Business Law Chapter 2

In the U.S. Supreme Court, if all the justices voting agree as to the outcome and reasoning used to decide a case, it is a ________ decision. A) tie B) plurality C) majority D) unanimous

D) unanimous

________ refer to cases arising under the U.S. Constitution, treaties, and federal statutes and regulations. A) Federal question cases B) Diversity of citizenship cases C) Federal crimes cases D) Copyrights and trademarks cases

A) Federal question case

________ refers to jurisdiction to hear a case because of jurisdiction over the property of the lawsuit. A) In rem jurisdiction B) Quasi in rem jurisdiction C) Private jurisdiction D) In personam jurisdiction

A) In rem jurisdiction

The ________ established by Congress have limited jurisdiction. A) state supreme courts B) state appeals courts C) special federal courts D) courts of records

C) special federal courts

In the U.S. Supreme Court, if a majority of the justices agree as to the outcome of a case but not as to the reasoning for reaching the outcome, it is a ________ decision. A) unanimous B) majority C) plurality D) tie

C) plurality

Which of the following courts are considered as the federal court system's intermediate appellate courts? A) the U.S. Courts of Appeals for Veterans Claims B) the U.S. courts of appeals C) the U.S. district courts D) the U.S. courts of federal claims

B) the U.S. courts of appeals

________ refers to a contract provision that designates a certain state's law or country's law that will be applied in any dispute concerning nonperformance of the contract. A) Choice-of-law clause B) Forum-shopping C) Arbitration clause D) Forum-selection clause

A) Choice-of-law clause

________ are courts that hear cases of a general nature that are not within the jurisdiction of limited-jurisdiction trial courts. A) Courts of record B) Intermediate appellate courts C) Inferior trial courts D) State supreme courts

A) Courts of record

Which of the following is true about a plurality decision of the Supreme Court? A) It settles a case but does not set the precedent for later cases. B) It affirms the decision of the lower court. C) It settles a case and sets the precedent for later cases. D) It causes a case to be reviewed again at a later date.

A) It settles a case but does not set the precedent for later cases.

How are the justices of the U.S. Supreme Court appointed? A) They are nominated by the president and confirmed by the U.S. Senate. B) They are appointed by the president of the United States. C) They are nominated and confirmed by the Chief Justice of the U.S. Supreme Court. D) They are nominated by the Associate Justices and confirmed by the Chief Justice of the U.S. Supreme Court.

A) They are nominated by the president and confirmed by the U.S. Senate.

________ refers to an official notice that the Supreme Court will review a case. A) Writ of certiorari B) Stare decisis C) En banc review D) Sua sponte

A) Writ of certiorari

The U.S. Supreme Court is composed of ________ justices. A) nine B) six C) ten D) three

A) nine

Which of the following courts was created by Article III of the U.S. Constitution? A) the U.S. Supreme Court B) the U.S. Tax Court C) the U.S. Court of Appeals D) the U.S. Court of Federal Claims

A) the U.S. Supreme Court

Which of the following courts are the federal court system's trial courts of general jurisdiction? A) the U.S. district courts B) the U.S. Tax Courts C) the U.S. courts of appeals D) the U.S. courts of federal claims

A) the U.S. district courts

________ are courts that hear matters of a specialized or limited nature. A) General-jurisdiction trial courts B) Inferior trial courts C) Intermediate appellate courts D) Chancery courts

B) Inferior trial courts

Which of the following similarities is observed between tie and plurality decisions reached by the U.S. Supreme Court? A) The decisions can be appealed against in the U.S. courts of appeals. B) The decisions do not set precedent for later cases. C) The decision of the lower court is affirmed. D) New evidence and testimony is heard before reaching decisions.

B) The decisions do not set precedent for later cases.

The ________ has special appellate jurisdiction to review the decisions of the Court of Federal Claims, the Patent and Trademark Office, and the Court of International Trade. A) U.S. District Court B) U.S. Court of Appeals for the Federal Circuit C) First Circuit Court D) District of Columbia Circuit

B) U.S. Court of Appeals for the Federal Circuit

________ refers to a concept that requires lawsuits to be heard by a court with jurisdiction that is nearest the location in which an incident occurred or where the parties reside. A) Jurisdiction B) Venue C) Circuit D) Doctrine of stare decisis

B) Venue

In which of the following cases do federal and state courts have concurrent jurisdiction? A) bankruptcy cases B) diversity of citizenship cases C) antitrust cases D) patents cases

B) diversity of citizenship cases

Which of the following is a function of the state supreme courts? A) conducting trials related to misdemeanor criminal law B) hearing appeals from intermediate appellate state courts and certain trial courts C) conducting trials related to felonies and civil disputes D) reviewing the judgments and records of the lower courts and ratifying them

B) hearing appeals from intermediate appellate state courts and certain trial courts

Which of the following is true about a majority decision reached by the U.S. Supreme Court? A) All the judges agree as to the outcome and reasoning used to decide a case. B) A majority of the judges agree as to the outcome but not the reasoning used to decide a case. C) A majority of the justices agree as to the outcome and reasoning used to decide a case. D) An equal number of judges vote for and against the petitioner and the case remains undecided.

C) A majority of the justices agree as to the outcome and reasoning used to decide a case.

________ refers to a court's jurisdiction over the parties to a lawsuit. A) In rem jurisdiction B) Quasi in rem jurisdiction C) In personam jurisdiction D) Sua sponte jurisdiction

C) In personam jurisdiction

Why was the Court of Appeals for the Federal Circuit created? A) It was created to exercise appellate jurisdiction over members of the armed services. B) It was created to hear cases that involve federal tax laws. C) It was created to provide uniformity in the application of federal law in certain areas, particularly patent law. D) It was created to hear appeals from intermediate appellate state courts and certain trial courts.

C) It was created to provide uniformity in the application of federal law in certain areas, particularly patent law.

Which of the following statements is true of the U.S. Supreme Court? A) The U.S. Supreme Court's decisions are appealable. B) The U.S. Supreme Court hears appeals only from the federal circuit courts of appeals. C) The U.S. Supreme Court does not hear any new evidence or testimony in reviewed cases. D) The U.S. Supreme Court does not grant any oral hearings to the parties.

C) The U.S. Supreme Court does not hear any new evidence or testimony in reviewed cases.

The ________ hears cases brought against the United States. A) U.S. Supreme Court B) U.S. Tax Court C) U.S. Court of Federal Claims D) U.S. District Court

C) U.S. Court of Federal Claims

Decisions of the ________ are final unless a question of law is involved that is appealable to the U.S. Supreme Court. A) courts of appeals B) courts of records C) highest state courts D) general-jurisdiction trial courts

C) highest state courts

In which of the following cases do federal courts have exclusive jurisdiction? A) cases involving sales and lease contracts B) federal question cases C) suits against the United States D) diversity of citizenship cases

C) suits against the United States

________ hears appeals from trial courts. A) The highest state court B) A court of record C) An inferior trial court D) An intermediate appellate court

D) An intermediate appellate court

Donald, who is a resident of Louisiana, is robbed in Oklahoma County, Oklahoma. The robber, who is a resident of the state of Texas, is soon apprehended. Which of the following is the proper venue to hear this case? A) state court in Louisiana because the plaintiff is from Louisiana B) state court in Texas because the defendant is from Texas C) Oklahoma federal court because the robber has committed a federal crime D) Oklahoma County Court because it is nearest in location to the scene of the crime

D) Oklahoma County Court because it is nearest in location to the scene of the crime

________ refers to jurisdiction that allows a plaintiff who obtains a judgment in one state to try to collect the judgment by attaching property of the defendant located in another state. A) In rem jurisdiction B) In personam jurisdiction C) Private jurisdiction D) Quasi in rem jurisdiction

D) Quasi in rem jurisdiction

Which of the following statements is true about intermediate appellate courts? A) They hear new evidence and testimony that have come to light after the trial courts have made their decision. B) They do not grant any oral hearings to the parties. C) They have jurisdiction to hear cases of a limited or specialized nature. D) They review either pertinent parts or the whole trial court record from the lower court.

D) They review either pertinent parts or the whole trial court record from the lower court.

A justice who agrees with the outcome of a case but not the reason proffered by other justices can issue a dissenting opinion that sets forth his or her reasons for deciding the case.

False

A tie decision by the U.S. Supreme Court sets a precedent for later cases.

False

Antitrust, bankruptcy, patent and copyright cases can be heard by state courts.

False

Appellate court decisions are final and cannot be appealed to any higher courts.

False

Federal judges of the U.S. district courts are appointed for 14-year terms.

False

For federal question cases to be brought in a federal court, the dollar amount of the controversy must exceed $75,000.

False

In small claims courts, it is necessary that the parties are represented by a lawyer at all times

False

In the U.S. circuit courts of appeals, an en banc review refers to an appeal heard by a three-judge panel.

False

In the United States, each state has only a single district court.

False

Intermediate appellate courts review new evidence or testimony that was not seen or heard in the lower courts.

False

The Chief Justice of the Supreme Court is elected by the Associate Justices of the U.S. Supreme Court.

False

The U.S. Supreme Court hears new evidence and testimony that was not permitted in the U.S. district court.

False

The decisions of the U.S. Supreme Court can be appealed to higher courts.

False

The intermediate appellate courts do not allow the parties to have oral hearings.

False

Where a long-arm statute is present, a defendant need not have minimum contact with a state for that state's courts to have jurisdiction over the defendant.

False

What is the jurisdiction of the U.S. Supreme Court?

The Supreme Court, which is an appellate court, hears appeals from federal circuit courts of appeals and, under certain circumstances, from federal district courts, special federal courts, and the highest state courts. No new evidence or testimony is heard. As with other appellate courts, the lower court record is reviewed to determine whether there has been an error that warrants a reversal or modification of the decision. Legal briefs are filed, and the parties are granted a brief oral hearing. The Supreme Court's decision is final.

A decision of a limited-jurisdiction trial court can be appealed at a general-jurisdiction court or an appellate court.

True

A petitioner must file a petition for certiorari, asking the Supreme Court to hear the case.

True

A plaintiff, by filing a lawsuit with a court, gives the court in personam jurisdiction over him- or herself.

True

Appeals from the Court of International Trade are heard by the U.S. Court of Appeals for the Federal Circuit.

True

Decisions of highest state courts are final unless a question of law is involved that is appealable to the U.S. Supreme Court.

True

General-jurisdiction trial courts can be found in every state.

True

If a plaintiff brings a diversity of citizenship case in state court, it will remain there unless a defendant removes the case to federal court.

True

In general-jurisdiction trial courts, the testimony and evidence at trial are recorded and stored for future reference.

True

In the U.S. courts of appeals, the parties file legal briefs with the court and are given a short oral hearing.

True

No new evidence or testimony is heard in the state supreme courts.

True

Pursuant to the power given to it by Article III of the U.S. Constitution, Congress has established the U.S. courts of appeals.

True

The U.S. Congress gives the Supreme Court discretion to decide what cases it will hear.

True

The decisions handed down by the general-jurisdiction trial courts are appealable to an intermediate appellate court or the state supreme court.

True

The federal district courts are empowered to impanel juries, receive evidence, hear testimony, and decide cases.

True

The first 12 circuits of the federal court system are geographical.

True

The highest court in the land is the Supreme Court of the United States, which is located in Washington DC.

True

How does the doctrine of stare decisis help in creating stability in a legal system?

by allowing the use of precedent in deciding future cases