Chapter 1: Basics of Law

Which of the following is an example of public law? a) Securities and Exchange Commission (SEC) regulations b) a business contract c) a marriage license d) homeowners' association regulations

a) Securities and Exchange Commission (SEC) regulations SEC regulations are an example of public law. Public laws are enacted by authorized governmental bodies and address the relationship between the government and the general population.

The more flexibility we permit in the law, the less predictability we enjoy. a) True b) False

a) True

What is the purpose of creating laws? a) to maintain order b) to create rights c) to assign duties d) to establish precedent

a) to maintain order

The enforcement of laws in most societies is putative, punishing failure to follow those laws, rather than rewarding those who do follow the laws. a) True b) False

a) true

The two medieval English court systems (courts of law and courts of equity) are combined in the courts of the modern United States, allowing a party to seek both legal and equitable remedies in the same action. a) True b) False

a) true

The United States inherited and adapted a complex structure of laws from a) France b) England c) Spain d) Greece

b) England The colonists brought over knowledge of English law. Laws were then adapted to fit the new culture and geography.

It is important for law to be pervasive and cover all necessary areas, even if that means occasionally infringing on individual freedoms. a) True b) False

b) False

Litigation decisions in the United States usually reflect one school of jurisprudence. a) True b) False

b) False

Substantive and procedural provisions must be outlined in separate statutes. a) True b) False

b) False

The Founding Fathers of the United States insisted upon a strong federal government that took power from the individual state governments. a) True b) False

b) False

Which of the following best describes the law in our society? a) The law is relegated to the courtroom. b) In the United States, the law is consistent from state to state. c) We only need to concern ourselves with the law when we need its protections. d) The law is an essential part of practically every aspect of our lives.

d) The law is an essential part of practically every aspect of our lives. The law is a part of most aspects of our lives, particularly in matters of business and work.

The town of Bomont enacts a law making the dancing and the playing of rock and roll music illegal. How would this new law be classified? a) as private law b) as civil law c) as common law d) as statutory law

d) as statutory law Since this law was passed by the local government, it would be considered a statutory law. Laws passed by legislative bodies at all levels of government are statutory laws.

Court decisions are a form of ____________ that set precedent that can be used in similar cases. a) statutory law b) civil law c) criminal law d) common law

d) common law Common laws are laws that are based on previous court decisions or precedent. The body of common law continues to grow as court decisions add to precedent that can be used in future cases.

Which of the following do laws NOT do? a) regulate business transactions b) define civic engagements c) regulate rules of travel and transportation d) define the rules of social interaction

d) define the rules of social interaction Although laws do indeed touch on almost every aspect of our lives, they do not define or articulate the rules of social interaction.

The statutes passed by the U.S. Congress can cover any topic as long as they do not violate the Constitution. a) True b) False

a) True

According to the philosophy of legal positivism, law in the United States is primarily determined by a) the voters. b) the wealthy. c) morals and values. d) the state and federal governments.

According to the philosophy of legal positivism, the law is determined by the sovereign, or the recognized political power whom citizens obey. Both state and federal governments are sovereign in the United States.

American laws are constantly changing to stay current with the times. If an individual fails to follow a new law because they are unaware of it, they cannot be found guilty of disobeying that law. a) true b) false

False

A judge strictly follows decisions of past cases when deciding on a verdict. To which school of jurisprudence does this judge most likely adhere? a) natural law b) legal realism c) legal positivism d) the historical school of legal thought

The historical school of legal thought looks at how the legal system has evolved over time and believes that the legal doctrines of the past should inform contemporary law. Followers of this school of jurisprudence are more likely to strictly follow the decisions of past cases.

What kind of law establishes the method by which an employee must inform their employer about an injury that occurred on the job, provide documentation, and file regular follow-up reports in order to qualify for worker's compensation? a) procedural law b) statutory law c) civil law d) common law

a ) procedural law Procedural laws outline and define methodology and procedures, such as how to properly file for worker's compensation.

An individual who signs a lease for an apartment is agreeing to terms that are governed by private law. a) True b) False

a) True

Court decisions provide one source of law by setting precedent through interpreting constitutional provisions, statutes, and regulations. a) True b) False

a) True

It is possible for an individual to breach both civil and criminal law with a single action. a) True b) False

a) True

Jurisprudence is the study of the theory of law. a) True b) False

a) True

The law acts as a mediator between conflicting interests or viewpoints. a) True b) False

a) True

Who oversees the day-to-day application of laws and regulations across dozens of jurisdictions? a) administrative agencies b) courts c) law enforcement officers d) Congress

a) administrative agencies Administrative agencies at the federal, state, and local level oversee the day-to-day application of laws and regulations within their designated jurisdiction. For example, the Internal Revenue Service (IRS) administers federal statutory tax law.

The belief that the law should take social and economic realities into account is most central to a) legal realism. b) natural law. c) legal positivism. d) the historical school of legal thought.

a) legal realism Legal realism is based on the idea that law is a human institution shaped by social forces and needs. This school of jurisprudence believes that the law should take economic and social realities into account.

What is the name for laws that are passed by the U.S. Congress? a) statutes b) common laws c) constitutional laws d) administrative laws

a) statutes The U.S. Constitution gives the U.S. Congress the power to pass laws; these laws are called statutes.

Every society of which we have any historical record has had some system of laws. a) True b) False

a) true

Which of the following best defines procedural laws? a) laws that outline the methods of creating other bills, laws, amendments, and regulations b) laws that define the methods of enforcing the rights provided by substantive laws c) laws that regulate production methods and limit the use of potentially dangerous substances in production and manufacturing d) laws that indirectly affect individuals

b) laws that define the methods of enforcing the rights provided by substantive laws Procedural laws outline and describe the methods of enforcing the rights established by the substantive laws.

The Constitution is the supreme law of the land. What does that mean? a) All laws stem from the Constitution. b) Laws that conflict with the Constitution are void. c) The Constitution has been used as a template for establishing governments in other countries. d) Judges must take the Constitution into account when rendering decisions.

b) Laws that conflict with the Constitution are void Article VI states that the Constitution is the supreme law of the land. Any law that conflicts with the Constitution is void.

Which fundamental belief underlies natural law? a) The law consists of written orders that must be followed. b) The law should be based on universal moral principles. c) The law is upheld through social interactions. d) The law is determined by the powerful in society.

b) The law should be based on universal moral principles. The theory of natural law states that law should be based on universal moral principles and ideals.

The Judicial Branch of the federal government determines whether the ____________ allows certain laws to be passed. a) Declaration of Independence b) U.S. Constitution c) Federalist Papers d) Fundamental Orders

b) U.S. Constitution The Judicial Branch of the federal government uses the Constitution to determine whether certain laws can be passed. If a law passed by Congress is considered unconstitutional then that law is void.

Which act helps regularize and coordinate the statutory law of different states as they relate to business transactions? a) Code of Federal Regulations (CFR) b) Uniform Commercial Code (UCC) c) legislative rule (LR) d) state implementation plans (SIPs)

b) Uniform Commercial Code (UCC) The Uniform Commercial Code (UCC) governs contracts for the sale of goods, commercial paper, security interests, and other commercial transactions as a means of allowing commercial entities to operate across state borders with certainty.

The accumulation of precedent makes up a) norms of conduct b) common law c) customs d) statutory law

b) common law Common law is derived from judicial precedent.

A person caught selling marijuana in a state in which it is not legal to own or sell marijuana is in violation of what kind of law? a) civil law b) criminal law c) substantive law d) procedural law

b) criminal law A wrong against society, such as selling an illegal substance, is a violation of criminal law

Law touches on so many areas of our lives, particularly in business. Which of the following is NOT a way that the law might touch on the business activities of a musical recording artist? a) working with an agent b) establishing an online fan base c) managing copyrights for songs d) signing contracts with performance venues

b) establishing an online fan base While establishing an online fan base is not legislated, most other aspects of an artist's life and work are, from working with an agent, securing copyrights, and all manner of other contractual matters.

Law is the moral underpinning of society. a) True b) False

b) false

Of necessity, corporate law needs to cover the formation, operation, and dissolution of corporations while not infringing on the ability of businesses, directors, and officers to act freely in their corporations' best interests. What characteristic of law does this represent? a) authority b) pervasiveness c) consistency d) flexibility

b) pervasiveness Business law needs to be all encompassing enough to cover all necessary areas while not infringing on individual freedoms. This quality is called pervasiveness.

Law is a system of __________ governing individuals and their relationships. a) duties b) rules c) rights d) privileges

b) rules The general definition of law is a system of rules governing individuals and their relationships.

Which of the following is NOT a primary component of American law? a) the Federal Constitution b) the Declaration of Independence c) the Bill of Rights d) state constitutions

b) the Declaration of Independence The Declaration of Independence was the document citing our reasons for succeeding from the British and forming our own country but it is not a primary component of American Law.

Rules define appropriate behaviors among individuals and between individuals and their societies. In addition to defining these behaviors, what else do laws stipulate? a) the degree to which religion and other institutions share in defining these interactions b) the way in which those rules get enforced c) how those particular rules fit into the history of laws d) an unchanging set of behaviors and standards to which every citizen is held

b) the way in which those rules get enforced Laws not only define behaviors, but are also enforceable. Almost all sets of laws define the repercussions for failure to follow that law. Whether you pay a fine or lose your freedom for stealing, the system of laws proscribes specific punishments for failure to live by the law.

What is a main criticism of legal positivism? a) The definition of positive law is vague. b) There is an overemphasis on social justice. c) Questions of morality are not considered. d) There is a denial that any lawmaker can act unselfishly.

c) Questions of morality are not considered. A main criticism of legal positivism is that questions of morality are not considered. All written laws must be obeyed regardless of whether they are considered "right" or "wrong." Social justice is not a consideration in legal positivism. Positive law is clearly defined as the written law of a given society that applies only to that nation's citizens. Legal realism is most often criticized for denying that lawmakers can act unselfishly.

Which belief is related to legal realism? a) Unjust laws do not need to be obeyed. b) Lawmakers can work to overcome personal bias.\ c) Who enforces the law is more important than what is written. d) All people have unalienable rights that should be protected by law.

c) Who enforces the law is more important than what is written. Legal realism claims that who enforces the law and how it is enforced are more important than what is written as law.

The series of rules created by the Environmental Protection Agency (EPA) are a type of ____________ law. a) constitutional b) statutory c) administrative d) common

c) administrative The regulations and rules created by the Environmental Protection Agency (EPA) are a part of administrative law. Administrative law includes the rules, orders, and decisions of all administrative agencies.

As the U.S. transitioned from an industrial society to a technological and information-based society U.S. laws have had had to adapt to the times. What characteristic of law does this represent? a) authority b) pervasiveness c) consistency d) flexibility

c) consistency

What is the characteristic of law that tends to keep parties focused on successfully fulfilling business contracts because they know that breaching or failing to perform as defined in a contract is likely to result in a range of possible judicial remedies? a) authority b) pervasiveness c) consistency d) flexibility

c) consistency Knowing that actions receive consistent responses helps us decide how to act. Knowing that a breach of contract is very likely to result in judicial remedies is an example of why consistency is an important characteristic of law.

The widespread knowledge and acceptance of the fact that stealing a car will result in time spent in prison deters most people from stealing cars. This demonstrates which characteristic of law? a) authority b) pervasiveness c) consistency d) flexibility

c) consistency Laws must be consistent so that people can know that they are protected and can predict the outcome of a course of action, such as committing a crime. Knowing that being caught stealing a car will result in incarceration is a deterrent from auto theft and encourages following that particular law.

What source of law guarantees our basic freedoms, like freedom of speech, freedom of the press, and freedom to exercise religion? a) administrative law b) statutory law c) constitutional law d) case law

c) constitutional law Constitutional law guarantees our basic freedoms, like free speech, free press, and freedom to exercise religion. It also protects the rights of those accused of crimes, assures equality under the law, and guarantees payment for any property the government takes from a citizen.

Which source of law establishes basic rights, is essentially inviolate, and is the most difficult to add to, amend, or appeal? a) administrative law b) statutory law c) constitutional law d) case law

c) constitutional law Constitutions are considered supreme law and therefore cannot be added to, amended, or appealed on the basis of other forms of law.

Substantive laws are laws that a) deal with actual physical things rather than legal or philosophical concepts b) deal with the responsibility of ownership or the transfer or ownership of private property c) create, define, or regulate rights d) confirm, support, or otherwise integrate with other laws

c) create, define, or regulate rights Substantive laws define, describe, regulate, and create legal rights and obligations. They describe how individuals in a society should behave.

What is the primary function of law in legal positivism? a) upholding morals and values b) shaping human interaction c) creating an orderly society d) protecting basic human rights

c) creating an orderly society

A law must be _____________ in order to function as law. a) obeyed b) written c) enforceable d) believed

c) enforceable A law must be attainable and enforceable. Laws are rules that every member of a society can and should follow. Laws that are not followed need to be enforceable.

Laws serve several purposes in society. Which of the following is NOT one of the purposes of law? a) maintaining civil order b) influencing and encouraging good behavior c) enforcing the rules by which we live d) protecting members of society

c) enforcing the rules by which we live Laws codify, but they do not enforce. Enforcement is practiced by the judicial branch of government in implementation of the laws.

Civil disobedience to protest racial segregation laws in America demonstrates a) legal realism. b) legal positivism. c) the theory of natural law. d) law as a social contract.

c) the theory of natural law The theory of natural law states that unjust laws do not need to be obeyed. According to this theory of jurisprudence, any law that takes away basic human rights should be challenged in the courts or through civil disobedience.

Which characteristic of law is used to decide how the law applies to the rights of copyright holders when internet sites allow users to post copyrighted videos that were created before there was an internet? a) authority b) pervasiveness c) consistency d) flexibility

d) flexibility The question of how to take a three-hundred-year-old law like copyright law and adapt it to function under a new set of circumstances tests the flexibility of the law. The ability of the law to address changes in society and respond accordingly is a characteristic of the law that is essential to assuring its survival.

What do laws NOT confer on the members of societies ruled by those laws? a) rights b) freedoms c) protections d) honors

d) honors Laws do not confer honors, but they do confer rights, duties, freedoms, and protections on the members of the society ruled by those laws.

The practice of deciding new cases with reference to former decisions is known as a) jurisprudence b) persuasive authority c) equitable remedy d) stare decisis.

d) stare decisis stare decisis, which means "to stand on decided cases," is the practice of deciding new cases with reference to former decisions. Under the doctrine of stare decisis, judges are obligated to follow the precedents established within their jurisdictions.

What source of state law is supreme law within the borders of its state and provides the authority for the state statutory law structure? a) state administrative regulations b) state legislative enactments c) state codes d) state constitutions

d) state constitutions The constitution of each state is supreme within its own borders, unless it is in conflict with the U.S. Constitution. State constitutions provide the framework for all other state laws and statutes, just as the U.S. Constitution does for federal law.

What name is given to the body of laws which are enacted by legislative bodies? a) legislative prerogative b) case law c) constitutional law d) statutory law

d) statutory law Statutory law is the name given to the body of laws that are enacted by legislative bodies like states and the federal government.