BLAW Chapters 1-7 Practice Problems

Oliver slips and falls on Port Harbor's Tour Boat and is injured. Oliver files a suit against Port Harbor for $500,000. If Oliver is 20 percent at fault and Port Harbor is 80 percent at fault, under the "50 percent rule," Oliver would recover

$400,000

Creamy Dairy produces award-winning ice cream sold to wholesale distributors, retail sellers, and individual consumers in all fifty states. Its business is regulated by the UCC, which provides a set of rules governing

Commercial transactions

Center City enacts an ordinance that imposes a jail term, without a trial, on all contractors who solicit business without a city permit. A court would likely review this ordinance under the principles of

Due process

Diego is arrested for a theft committed by someone who stole his identity. A court orders his release, but due to a police error in Diego's paperwork, he is held in jail for a month. The police are most likely liable for

False imprisonment

Flexo Trucking Company transports hazardous waste. Garn is a Flexo driver, whom the company knows drives longer hours than federal regulations permit. One night, Garn exceeds the limit and has an accident. Spilled chemicals contaminate Hill City's water source, forcing the residents to move away. Flexo acted unethically because

Flexo showed reckless disregard for Hill City's residents and others.

Garden Tool Company makes chain saws. Hadrian is injured while using a Garden saw and sues the company for product liability based on negligence. To win, Hadrian must show that

Garden did not use due care with respect to the chain saws.

Isabel and Josh engage in a business transaction that leads to a dispute. Isabel initiates a lawsuit against Josh by filing a complaint. The sheriff serves Josh with a summons. If Josh chooses to ignore it,

Isabel will have a judgment entered in her favor

Sail-Away Corporation makes sailboards, which are bought and distributed by Tropic Company to UV Sports Stores, Inc., which sells them to consumers. Wen is injured while using a Sail-Away board that he bought from UV Sports. In a product liability suit based on strict liability, Wen may recover from

Sail-Away, Tropic, or UV Sports.

In a suit against Olive, Pimento obtains damages. In the U.S. legal system, this remedy at law is

Usual

New Cuisine Café files a suit in a state court against Olive Oil Inc., alleging a breach of contract. The case proceeds to trial, after which the court renders a verdict. If New Cuisine decides to appeal to a state appellate court, its attorney must make sure the clerk of the trial sends to the clerk of the appellate court, within a prescribed period of time

a copy of the record on appeal

Olivia, a citizen of Nebraska, wants to file a suit against Micah, a citizen of Kansas. Their diversity of citizenship may be a basis for

a federal court to exercise original jurisdiction.

Faye files a suit in a state court against Gas Station Stop, claiming employment discrimination. Gas Station loses the suit and appeals. After the state's highest court's review of Faye v. Gas Station Stop, either party can appeal the decision to the United States Supreme Court if

a federal question is involved.

Dyan, the owner of Expert Restoration Services, Inc., adheres to the "principle of rights" theory. Under this theory, a key factor in determining whether a business decision is ethical is how that decision

affects the rights of others.

Bull files a suit against Clay in a state court over payment due on a short-term lease of grazing land. The case proceeds to trial, after which the court renders a verdict. The case is appealed to an appellate court. After its review of Bull v. Clay, the appellate court upholds the lower court's verdict. The appellate court has

affirmed the case

Elise, an emergency medical technician, renders aid to a participant in Forest Trail Marathon, an athletic event. Regarding a suit by the participant against Elise for negligence, Elise is immune from liability under

an applicable Good Samaritan statute.

Corporate Security Company provides other firms with security services. Questions of what is ethical involve the extent to which Corporate Security has

an ethical duty beyond those duties mandated by law.

SmartTalk, Inc., makes and markets cell phones and related accessories. When problems develop with SmartTalk products or sales, the company may be liable in product liability for any of the following excep

an ineffective marketing plan.

Destiny and Eduardo, investors in Competitive Acquisitions Corporation, are dissatisfied with the profit-maximization theory of corporate objectives. These investors and others who look beyond profits and dividends may consider the triple bottom line, which does not include a corporation's

congressional lobbying activities.

A federal law requires public libraries to install filtering software on computers to prevent children from accessing adult content online. This law

does not substantially burden free speech.

Sea & Sail Corporation makes boats and boating supplies. Theresa files a product liability suit against Sea & Sail, alleging a design defect. In deciding whether to hold the boat maker liable, the court may consider an available alternative design based on the design's

effect on the product.

Renewable Resources, Inc., files a suit against Sunrich Utility Company and seeks to examine certain documents in Sunrich's possession. A legitimate reason for this examination is that the documents contain

information that is relevant to the case.

David, an Alabama resident, files suit in an Alabama court against QuickAds, an internet company based in Georgia that provides advertising services. QuickAds only contact with persons in Alabama has been through QuickAds passive advertising. The Alabama court is

not likely to have jurisdiction over the case because QuickAds is based in Georgia, and only passively advertises in Alabama.

River Rock Company makes spas and hot tubs. Sterling files a product liability suit against River Rock, alleging a warning defect in one of its products. In deciding whether to hold the defendant liable, the court may take note that a manufacturer or seller has no duty to warn about risks that are

obvious

Omar, a driver for Piece'a Pizza Delivery Service, causes a multi-vehicle accident on a city street. Omar and Piece'a Pizza are liable to

only those whose injuries could have been reasonably foreseen.

Richard, an engineer, supervises the construction of a new mountainside roadway. When the road collapses in a landslide due to faulty grading, Richard is sued by motorists and hikers injured in the collapse. As a professional, Richard is held to the same standard of care as

other engineers.

Charles is a federal judge whose judicial decisions are part of case law, which does not include interpretations of

parties' subjective motives for engaging in litigation.

The members of Citizens Aware believe that a recently enacted federal law is unconstitutional. They write and sign a petition to the government to repeal the law, refuse to obey the law, and stop others from complying with the law. Under the First Amendment, citizens have a right to

petition the government

Ethical standards would most likely be considered violated if Team Logos Merchandising Corporation deals with a company in a developing nation that

routinely violates labor and environmental standards.

Sforza files a suit against Thieu. If this suit is like most cases, it will be

settled before a trial

A rule promulgated by the Environmental Protection Agency (EPA) limits the amount of carbon that can be emitted from a car's exhaust system. New York has a state law that allows for much higher emissions. In this situation, under the supremacy clause:

the EPA's decision takes precedence.

Hope wants to file a suit against Gerry. For a court to hear the case,

the court must have jurisdiction.

The Appellate Division of the New York Supreme Court issues an opinion that can be found at 137 A.D.3d 409, 26 N.Y.S.3d 66. "137" is

the number of the volume in the official reports of the court's decisions.

Farmers Pantry Products Inc. and Market Grocers LLC dispute a term in their contract. If Farmers Pantry and Market Grocers have a long-standing business relationship that they would like to continue, they may prefer to settle their dispute through mediation because

the process is not adversarial

Congress enacts a statute, the Federal Deposit Insurance Corporation (an administrative agency) issues rules, the Southeast Financial Institutions Association (a private organization) issues instructions, South Valley Bank posts a memo with orders for its employees, and Tina tells her co-worker about a recent news story. Sources of law include

the rules issued by federal administrative agencies.

The state of Massachusetts regulates employment, traffic, land use, and other private activities to protect or promote the public order, health, safety, and general welfare under

the state's police powers