BLAW Final
You live in a state whose minimum wage is $10 per hour. Also the city in which you live and work has a minimum wage of $11 per hour. The federal minimum wage is $7.25 per hour. Based on these facts the minimum wage which applies to you is:
$11 per hour
Allen is employed by Acme Company and is considered a "covered worker" under the overtime rules of the Fair Labor Standards Act. His hourly rate of pay is $10 per hour. The federal minimum wage is $7.25 per hour. If Allen should work 45 hours in a particular week then his total amount of pay for that week is:
$475
Gene is paid $10/hour. He works 30 hours one week and 50 hours the second week. How much will Gene be paid for the second week?
$550
Assume that the Acme Company is located in a state where the minimum wage is $6.50 per hour. Acme has its office in the city of Metropolis (in that state) and all of its 50 employees work there. The city of Metropolis has a minimum wage of $8 per hour. The federal minimum wage is $7.25 per hour. Acme Company makes numerous sales to out of state customers. Under these facts the minimum wage (per hour) which is applicable to Acme is:
$8.00
To file a lawsuit alleging violation of the federal Age Discrimination in Employment Act the complainant must be a certain age or older as specified by the statute. This designated age is:
40
Aaron and Bonnie entered into a contract of partnership. Under the contract Aaron was to make an initial contribution of $60,000 and Bonnie was to make an initial contribution of $40,000. There was nothing in the partnership agreement indicating how profits and losses would be distributed. At the end of the first year Aaron is entitled to what proportion of profits and losses?
50% 50%
Which of the following would be most likely to be classified as a "fixture?"
A ceiling fan
Montgomery Burns, as President and CEO of Springfield Nuclear Energy Corp., entered into a contract with Waylon Smithers, his close friend and ally. The contract provides no benefits to the corporation and is not in the best interest of the corporation at all, but is very lucrative for Mr. Smithers. If the shareholders want to file a lawsuit against Mr. Burns for violating his fiduciary duty, what would their claim be for?
A claim for breach of the duty of loyalty brought as a derivative action suit.
Which of the following would give the bankruptcy judge the right to deny a debtor a discharge in a Chapter Seven filing?
A debtor making a false statement under oath.
OSHA is which of the following?
A federal agency that deals mainly with work place safety.
Common Law
A legal system based on custom and court rulings
Which of the following are examples of secured debt?
A motorhome listed as collateral in a loan used to by the motorhome.
Which of the below contracts must be in writing pursuant to the Statute of Frauds?
A real estate contract to purchase 40 acres of real property in Arkansas
Which one of the following is evidence a jury can consider?
A statement made by an eyewitness while testifying under oath during the trial
If the University of Arkansas were to require all students to attend a Catholic mass every Sunday, this would probably be considered:
A violation of the establishment clause in the first amendment
To prove her case for discrimination under the ADA, Mel must prove which of the following? She has a disability She is able to perform the essential functions of the job Her disability is the sole reasons she was discriminated against
ALL
Susan, a recent college graduate, accepted a job offer with Acme Company. The employment contract was in writing and was signed both by Susan and Acme's Human Resources officer. She was verbally told that her salary would be $5,000 per month plus $500 per month for expenses; however the written agreement clearly stated that her salary would be $5,000 with no extra pay for expenses. When Susan mentioned the difference between the verbal reference to expenses and the written agreement, the Human Resources officer told her not to worry - the $500 expenses would be paid. After working for 4 months without any compensation for expenses, Susan asked to be paid $2,000 for expenses, but her request was denied. If this issue were litigated a court would rule in favor of:
Acme based on the parol evidence rule.
The EPA enforces regulations related to the environment. Which part of the government creates regulations?
Administrative Agencies
Title VII of the 1964 Federal Civil Rights Act included a number of "protected classes" for which discrimination would be illegal. Which of these is NOT one of these classes?
Age
Which of the following are required elements of a contract?
Agreement, Consideration, Capacity, Legality
Which of the following corporations are required to engage in "affirmative action?"
All corporations who have entered into contracts with the federal government.
Which of the following would normally NOT be part of the duties of the directors of a corporation?
Amending the articles of incorporation
The Securities Exchange Act of 1933 requires that a corporation file a registration statement with the SEC and provide a prospectus to all investors before _______________.
An IPO (initial public offering of stock)
Five business partners have decided to convert their business from a general partnership to a Limited Liability Company (LLC). Which of the following is a characteristic of this form of doing business?
An LLC does not pay income tax.
Which of the following is an example of commercial speech?
An advertisement stuck on your windshield
A silicon valley tech company wants to increase the number of female engineers employed by the company. To do so, they create a plan with preferential recruitment of women. This plan is __________.
An affirmative action plan
Which of the following is an example of a horizontal restraint of trade, illegal under Section 1 of the Sherman Antitrust Act?
An agreement between bookstores to sell BLaw textbooks for $130.00 a piece.
Which of the following describes the right to use another person's real property on a limited basis?
An easement
Which of the following ADR procedures results in hearing before a neutral third party who then issuing a decision which is binding upon the parties?
Arbitration
Which of the following forms of ADR generally results in a ruling by a neutral third party which is BINDING on the parties?
Arbitration
Dan wants to sue his employer. However Dan cannot sue because his employment contract has a mandatory __________ clause. Because of this clause, Dan and his employer must submit their dispute to a neutral third party who will issue a binding ruling:
Arbitration.
Trina defaults on her car loan from Bank of America. Bank of America repossesses Trina's car. At public auction the car sells for $25,000. What may happen next?
Bank of America may get a deficiency judgment against Trina for the remaining amount of the debt
When the bankruptcy trustee liquidates (sells and converts to cash) the debtor's non-exempt assets, this fund of cash is called _____.
Bankruptcy estate
Under the Sarbanes - Oxley Act of 2002 there is statutory protection for "whistleblowers." In order to be covered by this law the employer of the whistleblower must meet the following criteria:
Be a private company whose shares are publicly traded
Under the Sarbanes-Oxley Act of 2002 there is statutory protection for "whistleblowers." In order to be covered by this law the employer of the whistleblower must meet the following criteria:
Be a private company whose shares are publicly traded
A store selling women's underwear intentionally refuses to hire men as sales associates because sales associates enter dressing rooms with female customers for bra measurements. If a man challenges this hiring practice, what is the store's best defense?
Being female is a bona fide occupational qualification
Alex wanted to buy a piece of land that he could use to construct an office building. He asked his real estate agent (Frances) to make a contract on his behalf with a third party who was interested in selling a piece of land in the area. Alex told Frances not to mention that he (Alex) was the person who would be buying the land. Frances did this, and in due course a contract for the sale of the land was executed. Some time later Alex decided that he did not want to buy the land after all. The owner of the land wants to sue all responsible parties for "breach of contract." Which party or parties could be held responsible to the owner of the land? Alex Frances
Both
Ben Bradley is the sole owner of "BB Golf Corporation, Inc." He purchased $20,000 of office equipment on credit from an out of state business, signing his own name to the sales agreement. The out of state seller was unaware of the existence of "BB Golf Corporation." Not long after the equipment was delivered BB Golf Corporation ran out of money and was unable to pay the debt to the seller. Which party or parties could be held legally responsible liable to the seller for the debt?
Both BB Golf and Ben Bradley are legally responsible.
The shareholders of Acme Company have filed a lawsuit in the name of the company against the directors of the company alleging the directors should be held responsible breach of fiduciary duties. Which of the following best describes the standard that a judge would follow to determine whether the directors should be held liable for their actions?
Business judgment rule
You have been involved in a car accident and sustained substantial damages. You have hired an attorney to bring a lawsuit against the driver of the other car. In order to win your case the attorney would have to prove that the other driver was responsible for your damages by what standard of proof?
By a preponderance of the evidence.
Which of the following entities pays an income tax?
C Corp.
Which of the following business entities is required to pay an income tax?
C corp.
Which of the following bankruptcy chapters is intended for individuals who wants pay off their debts over a 3 to 5 year time period?
Ch. 13
Tad filed for bankruptcy as the amount of his debts far exceeded the amount of his assets. In the bankruptcy the trustee seized all of Tad's non exempt property, which he sold in order to pay off the creditors. Unfortunately the amount of money generated by the sale of the assets was insufficient to pay all of the debts, and very few of the creditors were fully paid. This form of bankruptcy is known as:
Ch. 7
Wanda signs a franchise contact with Burger King to own the right to operate Burger King restaurants in her state. She'll use their menu, ingredients, cooking instructions, and trade dress. What type of franchise is this?
Chain-style business operation
Alex owned a "vacation" house which he was selling without the assistance of a real estate agent. He found a buyer (Bill) who offered Alex $150,000 for the house, and Alex agreed to the offer. Bill did not know that he was expected to file the deed in the courthouse. Alex found out that Bill had not filed the deed, and sold the same house to Charles for $140,000. Charles, not knowing anything about the sale to Bill, filed the deed the next day. One week after that Bill learned of the filing requirement, and filed the same day. Alex has left the area and cannot be located. Who is the owner of the property?
Charles
Lisa is a third year law student looking for a job. Cheatum Law Firm, located in Little Rock, makes Lisa a job offer to pay her $75,000 a year. Part of their offer requires Lisa to pass the Arkansas Bar Exam and be licensed to practice law by September 1. Lisa accepts the offer. Lisa graduates from law school, takes the bar exam, moves to Little Rock and on August 30 learns that she did not pass the bar exam and therefore will not receive a law license. In this case:
Cheatum Law firm does not have to hire Lisa because a condition precedent was not satisfied.
Inez is a shareholder of a corporation with only 20 shareholders. The corporation's shares are sold in private transactions, not on a public stock exchange. This is a ______________________.
Close corporation
A system developed primarily on legal precedent is known as?
Common Law
The doctrine of "Stare decisive" is most closely associated with?
Common Law
Which of the following companies are subject to the Sarbanes / Oxley Act with regards to "whistleblowing?"
Companies whose stock is publicly traded and report to the SEC
Actors Sean Connery, Pierce Brosnan, and Daniel Craig form a general partnership to operate adventure camps called "The 007 Experience." Connery does little work for the partnership (mostly voice-overs for advertisements promoting the camps). Brosnan contributed all of the startup funding. Craig does most of the work at the camps. The partners signed an agreement that does not allocate losses, but does allocate profits in the following way: Connery receives 20%, Brosnan and Craig each receive 40%. If the partnership incurs a $100,000 loss, how will the loss be allocated?
Conner will pay $20,000, Brosnan will pay $40,000 and Craig will pay $40,000, as the formula for profit allocation governs loss allocation when the partners have not agreed to a loss allocatio
What important rule of law was first announced in the famous U.S. Supreme Court case of Marbury v. Madison (1803)?
Courts have the power of judicial review.
The people or businesses a debtor owes money to are called the __________________.
Creditors
The person filing a bankruptcy case is the ______ and must file the case in _____.
Debtor; federal bankruptcy court
In which of the following would an office assistant (employee) be in the "course and scope" of employment, thus making the employer liable for a tort committed by the employee?
Delivering materials to a customer upon request of the employer even though this was not a normal act.
Pete is a public school teacher. He writes a letter of opinion to the local paper that the school is bullies students and doesn't support free speech. S Pete is fired for his letter. Pete sues the school claiming it violated his right to "free speech." The school moves to dismiss Pete's suit. How will the judge likely rule?
Deny the motion for dismissal because there is a state action
Susan is a public school teacher. She tweets that the school doesn't support its teachers and it's a horrible working environment. The school board fires Susan. Susan sues the school claiming it violated her right to "free speech." The school moves to dismiss Susan's suit. How will the judge likely rule?
Deny the motion for dismissal because there is a state action
Auto Co. manufactures automobiles. Every other auto manufacturer uses steel connecting pins in their cars. Auto Co. uses plastic connecting pins (to save money). If people are injured because the plastic connecting pins break, what type of product liability claim would the injured people bring?
Design defect
Gail posts a message on Facebook that makes negative comments about her employer, Oprah. Gail works for Oprah's magazine, "O". When Oprah sees the post, she immediately fires Gail. Gail sues Oprah alleging a violation of her first amendment rights of free speech. Oprah files a Motion to Dismiss. How will the trial court rule?
Dismissed, because there is no state action.
Electronics company, Sumsang, has a franchise contract KC Television and Electronics Store (KCTES), giving KCTES the exclusive right to sell electronics made by Sumsang in Kansas City, MO. Which type of franchise agreement is this?
Distributorship
The right to make limited use of real property is known as a(n):
Easement
The U.S. Supreme Cuort held in Kelo v. City of New London that the power of eminent domain allowed a government to take a property for:
Economic develop as that was a public use
Kelo v. City of New London addressed which issue?
Economic develop constituting a public use
IRCA requires _____________must have employees complete INS Form I-9 and collect documentation verifying worker's identify?
Employers
An executive order issued by President Lyndon Johnson requires certain employers to engage in affirmative action in order to improve job opportunities to underrepresented groups, particularly women and racial minorities. What kind of employers are subject to this affirmative action policy?
Employers who enter into contracts with the federal government.
Eve is a contractor. Kanye contracts with Eve to remodel his tiny home. After finishing the remodel, Eve sends Kanye an invoice. Which of the following is true?
Eve is an unsecured creditor.
A "power of attorney" results in the creation of an agency relationship in which of the following forms:
Express authority.
Which of the following types of authority could an agent have which would bind a principal to a contract?
Express, implied and apparent
Kayne loses all of his money in an investment scheme making him unable to pay his bills. If Kayne files a Bankruptcy Petition, in which court would Kayne file?
Federal (U.S.) Bankruptcy Court
Kellog's advertises that its Rice Krispie's Ceral will provide children with 25% of their recommended daily dose of viatamins and minerals. This statement is false. Which one of the following can bring lawsuits against Kellog's because of the false statements.
Federal Trade Commisssion and/or Consumers
An executive order requires that who must have an affirmative action plan?
Federal government contractors and subcontractors
The highest form of ownership of real property under common law is referred to as:
Fee simple absolute
Which of the following must a victim of discrimination do before being allowed to file a lawsuit in court?
File a complaint with the EEOC within 180 days
The Arkansas Supreme Court has held that the "public policy" theory is applicable in the state of Arkansas. This particular theory states that it would be "wrongful" for the employer to do which of the following?
Fire an employee who missed several work days in order to serve on a jury.
Which of the following is real property?
Fire station
Tomas wants to get a mortgage for a house. If the mortgage is for $100,000 with 3% interest for 20 years this is an example of which type of mortgage?
Fixed Rate
Which one of the following is NOT a required element of a contract?
Formality
One year before filing for bankruptcy Daniela gives her sister $10,000 worth of jewelry. Daniela and her sister secretly agree that the sister will return the jewelry to Daniela after her bankruptcy case is closed. During the bankruptcy case the trustee may do which of the following?
Have the sister give the jewelry to the bankruptcy estate because it is a fraudulent transfer.
Which of the following would constitute an "unfair labor practice" of management under federal labor laws?
Having supervisors ask the workers how they will vote in an upcoming "certification" election.
(THIS is ANTITRUST on Final Exam, not Exam Five) All the ice cream stores in Fayetteville, AR agree to sell a single dip in a waffle cone for $4. This is an example of what?
Horizontal restraint of trade
In order for Title VII of the 1964 Civil Rights to have jurisdiction over an employer which of the following is required? I. The employer has 15 or more employees. II. The employer does business in interstate commerce. III. The employer enters into contracts with the federal government (minimum of $100,000).
I and II only
Shonda is selling her home. Which of the following in and around her home would be considered "real property?" The land on which the home sits. A built-in bookcase. A small hot tub on the deck in the back yard. .
I and II only
You believe that you have been the victim of illegal gender (sex) discrimination by your employer. To bring a lawsuit against your employer in federal court you must do which of the following? I. File a complaint with the EEOC within 180 days of the alleged discrimination II. Obtain a Right to Sue letter from the EEOC III. Make a $5,000 deposit with the EEOC as a show of good faith of your desire to pursue a claim against your employer (to be refunded if you are successful).
I and II only
Which of the following would give rise to a claim for "piercing the corporate veil?" I. Commingling funds of the corporation and shareholders II. Inadequate capitalization of the corporation III. Filing an S corp. instead of a C corp.
I and II only.
Lady Luck is a budding professional singer and entered into a contract with a small nightclub in Las Vegas. The term of the contract was for six months. After only 3 months Lady Luck "hit it big" and a larger Vegas nightclub got her to dump the small nightclub and work for them for a much larger salary. The large nightclub knew about Lady Luck's original contract, but told Lady "your current contract means nothing!" If the smaller nightclub should go to court to collect damages the result will probably be: I. Lady Luck will be held liable to small nightclub for breach of contract. II. The large nightclub will be held liable to small nightclub for wrongful interference with a contract.
I and II.
Bill and Bob are partners in a new partnership. At the end of the first year the partnership is very successful, but Bill personally lost a lot of money via a loan to the local bank. The bank wishes to collect on this debt. How can this be done? I. Obtain a judgment against Bill personally II. Seize the property owned by the partnership III. Obtain a charging order so as to seize a portion of Bill's interest in the partnership
I and III only
The doctrine of "burden of proof" is an important part of U.S. law. Which of the following is correct regarding this doctrine? I. In a civil case the plaintiff has the burden of proof. II. In a criminal case the defendant has the burden of proof. III. In a civil case the standard "burden of proof" is "by a preponderance of the evidence.
I and III only
Which of the following correctly describes the rights and powers of shareholders of an ordinary corporation (C Corp)? I. Shareholders have the power to amend the articles of incorporation. II. Shareholders have the power to declare dividends III. Shareholders have the power to elect members of the board of directors.
I and III only
Which of the following is a characteristic of a LLC (Limited Liability Company)? I. Members interests are transferable as personal property II. An LLC pays a federal income tax. III. Members are not personally liable for unpaid debts of the LLC
I and III only
Which one of the following contracts must be in writing pursuant to the Statute of Frauds? I. A real estate contract to purchase 40 acres of real property in Arkansas. II. A contract made in April between a homeowner and a pool service company to provide pool service over the next four months (May - August) III. An employment contract which is for a two year time period.
I and III only
Carol and Baker, both residents of Arkansas, entered into a general partnership as of January 1, 2018. The partnership contract was in writing, but was not filed with the Arkansas Secretary of State. The term of the contract was for an indefinite period of time (at will). Which of the following is correct? I. The partnership does not pay a federal income tax. II. he partnership was invalid because the contract was not filed with the Arkansas Secretary of State. III. Carol and Baker both have the right to withdraw from the partnership at any time.
I and III only.
To be covered by Title VII of the 1964 Civil Rights Act an employer would have to have which of the following qualifications? I. Have 15 or more employees. II. Have entered into contracts with the federal government. III.Affect interstate commerce.
I and III only.
An agent can be held liable for a contract made on behalf of a principal if __________? I. No disclosure of principal II. Implied authority III. Express authority IV. Partial Disclosure of Principal
I and IV only
Which of the following is correct? I. Trademarks may protect things like a word, symbol, or sound to indicate a source of goods. II. Trademarks may protect inventions. II. Trademarks may protect songs, movies, and works of art.
I only
The Taft Hartley Act (1946) prohibits which of the following? I. The closed shop II. The union shop
I only.
You believe that you have been discriminated against by your employer on the basis of race and wish to file a lawsuit against your employer in federal court. Prior to filing such a lawsuit you must do which of the following? I. File a complaint with the EEOC within 180 days of the alleged discrimination. II. Make a good faith deposit with the EEOC in the amount of $250. III. Send the EEOC a sworn affidavit (under penalty of perjury) that your complaint is valid.
I only.
The Fair Labor Standards Act (FLSA) covers which of the following? I. child labor II. overtime III. minimum wage
I, II and II
Some forms of speech are not protected by the first amendment. This would generally include which of the following forms of speech? I. Speech which presents a clear and present danger. II. Speech which is defamatory. III. Speech which is obscene.
I, II and III
The "public policy doctrine" has existed in Arkansas for more than 30 years. Based on class discussion, which of these would probably allow you to successfully sue your employer for wrongful discharge? I. Being fired for serving on a jury. II. Being fired for having to testify in court in a civil case. III. Being fired for reporting safety violations to a federal agency.
I, II and III
Which of the following forms of doing business results in ALL of the owners being free from personal liability for unpaid debts of the business? I. C Corp. II. S Corp. III. LLC
I, II and III
Which of the following is a characteristic of an "employee" and NOT of an "independent contractor"? Usually receives employment benefits and health insurance. Covered by minimum wage and overtime. Covered by employment discrimination laws.
I, II and III
Which of the following kinds of contracts is subject to the "statute of frauds?" Contract for the sale of land. Contract cannot be completed within one year. Contract constituted a promise to stand behind the debt of another. Employment contract in excess of $5,000 per month for an indefinite time period.
I, II and III only.
A bankruptcy judge may deny a debtor's request for bankruptcy discharge for which of the following reasons? I. Destroying or falsifying records. II. Making a false statement under oath. III. Having received a discharge in the prior 8 years.
I, II and III.
Bao signed a standard listing contract with a licensed real estate agent. The contract provided that the listing was going to expire on November 1, 2016. In which of the following circumstances will Bao owe the real estate agent the commission provided for in the contract? I. During the period of the listing Bao sells the property herself without any actual assistance from the agent. II. During the period of the listing the agent was able to get a qualified buyer to offer "full price" for the property, but the offer was turned down by Bao. III. During the period of the listing the agent presents an offer which is 10% lower than the list price, and the offer is accepted by Bao.
I, II and III.
Diane purchased a new car from Mighty Motors. She signed a contract whereby she was to pay a down payment of $5,000 with the balance of the debt to be paid in 48 monthly installments. After one year Diane lost her job and was not able to make any further payments. Which of the following correctly describes Mighty's rights in this case under the laws of most states? I. They can repossess the car using self-help. II. They can have the car sold at public auction with full notification to Diane. III. If the sale of the car at auction does not bring sufficient funds to pay off the debt, Diane can be held liable for the deficiency.
I, II and III.
Which of the following forms of speech are NOT protected by the first amendment? I. Speech which presents a clear and present danger. II. Speech which is considered to be defamatory under state law III. Speech which is considered to be obscene under state law. IV. Speech which consists entirely of statements of fact which are known to be without merit.
I, II, III, and IV.
Marly, a single man, listed his home with a licensed real estate agent, signing a standard listing contract. The contract called for a listing price of $250,000, a commission of 5%, and a term of 180 days. Under which of the following circumstances would Marly be liable to the real estate agent for a listing fee (commission)? I. During the listing period Marly, acting on his own, sold the property to a friend for $190,000 II. During the listing period the real estate agent found a buyer willing to pay full price ($250,000) but Marly refused to proceed with the sale III. During the listing period the real estate agent found a buyer willing to pay $240,000 which Marly initially accepted and then later refused to proceed with the sale
I, II, and III
Which of the following is a characteristic of an LLC (Limited Liability Company)? Members interests are transferable as personal property. An LLC does not pay a federal income tax. Members are not personally liable for unpaid debts of the LLC.
I, II, and III.
Which of the following is true about a "publicly held" corporation? I. Shares of the corporation may be bought and sold on a public stock exchange. II. A whistleblower within the corporation may have protection under the Sarbannes-Oxley Act. III. Shareholders have limited liability for the losses of the corporation.
I, II, and III.
Which of the following kinds of contracts fall within the "statute of frauds?" I. An employment contract for two years. II. A parent's promise to guarantee a student loan for their child. III. A contract for the sale of 10 acres of farmland in Madison County, Arkansas.
I, II, and III.
Which of the following forms of doing business is required to be registered with a governmental agency (usually the Secretary of State's office)? I. General partnership II. Limited liability partnership III. Limited liability company
II and III only
Adam, who is a partner in a partnership known as "Adam, Betty and Connie (ABC) Partnership," has built up a large debt on his personal VISA credit card. In order to collect on Adam's unpaid credit card debt VISA would have the legal right to: I. Seize property owned by the ABC Partnership. II. Obtain a charging order (attachment) of Adam's interest in the ABC Partnership
II only.
Magic Carpet, Co. hired Chad to install carpet in its customer's homes. Chad installed carpet in in a customer's home, but did the job in such a negligent manner that the customer's walls and baseboards were damaged. The customer wants to file suit against both Magic Company and Chad. In order to find Magic Carpet Co. liable for the acts of Chad, the plaintiff (customer) must be able to prove that: I. Chad had the status of an independent contractor II. Chad was subject to the direct control of Magic III. Chad was in the course and scope of his employment with Magic IV. Chad's actions in harming the customer were done deliberately and with specific intent to harm the customer
II, III
Which of these involves a federal tax which is paid by both the employer and the employee? I. Unemployment. II. Family and Medical Leave Act III. Social security.
III onl
Which of the following best describes the concept of "double taxation?" I. It means that shares of a corporation can be bought and sold two or more times. II. It is a concept associated only with closely held corporations and the way that they are formed. III. It refers to the principle that when dividends are paid to the shareholders they must pay income tax on those payments even though the corporation already paid an income tax on its profits
III only
Which of these involves a tax paid by both the employer and the employee? I. Worker's compensation. II. OSHA III. FICA (social security).
III only.
You are employed by Wonderful Company and have sustained a serious on the job injury. You have applied for worker's compensation. Which of the following would prevent you from being able to collect "worker's compensation?" I. Your injury was a direct result of your own negligence. II. Your injury was due to an accident for which Wonderful Company was not negligent in any way. III. Your injury occurred while you are driving home from work.
III only.
Fresh Farms is a potato farm in Idaho. Fresh Farms digs up the potatos and delivers the potatos to facilities for packaging and distribution. The Food Safety Modernization Act requires Fresh Farms to do which of the following?
Identify food safety hazards and have safety controls
Bonnie and Clyde (not related to each other) form an LLC named "Banks Beware, LLC." Which of the following is true?
If Clyde defaults on a personal debt the assets of the LLC CANNOT be seized to satisfy the judgment.
Acme and Baker entered into a written contract which was signed by both parties, but a few months later a legal dispute arose, and the judge resolved the dispute by applying the "parol evidence rule." Under this legal doctrine a judge would probably rule that:
If a verbal agreement and a written agreement exist, the written agreement controls
Fayetteville city council passed a law prohibiting any organization or group from hosting rallies from 10 pm to 7am. An anti-abortion group wants to hold a rally to support life at midnight but is denied a permit to do so. The group files a lawsuit asking a court to overturn Fayetteville's law. How will the court likely rule?
In favor of Fayetteville because their law is a content neutral restriction.
The "implied contract theory" is the law in Arkansas based on a precedent set by the Arkansas Supreme Court. For this doctrine to be applicable, the employer must have:
Included in the personnel manual a promise that no employee would be fired except for good cause.
The crime of _______________________________ occurs when a person uses private, non-public information to buy or sell stock.
Insider Trading
Tom is an executive at Big Co. He learns that an upcoming announcement is going to cause the stock to go down. He tells his neighbor to sell Big Co's stock. This is an example of what?
Insider trading
Allen has been performing professional services for Barbara over the past six months. Due to an accident caused by Allen a question has arisen as to whether Allen is an employee of Barbara or instead is an independent contractor. Which of the following is generally the most important factor which will determine whether or not Allen is an independent contractor? Is he being paid?
Is he subject to the direct control of Barbara?
Which of the following was a part of the 1946 Taft Hartley Act:
It disallowed the closed shop nationwide
Which of the following legal entities must register with the appropriate state office as part of the entity formation?
LLC
Which type of entity meets these criteria: pass-through taxation, members can manage the business, no limit on number of members, limited liability for owners?
LLC
Which part of the government creates statutory law?
Legislature
Les was just hired as manager of Holiday Inn (a hotel). Les was given no express duties, but was told to "run the hotel to the best of your ability." In the normal course of business managers hire and fire employees. Les hired Pat as a desk clerk at minimum wage. Which of the following is true?
Les had implied authority to make an employment contract on behalf of Holiday Inn
Makayla and Jill are partners in a general partnership. The general partnership had income of $20,000. Who will be responsible for paying federal income taxes on that income?
Makayla and Jill will pay taxes
Dan sells his home to Sara on March 1st and Sara files the deed on March 5th. Meanwhile, Dan sells his home to Manny on March 2nd and Manny files the deed that same day. Manny was unaware of the prior sale to Sara. Which of the following is true?
Manny owns the home.
Auto Co. manufactures automobiles. One day, during her shift, Jan does not pay attention to her work (she was watching Netflix on her phone) and she forgets to insert a critical pin in the steering column of an automobile. That particular automobile is eventually sold to Sam, who is injured because of the missing pin. If Sam sues Auto Co. , which type of product liability claim would he bring?
Manufacturing defect
Mark wants to start a business which relies on workers to perform several duties. Mark does not want to be liable for torts of these workers. How should Mark proceed?
Mark should not directly control how the workers perform their duties so that the doctrine of respondeat superior would not apply.
Mega Hospital System has announced it is acquiring a local independent hospital. Once it acquires the hospital it will employee 80% of the cardiologists in the area. If the Deparetment of Justice challenges the acquisition as an illegal merger a key issue will be whether the merged hospitals would have too much _______________ and thereby be an illegal merger.
Market share
In Arkansas, as well as most states, the "implied contract" theory is part of the employment law of the state due to a legal precedent. This theory requires that an employer:
May only terminate a worker for good cause.
Many trial courts require that the parties engage in which of the following forms of ADR before a trial date can be scheduled?
Mediation
Which of the following ADR procedures is the most popular and is often required by judges before a trial date can be schedule?
Mediation
Plaintiffs in personal injury negligence lawsuits may recover what types of damanges?
Medical expenses and pain and suffering
Mike is claiming ownership of a small piece of land on the basis of adverse possession. Which of the following is NOT one of the required elements of this common law doctrine?
Mike was in good faith (honestly believing that he was the rightful owner)
Monique contracts with Mrs. Jones to build a fireplace in Mrs. Jones' home for $5,000. After completing the fireplace, Monique sends an invoice to Mrs. Jones. Which of the following is true?
Monique is an unsecured creditor.
Apparent authority is based on the "illusion of authority" which results in the principal being held liable as if an agency relationship had been created. In order for this to be the case the illusion of authority
Must be the result of some act of the principal.
Nedra posts a false statement of fact about Shaun on Instagram, causing injury to Shaun. Is Instagram liable for defamation?
No because of Section 230 of the Communications Decency Act
Frank is the sole owner of a small business the name of which is "Arkansas Sporting Goods." The business is incorporated under the name "Arkansas Sporting Goods, Inc." but the only name on the outside of the building is Arkansas Sporting Goods. If a third party vendor (seller) sells inventory to the business and the contract is signed by Frank personally, under these facts what legal principle could Frank be held personally liable for the debt?
No disclosure given by Frank to the vendor.
If Nedra posts a clip of a Disney movie on YouTube (clearly infringing Disney's copyright) is YouTube liable for copyright infringement?
No under the Digital Millennium Copyright Act if Disney sends a take-down request and YouTube complies
Marcel is an employee of a large retail business. He had written a number of letters to the local paper criticizing his employer and for this he was fired. He has sued the retail business claiming that the business has violated his right to "free speech." Is he likely to win his case based on constitutional law?
No, as there is no state action in this situation.
While driving to her job as a salesclerk with American Eagle (a clothing store) Sara drives her car negligently and causes an accident, severely injuring another driver. Is American Eagle liable for the damages to the other driver?
No, because Sara's drive to work is not in the course and scope of employment.
Jimmie and Jessica form JJ Heels, a closely held corporation for making shoes. JJ Heels is adequately capitalized and owns the tools and supplies necessary to make custom high heels. Jimmie and Jessica carefully observe all laws related to corporations and never commingle their personal assets with the assets of the corporation. Carrie, a famous dancer, wins a one million judgment against JJ Heels when a defective shoe causes her to suffer a career-ending injury. All assets of the corporation are sold for a total of $10,000 and this amount is paid to Carrie. Will the judge order Jimmie and Jessica to use their personal assets to pay the remaining $990,000 owed to Carrie?
No, because shareholders are not personally liable for the debts of the corporation.
Mary wants to rent an apartment if Fayetteville, Arkansas. The landlord tells Mary that she will have to have another adult with a credit score over 700 guarantee she will make the payments. Mary calls her mom and hands the phone to the landlord. Mary's mom promises the landlord she will pay the rent if Mary fails to do so and they hang up. If Mary fails to pay does the landlord have a legally enforceable contract against Mary's mom?
No, because the Statute of Frauds requires this type of contract to be in writing
The University of Arkansas verbally offers Wendy Smith a three-year contract to teach BLaw. Wendy Smith and the University of Arkansas representative shake on it. If a lawsuit is filed, does the law support Wendy Smith having an enforceable three-year contract?
No, because the Statute of Frauds requires this type of contract to be in writing
Mega Gas Stations owns 100 gas stations in Idaho (80% of the gas stations in Idaho). A competitor owns only 12 gas stations in Idaho. To force the competitor to go out of business, Mega sells gas to customers below cost (what Mega pays for the gas). Is this legal?
No, this is monopolization and violates Section 2 of the Sherman Antitrust Act
Redbull advertises that Redbull will "give you wings". Does this advertising violate truth in advertising laws enforced by the FTC?
No, this is puffery
Allen had been employed by "Arkansas Lawyers" (a Little Rock law firm) for six months under an "at will" contract. One Friday at the end of the work day he was told that his "services were no longer needed." Allen believes that his termination constituted a "wrongful discharge." Which of the following reasons for his discharge would be considered wrongful under common law? I. He was 30 minutes late for work on the day that he was fired. It was his first time to be late to work II. He told several of his friends from church that the lawyers in the firm were "slightly better than mediocre." III. He had an argument with a fellow employee which resulted in shouted insults being exchanged.
None of these
Not long after graduating from the Walton College you were hired by a small business on Dickson Street. The terms of employment were not expressly stated by your employer. After three months you were told by your employer that they did not think you were working out and as a result they would be "letting you go." For which of the following reasons would you probably be able to prove in court that your termination was "wrongful?" I. You were told that you were fired because you were late to work three times. I. You were told that you were fired because you did not wear professional clothing. III. You were told that you were fired because you had started to wear a nose ring.
None of these
Mike dies while driving a high performance sports car. His family sues the car manufacturer in "strict liability," alleging that the car was defective when sold by the manufacturer and that the defect resulted in Mike's death. Which of the following defenses can be successfully used by the manufacturer to avoid liability in this case?
None of these defenses can be used.
You have been hired by the Acme Company. Although there was a personnel manual the duration of your employment was not stated in the manual or in any other document. After only 4 months you were dismissed without any prior warning. Which of the following would be likely to give you a right to successfully sue your employer for "wrongful discharge?"
None of these things would give you the right to sue for "wrongful discharge."
Allen suffered a severe injury while carrying out his normal work activities. Which of the following will prevent Allen from recovering worker's compensation from his employer?
None of these would prevent Allen from recovering worker's compensation.
You have been working for the Acme Company for two months when you are injured on the job as a result of an on the job accident. Which of the following would prevent you from being covered by worker's compensation?
None of these would prevent you from being covered by worker's compensation.
You have been hired by the Acme Company on an "at will" basis. Unfortunately, after only 60 days you are discharged without any prior warning. Which of the following would give you the right to successfully sue your employer for "wrongful discharge?" I. You were fired because you were five minutes late to work every day because you had to drop off your daughter at school. II. You were fired because you refused to go to lunch with your fellow employees. III. You were fired because your supervisor found out that you hated his favorite college football team.
None of these.
You are a 21 year old college graduate and have applied for a job with a major investment firm in New York City. However you are not given an interview as the firm's policy is to only consider job applicants who are at least 25 years old. This policy is a violation of which of the following federal laws?
None of these. The policy does not violate any federal law
Allen is a partner in ABC Partnership. Allen has run up substantial credit card debt which he cannot pay. Which of the following can be done by one of Allen's personal creditors in order to collect on Allen's debt?
Obtain a charging order of Allen's interest in the partnership.
Tara, a single woman, owes $200,000 on her house loan from Big Bank. She loses her job and stops making loan payments. Big Bank forecloses upon Tara's house. Big Bank receives $100,000 from the sale of the house. In Arkansas along with most other states what may Big Bank do at this point in time?
Obtain a deficiency judgment against Tara for $100,000
If a worker dies on the job because of a job-related cause, which statute requires the employer to report the incident to a federal agency?
Occupational Safety and Health Act (OSHA).
Based on class discussion it would be a violation of federal law to refuse to hire someone because he/she was which of the following?
Of a national origin different from yours.
Oprah, a famously wealthy person, wants to buy a ranch in West Texas. Oprah thinks the seller will inflate the price if the seller learns that Oprah wants to buy the ranch. Therefore, Oprah instructs her real estate agent not to disclose the buyer's identity. The agent obeys these instructions and finds a seller, who agrees to sell the property for a reasonable price to the unidentified buyer. If there is a breach of contract to buy the property, who can the seller hold liable?
Oprah and/or the real estate agent.
Jose accidentally caused a car accident injuring Paris and destroying Paris' bicycle. Which of the following damages could Paris recover?
Pain and suffering and property damage and medical bills
At the time of signing a written contract, the parties orally agree to a modification of the written contract. However, the parties do not write the modification into the contract. If a dispute arises, a judge will not consider the oral modification. Why?
Parol evidence rule
Susan, a private investigator, is performing a service for Allen. In a tort lawsuit, a question has arisen as to whether Susan is classified as a "servant" of Allen or an "independent contractor." Which of the following would be the most likely to result in Susan being classified as an "independent contractor?"
Personally determines the procedures she will follow in completing the job.
Xi is claiming ownership of property on the basis of "adverse possession." Which of these is NOT one of the requirements of adverse possession?
Physical possession of a deed indicative of ownership
One way to create an agency relationship that provides an agent with express authority is through which of the following written documents?
Power of Attorney
A principal may give an agent express authority in which written document?
Power of attorney
A disabled worker covered by the Americans with Disabilities Act seeks an accommodation from her employer. What must the employer do?
Provide reasonable accommodation
Alice is alleging that her supervisor required her to have sex with him in order to obtain a promotion. If this can be proven by Alice this form of sexual harassment is known as:
Quid pro quo harassment.
Which of the following is NOT legal grounds for a bankruptcy judge to DENY a debtor a discharge?
Quitting his job just before filing for bankruptcy
OSHA regulates workplace safety. OSHA created a law requiring hospitals to protect its workforce against Covid-19. Which type of law is this?
Regulation
In both civil and criminal cases it is the responsibility of the jury to:
Resolve questions of fact.
The primary role of the jury in a civil trial is to:
Resolve questions of fact.
You have been chosen as a juror in a civil trial. Which of these is your primary responsibility?
Resolve questions of fact.
Which of the following is NOT generally considered to be a reason for the popularity of Alternative Dispute Resolution (ADR)?
Results in a decision which operates as a legal precedent for future cases
A political group plans a rally for 11pm to support their candidate. They didn't realize that the city where the rally was planned had an ordinance that stated "No rally may be held from 10pm-7am." The purpose of the ordinance was to reduce noise when most people are sleeping. When people began to arrive for the rally police sent them home citing the ordinance. If the political group sues based on their right to free speech the court will likely:
Rule in favor of the city because the restriction is content neutral.
Which type of corporation is small, is not publicly traded, and has pass-through taxation?
S Corp
Which law requires that CEO and CFO must certify accuracy of corporate financial statements and Directors must have an audit committee made up of outside directors?
Sarbanes-Oxley
Sean Smith, the owner and president of Fayetteville Pool Corporation, entered into a contract with Katrina Kash to build a pool and pool house in her back yard. When Sean Smith signed the contract with Katrina he signed it: Sean Smith and did not tell Katrina that he was signing on behalf of Fayetteville Pool Corporation. After the pool was built, Katrina discovered that the electricity was not working properly and anyone who enters the pool receives a shock. Katrina wants to sue Sean Smith in his individual name for breach of contract, but Sean says that he has no individual liability under the contract because his business is incorporated. What will a court likely hold?
Sean is liable because he did not disclose that he was an agent for Fayetteville Pool Corporation.
Bank of America loans Tina $50,000 to buy a new Honda Accord. The loan documents (security agreement) identify the Honda Accord as collateral. Bank of America is which of the following?
Secured creditor
Chen is an owner of XYZ Corp. Chen is a _______________.
Shareholder
Directors and officers of a corporation owe fiduciary duties to the corporation. If the directors and/or officers breach those duties who may file a derivative action against them?
Shareholders
Ali wants to start a T-Shirt business. He has three main goals with his new business: 1) he wants easy start-up, no formation filing requirements 2) he wants to avoid paying taxes at the entity level; 3) he wants to be the only owner. Which type of business is best for Ali?
Sole proprietorship.
Eli makes amazing all natural fruit popsicles. In the summer he travels to outdoor music festivals and sells his popsicles for $4 each. He names his business Fruit Pops and has opened a separate bank account to track the expenses and earnings of Fruit Pops. He has never registered Fruit Pops with a governmental office. Eli pays income taxes on Fruit Pops' earnings through his individual income tax return. Which type of business entity is Fruit Pops?
Sole proprietorship.
Which of the following is true about ethical codes?
Some professions, such as certified public accountants, doctors, and lawyers, require taking an ethics exam and adherence to a code of ethics
You are from India and your employer has secured an H1-B visa for you to work in the U.S. What type of work do you do?
Specialty occupation
The common law system relies on which of the following?
Stare decisis
The Florida legislature passed a law prohibiting masks in public buildings. What type of law is this?
State Statute
The National Conference of Commissioners on Uniform State Law drafted in the Uniform Commercial Code (UCC). The UCC is adopted by?
States
Marilyn is a well known country and western entertainer. She entered into a 2 year contract with a nightclub in Nashville. The contract paid her $5,000 per week. After six months the Silver City (a large hotel in Las Vegas) contacted Marilyn and offered her a one-year contract starting immediately for $10,000/week. Silver Dollar City did not know about Marilyn's contract with the Nashville nightclub. Marilyn accepted the Las Vegas offer and left Nashville. What legal remedy or remedies would the Nashville nightclub have in this case?
Sue Marilyn for breach of contract.
Which of the following forms of speech are generally considered to be fully "protected" by the first amendment?
Symbolic speech.
Taylor enters into a written lease agreement for an apartment that she will be renting. The lease expressly says that no interior painting is allowed and that if repainting is required a fee of $500 will be charged to the tenant. At the time of the execution of the lease, however, the landlord orally agrees to allow Taylor to paint the walls "Razorback Red". At the conclusion of her lease, the landlord charges Taylor $500 to repaint the walls as per the contract. If a lawsuit is filed the court will likely rule as follows:
Taylor DOES have to pay the $500 because Taylor cannot introduce the oral conversation at trial under the parol evidence rule.
You have recently moved into a "right to work" state. This means that in the state to which you have just moved:
The "at will" doctrine does not apply to you.
Two book publishing companies plan to merge. If the merged companies would control 85% of the book publishing in the U.S. then the book publishing market would be very concentrated. What may happen?
The DOJ may sue to block the merger under the Clayton Act
In 1803 the U.S. Supreme Court decided the landmark case of Marbury v. Madison. This case established the legal precedent that the final interpretation of the U.S. Constitution is within the authority of?
The U.S. Supreme Court
Which of the following is true?
The UCC and common law differ in some respects, such as acceptance
In order to buy new office equipment Allen borrowed $150,000 from a local bank. As security for the debt, the bank took a mortgage (lien) on the equipment. At a time when the amount of the debt was $125,000 Allen defaulted, and the bank repossessed the equipment. The debtor was notified that the property would be sold at a public auction, but did not bother to attend the auction. The net proceeds resulting from the repossession and auction (ie, after all expenses were paid) was $100,000. Which of the following is correct?
The bank can get a deficiency judgment against Allen for the $25,000 remaining on the debt.
The doctrine of "judicial review" refers primarily to which of the following?
The courts have the power to review governmental actions to determine whether they violate the constitution.
Fictitious fact pattern: The Massachusetts legislature creates a statute making it a criminal offense to disparage Tom Brady or Bill Belichick (both famous employees of the New England Patriots football team). Which branch of government has the power to decide whether the Massachusetts statute is constitutional?
The judiciary because of the power of judicial review as established in Marbury v. Madison.
Gladys was injured when a restaurant sign fell on her. She sued the restaurant alleging that the restaurant was negligent and demanded a jury trial. At trial, who will consider the evidence and decide whether the restaurant was negligent?
The jury because this is a question of fact.
Bonnie is a receptionist at a local law firm. She works 9 AM to 5 PM. Her job duties require her to answer the phones, make copies, greet clients, etc. In addition Bonnie must pick up the mail from the post office every morning at 10 AM and take the outgoing mail back to the post office every afternoon at 3 PM. One day Bonnie gets into a car accident while going to pick up the law firm's mail. The injured party wants to sue the law firm for Bonnie's negligence. Which of the following is true?
The law firm is likely liable for Bonnie's negligence because the accident occurred while Bonnie was acting in the course and scope of her employment.
In Oklahoma, Ernst notices a vacant home and moves into the home. He lives in the home openly and continuously for 2 years before the owner of the home (John) learns of Ernst's actions. Oklahoma has a 15-year statutory period for adverse possession. Which of the following will likely happen?
The owner (John) will be able to remove Ernst from the home as John is still the rightful owner.
If a partnership defaults on a loan from a bank, who may the bank sue?
The partners and/or the partnership
DeAndre has 10 general, unsecured creditors. Most of these are credit card companies, but one is a small local bar which has allowed him to run up a line of credit. He has decided to file for bankruptcy, but two weeks before doing so he pays off in full his tab at the local bar so that he can stay in good standing with them. Assuming that the trustee challenges the payment to the local bar, which of the following is correct?
The payment is a preference and the owner of the bar must pay the money to the trustee
A jury voted that a defendant was "not guilty." Which of the following is correct?
The prosecuting attorney failed to prove its case beyond a reasonable doubt.
Which of the following best describes the doctrine of "judicial review?"
The right of the judicial branch to determine whether the actions of other branches of government are constitutional.
A large group of shareholders believe that the board of directors of XYZ Corporation have breached their duty of loyalty by making deals with the corporation that benefit the directors personally and harm the corporation. Which of the following is correct?
The shareholders may file a derivative action lawsuit against the directors.
If a trial court judge should "pierce the corporate veil" this would have the following result:
The shareholders will be held personally liable for the debts of the corporation.
Acme Company and Baker Company entered into a contract for the sale of undeveloped land. The buyer (Baker) wanted to use the land to build a new office building, but was concerned that the zoning laws would prohibit such a use in that zone. So he insisted that the contract contain a statement that the contract would only take effect if the local government changed the zoning laws to permit the construction of an office building in that zone. Which of the following is correct regarding this statement in the contract?
The statement is legal under the "condition precedent" doctrine
Kerry was employed by an upscale women's clothing store. After working for them for 6 months she became dissatisfied with how she was treated, especially with their requirement that she work overtime during certain times of the year. She communicated her complaints via advertisements in the local paper. As a result of these advertisements she was dismissed (fired) by the store. Kerry has brought a lawsuit against the store based on an alleged violation of her right to free speech. A court hearing this case would probably rule in favor of:
The store as there was a lack of state action
Todd is an employee of the Yankees. Todd tweets under the twitter name "abc123" vulgar messages about the daughter of Burt Skilling (a professional baseball player). Burt tells the Yankees and the Yankees fire Todd. Todd sues the Yankees alleging they violated his First Amendment right to free speech. How will this case likely conclude?
The suit will be dismissed because of the state action doctrine.
Hangrypedlernwa is an influencer on Instagram. Handrypedlernwa goes to resturants in Northwest Arkansas, samples the food and posts about it on Instragram. He makes an Instagram post about Fannie Mae's Kitchen in the Yacht Club food truck area in Fayetteville. He pays full price for his meal and is not compensated but is hoping that if he gets enough followers on Instagram he will start to get paid to endorse products. What does the FTC require Hangrypedlernwa to do?
There is no duty to disclose because there is not a financial relationship with Fannie Mae's Kitchen
You are the CEO of the Acme Company and have come to realize that there are far fewer female employees than male employees in your work force. To rectify this you are considering establishing a policy that only females will be hired until the number of male and female employees is equal. If this is challenged in court a federal judge would probably hold that:
This is a quota system and is considered illegal by a Supreme Court precedent.
The Acme Company, a small company whose shares are not publicly traded, does business in 12 states and has several million dollars of contracts with the federal government. In order to obtain a more diverse work force Acme has decided that of the next 100 new employees hired at least 75 must be racial minorities. If this hiring practice were challenged in federal court it would probably be held that:
This is a quota system, and is not a legal form of affirmative action based on Supreme Court precedents
Alice, age 24, is an employee of a company subject to the 1964 Civil Rights Act. There was convincing evidence that she was denied a promotion due to the fact that she refused to engage in a sexual relationship with her immediate supervisor. Which of the following is correct?
This is a violation of the civil rights act based on the "quid pro quo" doctrine.
Alice is the president and CEO of Happy Company, a business which is subject to the 1964 Civil Rights Act. She is a big fan of the TV show "Dancing with the Stars." In order to have interests similar to hers, she has instructed the hiring manager to give each applicant a quiz on this TV show and not to hire anyone who failed the quiz. As it turned out more than 75% of female applicants passed this quiz and less than 25% of male applicants passed the quiz. All applicants who failed the quiz were not offered jobs. If this practice were challenged in court it would probably be ruled that:
This is illegal since this hiring practice has a disparate impact on a protected class.
Acme Company is the largest employer in Arkansas. The CEO has determined that women are significantly underrepresented in the workplace. To remedy this problem the CEO instructed the Human Resources Manager to hire only females for the next year or until the underrepresentation problem is solved. Which of the following is correct?
This policy is a quota system which is forbidden under Supreme Court precedents
Eighteen months before filing bankruptcy, Todd sells his motorcycle to his brother for $1 with the agreement that his brother will sell it back to Todd after Todd files for bankruptcy and receives a discharge of his debts. If the trustee can prove that Todd intended to defraud creditors with this transaction, which of the following is likely to happen?
Todd's brother will have to deliver the motorcycle to the trustee as this is a fraudulent transfer.
In which of the following kinds of courts would witnesses be called to testify?
Trial courts.
In which of the following courts would the court normally be expected to hear the testimony of witnesses?
U.S. District Court
In which of the following courts would you normally be entitled have your case heard by a jury?
U.S. District Court
Which of the following courts are courts where a case originates?
U.S. District Court
Jason, Wolverine, and Ethan decide to form a general partnership to provide security services to VIP's. They have no partnership agreement. Jason and Ethan are each going to contribute $50,000, but Wolverine is only going to contribute his services. At the end of their first year the partnership has earned $60,000 in profits. Which of the following correctly describes how profits will be divided among the partners?
Under the UPA Jason, Wolverine and Ethan will each be allocated an equal share, or $20,000 each.
What of the following is a "uniform" statutory law prepared by the National Conference of Commissioners on Uniform State Law?
Uniform Commercial Code
The Family Medical Leave Act provides which protections for employees who have worked for a business for greater than one year and have experienced a coverage event (e.g. newborn infant or serious illness)?
Unpaid leave for 12 weeks with continuation of insurance coverage
Which of the following are examples of secured debt?
Unpaid loan payment for a boat that lists the boat as collateral
Frank performs plumbing services in DeShawn's office building. DeShawn does not pay Frank. What type of debt is this?
Unsecured debt
The Family Medical Leave Act provides what?
Up to 12 weeks unpaid leave with insurance and comparable or same job upon return to work
You are serving on a jury which is hearing a lawsuit filed by a plaintiff who is alleging that a defendant's negligent driving caused the plaintiff serious bodily harm. After hearing the case you determine that it is more likely than not that the plaintiff has proven his allegation that the defendant's negligence caused the plaintiff harm. However you are not sure of this beyond a reasonable doubt. What should you as a juror do in this situation?
Vote in favor of the plaintiff.
Walmart sues a vendor for breaching a contract. Which of the following is correct?
Walmart is the plaintiff
Ted is an employee of Wonderful Company. Ted's duties include making deliveries to Wonderful's customers. If Ted should accidentally run a stop light while making deliveries and harm a third person then under the doctrine of "respondeat superior":
Wonderful Company is liable to the third person for Ted's negligence
OSHA is a federal agency that deals mainly with:
Workplace safety.
Terry has 15 unsecured creditors and has decided to declare bankruptcy. On November 25, 2019 he pays in full his debt to one of the creditors (Acme Finance Company). One week later Terry files for bankruptcy. On behalf of the creditors the trustee makes a claim against Acme demanding that Acme turn over to the trustee the payment which was made to Terry. Is Acme obligated to do this?
Yes, as the payment to Acme was a preference
Kim K. is an influencer on Instagram. Big Deal Vodka is launching its newest product and pays Kim K. to post a picture of herself on Instagram at a party holding a shot of it's vodka. Does Kim K. have to disclose that Big Deal Vodka paid her to post the picture?
Yes, because Kim K. has a financial relationship with Big Deal Vodka.
Without telling his friend Keisha, Bob made a contract on her behalf with a third party. When Bob told Keisha what he had done she happily approved the contract because it was very beneficial to her. Is this contract binding on Keisha?
Yes, because of ratification.
In Fayetteville, owners of Ice Cream Shop, Frozen Yogurt Shop, and Frozen Custard Shop secretly meet and agree to charge $3 for a single scoop of frozen dairy treats. Is this illegal?
Yes, this agreement violates Section 1 of the Sherman Antitrust Act
Activia Yogurt advertised that a daily serving of its yogurt helps prevent colds and the flu. That statement is false. If the FTC pursues a false advertising complaint against the makers of Activia Yogurt will the FTC be successful?
Yes, this appears to be based on scientific evidence
Maria has worked for FedEx for 5 years. This year, she gives birth to a child. Does Maria qualify for leave?
Yes, under FMLA
Mega Co. issues June a cellphone. May Mega Co. intercept an email June sends to her brother on her cellphone using her company email account? June sent the email at midnight and it was about her breakup.
Yes, under the Electronic Communications Privacy Act.
Allen obtained a judgment in a breach of contract case whereby he was awarded $100,000 in damages. In order to avoid paying the judgment the defendant moved to a different state. Allen pursued the defendant, and upon locating him brought an action to have his judgment recognized and enforced by the different state. Is this state required to do so?
Yes, under the Full Faith and Credit clause.
Tammy works for Office Equipment Company as an accountant. Her sole authority is to maintain the accounting records of the company. One day when she is the only one in the office a salesperson comes in and tries to sell Office Equipment Company new furniture. Even though she has no authority to purchase furniture for the Office Equipment Company she does so anyway, believing that the furniture is "super cool" and a "great deal." When the owner of Office Equipment Company returns Tammy tells him about the contract that she made in his absence. The owner was very impressed and thanked her for taking the initiative to make the contract to purchase the furniture. He also contacted the salesperson and told him that he was very excited to purchase the furniture. At this moment in time is the contract to buy the furniture binding on Office Equipment Company?
Yes, under the doctrine of ratification.
Ace Bank lent $125,000 to Jones at a time when both Ace Bank and Jones were residents of Arkansas. Jones defaulted on the loan and was promptly sued by Ace Bank in an Arkansas court and received a judgment in its favor. Jones then moved to Texas. Does Ace Bank have the legal right to have this judgment enforced by legal process in Texas?
Yes, under the full faith and credit clause
Hannah allowed her friend Carol to borrow her laptop computer for a weekend. During that time Carol (without permission from Hannah) sold the laptop to a friend. The next day Carol met with Hannah and told her that she had sold the laptop because "the price was too good to pass up." She gave the money to Hannah, who agreed that the price was outstanding and that she was ecstatic that the laptop was sold. Based on these facts is the contract for the sale of the laptop valid against Hannah?
Yes, under the ratification doctrine.
You love the Target dog so much that you incorporate it into your website. If Target sues you for trademark infringement which of the following is correct?
You are the defendant
You are employed by a company in a "right to work" state. This means that:
You cannot be required to join a labor union
The Full Faith and Credit Clause of the U.S. Constitution requires which of the following?
a state must honor rights established in another state regarding deeds, wills, contracts and court judgments
A patent protects which of the following?
an invention
Jill earns $200,000/year. This level of income is far above the median annual income in her state. She has some outstanding debts and has decided to file a Ch. 7 bankruptcy. Based on these facts a bankruptcy judge will probably do which of the following?
convert her Ch. 7 filing to a Ch. 13 filing.
A creative work in a tangible medium, such as a song or book is protected by ________________ law.
copyright
Starla is Tik Tok famous. She creates original dances using 15-second song clips offered by Tik Tok. Those song clips are protected by which type of intellectual property law? (btw Tik Tok pays for those song clips)
copyright
Characteristics of sole proprietorship?
easy to form and manage; owner pays taxes; unlimited liability
Liability of Principal on Contract?
express authority, implied authority, apparent authority, ratification
Agency is a ________________ relationship where the _________________ consents that the _____________acts on behalf of the principal and is subject to the principal's control.
fiduciary, principal, agent
If you want to form a corporation in Arkansas, what do you have to do?
file Articles of Incorporation with the Arkansas Secretary of State, including name of corporation, incorporators, and registered agent
Characteristics of LLC?
formed by filing with state official; separate legal entity; easy to manage; pass-through taxation; limited liability
Characteristics of C Corporation
formed by filing with state official; separate legal entity; more complex management; double-taxation; limited liability
A patent protects which of the following?
invention that is novel, useful, and non-obvious
Some professions require members of the profession to pass an ethics exam and follow an ethical code. Which of the following professions have that requirement?
lawyers and certified public accountants
A ______________________ is a contract granting a person or firm permission to use a copyright, patent, or trademark for a limited time and in a limited manner.
license