BUL 3130 Midterm

prevention

A snack food company places a warning label that its snacks may contains nuts and other allergens. This is an example of which liability-reduction strategy?

false (fully and personally liable for business debts)

A sole proprietor has limited personal liability. True or False?

false

A sole proprietor must go through many levels of approval before selling his or her business. True or False?

true (not a separate entity, so all taxes are reported and paid on individual owner's return.)

A sole proprietorship does not does not pay taxes at the business level. True or False?

False

A statute of limitations (requiring a case to be brought within a certain period of time) is an example of a substantive law. True or False?

true

T or F? The Organization of the Petroleum Exporting Countries (OPEC) sets quotas on the output of oil production by its individual member nations.

true

T or F? The Supremacy Clause establishes that state and local laws that conflict with the US Constitution and federal treaties are unconstitutional.

False

T or F? The World Trade Organization (WTO) dispute settlement body is the first body to hear a settlement dispute among member nations.

false (Arbitration is a method to resolve lawsuits without court intervention; Joinder is joining into a lawsuit.)

T or F? The act of people interested in the lawsuit joining as parties to an existing lawsuit is called arbitration.

True

T or F? The power of the International Court of Justice is checked by the Security Council.

false (Federal law always preempts state and local law. States and local governments can make laws that are consistent with federal law, but cannot make laws that conflict with federal law.)

T or F? The preemption doctrine sometimes allows local law to take precedence over federal law.

true

T or F? The principal is liable for the tortious conduct of an agent who is acting within the scope of his or her authority.

True

T or F? Typically, nations are exempt from jurisdiction in other nations' courts.

false

T or F? Under the CISG, an offer cannot be revoked at any time.

False

T or F? Voir dire is the process whereby the jurors ask prospective judges questions to determine whether they would be biased in their decisions.

true

T or F? When the states ratified the Constitution, they delegated certain powers, including the right to coin money, to the federal government.

executive

The ________ branch of the federal government has the power to enforce the law. -judicial -legislative -executive -commissary

legislative branch (this is Congress)

The ________ is responsible for making federal law. President -state government -legislative branch -Supreme Court -Secretary of State

principal

The ________ is the party who employs another person to act on his or her behalf. -Agent -Employee -Independent Contractor -Third Party Beneficiary -Principal

Establishment Clause

The ________ prohibits the government from promoting one religion over another. -Due Process Clause -Privileges Clause -Establishment Clause -Bill of rights separation of powers -Free Exercise Clause

Preemption Doctrine

The ________ provides that federal law takes precedence over state or local law. -Bill of rights -Due Process Clause -Free Exercise Clause -First Amendement -Preemption Doctrine

bicameral (The House of Representatives and the Senate)

The legislative branch of the U.S. federal government is ________. -Monocameral -bicameral -tricameral -polycameral -Monolithic

True

T or F? The INCO only covers sale between two merchants.

True

T or F? The International Monetary Fund is an example of an autonomous agency that is a part of the UN.

false (The Constitution can be modified by its amendments.)

The Constitution cannot be modified. T or F?

false

The executive branch of the US government is responsible for making laws. True or False?

Jury

Who is the finder of fact in a jury trial? -Judge -Jury

supervisor

A ______________ is an employee of a company who is empowered by the company to take tangible employment actions against other employees. -employer -coworker -supervisor -manager

Securities Law

A company's sale of stock shares is mainly governed by which type of law?

True

A defendant can answer a complaint and file a cross-complaint at the same time. -True -False

False

A deposition is oral testimony given by a party or witness during the trial. -True -False

Disparate impact

A facially neutral practice that has an unlawful adverse impact on members of a protected class is known as: -Disparate Treatment -Mixed Motives -Disparate Impact -Lawful Discrimination

Intermediate Scrutiny

A group of students organizing a protest march would be an instance of limited protected speech. If a law was passed prohibiting the students from doing so, and such law were challenged, it would be analyzed under: -Rational Basis Review -Intermediate Scrutiny -Strict Scrutiny -none of the above

Strict Scrutiny

A law which taxes individuals of European descent higher than it taxes other citizens would face which level of scrutiny? -Rational Basis Review -Intermediate Scrutiny -Strict Scrutiny -Either Rational Basis Review or Intermediate Scrutiny

Either Intermediate or Strict Scrutiny

A law which taxes women at a higher rate than men, if challenged, would be subject to which level of scrutiny. -False -Intermediate Scrutiny -Strict Scrutiny -Either Intermediate or Strict Scrutiny

false (A plaintiff must have standing to bring a case.)

A plaintiff does not necessarily need to have a direct stake in a case to file a lawsuit against another party. T or F?

Either Intermediate or Strict Scrutiny (Commercial speech is typically analyzed under intermediate scrutiny, but since this is a blanket ban, it could face strict scrutiny.)

A town passes a law that commercials advertising hybrid cars cannot be aired. This law would likely be subject to which level of scrutiny, if challenged. -Rational Basis Review -Intermediate Scrutiny -Strict Scrutiny -Either Intermediate or Strict Scrutiny

principal-agent relationship

A(n) ________ is a relationship formed when an employer hires an employee and gives that employee authority to act and enter into contracts on his or her behalf. -principal-agent relationship -employer-employee relationship -agent-agent relationship -agent-independent contractor relationship -Trustee

False (Direct examination comes first and then the cross examination follows.)

After a defendant's witness in a trial is sworn in, he or she is cross-examined by the plaintiff's attorney. T or F?

False (All members have agency authority to bind the LLC into contracts)

Agents of an LLC are not permitted to enter into contracts on behalf of the LLC. True or False?

false (Many employees are at will, and can make decisions on behalf of their employer.)

An at-will employee can never make a decision that binds the employer-company. T or F?

reasonably accommodate

An employer must _____________ the religious observances, practices, or beliefs of its employees, provided that doing so would not cause an undue hardship on the employer. -always accommodate -absolutely accommodate -never accommodate -reasonably accommodate

Rational Basis Review

An tax on the popular streaming service Netflix, if challenged, would likely be subject to which level of scrutiny? -Rational Basis Review -Intermediate Scrutiny -Strict Scrutiny -Any of the above

regulatory

Another term for "administrative law" is __________________ law.

true (This falls under the agent's duty to account.)

Any property, money, or other benefit received by the agent in the course of an agency belongs to the principal. T or F?

True

BrevardCo applies for a permit to do business in Canada. The permit is denied, and a director of BrevardCo takes the head of the permitting department out to a lavish dinner. This violates the FCPA. T or F?

false

Businesses that are organized in the United States are subject to its laws, but not to the laws of other countries in which they do business. True or False?

At-Will

Christine was hired to be a director, a very prestigious position, at Coffee Corporation. Her salary is $300,000. She does not have an employment contract. Christine is a(n) ___________ employee. -Term -At-Will -Mixture of term and at-will -None of the above

compensate a party

Civil laws are designed to ___________________ for a loss.

all of the above

Courts of limited jurisdiction include? -US Tax Court -US Bankruptcy Court -Court of International Trade -All of the above

The federal government imposes an additional 100 percent tax only on Fierra cars being sold in North Carolina.

Fierra Inc. is a German automobile manufacturer that has a 5 percent market share in the United States' automobile market. The company has a unit in North Carolina that imports Fierra automobiles from its parent company in Germany and assembles them. Which of the following measures is in accordance with the Commerce Clause? -The government of North Carolina imposes an additional ten percent tax on Fierra cars. -The government of North Carolina asks Fierra Inc. to shut down its import unit in the state. -The federal government imposes an additional 100 percent tax only on Fierra cars being sold in North Carolina. -All of the above

true (Taxes are passed through to the individual partners (no tax is paid on the entity level).

General partnerships do not pay federal income taxes. True or False?

George could recover regardless of his gender.

George claims to have been sexually harassed by his supervisor, Harry. The most likely outcome of an investigation is: -George will never be able to recover because he and Harry are both men. -George will never be able to recover because he is not part of a protected class. -George could recover regardless of his gender. -George could recover, but only if he could prove that Harry did not realize George was a man.

For example, for Muslim employees, employers could be reasonably accommodating by allowing longer or extra 15 minutes breaks for the employees to pray.An unacceptable request by an employee for religious observance that is not reasonable is requesting 30 days off of work for Ramadan. (5/5)

Give an example of a reasonable accommodation an employer could give an employee for religious observance. Give an example of a request by an employee for religious observance that would not be reasonable.

Antitrust Law

If a company acquires too much market share in a particular industry, what area of law would be expected to have an impact on that company?

Preponderance of the evidence

If a plaintiff brings a civil lawsuit against another party for breach of contract, which burden of proof applies? -Probable cause -Clear and convincing evidence -Preponderance of the evidence -Proof beyond a reasonable doubt

plaintiff (the plaintiff has to prove the facts)

If a plaintiff sues another party for breach of contract, the burden of proof is on which party? -Plaintiff -Defendant

strictly liable

If a supervisor harasses a company's employee, the company is ______________ if a tangible employment action is taken against the victim.

Plaintiff

In a civil case, the party who files a complaint is called the ________. -Bailiff -Plaintiff -Defendant -Prosecutor -Third Party Intervenor

judge

In a jury trial, who is the finder of law? -Judge -Jury

false

In a sole proprietorship, the business is considered a separate legal entity from the proprietor. True or False?

true (Some powers are enumerated to the federal government by the constitution. Other powers belong to the states.)

In federalism, the federal government and the state governments share powers. T or F?

Ireland will do nothing and let its citizen serve prison time in the United States.

It is legal to take and sell methamphetamine in Ireland. A citizen of Ireland comes to Florida for 2 weeks, on vacation. While in Florida, the Irish citizen meets a Canadian citizen, also on vacation, and sells methamphetamine to the Canadian. In Canada, it is, legal to take and sell methamphetamine. Both citizens are arrested in Florida, tried in a Florida court, and found guilty, which carries a sentence of 3 months in prison. What is the most likely outcome? -Ireland will require the United States to send its citizen back to Ireland, and the citizen will serve 3 months' prison time in Ireland. -Ireland will do nothing and let its citizen serve prison time in the United States.

Criticizing the current president is fully protected speech and Jerome cannot be prosecuted.

Jerome wears a t-shirt that bears a picture of the current U.S. president. Under this picture, there are words which imply that the President is doing a bad job of running the country. In accordance to the Freedom of Speech Clause, which of the following is valid? -Criticizing the current president is fully protected speech and Jerome cannot be prosecuted. -Jerome could be arrested as his t-shirt violates the Freedom of Speech doctrine. -Jerome wearing that t-shirt is an instance of limited protected speech. -Jerome displayed the right to freedom of religion -Wearing that t-shirt makes Jerome liable for prosecution on the basis of defamatory language

Yes, because she is paid hourly, has a direct supervisor, and has a day-to-day relationship with ABC Corporation.

Jessica works for ABC Corporation as a data entry technician. Jessica's work schedule at ABC Corporation is irregular (her supervisor tells her when she needs to come in at the beginning of every month), but she is paid $15 per hour, and always works 40 hours per week. Jessica also teaches piano lessons. If Jessica loses her job from ABC Corporation and attempts to collect unemployment, would she be considered an employee of ABC Corporation? -Yes, because she works 40 hours per week. -No, because her schedule is irregular. -Yes, because she is paid hourly, has a direct supervisor, and has a day-to-day relationship with ABC Corporaiton. -No, because she also teaches piano lessons.

John might be able to recover if he can demonstrate that he was treated unfairly because of his race.

John, a Mexican-American employee, is fired from his job for using foul-language to a customer. During litigation, it is revealed that in the meeting where the decision to terminate the employee was made, the employee's supervisor stated "John should be fired because he acted inappropriately to a customer." Another supervisor (who does not supervise John) said "John must go because he doesn't fit in culturally with the rest of us". If John brings a discrimination suit against the company that fired him, the most likely outcome is: -John will not be able to recover because he was not discriminated against. -John will not be able to recover because his company had a legitimate reason to fire him. -John might be able to recover if he can demonstrate that he was treated unfairly because of his race. -John might be able to recover because his race had a disparate impact on the situation.

Georgia can appeal to the federal authority which can stop imports from Kingsland.

Kingsland is a country that has been exporting apples to the United States for over a century, shipping 300 tons to Georgia each month. However, last month, Kingsland violated a trading norm which was not condoned by Georgia. Which of the following measures should be taken to regulate apple imports from Kingsland? -Georgia can stop trading with Kingsland after serving a notice. -Georgia can stop trading with Kingsland without serving a notice. -Georgia can appeal to the federal authority which can stop imports from Kingsland. -Georgia can secede from the union -Georgia can make Kingsland export its apples to North Carolina.

False (LLCs are created under state law)

Limited liability companies are created by federal law. True or False?

false (Limited partners are not liable beyond the amount of their contribution.)

Limited partners have unlimited personal liability for the debts and obligations of the limited partnership. True or False?

express agency

Marlon intends to sell a piece of real estate he owns and contracts Nita, a real estate broker, to make the sale. In the contract, Marlon authorizes Nita to make the sale at or above a minimum price he wants and the date by which he wants the sale to be completed. The contract also stipulates that Marlon should not hire another broker to sell that piece of land till the expiry of the contract period. Nita finds a suitable buyer, makes the sale in time, and is paid by Marlon for her services. Which of the following types of agency had Marlon and Nita entered into? -agency by ratification -implied agency -apparent agency -no agency relationship exists -express agency

Martin

Martin, who wants to sell a house he owns, authorizes his concierge, Wilhelm, to find a potential buyer, and finalize a deal above a stipulated price. Wilhelm contracts Chris, a real estate broker, and intends him to only find a potential buyer and send them over to Wilhelm for the sale. Martin then contracts ReNowait Goodhouses, a home improvement company to renovate the house. ReNowait completes their work and Martin pays them. Chris then searches for a suitable buyer and finds one in George. George buys the house and Chris is paid for his services. Who performs the role of the principal in this land sale transaction? -Chris -Martin -George -Wilhelm -All would be considered Agents

Bakery Time will receive money from X Corp for the most recent cake they made for them after Matthew is confronted and explains his intentions. Matthew will likely be reprimanded and possibly fired for not asking the higher ups or principal in the company for approval to use the company credit card to order the cakes. (7/10)

Matthew is an employee of X Corp. He routinely throws birthday celebrations for the other employees that are members of his team. For these celebrations, he orders cakes from Bakery Time and pays for the birthday cakes with his company credit card. After a year, the accounting department notices the charges for Bakery Time, and disputes the most recent charge. The credit card company does not pay Bakery Time for the most recent cake, and Bakery Time sues X Corp. for the money. What is the most likely outcome?

false

OSHA - the Occupational Health and Safety Administration is an example of a state administrative agency. True or False?

Summons

Once a complaint has been filed with the court, the court will issue a ________, directing the defendant to appear in court. -Answer -Rejoinder -Summons -Subpoena Duces Tecum -Summary Judgment

burden of proof

Once a plaintiff makes a prima facie case against an employer, the _______________ switches to the employer.

False

Party A cannot bring a lawsuit against Party B unless Party B has violated a statute. True or False?

False (Questions involving race must meet strict scrutiny.)

Questions arising under the Due Process Clause which involve race are typically subject to rational basis review. T or F?

true (Share of profits indicates ownership as partners/a partnership)

Receipt of a share of business profits is prima facie evidence of a general partnership. True or False?

state government (The state reserved powers that it did not give to the federal government through enumeration.)

Reserved powers are given to the ________ by the Constitution -federal government -judiciary -state government -administrative agencies -US Congress

Negotiation

Rita Fuller and Robert Morgan are contending parties to a lawsuit involving the division of their inheritance from their grandmother. They wish to settle their case out of court. Rita and Robert engage in discussions and bargaining in the presence of their attorneys and finally conclude that Robert keeps 60 percent of the inheritance while Rita gets the remainder. This is an example of: -Negotiation -Arbitration -Mediation -Bench Trial -Jury Trial

The invoice's forum selection language will be viewed as evidence that the parties agreed to forum in France.

Sabate, a French company, and Chateau, a Canadian company, enter into a contract via telephone (no written contract exists) under which Sabate will sell wine corks to Chateau. After selling 1.2 million corks to Chateau, Sabate begins to send an invoice to Chateau which states that the forum for any litigation between the parties will be France. If Chateau tries to sue Sabate in Canada, the most likely outcome is: -The invoice's forum selection language will be viewed as evidence that the parties agreed to forum in France. -The invoice will not be considered at all because the original contract was not in writing. -The invoice will not be considered at all because Chateau did not sign it. -The invoice will be considered conclusive evidence of the parties' agreement to litigate in France.

none of the above

Several Chinese ex-patriots living in the United States brought suit against the Chinese President, alleging various human rights violations, including torture and genocide. If the ex-patriots sue the Chinese President in the American court system, the most likely outcome is: -Because of the nature of the crimes, the Chinese President will be tried and brought to justice. -The Chinese President likely has sovereign immunity, and the case will not be heard. -The case will be remanded to a Chinese court of law. -None of the above.

false (this is the Establishment Clause)

T or F? The Equal Protection Clause of the Fourteenth Amendment provides that a state cannot promote one religion over other religions.

equity

Specific performance is an example of a remedy at ____________. -Equity -Statute -Admission -All of the above -parties to a lawsuit

True

State courts of one state are not required to follow the legal precedent established by the courts of another state. True or False?

true (This power is reserved to the federal government (via the Commerce Clause).

State governments do not have the power to regulate commerce with foreign nations. T or F?

False

T or F? A United States citizen could never be subject to Rabbinic jurisprudence, which is law administered and decided by a rabbi.

false

T or F? A principal is not bound to contracts made by an agent who does not have express authority to enter into such contracts.

false

T or F? An agent does not owe a duty to notify the principal of important information he learns concerning the agency.

true

T or F? An employee who enters into a contract without her supervisor's permission can bind her employer.

false

T or F? An employee who has been unfairly discriminated that either file a complaint through the EEOC or in local court.

false

T or F? An express agency contract cannot be orally agreed upon.

false (Federal statutes can be challenged, and found to conflict with the Constitution.)

T or F? By definition, federal statues cannot be unconstitutional.

False (This is not the purpose of the concept of "checks and balances". This concept ensures that one branch of the government is not too powerful over another branch.)

T or F? Checks and balances built into the Constitution ensure that amendments to the Constitution are not contradictory to existing laws.

true

T or F? Generally, the liability of LLC members for debts of the LLC is limited to the extent of their capital contribution and therefore they are not personally liable for the LLC's debts, obligations, and liabilities beyond their contribution.

true

T or F? If the defendant does not answer the complaint, a default judgment is entered against him or her.

False (Typically, the contract would have a forum-selection clause that would clarify which country would have jurisdiction over the case.)

T or F? If there is a dispute between businesses in two nations, the dispute automatically goes to the World Trade Organization.

true (SOL begins to run when the plaintiff first has the right to sue)

T or F? In a case of personal injury due to an accident, the statute of limitations begins to "run" at the time the accident occurs.

false

T or F? In a hostile work environment case, courts are prohibited from taking into consideration evidence of prior acts of discrimination; the case at hand must be analyzed on its merits alone.

False

T or F? In deciding the motion for judgment on the pleadings, the judge can consider facts beyond what is set forth in the pleadings, if the judge is aware of them.

false

T or F? Laws that take away a fundamental right are analyzed using rational basis review.

false (this would be analyzed under strict scrutiny)

T or F? Most laws that restrict the content of speech are analyzed under intermediate scrutiny.

false

T or F? Principals cannot be liable for losses resulting from agents who act outside their scope of authority.

False (For a corporation, liability is limited to the amount a shareholder pays for its shares.)

T or F? Shareholders have unlimited liability for the debt and obligations of a corporation.

False (They own the corporation but cannot act on its behalf or bind the corporation.)

T or F? Shareholders of a corporation act as agents of the corporation

false (Procedural due process requires this)

T or F? Substantive due process requires that that the government give a person proper notice and hearing of legal action before that person is deprived of his or her life, liberty, or property.

false (this describes the commerce clause)

T or F? The Due Process Clause of the U.S. Constitution grants Congress the power "to regulate commerce with foreign nations, and among the several states, and with Indian tribes."

True

The English common law system relied heavily on precedent. True or False?

true

The Establishment Clause guarantees that there will be no state-sponsored or promoted religion. T or F?

False

The International Monetary Fund requires that every country in the European Union accept the Euro as currency. T or F?

false (The Legislative Branch has the power to impeach the president, not the judicial branch. The judicial branch can check the power of the legislative branch, by invalidating laws.)

The Judicial Branch has the power to impeach the President for certain activities, such as treason, bribery, and other crimes. T or F?

False

The U.S. Constitution prohibits citizens of the United States from being tried in any international court. -True -False

False

The United Nations is charged to take enforcement actions to ensure member compliance with the European Union. T or F?

true

The concept of federal law taking precedence over state or local law is called the preemption doctrine. T or F?

true (doing business as)

The designation of d.b.a. refers to the description for a business that is operating under a trade name. True or False?

false (All partners are liable for debts of the partnership upon dissolution, and incoming partners are liable for debts after becoming a partner.)

The dissolution of a general partnership discharges the liability of an outgoing partner for existing partnership debts and obligations. True or False?

all of the above

The doctrine of stare decisis: ? -is based on common law tradition -works with case law decided by judges -creates consistency through the use of precedents -all of the above

the proprietor's personal income tax filing

The earnings and losses from a sole proprietorship are reported on ________. -the federal income tax filing document for the business -the business license that is renewed each year -the proprietor's personal income tax filing -the state income tax filing document -Federal estate and gift taxation form

Bill of Rights

The first ten amendments to the U.S. Constitution are collectively known as the ________. -Due Process Clause -Privileges Clause -Bill of Rights -Articles of Confederation -Prememble Clause

all of the above

The following are methods of alternative dispute resolution (ADR) -Negotiation -Arbitration -Mediation -All if the above

strict scrutiny

The following level of scrutiny would be applied to a case involving racial discrimination. -Rational Basis Review -Intermediate Scrutiny -Strict Scrutiny -Any of the above

true (One of the enumerated powers of the federal government is the right to enter into treaties with other countries.)

The state of Florida enters into a treaty with Cuba allowing cigars from Cuba to be imported into Florida. This is likely unconstitutional.

False

There are two major court systems in the United States the federal court and the bankruptcy courts. True or False?

true

To form a corporation, articles of incorporation must be filed with the secretary of state of the state of incorporation. T or F?

true

True or False? A member is the owner of an LLC.

true

True or False? The income or losses of an LLC "flow through" to the members' individual income tax returns which avoids double taxation.

False

Typically, individual citizens are exempt from jurisdictions of other nations' courts. T of F?

False

US Supreme Court justices are appointed by the president and then affirmed every 4 years by a vote of the general population. True or False?

false (the seller has an absolute right to cure)

Under the CISG, a buyer must approve of a seller's attempt to cure before the seller may begin to cure delivery of non-conforming goods. T or F?

true (profits paid last)

Upon dissolution, profits are paid out to partners only after creditors and capital contributions have been satisfied. True or False?

True

Valid federal laws take precedence over any conflicting state or local laws. True or False?

control and direction

Whether an employee is an agent of the employer depends on the amount of __________________ that the principal has over the agent.

Plessy v. Ferguson

Which Supreme Court case is most well known for holding that states can maintain separate facilities for different groups, as long as those facilities are equal? -Brown v. Board of Education of Topeka -Engel v. Vitale -San Antonio Independent School District v. Rodriguez -Plessy v. Ferguson

Brown v. Board of Education of Topeka

Which Supreme Court case overturned Plessy v. Ferguson, and the doctrine of "separate but equal"? -Brown v. Board of Education of Topeka -Marbury v. Madison -Wisconsin v. Yoder -Plessy v. Fergusion, and the doctrine of "separate but equal" is technically still good law

rational basis review

Which level of review is the least stringent?

When a group of plaintiffs collectively bring a lawsuit against a defendant.

Which of the following describes a "class action"? -An instance where there are no factual disputes to be decided by the jury. -Where the defendant has multiple grounds for appeal. -When a group of plaintiffs collectively bring a lawsuit against a defendant. -Where the plaintiff does not reply to the defender's cross-complaint. -Where similar cases have been submitted on appeal.

defamatory language

Which of the following is a form of unprotected speech? -offensive speech -defamatory language -commercial speech -political speech -None of the above are protected

The government provides subsidies to farmers, but not to carpenters or lumberjacks.

Which of the following is an example of a decision involving the Equal Protection Clause which would be made on the basis of the rational basis test? -The government requires only men above the age of 18 to volunteer for military service. -The government establishes a trust fund to provide financial aid to minority groups. -A state government employs measures to improve living conditions in the reservations -The government provides free health care -The government provides subsidies to farmers, but not to carpenters or lumberjacks.

personal property laws

Which of the following is enacted under state police power? -personal property laws -intellectual property laws -corporate governance laws -equal opportunity laws -Search and seizure rights of the federal government

An LLC is not taxed at the entity level. but income and losses flow through member's individual returns.

Which of the following is true of LLC taxation? -An LLC is taxed as a corporation in all general cases. -Income or losses of an LLC do not flow through to the members' individual income tax returns. -Members of an LLC are subject to double taxation. -An LLC is not taxed at the entity level. but income and losses flow through member's individual returns. -An LLC pays both entity level and personal level taxes.

An LLC is regarded a separate legal entity from its members.

Which of the following is true of an LLC? -An LLC is a creature of federal law. -An LLC is regarded a separate legal entity from its members. -An LLC cannot hold title to property. -The owners of an LLC are called general partners or specific partners. -All of the above.

no state government approval is required

Which of the following is true of creating a sole proprietorship? -No state government approval is required. -Federal taxation is levied upon sole proprietorship -No licenses are required to do business within a city or state -Special permission must be obtained to receive a sole proprietorship status. -None of the above

General partnerships can be either formally documented or implied from the conduct of the parties.

Which of the following is true of general partnership? -A business should make a profit in order to qualify as a general partnership. -The general partners need not be the co-owners of the business. -General partnerships can be either formally documented or implied from the conduct of the parties. -Charity organizations and schools are mostly formed from general partnerships.

The number of shares the corporation is authorized to issue

Which of the following must be included in the articles of incorporation? -The minutes of the first organizational meeting of the board of directors. -The number of shares the corporation is authorized to issue. -The dissolution terms of the corporation. -The corporate seal must be used in the articles of incorporation. -The value of preferred stock.

State Statutes

Which of the following sources of law is created by a legislative body? -Constitutional Law -State Statutes -Case Law -Common Law -All of the above

The plaintiff's attorney questions its own witness who after the witness has been questioned by the defendant's attorney.

Which of the following statements best describes re-direct examination? -The plaintiff's attorney questions its own witness who after the witness has been questioned by the defendant's attorney. -The plaintiff's attorney questions the witness before he or she is questioned by the defendant's attorney. -The defendant's attorney presents evidence during the questioning of the plaintiff's witness. -The defendant's attorney questions the witness before he or she is questioned by the plaintiff's attorney.

Arbitration yields a decision, mediation yields a recommendation

Which of the following statements best represents the distinction between arbitration and mediation? -Unlike arbitration, mediation takes place at a court, in the presence of a judge. -In arbitration, lawyers are not present. -A mediator can recommend settlement to a judge. -Arbitration yields a decision, mediation yeilds a recommendation -Arbitration implies that the arbitrator's decision must be reinforced by the courts.

Regulation of foreign commerce is left to the federal government.

Which of the following statements is true of the Commerce Clause as it pertains to foreign commerce? -Regulation of foreign commerce is left to the federal government. -A state can enact a law that forbids a foreign country from doing business in that state, if that country engages in activities that are not condoned by that state. -Direct regulation of foreign commerce by the federal government violates the Commerce Clause. -States cannot conduct interstate commerce with imported goods.

Any state or local law that "directly and substantially" conflicts with valid federal law is preempted

Which of the following statements is true of the Supremacy Clause of the U.S. Constitution? -A particular federal statute cannot exclusively regulate a specific area or activity. -Any state or local law that "directly and substantially" conflicts with valid federal law is preempted -A particular federal statute can expressly provide for exclusive jurisdiction. -Any state or local law that "directly and substantially" conflicts with valid federal law is held valid until such a time that the relevance of the federal law is tested and held in harmony with the cultural diversity in the state. -None of the above

There is no single legislative source from which all international laws are created.

Which of the following statements is true with regard to international law? -All legal matters of international importance are prosecuted by a single world court that is responsible for interpreting international law. -The enforcement of all international laws is regulated by a unitary world executive branch. -There is no single legislative source from which all international laws are created. -All countries have to follow the international laws enacted by other countries. -None of the above

1. Matthew stole the company credit card to pay for the cakes behind X Corp's back. 2. When the cakes arrived each time, Matthew told X Corp that the cakes were complimentary or that he bought them himself for the birthday parties from Bakery Time. 3. Matthew bought the cakes off the clock and X Corp is not liable as Matthew was not working under them at the time of purchase. (8/10)

X Corp. (from the above question) is trying to argue that it should not be liable to Bakery Time for Matthew's charges. List 3 fact that, if true, would strengthen X Corp.'s case.

Articles of Organization

___________________ refer to the formal documents that must be filed at the secretary of state's office of the state of organization of an LLC to form the LLC. -Operating Agreements -Certificates of interest -Articles of Organization -Articles of amendment -By laws