MGMT 402 FINAL EXAM

Which of the following employee screening actions are prohibited by law?

An employer asks for an employee's social media passwords to determine whether the employee has made any private racist posts.

Which of the following affirmative action plans will likely be considered permissible by a court?

An employer considers race as one factor among several when hiring qualified employees.

Disparate impact discrimination occurs when __________

An employer unlawfully discriminates against an entire protected class of employee

Which of the following would not constitute a valid signature on a contract?

Someone writing the word "no" on the signature line on a contract. - Any mark that indicates the person signing the contract intends to be bound by it can constitute a signature, and writing 'no' on the signature line would not indicate this.

When one party to a contract commits a minor breach of the agreement, this is most closely associated with what level of performance?

Substantial performance

How many weeks of paid leave is an employee legally required to be given for the birth or adoption of a child?

0

In order to call for a vote on whether to form a union, what percentage of employees in the bargaining unit must sign consent cards?

30%

Which of the following actions would not be a breach of the agent's duty of loyalty?

Deciding not to inform the principal about an aspect of a business deal that could negatively impact the principal

Which of the following is not a protected class under Title VII?

Disability

Which provision in the U.S. constitution requires a person to receive notice and a fair hearing before the government can deprive her of life, liberty, and property?

Due Process Clause

An agent's responsibility to keep an accurate record of its activities and money spent on behalf of theprincipal is called the _________

Duty to account

If an employee is also an agent, then the employer's obligation to pay the employee her wages and/or commissions is part of the employer's ___________

Duty to compensate

The decision of whether to file a lawsuit in state court or federal court is a question concerning ___________________________

Forum

Which of the following contracts would be unenforceable because it lacks legality?

Ginger sues TIP Tech to recover fees for legal services she provided, even though she failed to pass the bar exam and isn't technically a license attorney.

A foreign citizen with a bachelors' degree in electrical engineering would most likely come to the U.S. to work under which type of Visa?

H-1B

When one party sends a written list of questions to the other party as part of the discovery process, this is known as _____________

Interrogatories

Absent and intentional or reckless damages, the biggest difference between contracts entered into by intoxicated persons, insane persons, and minors is __________.

Intoxicated and insane persons owe a duty of restitution, but minors owe a duty of restoration.

"Netflix" is a strong trademark because ___________________

It is very unique - As an invented word. "Netflix" is unique and therefore a strong trademark.

Hiring a new employee with 25 years' experience in the industry instead of one with 2 years' experience in the industry will probably not be considered discriminatory because of which defense?

Merit Defense

Which of the following is not a remedy available to a seller of goods when the buyer breaches the contract and the goods are not in the possession of the buyer?

Sue for the full purchase price and sell the goods to a different buyer.

If you have a secret formula that you want to protect as a trade secret, what is the best strategy for doing so?

Tell as few people as possible, and just keep it secret.

Which of the following is not necessary in order to form a valid contract?

Terms that are fair to each party -Parties are free to enter contracts with unfair terms, as long as there has been a valid offer and acceptance and both parties assent to the terms.

In which case is an employer strictly liable for illegal discrimination, meaning it has no defenses?

When a supervisor harasses a subordinate and also makes an adverse employment decision with regard to that employee

If Tyler offers $5,000 to a saleswoman to purchase a machine and the saleswoman replies, "My boss won't let me go that low, but I will sell it to you for $6,000," Then Tyler's offer has been ___________ and the saleswoman is now the _______________.

A counteroffer is a rejection plus a new offer, so Tyler's offer has been rejected and the saleswoman made a new offer and is now the offeror.

Which of the following would likely not be eligible to receive a patent?

A new type of cooking method that is used in Asia, but has never been used in the U.S.

In a state that has adopted a right-to-work statue, which type of employee cannot be required to pay any fees to a union?

A non-union member in an agency shop

If Jane is 15 years old and wants to get a job, what type of job is she legally permitted to obtain?

A part time, non hazardous job

Which of the following is not one of the three levels of judicial branch courts?

Administrative Court

Why are not all employer-employee relationships also principal-agent relationships?

Because not all employees have the authority to bind their employer.

If Jack is 38 years old, which of the following individuals may a company hire instead of Jack without having to worry about being sued for age discrimination under the ADEA?

Any of these

If two people have never agreed to enter into an agency relationship, but one of the parties has acted insuch a way as to make some third party reasonably believe that the other party was its agent, then a courtwill probably conclude that they have which type of agency relationship?

Apparent agency

Principals must notify third parties of the termination of an agency relationship so that the principal will not suffer losses under the doctrine of _____________

Apparent agency

Which of the following awards ordered by a court is not an equitable remedy?

Back Pay for the time an employee was out of work

A group of similarly situated employees who can form a union is known as

Bargaining unit

Which of the following is not required to be present in order for a contract to be said to have consideration?

Both parties giving goods or services of equal value. - The value given by each party does not have to be equivalent to the value given by the other party.

If you are the offeree, then...

The offeree receives the offer and has the power to accept or reject it.

Which form of breach of contract remedy requires the breaching party to pay for the foreseeable damages incurred by the non-breaching party, as long as the breaching party knew, or had reason to know, of the likelihood of those damages?

Consequential damages

When an employer creates intolerable working conditions for someone because he or she is a member of a protected class and the employee ends up quitting as a result, the employee has a claim for discrimination under the doctrine of __________________

Constructive discharge

A lawsuit alleging an employee was fired in violation of Title VII of the Civil Rights Act of 1964 can be filed in federal court under the doctrine of ____________________

Federal question jurisdiction

Which of the following is true of employees in states with right-to-work laws?

Employees cannot be made to join a union or pay union fees.

The Norris-LaGuardia Act prohibited "yellow dog contracts" which said that _____________

Employees would only be hired if they agreed not to join a union.

Which of the following is not a duty imposed on employers by ERISA?

Employers must provide retirement savings plans for their employees.

If an employer and a union come to an impasse when renegotiating their collective bargaining agreement, and the current CBA has a no-strike clause prohibiting strikes in the month of December, when is the earliest a strike can begin if the breakdown in negotiations occurs on December 15?

February 13

A clause in a collective bargaining agreement that requires the employer to only hire new employees who are existing union members, is an ____________

Illegal subject

When one party to a contract engages in anticipatory repudiation, at what point may the other party file a lawsuit for breach of contract damages?

Immediately

If two people have never agreed to enter into an agency relationship, but it's a reasonable inference from their actions that they would want to become principal and agent, then a court will probably conclude that they have which type of agency relationship?

Implied agency

In which situation would a Kansas court not have personal jurisdiction over Inez?

Inez drove through Kansas on vacation, but doesn't live there, and is sued there as a result of a car accident she cause in New Hampshire.

If two parties negotiating a contract exchange multiple documents that contain the agreed-upon terms of the deal, the idea that all of these documents can be combined to form one single contract, even if the parties didn't specifically state that they should, is known as____________.

Merger?

Which of the following documents in the litigation process is not considered part of the pleadings?

Motion for summary judgement

Which of the following types of mistakes will allow one party to rescind a contract?

Mutual mistake of fact -Only a mutual mistake of fact will allow one party to rescind a contract.

Which of the following is not a necessary element of a valid contract?

Mutuality

Which federal statute created an executive branch agency that has the power to investigate and bring charges related to unfair labor practices?

National Labor Relations Act

Letty is an attorney employed by a law firm. As a young lawyer, she makes $37,000 per year. She is working on a very important case and in one week Letty works 95 hours! Does Letty's law firm have to pay her overtime for the hours she worked in excess of 40 hours during that week?

No, because Letty is exempt from the FLSA as a learned professional.

If Ergoffice offers to sell Paulo three desk chairs and the offer states, "this offer may only be accepted by telephoning us before 5:00 pm," and Paulo sends an email accepting the offer at 4:59 pm, have they formed a contract if the email doesn't arrive in Ergoffice's inbox until 5:02 pm?

No, because Paulo did not use an authorized means to accept the offer.

Tyler is quite enamored with Beatrice, the equipment saleswoman. She knows that he has a crush on her, and she persuades him into signing a contract that has very unfair terms for TIP tech. Can Tyler rescind the contract because of undue influence?

No, because Tyler and Beatrice did not have a fiduciary relationship. -A claims of undue influence cannot be sustained unless the parties have a fiduciary relationship.

If a salesman offers to sell Tyler a piece of equipment for $10,000 and Tyler says "I accept your offer to purchase the equipment for $9,900," have they formed a contract?

No, because Tyler's acceptance violated the mirror image rule.

Big-Mart ran a television advertisement stating that they were selling tablets for $299. Paulo rushes down to Big-Mart and attempts to purchase three tablets, but just as he arrives, he sees a big-mart employee changing the price tag on the tablets from $299 to $599. Paulo insists that he be allowed to buy the tablets at $299 because he saw the add. Is he correct?

No, because advertisements are generally not offers. -Used as invitations for offers

Batteries, Batteries, Batteries ("BBB") discovers that TIP Tech is planning to use the slogan "Power forDays" in its marketing materials. BBB quickly files a trademark application for that phrase to preventTIP Tech from using it, although BBB has no plans of using the slogan. Will BBB's application begranted?

No, because an applicant must actually use, or intend to use, the mark in commerce for a trademark to be granted.

If you live in a state where gambling is prohibited by law, and your grandfather offers you $10,000 on your 18th birthday if you will agree to refrain from hosting gambling parties in your home until you turn 21, is this an enforceable contract?

No, because it is supported by illegal consideration. - A promise to refrain from engaging in illegal activity does not count as consideration. It is known as illegal consideration.

Assume the federal minimum wage is $7.25 per hour (which it is), and that Florida law requires aminimum wage of $31 per hour (which it is not). If a Florida employer decides to pay its employees $7.25 per hour and is sued for failing to pay the minimum wage, will the employer win the lawsuit?

No, because states are free to raise the minimum wage within their state above the federal level.

TIP Tech is negotiating with a landlord to lease some new office space. They finally agree on all the terms of the lease and both parties are ready to sign the written agreement. At the meeting where they are both getting ready to sign, TIP Tech informs the landlord that it wants the right to use ten extra parking spots free-of-charge, which was not part of the original contract. The landlord verbally agrees, and both parties sign the contract without changing any of the written portion. Once TIP Tech moves into the space, the landlord informs the company that it is using the ten parking spots without permission and any cars parked there will be towed. Does TIP Tech have the right to use these parking spaces?

No, because the parol evidence rule prohibits this contemporaneous oral agreement from being enforced. - The parol evidence rules assumes that the written words of a contract are the complete expression of the parties' agreement and thus any prior or contemporaneous oral agreements will be unenforceable if they are not included in the final written agreement.

If a police officer knocks on your door and offers to keep an eye on your neighborhood and try to prevent crime if you will pay him some money, and you agree to do so, is this an enforceable contract?

No, because the police officer had a preexisting duty to do those things, so there is no consideration. -The police officer already had the duty to prevent crime and protect your neighborhood, therefore this action cannot qualify as consideration to support a new contract.

If a professor shows a clip of the 1988 movie Coming to America in his business law class to illustrate the concept of trademark infringement, but he does not obtain permission from the studio that owns the film to do so, has he engaged in copyright infringement?

No, because this is one of the fair use exceptions. - Use of a short clip in a classroom for educational purposes fall under fair use

Mobilio owes TIP Technologies $100,000 for batteries it purchased. Mobilio acknowledges that the contract price for the batteries was $100,000, but doesn't want to pay that amount because it thinks some of the batteries it received were defective. TIP Tech agrees to accept $85,000 instead of the full amount owed. After Mobilio pays the $85,000, TIP Tech decides that it wants to sue for the remaining $15,000. Will TIP Tech be successful in this lawsuit?

No, because this was an accord and satisfaction that was fully satisfied. - Because there was a dispute over the amount owed, this was an unliquidated debt, and TIP Tech's agreement to accept less than the full amount was an accord, which was satisfied by Mobiliio's payment.

What must the creator of a writing do in order to obtain a copyright on a work?

Nothing. - The creator of a writing automatically owns to copyright from the moment the work is set forth in recorded form.

In which situation will rescission and reformation be an available remedy?

One party has materially breached the contract

The doctrine of promissory estoppel requires each of the following elements to be present, except ________.

One party intentionally misled the other party.

Which type of employee communication can an employer never monitor?

Personal text messages from a mobile phone owned by the employee.

Which of the following is not an example of an employer's unfair labor practice?

Prohibiting non-employees from soliciting for the union on the employer's premises.

Which of the following is not a right granted to a buyer of goods when the seller delivers nonconforming goods?

Recover the goods from the seller if the seller is insolvent.

Which of the following is not an option under UCC Article 2 for buyers who receive a shipment of nonconforming goods?

Reject part of the shipment without informing the seller.

Virgin Galactic is a company that is attempting to pioneer commercial space travel. What type of mark would the name "Virign Galantic" be?

Service Mark - Transportation is a service. Therefore, any branding of Virgins Galactic's services would be registered as a service mark.

If an illegal contract is _________, courts will usually still try to enforce the legal parts of it, but if it is ________, the entire thing will usually be void.

Severable; indivisible

Which of the following contracts does not need to be in writing?

TIP Tech's agreement to borrow $10,000,000, plus interest, from Big Bank.

In which scenario will the principal NOT be liable for the contract?

The agent signs the agreement and discloses that she is an agent for the principal, but the principal did not authorize the signature.

In which situation will a court enforce a liquidated damages clause?

The amount of liquidated damages is rationally related to the amount of actual damages.

If one of TIP Tech's competitors intentionally uses it patented technology without permission, TIP Tech could possibly obtain all of the following remedies except ________________

The competitor's officers could face jail time. - patent infringement is not a criminal offense

In which of the following scenarios will an employer be liable for the tort committed by its employee?

The employee was on a dual-purpose mission when the tort was committed.

In what situation can an employee sue her employer in court without first going through the workers' compensation system?

The employer intentionally injured the employee.

The most important requirement in determining if an employer will be forced to pay for an employee's injury is whether_______________.

The injury was employment-related

Which of the following is NOT something you must prove in order to have a claim for fraud?

The other person thought that what he was telling you was true. -The other person must know that his statement is false, and intend to deceive you.

In a trial, which side puts on its case-in-chief first?

The plaintiff

Which of the following is not a requirement in order to have standing in a lawsuit?

The plaintiff must have witnessed the events giving rise to the lawsuit.

After becoming very wealthy later in life, Tyler is so thankful for his education that he calls up his old college and says," I pledge to give you $10 million." The college is so excited that it announces the construction of a brand new building to be named after Tyler, and begins the planning work for it. Later, Tyler decides that he would rather buy a new private jet instead, so he decided not to give the money to the school. The school sues him to make him pay. Who wins?

The school wins because it reasonably relied on his promise to make a gift. - A promise to give a gift to a charity, school church, etc. will often be enforced, especially if the organization has acted in reliance on the promise.

If TIP Tech signs a contract to lease office space, which of the following is most likely a material term of the contract?

The time for each party to perform its duties is typically a material term.

Which of the following is not a type of patent recognized by federal patent law?

Theory Patent

How prevalent are federal trial courts?

There are anywhere from 1 to 40 Districts in each state.

If an employer has 13 employees, from which federal anti-discrimination law is it exempt?

Title VII, ADA, ADEA

Each of the following types of intellectual property can be registered with the federal government, except _____________________

Trade Secrets.

Tyler enters into a contract that he wants to get out of, so he claims that he was legally insane at the time he signed the contract. Which of the following circumstances would allow him to disaffirm the contract because of insanity?

Tyler has a diagnosed mental illness and was not taking his medications and was incapable of understanding his actions at the time of the contract.

As a general rule, contracts that have an illegal purpose are __________.

Void

Contracts entered into with an adjusted insane person are ___________, whereas contracts entered into with an insane person who has not been adjusted insane are______________.

Void; voidable

Under UCC Article 2, when does a buyer's duty to pay for goods arise?

When the seller tenders delivery of conforming goods.

Limitations on consequential damages in contracts for the sale of goods are generally enforceable, except for ___________.

When they limit a consumers' right to recover for personal injuries.

Which type of strike is generally illegal?

Wildcat Strike

If an employee is not paying attention and negligently slams the door to her workplace on the fingers of a customer, can the customer recover her damages from that employee?

Yes, because everyone is always liable for their own torts.

The employment agreement between TIP Tech and Inez includes the following clause: "The parties agree that TIP Technologies will not be liable for any injuries to Inez as a result of her work-related activities." If Inez is injured on the job, will TIP Tech be held liable for the injury?

Yes, because exculpatory clauses for workplace injuries are not enforceable.

When he turned 16, Paulo really wanted a new car, so he went to the local Ferrari dealer and took out aloan to buy a new Ferrari. The terms of the loan called for Paulo to make payments every month for 10years. When Paulo turned 18 (the age of majority in his state), he decided that he should disaffirm thecontract, but he kept putting it off because he loved his Ferrari so much. Finally, shortly after his 20thbirthday, Paulo informed the Ferrari dealer that he was disaffirming the contract. Can the dealershipenforce the agreement against Paulo?

Yes, because he ratified the contract by not disaffirming it within a reasonable time.

If an employee if fired because he is not very good at his job, although he tries hard and gets along well with everyone, can he collect unemployment compensation while he looks for another job?

Yes, because the firing was not the result of improper behavior.

Inez is intoxicated and very very hungry when she goes into the convince store to purchase a hot dog. Noticing her intoxicated state, the cashier charges her $50 for the hot dog, instead of the usual price of $2. After she sobers up, Inez seeks to disaffirm the contract for the sale of the hot dog. Will she be made to pay for it?

Yes, but only the reasonable value of the hot dog.