INTB 3355 - Module 6

The Sarbanes-Oxley Act had a direct effect on standards in the U.S. _____ industry.

accounting

Which of the following statements accurately characterize civil law? (Check all that apply.)

Civil law tends to be less adversarial than common law. Judges often actively question the prosecution and defense.

What set of uniform rules established by the United Nations governs the formation of international sales contracts and explains the rights and obligations of the buyer and the seller?

Convention on the International Sale of Goods

Which of the following accurately describe a country's legal system? (Check all that apply.)

Its goal is to provide for the welfare of the country. It is a collection of legislation and regulations. It is a collection of governing principles.

It is more common in Blank 1Blank (US/Japan) for antitrust action to be brought only if the FTC (Fair Trade Commission) has investigated the case first.

Japan

Which state in the United States does not follow the common law system?

Lousiana

Which of the following countries follow religious law? (Check all that apply.)

Morocco Iran Libya

What is the legal proceeding conducted to determine and enforce legal rights?

litigation

Which of the following areas of the law are of special concern to international businesses? (Check all that apply.)

litigation in an international setting performance of contracts in an international setting extraterritoriality

Which form of intellectual property protection grants inventors the exclusive right to exploit, use, and sell their invention?

patent

A(n) Blank 1 of 1 grants the inventor of a product the exclusive right to manufacture and sell that product.

patents

In the United States, patents are divided into which three types?

plant utility design

A trade secret held by a business may include _______. (Check all that apply.)

processes designs formulas

Match the three types of U.S. patents with their descriptions.

utility useful invention or process design aesthetic, nonuseful creation plant innovations in growing things

Japanese antitrust legislation got its start when the Blank 1 of 2 Blank 2 of 2 (European Union/United States) introduced it during its occupation of Japan after World War II

United States

When comparing the United States views on antitrust laws to the European Union's, the _________ tends to look at the consumer first instead of focusing on the rivals' objections.

United States

When musicians legally challenged the music-sharing site Napster, the basis for the artists' argument was their __________ in the songs they had written and recorded.

copyright

Which form of intellectual property protection gives authors, composers, and creators the exclusive right to publish and dispose of their work?

copyrights

Intellectual property is protected by _______. (Check all that apply.)

copyrights trade names patents trademarks

Agreements between countries can be called ___________. (Check all that apply.)

covenants compacts protocols treaties conventions

Customary international law is derived from __________.

customs that have been used for centuries

The Blank 1 of 1 (Napoleonic/German) civil law tradition is based on the application of a general set of laws to individual cases.

german

Worldwide agreement on a body of laws is known as _______.

harmonization

Predefined commercial terms established by the International Chamber of Commerce are known as

incoterms

An invention that is protected by a patent is known as Blank 1 of 1 property.

intellectual

Extraterritoriality is more of a concern for Blank 1 of 1 (international/domestic) businesses.

international

Extraterritoriality is more of a concern for Blank 1Blank 1 international , Correct Unavailable (international/domestic) businesses.

international

Stable relationships among nations are fostered through Blank 1 of 1 (common/international) law.

international

Which type of law refers to the set of rules that nations have agreed to follow?

international

Foreign investment is encouraged in a country's legal system is based on the rule of _________.

law

When Kenneth's U.S.-based company was going through a dispute with an affiliate in Germany, the case was tried on German law, as the two parties had agreed to in their original contract. This example demonstrates the choice-of-Blank 1 of 1 (law/forum) provision.

law

Product Blank 1 of 1 laws hold a company and its officers and directors liable and possibly subject to fines or imprisonment when its product causes injury, damage, or death

liability

A legal case that is based on tort law usually results in a settlement based on Blank 1 of 1 (money/a prison sentence).

money

A treaty is a source of international law that is used when making agreements among Blank 1 of 1 (nations/businesses).

nations

A Blank 1Blank 1 trade , Correct Unavailable Blank 2Blank 2 name , Correct Unavailable is used to designate and differentiate a company's products. For example, Yum! Brands encompasses Taco Bell and Pizza Hut.

trade name

A(n) Blank 1 of 2 Blank 2 of 2 includes formulas, processes, patterns, or designs that a business wants to keep confidential

trade secret

What is the most common form of intellectual property protection sought by international businesses?

trade secrets

A shape, color, design, phrase, abbreviation, or sound that defines a company or its products and is reserved for the company's sole use is known as a _________.

trademark

The Nike swoosh and the Starbucks mermaid are examples of a __________.

trademark

Which agreement covers most of the world's trademark protection?

Madrid Agreement of 1891

The World Intellectual Property Organization is a self-funding forum within the __________.

United Nations

The United Nations developed CISG as a way to solve jurisdictional problems related to _________.

contract performance

Outside the United States, product liability cases are heard by a Blank 1 of 1 (jury/judge).

Blank 1: judge

True or false: Worldwide agreement on a body of laws is known as globalization.

False

Which legal system is the most widespread system globally?

civil law

In many majority Blank 1 of 1 (Christian/Muslim/Buddhist) nations, alcohol is strictly forbidden.

Muslim

Which of the following are examples of local laws in other countries and their associated penalties? (Check all that apply.)

A British subject with a history of serious mental illness was executed in China for carrying heroin. Saudi Arabia enforces sanctions against wearing revealing clothing. A foreigner in Japan was arrested for taking out his garbage without having his alien registration card.

U.S. accounting practice is guided by which of the following organizations? (Check all that apply.)

Financial Accounting Standards Board Securities and Exchange Commission

A contract between businesses in two different countries falls under Blank 1 of 2 (private/public) international law, while disputes between two countries over trade subsidies falls under Blank 2 of 2 (private/public) international law.

Blank 1: private Blank 2: public

The Blank 1 of 2 Blank 2 of 2 (European Union/United States) has as much narrower definition of novelty with regard to patents

European Union

Match the patent law requirements with the appropriate governmental body.

European Union matches Choice, Patent goes to the first person to register an invention. Patent goes to the first person to register an invention. United States matches Choice, Patent goes to the first inventor. Patent goes to the first inventor.

True or false: The Madrid Agreement of 1891 standardized trademark protection, so it is no longer necessary for a company to seek trademark protection in each country it wishes to operate.

False

True or false: The Sarbanes-Oxley Act has been primarily criticized for its negative affects on the market and potential investors.

False

True or false: The United Nations' International Court of Justice has the power to enforce contracts between parties from different countries.

False

Which act of the U.S. Congress prohibits bribery of foreign officials and sets requirements for transparency of accounting transactions?

Foreign Corrupt Practices Act

According to the World Bank summary of governance indicators, which of the following countries rates highest in rule of law, with a score of 94 out of 100?

Hong Kong

Which of the following result when a country's legal system is based on the rule of law? (Check all that apply.)

Human rights are protected. Foreign investment is encouraged. investors know their interests are protected.

Which of the following are characteristic of product liability cases in the United States? (Check all that apply.)

In the United States, juries can award actual damages to the plaintiffs. In the United States, juries can award punitive damages. In the United States, product liability cases are heard by juries.

Who established the predefined commercial terms known as Incoterms?

International Chamber of Commerce

What guides the accounting principles of countries in the European Union? (Check all that apply.)

International Financial Reporting Standards International Accounting Standards Board

Which of the following describe Napoleonic law? (Check all that apply.)

It incorporated the values of liberty and equality. It has influenced the approach to law of Spain and Italy. It was drafted in post-revolutionary France in 1804.

Which of the following are aspects of the Japanese Fair Trade Commission? (Check all that apply.)

It targets small, foreign, or weak industries. It is responsible for enforcing antitrust laws. It operates separately from the Japanese court system.

According to the World Bank's "Doing Business" survey, which Asian city ranks first for investor protection?

Singapore

Which of the following are principles of common law systems? (Check all that apply.)

The defendant is presumed innocent until proven guilty. Case law develops through precedents. Case law co-exists with statute law. Civil wrongs are rectified by compensation.

What are the advantages of trade secrets? (Check all that apply.)

They do not require any registration process. They do not require the use of a lawyer for the administrative process. They are less costly than initiating a patent.

True or false: A trade obstacle, such as a tariff, may provide revenue for the issuing government, but it can also be a barrier to certain imports.

True

True or false: Many European Union countries have the ability to cap the damages awarded in a strict liability case.

True

Which of the following is an example of a worldwide court?

U.N. International Court of Justice

Which of the following statements characterize antitrust laws in the United States and the European Union? (Check all that apply.)

U.S. antitrust law focuses on the impact on the consumer. U.S. antitrust law adopts the per se concept. European Union antitrust law allows for market dominance. European Union antitrust law focuses on the industry's competitive structure.

If there was only one automobile manufacturer in the United States and it was impossible for another company to enter the industry, the government or the company trying to enter the market might try to enforce a competition or _________ law.

antitrust

Instead of taking their dispute to court, two companies agree that bringing in a neutral third party to resolve the issue will be less costly and faster. These two companies have agreed to use _________.

arbitration

International businesspeople often specify in their contracts that disputes will be resolved by Blank 1 of 1 because it can be quicker, less expensive, and more binding than litigation.

arbitration

The Foreign Corrupt Practices Act is relevant in an international business situation that involves Blank 1 of 1 (liability/bribery).

bribery

Which clause in a contract specifies the location where the dispute will be settled?

choice-of-forum

Court proceedings are generally less adversarial in Blank 1 of 1 (civil/common) law cases.

civil

The _________ law approach to a legal system is based on a systematic collection of laws designed to cover all areas of concern.

civil

The judge in a case told the people in the courtroom that based on the decision made in a similar case three years ago, the defendant was innocent and free to go. The judge's decision was based on Blank 1 of 1 (civil/common) law.

common

Which of the following are divisions of the World Intellectual Property Organization? (Check all that apply.)

development, innovation, and technology brands and designs cultural and creative industries global issues

Within the litigation process, pretrial activities include finding the facts that are relevant to the case. This process is called

discovery

Which of the following areas have been affected by the extraterritorial application of laws by the United States? (Check all that apply.)

employment law environmental law antitrust law human rights law

As a result of what is viewed as hostile dolphin/tuna harvesting practices, the United States has banned the import of tuna from certain countries. This is an example of the ______ application of laws.

extraterritorial

The U.S. government imposing taxes on a U.S. citizen living in France is an example of the Blank 1 of 1 application of laws.

extraterritorial

When a country attempts to enforce its domestic laws in a foreign country, it is practicing _________.

extraterritoriality

If the United States formed a grand jury to indict foreign-owned manufacturers because they dumped production waste without getting approval from a U.S. commission, then the United States would be trying to enforce its antitrust laws _________.

extraterritorially

True or false: Under a common law system, a crime (such as a burglary) would be rectified by providing financial compensation to the victim.

false

A manufacturer of coffee makes recalled all of its products after learning that nearly 50 people had been injured after the glass carafes shattered when hot coffee was allowed to sit in it. These people planned to bring a lawsuit against the manufacturer. That lawsuit would be based on ________.

product liability

Which of the following are examples of customary international law? (Check all that apply.)

prohibition against genocide diplomatic immunity

What form of international law governs the legal relationship between governments?

public international law

A(n) Blank 1 of 1 (quota/embargo) is put in place by a government to limit the amount or source of imports

quota

The Qur'an is an example of a document that is used as the basis for a legal system based on _____ law.

religious

What are the three distinct approaches found in a legal system?

religious law common law civil law

Under the standard of Blank 1 of 1 liability, the manufacturer or designer is liable for damages caused by a product without the plaintiff needing to prove negligence by the manufacturer of the product.

strict

What standard does not require a plaintiff to prove negligence in the product's design or manufacture?

strict liability

What are some purposes of a trade name? (Check all that apply.)

to distance the company from negative publicity to do business in multiple geographic areas with one legal corporation to focus the customer on a product line

Why are competition laws strictly enforced in the United States and the European Union? (Check all that apply.)

to prevent business monopolies to prevent price fixing to prevent market sharing

The injuries inflicted on another person, either intentionally or negligently, are called

torts