Business Law - Chapter 1-4

A person will not be liable for the tort of wrongful interference with a contract or business relationship if it can be shown that the interference was

All of these choices

A controlling precedent is any legal authority or source of law that a court may look to for guidance but need not follow when making its decision. True or False

False

A federal statute applies only to those states that agree to apply it within their borders. True or False

False

A law based on a suspect trait will NOT stand under the equal protection clause even if it is necessary to promote a compelling government interest. True or False

False

A law based on a suspect trait will not stand under the equal protection clause even if it is necessary to promote a compelling government interest. True or False

False

A secondary source of law establishes the law on a particular issue. True or False

False

An administrative legislative rule is NOT legally binding on businesses. True or False

False

An intentional tort does not require intent. True or False

False

An unwelcome kiss can be considered an assault. True or False

False

Any court can exercise jurisdiction over any property, no matter where it is located. True or False

False

Because courts of law and equity have merged, the principles of equity are no longer applied. True or False

False

Because laws may change, the ability to analyze and evaluate the legal ramifications of situations as they arise is NOT a lasting skill. True or False

False

Because laws may change, the ability to analyze and evaluate the legal ramifications of situations as they arise is not a lasting skill. True or False

False

Because social media is so widespread, it is legal and ethical for a company to have social media policies limiting employees from criticizing the company. True or False

False

Company codes are the same as laws. True or False

False

Comparative negligence is rarely used in negligence actions. True or False

False

Compartmentalizing the law into discrete topics indicates that each business transaction is subject to only one specific area of the law. True or False

False

Discovery includes the process of serving a summons, and a copy of a complaint on a defendant. True or False

False

Ethics simply looks at whether a decision (or act) is legal or illegal. True or False

False

Even if it conflicts with the U.S. Constitution, a state constitution is supreme within that states' borders. True or False

False

Federal agency regulations do NOT take precedence over conflicting state regulation. True or False

False

If a party is unhappy about the decision of their case in their state supreme court, and it was a case involving state law, they can appeal it to the Federal Supreme Court. True or False

False

If the plaintiff gives consent to the outrageous conduct that leads to an intentional infliction of emotional distress claim, the lawsuit is likely to proceed. False

False

If the plaintiff gives consent to the outrageous conduct that leas to an intentional infliction of emotional distress, the lawsuit is likely to proceed. True or False

False

In a criminal case, the object is to obtain a remedy. True or False

False

In some circumstances, individuals will be liable for defamatory statements because they enjoy immunity. True or False

False

Intent cannot be transferred when a defendant intends to harm one individual, but unintentionally harms a different person. True or False

False

Interrogatories consist of oral testimony given by a party under oath. True or False

False

Jeff threatens Alison with a gun and then shoots her. The firing of the gun is both assault and battery. True or False

False

Judging a job application based on what an online search reveals about the applicant's activities outside the workplace, or their social media posts is universally viewed as ethical True or False

False

Judicial Review is the process through which Congress approves or rejects judicial appointments. True or False

False

Judicial proceedings and certain government proceedings do not grant absolute privilege. True or False

False

Jurisdiction refers to the ability of a citizen to bring a case before a court. True of False

False

Legal encyclopedias, law review articles, and treatises are sources of primary law. True or False

False

Making ethical decisions is most often best done by analyzing objective standards (such as profit or number of people fired), instead of subjective impacts on stakeholders True or False

False

More than half of the state have placed caps of $1,000,000 on noneconomic general damages True or False

False

Slander is defamation in writing or another permanent form such as a digital recording. True or False

False

Special damages compensate plaintiffs for unquantifiable monetary losses. True or False

False

Subject matter jurisdiction refers to whether a court is located in the area in which the plaintiff or defendant live. True or False

False

The Fifth Amendment allows persons to be deprived of property without due process of law. True or False

False

The Fraud Reduction and Data Acts is used to identify and assess fraud risks in private companies. True or False

False

The UCC is a uniform law that most states have adopted to govern commercial transactions. True or False

False

The commerce clause has had NO greater impact on business than any other provision in the Constitution. True or False

False

The purpose of tort law is to provide remedies for the invasion of various securities. True or False

False

The study of business law does not involve an ethical dimension.

False

The triple bottom line is a measure that includes: a corporation's profit, its impact on people, and how the corporation feels about it. True or False

False

To establish defamation, a plaintiff does not have to prove that the defendant made a false statement of fact. True or False

False

Truth is normally not an absolute defense against a defamation charge.

False

Under the "stakeholder view," there is no group that ever has a greater stake in company decisions than the shareholders do. True or False

False

Under the doctrine of stare decisis, judges are encouraged to follow the precedents established within their jurisdictions. True or False

False

When profit maximization alone is the goal, a company does NOT benefit by behaving ethically. True or False

False

When there is a direct conflict between a federal and a state law, the state law is rendered invalid. True or False

False

Which of the following does not qualify as an invasion of privacy

Privilege.

In determining whether the duty of care has been breached, which of the following does the court not consider?

The finances of the person in breach

A complaint contains a brief summary of the facts necessary to show the party filing the complaint is entitled to relief, as well as the jurisdiction and remedy. True or False

True

A constitution is a primary source of law. True or False

True

A corporation is subject to jurisdiction only in states where it does such substantial and continuous business, that it is "at home" in that state. True or False

True

A court might look at fairness, social values and customs, and public policy in deciding a case if there is no precedent. True or False

True

A law that limits a fundamental right that may be held to violate substantive due process. True or False

True

A local ordinance commonly has to do with a matter concerning only a local governing unit. True or False

True

A motion for summary judgement asserts that the plaintiff failed to state a claim for which the court can grant relief, and the case should have a judgement without proceeding to a trial. True or False

True

A plaintiff may be compensated for the emotional harm resulting from a battery, as well as physical harm True or False

True

A plaintiff may be compensated for the emotional harm resulting from a battery, as well as physical harm. True or False

True

Abnormally high profits and stock prices my lead to unethical business behavior. True or False

True

All laws establish rights, duties, and privileges that are consistent with the values and beliefs of a society (or its ruling group). True or False

True

An appellate court can only challenge a trial court's finding of fact if the finding is clearly erroneous. True or False

True

An assault can be completed even if there is no actual contact with the plaintiff, provided the defendant's conduct causes the plaintiff to have a reasonable apprehension of imminent harm. True or False

True

An electronic court filing system allows parties to file litigation-related documents via electronic means in most states. True or False

True

An employer's statements in written evaluations of employees are an example of a qualified privilege. True or False

True

Arbitration differs from other forms of alternative dispute resolution in that a third party hearing a dispute makes a binding decision for the parties. True or False

True

Brandon has worked at Google for five years and is being considered for a management position. His supervisor, Claire, writes an email about Brandon's performance to those evaluating him for the position. The message contains certain negative statements which Claire honestly believes are true. If Claire limits the disclosure of the contents of the message to company representatives, her statements will likely be protected by a qualified privilege. True or False

True

Case law governs all areas of business not covered by statutory or administrative law. True or False

True

Congress or a state legislature establishes an administrative agency to perform a specific function. True or False

True

Corporate "citizenship" involves making decisions beyond just maximizing profits and dividends. True or False

True

Corporate social responsibility links the responsibility of citizenship with the commitment to making ethical business decisions. True of False

True

Courts award punitive in tort cases to punish wrongdoers and deter others from similar wrongdoings. True or False

True

Courts exercise great restraint in granting punitive damages to plaintiffs in tort actions because punitive damages are subject to the limitations imposed by the due process clause of the U.S. Constitution. True or False

True

Courts give significant wright -deference- to an agency's judgment, and interpretation of its rules. True or False

True

Courts often refer to secondary sources of law for guidance in interpreting and applying a primary source of law. True or False

True

Courts will accept the legal fiction of corporate personhood to provide companies with the same rights before the law as individuals True or False

True

Duty-based ethics is based on the idea that every business has certain duties to others and the planet. True or False

True

Failing to strictly follow the procedural rules and standards for determining disputes in courts is likely to affect the outcome in a particular case. True or False

True

For purposes of diversity jurisdiction, a corporation can be considered a citizen of the state where their principal place of business is located. True or False

True

General damages compensate individuals for the nonmonetary aspects of the harm suffered such as pain and suffering. True or False

True

Global businesses need to be conscious of the impact of different religious principles and cultural norms on ethics. True or False

True

If the act that created the apprehension is completed and results in harm to the plaintiff, it is a battery. True or False

True

In a case based on diversity of citizenship involving individuals, a federal court will apply the relevant state law. True or False

True

In a case based on diversity of citizenship involving individuals, a federal court will apply the relevant state law. True or False

True

In a case involving Internet transactions, jurisdiction can be met by a state through minimum contacts if the company conducts substantial business in that jurisdiction through online contracts or sales. True or False

True

In the cost-benefit analysis utilitarian model, the focus is to always do the most amount of good for the most amount of people. True or False

True

Jurors must decide a case based only on the information that they learn during the trial. True or False

True

Most states either require or encourage parties in a lawsuit to undertake ADR beforehand. True or False

True

One common denominator identified by businesspersons who have faced ethical problems is the feeling of uncertainty. True or False

True

One of the ways that a business can create an ethical workplace is for the top management to demonstrate its commitment to ethical decision making. True or False

True

One view of the role of business in society is the perceived duty of a company only to generate revenue for its owners. True or False

True

Outcome-base ethic deals with the consequences of an action, not the nature of the action itself, nor any religious or moral beliefs. True or False

True

Plaintiffs are awarded compensatory damages to compensate or reimburse them for actual losses. True or False

True

Rescission is an equitable remedy True or False

True

The Administrative Procedure Act (APA) imposes strict procedural requirements that agencies must follow in legislative rulemaking and other functions. True or False

True

The common law is body of law developed from judicial decisions True or False

True

The effectiveness of an industry code of ethics is partly determined by the commitment of the industry, or company leadership to enforce it. True or False

True

The landmark case of Marbury v. Madison set the decision and precedent for judicial review. True or False

True

The system of checks and balances in the U.S. Constitution allows each branch of government to limits the actions of the other branches. True or False

True

The tort of defamation involves wrongfully hurting a person's good reputation.

True

The tort of intentional infliction of emotional distress (IIED) can be defined as extreme and outrageous conduct resulting in severe emotional distress to another. True or False

True

The tortfeasor (the one committing the tort) must intend to commit an act, the consequences of which interfere with the personal or business interests of another in a way not permitted by law True or False

True

To establish defamation, plaintiffs who are public figures must prove actual malice.

True

Top management's behavior in a company sets the ethical tone for the workplace. True or False

True

Tort law provides remedies for acts that cause physical (or emotional) injury or interfere with physical (or emotional) security and freedom True or False

True

Typically, in a civil case, a private party sues another private party who has failed to comply with a duty. True or False

True

Under a state long-arm statute, a court can exercise jurisdiction only over certain nonresident defendants based on their activities within the state. True or False

True

Under the initial hurdle of proving special damages is overcome, a plaintiff alleging slander normally cannot go forward with the suit and recover any damages. True or False

True

Under the rights theory, determining whether a business decision is unethical is to see how it effects others. True or False

True

Venue has to do with where the most appropriate physical location to file a lawsuit exists. True or False

True

When concurrent jurisdiction exists, the parties may choose to bring the case in state or federal court True or False

True

When making ethical decisions, a business should evaluate the financial implications True or False

True

Whether the contact is offensive or not is determined by the reasonable person standard. True or False

True

Which the contact is offensive or not is determined by the reasonable person standard. True or False

True

______ refers to the number of procedural devices to obtain information and gather evidence about the case from the other party or from third parties before the trial begins. a. Discovery b. Motion to dismiss c. Motion for submission d. Venue

a. Discovery

The ___________, for example, is an agency within the U.S. Department of Health and Human Services. a. Food and Drug Administration b. Uniform Commercial Code c. Internal Revenue Service d. Securities and Exchange Commission

a. Food and Drug Administration

This law was designed to help reduce corporate fraud and unethical management decisions, by requiring accountability measures for publicly traded companies: a. Sarbanes-Oxley Act b. Fraud Reductions Data Analytics Act c. the federal code of ethics d. the American Bar Association code of ethics

a. Sarbanes-Oxley Act

These are protected by the First Amendment a. an offensive political T-shirt b. a restriction on someone's religious beliefs by the government c. a direct threat to a co-worker

a. an offensive political T-shirt

_____ is law that has to do with wrongs committed against society for which society demands redress. a. civil law b. criminal law c. statutory law d. Bill of Rights

a. civil law

Artificial Intelligence Inc. sells to Beta Bots Corporation a promising idea for a technological innovation that is still being developed and that looks very promising. This is a. ethical and legal b. unethical and illegal c. unethical but legal d. illegal and unethical

a. ethical and legal

Nick, the chief executive officer of On/Off Inc., a website for short rants, claims that certain government actions infringe on rights guaranteed by the Bill of Rights. Most of these guarantees have been held to limit a. federal and state actions b. only state conduct c. only individual liberty d. only federal power

a. federal and state actions

If a company strictly complies with existing laws, the firm will a. fulfill SOME business ethics obligations b. fulfill ALL business ethics obligations c. not need to fulfill ANY business ethics obligations d. fulfill NO business ethics obligations

a. fulfill SOME business ethics obligations

When deciding to engage in corporate social responsibility, a key factor when selecting activities is a. how the social activity relates to the business activities of the corporation. b. how much free publicity the corporation will get from the social activity. c. whether the corporation is required to do the social activity by law. d. whether the activity will result in short-term profit increases.

a. how the social activity relates to the business activities of the corporation

When adopting duty-based ethics, corporations often demonstrate the duties they owe a. in their mission statements and strategic plans b. by adopting a corporate religion c. in the biographies of corporate leaders d. through required government disclosure forms

a. in their mission statements and strategic plans

An internal business code of conduct is NOT a. legally binding law b. an outline of the company's policies c. a guide for decision makers with ethical questions d. a set of rules the company can enforce

a. legally binding law

Ethics has to do with how a business person applies this(ese) in their business decisions: a. moral principles b. legal doctrine c. corporate policy d. financial priorities

a. moral principles

If Ethan carelessly bumps into Susan and she falls and breaks an arm as a result, Ethan's actions will constitute a. negligence b. battery c. assault d. none of these

a. negligence

Liz and Moss disagree over the amount due under their contract. To avoid involving any third party in the resolution of their dispute, Liz and Moss could attempt to resolve their dispute through: a. negotiation b. mediation c. arbitration d. litigation

a. negotiation

The Montana legislature enacts a state law that violates the U.S. Constitution. This law can be enforced by a. no one b. the federal government only c. the state of Montana only d. the United States Supreme Court only

a. no one

Under the First Amendment, in comparison with commercial speech, the protection given to obscene speech is a. non-existent b. more extensive c. not as extensive d. equally extensive

a. non-existent

Common law rules develop from a. regulations issued by administrative agencies b. statutes enacted by Congress and the state legislatures c. principles underlying judges' decisions in actual controversies d. uniform laws drafted by legal scholars

a. regulations issues by administrative agencies

The courts have developed a standard, called a _________ standard, for determining when the exercise of jurisdiction over an out-of-state defendant is proper. a. sliding scale b. minimum contacts c. long-arm d. value based

a. sliding scale

One party wants to file a suit against another. For a court to hear the case, a. the court must have jurisdiction over the parties, as well as the subject matter at issue b. both parties must consent to the lawsuit c. the parties must have diversity of citizenship, and a claim of more than $75,000 d. the parties must both own property within the state

a. the court must have jurisdiction over the parties, as well as the subject matter at issue

Hale, research manager for Investor Fund, Inc., adheres to utilitarian ethics, according to which an action is morally correct when it produces the greatest good for a. the greatest number b. investor fund Inc. c. the fewest people d. Hale himself

a. the greatest number

Under the U.S. Constitution, the federal government has the power to regulate commercial activities among the states. This grant implies that the regulation of such activities is NOT within the authority of a. the states b. Congress c. the President d. the Courts

a. the states

Cattle House Steaks, an Alabama company, enters into a contract over the phone with Beef Packing Inc., an out-of-state corporation. If a dispute arises, an Alabama court can exercise jurisdiction over Beef Packing a. under the minimum contacts test b. only if Beef Packing files the suit c. in no circumstances d. on the basis of a federal question

a. under the minimum contacts test

A shopping mall contains two athletic shoes stores: Joe's and Ultimate Sport. Joe's cannot station an employee at the entrance of Ultimate Sport to divert customers by telling them that Joe's will beat Ultimate Sport's prices. This type of activity constitutes the tort of...

a. wrongful interference with a business relationship

Defenses to a claim of trespass to land is to show that the...

all of these choices

Landowners who rent or lease premises to tenants are expected to exercise reasonable care to ensure that the tenants and their guests are not harmed in common areas such as...

all of these choices

Wrongful interference with a contractual relationship occurs when

all of these choices

Wrongfully taking or harming the personal property of another, or otherwise interfering with the lawful owner's possession of personal property is known as

all of these choices

An advertising agency asks a singer with a distinctive voice and stage presence to do a marketing campaign for a new automobile. The singer rejects the offer. If the agency then uses someone who imitates the singer's voice and dance moves in the ad, this would be actionable as

appropriation of identity.

Stare decisis is best defined as a. the authority to decide a specific dispute b. a doctrine under which judges follow established precedents c. a situation giving a person a right to initiate a judicial proceeding d. a judicial proceeding to redress a wrong

b. a doctrine under which judges follow established precedents

Jason, a citizen of Kansas, wants to file a suit against Lora, a citizen of Michigan. Their diversity of citizenship may be a basis for: a. Kansas state court to have jurisdiction b. a federal court to exercise jurisdicition c. any court to exercise jurisdiction d. no court to exercise jurisdiction

b. a federal court to exercise jurisdiction

The publication of false information about another's product alleging that it is not what its seller claims is... a. a tort b. all of these c. trade libel d. slander of quality

b. all of these

Sara files a suit in a state court against Tech Innovations Inc. The parties are allowed to file litigation-related documents with the court online. This is a. online dispute resolution. b. an electronic court filing system. c. electronic discovery. d. a cyber court.

b. an electronic court filing system

VidGames Inc. markets a variety of shooting, fighting, and hunting video games. A state statute is enacted to require all game makers to label any games with an option to kill something as "excessively violent." A court would likely hold this regulation to be a. justified by the need to protect individual rights b. an unconstitutional restriction of speech c. necessary to protect national interests d. constitutional under the Frist Amendment

b. an unconstitutional restriction of speech

Congress enacts the Ad Restriction Act (ARA) to limit advertising in certain circumstances. The ARA will be considered valid if it directly advances a substantial government interest a. and goes further than necessary to ensure full coverage b. and goes no further than necessary to achieve its objective c. and the parties affected by it can elect how "far" to go in applying it d. without regard to how "far" it goes

b. and goes no further than necessary to achieve its objective

Cornel and Deanna resolve their dispute over the subsidence of Cornel's real property due to Deanna's excavation for an irrigation pond by having a neutral third party render a binding decision. This is a. rendition b. arbitration c. conciliation d. intervention

b. arbitration

Mandatory _______ in employee contracts have been found to be generally acceptable and legal. a. negotiation clauses b. arbitration clauses c. mediation clauses d. reprimand procedures

b. arbitration clauses

One downside of arbitration is that if the parties are not satisfied with the decision, they: a. can sue for damages separately b. cannot appeal the decision c. can still mediate the issue d. can still litigate the issue

b. cannot appeal the decision

Serene City enacts an ordinance that bans the use of "sound amplifying systems" on public streets. Tyler wants to campaign for a seat on the city council by broadcasting his message through speakers mounted on a truck. In Tyler's suit against the city, a court would likely hold the ordinance to be a. an unconstitutional restriction of speech. b. constitutional under the First Amendment.

b. constitutional under the First Amendment

ChemCo Inc. expends funds and takes steps to ensure that all employees are treated fairly and that the environmental impact of the corporation is minimal. This is the concept of a. the moral minimum. b. corporate social responsibility. c. the categorical imperative. d. the triple bottom line.

b. corporate social responsibility

When economically injurious falsehoods are made about another's product or property rather than about another's reputation a. trespass to chattels occurs b. disparagement of property occurs c. trespass to personality occurs d. trespass to personal property occurs

b. disparagement of property occurs

Bob wants to sue XYZ corporations, his employer, for violating his civil rights. He states their employer procedures do not apply equal rights. What court would Bob bring suit? a. any court he wishes b. federal court c. probate court d. state court

b. federal court

There are no precedents on which the court deciding the case Algorithm Corp v. Beta Bytes, Inc., can base its decision. The court can consider, among other things, a. a petition b. government police based on widely held social values c. the opinions of the friends and relatives of the judge d. the results of a poll of those in the courtroom

b. government policy based on widely held social values

Cynthia is the chief financial officer of Digital Corporation. In that capacity, when she is unsure whether a certain business action is legal, she should act a. in her own best interest. b. honestly and responsibly. c. in the short-run interest of Digital. d. to maximize profit.

b. honestly and responsibly

The triple bottom line looks at all of the following EXCEPT a. how decisions impact employees and consumers b. how decisions impact relations with foreign nations c. how decisions impact sustainability and the planet d. how decisions impact profits and revenue

b. how decisions impact relations with foreign nations

A law that restricts a person's activities based on their gender will receive _____ by the courts. a. reasonableness b. intermediate scrutiny c. strict scrutiny d. compelling scrutiny

b. intermediate scrutiny

Analytica LLC files a suit against the United States, challenging a congressional enactment mandating that employers pay their employees' student loans. The process by which the court decides this issue is a. unconstitutional. b. judicial review. c. voir dire. d. the rule of four.

b. judicial review

Jill and Kane meet with their attorneys to try to resolve a dispute. A neutral third party works with both sides and proposes a solution but does not make a decision resolving the matter. a. arbitration b. mediation c. negotiation d. none of the choices

b. mediation

Under corporate social responsibility, which of these is not an activity that would qualify: a. charitable donations to local and worldwide causes b. paying all employees the same wage c. ethical labor practices, both local and internationally d. environmental efforts to reduce the carbon footprint

b. paying all employees the same wage

The state of Ohio can regulate building contractors, and building codes in the state under its a. entitlement to full faith and credit. b. police powers. c. system of checks and balances. d. commerce power.

b. police powers

Legislative rulemaking under the Administrative Procedure Act (APA) typically involves all, but which one of the following three steps: a. comment period b. public hearing c. final rule d. notice of proposed rulemaking

b. public hearing

Barry and Marie's child Macy is very ill. The hospital determines that she needs a blood transfusion in order to survive. Barry and Marie argue that a blood transfusion is against their religion, and to force them to allow it would be a Constitution infringement on their religious rights. The government could step in and allow it under a. medical exception b. public police exception c. parental exception d. necessity exception

b. public police exception

A person must have _________, or a sufficient "stake" in the matter to justify seeking relief through the court system. a. jurisdiction b. standing to sue c. diversity of citizenship d. venue

b. standing to sue

An automobile repair shop can retain a customer's car under an artisan lien when a. the owner of the car dies b. the customers refuses to pay for repairs already completed c. None of these d. the owner of the car never shows up

b. the customer refuses to pay for repairs already completed

Georgia enacts a law requiring all businesses in the state to donate 10 percent of their profits to Protestant churches that provide certain services to persons whose income is below the poverty level. Price-Lo Stores files a suit to block the law's enforcement. The court would likely hold that this law violates a. no clause in the U.S. Constitution b. the establishment clause c. the supremacy clause d. the free exercise clause

b. the establishment clause

Wrongfully taking or retaining possession of an individual's personal property and placing it in the service of another is known as: a. trespass of personality b. the tort of conversion c. an artisan's lien d. trespass to chattels

b. the tort of conversion

Viaduct Corporation used untested and risky construction techniques to build a bridge under budget. The techniques were legal but the bridge collapsed, killing several people. Viaduct's actions were a. dangerous and therefore inherently illegal b. unethical, and may result in legislation c. ethical because they were legal d. legal under Sarbanes-Oxley, and with no penalties

b. unethical and may result in legislation

A _______ is an order issued by the Supreme Court to a lower court requiring that court to send the record of the case for review. a. motion for summary judgement b. writ of certiorari c. a rule of four d. motion for dismissal

b. writ of certiorari

The degree of care to be exercised varies, depending on the defendant's

both a and b

Which of the following is not a characteristic of the reasonable person standard? a. it is not necessarily how a particular person would act. b. Courts ask how a reasonable person would have acted in the same circumstances. c. The reasonable person standard is said to be subjective d. It is society's judgement on how people should act

c. The reasonable person standard is said to be subjective

The Bill of Rights embodies a. rights established under deeds, wills, contracts, and similar instruments. b. the privileges and immunities of the citizens in the several states. c. a series of protections for the individual against government action. d. payment in the form of taxes by business entities to obtain certain rights.

c. a series of protections for the individual against government action.

The term checks and balances refers to the system under which a. the national government regulates interstate commerce. b. a state must refrain from imposing unreasonable burdens on citizens of another state. c. a series of protections for the individual against government action. d. any judicial decision with respect to property rights in one state, will be honored and enforced in all states.

c. a series of protections for the individual against government action.

Jaime and Kay enter into a contract for the sale of a bicycle, but Kay later refuses to deliver the goods. Jaime asks a court to order Kay to perform as promised. Ordering a party to perform what was promised is a. beyond the court's authority b. an action c. an equitable remedy d. an unenforceable demand

c. an equitable remedy

Seafood Café Company makes products that can cause severe health problems to those with shellfish allergies. Seafood analyzes the cost of warning people of the risk (which they believe is obvious) and the risk of harm to people if no warning is included in advertising and on menus. This analysis most likely is part of a. religious ethical principles b. corporate social responsibility c. an outcome-based ethics d. a duty-based ethics approach

c. an outcome-based ethics

Business torts generally involve wrongful interference with another's a. malice b. none of these c. business rights d. privilege

c. business rights

Power Inc., is a corporation engaged in the business of producing, refining, and distributing energy resources. With respect to the firm's managers, legal concepts would not be useful for a. human resources manager b. marketing manager c. customers d. accounting and finance manager

c. customers

According to the theory of corporate social responsibility, any decision by the management of Precision Processing Corporation should consider how a proposed action may affect only the a. firm's shareholder b. firm's officers and shareholders c. firm's officers, shareholders, and stakeholders d. firm's suppliers and local government

c. firm's officers, shareholders, and stakeholders

Hal, a resident of Illinois, owns a warehouse in Indiana. A dispute arises over the ownership of the warehouse with Jack, a resident of Kentucky. Jack files a suit against Hal in Indiana. Regarding this suit, Indiana has a. in personam jurisdiction b. no jurisdiction c. in rem jurisdiction d. federal jurisdiction

c. in rem jurisdiction

Ethics are important because laws may not always be easy to interpret or apply. This is because a. laws are very organized and structured and are complicated to read b. laws often have definition provisions to explain the meaning of terms c. laws represent the will of the people, and that is often changing d. laws are created by a political process and are the result of compromise

c. laws represent the will of the people, and that is often changing

Cody makes a business decision based on financial outcomes alone, and then attempts to argue that it it ethical as well. Cody is a. questioning his decision b. using the utilitarian approach c. rationalizing his decision d. using the stakeholder approach

c. rationalizing his decision

An accountant's conduct is judged not be the reasonable persona standard, but by the...

c. reasonable accountant standard

An overemphasis on this, is the most common reason for ethical problems in the workplace: a. social responsibility b. stakeholder analysis c. short-run profit maximization d. long-run profit maximization

c. short-run profit maximization

Mary creates a t-shirt design that expresses her support for a presidential candidate and distributes t-shirts to all her friends. The t-shirts are an example of a. unprotected speech b. commercial speech c. symbolic speech d. illegal speech

c. symbolic speech

Each court has a jurisdiction. Jurisdiction is best defined as a. a situation giving a person a right to initiate a judicial proceeding b. a judicial proceeding to redress a wrong c. the geographic area in which a court has the power to apply the law d. a doctrine that follows established precedents

c. the geographic area in which a court has the power to apply the law

Caryn is faced with making a business decision. As she thinks about the problem, she feels that there is no easy answer. She continues to think about what is making her uncomfortable about the situation before brainstorming possible solutions. If Caryn is using the IDDR approach to decision making, she is engaged in a. the discussion step. b. the decision step. c. the inquiry step. d. the review step.

c. the inquiry step

Flo, the manager of Grounds Maintenance Inc., must decide whether to use an herbicide that could be unhealthy to employees using it and to the public once it is on the ground. Flo might lose the client if she refuses to use the herbicide. If Flo analyzes the importance of good health and avoidance of disease to people in making her decision, she is likely using a. religious principles. b. the categorical imperative. c. the principle of rights theory. d. utilitarianism.

c. the principle of rights theory

A cost-benefit analysis is part of a. the principle of rights theory b. corporate social responsibility c. the utilitarian model d. duty-based ethics approach

c. the utilitarian model

"Be honest and treat people fairly." In regard to business ethics, implementing this motto is a. not important b. only important with large customers c. very important d. only important in democratic societies

c. very important

Good intentions are not a defense against conversion, and someone who buys stolen goods

can be sued for conversion even if the buyer did not know that the goods were stolen.

The principle that people in society are free to act as they please so long their actions do not infringe on the interest of others is known as...

causation in fact

To succeed in a negligence action, the plaintiff must prove a. damages b. duty of care and breach c. causation in fact and proximate causation d. All of these choices

d. All of these choices

Retailers and other firms that explicitly or implicitly invite persons to come onto their premises have a duty to exercise reasonable care to protect these a. business invitees b. clients c. customers d. all of these choices

d. all of these choices

The Uniform Commercial Code facilitates commerce a. in international markets b. in countries that were once colonies of Great Britain c. between the states and the federal government d. among the states

d. among the states

Many companies try and link ethics with law through creating: a. legal code of ethics b. an external publicized code of conduct c. a code that applies to the public d. an internal code of conduct

d. an internal code of conduct

In a suit against Karen, Luke obtains an injunction. This is a. a payment of money b. a departure from precedent c. the cancellation of a contract d. an order to do or refrain from doing a certain act

d. an order to do or refrain from doing a certain act

Business ethics look at whether the behavior of business decisions: a. align with corporate policy b. follow legal doctrine c. derive from well-known business principles d. are right or wrong

d. are right or wrong

When a business makes an unethical decision and then rationalizes it by saying it is only a small issue, is an example of: a. a duty-based ethics approach b. corporate social responsibility c. religious based ethical approach d. categorical imperative

d. categorical imperative

In making a business decision, Jin Soo brainstorms possible solutions to his problem, and then considers what he SHOULD do. If Jin Soo is using the IDDR approach to decision making, he is in the a. inquiry step b. review step c. decision step d. discussion step

d. discussion step

A city enacts an ordinance that prohibits all advertising on the sides of trucks. A court would likely review this ordinance under the principle of a. privacy b. free exercise c. equal protection d. due process

d. due process

To reduce traffic, Market Town enacts an ordinance that allows only a few specific street vendors to operate in certain areas. A court would likely review this ordinance under the principles of a. free speech b. free exercise c. interstate commerce d. equal protection

d. equal protection

Under the U.S. Constitution, Congress has the power to regulate a. only NON-commercial activities b. only LOCAL-commercial enterprises c. only INTRASTATE commercial enterprises d. every commercial enterprise in the United States

d. every commercial enterprise in the United States

The key difference between intentional and negligent misinterpretation is whether the person making the misrepresentation had actual knowledge of...

d. falsity

Quarry Mining Inc. and Riverside Vineyards agree to resolve a dispute in arbitration. The arbitrator meets with Quarry's representative to discuss the matter without Riverside's representative being present. Is this normally allowed during arbitration? a. if the matter is serious enough in nature b. yes c. only if there is a restraining order d. no

d. no

_____ may be best suited for resolving small to medium sized business liability claims, which may not be worth the expense of litigation or traditional ADR. a. arbitration b. mediation c. closed negotiation d. online dispute resolution

d. online dispute resolution

A ________________________ is a legal authority that a court may consult for guidance, but that is not binding on the court. a. legal authority b. reference authority c. applicable statute d. persuasive authority

d. persuasive authority

Marie claims that a Nebraska state statute infringes on her "procedural due process" rights. This claim focuses on a. the treatment of similarly situated individuals b. the steps to be taken to protect Marie's privacy. c. the content of the statute d. procedures used in making decisions to take life, liberty, or property

d. procedures used in making decisions to take life, liberty, or property

To avoid unethical practices by a foreign supplier, an effective business practice is to a. obtain a legislative decree that the supplier is ethical b. pay foreign employees at U.S. pay rates c. have suppliers sign contracts affirming that they will behave ethically d. routinely monitor the foreign workplaces

d. routinely monitor the foreign workplaces

Which of the following is a common type of trespass to land?

d. shooting a gun over the land

A _______ consists of a document that notifies a defendant that a legal action has been commenced against them, and that they must appear in court to answer the compliant. a. motion to dismiss b. service-of-process c. motion for summary judgement d. summons

d. summons

Owen and other managers employed by Pastry Bakery are most likely to find that unethical behavior in the workplace can be deterred by a. imposing sanctions disproportionate to misconduct b. ignoring small breaches of company rules c. distributing rewards without regard to ethics d. taking immediate action in response to unethical conduct

d. taking immediate action in response to unethical conduct

With respect to what society will tolerate, a company's compliance with the law, and no more, is a. the highest ethical level b. irrelevant c. the only ethical level d. the moral minimum

d. the moral minimum

A judicial decision on the constitutionality of an executive order that limits certain state actions is a. beyond the jurisdiction of the courts b. a summary judgment c. a question of fact d. the power of judicial review

d. the power of judicial review

Leach, a citizen of Maine, obtains a federal license to operate a commercial fishing boat in a certain area off the Maine coast. The Maine state legislature enacts a law that bans all commercial fishing in that area. Most likely, the state law violates a. no provision in the U.S. Constitution b. the commerce clause c. the due process clause d. the supremacy clause

d. the supremacy clause

Managers who set unrealistic production or sales goals increase the probability that employees will act: a. not act at all b. ethically c. illegally d. unethically

d. unethically

Fraudulent misrepresentation involves intentional deceit for personal gain and includes

damage suffered as a result of the reliance

When economically injurious falsehoods are made about another's product or property rather than about another's reputation...

disparagement of property occurs

A guest in your home is not a trespasser unless that guest...

has been asked to leave but refuses

A constitution sets forth a governments...

limits and powers

If young children are likely to be attracted to the property by some object such as a swimming pool or a sand pile, and are injured, the landowner

may be held liable under the attractive nuisance doctrine

Failure to exercise due care, which is normally determined by the reasonable person standard, constitutes the tort of

negligence

The failure to exercise the standard of care that a reasonable person would exercise in similar circumstances is...

negligence

John, a law enforcement official, monitors Kelsey's Internet activities—e-mail and website visits—to gain access to her personal financial data and student information. This may violate Kelsey's right to a. privacy b. free exercise c. free speech d. privileges and immunities

privacy

For fraud to occur, _____ must be involved.

puffery

The tort of misrepresentation may involve reliance on

statement of opinion

Numerous federal courts now hold ______ (another type of ADR), in which the parties present their arguments and evidence, and they jury renders a verdict. a. negotiations b. mini trials c. summary jury trials d. early neutral case evaluation

summary jury trials

The principle that people in society are free to act as they please so long as their actions do not infringe on the interests of others is known as...

the duty of care

When a publication denies or casts doubt on another's legal ownership of property, and the property's owner suffers financial loss as a result, this is

the tort of slander of title.

A libelous statement has the quality of permanence, so it can be circulated widely such as through social media.

true

Damages refers to monetary compensation for such harm or injury

true

If someone posts nude pictures or videos taken with digital devices on social media, they have committed the torts of invasion of privacy and appropriation.

true

In tort law, intent means only that the person intended the consequences of the act, or knew with substantial certainly that certain consequences would result from the act.

true