Business Law 2 Exam #1 Briefs

Jackson and Timberlake were independent contractors when they performed at the Super Bowl half time show because they were hired for a one time performance and had control over the content of their performance. The doctrine of respondeat superior does not apply to independent contractors, so CBS is not liable

What was the main idea of the CBS Corp v. FCC case?

When they guaranteed payment from Srour, Srour's attorneys were acting with implied warranty of authority; this doctrine makes a third party liable to a principal's breach of contract because they made promises on her behalf without the authority

What was the main idea of the DePetris & Backrach, LLP v. Srour case?

The trial court was correct in including goodwill in the estimate of Dixon's partnership interest since Dixon took public defense clients and he did not profit from clients that weren't his. Dixon taking his clients with him when he dissociated is not relevant to the goodwill calculation because clients are not commodities.

What was the main idea of the Dixon v. Crawford, McGilliard, Peterson & Yelish case?

the golf director, Fleming, did not have actual authority to lease the golf cart because he was not authorized to enter any financial agreements, he did not have apparent authority because his job title is limited to the day to day operations of the golf course, his boss immediately cancelled the transaction when he became aware of it

What was the main idea of the Frontier Leasing Corp v. Links Engineering, LLC case?

the camp counselor, Newton, told Gniadek that he was no longer employed by the camp so he therefore did not have apparent authority through the camp; the camp is not liable for Newton's actions

What was the main idea of the Gniadek v. Camp Sunshine at Sebago Lake, Inc. case?

Andover Management cannot use the business judgment rule to justify hiring Ivy as their investment manager because a trustee has a duty to employ diligence and prudence. Andover Management violated this duty since they did not investigate Madoff's strategies and they cannot be insulated from liability.

What was the main idea of the Hect v. Andover Association Management Co. Case?

The company could not just be reorganized from an LLP to an LLC to cut out Lach and take away her voting rights. The LLC and Wiseman breached their fiduciary duty and violated KRS 362.490 since the partnership agreement required the approval of all of the limited partners to make this decision.

What was the main idea of the Lach v. Man O'War LLC case?

the supreme court has the authority to review acts of Congress and determine if they are unconstitutional (judicial review) because courts must interpret the law

What was the main idea of the Marbury v. Madison case?

Terrance did not treat this arrangement as an estate planning device since the children were not gifted at the right time and since he freely transferred money between the partnership and other business entities. This means that the partnership is part of the marital assets of the Mosers and it is included in the division of their marital assets.

What was the main idea of the Moser v. Moser case?

NBN had the right to file a new lawsuit against Sheridan even though the trial court already ruled against them in another case because the doctrine of res judicata allows another suit to be filed if significant subsequent events have occurred

What was the main idea of the NBN Broadcasting, Inc. v. Sheridan Broadcasting Networks, Inc. case?

When a partnership is dissolved, if continuing the business will allow for a better liquidation price then the remaining partners can do so. Paciaroni and Cassidy had the right to continue racing Black Ace as long as they compensate the dissociated partner, Crane, for his monetary investment

What was the main idea of the Paciaroni v. Crane case?

Jackson and Rasmussen did not have a partnership because under RUPA you must have joint ownership of a business and share in the profits in order for it to be a partnership; Rasmussen was in control financially and managerially of his own land

What was the main idea of the Rasmussen v. Jackson case?