers, Huey the salesperson, tells him that they are all sold and no more are obtainable. Huey adds that Frosty's has other freezers for $2,29. This is

bait-and-switch advertising

Mabel and Kim want to start up and incorporate a new business enterprise. The first step in the incorporation process is to

choose and file a corporate name with a state office

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

decisions of the courts in legal disputes

To generate sales, Yakkity-Yak Inc, uses phone solicitation. Under federal law, in soliciting business, YY telemarketers must

discloseall material facts related to a sale

Klee wants to make and sell a computer operating system under a trademark. To obtain the most protection under the law, Klee should choose a mark that is

distinctive

The constitution sets out the authority and the limits of the branches of the government. The term checks and balances mean that?

each branch has some power to limit the actions of the others

Penny Stock Co faxes ads to Quality Personnel Corp and other businesses without the recipients permission. This is

illegal

Tami's Tasty Tacos, a mobile vendor, files a suit against the state of Utah, claiming that a Utah state law violates the commerce clause. The court will agree if that statute imposes a substantial burden on

interstate commerce

Kristen receives unsolicited merchandise in the mail. Kristen

may keep the merchandise without any obligation to the sender

Kip opens an account at a Lotsa Goodies Store, and buys a digital music player and other items, but makes no payments on the account. To collect the debt, Marko, the manager, contacts Kip's parents. This violates

no federal law

Enterprising Markets Coalition (EMC) A political lobbying groups wants a certain policy enacted into law. If EMC's policy conflicts with the U.S Constitution, a law embodying it can be imposed by `

none of these choices

Global Tours a travel agency, is a limited liability Co. Global is exempt from legal requirements that relate to

none of these choices.

Home Brand Products, Inc, in its ads makes claims about its products that are obvious exaggerations and claims that are false but appear to be true. Home Brand may be subject to sanctions for

only the claims

Finn wants to incorporate his game store as GameZ, Inc and files the name with the Idaho secretary of state. Filling will protect the name

only within Idaho

Josh and Kya from Longview Associates, a limited partnership, to invest in real estate. Compared to a sole proprietorship and a general partnership, a limited partnership has limited

personal liability

The state of NY regulates private activities to protect or promote the public order, health, safety, and general welfare under its

police powers

Jon, a law enforcement official, monitors Kelsey's Internet activities-- email and web site visits - to gain access to her personal financial data and student information. This may violate Kelsey's right to

privacy

A Massachusetts state statute imposes a prison term, without a trial, on all street entertainers who operate in certain areas. A court would likely review this statute under the principles of

procedural due process

Myra claims that a Nebraska state statute infringes on her "procedural due process rights" this claim focuses on

procedures used in making decisions to take life, liberty, or property

In Export Co V. Imports Inc, there is no precedent on which the court can base a decision. The court can consider, among other things.

public policy or social values

in the ordinary course of business, Xtra Credit Co, sells goods to Yvon and other consumers on credit under installment sales contracts that typically require at least one year of monthly payments. Xtra does not disclose all of the credit terms to its customers. This is most likely to result in

recession of the contracts

Wyoming enacts a statute that limits the liberty of all persons, including corporations, to broadcast "annoying" radio commercials. This may violate

substantive due process

Parker owns and operates Rancho Mirage Corp, a destination resort in Arizona that features horseback riding and bunkhouse accommodations. The Constitution provides that no person shall be deprived of "life, liberty, or property without due process of law". Included as "legal persons" under this clause are

the Corp and Parker

Bodie's application to City Bank for a credit card is denied. Bodie can obtain information on her credit history in a credit agency's files under

the Fair Credit Reporting Act

Green Grocer Corp makes and markets a variety of processed food products. The federal agency responsible for enforcing health regulations concerning food is

the Food and Drug Administration

Fun-E Products Inc makes and sells toys. The government agency that has the authority to remove a potentially hazardous toy from the market is

the consumer product safety Commission

Ulrich, a citizen of Virginia, wants to enforce in the state of Washington certain rights that he has under a contract with Extreme SnoBoards Inc. A Washington state court is most likely to enforce such rights under

the full faith and credit clause

In action against Elin, Frank obtains a remedy. This is

the legal means to recover a right or to redress a wrong,

A federal statue regulates an employment practice. To resolve a dispute concerning the practice, Paula, a judfe, will most likely apply

the statue

Len, a citizen of Maryland, obtains a federal license to operate a commercial fishing boat in Chesapeake Bay. The Maryland state legislature enacts a law that bans all commercial fishing in the bay. The state law most likely violates?

the supremacy clause