Business Law- Mize

Adam promises his daughter Bev that she can have his restored 1968 Chevy Corvette when he dies. This is a. a present, not a future, transfer. b. a promise to make a gift. c. a promise to make a gift, a present transfer, and a valid gift. d. a valid gift

B

After a dinner at Rosario's Diner, Sharon believes that she was overcharged and shoves Tom, the waiter, who is injured when he falls. Tom sues Sharon, alleging that the shove was a battery. Sharon is liable if a. Rosario's did not actually overcharge her. b. she intended to shove Tom. c. she acted out of anger. d. Rosario's prices are too high.

B

Alain and Brie sign a contract for the sale of Alain's Patisserie to Brie. The parties intend their written contract to be a final statement of most, but not all, of the terms of their agreement—Alain must first buy the building from Commercial Properties, Inc., after which Alain and Brie will agree on a price. The writing that Alain and Brie signed is a. completely integrated. b. conditionally integrated. c. partially integrated. d. supplementally integrated.

B

Analytic Data, Inc., wants to hire Benazir, a noncitizen. A work visa is most likely to be set aside for a noncitizen if a. the noncitizen is of "ethnic similarity to the employer's workforce." b. there is a shortage of qualified U.S. workers capable of doing the work. c. hiring the worker will adversely affect the labor force. d. the noncitizen is a "person with an extraordinary work ethic."

B

Beef Burgers, Inc. contracts to buy five hundred head of cattle from Cattle Ranch. Before the seller can begin any delivery, an outbreak of disease causes a quarantine of the ranch. In this circumstance, the perfect tender rule a. applies and Cattle Ranch must deliver the goods. b. does not apply due to commercial impracticability. c. does not apply due to the nature of the installment contract. d. does not apply because the outbreak was foreseeable.

B

Berry enters into a contract with Clyde for a guided tour of Deep Canyon. Clyde represents that he is an experienced, knowledgeable guide, when in reality he has never been in the canyon. Berry is most likely a victim of a. duress. b. fraudulent misrepresentation. c. mistake. d. opinion.

B

Beth complains about the pervasiveness of sexual harassment toward employees at ChemWorks, Inc., where she is also an employee. As a result, the employer demotes her. Beth can file a. an implied contract claim. b. a retaliation claim. c. a constructive discharge claim. d. a disparate-impact discrimination claim.

B

Bette choreographs a dance to accompany City Orchestra's performance of a medley of movie scores. Dian, a dance instructor, distributes copies of a short portion of the choreography to her students. This is most likely a. copyright infringement. b. a "fair use." c. legal only on a payment of royalties to Bette. d. legal only on a payment of royalties to City Orchestra.

B

Clean Mouth Clinic offers to buy from Dental Supplies Company a certain quantity of floss and other items for a certain price. Dental can accept the offer by a. a material alteration of the terms within a reasonable time. b. a promise to ship or a prompt shipment of the goods. c. a prompt shipment of the goods only. d. a promise to ship only.

B

Consumers Choice store accepts a shipment of phones from Digital Devices, Inc. Consumers Choice later discovers a hidden defect in the phones, revokes acceptance, and returns the goods via GoBack, Inc. During the return, the goods are lost. The loss is suffered by a. Consumers Choice. b. Digital Devices. c. GoBack. d. consumers by increases in the prices of other goods and shipping.

B

Don One decides to use his personal name for a line of clothing he is developing. In this circumstance, Don One will receive trademark protection under the law when a. Don begins to market his line of clothing. b. customers begin to associate the name with the source of the product. c. Don begins to make his line of clothing. d. Don registers with the relevant trademark office.

B

Each court has a certain jurisdiction. Jurisdiction is best defined as a. a doctrine that follows established precedents. b. the authority to decide a specific dispute. c. a judicial proceeding to redress a wrong. d. a situation giving a person a right to initiate a judicial proceeding.

B

Elin is thirteen years old. Under the Fair Labor Standards Act, she can only work in certain jobs, such as a. on a construction site. b. a hazardous job. c. in a factory. d. delivering newspapers.

B

For a transfer from one person to another to create a bailment, the transfer must a. involve real or personal property, or a real person. b. include a delivery of property. c. mutually benefit both parties. d. result in the disposal of the bailed property.

B

Generally, given the broad language of the Constitution, the line between state and national powers lies is determined by a. Congress. b. the courts. c. the President. d. the administrative branch.

B

Global Enterprises Inc.'s board of directors can delegate some of its functions to a. incorporators. b. an executive committee. c. corporate shareholders. d. no one.

B

GoodGro Inc. makes genetically modified seeds that are identical to Harvest Corporation's patented seeds, without Harvest's permission. This is most likely a. copyright infringement. b. patent infringement. c. trademark infringement. d. none of the choices.

B

Grey buys a bus ticket at a window in the Hound Dog Depot before checking his backpack and boarding a bus to Idaho. Subject to a bailment is a. Grey. b. Grey's backpack. c. Grey's seat on the bus. d. Hound Dog Depot

B

Jill and Kane, with their attorneys, meet 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. This is a. arbitration. b. mediation. c. negotiation. d. mini-trial.

B

Juan and Isidro enter into a contract to buy, restore and reopen the Coastal Park Carousel. Before either party begins to perform, they agree to cancel their deal. This is a. specific performance. b. mutual rescission. c. accord and satisfaction. d. novation.

B

Ken tells Laurie that his Mazda Miata has never been in an accident, when Ken knows that the car has been in two major collisions. This may give rise to an action for fraud, because the statement is one of a. puffery. b. fact. c. illusion. d. opinion

B

Kevin is an agent for Lookout Accountants, Inc. On Lookout's behalf and at its request, Kevin pays Nathan for software designed for the management of Lookout's services. Kevin's right to obtain the amount of the payment from Lookout arises under the duty of a. none of the choices. b. compensation. c. indemnification. d. reimbursement.

B

Kim allows Lee Ann to store her trailer on Kim's property for $50 a month while Lee Ann is out of town on a job for Marketing Inc., her employer. The bailor is a. Kim. b. Lee Ann. c. Marketing Inc. d. no one

B

Kyla replaces Lomax in his job at Motor City Corporation. To succeed with an age-discrimination claim against Motor, Lomax will have to show among other things that a. Kyla is not qualified for Lomax's job. b. Lomax is qualified for his job. c. Motor's qualifications for Lomax's job are too high. d. no one could do Lomax's job as well as he could.

B

Len is a member of Maintenance Service, a limited liability company. The firm's profits are "passed through" to Len and the other members who pay a. no income taxes. b. only personal income taxes. c. only business income taxes. d. both personal and business income taxes

B

Liz buys a Miata from Nate's Mazda, paying with a check that is later dishonored. With respect to this offer, Liz's title to the car is a. valid. b. voidable. c. void. d. good.

B

Marketing Solutions Inc. promises to employ Niki as a software engineer. In reliance on the promise, Niki quits her job with Online Ad Agency, but Marketing Solutions does not hire her. Most likely, Marketing Solutions is a. liable to Niki under the concept of rescission. b. liable to Niki under the doctrine of promissory estoppel. c. liable to Niki under the preexisting duty rule. d. not liable to Niki.

B

Nero and Omar agree to buy natural gas to sell to Power Refinery and to share storage costs until the refinery can take delivery. The gas is commingled so that Nero's cannot be distinguished from Omar's. This is a. accession. b. confusion. c. conversion. d. production.

B

Nevin negotiates a deal for the sale of twenty-five acres of farmland to Otis. Nevin promises to hold the offer open in return for a small payment but does not state an exact period of time. With respect to this offer a. the deal is binding except for the promise to hold the offer open. b. a reasonable period of time is implied. c. the offer must be held open for an indefinite period. d. the deal is done.

B

Oversight Inc.'s board of directors votes to empower corporate officers to make decisions regarding ordinary, daily corporate affairs within well-defined guidelines. With respect to these affairs, Oversight's board a. is relieved of its responsibility. b. retains its responsibility. c. shares the responsibility. d. was never responsible.

B

Pine Mills Inc. and Quality Lumber Company enter into a contract for a sale of plywood to be delivered under a destination contract. Pine Mills, the seller, must a. allow the buyer to reject the goods for any reason. b. deliver the goods to a particular destination. c. inspect the goods before tendering their delivery. d. place the goods into the hands of a carrier.

B

Refer to Fact Pattern 27-3. To successfully defend against Artur's claim, Banquet will have to show that a. Artur consistently failed to meet the essential requirements of his job after the new doors were installed. b. Banquet cannot make changes to the doors without undue hardship. c. Carter is qualified for Artur's position. d. the doors were not installed as an act of intentional discrimination.

B

Richard, an engineer, supervises the construction of a new mountainside roadway. When the road collapses in a landslide due to faulty grading, Richard is sued by motorists and hikers injured in the collapse. As a professional engineer, Richard is held to the same standard of care as a. ordinary persons. b. other engineers. c. other professionals, including doctors, dentists, and lawyers. d. those injured in the collapse of the bridge.

B

Salsa Caliente, Inc., employs three hundred workers at four locations in two states. Under federal law, Salsa must provide each employee, during any twelve-month period, unpaid family or medical leave of a. up to twelve days. b. up to twelve weeks. c. up to twelve pay periods. d. no limited duration.

B

Sam and Terry agree to form a partnership to sell real property. To be enforceable under the Statute of Frauds, their agreement must be a. filed in the appropriate state office. b. in writing. c. signed by a notary public. d. all of the choices.

B

Serene City enacts an ordinance that bans the use of "sound amplifying systems" on public streets in order to reduce the noise pollution and its negative effects on downtown businesses, including a local school that was having problems in the classroom because of the noise. 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 because Tyler's speech is political. b. constitutional under the First Amendment as a reasonable, content-neutral restriction. c. justified by the need to protect individual rights. d. necessary to protect national interests

B

Sources of law do not include a. measures approved by local governing bodies. b. legal scholars' research. c. rules issued by state administrative agencies. d. judges' opinions.

B

The legally protected rights and interests that a person has in anything of established value subject to ownership is a. ownership in fee simple. b. property. c. concurrent ownership. d. unified ownership.

B

Through attorneys, Ethel, a minor, does business in the manner of an adult to negotiate and buy Front Street Villas, an apartment building. In many states, this contract would be a. entirely unenforceable. b. fully enforceable. c. readily voidable. d. totally void.

B

A statute enacted by the Wyoming state legislature to regulate trucking affects interstate commerce. In evaluating this statute, the courts will weigh the burden that it imposes on interstate commerce against a. the courts' authority to determine that a law is unconstitutional. b. the purpose of interstate commerce. c. the state's interest in regulating the matter. d. the statute's impact on noneconomic activity.

C

Bonds a. represent the true ownership of a corporation. b. are equity securities. c. represent the long-term borrowing of funds by a corporation. d. provide a proportionate interest in a corporation with regard to control.

C

Brad is a shareholder of Cloud Servers Inc. He will be deemed to have a fiduciary duty to Cloud and its minority shareholders if he has a sufficient number of shares to a. assert a preemptive right. b. bring a shareholder's derivative suit. c. exercise actual control over the corporation. d. participate in a cumulative vote.

C

Brewed Beans Inc. makes and sells "CoCoCafe," a chocolate-flavored coffee. Darkroast Inc. later markets a similar drink under the name "KoKoKafe." This is most likely a. copyright infringement. b. patent infringement. c. trademark infringement. d. trade secret infringement.

C

Charter Company offers to provide an air-conditioned bus to Denny's tour group for $1,500 plus the cost of the fuel. The mailbox rule applies if Denny accepts the offer by a. e-mail. b. phone. c. regular mail. d. meeting face-to-face

C

Darien, a minor, wants to disaffirm a contract that he entered into with Echo, a cell service company. The law in Darien's state, as in all states, permits minors to disaffirm a. fully executed contracts only. b. executory contracts only. c. executory and fully executed contracts. d. executory contracts only except under certain circumstances.

C

Edna and Flavia buy a boat that they dock in a marina near Gulfport, Mississippi. On the death of either owner, that owner's interest in the boat passes to her heirs. This is a. a joint tenancy. b. community property. c. a tenancy in common. d. ownership in fee simple.

C

Fabien offers to sell his Graphic Signs LLC business to Hanna for $100,000. Hanna replies, "The price is too high. I will buy it for $75,000." Hanna has a. accepted the offer. b. made a counteroffer without rejecting the offer. c. rejected the offer and made a counteroffer. d. rejected the offer without making a counteroffer

C

France and the United States are signatories of the Berne Convention. Alain, a citizen of France, publishes a book first in France and then in the United States. Alain's copyright must be recognized by a. France only. b. France and the United States only. c. all of the signatories of the Berne Convention. d. none of the choices.

C

Frank owns a collection of rare musical instruments. His ownership includes the rights to use, sell, or give away the property, On Frank's death, his interest in the collection will pass to a. the nearest repository of rare musical instruments. b. the state. c. Frank's heirs. d. the community.

C

Heidi owns a smartphone, a tablet, and a patent on an app. Her intangible property includes a. the phone. b. the tablet. c. the patent. d. all of the choices.

C

In a suit against Guy, Holly obtains an award of damages. This is a. an order to do or not do a certain act. b. the right to harm another. c. a payment of money for a harm suffered. d. the cancellation of a contract.

C

In an international contract, under a force majeure clause, a party may be excused from liability for nonperformance by a. changes in price. b. the principal of comity. c. an embargo. d. corporate office turnover.

C

James works at Kay's Breakfast Café. After work, in the parking lot, James finds a diamond ring lost by Lani. Title to the ring is possessed by a. James. b. Kay's. c. Lani. d. the state.

C

Jewelry & Coin Company hires Kelly Ann to buy gems and precious metals from various sources on its behalf. In this relationship, Jewelry & Coin is a. an employee. b. an independent contractor. c. a principal. d. an agent.

C

Leila enters into a contract with Metro Rides to work as a driver. Under the plain meaning rule, the court cannot consider any evidence not contained in the document if a. the parties' intent cannot be determined from the contract's language. b. the contract lacks a provision on a disputed issue. c. the words in the contract appear clear. d. a contract term can be interpreted in more than one way

C

Leon borrows Mike's car to drive Nina to the airport. Considering the purpose of the bailment, Leon has the right to a. compensation from Nina. b. reimbursement from Mike for any parking costs. c. use the bailed property. d. sell the bailed property

C

Rita and Sal do business as Tech Security, a partnership. In most states, for the purposes of collecting judgments and having accounting performed, this firm would be treated as a. a combination of individuals. b. a proprietorship. c. an independent entity. d. an aggregate.

C

Roofing Contractor LLC buys roofing tiles from Shingles Inc. The parties agree that the tiles will be shipped "F.O.B. Shingles' warehouse" to Roofing's location via Tristate Shipping Corporation. The tiles are lost in transit. The loss is suffered by a. Tristate. b. Shingles. c. Roofing. d. consumers by an increase in the prices of tiles and shipping.

C

Roy is a director of Sales Service Inc. Sales enters into a contract with TeleCenter Corporation in which Roy has a personal interest. Roy must a. apply the "don't ask, don't tell" rule of personal conduct. b. use the situation to his personal advantage. c. make a full disclosure of the conflict of interest. d. eliminate the conflict by resigning from Sales Service

C

T.J. owns a Miata. T.J. can use the car or dispose of it as he wishes. When T.J. dies, the car will descend to his son. T.J. is an owner in a. joint tenancy. b. tenancy in common. c. fee simple. d. community.

C

Tack Inc. and Stallion Stables enter into a contract for a sale of stable equipment. Tack delivers, but Stallion does not pay. Tack can normally recover as damages a. any profit lost minus any loss avoided. b. whatever amount the seller wishes to claim. c. the purchase price plus incidental damages. d. the market price at the place at which the seller delivered the goods.

C

Under the Outer Space Treaty, with respect to a space object and the personnel aboard it, the launching state a. forfeits supervisory authority to the United Nations. b. shares dominion and responsibility with the United Nations. c. retains complete jurisdiction and control. d. grants political autonomy to those aboard the object.

C

Wei Ltd., a Chinese firm, imports its goods into the United States and offers those goods for sale at "less than fair value." This is a. confiscation. b. a trade barrier. c. dumping. d. expropriation.

C

With respect to property, the law defines the right to a. sell or dispose of it, but not prevent trespass onto it. b. prevent trespass onto it, but not to sell or dispose of it. c. sell or dispose of it, and prevent trespass onto it. d. none of the choices.

C

As a director of InstaTalk Inc., Jim has a right of inspection. This right a. can be restricted by the corporate articles. b. can be restricted by the corporate bylaws. c. can be restricted by an act of the board. d. cannot be restricted.

D

Berry Fields, Inc., employs hundreds of seasonal and permanent workers, both skilled and unskilled, in three states. Under federal immigration law, Berry Fields can hire illegal immigrants a. if either the employer or the immigrants file special forms. b. only if the employer files a special form. c. only if the immigrants file special forms. d. under no circumstances.

D

Bess, an accountant, distributes a handbill to her business clients and potential customers accusing her competitor Clara of being a thief. The statement is defamatory if a. a recipient of a handbill orally repeats it. b. Clara suffers emotional distress. c. the statement is true. d. the statement is false.

D

Best Restoration, Inc., begins renovating houses for City Edge Property Company under a contract for a stated amount per house. After six months, Best demands an extra $20,000 per house. City Edge agrees to pay. Suppose Best asks for the extra $20,000 because ordinary business expenses have increased. The agreement is a. enforceable as the consideration is past. b. enforceable due to unforeseen difficulties. c. unenforceable as an illusory promise. d. unenforceable due to the preexisting duty rule.

D

Desayuno de Chile S.A., an export company in Chile, and Deli Source Inc., an import firm in the United States, enter into a contract. When Deli breaches the contract, Desayuno obtains an award of damages in a Chilean court. Desayuno then asks a U.S. court to enforce the award. The U.S. court defers to and enforces the Chilean court's decree. This is a. expropriation. b. the act of state doctrine. c. the doctrine of sovereign immunity. d. the principle of comity

D

Dian enters a boat race on rough waters. If her boat crashes and she sues the organization that ran the race for negligence, their best defense would be a. Dian assumed the risk of the boat crash when she chose to participate in the race. b. there was no harm to Dian. c. there was no proximate cause between the race and the crash. d. there was no cause in fact.

D

Faye owns the land on which Golden Spurs Ranch is situated, plus the ranch house, barn, and other structures permanently attached to the land. Faye's brother Huey owns everything else in the ranch's operation—livestock, feed, and so on. The personal property is owned by a. Faye and Huey. b. Faye only. c. Golden Spurs Ranch. d. Huey only

D

If a provision in the California state constitution conflicts with a provision in the U.S. Constitution a. neither provision applies. b. both provisions apply equitably. c. the state constitution is supreme within the state's borders. d. the U.S. Constitution is supreme.

D

Interstate Trucking, Inc., keeps a file of I-9 verifications forms, which are required by the Immigration Reform and Control Act. To monitor compliance with the act, random audits and enforcement actions are conducted by a. the local office of the National Labor Relations Board. b. the governments of interested foreign nations. c. the government of the state in which Restocking is based. d. U.S. Immigration and Customs Enforcement.

D

Lake City enacts an ordinance that bans the distribution of all printed materials on city streets. Mackensie opposes the city's latest "revenue-enhancing" measure and wants to protest by distributing handbills. In her suit against Lake City, a court would likely hold the ban on printed materials to be a. constitutional under the First Amendment because it is narrowly tailored to achieve a compelling government interest. b. not subject to the U.S. Constitution. c. unconstitutional under the commerce clause because it regulates activity that does not impact interstate commerce. d. unconstitutional under the due substantive process clause because it limits a fundamental right

D

Larry takes Kyla's accounting textbook and hides it so that she cannot find it during the week before the exam. Larry most likely committed a. disparagement of property. b. interference with a business relationship. c. trespass to land. d. trespass to personal property.

D

Lewis tells a representative of Music Inc. that he will pay for Nora's trumpet if she does not. Lewis does not secure any personal benefit for this promise. This promise is enforceable as a contract a. only if they meet to form the agreement. b. only if Nora agrees to it. c. only if the value of the trumpet is more than $500. d. only if it is in writing.

D

Lunchies Corporation, a U.S. firm, signs a contract with Manger au Brasserie, S.A., a French firm, to give Manger the right to use the Lunchies trademark in restaurants in France. This is a. a distribution agreement. b. indirect exporting. c. direct exporting. d. licensing.

D

Perry gives Rachel a phone as a gift. Rachel develops a new app for the phone, obtains intellectual property protection, and forms Quick Apps LLC to sell it. Rachel's acquisition of the app is by a. possession. b. accession. c. gift. d. production.

D

Resort Company replaces Sharon, a forty-five-year-old employee, with Terry. Sharon files a suit against the employer under the Age Discrimination in Employment Act. To establish a prima facie case, she must show, among other things, that she is a. deserving of higher pay than the individual who replaced her. b. generally more dependable than the individual who replaced her. c. older than the person who replaced her. d. qualified for the position.

D

Ruby stores her furniture with Stow-Away, Inc., under a contract that limits the dollar amount of its liability. A fire due to Stow-Away's negligence destroys the furniture. The loss is most likely to be imposed on a. neither Ruby nor Stow-Away. b. Ruby and Stow-Away in equal proportions. c. Ruby only. d. Stow-Away, subject to the contractual limitation.

D

Stefani and Tyler agree in an exchange of e-mail to form a partnership to buy and sell real property. Their partnership agreement is legally binding a. only if a copy of the agreement is filed in the appropriate state office. b. only if the agreement is printed in hard copy and signed by the parties. c. only if the parties exchange valid consideration. d. without more.

D

The Food and Drug Administration (FDA) wants Pharma Inc. to produce certain records for review. Pharma need not reveal a. incriminating information. b. files that are not otherwise required by law. c. facts that could be used against the firm in a court. d. trade secrets

D

Under the Outer Space Treaty, a moon, a planet, an asteroid, or any other celestial body is subject to the appropriation of a. the first nation to explore it. b. the first nation to exploit it. c. the first nation to claim title to it. d. no single nation.

D

United Wear Inc. and Winter Gear stores enter into a contract for a sale of coats. Their contract can indicate that the price includes transportation costs to a specific destination by including the term a. C.I.F. b. delivery ex-ship. c. F.A.S. d. F.O.B.

D

Brad buys a bulldozer from Construction Equipment Corporation, which he leases to Deep Digs, Inc. In this situation, the lessee is a. Brad. b. Construction Equipment Corporation. c. Deep Digs, Inc. d. none of the choices.

Deep Digs, Inc