MANGMT 3540: Final Exam Study Guide

If seizing assets to satisfy a judgment, what is a recommended way to actually acquire the assets?

Using the local sheriff.

What should you do if the debtor you have a judgment against has no assets or income, but will in the future?

Wait, you have 10 years to collect on a judgment.

A legal claim made by a contractor or subcontractor against property that has been remodeled or improved to recover the monies owed is called a:

mechanic's lien.

A _________________ deed transfers whatever ownership rights that the transferring party may have in real property.

quitclaim

Who is the mortgagee?

the lender of the money

The main purpose of recording a deed in public land records is:

to give notice to the world that you have title to the property.

Most states require that a jury in a criminal case be __________ in finding a defendant "guilty" or "not guilty."

unanimous

Which of the following symbols marks a federally registered trademark?

®

Which amendment to the U.S. Constitution grants us a right against self-incrimination?

5th Amendment

Which amendment to the U.S. Constitution grants us a right to a jury trial in criminal cases?

6th Amendment

Based on a defective product's "chain of distribution," which one of the following parties will probably NOT be held liable for an injury caused by the defective product?

A friend who lends a defective product to the injured person.

What is a "foreign judgment"?

A judgment made against a debtor's property which is in a different state.

Which of the following might be considered an example of embezzlement?

A lawyer moves her client's money into a personal account and spends it on vacations.

A defect which arises in only one, or a small number of a particular product because of problems or mistakes during assembly is best characterized as:

A manufacturing defect.

If an employee agrees to a term that requires the employee not to work for any other employer for the duration of the employment contract, what has the employee agreed to?

An Exclusive Employment Agreement

Which of the following best describes an intentional tort?

An intentional, wrongful act, which results in harm to another person.

Possible harmful effects of anticompetitive practices include all of the following EXCEPT:

An overall increase in the availability of particular goods in the marketplace.

Andy can show that the defendant's negligent driving was the cause-in-fact of Andy's broken arm if:

Andy can show that he would not have broken his arm but for/were it not for the defendant's negligence.

Which of the following best described the two categories of provisions within the Foreign Corrupt Practices Act (FCPA)?

Anti-bribery provisions and accounting and record-keeping provisions.

All of the following are common examples of white collar crime EXCEPT:

Armed robbery.

What Chapter of bankruptcy would a coal mining business best be suited to?

Chapter 11

Student loans are an example of a type of debt that typically can't be discharged (sorry) in bankruptcy. What's another example of a debt that typically can't be discharged?

Child support payments

The purpose of the sentencing phase of a criminal trial is to:

Determine the appropriate legal punishment after a conviction.

________________ are rights to use the property of another for particular purposes.

Easements

Money or property held by a third, disinterested party for safekeeping is

Escrow

Which of the following is true regarding legal actions brought in court as a result of FTC investigations?

FTC investigations may result in both civil cases and criminal cases, if the defendants knew about the fraud.

What is the most common way to default on a loan obligation?

Failing to make payments as they come due

A defendant has breached a duty to an injured victim when the defendant:

Fails to act with reasonable care in fulfilling a duty to the victim.

The writer of an online review of a business will NOT be protected against a commercial disparagement claim if the negative statements in the review are:

False and presented as fact or first-hand experience.

What will normally happen upon a homeowner's default on their mortgage?

Foreclosure

The party who presents its case first in a criminal trial is the:

Government

What is the best way to avoid contractual disputes and lawsuits as a small business owner?

Hire an Attorney

Which of the following is the best example of horizontal conduct which may violate antitrust laws?

Two companies agree to fix their prices so that consumers will not prefer one over the other.

An executive from a publicly-traded company might commit securities fraud by:

Lying about the value of the company to entice more investors to buy stock.

The contract that represents a borrower's primary promise to repay a loan is typically called a(n):

Promissory note

What is an exempt asset?

Property that a debtor is allowed to keep through Chapter 7 bankruptcy.

Antitrust laws are best described as those which:

Protect against business practices which unfairly reduce competition in the marketplace.

A contract to acquire office space is commonly called a:

Real Property Lease

What is a mortgage normally secured by?

Real property, such as a home

A contract in which two parties each agree to keep each other's trade secrets confidential is called a:

Reciprocal Non-Disclosure Agreement

An agreement for 30-day short-term rentals are often referred to as a

Rental agreement

In addition to promoting competition, the FTC protects consumers against fraud and deceptive business practices. FTC civil enforcement can result in:

Restitution for consumers or disgorgement to the United States Treasury.

__________________ are provisions in a deed limiting the use of the property and prohibiting certain uses typically used by land developers to establish minimum house sizes, setback lines, and aesthetic requirements thought to enhance the neighborhood.

Restrictive covenants

What is a critical difference between secured and unsecured creditors in bankruptcy?

Secured creditors may seize secured assets even after Chapter 7 discharge.

Mona Lisa publishes an online video in which she lies and says that Tom has not paid taxes on his business in ten years. Tom's business reputation is hurt, and people stop coming to his store. Of which tort might Mona Lisa be guilty?

Slander.

What is a discharge?

A release of the debtor from personal liability for nearly all future collection efforts.

Which of the following is likely not a place you could get a business loan?

A rival company

In 2019, 181 Business Roundtable CEOs pledged to reorient the "purpose" of their companies towards which of the following:

A stakeholder focus.

A business tort is best defined as:

A wrongful act, sometimes also a crime, that results in some sort of harm to a business.

A "no authority to contract" clause in an employment agreement is also known as a(n):

Agency provision

Which of the following is NOT a way in which a defendant can make a fraudulent misrepresentation?

All of the other choices are ways in which a defendant can make a fraudulent misrepresentation.

If an employee may be fired at any time, the employment contract is:

At Will

Why would a lender want a security interest?

Because it reduces the risk of loss if the borrower stops paying

Why would a business's insolvency matter in a collection context?

Because they have less money than they owe, making payment unlikely

If an employment contract states the employee must work to the best of her ability for the duration of the employment, the contract contains a(n):

Best Efforts Clause

The standard of proof that a jury must find when reviewing the evidence in a criminal trial is:

Beyond a reasonable doubt.

A contract that transfers ownership of a good from one party to another is called a:

Bill of Sale

Which of the following is not a patentable item?

Books

A defect in a construction project that arises within a period time guaranteed against defect brings rise to a ____________________ action.

Breach of warranty

Which of the following debt relationships does not normally involve a security interest?

Credit card debt with high interest

White collar crime can broadly be defined as:

Crimes motivated by financial gain which typically involve fraud or deceit.

What's another word for the party that a plaintiff has a judgment against, in a financial context?

Debtor

Commercial disparagement and defamation often involve similar conduct by the defendant, but one primary difference between these two torts is that:

Defamation involves false information that injures a person's reputation, while commercial disparagement involves false information about a business's product or property interests.

A person or company might violate the anti-bribery provisions of the FCPA by:

Illegally paying a foreign government official to obtain or retain business.

An agreement to transfer risk from one party to another is called a(n):

Indemnity Agreement

A company executive with access to confidential information about that company who buys or sells stock based on this information might be guilty of:

Insider trading.

Common examples of anticompetitive business practices include all of the following EXCEPT:

Lowering prices to attract customers.

Which of the following is NOT a characteristic of a stakeholder focus?

Maximizing profits for shareholders at all costs.

When a jury fails to render a verdict in accordance with the laws of the state, the judge will typically declare a:

Mistrial.

Are creditors allowed to continue collection efforts after a debtor has filed bankruptcy?

No, the automatic stay prevents this until bankruptcy is complete.

An intellectual property protection that is granted to an inventor by the federal government that permits the inventor to exclude others from making, selling, or using an invention that is both "novel" and "non-obvious" describes a

Patent

When a prospective juror in a criminal trial is legally challenged for any legal non-discriminatory reason, it is called a:

Peremptory challenge.

The FTC reviews and investigates mergers and acquisitions of companies primarily to:

Prevent mergers that have anticompetitive effects that may harm consumers.

Copyrights protect original works such as all of the following EXCEPT:

Symbols

The three different kinds of patents included all of the following EXCEPT:

Technological Patents

If a plaintiff can show that she would not have been injured, but for the defendant's negligence, but the harm the plaintiff suffered was too remote and not foreseeable from the defendant's negligence, the plaintiff CANNOT prove which element of a claim of negligence:

That the defendant's negligence proximately caused her injures.

Which of the following is the best example of a trademark?

The McDonald's Golden Arches

The Missouri state law which regulates and punishes unfair and deceptive business practices is known as:

The Merchandising Practices Act.

The state agency in Missouri responsible for bringing civil and criminal cases against companies for deceptive business practices and for partnering in FTC investigations is:

The Missouri Attorney General's Office - Consumer Protection Section.

Where should you register your work in order to protect your copyright?

The U.S. Copyright Office

Where can you find out whether a trademark is already registered?

The U.S. Patent and Trademark Office's website

Which of the following is NOT a good reason for a court to deny discharge to a debtor?

The debtor's assets were not enough to pay creditors.

Which of the following is NOT an element of the tort of negligence?

The defendant intended the wrongful act and intended to harm the victim.

Which of the following is NOT generally a defense to claim of defamation?

The defendant made the false statements only as a prank.

Which of the following is NOT an element of fraudulent misrepresentation?

The defendant provided the information in a signed document.

What does it mean for a loan to accelerate?

The entirety of the loan becomes due

Which of the following is true regarding anonymous online reviews of businesses?

The first amendment protects the basic right to anonymous speech.

A defendant's negligence is the proximate cause of harm to the plaintiff when:

The harm was foreseeable to the defendant as a possible result of his or her negligence.

Jury instructions in a criminal case involve:

The judge giving the jury the set of legal standards it will need to decide whether the defendant is guilty or not guilty.

The presumption of innocence in a criminal jury trial does not change until:

The jury begins deliberations

An injured consumer might claim that a product has a marketing defect when:

The labels on the product do not provide adequate safety warnings.

Which of the following is generally true about security deposits?

The landlord must return the tenant's security deposit minus deductions for repairs or cleaning expenses

What is a limit on wage garnishment?

The party asking for wage garnishment must generally get court approval before doing it.

Modified comparative negligence describes a defense to a claim of negligence in which:

The plaintiff cannot recover if she is at least equally as responsible for her own injuries as the defendant.

A court is less likely to find that a defendant owed a duty to the plaintiff if:

The plaintiff was trespassing on private property when she was injured.

Seeing with an "ignorant eye" most closely refers to:

The practice of reexamining old assumptions and asking questions to determine what is needed to achieve a new purpose.

When we refer to "judgment collection," what are we talking about?

The process of getting money owed to you due to a judgment

Quasi-contract obligates one party to pay another party:

The value of a benefit the other party conferred on the first party.

Which of the following is FALSE regarding Employment contracts?

They never need to be in writing

What does it mean to "reaffirm" a debt?

To contractually agree that the debtor will remain liable for the debt, even after discharge.

What is the discovery process used for after the trial?

To discover assets that can be collected to satisfy the judgment.

Many contractual relationships require one party to pay money to another, but quasi-contractual relationships can also create an obligation to pay money even when there technically is no other express or implied contract. When would the law create a quasi-contractual obligation to pay money?

To prevent an unjust result.

Which of the following best describes the dual role of the Federal Trade Commission (FTC)?

To protect consumers from fraudulent business practices and promote competition in the marketplace.

What does it mean to "perfect" a security interest?

To protect the collateral from the security interest of another lender

What is the focus of Chapter 7 bankruptcy?

To sell off assets in an attempt to pay creditors, in exchange for discharge from debt.

What is the trustee's role in Chapter 7 bankruptcy?

To sell off the debtor's assets that are not exempt.

If a defendant threatens to reveal embarrassing information about a person if that person does not break a contract with a third party, the defendant has committed which tort against the third party:

Tortious interference.

A piece of information that has independent economic value because it is not being generally known and can reasonably be maintained a secret describes a

Trade secret

Which of the following is NOT a factor considered by a court when evaluating whether an unauthorized use of copyrighted material qualifies as fair use?

Whether the author is living or deceased.

_________________ are used to divide a municipality into residential, commercial, and industrial district that are for the most part separate from one another.

Zoning regulations