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Home care company is charged with violations rule of the social security administration. Most likely, home care will be required to appear at a hearing presided over by

An administrative law judge

Contract

An agreement that can be enforced in court; formed by two or more parties, each of whom agrees to perform or to refrain from performing some act now or in the near future.

Haji is arrested at a warehouse in Industrial Park and is charged with the crime of theft. Haji will be prosecuted by

B. A District Attorney or an Attorney General

Sam, driving under the influence, causes a car accident that results in the death of Tanya. Sam is arrested and charged with a crime punishable by "imprisonment for more than a year." This crime is

B. a felony.

Works that are copyrightable include A. books. B. all of the choices. C. music videos. D. product packaging.

B. all of the choices.

Without the permission of the copyright owner, Faye copies the literary expression of Game of Thrones, changes the names of the main characters, and publishes the result as her own work. This is A. a "fair use." B. copyright infringement. C. none of the choices. D. a legitimate creative act.

B. copyright infringement.

Gaia tells Franco that she will pay him $50 to haul lawn debris from her property. Franco's acceptance is complete A. once he starts to work. B. only after he hauls away the debris. C. as soon as he says he will do the job. D. when he hears the offer.

B. only after he hauls away the debris.

GoodGro Inc. makes genetically modified seeds that are identical to Harvest Corporation's patented seeds, without Harvest's permission. This is most likely A. trademark infringement. B. patent infringement. C. copyright infringement. D. none of the choices.

B. patent infringement.

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. made a counteroffer without rejecting the offer. B. rejected the offer and made a counteroffer. C. rejected the offer without making a counteroffer. D. accepted the offer.

B. rejected the offer and made a counteroffer.

Coffee Beans Inc. offers to buy Brewing Company's roasting services for a certain price. Brewing responds that the price is too low and thereby rejects the offer. The offer is A. valid until Coffee Beans revokes the offer. B. terminated. C. valid for the period of time prescribed by a state statute. D. valid for a reasonable time.

B. terminated.

negligence

Baby Things Inc. makes and sells a crib to Cara. Baby Things fails to exercise "due care" to make the crib safe, and Cara's child Dua is injured as a result. Baby Things is most likely liable for

Which tort provides a basis for a criminal prosecution as well as for a tort action? a. Battery b. Libel c. Invasion of privacy

Battery

wire fraud

Beau devises a scheme to send fraudulent e-mails—claiming that an arrest warrant has been issued for non-payment of taxes—to individual taxpayers. By these false pretenses, Beau intends to obtain money and personal data. This is

Search Warrant

an order granted by a public authority (generally a judge) that authorizes law enforcement personnel to search a particular premises or property.

Search Warrant (4th Amendment)

an order granted by a public authority, such as a judge, that authorizes law enforcement personnel to search particular premises or property.

CASE EXAMPLE 4.7 Hustler magazine once printed a fake advertisement that showed a picture of the Reverend Jerry Falwell

and described him as having lost his virginity to his mother in an outhouse while he was drunk. Falwell sued the magazine for intentional infliction of emotional distress and won, but the United States Supreme Court overturned the decision. The Court held that creators of parodies of public figures are protected under the First Amendment from claims of intentional infliction of emotional distress. Public Figures & Intentional Infliction of Emotional Distress

EXAMPLE 4.4 Ivan threatens Jean with a gun

and then shoots her. The pointing of the gun at Jean is an assault. The firing of the gun (if the bullet hits Jean) is a battery. Assault & Battery

product liability based on negligence

EZ Co-op Inc. sells Fill-Up cattle feed to ranchers. Gina buys and feeds Fill-Up to her herd. The feed is poisoned. Gina sues EZ for product liability based on negligence. To win, Gina must show: *that the feed caused her damage*

Substitute Method of Acceptance.

Effective if the substitute serves the same purpose (Fed-Ex vs. UPS). Not effective on dispatch. Effective when received by the Offeror.

Intoxicated, Efron enters a contract for the sale of his business, Freight Dispatch, to Gretel for less than its market value. This contract is enforceable if, at the time,

Efron understood the legal consequences.

A contract provision that deprives one party of the benefits of the agreement may seem unfair but a court is not likely to consider it unconscionable.

False

A contract provision that deprives one party of the benefits of the agreement may seem unfair but a court is not likely to consider it unconscionable. (T/F)

False

A contract that calls for an action contrary to public policy is illegal but not unenforceable. (T/F)

False

A contract that only one of the parties can enforce in a court is not valid.

False

A contract that only one of the parties can enforce in a court is not valid. (T/F)

False

A copyright owner who sells a copy of a work retains the right to control the further distribution of that copy.

False

A covenant not to compete that is imposed as part of a sale of an ongoing business will be enforced even if the restraints are unreasonable. (T/F)

False

A cyber crime can best be defined as a new type of crime. a. True b. False

False

A debtor cannot defend against an involuntary bankruptcy petition because that would be contrary to the definition of involuntary.

False

A defendant cannot be liable for negligence unless he or she intended to harm the plaintiff.

False

A defendant cannot be liable in an intentional tort action if he or she did not intend to cause harm to the plaintiff.

False

A landlord can avoid liability for injuries that occur on rental property by including an exculpatory clause in the lease (T/F)

False

A landlord can avoid liability for injuries that occur on rental property by including an exculpatory clause in the lease.

False

A license is a personal privilege that cannot be withdrawn or revoked. (T/F)

False

A manufacturer does not need to inspect and test any purchased components used in the final product to avoid product liability.

False

A mortgagor need not obtain the mortgagee's permission for a short sale.

False

A person who enters into a risky situation, knowing the risk involved, can nevertheless recover for a resulting injury or harm for reasons of public policy.

False

A person who is injured by a defective product can bring a negligence suit only if he or she was the one who purchased the product

False

A person who is injured by a defective product can bring a negligence suit only if he or she was the one who purchased the product.

False

A person who wrongfully hurts another's good name or reputation orally may be liable for libel.

False

A product made in conformity with a manufacturer's design specifications is not considered defective regardless of a flaw in the design.

False

A promise made in return for an act or event that has already taken place is fully enforceable. (T/F)

False

A promise to do something that one has no prior legal duty to do is not legally sufficient consideration. (T/F)

False

A promise to refrain from competing in business with another is considered to be unconscionable. (T/F)

False

A seller who places goods at the disposal of a buyer has tendered delivery but cannot yet demand payment. (T/F)

False

A social media post cannot be used to invalidate a settlement agreement. (T/F)

False

A social media post is not subject to discovery in litigation. (T/F)

False

A state's prosecution of a crime prevents a separate federal prosecution relating to the same activity.

False

A statute of limitations limits the amount of damages that the nonbreaching party can obtain for a breach. (T/F)

False

A tortfeasor is one who wrongfully alleges that a tort has been committed

False

An act of omission cannot be a crime.

False

An agreement subject to the writing requirement must be written on paper. (T/F)

False

An easement is the right to go onto land owned by another and take away some part of the land itself or some product of the land. (T/F)

False

An exchange of e-mails cannot create a complete and unambiguous binding agreement. (T/F)

False

An individual who has been the subject of a crime can prosecute the alleged criminal. a. True b. False

False

An individual's right to his or her property is absolute. (T/F)

False

An offer made in undue excitement is an effective offer. (T/F)

False

An offer that can be accepted simply by a promise to perform does not create a binding contract.

False

An offer that can be accepted simply by a promise to perform does not create a binding contract. (T/F)

False

Any breach of contract effectively excuses both parties from performing. (T/F)

False

Any contract involving consumer goods must be in writing to be enforceable. (T/F)

False

Any contract that is not in writing is unenforceable.

False

Any party who gives information to the Federal Trade Commission concerning possible deceptive conduct in a foreign jurisdiction is immune from liability. (T/F)

False

Anyone can circumvent encryption software or other technological antipiracy protection without penalty. (T/F)

False

Because a writ of attachment is a prejudgment remedy, a debtor does not need to be given notice and an opportunity to be heard before the property is seized. Group of answer choices

False

Because federal wiretapping law was enacted before social media networks existed, it does not apply to communications through social media. (T/F)

False

Because so much e-commerce involves parties in the United States, the preeminence of U.S. law in this area is not likely to be challenged in the future. (T/F)

False

Because the purpose of a Chapter 7 proceeding is to provide a debtor with a fresh start, a discharge under Chapter 7 frees a debtor of all of his or her debts.

False

Because value is variable, mistakes of value affect the enforceability of contracts. (T/F)

False

Businesses must be technically insolvent to file for bankruptcy relief.

False

Contracts entered into by mentally incompetent persons are not valid under any circumstances. (T/F)

False

Crimes are sometimes prosecuted by crime victims rather than by a public official.

False

Criminal liability for the piracy of copyrighted materials extends only to persons who exchange unauthorized copies for profit. (T/F)

False

Cybersquatting is illegal only if a domain name is identical to the trademark of another, not if the name is merely confusingly similar. (T/F)

False

Cybersquatting is legal when the person offering for sale a domain name that is the same as another's trademark intends to profit from the sale. (T/F)

False

Cybersquatting occurs when the owner of a trademark registers the mark as a domain name but does not use it for that purpose. (T/F)

False

Debts that remain after a liquidation are not discharged, and the debtor retains his or her obligation to pay them.

False

Defamatory statements made via the Internet are not actionable because they are protected by the First Amendment's guarantee of freedom of speech

False

Determining who suffers the most harm from any type of hacking is a major challenge to legal authorities worldwide. a. True b. False

False

Each state permits a debtor in bankruptcy to retain the family home in order to preserve some equity to pay any debts that are discharged.

False

Embezzlement includes the making or altering of any writing in a way that changes the legal rights and liabilities of another.

False

Employers are prohibited from taking actions against employees or applicants based on their social network postings. (T/F)

False

Federal law permits the sending of unsolicited commercial e-mail to randomly generated e-mail addresses. (T/F)

False

Federal law prohibits the Federal Trade Commission from cooperating and sharing information with foreign agencies in investigating and prosecuting those involved in spamming.

False

File-sharing can be used to download others' stored music files without raising copyright issues. (T/F)

False

Fran tells Gio that Hyundai Kia Has never been in an accident this may give rise to an action for fraud if this statement is

False

Fraudulent appropriation of another's property with which a person has been entrusted is the crime of receiving stolen goods.

False

Generally, a seller is not liable for failing to warn consumers of the harm that can result from a foreseeable misuse of a product.

False

Hilo tells the internal revenue service the John cheated on his taxes this can lead to Hilo's Liability for defamation if the statement is

False

If a contractor's bid was significantly low because he or she made a mistake in adding up the total estimated costs, any contract resulting from the bid is still normally enforceable. (T/F)

False

If a debtor's income falls below the median income in the area in which the debtor lives, bankruptcy abuse will be presumed.

False

If a party is already bound by contract to perform a certain duty, that duty can serve as consideration for a second contract. (T/F)

False

If all classes of creditors accept the debtor's Chapter 11 plan, the court cannot refuse to confirm it.

False

If an owner consents to the taking of his or her property, a failure to return cannot be a tort.

False

If an owner consents to the taking of his or her property, a failure to return it cannot be a tort.

False

If one party's performance on a contract is substantial, the other party's duty to perform need only comport with the level of the rendered performance. (T/F)

False

In a Chapter 7 proceeding if the value of the debtor's estate does not provide sufficient cash to pay all the creditors, it is given back to the debtor.

False

In a Chapter 7 proceeding, at a meeting of creditors, one of the creditors is elected to take over the debtor's assets.

False

In a criminal case, the defendant must convince the court that based on the evidence it is more likely than not that the defendant is not guilty.

False

In a sale of real estate, a seller is obligated to transfer marketable title, which means that the title may be bought or sold separately from its subject property even if the title is encumbered or defective. (T/F)

False

In a successful tort suit, an individual is awarded compensatory damages to put him or her in a better position than the party who committed the tort.

False

In a tort action, a business firm can recover general damages equivalent to the actual value of damage sustained.

False

In most situations, when a breach of contract occurs, the injured party is held to a duty to mitigate, or reduce, the damages that he or she suffers. (T/F)

False

In most states, a merchant can use undue force to detain a person suspected of shoplifting without liability for false imprisonment.

False

In most states, a merchant can use undue force to detain a person suspected of shoplifting without liability for false imprisonment

False

In most states, a merchant can use undue force to detain a person suspected of shoplifting without liability for false imprisonment.

False

In most states, a plaintiff can obtain an unlimited amount of noneconomic general damages in a tort action.

False

In most states, a plaintiff can obtain an unlimited amount of noneconomic general damages in a tort action..

False

In posting statements or photos to a social media site, a person clearly has a reasonable expectation of privacy. (T/F)

False

In the context of fraudulent misrepresentation, an opinion is objective and verifiable, whereas a fact is subject to debate. (T/F)

False

It is not a crime to use income obtained from racketeering activity to buy an interest in a legitimate enterprise as long as the deal is otherwise legal.

False

Land includes the soil on the surface of the earth, but not the waters contained on it. (T/F)

False

Liability is imposed on a manufacturer for a manufacturing defect only when the manufacturer's quality control efforts were "reasonable."

False

Like other types of law, contract law is distinct from our social values, interests, and expectations at any given point in time. (T/F)

False

Malware is a hacker whose purpose is to create a serious negative impact.

False

Most contracts need to be performed to the personal satisfaction of each contracting party. (T/F)

False

Most liens have little practical use, because liens generally do not take priority over other claims to the same property. (T/F)

False

No court has held that it is legally acceptable for law enforcement to set up a phony social media account to catch a suspect. (T/F)

False

On a delegation of contract duties, the delegator is absolved from any liability for performance under the contract. (T/F)

False

Once a bankruptcy petition is properly filed, creditors can commence or continue most legal actions against the debtor to recover claims.

False

Once a manufacturer's trademark is established, another manufacturer may use it without permission.

False

One of the purposes of criminal law is to compensate the victims.

False

One of the requirements of a valid contract is an adequate market for the deal's goods or services. (T/F)

False

Online conduct gives rise to only a narrow variety of legal actions. (T/F)

False

Only a mistake of value or quality makes a contract voidable. (T/F)

False

Only big businesses face potential liability for the products they sell.

False

Only contracts that have been fully executed can be rescinded by agreement. (T/F)

False

Only the federal government provides for the registration of trademarks.

False

Ordinarily, "ignorance of the law" or a mistaken idea about what the law requires is a valid defense to criminal liability.

False

Ordinarily, every party to a contract has a duty to come forward and disclose facts. (T/F)

False

Ordinarily, one can agree to a bargain without knowing that it exists.

False

Performance becomes commercially impracticable when a foreseeable, added burden of performing increases the cost slightly. (T/F)

False

Posting an item for sale on an online auction site is an offer to form a contract. (T/F)

False

Proximate cause exists if "but for" a wrongful act, an injury would not have occurred.

False

Real property consists of land, and does not include anything attached to it. (T/F)

False

Shrink-wrap terms are enforceable even if a buyer does not discover them until after the parties have entered into a contract.

False

Shrink-wrap terms are enforceable even if a buyer does not discover them until after the parties have entered into a contract. (T/F)

False

Strict liability is imposed only for an act that departs from a reasonable standard of care to cause an injury.

False

The breach of a contract for a sale of goods qualifies for specific performance only when substantially identical goods can be bought or sold in the market. (T/F)

False

The condemnation power of the government to take land for a public use is known as the right of adverse possession. (T/F)

False

The covenant of quiet enjoyment guarantees that a buyer of real property will not disturb the land or any of its neighbors. (T/F)

False

The distinction between "seller's talk" and facts allows sellers to tout their products and services, thereby creating potential liability for fraud. (T/F)

False

The essential feature of undue influence is that a party being taken advantage of suffers from a mental or physical impairment. (T/F)

False

The government has no right to take private land for public use, because the protection of an individual's right to property is our most important right. (T/F)

False

The measure of compensatory damages does not vary by type of contract. (T/F)

False

The most important factor in determining whether an item is a fixture is the perception of a disinterested third party. (T/F)

False

The offeror can revoke the offer only be expressing repudiating it. (T/F)

False

The offeror's intention to become bound by the offer must be subjectively clear. (T/F)

False

The owner of a life estate has the same rights as a fee simple owner, including the right to sell the property or pass it to his or heirs. (T/F)

False

The primary purpose of the Uniform Electronic Transactions Act is to create new rules for electronic contracts. (T/F)

False

The purpose of zoning is to prevent development altogether and to limit the government's ability to adapt to changing circumstances. (T/F)

False

The standard of reasonable care for a professional is the same as that of an ordinary person.

False

There are no interests in land that do not include any rights to possess the property. (T/F)

False

Those who do not make goods, but only sell or lease them, cannot be held liable for harm caused by those goods to a consumer.

False

To acquire property by adverse possession, the possession must be secret or clandestine. (T/F)

False

To apply the doctrine of promissory estoppel in a given situation, there must exist no clear or definite promise. (T/F)

False

To be a fixture, an item of personal property must be physically attached to the land in some way. (T/F)

False

To gain a share of a market, a businessperson can interfere in another's business, even if the behavior is predatory.

False

To initiate a foreclosure, a lender must pay the full amount of the debt, plus any costs that have accrued.

False

To maintain a claim of trademark dilution, the products involved must be similar. (T/F)

False

To maintain an action in strict product liability, the plaintiff must show why and how the product became defective.

False

To provide a point at which contracting parties can know that their duties have ended, the duty to perform a contract is always absolute. (T/F)

False

To qualify for a Chapter 7 bankruptcy, a debtor must complete a means test to determine whether the debtor has been living within his or her means.

False

Today, there is no significant difference in the liability of a surety and a guarantor in any state at common law or otherwise.

False

Under the Communications Decency Act, Internet service providers are liable as publishers of defamatory statements that come from a third party. (T/F)

False

Under the First Amendment, every U.S. citizen has a right to be forgotten with respect to outdated personal information otherwise searchable online. (T/F)

False

Under the takings clause of the Fifth Amendment to the U.S. Constitution, private property may be taken for public use without "just compensation." (T/F)

False

Unintentionally causing a party to break a contract may constitute wrongful interference with a contractual relationship.

False

Usind a domain name that is an identical or similar to the trademark of another is legal

False

Warrants are required for searches of businesses in highly regulated industries.

False

When a joint tenant dies, his or her interest in the property passes to his or her chosen heirs. (T/F)

False

When one tenant in common dies, that party's interest in the property automatically passes to the surviving owners. (T/F)

False

Diego is arrested for a theft committed by someone who stole his identity. A court orders his release, but due to a police error in Diego's paperwork, he is held in jail for a month. The police are most likely liable for

False Imprisonment

Evan is arrested for theft committed by someone who stole his identity of court orders his release but due to a police error and Evans paperwork he is held in jail for a month the police are most likely liable for

False imprisonment

Silence as Acceptance.

General Rule: offeree should not be legally obligated to affirmatively reject an offer. When Offeree Has Duty to Speak: He takes benefit of services with opportunity to reject. Prior dealings with Offeror.

State trial courts that are called county district superior or circuit courts are most likely to have

General jurisdiction

Invasion of Privacy

Generally, to sue successfully for an invasion of privacy, a person must have a reasonable expectation of privacy, and the invasion must be highly offensive.

Generic Terms

Generic terms that refer to an entire class of products, such as bicycle and computer, receive no protection, even if they acquire secondary meanings.

Privilege Against Self-Incrimination

Giving testimony in a trail or other legal proceeding that could expose the person testifying to criminal prosecution.

Self-incrimination

Giving testimony in a trial or other legal proceeding that could expose the person testifying to criminal prosecution.

Property Crime

Goal of the offender is some sort of economic gain. (robbery) -Burglary, breaking and entering ones home with intent to commit a felony. -obtaining goods under false pretense. (credit card theft) -Receiving stolen goods, recipient must know that they belong to somebody else. -Arson, forgery.

Without a legal framework of reasonably assured expectations within which to make plans, businesspersons would most reliably be able to count only on others' a. empathy. b. good faith. c. moral standards. d. innocence.

Good faith

patent infringement

GoodGro Inc. makes genetically modified seeds that are identical to Harvest Corporation's patented seeds, without Harvest's permission. This is most likely

There are no precedents on which the court deciding the case algorithm Corp v. Beta bytes inc can base its decision. The court can consider, among other things,

Government policy based in widely held social values

Grand Jury

Group of citizens who decide, after hearing the states evidence, wether a reasonable basis (probable cause) exists for believing a crime has been committed and that a trial ought to be held.

Intoxicated, Hank enters a contract for the sale of ten acres of timberland to Ira for less than its market value. Later, Hank seeks to cancel the deal. In determining whether Hank can avoid his duties under the contract, a court is most likely to look at

Hank's intoxicated mental state and other factors.

Mix restaurant corporation owns the trademark mix. Remix café company begins to use the mark without authorization as a domain name. Makes file a suit against remix on a theory of trademark delusion. This claim requires proof that

None of these choices

B

Seymour is accused of a crime. To obtain information about the crime from Seymour, the state can a. none of the choices. b. grant Seymour immunity from prosecution. c. bribe Seymour in a way that serves the public interest. d. force Seymour to provide information that can be used to prosecute him.

Good grow Inc. makes genetically modified seats that are identical to harvest corporations planted seeds without harvests permission this is most likely

Patent infringement

Duty of Professionals

Professionals may owe higher duty of care based on special education, skill or intelligence. Breach of duty is called professional malpractice. required to have a standard minimum level of special knowledge and ability. In determining what constitutes reasonable care, the law takes their training and expertise into account. Thus, an accountant's conduct is judged not by the reasonable person standard, but by the reasonable accountant standard.

Product Misuse

Similar to the defense of voluntary assumption of risk is that of product misuse, which occurs when a product is used for a purpose for which it was not intended.

Zoe is accused of auto theft. She refuses to give information related to her alleged criminal activities because she's specs it will be used to protect her this is

Privilege against self-incrimination

Erica, a police officer, wants to search the offices of debit and credit, accountants. She asked judged burn to issue a warrant. No warrant for a search can be issued without

Probable cause

Marie claims that state statute infringes on her "procedural due process" rights. This claim focuses on

Procedures used in making decisions to take life, liberty or property

Plea Bargaining

Process by which a criminal defendant and the prosecutor work out an agreement to dispose of the criminal case, subject to court approval.

False

Product misuse is recognized as a defense to a claim for product liability only when the particular misuse was reasonably foreseeable.

Pedro energy corporation expresses opinions on political issues through its financial contributions to political action committees and other groups. Under the first amendment, Petro's "expression " is most likely

Protected

George burns a us flag in his backyard. He films the activity and posts the video on YouTube. George's conduct is most likely

Protected by the first amendment

Lucy is a business manager for manufacturing company. Ethical issues that Lucy is not likely to encounter include determining

Protocols for company meetings

Rosa who operates a street taco restaurant in her apartment, it's charged with criminal violations of the local health and building codes, state license regulations, and federal environmental statutes. To obtain a conviction, the prosecution must

Prove beyond a reasonable doubt the Rosa committed every essential element of offense

False

Proximate cause exists if "but for" a wrongful act, an injury would not have occurred.

False light.

Publication of information that places a person in a false light is also an invasion of privacy. For instance, writing a story about a person that attributes ideas and opinions not held by that person is an invasion of privacy. (Publishing such a story could involve the tort of defamation as well.)

When making decisions that are ethical under either profit maximization or corporate citizenship theories, a business should include all of t(e following steps except

Publicize the options you rejected with your reasons

The securities exchange commission decides to create a new rule relating to the dissemination of material nonpublic information through social media. The first step is

Publish a notice for the proposed rule making

Opal is injured and her property is damaged want to truck with defective brakes careens off an adjacent highway and crashes into her home if all brings a successful tort action against the trucks owner for gross negligence she may be awarded punitive damages to

Punish the defendant and deter others from similar wrongdoing

The Uniform Electronic Transactions Act

Purpose is to remove barriers to forming electronic commerce. E-Signature is "electronic sound, symbol or process...associated with a record and... adopted by a person with intent to sign the record."

Jana, a nurse practitioner, renders aid to Kurtz, who is injured and unconscious. Jana can recover the cost of the aid from Kurtz

QUASI CONTRACT THEORY

Forseeability

Questions of proximate cause are linked to the concept of foreseeability. It would be unfair to impose liability on a defendant unless the defendant's actions created a foreseeable risk of injury. The court stated that here "there was nothing in the situation to suggest to the most cautious mind that the parcel wrapped in newspaper would spread wreckage through the station." The court thus concluded that the railroad guards were not negligent with respect to Palsgraf, because her injury was not reasonably foreseeable.

EXAMPLE 4.29 Selena hosts a Super Bowl party at which Raul, a minor, sneaks alcoholic drinks.

Selena is potentially liable for damages resulting from Raul's drunk driving after the party. Dram Shop Acts

a patent

Serena invents a new, unique, long-life battery. A grant from the government that gives Serena the exclusive right to make and sell the battery for a certain period of time is

Quarry Mining inc and riverside vineyards agreed to resolve the dispute in arbitration the arbitrator meet with quarry's representatives to discuss the matter without Riverside's representative being present if this Substantially Prejudices Riverside's right of court will most likely

Set aside any award

Service employees international union and timberline products have their dispute resolved in arbitration the arbitrator decides issues that the parties did not agree to submit to arbitration this is ground for a court to

Set aside the award

Protecting Consumer Privacy

To protect consumers' personal information, the Obama administration has proposed a consumer privacy bill of rights (see Exhibit 7-1). The goal is to ensure that personal information is safe online.

Hiring of employees can lead to negligence liability.

True For example, a business can be liable if it fails to do a criminal background check before hiring a person to supervise a childcare center when an investigation would have revealed that the Business Tort Liability: person had previously been convicted of sexual assault. Failure to properly supervise or instruct employees can also lead to liability for a business.

A physical attack can be a tort or a crime or both. a. True b. False

True, As a tort, a physical attack can involve assault and battery and therefore the person attacked can file a civil suit against the assailant. See Civil Law and Criminal Law.

An Internet service provider can disclose personal information about its customers only when ordered to do so by a court.

True

An Internet service provider that terminates subscribers who infringe copyrights can qualify for a "safe harbor" under the Digital Millennium Copyright Act. (T/F)

True

An agreement to agree to the material terms of a contract at some future date may be enforceable.

True

A click-on agreement can indicate the acceptance of an online offer. (T/F)

True.

A patent applicant must demonstrate that an invention is useful to receive a patent. (T/F)

True.

Acceptance may consist of words or conduct. (T/F)

True.

An agreement to agree to the material terms of a contract at some future date may be enforceable. (T/F)

True

An illegal act committed by a business using nonviolent means to obtain a business advantage is a white-collar crime.

True

An individual's privacy is invaded if his or her likeness is used for commercial purposes without permission.

True

An offer can be revoked by the performance of an act that is inconsistent with the existence of an offer and that is made known to the offeree.

True

An online retailer can track a user's web activities with cookies without violating the person's right to privacy. (T/F)

True

Anticipatory repudiation of a contract is treated as a present, material breach in order to give the non-breaching party an opportunity to seek a similar deal elsewhere. (T/F)

True

Any debtor who is eligible for bankruptcy relief under Chapter 7 is eligible under Chapter 11.

True

Any payment of the principal obligation by the debtor will discharge the surety or the guarantor from the obligation.

True

Any time that one party's allegedly wrongful conduct causes injury to another, an action may arise under the law of torts.

True

Anyone obligated to a creditor can declare bankruptcy.

True

Acceptance of an e-contract must show that the offeree voluntarily assented to the offer's terms. (T/F)

True.

An offer terminates automatically when the period of time specified in the offer has passed. (T/F)

True.

Certain business processes are patentable. (T/F)

True.

In effect, a counteroffer converts the original offeror into an offeree with the power of acceptance. (T/F)

True.

Intellectual property is property resulting from intellectual, creative processes. (T/F)

True.

Some business processes can be protected as trade secrets. (T/F)

True.

The need to protect intellectual property is recognized in the U.S. Constitution. (T/F)

True.

To obtain copyright protection under federal law, a work must be original. (T/F)

True.

As long as zoning ordinances are rationally related to the health, safety, or welfare of the community, a municipal government has broad discretion to carry out zoning as it sees fit. (T/F)

True

Because no one can actually hold a piece of land, certain rights and duties are recognized to constitute the ownership interests in real property. (T/F)

True

Because of the potential for punitive damages, plaintiffs often include a claim for fraudulent misrepresentation in their contract disputes. (T/F)

True

Before a variance to a zoning restriction is granted, there must be a public hearing with adequate notice to neighbors who may object to the variance. (T/F)

True

Business owners can be liable for nearly any fall or other injury that occurs on business premises.

True

By supplying procedures for enforcing private agreements, contract law provides an essential condition for the existence of a market economy.

True

By supplying procedures for enforcing private agreements, contract law provides an essential condition for the existence of a market economy. (T/F)

True

Consideration must provide the basis for the bargain struck between contracting parties. (T/F)

True

Contracting parties are bound only by terms that can be objectively inferred from promises made.

True

Contracting parties are bound only by terms that can be objectively inferred from promises made. (T/F)

True

Crimes are offenses against society as a whole.

True

Criminals often resort to money laundering because they wish to conceal the identity, source, and destination of illegally gained funds. a. True b. False

True

Digital sampling can constitute copyright infringement. (T/F)

True

Downloading music into a computer's random access memory, or RAM, without authorization is copyright infringement. (T/F)

True

Every state allows a defaulting borrower to redeem the property before the foreclosure sale.

True

Federal guidelines allow a company to disclose material information about itself through social media as long as investors are notified in advance. (T/F)

True

Federal law provides a minimal framework to protect debtors from losing all their income in order to pay judgment debts.

True

For the purpose of tort liability, intent can be transferred when an individual intends to harm one individual but unintentionally harms another.

True

For the purpose of tort liability, intent can be transferred when an individual intent to harm one individual but unintentionally harms another.

True

Foreclosure is a process that allows a lender to legally repossess and auction off the property that is securing a loan.

True

Foreseeable is the test for proximate cause.

True

Generally, for a criminal act to have occurred, a person must have committed the guilty act and had a wrongful mental state. a. True b. False

True

Generally, you can use the amount of non-deadly force necessary to protect yourself, your dwelling, or other property and you will avoid criminal liability. a. True b. False

True

If contracting parties attach materially different meanings to a contract word or term subject to more than one reasonable interpretation, a court may allow the contract to be rescinded. (T/F)

True

If no legally recognized injury or harm results from a given negligent act, there is nothing to compensate—in effect, no tort exists.

True

If no legally recognized injury or harm results from a given negligent act, there is nothing to compensate—in effect, no tort exists

True

If the evidence of a defendant's guilt was obtained improperly, it normally cannot be used against the defendant in court.

True

In a Chapter 11 proceeding, the role of a debtor in possession is similar to that of a trustee in a Chapter 7 proceeding.

True

In a Chapter 13 proceeding, the debtor retains possession of his or her assets.

True

In a Chapter 7 proceeding, the bankruptcy trustee collects the debtor's estate and reduces it to cash, preserving the interests of the debtor and creditors. Group of answer choices

True

In a Chapter 7 proceeding, the primary effect of a discharge is to void any judgment on a discharged debt and to prohibit any action to collect it.

True

In a Chapter 7 proceeding, unsecured creditors' claims are subordinate to the claims of secured creditors.

True

In a criminal case, the state must prove its case beyond a reasonable doubt.

True

In a few states, if a judgment debtor does not have a family, a creditor may be entitled to collect the full amount realized from the sale of the debtor's home.

True

In a transfer of real property, recording a deed gives notice to the public of the new owner and prevents others from fraudulently conveying the property. (T/F)

True

In both a tenancy in common, and a joint tenancy, each co-owner owns an undivided interest in the property. (T/F)

True

In effect, a counteroffer converts the original offeror into an offeree with the power of acceptance. (T/F)

True

In entering personal information to a banking site online, a person may have a reasonable expectation of privacy. (T/F)

True

In most jurisdictions, a seller of real property is held to a duty to disclose any known, hidden defect that materially affects the value of the property. (T/F)

True

Intellectual property is property resulting from intellectual, creative processes.

True

Intent can be transferred when an individual intends to harm one individual but unintentionally harms another

True

Intent can be transferred when an individual intends to harm one individual but unintentionally harms another.

True

Legitimate competitive behavior is a permissible interference with a contractual relationship even if it results in a breaking of the contract.

True

Many of the over 4,000 federal criminal offense do not require a specifically wrongful mental state. a. True b. False

True

Many states require the sender of an e-mail ad to tell recipients how to opt out of receiving future e-mail ads from the sender. (T/F)

True

Misrepresentation of law does not ordinarily entitle a party to avoid a contract. (T/F)

True

Most states consider a warranty of habitability to be implied for the protection of the buyer in the sale of a new home, and some states hold that the warranty also protects subsequent buyers. (T/F)

True

On an architect's breach of contract after payment for the work, the owner can immediately hire a new architect and obtain restitution of the payment. (T/F)

True

On the breach of a contract for a sale of land when the seller has sold the property to someone else, an award of specific performance is unavailable. (T/F)

True

Once performance has been tendered, the party making the tender has done everything possible to carry out the terms of the contract. (T/F)

True

Picking pockets is not robbery

True

Society's interest in ensuring that real property remains in the stream of commerce is one of the reasons for the doctrine of adverse possession. (T/F)

True

Sometimes, when a buyer breaches a contract for a sale of goods and the seller has not yet produced the goods, the seller can recover the lost profits. (T/F)

True

State law may protect individuals from having to disclose their social media passwords to potential employers. (T/F)

True

Taking personal property from its owner, without permission or just cause, is trespass—retaining it is conversion.

True

The Digital Millennium Copyright Act protects copyrighted material from piracy online. (T/F)

True

The Federal Trade Commission can effectively force a private company to consent to the agency's review of the company's privacy and data practices. (T/F)

True

The U.S. Constitution provides safeguards that apply not only in federal but also in state courts.

True

The bases of all torts are wrongs and compensations

True

The basic duty of a bankruptcy trustee in a Chapter 7 proceeding requires that the trustee be accountable for administering the debtor's estate.

True

The broad language of the Racketeer Influenced and Corrupt Organizations Act (RICO) has allowed it to be applied to cases that have little or nothing to do with organized crime. a. True b. False

True

The contracts entered into by a minor are voidable at the option of that minor. (T/F)

True

The lack of a license in certain occupations bars the enforcement of work-related contracts.

True

The lack of a license in certain occupations bars the enforcement of work-related contracts. (T/F)

True

The owner of real property has relatively exclusive rights to the airspace above the land. (T/F)

True

The party on whom duress is exerted can choose to avoid the entire transaction. (T/F)

True

The purpose of a homestead exemption is to ensure that a debtor will retain some form of shelter.

True

The purpose of tort law is to provide remedies for the violation of various protected interests

True

The rights of the owner to the subsurface of a piece of land would have little value if the owner could not use the surface to exercise those rights. (T/F)

True

The temporary flooding of land by the government may result in liability under the takings clause of the Fifth Amendment to the U.S. Constitution. (T/F)

True

Through tort law, society compensates those who suffer injuries as a result of others' wrongful conduct.

True

Tile and carpeting permanently attached to the floor of a house are most likely intended to be fixtures. (T/F)

True

To protect a trademark against typosquatting, a company should attempt to register potential misspellings of the mark. (T/F)

True

Tort law provides remedies for acts that cause the destruction of or damage to property.

True

Two parties can mutually agree to rescind a contract only to the extent that it has been executed—otherwise, there is nothing to rescind. (T/F)

True

Under Chapter 13, a plan may provide for the payment of all of the debtor's obligations in full.

True

Under a construction contract that is conditioned on the builder meeting certain specifications, complete performance is required to avoid material breach. (T/F)

True

Under the federal law protecting trademarks, "bad faith intent" is one element of a claim of illegal cybersquatting. (T/F)

True

Using another's trademark as a meta tag may be permissible. (T/F)

True

When a buyer breaches a contract for a sale of land, the seller can recover the difference between the contract price and the market price of the land. (T/F)

True

When a contract mistakenly specifies a crane instead of a forklift, a court could reform the contract to reflect the parties' original intent as to the equipment. (T/F)

True

When a lapse of time and a change in circumstances make it substantially more burdensome for the parties to perform, a contract is discharged. (T/F)

True

When a seller breaches a contract for a sale of goods, knowing the buyer plans to resell the goods, the buyer can recover the lost profits from the planned resale. (T/F)

True

With a tenancy at will, either party can terminate the tenancy without notice. (T/F)

True

With respect to consideration, a bargained-for exchange distinguishes a contract from a gift.

True

copyright infringement

Without the permission of the copyright owner, Faye copies the literary expression of Game of Thrones, changes the names of the main characters, and publishes the result as her own work. This is

books, music videos, product packaging

Works that are copyrightable include

Hometown Bank posts on its website an offer of a reward for information leading to the apprehension of a certain criminal. This offer could normally be terminated by

a post on the website. ANSWER: any of the choices. payment of the reward. apprehension of the criminal.

Steel Mill Inc. makes an offer to Teri to enter into a contract to work as an metallurgical engineer for a certain salary for one year subject to a five-year renewal based on his performance. Teri accepts the offer. This is a valid contract because it includes

a price and a subject. a duration and a termination. ANSWER: an offer and an acceptance. specific quality standards.

** The duty to warn

a product should warn users of foreseeable risks of harms and the risks of foreseeable misuses to the product. • In recent news, Echevirria v- Johnson and Johnson. A woman developed ovarian cancer from using baby powder. **No Cancer Warning

Promises that are legally binding include a. a promise to watch a certain sporting event. b. a promise to take a friend to lunch. c. a promise to pay for items ordered online. d. all of the choices.

a promise to pay for items ordered online

reasonable duty of care

a property owner is legally obligated to warn people of danger on their property For instance, a landowner may have a duty to post a notice that guard dogs patrol the property. Also, if young children are attracted to the property by some object, such as a swimming pool or a sand pile, and are injured, the landowner may be held liable under Attractive Nuisance Doctrine

To control specific offers for goods or services and thus the resulting contracts, important terms to provide online include a. a detailed history of the particular business. b. an updated list of the goods or services. c. a provision relating to the resolution of any dispute. d. positive reviews from customers or clients.

a provision relating to the resolution of any dispute

Bribery of public Officials

any attempt to influence a public official to act in a way that serves a private interest is a crime. Intent must be present and proved; bribe can be anything the recipient considers valuable; the crime occurs when the bribe is offered.

Cheri drives into Domestic Auto Service and asks to have a tire replaced on her car. Domestic replaces the tire. Before Cheri pays for it, any contract between them is a. executory. b. executed. c. unenforceable. d. void.

executory

Intentional Infliction of Emotional Distress (IIED)

extreme and outrageous conduct resulting in severe emotional distress to another. the conduct must be so extreme and outrageous that it exceeds the bounds of decency accepted by society.

Pascal's new Mercedes won't start one morning and he screams to his passenger, "For a thousand bucks, I'd get rid of this car." The passenger normally cannot buy the car for $1,000:

b. because a reasonable person would know that a serious offer was not being made.

Russ registers a domain name—sweetfriedpotatos.com—that is a misspelling of a popular brand—sweetfriedpotatoes.com. This is

cybersquatting. ANSWER: typosquatting. trademark infringement. trademark dilution.

Afford Motors LLC, an auto broker, uses the trademark of Ford Motor Corporation in a meta tag without Ford's permission. This is

cybersquatting. a legitimate business practice. ANSWER: trademark infringement. trademark dilution.

Without authorization, Ben uses the trademark of Cielo Coffee Company to promote cheap, flavorless candy, which is not similar to Cielo's products but diminishes the quality of the coffee company's mark. This is

cybersquatting. typosquatting. trademark infringement ANSWER: trademark dilution.

Via the Internet, Lok sabotages the computer system of Metro Water Commission, a municipal water supplier, so that Metro's pumping system breaks down, halting the delivery of water to Metro's customers. Lok is a

cyberterrorist

Which of the following is not a necessary element for an offer to be effective?

d. The offer must be fair.

An ad for the New Plays Festival asks playwrights to submit their work and "we might produce it for the world." Oded submits a play with a note that states, "I accept." Between the Festival and Oded, there is

none of the choices.

Defense

reasons why the plaintiff should not obtain damages Types of defense: - Consent - Comparative negligence - Privelege

Domestic Gas Company offers to sell Energy Ltd. a certain quantity of liquefied natural gas. If Energy sends an acceptance via Domestic's authorized mode of communication, it will be effective when it is a. in transit. b. sent. c. written. d. received

received

Domestic Gas Company offers to sell Energy Ltd. a certain quantity of liquefied natural gas. If Energy sends an acceptance via Domestic's authorized mode of communication, it will be effective when it is

received.

Shep offers to make digital copies of Reliable Company's business conference videotapes, CDs, DVDs, and other media for $500. Under the mailbox rule, Reliable's acceptance by e-mail will be considered effective when

received. ANSWER: sent. followed up by a confirmation letter sent by regular mail. composed on a Reliable computer.

Tradename:

refers to part or all of a business's name, whether the business is a sole proprietorship, a partnership, or a corporation. Generally, a trade name is directly related to a business and its goodwill. • A trade name may be protected as a trademark if the trade name is the same as the company's trademarked product—for instance, Coca-Cola.

Trade Dress

refers to the image and overall appearance of a product. • Is a broad concept that can include all or part of the total image or overall impression created by a product or its packaging.

partnering agreement 154

seller and a buyer who frequently do business with each other agree in advance on the terms and conditions that will apply to all transactions subsequently conducted electronically. The partnering agreement can also establish special access and identification codes to be used by the parties when transacting business electronically. An agreement between a seller and a buyer who frequently do business with each other concerning the terms and conditions that will apply to all subsequently formed electronic contracts.

Robbery

the act of forcefully and unlawfully taking personal property of any value of another; force of intimidation is usually necessary for any theft to be considered a ________

EXAMPLE 4.8 If Thompson writes Andrews a private letter or text falsely accusing him of embezzling funds,

the action does not constitute libel. If Peters falsely states when no one else is around that Gordon is dishonest and incompetent, the action does not constitute slander. In neither instance was the message communicated to a third party. Publication Requirement

Beans Coffee & Cocoa Company makes and sells a chocolate-flavored coffee drink under the name "CoCoCafe." Darkroast, Inc., later markets a similar tasting drink under the name "KoKoKafe." This is most likely​

trademark infringement

Auctions:

when the auctioneer accepts a higher bid, she rejects all previous offers. Auctions with and Without Reserve. Agreements to Agree: can be enforceable if parties intended to be bound. *** inventetation to bid

If a state's statute of limitations prescribes a period of four years to bring a product liability lawsuit, a plaintiff must file a suit within four years of

when the plaintiff discovers (or should have discovered) an injury caused by the product

Shelby owns Reclamation & Restoration (R&R), a demolition company. Demolition of a building by an R&R crew injures Thelma, a spectator. Under the theory of strict liability, Shelby must pay for Thelma's injury

whether or not the R&R crew was at fault

to commit an intentional tort, a person must have an evil and harmful motive

false

A Chapter 13 proceeding is more expensive and complicated than a Chapter 11 or Chapter 7 proceeding.

False

A bank's sale of its right to receive payment on a loan to a third party is a transfer but not an assignment. (T/F)

False

A business cannot use puffery without liability for fraudulent misrepresentation.

False

revenge pornography

"The online distribution of sexually explicit images of a non-consenting individual with the intent to humiliate that person." Until relatively recently, few states had criminal statutes that covered revenge porn. Therefore, victims have sued on the basis of (1) invasion of privacy, (2) public disclosure of private facts, and (3) intentional infliction of emotional distress. The most egregious form of revenge porn occurs when the perpetrator provides detailed information about the victim. Such Invasion of Privacy information may include the victim's name, Facebook page, address, and phone number, as well as the victim's workplace and children's names. This information, along with the sexually explicit photos and videos, are posted on hosting Web sites.

e-signature 153

"an electronic sound, symbol, or process attached to or logically associated with a record and executed or adopted by a person with the intent to sign the record." Thus, e-signatures include encrypted digital signatures, names (intended as signatures) at the ends of e-mail messages, and "clicks" on a Web page if the click includes the identification of the person. As defined by the Uniform Electronic Transactions Act, "an electronic sound, symbol, or process attached to or logically associated with a record and executed or adopted by a person with the intent to sign the record." ****electronic sound, symbol, or process attached to or logically associated with a record and executed or adopted by a person with the intent to sign the record. Digitized Signature: graphical image of a handwritten signature.

In a product liability suit based on negligence, the plaintiff must show that the defendant's conduct was "cause in fact" of an injury. "Cause in fact" asks what question?

"but for"

record 154

"information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable [visual] form." According to the Uniform Electronic Transactions Act, information that is either inscribed on a tangible medium or stored in an electronic or other medium and is retrievable.

Types of Crimes (4)

(1) violent crime (crimes against persons), (2) property crime, public order crime, (3) white-collar crime, and (4) organized crime.

Self Incrimination

(The giving of testimony that may subject you to criminal prosecution.) - no person "shall be compelled in any criminal case to be a witness against himself". - this right does not extend to corporations or partnerships, or their business records even if the records incriminate the business owners. - right to not self incriminate does extend to sole proprietorships that have not incorporated.

shrink-wrap agreement 153

(or shrink-wrap license) is an agreement whose terms are expressed inside a box in which the goods are packaged. (The term shrink-wrap refers to the plastic that covers the box.) Usually, the party who opens the box is told that she or he agrees to the terms by keeping whatever is in the box. An agreement whose terms are expressed in a document located inside a box in which goods (usually software) are packaged; sometimes called a shrink-wrap license. ****Contract terms are inside the box. Party opening box agrees to terms by keeping merchandise. Enforceable vs. Unenforceable Terms.

Tort Damages

*Compensatory* damages and *Punitive* damages

3. Causation

*Needs to be actual and forseeable* *Actual*: *Forseeable* (Legal): - Ex: Paulsgraph Case (NY Train)

Qian resides in a state that has a $50,000 homestead exemption. She defaults on a loan extended by Rely Bank, owing $60,000. Her home is sold at auction for $90,000. The creditor is entitled to

0. $30,000. ANSWER: $50,000. $60,000.

Strict liability to product liability is based on two factors:

1. The manufacturer can better bear the cost of injury because it can spread the cost throughout society by increasing the prices of its goods 2. The manufacturer is making a profit from its activities and therefore should bear the cost of injury as an operating expense

Product Liability

*form of strict liability* the *liability of manufacturers and sellers for defective or harmful products* - failure to warn for possible product damages, person can sue for product liability Ex: Mai is struck and injured when the brakes fail on Novi's all-terrain vehicle (ATV), which is damaged in the collision. Off-Road Inc. sold the ATV to Novi. Under product liability laws, Off-Road could be liable to: *Mai and Novi* Ex: Motor Corporation (MC) makes cars and trucks. National Sales Company sells all MC vehicles. Open Road Inc. leases only the cars. Under product liability laws, liability for injuries or damage caused by an MC vehicle may be imposed on: *MC, National Sales, or Open Road* Recharge Corporation makes batteries. Sol is injured when the Recharge battery in his phone bursts into flame. In Sol's product liability suit against the maker, alleging a design defect, the court may consider: *an available alternative design* Insulate Inc. makes and sells fire-retardant building materials. In a product liability suit against Insulate, a court would use a risk-utility analysis of the company's product as designed to determine whethera. a risk of harm outweighs the products' utility to the users and the public.

Slander

*say* something to hurt someones rep Ex: *In a phone call to Lou, Mia makes statements about Nye that injures Nye's reputation*. If Nye can prove all of the elements of defamation and Mia cannot assert a sufficient defense, Mia is most likely liable for: *slander*

Strict Liability

*somebody can be at fault without proving negligence in certain situations* •*Abnormally Dangerous Activities*: People who engage in extremely risky activities are responsible for paying for any injuries that result. Ex: Excavation, Inc., uses explosives to prepare land for construction projects. Strict liability is imposed on this activity because: *the activity is extremely risky* • *Other Applications of Strict Liability*: People who knowingly keep dangerous animals and certain types of bailments (the transferring of goods temporarily into the care of another.)

Libel

*write* something to hurt someones rep Ex: *In an online blog, Oren states that Publicity Corporation invaded the privacy of individuals to collect marketing data for its clients*. If the firm can prove all of the elements of defamation and Oren cannot assert a sufficient defense, Oren is most likely liable for: *libel*

Types of Intentional Torts (against people)

- *Assault*: Any intentional and unexcused threat of immediate harmful or offensive contact - *Battery*: When an act that constitutes assault is completed and results in harm to the plaintiff - *False Imprisonment*: Intentional confinement or restraint of another person's activities without justification - *Defamation* - *Invasion of Privacy* - *Fraudulent Misrepresentation* - *Wrongful Interference*:

Torts

- *CIVIL wrong* (not a criminal wrong) - not arising from breach of contract - results in harm - only way to can compensate is through money - can be *intentional* or *unintentional*

Searches and Seizures in the Business Context

- 4th Amendment protections are important due to the increased frequency of government inspections which can be very disruptive. - U.S. Supreme Court: Government inspectors cannot enter business premises without a warrant but the standard is different than in non business cases. - the existence of a general and neutral enforcement plan will justify the issuance of a warrant. - warrant required to get records of a business held by lawyers, accountants, etc. - no warrant required to seize spoiled or contaminated food. - employers have to concern themselves with a balance of maintaining a safe and efficient workplace without violating the 4th Amendment rights of employees.

Negligence (tort law)

- An obligation requiring someone to conform to a standard of conduct to protect others from unreasonable risks of foreseeable harm - A failure to conform to the standard required

Types of Intentional Torts - against Property

- Trespass to *Land* - Trespass to *personal property* - *Conversion* - *Disparagement of property* (like defamation of property)

Exclusionary Rule

- any evidence obtained in violation of the accused 4th, 5th, or 6th Amendment rights, as well as any evidence derived from illegally obtained evidence will not be admissible in court (fruit of the poisonous tree). * purpose is to deter police misconduct *

Trial

- burden of proof on state - beyond a reasonable doubt

Grand jury

- group of a county's best citizens *

Miranda Rule

- individuals who are arrested must be informed of certain 5th and 6th Amendment rights. - If a person waives his/her rights, the burden is on the state to show the waiver was knowingly, intelligently, and voluntarily given. - Today the Miranda rule has been weakened and there are circumstances in which juries are able to hear confessions even if not voluntary.

Under Section 757 of the Restatement of Torts:

-- those who disclose or use another's trade secret, without authorization, are liable to that other party if either of the following is true: 1) They discovered the secret by improper means. 2) Their disclosure or use constitutes a breach of a duty owed to the other party.

Burden of Proof

-Civil cases the plaintiff must present evidence and convince the court that based upon the evidence it is more likely than not that the plaintiff's allegations are true. -Criminal cases, state must prove its case beyond reasonable doubt. Every aspect of the crime committed must be attributed to the defendant through evidence against but if any doubt than should plead not guilty.

Corporate Criminal Liability

-a corporate entity can be held liable for crimes (can't go to jail but fines, loss of license, etc.) Corporation can be held liable for crimes committed by their agents and employees within the cause and scope of their employing -corporate directors and officers are personally liable for crimes they commit even if they did the act only to benefit the corporation -Further corporate directors and officers may be held liable for the actions of employees under their supervision -Responsible corporate officers doctrine-a court may impose criminal liability on a corporate officer regardless of whether he/she participated in directed or even knew about a given criminal violation

An agreement is composed of:

. offer and acceptance

Computer Crime

...

Methods of File-Sharing

1) Peer-to-peer (P2P) networking → The sharing of resources (such as files, hard drives, and processing styles) among multiple computers without the requirement of a central network server. 2) Distributed network → A network that can be used by persons located (distributed) around the country or the globe to share computer files. 3) Cloud computing → The delivery to users of on-demand services from third-party servers over a network.

Under the TDRA, to state a claim for trademark dilution, a plaintiff must prove the following:

1) The plaintiff owns a famous mark that is distinctive. 2) The defendant has begun using a mark in commerce that allegedly is diluting the famous mark. 3) The similarity between the defendant's mark and the famous mark gives rise to an association between the marks. 4) The association is likely to impair the distinctiveness of the famous mark or harm its reputation.

Compensatory Damages

1. *Special damages - quantitative* - medical bills, loss of earnings, property damages Ex: Lyn is injured when a part of a building ledge breaks free and strikes her. If Lyn brings a successful tort action against the building's owner, she may be awarded special damages to compensate her for: *monetary losses, such as medical expenses* 2. *General damages - qualitative* - the more painful, the higher monetary compensation - *Pain and suffering*: Cannot get more than $250,000 Ex: Marco is *harmed when Nell defames him*. If Marco brings a successful tort action against Nell, he may be awarded general damages to compensate him for: *nonmonetary aspects of the harm suffered, such as loss of reputation*

to successfully assert a design defect, a plaintiff to show that:

1. A reasonable alternative design was available 2. As a result of the defendant's failure to adopt the alternative design, the product was not reasonably safe

If a false statement constitutes "slander per se," no proof of special damages is required for it to be actionable. The following four types of false utterances are considered to be slander per se:

1. A statement that another has a loathsome disease (historically, leprosy and sexually transmitted diseases, but now also including allegations of mental illness). 2. A statement that another has committed improprieties while engaging in a business, profession, or trade. 3. A statement that another has committed or has been imprisoned for a serious crime. 4. A statement that a person (usually only unmarried persons and sometimes only women) is unchaste or has engaged in serious sexual misconduct.

Defenses to product liability (8)

1. Comparative negligence 2. Preemption 3. Assumption of risk 4. Product misuse 5. Show there is no basis for the plaintiff's claim 6. Commonly known dangers 7. Knowledgable user 8. Statutes of Limitations

Minimizing Business Tort Liability

1. Constantly inspect the premises and look for areas where customers or employees might trip, slide, or fall. Take corrective action whenever you find a problem. 2. Train employees on the importance of periodic safety inspections and the procedures for reporting unsafe conditions. 3. Routinely maintain all business equipment (including vehicles). 4. Check with your liability insurance company for suggestions on improving the safety of your premises and operations. 5. Make sure that your general liability policy will adequately cover the potential exposure of the business, and reassess your coverage annually. 6. Review the background and qualifications of individuals you are considering hiring as employees or agents. 7. Investigate and review all negligence claims promptly. Most claims can be settled at a lower cost before a lawsuit is filed.

The law imposes strict product liability as a matter of public policy. This public policy rests on a threefold assumption:

1. Consumers should be protected against unsafe products 2. Manufacturers and distributors should not escape liability of faulty products simply because they are not in privity of contract with the ultimate user of those products 3. Manufacturers and distributors can better bear the costs associated with injuries caused by their products, because they can ultimately pass the costs on to all consumers in the form of higher prices.

Manufacturers must use due care in all of the following exercises:

1. Designing the product 2. Selecting the materials 3. Using the appropriate production process 4. Assembling and testing the product 5. Placing adequate warnings on the label to inform the user of damages of which an ordinary person might not be aware 6. Inspecting and testing any purchased components used in the product

Due Care Must Be Ecercised: The maufacturer must ecercise due care in all of the following areas:

1. Designing the product. 2. Selecting the materials. 3. Using the appropriate production process. 4. Assembling and testing the product. 5. Placing adequate warnings on the label to inform the user of dangers of which an ordinary person might not be aware. 6. Inspecting and testing any purchased components used in the final product.

To succeed in a negligence action, the plaintiff must prove each of the following:

1. Duty. That the defendant owed a duty of care to the plaintiff. 2. Breach. That the defendant breached that duty. 3. Causation. That the defendant's breach caused the plaintiff's injury. 4. Damages. That the plaintiff suffered a legally recognizable injury.

Four acts to qualify as invasion of privacy:

1. Intrusion into an individual's affairs or seclusion. 2. False light. 3. Public disclosure of private facts. 4. Appropriation of identity.

Tort Reform

1. Limiting the amount of both punitive damages and general damages that can be awarded. 2. Capping the amount that attorneys can collect in contingency fees (attorneys' fees that are based on a percentage of the damages awarded to the client). 3. Requiring the losing party to pay both the plaintiff's and the defendant's expenses.

To establish defamation, a plaintiff normally must prove the following:

1. The defendant made a false statement of fact. 2. The statement was understood as being about the plaintiff and tended to harm the plaintiff's reputation. 3. The statement was published to at least one person other than the plaintiff. 4. In addition, if the plaintiff is a public figure, she or he must prove actual malice.

The ACPA makes cybersquatting illegal when both the following are true:

1. The domain name is identical or confusingly similar to the trademark of another. 2. The one registering, trafficking in, or using the domain name has a "bad faith intent" to profit from that trademark.

Fraudulent Misrepresentation has 5 elements

1. The misrepresentation of facts or conditions with knowledge that they are false or with reckless disregard for the truth. 2. An intent to induce another to rely on the misrepresentation. 3. Justifiable reliance by the deceived party. 4. Damage suffered as a result of the reliance. 5. A causal connection between the misrepresentation and the injury suffered.

The six requirements for strict product liability

1. The product must be in defective condition when the defendant sells it 2. The defendant must normally be engaged in the business of selling that product 3. The product must be unreasonably dangerous to the user or consumer because of its defective condition 4. The plaintiff must incur physical harm to self or property by use or consumption of the product 5. The defective condition must be the proximate cause of the injury or damage 6. The goods must not have been substantially changed from the time the product was sold to the time the injury was sustained

Unreasonably dangerous product situations:

1. The product was dangerous beyond the expectation of the ordinary consumer 2. A less dangerous alternative was economically feasible for the manufacturer, but the manufacturer failed to produce it

Duress

1. Unlawful pressure brought to bear on a person causing the person to perform and act that he or she would not otherwise perform. For Duress to an offense: A. Threat must be of serious bodily harm or death B. Harm threatened must be greater than the harm caused by the crime. C. Threat must be immediate and inescapable. D. D. must have been involved in the situation through no fault of their own.

Misrepresentation musts

1. must be a material fact 2. the seller must have intended to induce the buyer's reliance on misrepresenttion

Injury Requirement and Damages

1. must have legally recognizable injury (suffer some loss, harm, wrong, or invasion of a protected interest) 2. no injury, no recovery For a tort to have been committed, the plaintiff must have suffered a legally recognizable injury. To recover damages (receive compensation), the plaintiff must have suffered some loss, harm, wrong, or invasion of a protected interest. If no harm or injury results from a given negligent action, there is nothing to compensate — and no tort exists

"cause in fact" is determined by:

1. showing that but for the defendant's action, the injury would not have occurred 2. determining the defendant's act was proximate cause of the injury

To establish assumption of risk, a defendant must sho (2)...

1. the plaintiff knew and appreciated the risk created by the product defect 2. The plaintiff voluntarily assumed the risk- by express agreement or by words or conduct- even though it was unreasonable to do so

Justifiable use of Force

1. the privilege to protect one's self or property against injury by another 2. in general people can use the amount of non deadly force that seems necessary to protect themselves, their dwellings, or other property or to prevent the commission of a crime. 3. Deadly force can be used in self-defense if there is a reasonable belief that immanent death or great bodily harm will otherwise result, if the attacker is using unlawful force, and if the defender has not initiated or provoked the attack. 4. Deadly Force in defense of a dwelling is valid only if the unlawful entry Is violent and the person reasonably believes deadly force is necessary to prevent immanent death or great bodily harm.

Intentional Torts against Property

1. trespass to land 2. trespass to personal property 3. conversion 4. disparagement of property

Defenses to Defamation

1. truth 2. privilege Truth is normally an absolute defense against a defamation charge. In other words, if the defendant in a defamation suit can prove that his or her allegedly defamatory statements were true, normally no tort has been committed. Other defenses to defamation may exist if the statement is privileged or concerns a public figure. Note that the majority of defamation actions in the United States are filed in state courts, and the states may differ both in how they define defamation and in the particular defenses they allow, such as privilege

EXAMPLE 4.12 An Arkansas newspaper prints an article with the headline "Special Delivery: World's oldest newspaper carrier,

101, quits because she's pregnant!" Next to the article is a picture of a ninety-six-year-old woman who is not the subject of the article (and not pregnant). If she sues the paper for invasion of privacy, she will probably win. False Light

Immunity

5th Amend.- No person can be compelled to be a witness against himself. - In cases in which the state wishes to obtain information from a person accused of a crime, the state can grant immunity from prosecution or agree to prosecute for a less serious offense in exchange for the information.

Yuri agrees to zed.com's terms of service and downloads the site's app. Yuri then reverse-engineers the app to create a competing product. This is a. acceptable as long as the site's owners are unaware of the activity. b. a breach of contract. c. within the rights of a contracting party. d. a fair use of the app, with or without a contract.

A breach of contract

Do you have a sink provides its sales representatives with the phones to use in the ordinary course of business. Deals monitors the employees electron it communications me through the phones. This is

A business extension exception under the electronica communications privacy act

Internet Service Providers (ISPs)

A business or organization that offers users access to the Internet and related services. • The Safe Web Act also provides a "safe harbor" for Internet service providers (ISPs). • The safe harbor gives ISPs immunity from liability for supplying information to the FTC concerning possible unfair or deceptive conduct in foreign jurisdictions.

Puffery

A salesperson's exaggerated claims concerning the quality of goods offered for sale. Such claims involve opinions rather than facts and are not considered to be legally binding promises or warranties. seller's talk Fraud exists only when a person represents as a fact something she or he knows is untrue. For instance, it is fraud to claim that a roof does not leak when one knows it does. Facts are objectively ascertainable, whereas seller's talk is not. "I am the best accountant in town" is seller's talk because best is subjective.

The bill fo rights embodies

A series of protections for the individual against government action

Causation

A cause and effect relationship in which one variable controls the changes in another variable. If a person breaches a duty of care and someone suffers an injury, the wrongful act must have caused the harm for it to constitute the tort of negligence. Courts Ask Two Questions In deciding whether there is causation, the court must address two questions: 1. Is there causation in fact? 2. Was the act the proximate cause of the injury? Both questions concerning causation must be answered in the affirmative for tort liability to arise. If a defendant's action constitutes causation in fact but a court decides that the action was not the proximate cause of the plaintiff's injury, the causation requirement has not been met—and the defendant normally will not be liable to the plaintiff.

Implied Contract

A contract formed in whole or in part from the conduct of the parties (opposed to express contract)

Void Contract

A contract having no legal force or binding effect.

Express Contract

A contract in which the terms of the agreement are fully and explicitly stated in words, oral or written

Executed Contract

A contract that has been completely performed by both parties

Executory Contract

A contract that has not as yet been fully performed.

Voidable Contract

A contract that may be legally avoided at the option of one of the parties.

Unilateral Contact

A contract that results when an offer can only be accepted by the offeree's performance

Valid Contract

A contract that results when elements necessary for contract formation are present

Copyrights

A copyright is an intangible property right granted by federal statute to the author or originator of a literary or artistic production of a specified type. The Copyright Act of 1976,Footnote as amended, governs copyrights. Works created after January 1, 1978, are automatically given statutory copyright protection for the life of the author plus 70 years. For copyrights owned by publishing houses, the copyright expires 95 years from the date of publication or 120 years from the date of creation, whichever comes first. For works by more than one author, the copyright expires 70 years after the death of the last surviving author. When copyright protection ends, works enter into the public domain. Intellectual property, such as songs and other published works, that have entered into the public domain belong to everyone and are not protected by copyright or patent laws.

Unreasonably Dangerous Products:

A court may consider a product so defective as to be an unreasonably dangerous product in either of the following situations. 1. The product is dangerous beyond the expectation of the ordinary consumer. 2. A less dangerous alternative was economically feasible for the manufacturer, but the manufacturer failed to produce it.

Responsible Corporate Officer Doctrine

A court may impose criminal liability on a corporate officer regardless of whether she or he participated in, directed, or even knew about a given criminal violation.

CASE EXAMPLE 4.5 Police arrested Adetokunbo Shoyoye for an unpaid sub- way ticket and for a theft that had been committed by someone who had stolen his identity.

A court ordered that he be released, but a county employee mistakenly confused Shoyoye's paperwork with that of another person, who was scheduled to be sent to state prison. As a result, instead of being released, Shoyoye was held in county jail for more than two weeks. Shoyoye later sued the county for false imprisonment and won. False Imprisonment

All contracts include which of the following implied terms?

A covenant of good faith and fair dealing

True

A criminal defendant has the right to confront accusers and to present his or her own witnesses.

False

A defendant cannot be liable for negligence unless he or she intended to harm the plaintiff.

False

A defendant cannot be liable in an intentional tort action if he or she did not intend to cause harm to the plaintiff.

Recklessness

A defendant is criminally reckless if he or she consciously disregards a substantial and unjustifiable risk.

True

A defendant may be able to limit liability for injuries caused by a defective product by showing that a plaintiff's negligence contributed to the injuries.

Entrapment

A defense in which a defendant claims that he or she was induced by a public official to commit a crime that he or she would have otherwise not committed.

Entrapment

A defense in which a defendant claims that he or she was induced by a public official to commit a crime that he or she would otherwise not have committed.

Assumption of Risk

A defense to negligence that bars a plaintiff from recovering for injuries or damage suffered as a result of risks he or she knew of and voluntarily assumed. requires two elements: 1. Knowledge of the risk. 2. Voluntary assumption of the risk. This defense is frequently asserted when a plaintiff is injured during recreational activities that involve known risk, such as skiing and skydiving. Courts do not apply the assumption of risk doctrine in certain situations, such as those involving emergencies, however. Assumption of risk can apply not only to participants in sporting events, but to spectators and bystanders who are injured while attending those events.

Hogee is arrested at a warehouse in industrial park and it's charged with a crime of theft. How do you will prosecute by

A district attorney or an attorney general

Galaxy research Inc. uses a mark associated with its name to distinguish its services from those of other tech firms. This Mark is

A service mark

Wendy works as a weather announcer for a TV station under the character named weather Wendy. Wendy can register her name as

A service mark

Privilege

A special right, advantage, or immunity that enables a person or a class of persons to avoid liability for defamation.

Res Ipsa Loquitur

A doctrine under which negligence may be inferred simply because an event occurred, if it is the type of event that would not occur in the absence of negligence. Literally, the term means "the facts speak for themselves." Generally, in lawsuits involving negligence, the plaintiff has the burden of proving that the defendant was negligent. In certain situations, however, the courts may infer that negligence has occurred under the doctrine of res ipsa loquitur. Then the burden of proof rests on the defendant to prove that she or he was not negligent. This doctrine is applied only when the event creating the damage or injury is one that ordinarily would occur only as a result of negligence. It must be caused by something within the exclusive control of the defendant, and it must not have been due to any act on the part of the injured party. Train Derailments, falling elevators etc.

To test computer security and conduct encryption research, solutions Inc. circumvents the encryption software and other anti-piracy protection of tech corporations software under the digital millennium copyright act this is

A fair use exception to the provisions of the act

False

A false statement made with actual malice can constitute defamation, unless the statement is about a public figure.

Jason a citizen of Kansas wants to file a suit against Lora a citizen of Michigan their diversity of citizenship maybe a basis for

A federal court to exercise jurisdiction

Henrique access his finance banks computer system without authority to obtain protected financial records. Under federal law, this is

A felony if it was done for commercial purpose

Quasi Contract

A fictional contract imposed on parties by a court in the interests of fairness and justice; usually quasi contracts are imposed to avoid the unjust enrichment of one party at the expense of another.

Information

A formal accusation or complaint issued in certain types of actions by a government prosecutor.

Indictment

A formal charge by a grand jury that there is probable cause to believe that a named person has committed a crime.

Trade Secrets

A formula, device, idea, process, or other information used in a business that gives the owner a competitive advantage in the marketplace.

Actus Reus

A guilty (prohibited) act; one of the two essential elements required to establish criminal liability

transferred intent

A legal principle under which a person who intends to harm one individual, but unintentionally harms a second person, can be liable to the second victim for an intentional tort.

Oh ring corporation allows piston company to incorporate O rings patented fuel injection system into pistons products this is

A license

CASE EXAMPLE 4.15 A landmark case involved an opera singer, Johanna Wagner, who was under contract to sing for a man named Lumley for a specified period of years.

A man named Gye, who knew of this contract, nonetheless "enticed" Wagner to refuse to carry out the agreement, and Wagner began to sing for Gye. Gye's action constituted a tort because it wrongfully interfered with the contractual relationship between Wagner and Lumley. (Of course, Wagner's refusal to carry out the agreement also entitled Lumley to sue Wagner for breach of contract.) Wrongful Interference with a Contractual Relationship

False

A manufacturer or seller has a duty to warn about a risk that is obvious or commonly known.

Collection Mark

A mark used by members of a cooperative, association, union, or other organization to certify the region, materials, mode of manufacture, quality, or other characteristic of specific goods or services.

Certification Mark

A mark used by one or more persons, other than the owner, to certify the region, materials, mode of manufacture, quality, or other characteristic of specific goods or services.

Service Marks

A mark used in the sale or the advertising of services, such as to distinguish the services of one person from the services of others. Titles, character names, and other distinctive features of radio and television programs may be registered as service marks.

Pete advises Olli to invest in rocky road inc when the share price of Rockys stock decreases, Ollie accuses Pete of fraud, claiming reliance on Pete's advice. The reliance that gives rise to liability for fraud requires

A miss representation of fact knowing that it is false

Compensatory Damages

A monetary award equivalent to the actual value of injuries or damage sustained by the aggrieved party. Thus, the goal is to make the plaintiffs whole and put them in the same position that they would have been in had the tort not occurred.

damages

A monetary award sought as a remedy for a breach of contract or a tortious action.

Best files a suit against cruise line Inc. cruise the response that it appears for the pleading that the parties do not dispute the fact and only the question is how the law applies to those facts Cruz can support this response with witnesses sworn statements cruise should file with the court

A motion of summary judgment

Internet law

A number of laws specifically address issues that arise only on the Internet. These issues include unsolicited e-mail, domain names, cybersquatting, and meta tags, as we discuss here.

True

A patent applicant must demonstrate that an invention is useful to receive a patent.

Good Samaritan Statute

A state statute stipulating that persons who provide emergency services to, or rescue, someone in peril cannot be sued for negligence, unless they act recklessly, thereby causing further harm. These laws were passed largely to protect physicians and medical personnel who voluntarily render medical services in emergency situations to those in need, such as individuals hurt in car accidents.

With respect to spam, thirty-seven states

ANSWER: prohibit or regulate it. permit its use by business entities. prescribe its use. preempt the application of federal law on the same subject.

Patents

A patent is a grant from the government that gives an inventor the exclusive right to make, use, or sell his or her invention for a period of twenty years. Patents for designs, as opposed to those for inventions, are given for a fourteen-year period. The applicant must demonstrate to the satisfaction of the U.S. Patent and Trademark Office that the invention, discovery, process, or design is novel, useful, and not obvious in light of current technology. Until recently, U.S. patent law differed from the laws of many other countries because the first person to invent a product obtained the patent rights rather than the first person to file for a patent. It was often difficult to prove who invented an item first, however, which prompted Congress to change the system in 2011 by passing the America Invents Act. Now the first person to file an application for a patent on a product or process will receive patent protection. In addition, the new law established a nine-month limit for challenging a patent on any ground. The period of patent protection begins on the date the patent application is filed, rather than when the patent is issued, which may sometimes be years later. After the patent period ends (either fourteen or twenty years later), the product or process enters the public domain, and anyone can make, sell, or use the invention without paying the patent holder.

In a suit against Guillermo Hailey obtains an award of damages. This is

A payment of money or property

Offeree

A person to whom an offer is made

False

A person who is injured by a defective product can bring a negligence suit only if he or she was the one who purchased the product.

Offeror

A person who makes an offer

Insanity

A person who suffers from a mental illness may be incapable of the state of mind required to commit a crime. • Thus, insanity can be a defense to a criminal charge. Note that an insanity defense does not allow a person to avoid imprisonment. It simply means that if the defendant successfully proves insanity, she or he will be placed in a mental institution.

False

A person who wrongfully hurts another's good name or reputation orally may be liable for libel.

Promise

A person's assurance that he or she will or will not do something

business invitee

A person, such as a customer or a client, who is invited onto business premises by the owner of those premises for business purposes.

Forum Shopping

A plaintiff choosing a court in which to sue because he or she believes the court will rule in the plaintiff's favor.

Inadequate Wanings

A product may also be deemed defective because of inadequate instructions or warnings.

Offer

A promise or commitment to perform or refrain from some specified act in the future.

Defense

A reason offered by a defendant in an action or lawsuit as to why the plaintiff should not recover or establish what she or he seeks.

Bix backed out of city parking garage colliding with dills car dill may recover $7500 to cover the cost of the repairs if bix failed to act as

A reasonable person

Knowledgeable User

A related defense is the knowledgeable user defense. If a particular danger (such as electrical shock) is or should be commonly known by particular users of the product (such as electricians), the manufacturer of electrical equipment need not warn these users of the danger.

Typosquatting

A relatively new form of cybersquatting is typosquatting, or registering a name that is a misspelling of a popular brand name, such as googl.com or appple.com.

Insulated Inc. makes and sells fire retardant building materials in a product liability suit against insulate a "would use a risk utility analysis of the company's products as designed to determine whether

A risk of harm outweighs the products utility to the user and the public

Contributory Negligence

A rule in tort law, used in only a few states, that completely bars the plaintiff from recovering any damages if the damage suffered is partly the plaintiff's own fault. A legal defense that may be raised when the defendant feels that the conduct of the plaintiff somehow contributed to any injuries or damages that were sustained by the plaintiff. Under this rule, no matter how insignificant the plaintiff's negligence was relative to the defendant's negligence, the plaintiff was precluded from recovering any damages. Today, few jurisdictions follow this rule.

Comparative Negligence

A rule in tort law, used in the majority of states, that reduces the plaintiff's recovery in proportion to the plaintiff's degree of fault, rather than barring recovery completely. Under this standard, both the plaintiff 's and the defendant's negligence are computed, and the liability for damages is distributed accordingly. Some jurisdictions have adopted a "pure" form of comparative negligence that allows a plaintiff to recover, even if the extent of his or her fault is greater than that of the defendant. For instance, if a plaintiff was 80 percent at fault and the defendant 20 percent at fault, the plaintiff may recover 20 percent of his or her damages. Many states' comparative negligence statutes, however, contain a "50 percent" rule that prevents a plaintiff from recovering any damages if she or he was more than 50 percent at fault. Under this rule, a plaintiff who is 35 percent at fault could recover 65 percent of his or her damages, but a plaintiff who is 65 percent at fault could recover nothing.

Exclusuonary rule

A rule that prevents evidence that is obtained illegally or without a proper search warrant from being admissible in court.

Dram Shop Acts

A state statute that imposes liability on the owners of bars and taverns, as well as those who serve alcoholic drinks to the public, for injuries resulting from accidents caused by intoxicated persons when the sellers or servers of alcoholic drinks contributed to the intoxication. Some states' statutes also impose liability on social hosts (persons hosting parties) for injuries caused by guests who became intoxicated at the hosts' homes. Under these statutes, it is unnecessary to prove that the tavern owner, bartender, or social host was negligent.

Gilbert wants to initiate a suit against Healthways insurance company by filing a complaint the complete should include

A statement alleging the facts showing the court has jurisdictions

Comparative negligence (fault)

A theory in tort law under which the liability for injuries resulting from negligence acts is shared by all parties who were negligent on the basis of each person's proportionate negligence

Objective Theory of Contracts

A theory under which the intent to form a contract will be judged by outward, objective facts as interpreted by a reasonable person, rather than by the party's own secret, subjective intentions.

Malicious Prosecution

A tort in which one person wrongfully subjects another to criminal or civil litigation for the sole purpose of causing problems for that other person, often in retaliation for previous litigation between the two. If a party initiates a lawsuit out of malice and without a legitimate legal reason

Afford motors llc, An auto broker, uses the trademark a Ford motor comes in a meta-tag without Ford's permission. This is

A trademark in Frenchman

Trademarks

A trademark is a distinctive mark, motto, device, or implement that a manufacturer stamps, prints, or otherwise affixes to the goods it produces so that they can be identified on the market and their origins made known. In other words, a trademark is a source indicator. At common law, the person who used a symbol or mark to identify a business or product was protected in the use of that trademark. Clearly, by using another's trademark, a business could lead consumers to believe that its goods were made by the other business. The law seeks to avoid this kind of confusion.

Trademarks:

A trademark is a distinctive word, symbol, sound, or design that identifies the manufacturer as the source of particular goods and distinguishes its products from those made or sold by others. • At common law, the person who used a symbol or mark to identify a business or product was protected in the use of that trademark.

Distinctiveness of Mark

A trademark must be sufficiently distinctive to enable consumers to identify the manufacturer of the goods easily and to distinguish between those goods and competing products.

Bilateral Contract

A type of contract that arises when a promise is given in exchange for a return promise

Unenforceable Contract

A valid contract rendered unenforceable by some statute or law

Torts

A wrongful act (other than a breach of contract) that results in harm or injury to another and leads to civil liability. Through tort law, society compensates those who have suffered injuries as a result of the wrongful conduct of others. Two notions serve as the basis of all torts: wrongs and compensation. Tort law is designed to compensate those who have suffered a loss or injury due to another person's wrongful act. In a tort action, one person or group brings a personal suit against another person or group to obtain compensation (monetary damages) or other relief for the harm suffered.

intentional tort

A wrongful act knowingly committed.

Intentional Tort

A wrongful act knowingly committed. requires intent In tort law, intent means only that the person intended the consequences of his or her act or knew with substantial certainty that certain consequences would result from the act. The law generally assumes that individuals intend the normal consequences of their actions. In intentional tort actions, the defendant must intend to commit the act, but need not have intended to cause harm to the plaintiff. An evil or harmful motive is not required—in fact, the person committing the action may even have a beneficial motive for committing what turns out to be a tortious act.

True

A wrongful action that interferes with a person's legal right to personal property can support a tort action in trespass.

Computer Crimes

A. Directed against computers or computer parts B. Uses computers as instruments of crime C. Involves computers and constitutes abuse: financial crimes done through use of computers; theft of computer equipment; theft of goods with aid of computers (manipulating inventory records); computer viruses; software piracy

Raul uses social media to post links that, when clicked, secretly install software on others' computers without the owners' knowledge Raul's software is designed to harm or disrupt the computers. This program is

A. Malware

Vida, a user of phone-app.com's website, can download apps for free by first clicking on "I accept" after viewing certain terms. This is A. a contract that includes the terms. B. unenforceable. C. not a contract but the terms are enforceable. D. a contract that does not include the terms.

A. a contract that includes the terms.

Serena invents a new, unique, long-life battery. A grant from the government that gives Serena the exclusive right to make and sell the battery for a certain period of time is A. a patent. B. a copyright. C. a trade secret. D. a trademark.

A. a patent.

Larry advertises a reward for the return of his lost dog. Miguel does not learn of the reward, but finds and returns the dog. With respect to Miguel, Larry's ad is not an offer because it lacks the element of A. communication. B. none of the choices. C. serious intent. D. definite terms.

A. communication.

Ichiro is injured in a two-car accident and sues Heather, the driver of the other vehicle, alleging negligence. Heather claims that Ichiro was driving more carelessly than she was. Comparative negligence may reduce Ichiro's recovery a. even if Ichiro was only slightly at fault. b. only if Ichiro and Heather were equally at fault. c. only if Ichiro was less at fault than Heather. d. only if Ichiro was more at fault than Heather.

A. even if Ichiro was only slightly at fault

Glen offers to sell Helen his iPad for $200. Under the mirror image rule, Helen's response will be considered an acceptance if the terms of the acceptance A. exactly mirror those of the offer. B. change both the price and the items offered. C. change the items offered, but do not change the price. D. change the price, but do not change the items offered.

A. exactly mirror those of the offer.

Lon is an employee of Motor Parts, an auto parts store. On the orders of his employer, he switches trademarks on parts that come into the store to be sold to consumers. This is most likely

A. forgery.

Don interferes with the business interests of Erin in a way not permitted by law, and Erin's business is harmed as a result. To be liable to Erin for the commission of an intentional tort, Don must have a. intended to commit the act. b. intended to harm Erin's business. c. acted with an evil motive. d. acted with a harmful motive.

A. intended to commit the act.

To be protected under the Copyright Act, a work must be A. original and fixed in a durable medium. B. none of the choices. C. a concept, principle, or discovery. D. an inseparable idea and expression.

A. original and fixed in a durable medium.

Rafi offers to sell his sailboat, Sea Siren, to Tara for $50,000. Referring to the prices for similar vessels, Tara says, "I'll pay no more than $40,000." Rafi's offer is A. terminated. B. revoked. C. still open. D. rejected and subject to a counteroffer.

A. terminated.

Rough Water LLC and Schafer enter into a contract for the delivery of a certain number of river rafts. Until the rafts are delivered and paid for, the parties have

AN EXECUTORY CONTRACT

Flo tells Ginger during a phone call that she will buy her textbook from last semester for $65. Ginger agrees. These parties have

AN EXPRESS CONTRACT

On behalf of the jazz group Fusion, their manager Gabe agrees to a performance in Hilltop Amphitheatre on July 4. Gabe and Hilltop sign a written copy of the agreement. These parties have

AN EXPRESS GROUP

Brie, Cam, and Dei are co-sureties of Edie's debt to Finance LLC. Brie pays the entire debt. Her right of contribution entitles her to recover any amount paid above the surety's obligation from

ANSWER: Cam and Dei. Edie. Finance LLC. none of the parties.

Gaye owns the surface rights for High Desert Ranch, which includes a house, a bunkhouse, and two barns. Industrial Mining Inc. owns the subsurface rights. When the company drills for and extracts the oil beneath the ranch, the surface subsides and the structures collapse. Most likely responsible for the damage is

ANSWER: Industrial Mining. Gaye. Industrial Mining and Gaye in proportion to the value of their rights. no one.

A company that provides a phone to an employee for business use is not prohibited from intercepting personal communications made on it. (T/F)

False

36. Greg is marketing manager for Home Stuff LLC. Greg is responsible for branding the company's products. Aspects of branding that can be trademarked include a. a catchy phrase, such as "Stuff your home with Home Stuff!" b. the shape of a container, even if it does not aid in product identification. c. use of another party's established trademark, with or without permission. d. none of the choices.

ANSWER: a

39. Sea Coast Café uses the trademark of Tacos del Mar without permission. This use of the mark is actionable as trademark infringement a. if consumers are confused. b. all of the choices. c. only if the two companies' products are similar. d. if the use diminishes the distinctive quality of the mark.

ANSWER: a

40. Phoenix Inc. is a publisher. Phoenix uses a logo featuring a bird rising from a flame to identify its publications. The publications are printed in a unique process that includes a 3-D printer. Phoenix could most likely obtain trademark protection for its a. logo. b. publications. c. printing process. d. printer.

ANSWER: a

43. Berry Good LLC registers its trademark with the U.S. Patent and Trademark Office, and uses it to market a distinctive line of ice cream products. Crabapple Inc. uses the mark without Berry's consent to sell imitation frozen desserts. Berry has a cause of action against a. Crabapple. b. the U.S. Patent and Trademark Office. c. consumers who buy Crabapple's desserts. d. all of the choices.

ANSWER: a

45. Gargantua Equipment Corporation registers its trademark as provided by federal law. This registration gives notice that the mark belongs exclusively to Gargantua. This notice is a. national. b. limited to Gargantua's home state. c. limited to Gargantua's market. d. limited to those who have actual notice of it.

ANSWER: a

49. Salty Snacks Inc. markets a fish-shaped cracker. When Tasty Tidbits Inc. begins to sell a similar product, Salty files a suit against Tasty, alleging infringement and claiming that consumers are likely to be confused. The court will most likely a. rule in the plaintiff's favor. b. dismiss the suit. c. order both parties to redesign their respective products. d. order both parties to destroy all remaining fish-shaped crackers.

ANSWER: a

51. Apex Electrical Inc. agrees to allow Apex Foundations LLC to use the owner's trademark "Apex" as part of its company name but not otherwise. The domain name apex.com can be used online by a. Apex Electrical only. b. both businesses but no others. c. neither business. d. both businesses and any others that own the mark.

ANSWER: a

52. Pseudo Drugs Inc. is convicted of trafficking in counterfeit prescription drugs. As a penalty, the company may be ordered to pay restitution to the trademark holders in an amount equal to a. their lost net profits. b. the retail prices of the genuine drugs. c. Pseudo's profits from the sale of the counterfeit drugs. d. the retail prices of the counterfeit drugs.

ANSWER: a

53. Serena invents a new, unique, long-life battery. A grant from the government that gives Serena the exclusive right to make and sell the battery for a certain period of time is a. a patent. b. a trademark. c. a copyright. d. a trade secret.

ANSWER: a

54. O-Ring Corporation allows Piston Company to incorporate O-Ring's patented fuel-injection system into Piston's product. This is a. a license. b. copyright infringement. c. trademark infringement. d. patent infringement.

ANSWER: a

55. Ruby invents a new type of pillow and obtains a patent for it. Sleep-Time Inc. believes that Ruby's pillow infringes on one of Sleep-Time's previously patented products. Sleep-Time must file a challenge to Ruby's patent within a. nine months. b. twenty years. c. the life of the inventor plus seventy years. d. no specific time.

ANSWER: a

60. Without the permission of the copyright owner, Faye copies the literary expression of Game of Thrones, changes the names of the main characters, and publishes the result as her own work. This is a. copyright infringement. b. a "fair use." c. a legitimate creative act. d. none of the choices.

ANSWER: a

62. Leigh buys Masters of Business, a copyrighted book. Under the first sale doctrine, Leigh can legally a. sell the book to another person. b. republish the book as her own work. c. control the distribution of other copies of the book. d. none of the choices.

ANSWER: a

Analytics LLC processes misinterpreted data furnished by Botch Services to propose a marketing plan for Clientele Inc. Analytics and Clientele are both ignorant of the mistaken data. Their contract can be rescinded on the basis of

ANSWER: a bilateral mistake. a mistake of quality. a unilateral mistake. none of the choices.

State University provides housing on campus and in some adjacent off-campus neighborhoods. To lease a university house or apartment, a person must be a student at State. This requirement is

ANSWER: a condition. a novation. a breach of contract. an operation of law.

Aggie owns Buffalo Ranch. Aggie's ownership rights include the right to sell or give away the property without restriction, and the right to use the property for whatever purpose she sees fit. Aggie's ownership interest is

ANSWER: a fee simple absolute. a license. a life estate. a profit.

Derek deeds a parcel of timberland to Elaine as a gift. Derek has given Elaine

ANSWER: a fee simple absolute. a life estate. the right to adverse possession. the power of eminent domain.

Richard owns Scholars Apartment House. His ownership rights include the right to sell or give away the property without restriction, as well as to use the property for whatever purpose he sees fit. His ownership interest is

ANSWER: a fee simple absolute. a life estate. the right to adverse possession. the power of eminent domain.

Kim and Leola own a warehouse in which they operate Mini-Storage Corporation. On the death of either owner, that owner's interest in the warehouse passes to the surviving owner. This is Group of answer choices

ANSWER: a joint tenancy. community property. a tenancy in common. ownership in fee simple.

Rue obtains permission from Saga Company to use the firm's game app on Rue's mobile devices. But Rue does not obtain ownership rights in the app. This is

ANSWER: a license. a cookie. cloud computing. a violation of the law.

The idea for price and profit, an app that businesses can use to track their revenue, profit, and payroll, is protected by

None of these

Dana operates Energy Inc., a corporation in the fuel-supply business. Dana wants to create a plan under which the firm pays a portion of its debts, is discharged of the remainder, and is allowed to continue in business. Energy should file a petition in bankruptcy for relief through

ANSWER: a liquidation. a reorganization. a repayment plan. an adjustment of debts.

Because the homestead exemption interacts with other areas of the law that relate to creditors' rights and remedies, it can sometimes operate to cancel out

ANSWER: a portion of a lien on a debtor's real property. the creditor's rights in bankruptcy. rights to collateral possessed by the creditor. any right that the creditor has against the debtor.

Grain Mill Company brings a suit against Milled Grain Company under the Anticybersquatting Consumer Protection Act, alleging that Milled Grain is profiting from a domain name that is confusingly similar to Grain Mill's trademark. If Grain Mill is successful, recovery may include

ANSWER: actual damages and profits in any amount. statutory damages no greater than $1,000. statutory damages no less than $100,000. all of the choices.

Ran is a surety for Su's loan from Tempo Credit. When Su pays the debt owed to the lender, Ran's right of subrogation entitles the surety to

ANSWER: any right that the creditor had against the debtor. a proportionate share of any overpayment due to the loan's prepayment. all outlays made on behalf of the suretyship arrangement. title to and possession of the property serving as collateral for the loan.

41. 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. all of the choices.

ANSWER: b

50. Obtaining a court order to close down the domain name of a website is an effective tool that U.S. officials use to combat online sales of a. licenses. b. counterfeit goods. c. competing products. d. trademarks.

ANSWER: b

56. 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.

ANSWER: b

58. To be protected under the Copyright Act, a work must be a. an inseparable idea and expression. b. original and fixed in a durable medium. c. a concept, principle, or discovery. d. none of the choices.

ANSWER: b

59. Stig creates unique graphic works that feature characters of his own imagination. Copyright protection for Stig's work is a. not possible. b. automatic. c. available only on registration with the U.S. Copyright Office. d. enforceable only if Stig places a circled "c" on the work.

ANSWER: b

61. 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.

ANSWER: b

63. Prognosis Inc. owns a brain-computer interface that enables physicians to diagnose and treat some diseases quickly and accurately. Federal copyright protection extends to a. the general appearance of the app. b. the parts of the app that can be read by computers. c. the command structure of the app. d. all of the choices.

ANSWER: b

64. Predictive Data LLC makes and sells software that enables a business to target its advertising precisely. The company could successfully bring an action for copyright infringement against a competitor who copies a. the screen displays of the software. b. the parts of the software that can be read by humans. c. the menus of the software. d. any of the choices.

ANSWER: b

70. United Inc., a U.S. film production company, files a suit against Video Ltd., a Mexican production firm, for infringement of intellectual property rights under Mexico's national laws. Both the U.S. and Mexico are signatories of the TRIPS agreement, under which United is entitled to a. more protection under Mexican law than Video. b. the same rights and protection under Mexican law as Video. c. fewer rights under Mexican law than Video. d. none of the choices.

ANSWER: b

To buy a townhouse, Becky obtains a mortgage loan from Countywide Bank. The lender should record the mortgage to

ANSWER: be officially on record as holding an interest in the property. secure itself in the position of an unsecured creditor. preserve a copy of the loan in a separate location. obtain reimbursement for a portion of the loan if the debtor defaults.

38. 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. none of the choices.

ANSWER: c

42. Organos Ltd. traffics in nutritional supplements that are marketed as genuine, trademark-branded products when in fact they are counterfeit. This is a crime a. only if the counterfeits have negative effects on legitimate businesses. b. only if the counterfeits present serious public health risks. c. under all circumstances. d. under no circumstances.

ANSWER: c

44. Graphix S.A. traffics in labels that bear counterfeit trademarks. This is a crime a. only if the labels have negative effects on legitimate businesses. b. only if the labels are attached to counterfeit goods. c. under all circumstances. d. under no circumstances.

ANSWER: c

46. Wendy works as a weather announcer for a TV station under the character name Weather Wendy. Wendy can register her name as a. none of the choices. b. a trade secret. c. a service mark. d. a trade name.

ANSWER: c

47. Galaxy Research Inc. uses a mark associated with its name to distinguish its services from those of other tech firms. This mark is a. none of the choices. b. a trade secret. c. a service mark. d. a trade name.

ANSWER: c

68. The idea for "Price & Profit," an app that businesses can use to track their revenue, profit, and payroll, is protected by a. copyright law. b. patent law. c. none of the choices. d. trade secrets law.

ANSWER: c

69. 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.

ANSWER: c

Web Invest Inc. buys and sells domain names with the click of a mouse. A domain name can be bought and sold many times. Each change of owner is registered automatically as part of a mass registration. In this environment

ANSWER: cybersquatting can flourish. typosquatting occurs unintentionally through clerical misspellings. brands and trademarks are automatically protected from cybersquatters. the Federal Trade Commission can sanction Web Invest.

Outsourcing Inc. registers a domain name that is the same as the trademark of Resourcing LLC and offers to sell the name to the mark's owner. This is

ANSWER: cybersquatting. typosquatting. trademark infringement. trademark dilution.

37. Without permission, Race Runners Inc. uses a trademark that is similar to the registered mark of Swiftfoot, Inc. This use of the mark constitutes trademark dilution a. if consumers are confused. b. all of the choices. c. only if the two companies' products are similar. d. if the use diminishes the distinctive quality of the mark.

ANSWER: d

48. Chris operates the Devil's Brew chain of coffee stands. "Devil's Brew" is a. none of the choices. b. a trade secret. c. a service mark. d. a trade name.

ANSWER: d

57. Works that are copyrightable include a. books. b. music videos. c. product packaging. d. all of the choices.

ANSWER: d

65. Paving Corporation taps into the computer network of Roadwork Inc., a competitor, and downloads confidential business data without Roadwork's knowledge or authorization. This is most likely a. copyright infringement. b. patent infringement. c. trademark infringement. d. a theft of trade secrets.

ANSWER: d

66. Information that may be protected as trade secrets includes a. customer lists. b. pricing information. c. marketing techniques. d. all of the choices.

ANSWER: d

67. Like most successful companies, Phones Inc. has trade secrets. The law protects those secrets if the information is a. not revealed to outside parties. b. cataloged by the company as "confidential." c. useful and is in fact used by the company. d. of value to a competitor.

ANSWER: d

Flash Inc., a maker of athletic shoes, registers and uses "flash" as its domain name. Later, Got Shoes Company begins to use "flast" (an intentional misspelling of "flash") as its domain name. Got Shoes is most likely

ANSWER: diminishing the quality of Flash's mark. making a fair use of Flash's mark. licensing the use of Flash's mark to itself. engaging in lawful competitive conduct.

Bach borrows funds from City Bank to pay his tuition. Dvorak co-signs the credit application. After the loan agreement is signed, Bach agrees to a higher rate of interest without telling Dvorak, who is thereby

ANSWER: discharged from the agreement. liable at the higher rate of interest. liable at the lower rate of interest. liable for the principal only.

Dom enters into a contract to buy Ezra's office building for a certain price subject to an appraiser's evaluation of the structure's condition. If the appraiser deems the condition to be substandard, the parties' obligations will be

ANSWER: discharged. breached. altered. performed.

Fess convinces Gwyn to enter into a contract for the purchase of a Falafel Waffle Food Cart by knowingly misrepresenting a number of material features about the facility and the business. Most likely, Gwyn can rescind the contract on the basis of

ANSWER: fraudulent misrepresentation. undue influence. duress. none of the choices.

Equipment Company holds a lien on Fertile Farm's equipment. The equipment can be sold to satisfy the debt

ANSWER: if, before the sale, notice is given to Fertile Farm. if, before the sale, notice is given to Fertile Farm's other creditors. if, before the sale, notice is given to the general public. without notice.

Broadband Inc., an Internet service provider, supplies information to the Federal Trade Commission concerning possible unfair or deceptive ads originating in a foreign jurisdiction. Under federal law, Broadband is

ANSWER: immune from liability. subject to liability if the information is false. subject to liability if the ads were sent through Broadband's service. subject to liability in the foreign jurisdiction, but not in the United States

Raj agrees to work as a freight broker for Shipping Inc. In determining whether a contract has been formed, an element of prime importance is the parties'

ANSWER: intent. objectives. subjective beliefs. motives.

Restaurant Food Inc. intends to sell a certain quantity of beef for $1,100. In e-mail, however, the firm's sales representative mistakenly offers to sell the beef to Steak House for $1,000, Steak's manager immediately accepts. The seller

ANSWER: is bound to the deal at the offered price. can rescind the deal. is bound to the deal but can charge the intended price. can rescind the deal and recover damages for the mistake.

Mix Restaurant Corporation owns the trademark "Mix." Remix Café Company begins to use the mark without authorization as a domain name. Mix files a suit against Remix on a theory of trademark dilution. This claim requires proof that

ANSWER: none of the choices. consumers are likely to be confused by the names. the products involved are similar. Mix has registered all variations of the name "Mix."

Open Range agrees to sell Pinewood Ranch a remote parcel of land for $15,000. Both parties believe the land to be worthless, but beneath it is shale rock containing oil. A court would

ANSWER: not rescind the contract. rescind the contract on the basis of a mistake of quality. rescind the contract on the basis of a mistake of value. rescind the contract on the basis of a mistake of opinion.

Mike owns a beach house in North Carolina in fee simple. This ownership interest is

ANSWER: potentially infinite in duration. limited to the period of Mike's life. limited to the period of the lives of Mike and his immediate heir. subject to the withdrawal or recall of the previous owner.

Obtaining Goods by False Pretenses

Part of larceny, description is basically the definition

At an auction, Ben bids on a 1957 Chevy coupe, believing that it is worth more than the price asked. When the car proves to need more repairs than Ben estimated, and thus is worth less as is, Ben is

ANSWER: still liable on the bid. not liable on the bid because he underestimated the cost of repairs. not liable on the bid because the auctioneer misrepresented the value. not liable on the bid because the need for repair is not a material fact.

Coffee Beans Inc. offers to buy Brewing Company's roasting services for a certain price. Brewing responds that the price is too low and thereby rejects the offer. The offer is

ANSWER: terminated. valid for a reasonable time. valid for the period of time prescribed by a state statute. valid until Coffee Beans revokes the offer.

To purchase a farmhouse, Clay obtains a mortgage loan from Debit Bank. Clay defaults on the payments on the loan. The bank has

ANSWER: the right to foreclose on the mortgaged property. the obligation to forbear part or all of the payments for a limited time. the duty to refinance the loan. the option to show a hardship and force a short sale of the property.

Owen owns a farm in Pennsylvania. Owen's brother Quentin owns the subsurface rights to the farm. Either brother can pass title to what he owns

ANSWER: without the other's consent. only with the other's consent. only when the other also passes title to what he owns. only by first offering to buy out the other's rights.

Marcos wants to buy Lucia's land, but she refuses to sell. Marcos begins using subpoenas, court orders, and other formal legal procedures in an unrelenting effort to force Lucia to sell. This is

Abuse of process

mailbox rule 151

Acceptance takes effect, thus completing formation of the contract, at the time the offeree sends or delivers the communication via the mode expressly or impliedly authorized by the offeror. also called the deposited acceptance rule, which the majority of courts follow. Under this rule, if the authorized mode of communication is the mail, then an acceptance becomes valid when it is dispatched (placed in the control of the U.S. Postal Service)—not when it is received by the offeror. A rule providing that an acceptance of an offer becomes effective on dispatch (on being placed in an official mailbox), if mail is, expressly or impliedly, an authorized means of communication of acceptance to the offeror.

Fit Corporation makes running shoes. Gabby a marathoner far as a product liability suit against fit alleging I design defect in deciding whether to hold the company liable the court may consider an alternative designs

Advantages and disadvantages

Highlights of the UETA.

Agreement: UETA only applies to transactions if both parties have agreed, but may be implied by conduct. Even if a party has previously agreed, he may withdraw consent (opt out). UETA does not create new rules, but rather enforces 'real world' rules on electronic contracts. Only applies to e-records and e-signatures relating to a "transaction" (interactions between two people relating to business, commercial, or governmental activities). UETA does not apply to wills or testamentary trusts. Does not apply unless each party has previously agreed to conduct electronic transactions. Can be implied by conduct and prior dealings. The Effect of Errors: UETA encourages use of security and encryption methods. Parties must notify each other promptly. Timing: once record leaves control of sender, UETA deems it "sent." The record is "received" when it enters recipients system in readable form - even if no individual is aware of its receipt.

Power inc is a corporation engaged in the business of producing, refining and distributing energy resources. with respect to the firms managers, legal concepts can be used for powers

All choices

Basel includes his song chords a few seconds of Dantes copyrighted sound recording ETUDES without permission. Some federal courts have found that such digital sampling is

All of the choices

Because of the loss of significant amounts of revenue as a result of unauthorized digital downloads, filesharing has created problems for

All of the choices

Power, Inc., is a corporation engaged in the business of producing, refining, and distributing energy resources. With respect to the firm's managers, legal concepts can be useful for Power's a. marketing manager. b. all of the choices. c. accounting and finance manager. d. human resources manager.

All of the choices

Brands in the United States are signatories of the berne convention. Elaine a citizen of France, publishes a book 1st in France and then in the United States. Elaine's copyright must be recognized by

All of the signatories of the berne convention

Information that may be protected as trade secrets include

All of these choices

Other Applications of Strict Liability

Almost all courts extend the strict liability of manufacturers and other sellers to injured bystanders. • Strict liability also applies to suppliers of component parts.

The uniform code that facilitates commerce

Among the states

True

An act intended to make another person fearful of an immediate physical harm is an assault if the threat is reasonably believable.

Causation in fact (actual cause)

An act or omission without which an event would not have occurred. Did the injury occur because of the defendant's act, or would it have occurred anyway? If an injury would not have occurred without the defendant's act, then there is causation in fact.

Negligence Per Se

An action or failure to act in violation of a statutory requirement. may occur if an individual violates a statute or ordinance and thereby causes the kind of harm that the statute was intended to prevent. The statute must clearly set out what standard of conduct is expected, when and where it is expected, and of whom it is expected. The standard of conduct required by the statute is the duty that the defendant owes to the plaintiff, and a violation of the statute is the breach of that duty.

CHAPTER 5: Product Liability

An area of tort law of particular importance to businesspersons is product liability. • The manufacturers and sellers of products may incur product liability when product defects cause injury or property damage to consumers, users, or bystanders (people in the vicinity of the product when it fails).

Disparagement of Property

An economically injurious falsehood about another's product or property. rather than about another's reputation (as in the tort of defamation). Disparagement of property is a general term for torts specifically referred to as slander of quality or slander of title.

Jaime and Kay enter into a contract for the sale of a bicycle, but Kay later refuses to deliver goods. Jaime asks a court to order Kay to perform as promised. Ordering a party to perform what was promised is

An equitable remedy

Questions of what is ethical involve the extent to which a company has

An ethical duty beyond those duties mandated by law

Fair Use

An exception to liability for copyright infringement is made under the "fair use" doctrine. In certain circumstances, a person or organization can reproduce copyrighted material without paying royalties. Section 107 of the Copyright Act provides as follows: [T]he fair use of a copyrighted work, including such use by reproduction in copies or phonorecords or by any other means specified by [Section 106 of the Copyright Act], for purposes such as criticism, comment, news reporting, teaching (including multiple copies for classroom use), scholarship, or research, is not an infringement of copyright. In determining whether the use made of a work in any particular case is a fair use the factors to be considered shall include— the purpose and character of the use, including whether such use is of a commercial nature or is for nonprofit educational purposes; the nature of the copyrighted work; the amount and substantiality of the portion used in relation to the copyrighted work as a whole; and the effect of the use upon the potential market for or value of the copyrighted work. Because these guidelines are very broad, the courts determine whether a particular use is fair on a case-by-case basis. Thus, anyone who reproduces copyrighted material may be committing a violation. In determining whether a use is fair, courts have often considered the fourth factor to be the most important.

Touchscreens Inc. makes and markets tablets when problems develop with touch products or sales the company may be liable in product liability for any of the following except

An ineffective marketing plan

Superseding Cause

An intervening force or event that breaks the connection between a wrongful act and an injury to another; in negligence law, a defense to liability. An unforeseeable intervening event may break the connection between a wrongful act and an injury to another. If so, the event acts as a superseding cause—that is, it relieves a defendant of liability for injuries caused by the intervening event.

Requirements of the Offer.

An offer is a promise to do or not do something in the future. The common law requires three elements for an effective offer: Offeror's serious intention. Reasonably certain terms. Communication to offeree. Offeror's serious, objective intention. A contract is judged by what a reasonable person in the offeree's position would conclude about the offer. CASE 8.1 Lucy v. Zehmer (1954). Do you think the Zehmers had a serious intention? Offeror's serious, objective intention. Expressions of Opinion: not offers. Statements of Future Intent: not offers. Preliminary Negotiations, or Invitations to Negotiate: not offers. Advertisements: not offers (invitations to negotiate).

Termination of the Offer.

An offer may be terminated prior to acceptance by either: Action of the Parties or by Operation of Law.

In a suit against Karen, Luke obtains an injunction, this is

An order to do or refrain from doing a certain act

Oklahoma enacts a statute to ban advertising in "bad taste". Most likely, a court would hold this statute to be

An unconstitutional restriction of speech

Vid games inc. markets a variety of shooting, fighting, and hunting video games. A state statute is enacted to require all game makers to label any games with an option to kill someone as "excessively violent". A court would likely hold this regulation to be

An unconstitutional restriction of speech

Ceramic Corporation makes commercial ceramic products including heat resistant tiles for industrial ovens when damage occurs in an oven at Duramold Inc. strict product liability may be imposed on ceramic if the tiles sold to Duramold were

And effective condition that was the proximate cause of the damage

Fraudulent Misrepresentation

Any misrepresentation, either by misstatement or by omission of a material fact, knowingly made with the intention of deceiving another and on which a reasonable person would and does rely to his or her detriment. A misrepresentation leads another to believe in a condition that is different from the condition that actually exists. This is often accomplished through a false or incorrect statement. Although persons sometimes make misrepresentations accidentally because they are unaware of the existing facts, the tort of fraudulent misrepresentation, or fraud, involves intentional deceit for personal gain.

Two business companies dispute the quality of goods delivered by the seller and the price agreed to by the buyer with regard to this dispute the two firms can

Any of the choices

True

Any time one party's allegedly wrongful conduct causes injury to another, an action may arise under the law of torts.

Assault

Any word or action intended to make another person fearful of immediate physical harm; a reasonably believable threat. or offensive contact—words or acts that create in another person a reasonable apprehension of harmful contact. An assault can be completed even if there is no actual contact with the plaintiff, provided the defendant's conduct causes the plaintiff to have a reasonable apprehension of imminent harm.

Generally, given the broad language of the constitution, the line between state and national powers is often determined by

The courts

Defamation

Anything published or publicly spoken that causes injury to another's good name, reputation, or character. involves wrongfully hurting a person's good reputation. The law has imposed a general duty on all persons to refrain from making false, defamatory statements of fact about others. Breaching this duty in writing or another permanent form (such as a digital recording) constitutes the tort of libel. Breaching the duty orally is the tort of slander. The tort of defamation also arises when a false statement of fact is made about a person's product, business, or legal ownership rights to property.

Corner and Deanna Resolve the dispute over the substance of Cornell's real property due to Denas excavation for an irrigation pond by having a neutral third-party render a binding decision is

Arbitration

Business ethics looks at whether business decisions

Are right or wrong

EXAMPLE 4.25 While riding his bicycle, Derrick negligently hits Julie, who is walking on the sidewalk.

As a result of the impact, Julie falls and fractures her hip. While she is waiting for help to arrive, a small plane crashes nearby and explodes, and some of the fiery debris hits her, causing her to sustain severe burns. Derrick will be liable for Julie's fractured hip because the risk of hitting her with his bicycle was foreseeable. Normally, though, Derrick will not be liable for the burns caused by the plane crash, because the risk of a plane's crashing nearby and injuring Julie was not foreseeable. Superseding Cause

Statutes of limitations and repose

As mentioned previously, statutes of limitations restrict the time within which an action may be brought. The statute of limitations for product liability cases varies according to state law. • Usually, within two to four years.

Commonly Know Danger

As mentioned, the dangers associated with certain products (such as sharp knives and guns) are so commonly known that manufacturers need not warn users of those dangers. • If a defendant succeeds in convincing the court that a plaintiff's injury resulted from a commonly known danger, the defendant normally will not be liable.

Trademark dilution in the online world

As previously explained, trademark dilution occurs when a trademark is used, without authorization, in a way that diminishes the distinctive quality of the mark. • Unlike trademark infringement, a claim of dilution does not require proof that consumers are likely to be confused by a connection between the unauthorized use and the mark. • CASE EX. Candyland v. Internet Entertainment Group

Applying the relevant rule of law to the fact of a case requires a judge to find previously decided cases that, in relation to the case under consideration are

As similar as possible

Overland Corporation makes trucks the brakes on Ned's overland truck malfunction but he continues to drive it unable to slow down the truck crashes through a and careens off the road and needs product liability suit against Overland the defendant can assert the defense of

Assumption of risk

Assumption of Risk

Assumption of risk can sometimes be used as a defense in a product liability action. To establish such a defense, the defendant must show that • The plaintiff knew and appreciated the risk created by the product defect and • The plaintiff voluntarily assumed the risk, even though it was unreasonable to do so

Trespass Damages

At common law, a trespasser is liable for any damage caused to the property and generally cannot hold the owner liable for injuries sustained on the premises.

State Level (tort reform)

At the state level, about half of the states have limited damages—or banned punitive damages—especially in medical malpractice cases. more than half of the states have placed caps ranging from $250,000 to $750,000 on non-economic general damages (for instance, pain and suffering), especially in medical malpractice suits. More than thirty states have limited punitive damages, with some imposing outright bans Note, though, that the highest courts in about half a dozen states have declared their states' damages caps to be unconstitutional.

CASE EXAMPLE 4.22 Giorgio's Grill in Hollywood, Florida, is a restaurant that becomes a nightclub after hours.

At those times, traditionally—as the manager of Giorgio's knew—the staff and customers throw paper napkins into the air as the music plays. The napkins land on the floor, but no one picks them up. One night, Jane Izquierdo went to Giorgio's. Although she had been to the club on other occasions and knew about the napkin-throwing tradition, she slipped on a napkin and fell, breaking her leg. She sued Giorgio's for negligence but lost at trial because the jury found that the risk of slipping on the napkins was obvious. A state appellate court reversed, however, holding that the obviousness of a risk does not discharge a business owner's duty to its invitees to maintain the premises in a safe condition. Duty of Care / Landowners

A contract clause that excludes liability for willful misconduct is enforceable if the provision is sufficiently prominent in the body of the contract. (T/F)

False

B

Beau devises a scheme to send fraudulent e-mails—claiming that an arrest warrant has been issued for non-payment of taxes—to individual taxpayers. By these false pretenses, Beau intends to obtain money and personal data. This is a. no crime. b. wire fraud. c. robbery. d. larceny.

Communication of Acceptance.

Bilateral Contract: communication of acceptance is necessary because there is a mutual exchange of promises. Unilateral Contract: acceptance is evident, notification not necessary. CASE 8.3 Powerhouse Custom Homes, Inc. v. 84 Lumber Co. (2011).

a reasonable person

Bix backs out of City Parking Garage, colliding with Dill's car. Dill may recover $7,500 to cover the cost of the repairs if Bix failed to act as

Chem Company and Dura Plastics Inc. make and distribute a certain toxic chemical that is discovered in the water supply of the county in which their plants are located. In a product liability suit against both makers, market-share liability may be imposed on

Both partied

Kim company and your plastics think make and distribute certain toxic chemicals that is discovered in the water supply of the county in which their plants are located in a product liability suit against both Makers and market share liability may be imposed on

Both parties

obvious

Bounce Company makes trampolines and other gym equipment. Chet files a product liability suit against Bounce, alleging a warning defect in one of its products. In deciding whether to hold Bounce liable, the court may consider that a manufacturer has no duty to warn about risks that are

fraudulent misrepresentation

Bram knows that the pipes in his building leak, but he tells Cass, a potential buyer, that there are no leaks. On this assurance, Cass buys the building. On learning the truth, she may sue Bram for

Bright n' Clean Company makes shampoo and other hair care products. Cub is injured by the use of a Bright n' Clean product and sues the company for product liability based on negligence. To win, Cub must show that a. Bright n' Clean failed to use due care in making the product. b. Cub was in privity with Bright n' Clean. c. Cub was not a hair care professional, such as a barber. d. Bright n' Clean recklessly disregarded facts in its ad copy.

Bright n' Clean failed to use due care in making the product

Bright n' Clean Company makes shampoo and other hair care products. Cub is injured by the use of a Bright n' Clean product and sues the company for product liability based on negligence. To win, Cub must show that

Bright n' Clean failed to use due care in making the product.

Brightons makes hair care products. Carl is injured by one of the products, and sues Brightons for product liability based on negligence. To win, Carl must show that

Brightons failed to use due care in making the product

EXAMPLE 4.17 If Antonio's Meats advertises so effectively that it induces Sam's Restaurant to break its contract with Burke's Meat Company,

Burke's will be unable to recover against Antonio's Meats on a wrongful interference theory. After all, the public policy that favors free competition in advertising outweighs any possible instability that such competitive activity might cause in contractual relations. Defense to Wrongful Interference

Spam

Businesses and individuals alike are targets of spam • Spam is the unsolicited "junk e-mail" that floods virtual mailboxes with advertisements, solicitations, and similar communications.

Faro picks up an empty gas can on Gas Station's property and throws it at Heylie, but misses and hits Izzy instead. For the tort of battery, Izzy can sue a. Gas Station. b. Heylie. c. Faro. d. no one

C. Faro

Information that may be protected as trade secrets includes A. customer lists. B. pricing information. C. all of the choices. D. marketing techniques.

C. all of the choices.

True

The most potent weapons against white-collar criminals include the federal laws prohibiting mail and wire fraud.

Stig creates unique graphic works that feature characters of his own imagination. Copyright protection for Stig's work is A. enforceable only if Stig places a circled "c" on the work. B. available only on registration with the U.S. Copyright Office. C. automatic. D. not possible.

C. automatic.

Simone offers Tom a dozen guitar lessons for a certain price per lesson but conditions the deal on Tom accepting the offer by April 1. Simone may revoke the offer A. only after Tom accepts it. B. only after April 1. C. before Tom accepts it. D. before April 1, whether or not Tom has accepted it.

C. before Tom accepts it.

Bram knows that the pipes in his building leak, but he tells Cass, a potential buyer, that there are no leaks. On this assurance, Cass buys the building. On learning the truth, she may sue Bram for a. defamation. b. conversion. c. fraudulent misrepresentation. d. wrongful interference with a business relationship.

C. fraudulent misrepresentation

In an online blog, Oren states that Publicity Corporation invaded the privacy of individuals to collect marketing data for its clients. If the firm can prove all of the elements of defamation and Oren cannot assert a sufficient defense, Oren is most likely liable for a. contempt. b. malice. c. libel. d. slander.

C. libel

Baby Things Inc. makes and sells a crib to Cara. Baby Things fails to exercise "due care" to make the crib safe, and Cara's child Dua is injured as a result. Baby Things is most likely liable for

C. negligence.

The idea for "Price & Profit," an app that businesses can use to track their revenue, profit, and payroll, is protected by A. patent law. B. copyright law. C. none of the choices. D. trade secrets law.

C. none of the choices.

Mick hosts an NCAA basketball championship viewing party at his home, where Neff imbibes too much alcohol. Driving drunk after the party, Neff causes an accident in which Otto is injured. Under a dram shop act imposing liability on social hosts, Otto must prove a. that Mick was negligent. b. that Neff was greater than 50 percent at fault. c. only the facts stated. d. none of the choices.

C. only the facts stated

A truck with defective brakes runs off the street and crashes into Lima's home, damaging the property and injuring her. In a successful tort action against the truck's owner for gross negligence, Lima may be awarded punitive damages to a. compensate for her total losses. b. put her into the same position she would have been in if the tort had not occurred. c. punish the defendant and deter others from similar wrongdoing. d. all of the choices.

C. punish the defendant & deter others from similar wrong doing.

Kelly offers to sell a certain used forklift to Lumber Outlet, but Kelly dies before Lumber Outlet accepts. Most likely, Kelly's death A. shortens the time of the offer but does not terminate it. B. does not affect the offer. C. terminates the offer. D. extends the time of the offer.

C. terminates the offer.

John is an avid race fan. He used to drive modified stock cars on oval tracks and sports cars on road races. He gets a chance to go to one of the most exciting road races held at a local small facility. To get the most excitement, he positions himself at turn 4 because that is where the cars have to brake hard from a high speed straightaway to negotiate the curve and then accelerate into a series of curves. On the third lap, one car skidded slightly off the asphalt, hit gravel and rocks, and gravel and tread were thrown off the track and up on the side. John was struck by the gravel and tread and especially on his right. He loses his sight in that eye. John sues the driver, the race team, and the operator of the track to recover damages for his injuries. The result is

C. the driver, the team, and the operator assert John assumed the risk of normal race events and John loses.

Defenses to Criminal Liability

Can be relieved of liability if they can show that their criminal activities were justified. -lacking a required mental state. -Justifiable use of force, self defense or defense of home or preventing commission of crime. Deadly and non deadly force.

Actionable

Capable of serving as the basis of a lawsuit. An actionable claim can be pursued in a lawsuit or other court action.

** Trademarks Dilution

Case ex. Hasbro, Inc (candyland) v. Internet Entertainment Group, Ltd. (1996)

The Role of Expert Testimony

Cases involving allegations of a manufacturing defect are often decided based on the opinions and testimony of experts.

Trespass to land is committed if, without the permission of the property owner, a person

Causes water to back up onto the property

True

Certain business processes are patentable.

Violent Crime

Certain crimes are called violent crimes, or crimes against persons, because they cause others to suffer harm or death. Murder is a violent crime. So, too, is sexual assault, or rape. • Robbery — defined as the taking of cash, personal property, or any other article of value from a person by means of force or fear—is another violent crime.

forgery

Chic signs Del's name, without authorization, to the back of Del's paycheck, which was issued by Earth Foods Market. This is

D

Chic signs Del's name, without authorization, to the back of Del's paycheck, which was issued by Earth Foods Market. This is a. no crime. b. larceny. c. robbery. d. forgery.

The classification of law that concerns the rights and duties that exist between persons and between citizens and their government kid

Civil law

what happens when someone violates a statue?

Civil law violations usually lead to civil penalties like fines, criminal offenses to more severe punishments.

Connect web Inc. operates a subscription-based service that extends the software and storage capabilities of its subscribers. This is

Cloud computing

The Federal E-SIGN and the UETA.

E-SIGN provides that if a state passes UETA, it is not preempted by the E-SIGN act (state law will govern). E-SIGN allows states to enact alternative e-record and e-signature statutes.

Dale and Esty

Cold Play Corporation makes snowmobiles. Dale is injured when a defect unexpectedly accelerates the Cold Play vehicle he is driving, and he is thrown off. Esty, a hiker standing in the path of the unmanned vehicle, is struck and injured. In a suit based on strict product liability, Cold Play may be liable to

The uniform code provides a set of rules governing

Commercial transactions

Opal is working on a construction site when she's injured on the job in the collapse of the plank company made ceiling beam. At the time, Opal is not wearing any safety gear. In opals product liability suit against plank, the company can most successfully raise the defense of

Comparative negligence

The ----- is perhaps the most significant federal law addressing cyber crime.

Computer Fraud and Abuse Act

In a suit by citizens Conservation organization against deep Mining Inc. CCO serves a written request for the defendant to admit the truth of matters relating to the trial deep mining's admission in response

Conclusively establishes the matter for trial

Person who favors the creation of federal agency to regulate the production of genetically modified agricultural products should concentrate their lobbying efforts on

Congress

Defense against intention tort

Consent When a person consents to the act that damages her or him, there is generally no liability. Self-Defense An individual defending his or her life or physical wellbeing can use whatever force is reasonably necessary to prevent harmful contact. Whatever force is reasonably necessary is whatever force the individual believes is about to be used against him or her. Force cannot be used once danger has passed and cannot be used in revenge. Defense of others An individual can act to defend others who are in danger to the same extent that he or she can act in self-protection. Defense of Property To defend property, individuals can use reasonable force which does not include force that is likely to cause death or great bodily injury.

Frank offers to buy a guitar owned by Holly for twice what she paid for it. She accepts and hands the guitar to Frank. Holly's delivery of the guitar is

Consideration.

Outlet sales store annoying me buys goods that were stolen from quality products Inc. most likely outlet sales can be ordered to return the goods or pay their owner For their value in a suit for

Conversion

Diana download music onto her computer is random access memory, or our a.m., without authorization. This is

Copyright infringement

Without the permission of the copyright owner, they copies the literary expression of Game of Thrones, change is the name of the main characters, and publishes the result as her own work this is

Copyright infringement

Obtaining a court order to close down the domain name of the website is an effective tool that the US officials are used to come by online sales of

Counterfeit goods

Counterfeit Goods

Counterfeit goods copy or otherwise imitate trademarked goods, but they are not the genuine trademarked goods. The importation of goods that bear counterfeit (fake) trademarks poses a growing problem for U.S. businesses, consumers, and law enforcement. In addition to the negative financial effects on legitimate businesses, certain counterfeit goods, such as pharmaceuticals and nutritional supplements, can present serious public health risks. Persons found guilty of violating the SCMGA may be fined up to $2 million or imprisoned for up to ten years (or more if they are repeat offenders). If a court finds that the statute was violated, it must order the defendant to forfeit the counterfeit products (which are then destroyed), as well as any property used in the commission of the crime. The defendant must also pay restitution to the trademark holder or victim in an amount equal to the victim's actual loss.

Very good LLC register is its trademark with the US patent and trademark office, and uses it to market a distinctive line of ice cream products. Crap apple Inc. use the mark without Barry's consent to sell imitation frozen desserts Barry has a cause of action against

Crabapple

Bankruptcy Fraud

Creditor may file a false claim against a debtor; debtor may fraudulently transfer assets to favored creditors or favored parties (family members for ex.)

Violent Crime

Crimes against persons because they cause others to suffer harm or death. -Robbery: act of forcefully and unlawfully taking personal property of any value from another.

True

Crimes are offenses against society as a whole.

Public Order Crimes

Crimes contrary to public values and morals (today-public drunkenness, prostitution, gambling, illegal drug use)

Felonies

Crimes- such as arson, murder,rape,or robbery, that carry the most severe sanctions

Negligence

Criminal Negligence=When the defendant takes an unjustifiable, substantial, and foreseeable risk that results in harm. -Involuntary manslaughter, negligent driving caused the death of somebody. Criminally Reckless=if somebody consciously disregards a substantial and unjustifiable risk.

Criminal Law

Criminal cases beyond a reasonable doubt standard-if there is any reasonable doubt that a criminal D did not commit the crime with which he/she has been charged the verdict must be not guilty

Kohl receives from Lily a camera stolen from Mark. Kohl knows that the camera was stolen, and he intends to keep it. Kohl is

Criminally liable

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

Customers begin to associate the name with the source of the product

Via the Internet, Britta enters false code into the computer control system of chicken company, a food maker, to alter the levels of ingredients so that the consumers of the food become ill. This is

Cyber terrorist

Hilo tells the Internal Revenue Service that Jon "cheated on his taxes." This can lead to Hilo's liability for defamation if the statement is a. contemptuous. b. an opinion. c. true. d. false.

D. False

Barb, a computer operator for Cloud Corporation, is arrested in her employer's parking lot on suspicion of larceny. Barb must be informed of her right to:

D. Remain silent

O-Ring Corporation allows Piston Company to incorporate O-Ring's patented fuel-injection system into Piston's product. This is A. copyright infringement. B. trademark infringement. C. patent infringement. D. a license.

D. a license.

Bix backs out of City Parking Garage, colliding with Dill's car. Dill may recover $7,500 to cover the cost of the repairs if Bix failed to act as a. a blameless person. b. a faultless person. c. an objective person. d. a reasonable person.

D. a reasonable person

Paving Corporation taps into the computer network of Roadwork Inc., a competitor, and downloads confidential business data without Roadwork's knowledge or authorization. This is most likely A. patent infringement. B. copyright infringement. C. trademark infringement. D. a theft of trade secrets.

D. a theft of trade secrets.

Buddy's Burgers advertises so effectively that the regular customers of its competitor Slimy's Sliders patronize Buddy's instead of Slimy's. This is a. conversion. b. wrongful interference with a business relationship. c. wrongful interference with a contractual relationship. d. none of the choices.

D. none of the choices

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. any of the choices. D. regular mail.

D. regular mail.

Cold Play Corporation makes snowmobiles. Dale is injured when a defect unexpectedly accelerates the Cold Play vehicle he is driving, and he is thrown off. Esty, a hiker standing in the path of the unmanned vehicle, is struck and injured. In a suit based on strict product liability, Cold Play may be liable to

Dale and Esty

True

The need to protect intellectual property is recognized in the U.S. Constitution.

Cold Play Corporation makes snowmobiles. Dale is injured when a defect unexpectedly accelerates the Cold Play vehicle he is driving, and he is thrown off. Esty, a hiker standing in the path of the unmanned vehicle, is struck and injured. In a suit based on strict product liability, Cold Play may be liable to a. Dale only. b. Esty only. c. Dale and Esty. d. none of the parties.

Dale and Esty

Libel

Defamation in writing or another permanent form (such as a digital recording).

Defenses to Product Liability

Defendants in product liability suits can raise a number of defenses. One defense, of course, is to show that there is no basis for the plaintiff's claim. • For instance, in a product liability case based on negligence, if a defendant can show that the plaintiff has not met the requirements (such as causation) for an action in negligence, generally the defendant will not be liable

The bases for an action in strict liability that are set forth in Section 402A can be summarized as the following six requirements:

Depending on the jurisdiction, if these requirements are met, a manufacturer's liability to an injured party can be almost unlimited. 1. The product must have been in a defective condition when the defendant sold it. 2. The defendant must normally be engaged in the business of selling (or otherwise distributing) that product. 3. The product must be unreasonably dangerous to the user or consumer because of its defective condition (in most states). 4. The plaintiff must incur physical harm to self or property by use or consumption of the product. 5. The defective condition must be the proximate cause of the injury or damage. 6. The goods must not have been substantially changed from the time the product was sold to the time the injury was sustained

Never filed a suit against Alina to obtain information to prepare for trial the parties engage in discovery this includes gaining access to each other's witnesses and other types of evidence by

Depositions interrogatories and other procedural devices

Secondary Meaning

Descriptive terms, geographic terms, and personal names are not inherently distinctive and do not receive protection under the law until they acquire a secondary meaning. A secondary meaning may arise when customers begin to associate a specific term or phrase (such as London Fog) with specific trademarked items (coats with "London Fog" labels) made by a particular company. Whether a secondary meaning becomes attached to a name usually depends on how extensively the product is advertised, the market for the product, the number of sales, and other factors.

Termination by Operation of Law.

Destruction of the Subject Matter: before acceptance of offer, terminates the offer. Death or Incompetence of the Offeror or Offeree: automatically terminates unless irrevocable offer. Supervening Illegality of the Proposed Contract: by court or legislation.

Cato is driving a car in which Diego is a passenger when an accident occurs. Diego is not injured. In Diego's tort action against Cato for negligence, Cato can most likely assert as a successful defense that

Diego was not injured

Flash Inc., and maker of athletic shoes, registers and uses flash as it's domain name. Later, got shoes company begins to use for last and intentional misspelling a flash as it's domain name. Got shoes is most likely

Diminishing the quality of flashes mark

Communication to Offeree.

Directly by the Offeror, or Use of Agents. CASE 8.2 Alexander v. Lafayette Crime Stoppers, Inc. (2010). Why did the appeals court grant summary judgment to the defendants?

Online Offers.

Displaying the Offer. Seller's website should include hyperlink to page with full contract. Provisions to Include. Provisions to Include: Acceptance of Terms: what constitutes an acceptance. Payment: how payment is made. Return Policy. Disclaimer: of liability for certain uses of the goods. Limitations on Remedies: if goods defective or contract is breached. Privacy Policy. Dispute resolution. Dispute -Settlement Provisions: usually arbitration or forum-selection clauses. Forum-selection clause.

Wrongful Interference with a Business Relationship

Distinguish competition vs. predatory behavior. Predatory behavior is unlawfully driving competitors out of market. To prevail, Plaintiff must show Defendant targeted only Plaintiff's customers and product. Attempting to attract customers in general is a legitimate business practice, whereas specifically targeting the customers of a competitor is more likely to be predatory. This type of activity constitutes the tort of wrongful interference with a business relationship, which is commonly considered to be an unfair trade practice.

product misuse

Do-It-Rite Inc. makes and markets tools. Evan uses a Do-It-Rite power screwdriver to scrape grout—a purpose for which it was not intended—and is injured when the tool slips. Evan files a product liability suit against the maker. The defendant's best defense is most likely

5th Amendment Protections

Due Process: defendants should have an opportunity to object to the charges against them. Double Jeopardy: 5th amendment requirement that prohibits a person from being tried twice for the same criminal offense. -can be sued in civil court for the same charge, just a difference of court. Self-Incrimination: accused person cannot be forced to testimony if information is incriminating.

River city enacts an ordinance that prohibits all advertising on the sides of trucks. A court would likely review this ordinance under the principles of

Due process

defamation

Dylan applies for a position with Electrical Works LLC. Dylan's previous employer, Federal Circuits Inc., gives Electrical Works a review of Dylan that includes negative statements Federal Circuits knows are untrue. This is

"Fair use" cannot be asserted as a defense to a charge of copyright infringement in a dispute concerning digital sampling. (T/F)

False

e-contract 152

Electronic contracts, meet the same basic requirements (agreement, consideration, contractual capacity, and legality) as paper contracts. Disputes concerning e-contracts, however, tend to center on contract terms and whether the parties voluntarily agreed to those terms. A contract that is formed electronically.

Olinda an employee of people's bank, deposits into her account checks entrusted to the bank through ATM system by customers to deposit into their accounts. This is

Embezzlement

quay, the owner of RV park, trusts Sara to manage their resorts daily cash flow. One night Sara takes and keeps $1000 from the receipts. This is most likely

Embezzlement

Shippers warehouse initiates a suit against trans state trucking by filing a company if TST files a motion to dismiss the firm is asserting that

Even if the facts in the complaint are true TST is not legally liable

The criminal act

Every criminal statute prohibits certain behavior. Most crimes require an act of commission. That is, a person must do something in order to be accused of a crime.

Ovid files a suit against Portia alleging that she failed to pay him for goods shipped in response to an email order Portia denies the charge if her email order exist it is

Evidence

probable cause

Evita, a police officer, wants to search the offices of Debit & Credit, Accountants. She asks Judge Bern to issue a warrant. No warrant for a search can be issued without

D

Evita, a police officer, wants to search the offices of Debit & Credit, Accountants. She asks Judge Bern to issue a warrant. No warrant for a search can be issued without a. double jeopardy. b. reasonable doubt. c. immunity. d. probable cause

Privelege

Ex: Errol works for Food Packing Company. Errol's supervisor Gwen writes a negative review of Errol's performance. Gwen believes the statements are true, and limits their communication to the firm's management. In a tort action for defamation, Gwen can most likely assert as a successful defense: *

Invasion of Privacy

Ex: Hal posts online secretly recorded videos of Ida, and includes her name, address, phone number, and Facebook page. Most likely, Ida could bring a successful tort action against Hal for: *invasion of privacy*

Fraudulent Misrepresentation

Ex: Ness, a broker, advises Ollie to invest in Penny Stock Inc. When the share price of Penny's stock drops, Ollie accuses Ness of fraud, claiming reliance on the broker's advice. The reliance that gives rise to liability for fraud requires: *a misrepresentation of a fact knowing that it is false* Ex: To make a sale, Fran tells Gio that her Hyundai Kia has never been in an accident. This may give rise to an action for fraud if the statement is: *false* Ex: Airsoft, Inc. makes toys. Airsoft intentionally mislabels its packaged products to conceal a defect. Trusting and relying on the mislabeling, Bing buys an Airsoft product and suffers an injury. Airsoft is most likely liable for: *fraud*

Trespass to Land

Ex: Trespass to land is committed if, without the permission of the property owner, a person: *causes water to back up onto the property*

A person who is injured by a defective product can bring a negligence suit only if he or she was the one who purchased the product.

FALSE

As a practical joke, Ned tells Bob that Bob's wife has sustained life threatening injuries in an automobile accident and is in the hospital on life support. Bob's wife was neither in an accident nor hospitalized. Upon hearing the news, Bob goes into shock and suffers a heart attack, but luckily recovers. Bob is most likely to sue Ned for _____.

FALSE

If two attorneys are in a heated argument in a private office, and one says to the other "you are a loser", the recipient of that insult will be able to recover damages in tort (for defamation) if she can prove the other attorney made the statement (i.e. by providing the court a copy of surveillance video/audio).

FALSE

Once an offer is made, the offeror cannot revoke it.

FALSE

One of the requirements of a valid contract is an adequate market for the deal's goods or services.

FALSE

The term consideration refers to the deference shown by contracting parties to each other.

FALSE

To commit an intentional tort, a person must have an evil or harmful motive.

FALSE

Under the objective theory of contracts, a contract is not enforceable without a clearly defined objective.

FALSE

Tracking vehicle movements by authorities does not require a search warrant. a. True b. False

False, Vehicle tracking still constitutes search within the meaning of the Fourth Amendment. The U.S. Supreme Court has held that attachment of a GPS tracking device constitutes a Fourth Amendment search. See Criminal Procedures.

Because a corporation is a legal entity and not a person, there can never be corporate criminal liability. a. True b. False

False,Of course because they are not humans, corporations can never intend to commit a crime and they cannot be put in prison, but they can be fined or denied certain legal privileges such as necessary licenses. Corporations are normally libel for the crimes committed by their agents and employees within the course and scope of their employment. See Criminal Liability.

A request to negotiate is an offer. (T/F)

False.

An agreement exists when one party offers a certain bargain to another party. (T/F)

False.

An expression of opinion can indicate an intent to enter into a binding agreement. (T/F)

False.

An offer can be accepted by the offeree or any third party. (T/F)

False.

Information that cannot be patented, copyrighted, or trademarked cannot be protected as a trade secret. (T/F)

False.

Pricing information is NOT a trade secret. (T/F)

False.

Tapping into a competitor's computer to obtain confidential business data is NOT a theft of trade secrets. (T/F)

False.

The power of acceptance continues forever. (T/F)

False.

The registration of a copyright is NOT evidence that the copyright is valid. (T/F)

False.

Class Action Fairness Act of 2005

Federal Action: Moves class action suits of more than $5 million from the state to federal courts The CAFA prevents plaintiffs' attorneys from forum shopping—looking for a court based on whether the court is likely to provide a favorable judgment. Previously, multiple courts often had jurisdiction over class-action claims. Plaintiffs' attorneys naturally chose to bring suit in state courts that were known to be sympathetic to their clients' cause and predisposed to award large damages. Now, under the CAFA, state courts no longer have jurisdiction over class actions.

Agreement in E-Contracts

Federal Law on E-Signatures and E-Documents. E-SIGN (2000) gives e-signatures and e-documents legal force. For an e-signature to be enforceable, the contracting parties must have agreed to use electronic signatures. Partnering Agreements.

Nick, the chief executive officer of On/Off inc., a website fork short rants, claims that certain government actions infringe on rights guaranteed by the bill of rights. Most of these guarantees have been held to limit

Federal and state restrictions

Sentancing Guidelines

Federal grid - 3 strike laws- both take away discretion of a judge- social and economic background of a D. *GA has a 2-strike law*

suing Herbicides Inc.

Felice is injured when a can of Ground-Up explodes into flames. Herbicides Inc. manufactured the Ground-Up. Under product liability laws, Felice's options include

Classifications of Crimes

Felony: a crime such as arson, murder, rape, or robbery. Carries the most severe sanctions, ranging from one year of prison to death. Misdemeanors: A lesser crime than a felony, punishable by fine or up to one year in jail. Petty Offense: The least serious kind criminal offense, such as traffic or building code violations.

The -- Amendment reads in part that no person "shall be compelled in any criminal case to be a witness against himself."

Fifth

Quint filed a suit against ranchland corporation ranchland believes that even if Quinn's statements of the fox is true according to the law ranchland is not responsible ranchland should

File the motion to dismiss

Criminal Liability

For a person to be convicted of a criminal offense their are two elements: 1) the performance of a prohibited attack. 2) specified state of mind or intent. Their must be intent and an act to follow intent.

Bruno buys and sells stock and bonds. Bruno may be subject to penalties under the racketeer influenced and corrupt organization act

For the commission of securities fraud

True

Foreseeability is the test for proximate cause.

Lon is an employeeOf motor parts, and auto parts store. On the orders of his employer, he switch is trademarked and parts that come into the store to be sold to consumers. This is most likely

Forgery

Social Media

Forms of communication through which users create and share information, ideas, messages, and other content via the Internet. • Provide a means by which people can create, share, and exchange ideas and comments via the Internet.

false

Fran tells Gio that her Hyundai Kia has never been in an accident. This may give rise to an action for fraud if the statement is

Grill timing makes a commercial cooking appliances, including a grill in use by Haute cuisine food carts and knows, I hope employee is injured when the grill malfunctions. If the injury occurred as a result of misrepresentation about the products, grill time is most likely liable for

Fraud

False

Fraudulent appropriation of another's property with which a person has been entrusted is the crime of receiving stolen goods.

Mode and Timeliness of Acceptance.

General Rule: in bilateral contracts, acceptance is timely if done before offer is terminated. The Mailbox Rule: acceptance is effective when offeree uses authorized means of acceptance. If U.S. Mail, acceptance is effective upon dispatch. If no means specified, acceptance can be by any reasonable means

Grain Farm Inc. files a suit against Harvest Services. Before the court can exercise jurisdiction over Harvest, the court must have proof that a. Grain Farm did not act to precipitate a dispute with Harvest. b. Harvest committed the act of which Grain Farm complains. c. Grain Farm is prepared to notify Harvest of the suit. d. Harvest was notified of the suit.

Harvest was notified of the suit

Green Farms Inc. files a suit against harvest services before the court can exercise Jurisdiction over harvest the court may have proof that

Harvest was notified of the suit

Criminal Law

Has to do with crime. a wrong against society proclaimed in a statute and if committed punishable by society through fines, imprisonment or death.

CASE EXAMPLE 4.26 A kidney donor, Darnell Backus, sustained injuries to his cervical spine and to the muscles on the left side of his body as a result of the surgery to harvest his kidney.

He sued the hospital and physicians involved in the transplant operation for damages. Backus asserted res ipsa loquitor because the injury was of the kind that ordinarily does not occur in the absence of someone's negligence. The burden of proof shifted to the defendants, and because they failed to show that they had not been negligent, Backus won. Burden of proof after shift due to "facts speak for themselves"

EXAMPLE 4.18 Kelly takes Ryan's business law book as a practical joke and hides it so that Ryan is unable to find it for several days before the final examination.

Here, Kelly has engaged in a trespass to personal property. (Kelly has also committed the tort of conversion) Trespass to Personal Property

DIY a retail hardware store must to use reasonable care on its premises to warn it's invitees of

Hidden dangers

EXAMPLE 4.9 Jorge worked at Facebook for five years and was being considered for a management position.

His supervisor, Lydia, wrote a memo about Jorge's performance to those evaluating him for the management position. The memo contained certain negative statements. As long as Lydia honestly believed that what she wrote was true and limited her disclosure to company representatives, her statements would likely be protected by a qualified privilege. Privileged Communications

True

Holding defendants strictly liable for manufacturing defects encourages greater investment in product safety.

The triple bottom line looks at all of the following except

How decisions impact the relationship between the us and other nations

Vicky asks Walt, a cobbler, to repair a pair of boots. There is no discussion of a price, and Vicky and Walt do not sign any documents. After the repair, Walt hands Vicky a bill. With respect to Vicky's obligation to pay the bill, this is

IMPLIED CONTRACT

Mel agrees to work as a freight broker for National Shipping Inc. In determining whether a contract has been formed, an element of prime importance is the parties'

INTENT

Garage door Inc. sells garage door opener's to a home and yard hardware store, where land buys one of the openers. The applicable statute of limitations prescribes a period of four years. To bring a product liability claim against garage doors, Ian must file a suit within four years

Ian's discovery of an injury caused by the opener

Exceptions to the Mail Box Rule.

If Offeror specifies that acceptance will not be effective until it is received. If acceptance is sent after rejection, whichever is received first is given effect.

Patent Infringement

If a firm makes, uses, or sells another's patented design, product, or process without the patent owner's permission, it commits the tort of patent infringement.

Seacoast café uses the trademark of taco Del Mar without permission. This use of the mark is actionable as trademark infringement

If consumers are confused

Product sales inc adheres to the goal of maximizing profits. Even so, product sales will benefit from ethical behavior

If customer service is good

Attribution.

If electronic record or signature is act of a particular person, the record or signature is attributed to that person. However, state law governs issues of agency, authority, forgery, contract formation.

EXAMPLE 4.11 A female sports reporter for ESPN is digitally videoed while naked through the peephole in the door of her hotel room.

If she sues, she will likely win a lawsuit against the man who took the video and posted it on the Internet. Invasion of Privacy

Lloyd is accused of a crime. Evidence of his alleged criminal activities can be excluded from a trial

If the evidence is fruit of the poisonous tree

True

If the evidence of a defendant's guilt was obtained improperly, it normally cannot be used against the defendant in court

True

If the evidence of a defendant's guilt was obtained improperly, it normally cannot be used against the defendant in court.

EXAMPLE 4.24 If you carelessly bump into a passerby, who stumbles and falls as a result, you may be liable in tort if the passerby is injured in the fall.

If the person is unharmed, however, there normally cannot be a suit for damages because no injury was suffered. Injury Requirement

Buddys burgers advertises so effectively that the regular customers of its competitor Slimys sliders patronize buddy's instead of slimys this is

None of the choices

EXAMPLE 4.21 Liz enters a supermarket, slips on a wet floor, and sustains injuries as a result.

If there was no sign warning that the floor was wet when Liz slipped, Roy, the owner of the supermarket, would be liable for damages. A court would hold that Roy was negligent because he failed to exercise a reasonable degree of care in protecting the store's customers against foreseeable risks about which he knew or should have known. That a patron might slip on the wet floor and be injured was a foreseeable risk, and Roy should have taken care to avoid this risk or to warn Liz of it (by posting a sign or setting out orange cones, for instance). Duty to Warn Business Invitees of Risks

Without permission, race runners Inc. uses a trademark that is similar to the registered mark of swift foot, Inc. This use of the mark constitutes trademark delusion

If you use diminishes the distinctive quality of the mark

Trademark Dilution

In 1995, Congress amended the Lanham Act by passing the Federal Trademark Dilution Act,Footnote which allowed trademark owners to bring suits in federal court for trademark dilution. In 2006, Congress further amended the law on trademark dilution by passing the Trademark Dilution Revision Act (TDRA).Footnote 1. Under the TDRA, to state a claim for trademark dilution, a plaintiff must prove the following: 2. The plaintiff owns a famous mark that is distinctive. 3. The defendant has begun using a mark in commerce that allegedly is diluting the famous mark. 4. The similarity between the defendant's mark and the famous mark gives rise to an association between the marks. 5. The association is likely to impair the distinctiveness of the famous mark or harm its reputation.

The Federal CAN-SPAM act

In 2003, Congress enacted the Controlling the Assault of Non-Solicited Pornography and Marketing (CAN-SPAM) Act. • The legislation applies to any "commercial electronic mail messages" that are sent to promote a commercial product or service. • Significantly, the statute preempts state antispam laws except those provisions in state laws that prohibit false and deceptive e-mailing practices.

The Miranda rule

In Miranda v. Arizona, a case decided in 1966, the United States Supreme Court established the rule that individuals who are arrested must be informed of certain constitutional rights.

False

In a criminal case, the defendant must convince the court that based on the evidence it is more likely than not that the defendant is not guilty.

True

In a criminal case, the state must prove its case beyond a reasonable doubt.

General Damages

In a tort case, an amount awarded to compensate individuals for the non-monetary aspects of the harm suffered, such as pain and suffering; not available to companies. A court might award general damages for physical or emotional pain and suffering, loss of companionship, loss of consortium (losing the emotional and physical benefits of a spousal relationship), disfigurement, loss of reputation, or loss or impairment of mental or physical capacity.

Special Damages

In a tort case, an amount awarded to compensate the plaintiff for quantifiable monetary losses, such as medical expenses, property damage, and lost wages and benefits (now and in the future) , extra costs, the loss of irreplaceable items, and the costs of repairing or replacing damaged property.

State regulation of spam

In an attempt to combat spam, thirty-seven states have enacted laws that prohibit or regulate its use. • Many state laws that regulate spam require the senders of e-mail ads to instruct the recipients on how they can "opt out" of further e-mail ads from the same sources.

Recharge Corporation makes batteries. SOL is injured when the recharge battery in his phone burst into flames. In SOEL product liability suit against the meager alleging a design defect the court may consider

In available alternative design

Damages for Slander

In contrast to cases alleging libel, in a case alleging slander, the plaintiff must prove special damages (defined earlier) to establish the defendant's liability. In other words, the plaintiff must show that the slanderous statement caused the plaintiff to suffer actual economic or monetary losses. Unless this initial hurdle of proving special damages is overcome, a plaintiff alleging slander normally cannot go forward with the suit and recover any damages. This requirement is imposed in cases involving slander because slanderous statements have a temporary quality. In contrast, a libelous (written) statement has the quality of permanence, can be circulated widely, especially through social media, and usually results from some degree of deliberation on the part of the author.

Due process of law

In criminal cases, due process means that defendants should have an opportunity to object to the charges against them before a fair, neutral decision maker, such as a judge. Defendants must also be given the opportunity to confront and cross-examine witnesses and accusers and to present their own witnesses.

Petty Offenses (7.2)

In criminal law, the least serious kinds of criminal offenses, such as traffic or building code violations

Protection of Social Media Passwords

In recent years, employees and applicants for jobs or colleges have sometimes been asked to divulge their social media passwords. • By 2016, about half of the states had enacted legislation to protect individuals from having to disclose their social media passwords.

Appropriation

In tort law, the use by one person of another person's name, likeness, or other identifying characteristic without permission and for the benefit of the user. or right of publicity. States differ as to the degree of likeness that is required to impose liability for appropriation, however. Some courts have held that even when an animated character in a video or a video game is made to look like an actual person, there are not enough similarities to constitute appropriation.

Indictment or Information

Indictment by a grand jury; felonies prosecutors can indict a ham sandwich. Information in GA is the accusation for misdemeanors. Indictment is a charge by the grand jury that a person has committed a crime.

A valid deed must contain words indicating an intent to convey (transfer) the property. (T/F)

True

Infancy

Infant means any person that has not reached the age of maturity. Children that commit crimes generally will be tried for delinquents in a juvenile court. However, in some states a child will be tried as an adult in a regular court if he or she is above a certain age (usually 14) and is guilty of a felony (such as rape or murder). Children do not have the necessary intent to be convicted of crimes

Trade Secrets

Information or a process that gives a business an advantage over competitors who do not know the information or process.

False

Information that cannot be patented, copyrighted, or trademarked cannot be protected as a trade secret.

customer lists, pricing information, marketing techniques

Information that may be protected as trade secrets includes

True

Intellectual property is property resulting from intellectual, creative processes.

True

Intent can be transferred when an individual intends to harm one individual but unintentionally harms another.

Defenses to Wrongful Interference

Interference with justified or permissible. Bona fide competitive behavior is a permissible interference even if it results in the breaking of a contract. Absent associated illegal activity, a businessperson will not incur liability for negotiating secretly behind a rival's back, refusing to do business with a competitor, or refusing to deal with third parties until they stop doing business with a rival.

To benefit from international trade, individual nations agree to be governed by

International law

Intrusion into an individual's affairs or seclusion.

Invading someone's home or illegally searching someone's briefcase is an invasion of privacy. The tort has been held to extend to eavesdropping by wiretap, the unauthorized scanning of a bank account, compulsory blood testing, and window peeping.

Involuntory Intoxication

Involuntary Intoxication - occurs when a person either is physically forced to ingest an intoxicating substance or is unaware that a substance containing drugs or alcohol is ingested. This is a defense to a crime if its effect was to make a person incapable of understanding that the act committed was wrong.

In the case of sales Corp v. Transport co the court may rule contrary to a precedent if the court decides that the precedent

Is incorrect or inapplicable

Isabell and Josh engage in a business transaction the leads to a dispute Isabell initiate a lawsuit against Josh by filing a complaint the sheriff serve Josh with a summons if Josh chooses to ignore it

Isabell have a judgment entered in her favor

EXAMPLE 4.16 A shopping mall contains two athletic shoe stores: Joe's and Ultimate Sport.

Joe's cannot station an employee at the entrance of Ultimate Sport to divert customers by telling them that Joe's will beat Ultimate Sport's prices. This type of activity constitutes the tort of wrongful interference with a business relationship, which is commonly considered to be an unfair trade practice. If this activity were permitted, Joe's would reap the benefits of Ultimate Sport's advertising. Wrongful interference with a business relationship

Khan takes a rick from a pile of stones on Lambs property and throws it intending to hit Minh, but misses and hits Nasir instead. For the tort of battery, Nasir can sue

Khan

embezzlement

Khan, the owner of Lakeside Park, trusts Moira to manage the resort's daily cash flow. One night, without Khan's knowledge or consent, Moira takes and keeps $1,000 from the receipts. This is most likely

A

Khan, the owner of Lakeside Park, trusts Moira to manage the resort's daily cash flow. One night, without Khan's knowledge or consent, Moira takes and keeps $1,000 from the receipts. This is most likely a. embezzlement. b. larceny. c. no crime. d. robbery

larceny

Kim takes off her ring and places it on her desk while she works. Without her knowledge or consent, her coworker Lum picks up the ring, puts it on, and walks away. Lum has likely committed

C

Kim takes off her ring and places it on her desk while she works. Without her knowledge or consent, her coworker Lum picks up the ring, puts it on, and walks away. Lum has likely committed a.no crime. b.robbery. c.larceny. d.embezzlement.

Real Property

Land and everything permanently attached to it Personal property consists of all other items, which are basically movable. Thus, a house and lot are real property, whereas the furniture inside the house is personal property. Cash and stocks and bonds are also personal property.

Duty of Landowners

Landowners are expected to exercise reasonable care to protect persons coming onto their property from harm. In some jurisdictions, landowners are held to owe a duty to protect even trespassers against certain risks. Landowners who rent or lease premises to tenants are expected to exercise reasonable care to ensure that the tenants and their guests are not harmed in common areas, such as stairways, entryways, and laundry rooms.

Bud works at a cheap stuff store from which, without authorization he takes merchandise that has not been paid for. This is

Larceny

Kim takes off her ring and places it on her desk while she works. Without her knowledge or consent, her coworker Lum picks up the ring, put it on, and walks away. Lame has likely committed

Larceny

One of the following is NOT a good example of a white-collar crime: a. Bankruptcy fraud. b. Larceny. c. Bribery. d. Mail and wire fraud. e. Embezzlement. f. Insider trading

Larceny

False

Larceny involves force or fear, but robbery does not.

trespass to personal property

Larry takes Kyla's textbook and hides it so that she cannot find it during the week before the exam. In taking the textbook, Larry most likely committed

An ethical code of conduct Is not

Law

Ethics is important because laws may not always be easy to interpret or apply. This is because

Laws represent the will of the people and that will Is often changing

proximate cause

Legal cause. It exists when the connection between an act and an injury is strong enough to justify imposing liability. Courts use proximate cause to limit the scope of the defendant's liability to a subset of the total number of potential plaintiffs that might have been harmed by the defendant's actions. Proximate cause can be thought of in terms of social policy. Should the defendant be made to bear the loss instead of the plaintiff?

Misdemeanors

Lesser crimes that felonies, punishable by a fine or imprisonment for up to one year other than a state or federal penitentiary

Mistakes

Liability is withdrawn if a mistake of fact is found in the case. -there must also not be intent or the mental state to commit a crime.

Strict Liability Tort

Liability regardless of fault, which is imposed on those engaged in abnormally dangerous activities, on persons who keep dangerous animals, and on manufacturers or sellers that introduce into commerce defective and unreasonably dangerous goods. Courts apply the doctrine of strict liability in such cases because of the extreme risk of the activity. For instance, even if blasting with dynamite is performed with all reasonable care, there is still a risk of injury. Because of the potential for harm, the person who is engaged in an abnormally dangerous activity—and benefits from it—is responsible for paying for any injuries caused by that activity. Although there is no fault, there is still responsibility because of the dangerous nature of the undertaking.

Strict Liability

Liability regardless of fault. In tort law, strict liability may be imposed on defendants in cases involving abnormally dangerous activities, dangerous animals, or defective products

In an online blog Oren States that publicity corporation invaded the privacy of individuals to collect marketing data for its clients if the firm can prove all of the elements of defamation and Oren cannot assert a sufficient defense Oren is most likely liable for

Libel

In an online blog, Oren states that Publicity Corporation invaded the privacy of individuals to collect marketing data for its clients. If the firm can prove all of the elements of defamation and Oren cannot assert a sufficient defense, Oren is most likely liable for

Libel

Rue obtain permission from soccer company to use the firms game app on ruse mobile device. But route does not obtain ownership rights in the app. This

License

browse-wrap term 153

Like the terms of a click-on agreement, can occur in a transaction conducted over the Internet. Unlike a click-on agreement, however, browse-wrap terms do not require an Internet user to assent to the terms before, say, downloading or using certain software. In other words, a person can install the software without clicking "I agree" to the terms of a license. Browsewrap terms are often unenforceable because they do not satisfy the agreement requirement of contract formation. A term or condition of use that is presented to an Internet user at the time certain products, such as software, are being downloaded but that need not be agreed to (by clicking "I agree," for example) before the user is able to install or use the product. ****Like click-on agreements, browse-wrap terms can occur in transactions over internet. Unlike click-on agreements, browse-wrap terms do not require assent and are usually unenforceable.

if the evidence is "fruit of the poisonous tree"

Lloyd is accused of a crime. Evidence of his allegedly criminal activities can be excluded from a trial

B

Lloyd is accused of a crime. Evidence of his allegedly criminal activities can be excluded from a trial a. if the evidence will be used to prosecute him. b. if the evidence is "fruit of the poisonous tree." c. under no circumstances. d. if the police do not promise to keep the evidence confidential.

Motor Corporation (MC) makes cars and trucks. National Sales Company sells all MC vehicles. Open Road Inc. leases only the cars. Under product liability laws, liability for injuries or damage caused by an MC vehicle may be imposed on a. MC only. b. MC or National Sales only. c. none of the parties. d. MC, National Sales, or Open Road.

MC, National Sales, or Open Road

Macy offers to sell his fitness watch for $50 to Nona. Nona promises to pay Macy the price. Later, they exchange the watch for the funds. A contract was created when

Macy offered to sell the watch. Macy delivered the watch. ANSWER: Nona promised to pay for the watch. Nona paid for the watch.

Mai is struck and injured when the brakes fail on Novi's all-terrain vehicle (ATV), which is damaged in the collision. Off-Road Inc. sold the ATV to Novi. Under product liability laws, Off-Road could be liable to a. Mai and Novi. b. none of the parties. c. Novi, but not Mai. d. Mai, but not Novi.

Mai and Novi

Beverly creates a website to post threatening messages about celebrities. Under the first amendment, the messages are most likely protected

None of the time

On May 1 Meat Company offers to cure and smoke Natural Farm's products, and promises to keep the offer open until June 1. On May 3 Meat mails Natural a letter revoking the offer. The farm receives the letter on May 5 and responds on May 6. The company's revocation of the offer became effective on a. no date because the offer is irrevocable. b. May 5. c. May 6. d. May 3

May 6

Mistake of Law

May be a defense only if the D. did not know he or she was breaking the law and the law was not published or reasonably known to the public or the D. relied on an official statement of the law that was erroneous .

EXAMPLE 4.20 Juan walks up to Maya and intentionally shoves her.

Maya falls and breaks an arm as a result. In this situation, Juan has committed an intentional tort (assault and battery). If Juan carelessly bumps into Maya, however, and she falls and breaks an arm as a result, Juan's action will constitute negligence. In either situation, Juan has committed a tort. Tort vs. Negligence

CASE EXAMPLE 4.27 A Delaware statute states that anyone "who operates a motor vehicle and who fails to give full time and attention to the operation of the vehicle" is guilty of inattentive driving.

Michael Moore was cited for inattentive driving after he collided with Debra Wright's car when he backed a truck out of a parking space. Moore paid the ticket, which meant that he pleaded guilty to violating the statute. The day after the accident, Wright began having back pain, which eventually required surgery. She sued Moore for damages, alleging negligence per se. The Delaware Supreme Court ruled that the inattentive driving statute set forth a sufficiently specific standard of conduct to warrant application of negligence per se. Negligence per se

Punitive Damages

Monetary damages that may be awarded to a plaintiff to punish the defendant and deter similar conduct in the future. are appropriate only when the defendant's conduct was particularly egregious (flagrant) or reprehensible (blameworthy). are normally available mainly in intentional tort actions and only rarely in negligence lawsuits may be awarded, however, in suits involving gross negligence, which can be defined as an intentional failure to perform a manifest duty in reckless disregard of the effect on the life or property of another.

Lynn is injured when a part of a building ledge breaks free and strikes her if Lynn brings a successful tort action against the building owner she may be awarded special damages to compensate her

Monetary losses such as medical expenses

I think it has to do with how a business person making business decisions applies

Moral principles

Motor Corp. manufacturers vehicles. NSC sells all Motor Corp. vehicles. EZ Lease, Inc. leases the vehicles. Under product liability laws, liability for injuries or damage caused by a Motor Corp. vehicle may be imposed on

Motor Corp., NSC, or EZ Lease, Inc.

Which one of the following crimes enjoys no statute of limitations: a. Traffic violations b. Larceny c. Murder d. Fraud e. Robbery f. Insider trading

Murder

Macy offers to sell his fitness watch for $50 to Nona. Nona promises to pay Macy the price. Later, they exchange the watch for the funds. A contract was created when

NONA PROMISED TO PAY FOR THE WATCH

Fay offers to pay Grey $50 for a tennis lesson for Hetty. They agree to meet the day after tomorrow to exchange the cash for the lesson. These parties have

NOT A THIRD PARTY CONTRACT

Gargantua equipment corporation registers it's trademark as provided by federal law. This registration gets noticed that the mark belongs exclusively to Gargantua. This notice is

National

Baby things Inc. makes and sells cribs to Cara baby things fails to exercise due care to make the crib safe and Cara's child is injured as a result baby things is most likely liable for

Negligence

Betting plus Inc. make the pillow that comforts stuff sells to dummy. But he fails to exercise due care, and Demi is injured by toxic material used as fill in the pillow. Comfort stuff is most likely liable for

Negligence

robbery

Niles enters Omelet Café and points a gun at the cashier Pico. Niles forces Pico to open the register and give him all the money. Niles will most likely be charged with

D

Niles enters Omelet Café and points a gun at the cashier Pico. Niles forces Pico to open the register and give him all the money. Niles will most likely be charged with a. larceny. b. receiving stolen property. c. obtaining property by false pretenses. d. robbery.

Eighth Amendment

No excessive bail and no cruel or unusual punishment

Under the first amendment, in comparison with commercial speech, the protection given obscene speech is

No existent

The Florida legislature enacts a state law that violates the U.S. Constitution. This law can be enforced by a. the United States Supreme Court only. b. the state of Florida only. c. the federal government only. d. no one.

No one

Fifth Amendment

No person can be forced as a witness against him or herself No can be deprived of liberty or property without due process law No one can be tried for the same criminal offense twice

Fourth Amendment

No unreasonable seizures or searches Warrant must be issued w a probable cause

Marco is harmed When Nell defames him. If Marco brings a successful tort against Nell He may be awarded general damages to compensate for

Non-monetary aspects of harm suffered such as the loss of reputation

Macy offers to sell his fitness watch for $50 to Nona. Nona promises to pay Macy the price. Later, they exchange the watch for the funds. A contract was created when a. Macy delivered the watch. b. Nona promised to pay for the watch. c. Macy offered to sell the watch. d. Nona paid for the watch

Nona promised to pay for the watch

statement of opinion

Normally, the tort of misrepresentation or fraud occurs only when there is reliance on a statement of fact. Sometimes, however, the tort may involve reliance on a statement of opinion if the individual making the statement has a superior knowledge of the subject matter. For instance, when a lawyer makes a statement of opinion about the law in a state in which the lawyer is licensed to practice, a court would treat it as a statement of fact.

Ivy slips and falls on the deck of Jet's Tour Boat and is injured. She incurs medical expenses of $500,000, and files a suit against Jet to recover. Under the "50 percent" rule, if Ivy is more than 50 percent at fault, she will recover

Nothing

Ivy slips and falls on the deck of jet's tour boat and it's injured she incurs medical expenses a $500,000 and filed a suit against jet to recover under the 50% rule if Ivy is more than 50% at fault she will recover

Nothing

a license

O-Ring Corporation allows Piston Company to incorporate O-Ring's patented fuel-injection system into Piston's product. This is

Bounce company makes trampolines and other gym equipment. CHET files a product liability suit against bounds alleging a warning defect in one of its products. In deciding whether to hold bounce liable the court may consider that a manufacturer has no duty to warn about risks that are

Obvious

Like most successful companies, bones Inc. has trade secrets. The law protects the secret if the information is

Of value to the competitors

Lapse of Time.

Offer terminates by law when the period of time specified in the offer has passed. If no time period for acceptance is specified, the offer terminates at the end of a reasonable period of time.

Requirements of the Offer.

Offeror's serious, objective intention. Auctions: when the auctioneer accepts a higher bid, she rejects all previous offers. Auctions with and Without Reserve. Agreements to Agree: can be enforceable if parties intended to be bound. Definiteness of Terms. An offer can require specific terms so that a court can determine whether a breach has occurred: Identification of the parties. Identification of the subject matter or object. Consideration to be paid. Time of payment, delivery, or performance.

Statement of Fact

Often at issue in defamation lawsuits (including online defamation, discussed in Chapter 7) is whether the defendant made a statement of fact or a statement of opinion. Statements of opinion normally are not actionable because they are protected under the First Amendment. In other words, making a negative statement about another person is not defamation unless the statement is false and represents something as a fact (for instance, "Lane cheats on his taxes") rather than a personal opinion (for example, "Lane is a jerk").

Nayda retains Olin, an attorney, on a contingency-fee basis to seek damages in a personal-injury suit against Price-Mor Stores Inc. Nayda does not win her case. She must pay a. none of the choices. b. Olin's fee, and any other expenses related to the case. c. Olin's fee, but no other expenses related to the case. d. expenses related to the case, but not Olin's fee.

Olin's fee, and any other expenses related to the case

False

One of the purposes of criminal law is to compensate the victims.

Licensing

One way to avoid litigation and still make use of another's trademark or other form of intellectual property is to obtain a license to do so. A license in this context is an agreement, or contract, permitting the use of a trademark, copyright, patent, or trade secret for certain purposes. The party that owns the intellectual property rights and issues the license is the licensor, and the party obtaining the license is the licensee. The licensee generally pays fees, or royalties, for the privilege of using the intellectual property. A license grants only the rights expressly described in the license agreement. A licensor might, for example, allow the licensee to use the trademark as part of its company or domain name, but not otherwise use the mark on any products or services. Disputes frequently arise over licensing agreements, particularly when the license involves Internet uses.

absolute privilege

Only in judicial proceedings and certain government proceedings is an absolute privilege granted. Thus, statements made in a courtroom by attorneys and judges during a trial are absolutely privileged, as are statements made by government officials during legislative debate.

Mobile device company discovers that the firm Atori statements about its products are being posted in an online forum. New view Inc. the Internet service provider who is users are posting the messages, can disclose their identity

Only one order to do so by a court

Organized Crime

Operate illegitimately, providing illegal goods and services. -Money laundering, emerging in financial transactions to conceal the identity, source, or destination of illegally gained funds. -Racketeering

Mistake of Fact

Operates as a defense if it negates the mental state necessary to commit the crime. One student mistakenly walks off with another's book bag.

To be protected under the copyright act, work must be

Original and fixed in a durable medium

Seafood cafe company makes products that can cause severe health problems to those with shellfish allergies. Seafood analyzes the cost of warning people of the risk (which they believe is obvious) and the risk of harm to people if no warning is included in advertising and on menus. This analyses is most likely part of

Outcome based ethics

Outrageous Conduct (IIED)

Outrageous conduct = conduct exceeds all bounds of decency tolerated in a civilized society • mere insults are not outrageous usually • context is important Generally, repeated annoyances (such as those experienced by a person who is being stalked), coupled with threats, are sufficient to support a claim.

** Patents

Patents: Temporary Comercial Monoply on designs and inventions Utility Patents: Most common type of patent - HOW SOMETHING WORKD Design Patens: How something is design Plant Patent: Patent available for new plant species Patent process What is Patentable? • Novel, useful and not obvious Patent search Claim and application to the US patent and trademark office (USPTO) • Claim-statement of what is new about the invention • Application includes: o Specification o Drawing o Oath/declaration Search and examination fee and application...

a theft of trade secrets

Paving Corporation taps into the computer network of Roadwork Inc., a competitor, and downloads confidential business data without Roadwork's knowledge or authorization. This is most likely

The employees of Ecco engineer ring Inc. sure company related resources among multiple computers without requiring a central network server this is

Peer to peer networking

RICO Violation Penalties

Penalties are harsh. -Civil penalties can include the divestiture of a D's interest in a business (called forfeiture). -P's can recover treble damages (3 times their actual damages) plus attorney fees for violations of the RICO statue.

The Miranda Rule

People who are arrested must be informed of certain constitutional rights, including right to remain silent. -exceptions: location of a weapon prior to rights being read, or indecisive requests from defendants, suppose to be much more assertive.

What constitutes Criminal Liability

Performance of a Criminal Act -or- a specified state of mind or intent on the person performing them -most often acts of commission (doing a prohibited act) but can also be acts of omission (not doing a required act- ex. Failure to file a tax return) -thoughts of committing a crime are not enough -person can be guilty of attempted crimes but generally only if he/she took substantial steps toward the criminal act -a wrongful mental state is as necessary as a wrongfully act in establishing criminal liability

Sales Corp. Inc. provides tablets for his employees to use in the ordinary course of its business. Sales courts intercepts the employees business communications made on these devices. Under the electronic communication privacy act, this is

Permissible

Defenses to Criminal Liability

Persons charged with crimes may be relieved of criminal liability if they can show that their criminal actions were justified under the circumstances.

a misrepresentation of fact knowing knowing that it is false

Pete, a broker, advises Ollie to invest in Rocky Road Inc. When the share price of Rocky's stock decreases, Ollie accuses Pete of fraud, claiming reliance on Pete's advice. The reliance that gives rise to liability for fraud requires

places an outer time limit on bringing the suit

Petro Parts Inc. makes and sells parts for the repair of motor vehicles. Olsen suffers a loss when a defective Petro part causes damage to her car's engine. With respect to Olsen's product liability suit against Petro, an applicable statute of repose

Which one of the following is not part of the five broad categories of criminal acts? a. White-Collar Crime b. Petty Crime c. Public Order Crime d. Property crime e. Violent crime f. Organized Crime

Petty crime

Duty-based ethical standards are most likely to derive from

Philosophical reasoning

Don send an email to Eve, promising her a percentage of the amount in a foreign bank account if she will assist in transferring the funds to a US bank account. Eve forwards her account number, but the funds are never sent. Instead don quickly withdraw the funds in eve account. This is

Phishing

Battery

Physical contact with another that is unexcused, harmful or offensive, and intentionally performed. If the act that created the apprehension is completed and results in harm to the plaintiff The contact can be harmful, or it can be merely offensive (such as an unwelcome kiss). Physical injury need not occur. The contact can be made by the defendant or by some force set in motion by the defendant, such as a rock thrown by the defendant. Whether the contact is offensive or not is determined by the reasonable person standard. If the plaintiff shows that there was contact, and the jury (or judge, if there is no jury) agrees that the contact was offensive, the plaintiff has a right to compensation. A plaintiff may be compensated for the emotional harm resulting from a battery, as well as for physical harm.

Petros parts Inc. makes and sells parts for the repair of motorcycles. Olson suffers a loss when a defective petro part causes damage to her car engine with respect to Austin's product liability suit against Petro and applicable statute of repose

Place is an hour time limit on bringing the suit

Sal is arrested on suspicion of armed robbery. His lawyer and he engage in ---- with the prosecuting attorney so that Sal can be granted immunity from prosecution for that serious crime.

Plea Bargaining, Most criminals do not stand for trial because the prosecuting attorney and the alleged criminal engage in plea bargaining to a reduced charge in order to free up the court system, which is always overburdened. See Defenses to Criminal Liability.

The state of Ohio can regulate building contractorS and building codes in the state under its

Police power

False

Pricing information is not a trade secret.

John, a law enforcement official, monitors Kelsey's internet activities, email and website visits, to gain access to her personal financial data and student information. This may violate Kelsey's right to

Privacy

Erol works for food packing company. Erols supervisor Gwen write a negative review of Erols performance. Gwen believes that the statements are true and limits their communication to the firms management in a tort action of defamation Gwen can most likely assert as a successful defense

Privilege

Acceptance is timely if it is effective before the offer is terminated.

True

What is RICO?

Racketeer influenced and Corrupt Organization Act. -Passed in 1970's as part of the Organized Crime Control Act. -Under RICO, it is a Federal crime to: 1. Use income obtained from racketeering activity to purchase any interest in an enterprise. 2. To acquire or maintain an interest in an enterprise through racketeering activity. 3. To conduct or participate in the affairs of an enterprise through racketeering activity, or 4. To conspire to do any of the preceding activities.

Probable cause

Reasonable grounds for believing that a search should be conducted or that a person should be arrested.

Probable Cause

Reasonable grounds for believing that a search should be conducted or that a person should be arrested. -Must be found for a search warrant. -must be revealing a specific illegality.

It can be difficult to determine whether a risk is obvious.

Regardless, you can be held liable if you fail to discover hidden dangers on business premises that could cause injuries to customers. Thus, you should post warnings of any conceivable risks on the property. Be vigilant and frequently reassess potential hazards. Train your employees to be on the lookout for possibly dangerous conditions at all times and to notify a supervisor immediately if they notice something. Remember that a finding of liability in a single lawsuit can leave a small enterprise close to bankruptcy. To prevent potential negligence liability, make sure that your business premises are as safe as possible for all persons who might be there, including children, senior citizens, and individuals with disabilities.

Trademark Infringement

Registration of a trademark with the U.S. Patent and Trademark Office gives notice on a nationwide basis that the trademark belongs exclusively to the registrant. • The registrant is also allowed to use the symbol ® to indicate that the mark has been registered.

Trademark Infringement

Registration of a trademark with the U.S. Patent and Trademark Office gives notice on a nationwide basis that the trademark belongs exclusively to the registrant. The registrant is also allowed to use the symbol ® to indicate that the mark has been registered. Whenever that trademark is copied to a substantial degree or used in its entirety by another, intentionally or unintentionally, the trademark has been infringed (used without authorization). When a trademark has been infringed, the owner of the mark has a cause of action against the infringer. To succeed in a trademark infringement action, the owner must show that the defendant's use of the mark created a likelihood of confusion about the origin of the defendant's goods or services. The owner need not prove that the infringer acted intentionally or that the trademark was registered (although registration does provide proof of the date of inception of the trademark's use). The most commonly granted remedy for trademark infringement is an injunction to prevent further infringement. Under the Lanham Act, a trademark owner that successfully proves infringement can recover actual damages, plus the profits that the infringer wrongfully received from the unauthorized use of the mark. A court can also order the destruction of any goods bearing the unauthorized trademark. In some situations, the trademark owner may also be able to recover attorneys' fees.

Rico brings a tort action against sal and proves all of the elements of the claim sals successful defense will

Release the defendant from partial or full liability for the tortious act

Barb a computer operator for cloud corporation, is arrested in her employers parking lot on suspicion of larceny. Barb must be informed of her right to

Remain silent

Duty to Warn Business Invitees of Risks

Retailers and other firms that explicitly or implicitly invite persons to come onto their premises are usually charged with a duty to exercise reasonable care to protect these business invitees. The duty normally requires store owners to warn business invitees of foreseeable risks about which the owners knew or should have known. The landowner also has a duty to discover and remove any hidden dangers that might injure a customer or other invitee. Store owners have a duty to protect customers from potentially slipping and injuring themselves on merchandise that has fallen off the shelves, for instance.

Rev motor company buys plugs and points from spark plugs ink and put them in rev vehicles Without changing their composition if the parts are defective strictly liable for any damage caused by the defects maybe

Rev and spark plug

Termination by Action of the Parties.

Revocation of the Offer by the Offeror: Offer can be withdrawn anytime before Offeree accepts the offer. Effective when the offeree or offeree's agent receives it.

Sixth Amendment

Right to a speedy public trial

6th Amendment

Right to counsel, right to speedy trial, right to jury trial, public trial and right to confront witnesses. -

**The risk-utility test:

Riley v. Ford Motor Co.

To avoid unethical practices by a foreign supplier, an effective business practice is to

Routinely monitor the foreign workplace

Key difference between civil and criminal law

SE BILDE PÅ BUSBOOK

EXAMPLE 4.28 Ludley drives down a street but fails to see a stop sign because he is trying to quiet his squabbling children in the car's back seat.

Salter, who is standing on the curb, realizes that Ludley is about to hit a pedestrian and runs into the street to push the pedestrian out of the way. If Ludley's vehicle hits Salter instead, Ludley will be liable for Salter's injury, as well as for any injuries the other pedestrian sustained. Danger Invites Rescue

First Sale Doctrine

Section 109(a) of the Copyright Act provides that the owner of a particular item that is copyrighted can, without the authority of the copyright owner, sell or otherwise dispose of it. This rule is known as the first sale doctrine. Under this doctrine, once a copyright owner sells or gives away a particular copy of a work, the copyright owner no longer has the right to control the distribution of that copy. Thus, for instance, a person who buys a copyrighted book can sell it to someone else. The first sale doctrine also applies to a person who receives promotional CDs, such as a music critic or radio programmer.

So the bubbles corporation make soft drinks Toby drink a soda beverage which proves defective and interest him one justification for holding soda strictly liable for the harm caused to Toby is that

Soda is in a better position than Toby to Bear the cost of her injury

True

Some business processes can be protected as trade secrets.

True

Some courts do not allow assumption of risk as a defense to a strict product liability claim because the theory focuses on the nature of a product, not the plaintiff's conduct.

Obvious Risks Are an Exception

Some risks, of course, are so obvious that the owner need not warn of them. For instance, a business owner does not need to warn customers to open a door before attempting to walk through it. Other risks, however, may seem obvious to a business owner but may not be so to someone else, such as a child. In addition, even if a risk is obvious, that does not necessarily excuse a business owner from the duty to protect customers from foreseeable harm.

"Danger Invites Rescue" Doctrine

Sometimes, a person who is trying to avoid harm—such as an individual who swerves to avoid a head-on collision with a drunk driver— ends up causing harm to another (such as a cyclist riding in the bike lane) as a result. In those situations, the original wrongdoer (the drunk driver in this scenario) is liable to anyone who is injured, even if the injury actually resulted from another person's attempt to escape harm. The "danger invites rescue" doctrine extends the same protection to a person who is trying to rescue another from harm—the original wrongdoer is liable for injuries to an individual attempting a rescue. The idea is that rescuers should not be held liable for any damages, because they did not cause the danger and because danger invites rescue. Whether rescuers injure themselves, the person rescued, or a passerby, the original wrongdoer will still be liable.

Necessity

Sometimes, criminal defendants are relieved of liability if they can show that a criminal act was necessary to prevent an even greater harm.

knowledgeable user

Stan, an air conditioning and heating technician, files suit against Temp-Set Corporation, alleging that its thermostats are unreasonably dangerous due to the possibility of electrical shock while being installed. Temp-Set's best defense is most likely

Legislative Caps on Damages

State laws may limit amount of medical damages that can be compensated for - More than half of the states have placed caps ranging from $250,000 to $750,000 on noneconomic general damages Ex: California medical malpractice - limit of $250,000 *Tort Reform*: legislative changes (both laws that are proposed and laws that are passed) that would change the way personal injury cases work - there is too much litigation (lawsuits) which costs more money increases insurance - *insurance companies want to keep these costs as low as possible and tricked people into tort reform in their favor*

Laws enacted by legislative bodies at any level of government make up the body of law generally referred as

Statutory law

Exceptions to Statue of Limitations

Statutory period will not run if: - if person runs - if accused person is unknown - certain crimes such as child molestation, etc. statute will start to run at the earlier of victim reaching the age of 16 or crime being reported to a law enforcement or government agency. - California case: US Supreme Court said that states cannot retroactively erase S.O.L.- case- 72 yr old man was accused of molesting his daughters when they were children

the ladder was in a defective condition when Steps and Rungs sold it

Steps & Rungs Inc. makes ladders. Ty discovers that his Steps & Rungs ladder is defective and sues the maker for product liability based on strict liability. To win, Ty must show that

product liability based on strict liability

Steps & Rungs Inc. makes ladders. Ty discovers that his Steps & Rungs ladder is defective and sues the maker for product liability based on strict liability. To win, Ty must show that: *the ladder was in a defective condition when Steps & Rungs sold it* Cold Play Corporation makes snowmobiles. Dale is injured when a defect unexpectedly accelerates the Cold Play vehicle he is driving, and he is thrown off. Esty, a hiker standing in the path of the unmanned vehicle, is struck and injured. In a suit based on strict product liability, Cold Play may be liable to: *Dale and Esty*

automatic

Stig creates unique graphic works that feature characters of his own imagination. Copyright protection for Stig's work is

One of the following is usually NOT an acceptable defense to criminal liability: a. Entrapment b. Strong desire c. Insanity d. Justifiable use of force e. Necessity f. Duress

Strong desire

Honey is not a resident of Iowa although her website can be accessed by resident of that state Jean files a suit against honey in an Iowa State Court the court is most like it after stiction over honey if James claim arises from

Substantial business between Jean and honey through Honey's website

Equimeds company and gendrugs Inc. make and distribute prescription drugs in a product liability suit against both parties the court is most likely to impose market share liability if it cannot be proved which of the parties

Supplied the particular product that caused the injury

the bribe was offered

Syd offers Tina, a city inspector, money to overlook health code violations in his restaurant. Tina accepts the money and overlooks the violations. Syd is charged with the crime of bribery. The crime occurred when

D

Syd offers Tina, a city inspector, money to overlook health code violations in his restaurant. Tina accepts the money and overlooks the violations. Syd is charged with the crime of bribery. The crime occurred when a. the health code was violated. b. the bribe was accepted. c. the violation was overlooked. d. the bribe was offered.

Mary creates a t shirt design that expresses support for Nash, a presidential candidate, and distributes t-shirts to all of her friends. The t shirts are an example of

Symbolic speech

Sui enters into a contract with Trey to act as a personal sports trainer. If a dispute later arises over the parties' promises, the court will interpret the contract according to

THE PARTIES INTENT AT THE TIME THEY ENTERED THE CONTRACT

Sy enters into a contract with Truck Company to work as a driver. If a dispute arises over the deal, under the plain meaning rule, the court cannot consider any evidence not contained in the document if

THE WORDS IN THE CONTRACT APPEAR CLEAR

A product liability claim against the manufacturer of a product that is subject to extensive government regulation may be preempted. In other words, an injured party may not be able to sue a manufacturer of defective products that are subject to comprehensive federal regulatory schemes.

TRUE

A promisee has the right to expect or demand that something will or will not happen in the future.

TRUE

An executed contract is one that has been fully performed by both parties to it.

TRUE

Any contract that is not in writing is not enforceable.

TRUE

By supplying procedures for enforcing private agreements, contract law provides an essential condition for the existence of a market economy.

TRUE

Harm must be foreseeable to be considered the proximate cause of an injury in negligence.

TRUE

If what is written in a contract is clear, a court will enforce the contract according to its obvious terms.

TRUE

Quasi contract are not actual contracts.

TRUE

Owen and other managers employed by pastry bakeries are most likely to find unethical behavior in the workplace can be deterred by

Taking immediate action in response to unethical conduct

False

Tapping into a competitor's computer to obtain confidential business data is not a theft of trade secrets.

EZ Co Op Inc. sells Philip cattle feed to ranchers Jena buys and feeds fill up to herd the feet is poisoned Gina Sue's easy for product liability based on negligence to win Gina Must show

That the feed caused her damage

General Rule

The Communications Decency Act (CDA) states that "[n]o provider or user of an interactive computer service shall be treated as the publisher or speaker of any information provided by another information content provider." • Exception: Although the courts generally have construed the CDA as providing a broad shield to protect ISPs from liability for third party content, some courts have started establishing limits to this immunity.

Internet Companies Privacy Policies

The Federal Trade Commission (FTC) investigates consumer complaints of privacy violations. • The FTC has forced many companies, including Google, Facebook, Twitter, and MySpace, to enter an agreement consenting to give the FTC broad power to review their privacy and data practices. o It can then sue companies that violate the terms of the decree.

Double Jepoardy

The Fifth Amendment requirement that prohibits a person from being tried twice for the same criminal offense.

Domain name dirtubution system

The Internet Corporation for Assigned Names and Numbers (ICANN), a nonprofit corporation, oversees the distribution of domain names and operates an online arbitration system. • Due to numerous complaints, ICANN recently overhauled (repair) the domain name distribution system.

True

The U.S. Constitution provides safeguards that apply not only in federal but also in state courts.

Cybersquatting

The act of registering a domain name that is the same as, or confusingly similar to, the trademark of another and then offering to sell that domain name back to the trademark owner.

Excavation Inc. using explosives to prepare land for construction projects strict liability is imposed on this activity because

The activity is extremely risky

Sound financial Corporation sent daily email adds to its previous customers and those who have opted to receive the notices. The state in which the company is physically located has an acted in anti-spam law. Under federal law

The application of the state law to sounds ad is preempted

The national restaurant Association announces a new industry code of ethics the effectiveness of this code will be determined by

The commitment of management to enforcing the code

Prodigious profit LLC, and other companies operate social media websites, issue apps for mobile devices, obtain ad revenue from search engines, and so directly to consumers from other sites. The privacy rights of the users of these products are frequently defined not by the course of legislature, but by

The companies that own the sites and the apps

Jared claims that a Kentucky state statute infipringes on his "substantive due process" right. This claim focuses on

The content of the statue

One party wants to file a suit against another for a court to hear the case

The court must have jurisdiction

actual malice

The deliberate intent to cause harm that exists when a person makes a statement with either knowledge of its falsity or reckless disregard of the truth. Actual malice is required to establish defamation against public figures. A condition that exists when a person makes a statement with either knowledge of its falsity or a reckless disregard for the truth. In a defamation suit, a statement made about a public figure normally must be made with actual malice for liability to be incurred.

In making a business decision, Jin Soo brainstorms possible solutions to his problem and then considers what he should do. If Jin soo is using the IDDR approach to the decision making he is the

The discussion step

duty of care

The duty of all persons, as established by tort law, to exercise a reasonable amount of care in their dealings with others. Failure to exercise due care, which is normally determined by the reasonable person standard, constitutes the tort of negligence. The basic principle underlying the duty of care is that people in society are free to act as they please so long as their actions do not infringe on the interests of others. When someone fails to comply with the duty to exercise reasonable care, a potentially tortious act may result.

Trespass to Land

The entry onto, above, or below the surface of land owned by another without the owner's permission or legal authorization. 1. Enters onto, above, or below the surface of land that is owned by another. 2. Causes anything to enter onto land owned by another. 3. Remains on land owned by another or permits anything to remain on it. Actual harm to the land is not an essential element of this tort, because the tort is designed to protect the right of an owner to exclusive possession. Common types of trespass to land include walking or driving on another's land, shooting a gun over the land, and throwing rocks at a building that belongs to someone else. Another common form of trespass involves constructing a building so that part of it is on an adjoining landowner's property.

Copyrights

The exclusive right of an author or originator of a literary or artistic production to publish, print, sell, or otherwise use that production for a statutory period of time. • Generally, copyright owners are protected against the following: 1) Reproduction of the work. 2) Development of derivative works. 3) Distribution of the work. 4) Public display of the work.

without regard to the fault of the company

The explosive demolition of a rock formation by Mountain Blasters Inc. injures Noh, who is hiking on a nearby slope. Under the doctrine of strict liability, Mountain Blasters must pay for Noh's injury

Negligence

The failure to exercise the standard of care that a reasonable person would exercise in similar circumstances. occurs when someone suffers injury because of another's failure to live up to a required duty of care. In contrast to intentional torts, in torts involving negligence, the tortfeasor neither wishes to bring about the consequences of the act nor believes that they will occur. The actor's conduct merely creates a risk of such consequences. If no risk is created, there is no negligence. Moreover, the risk must be foreseeable — that is, it must be such that a reasonable person engaging in the same activity would anticipate the risk and guard against it.

EXAMPLE 4.6 A father attacks a man who has had consensual sexual relations with the father's nineteen-year-old daughter.

The father handcuffs the man to a steel pole and threatens to kill him unless he leaves town immediately. The father's conduct may be sufficiently extreme and outrageous to be actionable as an intentional infliction of emotional distress. Outrageous Conduct

Embezziement

The fraudulent appropriation of funds or other property by a person who was entrusted with the funds or property

Each court had a jurisdiction, jurisdiction is best defined as

The geographic area in which a court has the power to apply the law

Caryn is faced with making a business decision. As she thinks about the problem, she feels that there is no easy answer. She continues to think about what is making her uncomfortable about the situation before brainstorming possible solutions. If Caryn is using IDDR approach to decision making, she engaged in

The inquiry step

Compliance with the law is not always sufficient to determine right behavior because

The law does not codify all ethical requirements

Strict product liability and public policy

The law imposes strict product liability as a matter of public policy. This public policy rests on a threefold assumption: 1. Consumers should be protected against unsafe products. 2. Manufacturers and distributors should not escape liability for faulty products simply because they are not in privity of contract with the ultimate user of those products. 3. Manufacturers, sellers, and lessors of products are generally in a better position than consumers to bear the costs associated with injuries caused by their products—costs that they can ultimately pass on to all consumers in the form of higher prices.

product liability

The legal liability of manufacturers, sellers, and lessors of goods to consumers, users, and bystanders for injuries or damages that are caused by the goods. Liability here is a matter of social policy. Manufacturers and sellers can better bear the cost of injuries, and because they profit from making and selling the products, they should be responsible for the injuries the products cause.

Self-defense

The legally recognized privilege to do what is reasonably necessary to protect oneself, one's property, or someone else against injury by another.

Self Defense

The legally recognized privilege to do what is reasonably necessary to protect oneself, ones property or someone else against injury by another.

With respect to what society will tolerate, a company's compliance with the law and no more is

The lowest ethical level

Abuse of Process

The malicious and deliberate misuse or perversion of a legal procedure. can apply to any person using a legal process against another in an improper manner or to accomplish a purpose for which it was not designed.

Property Crime

The most common type of criminal activity is property crime — crimes in which the goal of the offender is some form of economic gain or the damaging of property. • Robbery is a form of property crime, as well as a violent crime, because the offender seeks to gain the property of another.

revocation 148

The offeror's act of withdrawing an offer Unless an offer is irrevocable, the offeror usually can revoke the offer (even if he or she has promised to keep the offer open), as long as the revocation is communicated to the offeree before the offeree accepts. Revocation may be accomplished by an express repudiation of the offer (for example, with a statement such as "I withdraw my previous offer of October 17") or by the performance of acts that are inconsistent with the existence of the offer and that are made known to the offeree. In contract law, the withdrawal of an offer by an offeror. Unless the offer is irrevocable, it can be revoked at any time prior to acceptance without liability.

Stents inc makes medical devises. Toni files a product liability suit against stents alleging a warning defect with respect to its device. And deciding whether to hold the maker liable the court may consider

The omission of a warning rendered the device not reasonably safe

Prognosis ink on the brain computer interface that enables physicians to diagnose and treat some diseases quickly and accurately federal copyright protection stands to

The part of the app that can be read by Computers

When Lara and Mick cannot resolve their dispute amicably, Lara initiates a lawsuit against mick. Lara is

The plaintiff

Proving a defective condition

The plaintiff must show the product was defective when it left the producer's hands and that the condition made the product "unreasonably dangerous"

The 1803 decision of the United States Supreme Court in the case of Marbury versus Madison established

The power of judicial review

The term checks and balances refers to the system under which

The powers of government are divided among it branches, each of which exercise a check on the actions of others

The FDA is an executive agency, as an executive agency the fda is subject to the authority of

The president

Plea bargening

The process by which a criminal defendant and the prosecutor work out an agreement to dispose of the criminal case, subject to court approval.

Farmers pantry products and market grocers LLC dispute a term in their contract because the parties have a long-standing business relationship they Would like to continue they could settle their dispute through Meditation because

The process is not adversarial as litigation

Failure to Warn Defect

The product is defective in neither design nor manufacture, but it poses some inherent danger about which the manufacturer has failed to provide adequate warning. Courts apply a "reasonableness" test to determine if the warnings adequately alert consumers to the product's risks. For example, children will likely respond to bright, bold, simple warning labels, whereas educated adults might need more detailed information.

Slander of Title

The publication of a statement that denies or casts doubt on another's legal ownership of any property, causing financial loss to that property's owner. Usually, this is an intentional tort that occurs when someone knowingly publishes an untrue statement about property with the intent of discouraging a third party from dealing with the property's owner. For instance, a car dealer would have difficulty attracting customers after competitors published a notice that the dealer's stock consisted of stolen automobiles.

Slander of Quality (Trade Libel)

The publication of false information about another's product, alleging that it is not what its seller claims. To establish trade libel, the plaintiff must prove that the improper publication caused a third party to refrain from dealing with the plaintiff and that the plaintiff sustained economic damages (such as lost profits) as a result. An improper publication may be both a slander of quality and defamation of character. For example, a statement that disparages the quality of a product may also, by implication, disparage the character of the person who would sell such a product

Insider Trading

The purchase or sale of securities on the bases of inside information (information that has not been made to the public) One that posses inside information and has a duty not to disclose it to outsiders may not profit from the purchase or sell of securities based on that information until it is available to the public.

4. Damages

The purpose of tort law is to compensate people through monetary damages. *If there is no harm, there is no violation* Ex: Cato is driving a car in which Diego is a passenger when an accident occurs. Diego is not injured. In Diego's tort action against Cato for negligence, Cato can most likely assert as a successful defense that: *Diego was not injured.*

False

The registration of a copyright is not evidence that the copyright is valid.

Privity of contract:

The relationship that exists between the promisor and the promisee of a contract. • In the context of product liability law, privity is not required. A person who is injured by a defective product can bring a negligence suit even though he or she was not the one who actually purchased the product—and thus is not in privity.

Insanity

The right and wrong test - person shall not be found guilty if at the time of the act omission or negligence constituting the crime, the person did not have mental capability to distinguish between right and wrong in relation to such act, omission, or negligence.

Diane enters a car race knowing that there's a risk of being injured in a crash dian assumes

The risk of being injured in the crash

United Inc. a US film production company, filed a suit against video LTD, A Mexican production firm, for infringement of intellectual property rights under Mexico's national law. Both the US and Mexico are signatories of the TRIPS agreement, under which United is entitled to

The same rights and protection under Mexican law as video

Domain Names

The series of letters and symbols used to identify a site operator on the Internet; an Internet "address." • Such as"cengage.com"

A speedy trial trial by jury a public trial and the right to confront witnesses are guaranteed by

The sixth amendment

Acceptance is timely if it is effective before the offer is terminated. (T/F)

True

The Publication Requirement

The speaker must have communicated the statement to persons other than the defamed party. The basis of the tort of defamation is the publication of a statement or statements that hold an individual up to contempt, ridicule, or hatred. Publication here means that the defamatory statements are communicated to persons other than the defamed party. The courts have generally held that even dictating a letter to a secretary constitutes publication, although the publication may be privileged (as discussed shortly). If a third party overhears defamatory statements by chance, the courts usually hold that this also constitutes publication. Defamatory statements made via the Internet (in e-mail or posted on social media) are also actionable, as you will read in Chapter 7. Repupblication Note further that anyone who republishes or repeats defamatory statements is liable even if that person reveals the source of the statements.

reasonable person standard

The standard of behavior expected of a hypothetical "reasonable person." The standard against which negligence is measured and that must be observed to avoid liability for negligence. It is not necessarily how a particular person would act. It is society's judgment on how people should act. If the so-called reasonable person existed, he or she would be careful, conscientious, even tempered, and honest. The degree of care to be exercised varies, depending on the defendant's occupation or profession, her or his relationship with the plaintiff, and other factors. Generally, whether an action constitutes a breach of the duty of care is determined on a case-by-case basis. The outcome depends on how the judge (or jury, in a jury trial) decides a reasonable person in the position of the defendant would act in the particular circumstances of the case.

Undert the US constitution, the federal government has the power to regulate commercial activities among the states. This grant implies that the regulation of such activities is not within the authority of

The states

A statute enacted by Wyoming state legislature to regulate trucking affects interstate commerce. In evaluating this statute, court will weigh the burden that it imposes on interstate commerce against

The states interest in regulating the matter

Federal regulations concerning medical devices directly conflict with a certain state law. Under the us constitution, which law takes precedence is determined by

The supremacy clause

Leah, a citizen of Maine, obtains a federal license to operate a commercial fishing boat in a certain area off the Maine coast. The Maine state legislature enactsa law that bans all commercial fishing in that area. most likely the state law violates

The supremacy clause

Products Liability

The theory holding manufacturers and sellers liable for defective products when the defects make the products unreasonably dangerous

The basis of all law in the United stated is

The u.s. constitution

Trademark Dilution

The unauthorized use of a distinctive and famous mark in a way that impairs the mark's distinctiveness or harms its reputation. • In 2006, Congress further amended the law on trademark dilution by passing the Trademark Dilution Revision Act (TDRA)

Overcriminalization

The use of criminal law to attempt to solve social problems, such as illegal drug use.

Mens Rea

The wrongful mental state or intent that is one of the key requirements to establish criminal liability for an act.

Franny Is charged with a crime. Almost all federal courts in state courts would not hold Franny liable if, at the time of the offense, as a result of mental disease or defect, she loves substantial capacity to obey the law and to appreciate

The wrongfulness of her conduct

Today the most common public order crimes do NOT include: a. Public drunkenness. b. Theft. c. Illegal drug use. d. Prostitution. e. Illegal gambling.

Theft

Strict Liability

This kind of crime is common in cases such as environmental law, illegal drugs, or other laws related to pubic health. -do not require a wrongful mental state for act to be committed.

Public disclosure of private facts

This type of invasion of privacy occurs when a person publicly discloses private facts about an individual that an ordinary person would find objectionable or embarrassing. A newspaper account of a private citizen's sex life or financial affairs could be an actionable invasion of privacy, even if the information revealed is true, because it should not be a matter of public concern.

False

Those who do not make goods, but only sell or lease them, cannot be held liable for harm caused by those goods to a consumer.

Product Liability

Those who make, sell, or lease goods can be held liable for a physical harm or property damage caused by those goods to a consumer, user, or bystander.

*Product Liability

Those who make, sell, or lease goods can be held liable for physical harm or property damage caused by those goods to a consumer, user, or bystander. • Product liability claims may be based on the tort theories of negligence, fraudulent misrepresentation, and strict liability. *Product Liability: • Unreasonably dangerous to the user or consumer because of its defective condition • Proximate Clause

wrongful interference with a contractual relationship

Three elements are necessary for wrongful interference with a contractual relationship to occur: 1. A valid, enforceable contract must exist between two parties. 2. A third party must know that this contract exists. 3. The third party must intentionally induce a party to breach the contract. In principle, any lawful contract can be the basis for an action of this type. The contract could be between a firm and its employees or a firm and its customers. Sometimes, for instance, a competitor draws away one of a firm's key employees. Only if the original employer can show that the competitor knew of the contract's existence, and intentionally induced the breach, can damages be recovered from the competitor.

original and fixed in a durable medium

To be protected under the Copyright Act, a work must be

False

To maintain an action in strict product liability, the plaintiff must show why and how the product became defective.

True

To obtain copyright protection under federal law, a work must be original.

Defenses against trespass to land

To show that the trespass was warranted; trespasser can show that they had a license to come onto the land This may occur, for instance, when the trespasser entered the property to assist someone in danger. Or the so-called owner did not have rights to the property. Another defense is for the trespasser to show that he or she had a license to come onto the land. A licensee is one who is invited (or allowed to enter) onto the property of another for the licensee's benefit. A person who enters another's property to read an electric meter, for example, is a licensee. When you purchase a ticket to attend a movie or sporting event, you are licensed to go onto the property of another to view that movie or event. Note that licenses to enter are revocable by the property owner. If a property owner asks a meter reader to leave and the meter reader refuses to do so, the meter reader at that point becomes a trespasser.

an ineffective marketing plan

Touch Screens Inc. makes and markets tablets. When problems develop with Touch products or sales, the company may be liable in product liability for any of the following except

Call talk corporation, a phone times seller, uses it's called talk as it's domain name. Later a converse Inc. use of the domain name call talk a deliberate misspelling a call talk without Contacts authorization, to sell sexually explicit phone conversations. This is

Trademark delusion

Without authorization, then uses the trademark cielo coffee company to promote cheap, flavorless candy, Which is not similar to CIELOS products but diminishes the quality of the coffee companies Mark. This is

Trademark dilution

Brew beans Inc. makes and sells Coco Café, a chocolate flavored coffee. Dark roast Inc. later markets a similar drink under the name Coco café this is most likely

Trademark infringement

** Trademarks:

Trademark law protects a mark that indicates the source of goods • Service-mark - same concept, but for source of services • Trademarks/Service-marks - type of business property; must be used in commerce to have value • WHY? o Protect consumer... → Case ex. (1920( Coca-Cola CO v. The Koke Co. of America

A business firm has a duty to exercise reasonable care to protect its business invitees

True

A business firm has a duty to exercise reasonable care to protect its business invitees.

True

A class action is a lawsuit in which a large number of plaintiffs bring suit as a group.

True

A click-on agreement can indicate the acceptance of an online offer. (T/F)

True

A debtor who makes false statements under oath may be denied a discharge of his or her debts in the bankruptcy proceeding.

True

A defective product is an unreasonably dangerous product when it is dangerous beyond the expectation of the ordinary consumer.

True

A false statement about a person's business can give rise to liability for defamation

True

A false statement about a person's business can give rise to liability for defamation.

True

A fee simple absolute is an estate or interest in land with no limits in terms of disposition or duration. (T/F)

True

A kickback for a special favor or service is a form of bribery in some situations.

True

A license may limit the use of a software application to a specific device. (T/F)

True

A minor can ratify a contract and thus make it enforceable.

True

A mistake of fact, as opposed to a mistake of law, can often excuse criminal liability if the mistake negates the mental state necessary to commit the crime. a. True b. False

True

A mortgage gives a creditor a lien on a debtor's real property as security for payment of a debt.

True

A novation requires the contracting parties to make restitution of whatever they received under the contract. (T/F)

True

A patent applicant must demonstrate that an invention is useful to receive a patent.

True

A person who accesses a computer online without authority to obtain protected data is subject to criminal prosecution.

True

A person will not be liable for wrongful interference if the interference results from legitimate competitive behavior.

True

A person's intent to return embezzled property—or its actual return—is not a defense to the crime of embezzlement.

True

A private restriction on the use of real property does not "run with the land" unless it is in writing and subsequent owners have reason to know of it. (T/F)

True

A product will be considered defective when the omission of reasonable warnings renders the product not reasonably safe.

True

A sale of real estate is a complicated transaction that involves certain formalities not required in a sale of goods. (T/F)

True

A seller who introduces into commerce a harmful or defective product may be subject to a tort action for strict liability.

True

A seller who introduces into commerce an unreasonably dangerous product may be subject to a tort action for strict liability.

True

A small-amount mechanic's lien typically stays on record until the property against which it has been filed is sold when it is paid out of the sale proceeds.

True

Criminal Liability

Two elements normally must exist simultaneously for a person to be convicted of a crime: 1. The performance of a prohibited act and 2. A specified state of mind or intent on the part of the actor. • Note that to establish criminal liability, there must be a concurrence between the act and the intent. In other words, these two elements must occur together.

Oreganos LTD traffics in nutritional supplements that are marketed as genuine, trademark branded products when in fact they are counterfeit. This is a crime

Under all circumstances

What is Patentable?

Under federal law, "[w]hoever invents or discovers any new and useful process, machine, manufacture, or composition of matter, or any new and useful improvement thereof, may obtain a patent therefor, subject to the conditions and requirements of this title. Thus, to be patentable, an invention must be novel, useful, and not obvious in light of current technology.

The Berne Convention

Under the Berne Convention of 1886, an international copyright agreement, if a U.S. citizen writes a book, every country that has signed the convention must recognize her or his copyright in the book.

Larceny

Under the common law, the crime of larceny involved the unlawful taking and carrying away of someone else's personal property with the intent to permanently deprive the owner of possession. • Put simply, larceny is stealing, or theft.

Appropriation of identity

Under the common law, using a person's name, picture, or other likeness for commercial purposes without permission is a tortious invasion of privacy. An individual's right to privacy normally includes the right to the exclusive use of her or his identity.

False

Under the doctrine of strict liability, a defendant's liability depends on privity of contract.

*Strict Product Liability

Under the doctrine of strict liability, people may be liable for the results of their acts regardless of their intentions or their exercise of reasonable care. • The injured party does not have to be the buyer or a third party beneficiary (one for whose benefit a contract is made). *Strict Liability: Liability is imposed without regard to fault

False

Under the doctrine of strict liability, persons are liable only for the results of their intentional acts or their failure to exercise due care.

Viaduct corporation used untested and risky construction techniques build a bridge under budget. The techniques were legal but the bridge collapsed, killing several people. Viaducts actions were

Unethical and may result in legislation to ensure it does not happen again

Duress

Unlawful pressure brought to bear on a person, causing the person to perform an act that she or he would not otherwise perform. • exists when the wrongful threat of one person induces another person to perform an act that she or he would not otherwise perform.

Duress

Unlawful pressure pressure brought to bear on a person, causing the person to perform an act that she or he would not otherwise perform. -cant be used against murder.

Design Defects

Unlike a product with a manufacturing defect, a product with a design defect is made in conformity with the manufacturer's design specifications. Nevertheless, it results in injury to the user because the design itself is flawed.

Be honest and treat people fairly with respect to business ethics implementing this motto is

Very important

Info free Inc. makes and sells devices and services for the circumvention of encryption software. Under the digital millennium copyright act, this is

Violation of copyright law

Types of Crimes

Violent Crime Property Crime Public Order Crime: Contrary to public morals and values. Drunkenness, prostitution. White Collar Crime Organized Crime

Voluntary Intoxication

Voluntary Intoxication - Maybe a defense if the D. was extremely intoxicated when committing the wrong.

Consent

Voluntary agreement to a proposition or an act of another 1. Issue - Does a law forbid an act against the victims will or forbid an act without regard to the victim's wishes. 2. Most often a defense in crimes against property. (IE. You gave it to me) 3. Consent might be a defense if the law forbids and act against the victims will or the consent cancels a harm that the law is designed to present.

EXAMPLE 4.19 Chen borrows Mark's iPad to use while traveling home from school for the holidays.

When Chen returns to school, Mark asks for his iPad back. Chen tells Mark that she gave it to her little brother for Christmas. In this situation, Mark can sue Chen for conversion, and Chen will have to either return the iPad or pay damages equal to its replacement value. Conversion

Rejection of the Offer by Offeree.

When rejected, by words or conduct, by the offeree. Counteroffer by the offeree is a termination of the original offer. "Mirror-Image rule" applies.

Sid offers Tina, a city inspector, money to overlook health code violations in his restaurant. Tina except the money and overlooks the violations says charged with a crime bribery. The crime occurred when Sid

When sid offered the bribe

Statute of Limitations

When the amount of time needed to prosecute has expired.

Bob devices a scheme to send fraudulent email ads claiming that an arrest warrant has been issued for non-payment of taxes to individual tax payers. By by these false pretense is, Bob intends to obtain money and personal data. This is

Wire fraud

Odell is an employee of packing corporation. She uses social media in a way that violates her employers stated social media policies. Packing disciplines Odell and then, After a second transgression, fires her. This is

Within the employers rights

Shelley owns reclaim and restore a demolition company demolition of Quad city brownstone by an r&r crew injures penny a spectator under the doctrine of strict liability Shelley must pay for pennies injury

Without regard to the fault of r&r crew

trespass to personal property

Wrongfully taking or harming the personal property of another or otherwise interfering with the lawful owner's possession of personal property. trespass to chattels or trespass to personalty In this context, harm means not only destruction of the property, but also anything that diminishes its value, condition, or quality. Trespass to personal property involves intentional meddling with a possessory interest (the right to possess), including barring an owner's access to personal property.

Conversion

Wrongfully taking or retaining possession of an individual's personal property and placing it in the service of another. Any act that deprives an owner of personal property or of the use of that property without the owner's permission and without just cause Often, when conversion occurs, a trespass to personal property also occurs. The original taking of the personal property from the owner was a trespass, and wrongfully retaining the property is conversion. Conversion is the civil side of crimes related to theft, but it is not limited to theft. Even if the rightful owner consented to the initial taking of the property, so there was no theft or trespass, a failure to return the personal property may still be conversion.

Conversion

Wrongfully using or possessing the personal property of another - usually overlap between trespass to personal property and conversion Ex: Without Data Corporation's consent, Elias hacks into the firm's computers and downloads trade secrets and other confidential information. Most likely, Elias is liable for the tort of: *conversion* Ex: Outlet Sales Store unknowingly buys goods that were stolen from Quality Products Inc. Most likely, Outlet Sales can be ordered to return the goods or pay their true owner for their value in a suit for: *conversion*

Criminal statutes proscribe

Wrongs committed against society for which society demands redress

CASE: Yelp v. Hadeed Carpet Cleaning inc

Yelp, Inc., operates a social networking Web site that allows users to post and read reviews on local businesses. The site, which has more than 100 million visitors per month, features about 40 million local reviews. Yelp records and stores the Internet protocol address from which each posting is made. • Seven Yelp users posted negative reviews of Hadeed Carpet Cleaning, Inc., of Alexandria, Virginia. Hadeed brought an action in a Virginia state court against the anonymous posters, claiming defamation. • Hadeed alleged that the reviewers were not actual customers. Their statements that Hadeed had provided them with shoddy service were therefore false and defamatory. • When Yelp failed to comply with a subpoena seeking the users' identities, the court held the site in contempt. Yelp appealed, arguing that the subpoena violated the users' First Amendment rights.

the privilege against self-incrimination

Zoey is accused of auto theft. She refuses to give information related to her alleged criminal activities because she suspects it will be used to prosecute her. This is

C

Zoey is accused of auto theft. She refuses to give information related to her alleged criminal activities because she suspects it will be used to prosecute her. This is a. a mistake of fact. b. entrapment. c. the privilege against self-incrimination. d. ignorance of the law.

ProHome Pest Exterminators Inc. advertises so effectively that the regular customers of its competitor Quick Pest Elimination Company patronize ProHome instead. This is

____

To constitute consideration, there must be

a bargained-for exchange.

Fay offers to pay Grey $50 for a tennis lesson for Hetty. They agree to meet the day after tomorrow to exchange the cash for the lesson. These parties have a. a bilateral contract. b. no contract. c. a unilateral contract. d. a third-party contract.

a bilateral contract

Juno tells Liu she will give him her old car if he babysits her son Marc weekday evenings for six months. Liu agrees. Juno and Lee have formed a. a bilateral contract. b. an unenforceable contract. c. a unilateral contract. d. a void contract.

a bilateral contract

Red offers to pay Sari to deliver certain documents within thirty minutes. Sari can accept the offer only by completing the task within the deadline. If she does, Red and Sari will have

a bilateral contract. ANSWER: a unilateral contract. a void contract. an executive contract.

Analytics LLC processes misinterpreted data furnished by Botched Services to propose a marketing plan for Clientele Inc. Analytics and Clientele are both ignorant of the mistaken data. Their contract can be rescinded on the basis of

a bilateral mistake.

Yuri agrees to zed.com's terms of service and downloads the site's app. Yuri then reverse-engineers the app to create a competing product. This is

a breach of contract.

Gold & Sweet Company bottles and sells maple syrup from its plant in Vermont. On the labels is a logo that states "100% Genuine New England Maple Syrup Certified by the Northeast Maple Syrup Harvesters Association." This logo is​

a certfication mark

Brie buys a subscription to music provided by Concerto, an online streaming service. Before gaining access, Brie must agree to a provision stating that she will not make and sell copies of the music. This provision is a. a shrink-wrap agreement. b. a click-on agreement. c. a partnering agreement. d. a browse-wrap term.

a click-on agreement

Vida, a user of phone-app.com's website, can download apps for free by first clicking on "I accept" after viewing certain terms. This is a. unenforceable. b. a contract that does not include the terms. c. not a contract but the terms are enforceable. d. a contract that includes the terms

a contract that includes the terms

Market-Share Liability

a court can hold each manufacturer responsible for a percentage of the plaintiff's damages that is equal to the percentage of its market share. • Courts in many jurisdictions do not recognize market-share liability, believing that it deviates too significantly from traditional legal principles.

Market-share liability

a court can hold each manufacturer responsible for a percentage of the plaintiff's damages that is equal to the percentage of the market share

Via the Internet, Britta enters false code into the computer control system of Chicken Company, a food maker, to alter the levels of ingredients so that consumers of the food become ill. Britta is a. malware. b. a phisher. c. a cyberterrorist. d. a prosecutor.

a cyberterrorist

Via the Internet, Britta enters false code into the computer control system of Chicken Company, a food maker, to alter the levels of ingredients so that consumers of the food become ill. Britta is

a cyberterrorist.

Manufacturing Defect

a defect in a product resulting from a departure from its design specifications during production

Entrapment

a defense in which the D. was induced by a public official (usually an undercover agent or police officer) to commit a crime that he/she otherwise would not have committed. *- For ___________ to be a defense, both the suggestion and the inducement must come from the police officer or undercover agent. Key issue- was the D. predisposed to commit the crime or did the agent induce it?

Hua is arrested at a warehouse in Industry Park and is charged with the crime of theft. Hua will be prosecuted by a. a district attorney or an attorney general. b. a judge. c. the victim of the crime. d. a jury.

a district attorney or an attorney general

Haji is arrested at a warehouse in Industrial Park and is charged with the crime of theft. Haji will be prosecuted by

a district attorney or an attorney general.

Felix tells Genie, a prospective tenant, that the roof of the Valley View Apartments building does not leak when Felix knows that it does. This may give rise to an action for fraud, because the statement is one of

a fact

** Statutory Protection of Trade-markers

a famous mark can be diluted by an identical mark or a similar mark. Applies to famous marks where the user of the mark by another is likely to weaken the consumer connection between famous mark and what it identifies. • Similar marks can dilute, especially when the marks provide related goods or compete in the same market o Starbucks v. Starbungs o Dumb Starbucks, what's the difference?

Lazlo, a citizen of Minnesota, wants to file a suit against Nadji, a citizen of Ohio. The diversity of citizenship may be a basis for a. a federal court to exercise jurisdiction. b. no court to exercise jurisdiction. c. the United States Supreme Court to refuse jurisdiction. d. any court to exercise jurisdiction.

a federal court to exercise jurisdiction

Ghani owns Hillside Vineyard. Ghani conveys some of the land "to Iona for her life." Ghani has given Iona

a fee simple absolute. a license. ANSWER: a life estate. a profit.

Sam, driving under the influence, causes a car accident that results in the death of Tanya. Sam is arrested and charged with a crime punishable by imprisonment for more than a year. This crime is a. a felony. b. a misdemeanor. c. a tort. d. a civil wrong

a felony

Enrique accesses Finance Bank's computer system without authority to obtain protected financial records. Under federal law, this is a. a crime but not a felony. b. a felony if the bank brings a civil suit against Enrique. c. not a crime. d. a felony if it was done for a commercial purpose.

a felony if it was done for a commercial purpose

A letter-of-credit agreement between Rural Grain Corporation and Soy Farm Inc. requires Rural's bank to pay Soy on receipt of invoices. This is a. an implied contract. b. a formal contract. c. an informal contract. d. a quasi contract.

a formal contract

Actus Reus

a guilty act, the commission of a prohibited act is one of the two essential elements required for criminal liability.

Cyber Terrorism

a hacker who targets a computer for a serious impact such as impairing a businesses ability to conduct operations.

Edna and Flavia buy a cottage in Gulfport, Mississippi. On the death of either owner, that owner's interest in the dwelling passes to her heirs. This is

a joint tenancy. community property. ANSWER: a tenancy in common. ownership in fee simple.

Beck and Carli are married. Carli purchases a condominium near Downhill Ski Resort. Beck and Carli each technically own an undivided one-half interest in the condo. This is

a joint tenancy. fee simple ownership. ANSWER: community property. illegal.

CASE EXAMPLE 4.1 Seaway Marine Transport operates the Enterprise,

a large cargo ship with twenty-two hatches for storing coal. When the Enterprise moved into position to receive a load of coal on the shores of Lake Erie in Ohio, it struck a land-based coal-loading machine operated by Bessemer & Lake Erie Railroad Company. A federal court found Seaway liable for negligence and awarded $522,000 in special damages to compensate Bessemer for the cost of repairing the damage to the loading machine. Special Damages

Pilar registers a domain name—qualitytires.com—that is confusingly similar to the trademark of Quality Tires Inc. Pilar has a "bad faith intent" to profit from the mark by selling the name to Quality Tires. This is

a legitimate business practice. ANSWER: illegal. a bid to obtain a license. trademark dilution.

privilege to detain

a merchant can use reasonable force to detain or delay a person suspected of shoplifting the merchant's property. Although the details of the privilege vary from state to state, generally laws require that any detention be conducted in a reasonable manner and for only a reasonable length of time. Undue force or unreasonable detention can lead to liability for the business.

Andy causes a disturbance at Brew Pub. He is arrested and charged with disorderly conduct, a crime punishable by imprisonment up to one year. This crime is a. a tort. b. a civil wrong. c. a felony. d. a misdemeanor.

a misdemeanor

Luc, a vehicle dealer, offers to sell Mel a truck and trailer, which Luc claims can haul a certain weight. He knows nothing about the capability of the truck, but it is not as he asserts. Mel buys the truck. On learning the truth, Mel confronts Luc, who says he was not trying to fool Mel—he was only trying to make a sale. This is

a mistake of value. a valid defense to a charge of fraud ANSWER: fraudulent misrepresentation. puffery.

Bey files a suit against Cruises Inc. The defendant wants to respond that it appears from the pleadings the parties do not dispute the facts, that the only question is how the law applies to those facts, and that this response can be supported with witnesses' sworn statements. Cruises should file a. a counterclaim. b. a motion for summary judgment. c. a motion for judgment on the pleadings. d. a motion to dismiss.

a motion for summary judgment

The United States Supreme Court issues an opinion that can be found at __ U.S. __, 138 S.Ct. 617, 199 L.Ed.2d 501. "617" is a. a page number in the referenced volume. b. the number of the volume in the official reports of the Court's decisions. c. the number of the volume in an unofficial report of the Court's decisions. d. the number of the case in its chronological sequence.

a page number in the reference volume

Global Dispatch Corporation and Heavy Hauling Inc. agree in advance to terms that apply to their future e-transactions. This is a. a click-on agreement. b. a partnering agreement. c. a browse-wrap term. d. a shrink-wrap agreement.

a partnering agreement

An award of damages is a. the right to harm another. b. an order to do or to refrain from doing a certain act. c. a payment of money or property. d. the cancellation of a contract.

a payment of money or property

Sportsfield Inc. files a suit against Tailgate Services. Before the trial, during the jury selection process, Sportsfield's attorney asks, without providing any reason, that one of the potential jurors not be sworn in. This is a. a challenge for cause. b. an affirmative defense. c. a peremptory challenge. d. a motion to dismiss.

a peremptory challenge

Ellen conveys to Floyd an apartment with the right to possess and use the premises for a period of time specified in their express contract. This is

a periodic tenancy. ANSWER: a fixed-term tenancy. a tenancy at will. a tenancy at sufferance.

Double Jeopardy

a person cannot be tried twice for the same criminal offense. Once a D. is acquitted (found not guilty) of a crime, he/she cannot be re-indicted and tried again. However: - a civil suit can be brought (O.J.) - states prosecution will not prevent a separate Federal prosecution relating to the same activity (Rodney King- Cops civil rights violations.)

The circumstances under which a person can be criminally reckless involve: a. a person is not aware of the circumstances. b. a person acts in an unconsciously risky manner. c. a person consciously disregards a substantial and unjustifiable risk.

a person consciously disregards a substantial and unjustifiable risk.

Trademark registration:

a person must file an application with the U.S. Patent and Trademark Office in Washington, D.C. A mark can be registered 1) if it is currently in commerce or 2) if the applicant intends to put it into commerce within six months.

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. the deal is done. c. a reasonable period of time is implied. d. the offer must be held open for an indefinite period.

a reasonable period of time is implied

Bix backs out of City Parking Garage, colliding with Dill's car. Dill may recover $7,500 to cover the cost of the repairs if Bix failed to act as a. an objective person. b. a blameless person. c. a faultless person. d. a reasonable person.

a reasonable person

Brick and Candy are in an auto accident. Brick offers Candy $20,000 if she promises not to pursue any legal claim against Brick arising out of the accident. Candy agrees. This agreement is

a release.

Exclusionary Rule

a rule that prevents evidence that is obtained illegally or without a proper search warrant-and any evidence derived from illegally obtained evidence-from being used in trail.

Khe says, "I plan to sell my Apple stock." This is not an offer because a. a statement of future intent to do something in the future is not an offer. b. the statement is not addressed to a specific offeree. c. the offeror has only committed to negotiate the terms in good faith. d. an expression of opinion does not indicate an intent to enter into a deal.

a statement of future intent to do something in the future is not an offer

Attractive Nuisance Doctrine

a tort rule that imposes liability on a landowner to children who have been attracted onto the landowner's property by an attractive nuisance and who are killed or injured on the property

Chris operates the Devil's Brew chain of coffee stands. "Devil's Brew" is​

a trad name

Demi buys a lottery ticket. The ticket has the winning numbers for a prize. She submits the ticket to claim the prize. Demi accepted an offer for a. a quasi contract. b. a unilateral contract. c. an unenforceable contract. d. a bilateral contract.

a unilateral contract

Red offers to pay Sari to deliver certain documents within thirty minutes. Sari can accept the offer only by completing the task within the deadline. If she does, Red and Sari will have a. a bilateral contract. b. a unilateral contract. c. an executive contract. d. a void contract.

a unilateral contract

On Monday, Xi tells Yard Work Inc., that he will pay $500 if a variety of tasks are completed by Friday. On Wednesday, when Yard Work is more than half done with the work, Xi says that he has changed his mind. These parties had a. an expired contract when Xi said that he had changed his mind. b. a unilateral contract as soon as Yard Work began to perform. c. no contract. d. a quasi contract when Xi said that he would pay for certain work

a unilateral contract as soon as Yard Work began to perform

Demi buys a lottery ticket. The ticket has the winning numbers for a prize. She submits the ticket to claim the prize. Demi accepted an offer for

a unilateral contract.

Data Inc. offers to provide certain services to Enterprise LLC, but mistakenly transposes some of the digits in the price so that $15,400 appears in the offer as $14,500. Enterprise accepts the written offer. Enterprise's best argument in favor of enforcement of the contract is

a unilateral mistake does not afford relief from a contract.

Sales Corporation and Real Estate Inc. agree to the payment of a commission for the sale of certain property. If this deal has all of the elements necessary for one of the parties to enforce it in court, it is most likely

a valid contract.

What is a Crime

a wrong against society proclaimed in a statute and if committed punishable by society through fines, removal from public office, imprisonment, and in a few cases death

Mens Rea

a wrongful mental state ("guilty mind"), or intent; one of the two essential elements required to establish criminal liability.

Explain Larceny

a. Pick pocketing is this b. No fear here like in robbery c. Taking company supplies and products home for personal use with authorization d. What is "property"?-Computer programs may be property. e. Computer time may be_______; taking another cell phone and using it.

Criminal RICO Violations

gambling, arson, extortion, security fraud, mail fraud, wire fraud, welfare fraud, embezzlement, etc.

8th Amendment Protections

a.) excessive bails or fines b.) cruel and unusual punishment - Federal Law- you must report a transport of money more than $10,000. Ex. Guy boards a plane w/ $350,000 to pay a legitimate debt. U.S. Supreme Court- a punitive forfeiture violates the excessive fines clause if it is grossly disproportionate to the gravity of a D. offense.

6th Amendment Protections

a.) right to a speedy trial b.) right to a trial by jury c.) right to a public trial d.) right to confront witnesses e.) right to counsel

Privileged communications are of two types:

absolute and qualified.

Which of the following occurrences will NOT terminate an offer?

acceptance

predatory behavior

actions undertaken with the intention of unlawfully driving competitors completely out of the market

Hospital Inc. files a complaint in a federal district court against Inventory Management Company, asserting breach of contract. Under the Federal Rules of Civil Procedure, any allegations in the complaint that are not expressly denied by the defendant will be deemed by the court to be a. impliedly denied. b. voir dire. c. subject to dispute during the trial. d. admitted.

admitted

Fit Corporation makes running shoes. Gaby, a marathoner, files a product liability suit against Fit, alleging a design defect. In deciding whether to hold the company liable, the court may consider an alternative design's

advantages and disadvantages

Caitlyn is a minor. As a minor, Caitlyn

all of the choices.

In the landmark court case MacPherson v. Buick Motor Co., 111 N.E. 1050 (1916) covered in the chapter PowerPoint/lecture,

all of the other responses

Auto Sales & Finance wants to get paid for its goods and services, so it will not sell goods or lend funds unless payment is guaranteed. To obtain those goods or services, a customer or borrower might pledge

allegiance. forbearance. ANSWER: collateral. a composition agreement.

Flo enters into a contract with Global Shipping Ltd. to insure and ship a painting from France to the United States for a certain price. Global makes a mistake in adding the costs, which results in a contract price that is $1,000 less than the true cost. Most likely, a court would

allow the parties to rescind the contract.

EXAMPLE 4.23 Ackerman carelessly leaves a campfire burning. The fire not only burns down the forest but

also sets off an explosion in a nearby chemical plant that spills chemicals into a river, killing all the fish for a hundred miles downstream and ruining the economy of a tourist resort. Should Ackerman be liable to the resort owners? To the tourists whose vacations were ruined? These are questions of proximate cause that a court must decide. Proximate Cause / Foreseeability

If the terms of a contract are ____, a court ___ use ______evidence, or evidence outside the express terms of the contract.

ambiguous, may, extrinsic

The Electronic Communications Privacy Act (ECPA):

amended federal wiretapping law to cover electronic forms of communications. • The ECPA prohibits the intentional interception of any wire, oral, or electronic communication. • It also prohibits the intentional disclosure or use of the information obtained by the interception.

Authorized Means of Communication

an acceptance not authorized by the offeror is not effective until it is received by the offeror.

Patent:

is a grant from the government that gives an inventor the exclusive right to make, use, and sell an invention for a period of twenty years.

Failure to live up to a standard of care may be

an act (setting fire to a building) or an omission (neglecting to put out a campfire). It may be a careless act or a carefully performed but nevertheless dangerous act that results in injury. In determining whether the duty of care has been breached, courts consider several factors: 1. The nature of the act (whether it is outrageous or commonplace). 2. The manner in which the act was performed (cautiously versus heedlessly). 3. The nature of the injury (whether it is serious or slight). Creating even a very slight risk of a dangerous explosion might be unreasonable, whereas creating a distinct possibility of someone's burning his or her fingers on a stove might be reasonable.

Pastries Inc. sends Rollo its catalogue showcasing a variety of baked goods for certain prices. This is a. an ad, not an offer. b. an invitation to negotiate, not an offer. c. a request, not an offer. d. an offer.

an add, not an offer

Pastries Inc. sends Rollo its catalogue showcasing a variety of baked goods for certain prices. This is

an advertisement, not an offer.

Brew Pub's debt to Credit Service is past due. Credit obtains a judgment against Brew, but the firm refuses to pay. Credit asks the court to order the seizure of Brew's property. This is a request for

an artisan's lien. a mechanic's lien. a writ of attachment. ANSWER: a writ of execution.

Under any chapter of the Bankruptcy Code, failing to file the necessary documents with the debtor's petition for relief can result in

an automatic stay. the discharge of the debtor's obligations. ANSWER: the dismissal of the petition. the distribution of the debtor's assets to his or her creditors.

Ordering a party to perform what was promised is a. an equitable remedy. b. beyond the court's authority. c. an action. d. an unenforceable demand.

an equitable remedy

Rough Water LLC and Schafer enter into a contract for the delivery of a certain number of river rafts. Until the rafts are delivered and paid for, the parties have a. a quasi contract. b. an executed contract. c. an executory contract. d. no contract.

an executory contract

Bo signs a lease with Capri Properties to lease a studio apartment for the next year for $850 per month. Daisy signs on Capri's behalf. Bo and Capri have a. an express contract. b. an implied contract. c. a simple contract. d. no contract.

an express contract

Flo tells Ginger during a phone call that she will buy her textbook from last semester for $65. Ginger agrees. These parties have a. no contract. b. a quasi contract. c. an express contract. d. an implied contract.

an express contract

Marketing Inc. offers to create a campaign to increase N'Ice Cream Inc.'s online business. N'Ice agrees to pay for the service. These parties have a. an express contract. b. no contract. c. an implied contract. d. a quasi contract.

an express contract

On behalf of the jazz group Fusion, their manager Gabe agrees to a performance in Hilltop Amphitheatre on July 4. Gabe and Hilltop sign a written copy of the agreement. These parties have a. an express contract. b. no contract. c. a quasi contract. d. an implied contract.

an express contract

Marketing Inc. offers to create a campaign to increase N'Ice Cream Inc.'s online business. N'Ice agrees to pay for the service. These parties have

an express contract.

Vicky asks Walt, a cobbler, to repair a pair of boots. There is no discussion of a price, and Vicky and Walt do not sign any documents. After the repair, Walt hands Vicky a bill. With respect to Vicky's obligation to pay the bill, this is a. an implied contract. b. an express contract. c. a quasi contract. d. no contract.

an implied contract

Vicky asks Walt, a cobbler, to repair a pair of boots. There is no discussion of a price, and Vicky and Walt do not sign any documents. After the repair, Walt hands Vicky a bill. With respect to Vicky's obligation to pay the bill, this is

an implied contract.

Annalee, an employee of Byron & Byron, Certified Public Accountants, is arrested at work. A grand jury issues a formal charge against Annalee for embezzlement. This charge is

an indictment

Touch Screens Inc. makes and markets tablets. When problems develop with Touch products or sales, the company may be liable in product liability for any of the following except

an ineffective marketing plan

Touch Screens Inc. makes and markets tablets. When problems develop with Touch products or sales, the company may be liable in product liability for any of the following except a. an inadequate warning. b. a manufacturing defect. c. a design defect. d. an ineffective marketing plan.

an ineffective marketing plan

Lon says to Misty, "I would like to sell you my sofa." This statement is a. an invitation to negotiate, not an offer. b. an ad, not an offer. c. a request, not an offer. d. an offer.

an invitation to negotiate, not an offer

Maeve posts her motorcycle for sale on an online auction site. This is a. a request, not an offer. b. an offer. c. an invitation to negotiate, not an offer. d. a price list, not an offer.

an invitation to negotiate, not an offer

Lon says to Misty, "I would like to sell you my vinyl records." This statement is

an invitation to negotiate, not an offer.

Luke puts his motorcycle up for sale via a post on an online auction site. This is

an invitation to negotiate, not an offer.

Olen decides to sell his ranch, Pine Valley, in a live auction. When the auctioneer puts the property up for bids, it will be a. an offer. b. a statement of future intent, not an offer. c. a price list, not an offer. d. an invitation to submit offers, not an offer itself.

an invitation to submit offers, not an offer itself.

The U.S. Department of Justice needs to have construction work done on a federal courthouse. The agency asks contractors to submit bids. This is

an invitation to submit offers, not an offer itself.

The U.S. Department of Justice needs to have construction work done on a federal courthouse. The agency asks contractors to submit bids. This is a. an offer. b. a price list, not an offer. c. a catalogue, not an offer. d. an invitation to submit offers, not an offer itself.

an invitation to submit offers, not an offer itself.

Steel Mill Inc. makes an offer to Tag to enter into a contract to work as a mechanical engineer for a certain salary for one year subject to a five-year renewal based on his performance. Tag accepts the offer. This is a valid contract because it includes a. an offer and an acceptance. b. a duration and a termination. c. a price and a subject. d. specific quality standards.

an offer and an acceptance

Steel Mill Inc. makes an offer to Tom to enter into a contract to work as a mechanical engineer for a certain salary for one year subject to a five-year renewal based on his performance. Tom accepts the offer. This is a valid contract because it includes

an offer and an acceptance.

Maeve posts her motorcycle for sale on an online auction site. This is

an offer. ANSWER: an invitation to negotiate, not an offer. a price list, not an offer. a request, not an offer.

Lon says to Misty, "I would like to sell you my sofa." This statement is

an offer. ANSWER: an invitation to negotiate, not an offer. an ad, not an offer. a request, not an offer.

Rena asks Sully, "Do you want to pay me to repair your forklift?" This is

an offer. ANSWER: not an offer, because the terms are not definite. not an offer, because Rena did not express an intent. not an offer, because Sully did not respond.

Pastries Inc. sends Rollo its catalogue showcasing a variety of baked goods for certain prices. This is

an offer. an invitation to negotiate, not an offer. ANSWER: an ad, not an offer. a request, not an offer.

Hometown Bank posts on its website an offer of a reward for information leading to the apprehension of a certain criminal. This offer could normally be terminated by a. payment of the reward. b. a post on the website. c. any of the choices. d. apprehension of the criminal.

any of the choices

Two businesses—Berry Farms LLC and Canned Jams Inc.—dispute the quality of goods delivered by the seller and the price agreed to by the buyer. With regard to this dispute, the two parties can a. resolve it through an alternative method, such as arbitration. b. litigate it. c. any of the choices. d. settle it between themselves.

any of the choices

Jane develops a new color of lipstick. To market her lipstick, Jane uses a computer design program to show a famous model using Jane's lipstick. Jane does not ask the model's permission. The model can sue Jane for

appropriation

Crimes .

are defined as offenses against society as a whole

Cookies

are invisible files that computers, smartphones, and other mobile devices create to track a user's Web browsing activities. • Cookies provide detailed information to marketers about an individual's behavior and preferences, which is then used to personalize online services.

Meta tags

are key words that give Internet browsers specific information about a Web page. • Meta tags can be used to increase the likelihood that a site will be included in search engine results, even if the site has nothing to do with the key words.

Saul claims that his agreement with Teri for saxophone lessons is voidable. If this contract is avoided, both parties a. are proscribed from making another contract on the same subject. b. effectively postpone their obligations to fulfill it. c. are released from it. d. must fully perform their obligations under it.

are released from it

Cyber Torts

are torts that arise from online conduct. One of the most prevalent cyber torts is online defamation. • Recall that defamation is wrongfully hurting a person's reputation by communicating false statements about that person to others.

Many lessor crimes do not require a grand jury, but the individual is nonetheless formally charged via a(n)

arraignment

Defenses to Negligence

asserting that the plaintiffs failed to prove the existence of one or more of the required elements for negligence. Additionally, there are three basic affirmative defenses in negligence cases (defenses that a defendant can use to avoid liability even if the facts are as the plaintiff states): (1) assumption of risk, (2) superseding cause, and (3) contributory and comparative negligence.

Overland Corporation makes trucks. The brakes on Pho's Overland truck malfunction, but he continues to drive it. Unable to slow down, the truck crashes through a guardrail and careens off the road. In Pho's product liability suit against Overland, the defendant can assert the defense of

assumption of risk.

Odette, a certified public accountant, agrees to perform an audit for Personnel Inc. These parties are most likely to follow the rules of contract law in order to a. satisfy a moral obligation. b. obtain confidential information. c. avoid potential disputes. d. acquire business acumen

avoid potential disputes

Which of the following is not a requirement for an implied contract?

b. The defendant had no chance to reject service or property furnished by the plaintiff.

Simone offers Tom a dozen guitar lessons for a certain price per lesson but conditions the deal on Tom accepting the offer by April 1. Simone may revoke the offer a. before April 1, whether or not Tom has accepted it. b. only after Tom accepts it. c. before Tom accepts it. d. only after April 1

before Tom accepts it

Establishing Trespass

before making someone a trespasser there has to be a sign warning, but if the person enters onto another's property to commit an illegal act.(steal) is trespassing without posted signs. For instance, "posted" trespass signs expressly establish as a trespasser a person who ignores these signs and enters onto the property. Any person who enters onto property to commit an illegal act (such as a thief entering a lumberyard at night to steal lumber) is established impliedly as a trespasser, without posted signs. In contrast, a guest in your home is not a trespasser unless she or he has been asked to leave but refuses.

Arrest

before warrant can be issued, there must be probable cause that a person has committed a crime.

For most torts, injured persons can bring actions against

businesses as well as against individuals. In fact, if given a choice, a plaintiff often sues a business rather than an individual because the business is more likely to have "deep pockets" (the ability to pay large damages awards). Moreover, sometimes businesses can be held liable for torts that do not apply to individuals.

Loni files a civil suit against Meme's Bridal Shop, seeking to recover the amount of a refund for an undelivered wedding dress. To succeed, the plaintiff must prove her case a. by a preponderance of the evidence. b. beyond a reasonable doubt. c. to the extent promised in his attorney's opening statement. d. through a scintilla of evidence.

by a preponderance of the evidence

What will a court generally not review to determine whether a contract's terms are definite?

c. The value of the consideration.

Olivia says to Jim, "I think I'll sell my new digital camera for $100 because I'm never going to use it." This statement constitutes:

c. a statement of future intent.

The Latin phrase meaning "as much as he or she deserves" is:

c. quantum meruit.

Gretchen is adjudged by a court to be mentally incompetent. Gretchen

cannot form a legally binding contract with another party.

** GAG order clause:

cant talk about the settlement

Primary sources of law include a. legal treatises. b. legal encyclopedias. c. official comments to statutes. d. case law.

case law

The Racketeer Influenced and Corrupt Organizations Act is an effective tool in attacking a. certain white-collar crimes. b. criminal activities occurring online. c. businesspersons who use bribery to secure foreign contracts. d. defenses that excuse criminal behavior

certain white-collar crimes

The Racketeer Influenced and Corrupt Organizations Act has become an effective tool in attacking

certain white-collar crimes.

The classification of law that concerns the rights and duties that exist between persons and between citizens and their government is a. natural law. b. legal positivism. c. criminal law. d. civil law.

civil law

Quint, an employee of Reservations Inc. pays Siena, an employee of Reservations' competitor Travel Inc., for a list of Travel's clients. This is most likely a. no crime. b. commercial bribery. c. bribery of a public official. d. bribery of a foreign official

commercial bribery

Quint, an employee of Reservations Inc. pays Sienna, an employee of Reservations' competitor Travel Inc., for a list of Travel's clients. This is most likely

commercial bribery.

Larry advertises a reward for the return of his lost dog. Miguel does not learn of the reward, but finds and returns the dog. With respect to Miguel, Larry's ad is not an offer because it lacks the element of a. serious intent. b. communication. c. none of the choices. d. definite terms

communication

Primo tries to start his car with no success. He yells that he will sell the car to anyone for $10. Quanto, a passerby, hears Primo's yell. This is not an effective offer because it lacks

communication. definite terms. ANSWER: serious intent. practicality.

For those who have suffered injuries as a result of the wrongful conduct of others, through tort law, society supports a. interference with the wrongdoer in a way not permitted by law. b. compensation. c. all of the choices. d. fines, imprisonment, and possibly death imposed on the wrongdoer.

compensation

Logistics Trucking Company operates a fleet of fuel trucks. When one of the trucks is positioned to receive a load of biofuel, it strikes a storage tank owned by Metro Biofuel, Inc. For the cost of repairing the damage to the tank, Metro is most likely to be awarded

compensatory damages

Qualified Privilege

conditional, privilege. An employer's statements in written evaluations of employees are an example of a qualified privilege. Generally, if the statements are made in good faith and the publication is limited to those who have a legitimate interest in the communication, the statements fall within the area of qualified privilege.

East Bay Café orders seafood from Fresh Catch Company. Fresh places the goods at East's disposal. Fresh's performance under the contract is

conditional. ANSWER: complete. material. substantial.

Restoration Inc. enters into a contract to refurbish an old bus depot for Quality Diners LLC. If Restoration completes most of the work promised in the contract, its performance will be

conditional. complete. material. ANSWER: substantial.

Pavers Inc. contracts with a QuikStop store to repave the store's parking lot for a certain price. To be enforceable, this contract must include an element of a. acceptability. b. practicality. c. achievability. d. consideration

consideration

The requirements for a valid contract include which four of the following?

contractual capacity consideration agreement legality

Among the requirements for a valid contract, courts generally presume the existence of

contractual capacity.

Outlet Sales Store unknowingly buys goods that were stolen from Quality Products Inc. Most likely, Outlet Sales can be ordered to return the goods or pay their true owner for their value in a suit for a. none of the choices. b. appropriation. c. wrongful interference with a business relationship. d. conversion.

conversion

Global Reach Corporation uses invisible files created on the computers, smartphones, and other mobile devices of visitors to its Web sites to track the users' browsing activities. These files are

cookies

Beryl enters into a contract with Clay for a guided tour of Deep Canyon. Clay represents that he is an experienced, knowledgeable guide, when in reality he has never been in the canyon. Most likely, Beryl

could exert duress to obtain a new guide. ANSWER: can rescind the deal based on fraudulent misrepresentation. might recover damages for the mistake. must comply with the contract because the representation is an opinion.

Irrevocable Offers

courts are unwilling to allow an offer to be revoked when the offeree has changed a legal position based on justifiable reliance.

option contract 148

created when an offeror promises to hold an offer open for a specified period of time in return for a payment (consideration) given by the offeree. An option contract takes away the offeror's power to revoke an offer for the period of time specified in the option. If no time is specified, then a reasonable period of time is implied. A contract under which the offeror cannot revoke the offer for a stipulated time period. During this period, the offeree can accept or reject the offer without fear that the offer will be made to another person. The offeree must give consideration for the option (the irrevocable offer) to be enforceable.

Fealony

crime that carries the most severe sanctions which range from one year in a state or federal prison to the death penalty. Ex-arson, murder, rape, robbery

Criminal Sanctions

criminal sanctions are designed to punish those who commit crimes and to deter others from committing similar acts in the future. • Criminal sanctions include fines as well as the much harsher penalty of the loss of liberty by incarceration in a jail or prison. The harshest criminal sanction is, of course, the death penalty.

Kohl receives from Lily a camera stolen from Mark. Kohl knows that the camera is stolen, and he intends to keep it. Kohl is a. civilly liable. b. criminally liable. c. tortiously liable. d. contractually liable

criminally liable

Honi puts up a collection of sports memorabilia for bids on InstaBuy, an auction website. Jay makes the highest bid and sends the payment, which Honi receives, but she does not send the collection. This is a. cyber fraud. b. no crime. c. identity theft. d. phishing

cyber fraud

Tech Outsourcing, Inc., registers a domain name that is the same as, or confusingly similar to, the trademark of Tech Resourcing Corporation and then offers to sell the domain name back to Tech Resourcing. This is

cybersquatting

False Advertisement

deceptive ads, prevented by the federal trade commission or FDA ex. there are strict regulations about what can be said about drugs

Slander

defamation in oral form

1. Duty

defendant owes a duty of care to plaintiff *Duty of care*: the duty of all persons, as established by tort law, to exercise a reasonable amount of care in their dealings with others *Reasonable person standard*: - The defendant is held to the same standard as a *reasonably objective (hypothetical) person in the defendant's same situation would have acted*. - Ex: Ricard, an engineer, supervises the construction of a new mountainside roadway. The road collapses in a landslide due to faulty grading. Motorists injured in the collapse sue Ricard in a tort action for negligence. Under that theory, as a professional, Ricard is held to the same standard of care as: *other engineers* *Duty of Landowners*: Ex: DIY, a retail hardware store, must use reasonable care on its premises to warn its invitees of: *hidden dangers*

A trial court's capacity to directly observe witnesses' gestures, demeanor, and other nonverbal behavior supports the decision of an appellate court to a. defer to the trial court's findings on questions of fact. b. apply the trial court's interpretation of the law in the case. c. focus on what really happened in regard to the dispute. d. conduct a new trial and re-examine the witnesses.

defer to the trial court's finding on questions of fact

Negligence

defined at the failure to exercise the degree of care that a reasonable, prudent person would have exercised under the circumstances. • If a manufacturer fails to exercise "due care" to make a product safe, a person who is injured by the product may sue the manufacturer for negligence.

Dean solicits investors for a nonexistent business, eApps. Dean is arrested and charged with "mail fraud." This requires intent to a. defraud postal authorities. b. claim that an item is "in the mail" when it is not. c. defraud the public. d. use the U.S. mail

defraud the public

Trucking LLC enters into a contract to deliver a certain quantity of potatoes to United Foods's refrigerated warehouse in exchange for a specified payment. Trucking delivers the spuds to the location. United's duty to pay is

discharged. conditioned. ANSWER: absolute. qualified.

Insurance Company violates a state licensing statute when selling a policy to Jay, in whose state it is not licensed to sell insurance. As a member of the class of persons protected by the statute, Jay can

enforce the policy and recover from the insurer.

Defamation

do something to hurt someone's reputation 2 types: - Libel - Slander Ex: Hilo tells the Internal Revenue Service that Jon "cheated on his taxes." This can lead to Hilo's liability for defamation if the statement is: *false* Ex: Dylan applies for a position with Electrical Works LLC. Dylan's previous employer, Federal Circuits Inc., gives Electrical Works a review of Dylan that includes negative statements Federal Circuits knows are untrue. This is: *defamation*

You receive a letter telling you that you will start receiving a box of fresh fruit each month and that if you don't want them, you have to reply within seven days. You ignore the offer. Your silence

does not constitute an acceptance of the offer

Ewa is induced by her guardian Filo to sign a contract to invest funds in Gold Inc. through Filo's investment firm. Unknown to Ewa, Filo realizes a commission from the investment. Most likely, Ewa can rescind the contract on the basis of

duress. fraud. mistake. ANSWER: undue influence.

Which of the following statements could be a valid offer?

e. An auction without reserve

Anton tells Brooke, who has no knowledge of Shakespearean comedy, that he will tutor her in the subject for $50. As an offer, this is a. not effective because comedy is not a serious subject. b. effective. c. not effective because Anton's tutoring will be subjective. d. not effective because Brooke has no knowledge of the subject.

effective

Shipping Corporation enters into contracts with distributors and other buyers in e-commerce and in traditional commerce. Between Shipping and its customers, the UETA applies if the parties agree to conduct transactions by a. verbal communication. b. electronic means. c. any of the choices. d. paper documents

electronic means

Khan, the owner of Lakeside Park, trusts Moira to manage the resort's daily cash flow. One night, without Khan's knowledge or consent, Moira takes and keeps $1,000 from the receipts. This is most likely

embezzlement

Khan, the owner of Lakeside Park, trusts Moira to manage the resort's daily cash flow. One night, without Khan's knowledge or consent, Moira takes and keeps $1,000 from the receipts. This is most likely a. embezzlement. b. larceny. c. no crime. d. robbery

embezzlement

Olinda, an employee of People's Bank, deposits into her account checks entrusted to the bank through its ATM system by customers to deposit into their accounts. This is a. embezzlement. b. larceny. c. robbery. d. wire fraud.

embezzlement

Libel Terrorism Reform Act (2008)

enables New York courts to assert jurisdiction over anyone who obtains a foreign libel judgment against a writer or publisher living in New York State. It also prevents courts from enforcing foreign libel judgments unless the foreign country provides free speech protection equal to or greater than that available in New York.

moral pressure constitutes false imprisonment

false

While sailboarding, Jolie is injured when Kirby carelessly crosses her path. Kirby's insurance company offers Jolie $50,000 to release Kirby from liability, and she accepts. Later, she learns that her injuries are more serious than she realized. The release is

enforceable.

Ocean Inc., a seafood distributor, agrees to buy from Pai, a commercial fisher, any "overstock" of fish that he catches in excess of the legal limit. This agreement is most likely

enforceable. valid. ANSWER: void. voidable.

In Roadwork Company's suit against Street Fronts Inc., the jury returns a verdict in the plaintiff's favor. Roadwork will now most likely ask the court to a. enter a judgment n.o.v. b. enter a judgment in accordance with the verdict. c. order a new trial. d. enter a judgment as a matter of law.

enter a judgment in accordance with the verdict

Statute of Limitations

establishes the time limit (often two years from the date of discovering the harm) within which a particular type of lawsuit can be filed. After that time period has run, the plaintiff can no longer file a claim.

Ichiro is injured in a two-car accident and sues Heather, the driver of the other vehicle, alleging negligence. Heather claims that Ichiro was driving more carelessly than she was. Comparative negligence may reduce Ichiro's recovery

even if Ichiro was only slightly at fault

Shippers Warehouse initiates a suit against Trucking Company by filing a complaint. Trucking Company files a motion to dismiss, which asserts that a. even if the facts in the complaint are true, the defendant is not liable. b. the facts in the complaint are not true. c. if the facts are true, the plaintiff has a right to judicial relief. d. even if the defendant is liable, the plaintiff cannot prove it.

even if the facts in the complaint are true. the defendant is not liable

Under the U.S. Constitution, Congress has the power to regulate a. only intrastate commercial enterprises. b. only local commercial enterprises. c. every commercial enterprise in the United States. d. only non-commercial activities.

every commercial enterprise in the United States

Glen offers to sell Helen his iPad for $200. Under the mirror image rule, Helen's response will be considered an acceptance if the terms of the acceptance a. exactly mirror those of the offer. b. change both the price and the items offered. c. change the items offered, but do not change the price. d. change the price, but do not change the items offered

exactly mirror those of the offer

Glen offers to sell Helen his iPad for $200. Under the mirror image rule, Helen's response will be considered an acceptance if the terms of the acceptance

exactly mirror those of the offer.

Kari and Lillian, Who are citizens of Mississippi are involved in a case related to the adoption of their child over this case Mississippi state courts have

exclusive jurisdiction

Kari and Lillian, who are citizens of Mississippi, are involved in a case related to the adoption of their child. Over this case, Mississippi state courts have a. no jurisdiction. b. exclusive jurisdiction. c. concurrent jurisdiction with other state courts. d. concurrent jurisdiction with federal courts.

exclusive jurisdiction

Megan contracts to sell Nonny her horse for $4,000. This contract will be fully discharged when Megan and Nonny

execute a bill of sale. ANSWER: exchange the horse for the money. sign a receipt. agree that the deal is fair.

In general, public figures are considered

fair game, and false and defamatory statements about them that appear in the media will not constitute defamation unless the statements are made with actual malice.11 To be made with actual malice, a statement must be made with either knowledge of its falsity or a reckless disregard of the truth. Statements about public figures, especially when made via a public medium, are usually related to matters of general interest. They are made about people who substantially affect all of us. Furthermore, public figures generally have some access to a public medium for answering disparaging (belittling) falsehoods about themselves, whereas private individuals do not. For these reasons, public figures have a greater burden of proof in defamation cases (they must prove actual malice) than do private individuals.

DEFINITION: due process

fair treatment through the normal judicial system, especially as a citizen's entitlement.

A certification mark distinguishes products approved, or "certified," by the government.​

false

A claim of trademark dilution requires proof that consumers are likely to be confused by a connection between the unauthorized use and the mark.

false

A famous trademark may be diluted only by the unauthorized use of an identical mark.​

false

A misdemeanor is a crime punishable only by a fine

false

A patent applicant must demonstrate that an invention is "commercially practicable" to receive a patent.​

false

A plaintiff who voluntarily enters into a risky situation, knowing the risk involved, will be allowed to recover for any consequent injury.

false

A torfeasor is one wrongfully alleges that a tort has been committed.

false

An effective offer requires that a reasonable price be related to market value.

false

Conversion is limited to theft.

false

Disparagement of property is a general term for the specific tort of appropriation.

false

Employers cannot monitor employees' electronic communications made in the ordinary course of business.

false

For fraud to occur, seller's talk be involved

false

Fraud occurs only when there is justifiable reliance on a true statement

false

Fraudulent appropriation of another's property with which a person has been entrusted is the crime of receiving stolen goods.

false

If the offeree can accept the offer with a return promise to perform, then the contract is unilateral.

false

In a criminal case, the defendant must convince the court that based on the evidence it is more likely than not that the defendant is not guilty.

false

Larceny involves force or fear, but robbery does not.

false

Normally, fraud occurs only when there is justifiable reliance on a true statement.

false

One of the purposes of criminal law is to compensate the victims.

false

Only persons who are explicitly invited onto a business's premises are considered business invitees

false

Specifically targeting the customers of a competitor is always a legitimate business practice.

false

States do not have trademark statutes.​

false

The basic requirements for an electronic contract are different than those for a paper contract.

false

Thinking about killing someone constitutes the crime of attempted murder.

false

To avoid liability for negligence, a business owner must protect its customers against all risks.

false

Under the doctrine of comparative negligence, only the plaintiff's negligence is taken into consideration.

false

Under the doctrine of strict liability, if there is no fault, there is no liability.

false

Under the doctrine of strict liability, liability is imposed only if a person fails to use all reasonable care.

false

Under the theory of negligence, the duty of care requires an intentional act.

false

Using another's trademark in a meta tag does not normally constitute trademark infringement, even if it is done without the owner's permission.

false

Very few states limit the amount of damages that can be awarded in tort cases.

false

Money Laundering

falsely reporting income that has been attained through criminal activity as income obtained through a legitimate business enterprise. Illegal profits from drugs, racketeering, prostitution, gambling, etc. Banks are required to report any money transaction of over ten thousand dollars (unless a series of transactions)

EXAMPLE 4.13 An advertising agency asks a singer with a distinctive voice and stage presence to do a marketing campaign

for a new automobile. The singer rejects the offer. If the agency then uses someone who imitates the singer's voice and dance moves in the ad, this would be actionable as an appropriation of identity. Appropriation of Identity

Bruno buys and sells stocks and bonds. Bruno may be subject to penalties under the Racketeer Influenced and Corrupt Organizations Act a. for the commission of securities fraud. b. only if the situation involves a "racket." c. for making an unprofitable, but legal, investment. d. only in the circumstances constitute organized crime.

for the commission of securities fraud

Bruno buys and sells stocks and bonds. Bruno may be subject to penalties under the Racketeer Influenced and Corrupt Organizations Act

for the commission of securities fraud.

On her local radio station, Jessica Aign advertises a "magic" cream that corrects baldness, even though she knows that the cream is just hand lotion. She may be tried: a. under state law only. b. for the crime of embezzlement. c. for the federal crime of wire fraud.

for the federal crime of wire fraud

Chic signs Del's name, without authorization, to the back of Del's paycheck, which was issued by Earth Foods Market. This is

forgery

Chic signs Del's name, without authorization, to the back of Del's paycheck, which was issued by Earth Foods Market. This is a. no crime. b. larceny. c. robbery. d. forgery.

forgery

Luz is an employee of Motor Parts, an auto parts store. On the orders of his employer, he switches trademarks on parts that come into the store to be sold to consumers. This is most likely a. forgery. b. robbery. c. no crime. d. larceny

forgery

Lon is an employee of Motor Parts, an auto parts store. On the orders of his employer, he switches trademarks on parts that come into the store to be sold to consumers. This is most likely

forgery.

Even when the requirements of a valid contract are satisfied, a contract may be unenforceable because of two major defenses. First, there may be problems with the ______ of the contract. Second, there may be something to indicate a lack of ___

form; voluntary consent

libel tourism

forum shopping on an international scale. Rather than filing a defamation lawsuit in the United States, where the freedoms of speech and press are strongly protected, a plaintiff files it in a foreign jurisdiction where there is a greater chance of winning.

Brady knows that the brakes on his car do not work, but he tells Celia, a potential buyer, that there are no problems with the car. On this assurance, Celia buys the car. On learning the truth, she may sue Brady for

fraudulent misrepresentation

Dennis sells a motorcycle to Elton without disclosing that the odometer, which reads 10,000 miles, was disconnected 100,000 miles ago. Dennis is most likely liable for

fraudulent misrepresentation.

Hua applies to Inventory Corporation for a position as a coder. Hua has no training in coding. After Hua is hired, Inventory learns the truth. The employer can rescind the contract on the basis of

fraudulent misrepresentation.

Eugene, an accountant, convinces his client Faye to enter into a contract to invest her savings in Gather, a non-existent social media site. There is clear and convincing evidence that Faye did not act out of her free will. This is

fraudulent misrepresentation. ANSWER: undue influence. mistake. duress.

Damages for Libel

general damages (defined earlier) are presumed as a matter of law. General damages are designed to compensate the plaintiff for nonspecific harms such as disgrace or dishonor in the eyes of the community, humiliation, injured reputation, and emotional distress—harms that are difficult to measure. In other words, to recover general damages in a libel case, the plaintiff need not prove that she or he was actually harmed in any specific way as a result of the libelous statement.

State trial courts that are called county, district, superior, or circuit courts are most likely to have a. general jurisdiction. b. no jurisdiction. c. limited jurisdiction. d. appellate jurisdiction.

general jurisdiction

Commercial Bribery

generally people make commercial bribes to obtain information of another business. (Inside info); cover up an inferior product or secure new businesses. Kickbacks or payments to employee of a competing firm for insider info is an example.

Seymour is accused of a crime. To obtain information about the crime from Seymour, the state can a. none of the choices. b. grant Seymour immunity from prosecution. c. bribe Seymour in a way that serves the public interest. d. force Seymour to provide information that can be used to prosecute him.

grant Seymour immunity from prosecution

Seymour is accused of a crime. To obtain information about the crime from Seymour, the state can

grant Seymour immunity from prosecution.

Cyber Stalking

harassing a person and putting that person in reasonable fear for his or her safety or close family safety.

DIY, a retail hardware store, must use reasonable care on its premises to warn its invitees of a. all possible dangers. b. hidden dangers. c. no dangers. d. dangers about which the business does not, or should not, know.

hidden dangers

John Jones decides to use his personal name for a line of clothing he is developing. Whether or not the name "John Jones" acquires a secondary meaning will depend on​

how extensively John markets his line of clothing, the market for John's line of clothing, the number of clothing sales John makes

Orin, an employee of Plumbing LLC, makes a substantial mathematical mistake in totaling the estimated costs for a project for which Quality Built Inc. is seeking bids. Consequently, Plumbing's bid is significantly low. Any contract with Quality Built that includes the mistake may be rescinded

if Quality Built knew or should have known of the mistake

Commonly known dangers

if a danger is so commonly known as a danger than the manufacturers need not warn users of those dangers

knowledgeable user

if a danger should be commonly known by the products user, than the manufacturer need not be liable

Defenses to product Liability

if product is *misused or modified*, the product and company do are not liable for those damages caused - *assumption of risk* - *comparative negligence (product misuse)* Ex: Do-It-Rite Inc. makes and markets tools. Evan uses a Do-It-Rite power screwdriver to scrape grout—a purpose for which it was not intended—and is injured when the tool slips. Evan files a product liability suit against the maker. The defendant's best defense is most likely: *product misuse* Ex: a woman's hair gets caught in machine when he goes under it

BeFriends Corporation uses the trademark of Community Life Inc., a social media site, as a meta tag without Community Life's permission. This may be permissible

if the appropriating site has nothing to do with the meta tag. if the two sites appear in the same search engine results. if the use constitutes trademark infringement. ANSWER: in none of these circumstances.

Lloyd is accused of a crime. Evidence of his allegedly criminal activities can be excluded from a trial

if the evidence is "fruit of the poisonous tree."

Lloyd is accused of a crime. Evidence of his allegedly criminal activities can be excluded from a trial a. if the evidence will be used to prosecute him. b. if the evidence is "fruit of the poisonous tree." c. under no circumstances. d. if the police do not promise to keep the evidence confidential

if the evidence is "fruit of the poisonous tree."

Alyssa hires Bret to mow Alyssa's lawn every Friday. Although they do not discuss the terms of payment, after each of the first three Friday mows, Alyssa pays Bret on Saturday. The payment term is a. express. b. quasi. c. implied. d. non-existent.

implied

Online contracts must be displayed:

in a readable format

Because a mortgage involves the transfer of real property, to comply with the Statute of Frauds, it must be

in good faith. recorded. ANSWER: written. witnessed by a disinterested third party.

Design Defect

in product liability litigation, a claim that a consumer suffered an injury because a safer product design was not used

License:

in this context is an agreement permitting the use of a trademark, copyright, patent, or trade secret for certain limited purposes. • The party that owns the intellectual property rights and issues the license is the licensor, and the party obtaining the license is the licensee.

When a grand jury decides that someone should be charged for an alleged crime, such a charge is called a/an

indictment

DEFINITION: Punitive

inflicting or intended as punishment.

record

information that is inscribed on a tangible medium or stored in electronic or other medium that is retrievable in visual form.

Don interferes with the business interests of Erin in a way not permitted by law, and Erin's business is harmed as a result. To be liable to Erin for the commission of an intentional tort, Don must have a. acted with a harmful motive. b. intended to harm Erin's business. c. intended to commit the act. d. acted with an evil motive.

intended to commit the act

Intentional Tort

intended to commit the act *tortfeasor must intend to commit an act* which interferes with another's interests Ex: Don interferes with the business interests of Erin in a way not permitted by law, and Erin's business is harmed as a result. To be liable to Erin for the commission of an *intentional tort*, Don must have: *intended to commit the act*

Mel agrees to work as a freight broker for National Shipping Inc. In determining whether a contract has been formed, an element of prime importance is the parties' a. motives. b. subjective beliefs. c. objectives. d. intent.

intent

Mel agrees to work as a freight broker for National Shipping Inc. In determining whether a contract has been formed, an element of prime importance is the parties'

intent.

The element of ____ is of key importance in determining whether a contract has been formed. It is determined by the _____ theory of contracts.

intent; objective

Under the doctrine of comparative negligence, only the defendant's negligence is taken into consideration.

intentional infliction of emotional distress

Fraudulent misrepresentation example

intentionally mislabeling of packaged cosmetics or the intentional concealment of a product's defects

Darcy enters into a contract with Event Center Inc. to use its venue for a business meeting. If an ambiguity appears in the contract that outside evidence does not make clear, it will most likely be a. construed according to the court's discretion. b. struck from the deal. c. applied in favor of the party who drafted the contract. d. interpreted against the party responsible for creating it.

interpreted against the party responsible for creating it

Darcy enters into a contract with Event Center Inc. to use its venue for a business meeting. If an ambiguity appears in the contract that outside evidence does not make clear, it will most likely be

interpreted against the party responsible for creating it.

Expo Center Inc. and Festival Music LLC have an executory contract. They agree to rescind it and simultaneously enter into a new contract. If the previous contract was subject to a preexisting duty, the new contract will most likely be

invalid.

From a computer in a distant location, Viktor searches Wilma's personal computer without her permission. Viktor is most likely liable for

invasion of privacy

White-collar crime

involves an illegal act or series of acts committed by an individual or business entity using some nonviolent means to obtain a personal or business advantage

Manufacturing defects

is a departure from design specifications that results in products that are physically flawed, damaged, or incorrectly assembled. • A glass bottle that is made too thin, causing it to explode in a consumer's face, is an example of a product with a manufacturing defect.

Intellectual property

is any property resulting from intellectual, creative processes • —the products of an individual's mind, as suggested in the chapter-opening quotation. • Ex. The apps for your iPhone, iPad, or Samsung Galaxy, the movies you see, and the music you listen to are all forms of intellectual property.

Service Mark

is essentially a trademark that is used to distinguish the services (rather than the products) of one person or company from those of another. • For instance, each airline has a particular mark or symbol associated with its name. • Titles and character names used in radio and television are frequently registered as service marks.

In 2016, Data Marketing, Inc., registers its trademark as provided by federal law. After the first renewal, this registration​

is renewable every ten years

When a person selects the right lottery ticket numbers, the lottery commission______legally required to pay the money. This is an example of____ contract.

is; unilateral

Mail and Wire Fraud

it is a federal crime to use the mail system to defraud the public. Criminal elements are: a. Mailing or causing someone else to mail a writing (anything written, printed, or photo copied) for the purpose of executing a scheme to defraud b. A contemplated or an organized scheme to defraud by false pretense c. Can also defraud by any means of mass communication i.e. Radio, tv

Bribery of Foreign officials

it is illegal for American business persons to use bribery in the securing of foreign contracts. This goes on all the time, has to in international business world. (You can bribe low but you can not bribe high).

Riley commits an act via e-mail against State Bank, a business in Texas, where the act is a cyber crime. Riley resides in Utah where the act is not a crime. Prosecution of Riley in Texas involves questions of a. the immunity of Internet service providers. b. "maximum contacts." c. jurisdiction. d. encryption

jurisdiction

DEFINITION: Voir Dire

jury selection; where you ask the jury questions

Stan, an air conditioning and heating technician, files suit against Temp-Set Corporation, alleging that its thermostats are unreasonably dangerous due to the possibility of electrical shock while being installed. Temp-Set's best defense is most likely

knowledgeable user.

Kim takes off her ring and places it on her desk while she works. Without her knowledge or consent, her coworker Lum picks up the ring, puts it on, and walks away. Lum has likely committed

larcency

Bud works at a Cheap Stuff Store from which, without authorization, he takes merchandise that he has not paid for home for his own use. This is a. no crime. b. embezzlement. c. robbery. d. larceny.

larceny

Esau works for Family Dwellings Inc., an investment firm that buys, renovates, and rents foreclosed houses. Esau steals his employer's digital files to start his own competing business, Good Homes LLC. This is a. no crime. b. wire fraud. c. robbery. d. larceny

larceny

Kim takes off her ring and places it on her desk while she works. Without her knowledge or consent, her coworker Lum picks up the ring, puts it on, and walks away. Lum has likely committed a. no crime. b. robbery. c. larceny. d. embezzlement

larceny

Bud works at a Cheap Stuff Store from which, without authorization, he takes merchandise that he has not paid for home for his own use. This is

larceny.

Field Construction Inc. contracts with Mesa Ranch to build a new barn on Mesa's property for which Mesa agrees to pay. If this is a valid contract, it will be partly because it includes the element of a. necessity. b. capability. c. marketability. d. legality.

legality

Misdemeanor

lesser crimes than felonies punishable by a fine or incarceration in jail for up to one year. Ex-disorderly conduct, DUI, trespass

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

liable to Niki under the doctrine of promissory estoppel.

statutes of limitations of repose

limited time a party must bring this forward (usually 2-4 years)

Raul uses social media to post links that, when clicked, secretly install software on others' computers without the owners' knowledge Raul's software is designed to harm or disrupt the computers. This program is a. entrapment. b. malware. c. a phish. d. larceny

malware

For a contact to be considered valid and enforceable, the parties to a deal must a. subjectively intend to agree to the terms. b. know with certainty what kinds of promises will be enforced. c. manifest their voluntary consent to the same bargain. d. necessarily have it in writing.

manifest their voluntary consent to the same bargain

three types of traditionally recognized in product liability law

manufacturing defects, design defects, and inadequate warnings

Bistro Caterers contracts with Corporate Towers to cater the firm's business meetings. Later, the contract between Bistro and Corporate is completely rescinded. Even later, Bistro offers to make a new deal. Corporate is willing to deal, but for a new price. Bistro and Corporate

may agree to a new contract that includes the new price.

Volatile Investments Inc. sends e-mail ads to any e-mail address that the sender can find on the Web or otherwise generate. Under federal law, Volatile's marketing method

may be permitted. ANSWER: is prohibited. must be reviewed by a federal agency. is preempted.

Under the modern view of revocation, an offeror _____revoke an offer for a unilateral contract if the offeree has ___ .

may not; substantially performed

In Latin, a wrongful mental state is known as: a. mens rea. b. deus ex machina. c. actus reus.

mens rea.

Andy causes a disturbance at Brew Pub. He is arrested and charged with disorderly conduct, a crime punishable by imprisonment up to one year. This crime is

misdemeanor.

Negligent Misrepresentation

misrepresentation made without due care in ascertaining its truthfulness; renders agreement voidable The key difference between intentional and negligent misrepresentation is whether the person making the misrepresentation had actual knowledge of its falsity. Negligent misrepresentation requires only that the person making the statement or omission did not have a reasonable basis for believing its truthfulness. Liability for negligent misrepresentation usually arises when the defendant who made the misrepresentation owed a duty of care to the plaintiff to supply correct information. Statements or omissions made by attorneys and accountants to their clients, for instance, can lead to liability for negligent misrepresentation

EXAMPLE 4.3 Alex swings a bat intending to hit Blake but

misses and hits Carson instead. Carson can sue Alex for the tort of battery (discussed shortly) because Alex's intent to harm Blake can be transferred to Carson. Transferred Intent

Ciera is injured when a roofing tile breaks free, falls from the roof of a building, and strikes her. If Ciera brings a successful tort action against the building's owner, she may be awarded special damages to compensate her for

monetary losses, such as medical expenses

Ciera is injured when a roofing tile breaks free, falls from the roof of a building, and strikes her. If Ciera brings a successful tort action against the building's owner, she may be awarded special damages to compensate her for a. nonmonetary aspects of the harm suffered, such as pain and suffering. b. egregious or reprehensible conduct by the defendant. c. all of the choices. d. monetary losses, such as medical expenses

monetary losses. such as medical expenses

CASE EXAMPLE 4.10 In Touch magazine published a story about a former call girl who claimed to have slept with legendary soccer player David Beckham

more than once. Beckham sued In Touch magazine for libel, seeking $25 million in damages. He said that he had never met the woman, had not cheated on his wife with her, and had not paid her for sex. After months of litigation, a federal district court dismissed the case because Beckham could not show that the magazine had acted with actual malice. Whether or not the statements in the article were accurate, there was no evidence that the defendants had made the statements with knowledge of their falsity or reckless disregard for the truth. Actual Malice

The dollar amount of damages awarded in tort actions is typically

much higher than the awards in contract claims.

normally classified as violent crimes.

murder, rape, robbery, battery

Sales Corporation and Real Estate Inc. negotiate an agreement under which only one of the parties can elect to avoid any duty to perform or to ratify the deal. With respect to this arrangement as a contract, if ratified, both parties a. must renegotiate new or modified terms. b. can seek its enforcement on the ground of unjust enrichment. c. are released. d. must perform their respective legal obligations.

must perform their respective legal obligations

Van, a minor, wants to return a set of skis that he bought from Winter Sports. He used—and wrecked—the skis. In a state in which a duty of restitution is imposed, Van most likely

must return the skis and pay for the damage.

Babies, Inc. manufactures and sells a toy to Carol. Babies, Inc. fails to exercise "due care" when manufacturing the toy, and Carol's child Danielle is injured as a result. Babies, Inc. is most likely liable for

negligence

Unintentional Tort

negligence and malpractice

Liz and Moss disagree over the amount due under their contract. To avoid involving a third party in the resolution of their dispute, Liz and Moss could resolve their dispute through a. negotiation. b. arbitration. c. litigation. d. mediation.

negotiation

Marketing Inc. offers to create a campaign to increase N'Ice Cream Inc.'s online business. N'Ice agrees to pay for the service. These parties have

no contract. ANSWER: an express contract. an implied contract. a formal contract.

An ad for the New Plays Festival asks playwrights to submit their work and "we might produce it for the world." Oded submits a play with a note that states, "I accept." Between the Festival and Oded, there is a. a contract to negotiate with Oded to produce the play. b. a contract to produce Oded's play. c. a contract to consider producing Oded's play. d. none of the choices

none of the choices

Peoples Rights Organization (PRO), a political lobbying group, wants a certain policy enacted into law. If PRO's policy conflicts with the U.S. Constitution, a law embodying it can be imposed by a. Congress. b. none of the choices. c. the President. d. any state

none of the choices

Margo is harmed when Nell defames her. If Margo brings a successful tort action against Nell, she may be awarded general damages to compensate him for

nonmonetary aspects of the harm suffered, such as loss of reputation

White Collar Crimes

nonviolent crime committed by individuals or corporations to obtain a personal or business advantage

White Collar Crime

nonviolent crimes committed by individuals or corporations to obtain a personal or business advantage. -embezzlement, money/ property taken by individuals who are entrusted with funds or property -Mail and Wire fraud -bribery: offering something of value to somebody in order to influence that person. Occurs when bribe is offered, accepting bribe is another crime in its own. Bankruptcy fraud, theft of trade secrets and insider trading.

Bo admires Cid's collection of coins. Bo asks, "Will you sell it?" This statement is a. not an offer, because it is an expression of intent. b. not an offer, because it is a request. c. an offer. d. not an offer, because it is an invitation to negotiate.

not an offer, because it is a request

Rena asks Sully, "Do you want to pay me to repair your forklift?" This is a. an offer. b. not an offer, because Sully did not respond. c. not an offer, because Rena did not express an intent. d. not an offer, because the terms are not definite.

not an offer, because the terms are not definite

Ralph enters into a contract with Skye to buy her land based on her assertion that the land is open to development. After the sale, Ralph learns that only a small section of the land can be built on. A local law prohibits construction on the rest of the property. Ralph can

not avoid the contract because persons are assumed to know the law

Ian goes to Jona for a portrait. Jona says that the work will be "perfect." When the portrait is finished, however, Ian thinks that it is "poor." With respect to breach of contract, Jona is

not liable, because "perfect" is an opinion.

Sam offers Tiffany $1,000 for her collection of rare coins. She accepts. If a dispute arises, a court would likely

not question the adequacy of the consideration.

Molly's motorcycle is damaged in an accident caused by Luc's negligence. Luc agrees to pay Molly $25,000 if she agrees to release him from further liability. Molly agrees. If Molly's damages ultimately exceed $25,000, she can

not recover the balance.

Carlos and David contract for the sale of five hundred head of Carlos's cattle for $195 per head. Unknown to either party, an unforeseen storm has struck the herd and many of the cattle have died. David is

not required to pay due to the bilateral mistake.

Ivy slips and falls on the deck of Jet's Tour Boat and is injured. She incurs medical expenses of $500,000, and files a suit against Jet to recover. Under the "50 percent" rule, if Ivy is more than 50 percent at fault, she will recover a. the amount of the expenses attributable to Jet's fault. b. nothing. c. half of the expenses. d. the entire amount of the expenses.

nothing

In a civil case, the object is to a. punish a wrongdoer to deter others from similar actions. b. resolve a dispute to the satisfaction of all concerned parties. c. obtain a remedy to compensate the injured party. d. take coercive action against a violating party.

obtain a remedy to compensate the injured party

Bounce Company makes trampolines and other gym equipment. Chet files a product liability suit against Bounce, alleging a warning defect in one of its products. In deciding whether to hold Bounce liable, the court may consider that a manufacturer has no duty to warn about risks that are a. obvious. b. foreseeable. c. contrary to the instructions for the use of the product. d. avoidable by an alternative design.

obvious

Product misuse

occurs when a product is used for a purpose for which it was not intended

Criminal negligence

occurs when the defendant takes an unjustified, substantial, and foreseeable risk that results in harm.

click-on agreement 153

of clicking on a box indicating "I accept" or "I agree" to accept an online offer. Generally, the law does not require that the parties have read all of the terms in a contract for it to be effective. Therefore, clicking on a box that states "I agree" to certain terms can be enough. An agreement that arises when a buyer, engaging in a transaction on a computer, indicates assent to be bound by the terms of an offer by clicking on a button that says, for example, "I agree"; sometimes referred to as a click-on license or a click-wrap agreement. *****Courts have concluded a binding contract can be formed by clicking on a box indicating "I Accept" or "I Agree." Contract can be formed via website or software. Law does not require parties read all the terms.

In an auction, the auctioneer acts as the

offeree

Option Contract

offeror promises to hold an offer open in return for consideration.

The Fifth Amendment

offers significant protections for accused persons. One is the guarantee that no one can be deprived of "life, liberty, or property without due process of law." • Two other important Fifth Amendment provisions protect persons against double jeopardy and self-incrimination.

Jana, a nurse practitioner, renders aid to Kurtz, who is injured and unconscious. Jana can recover the cost of the aid from Kurtz a. on a quasi contract theory. b. under no circumstances. c. only if Kurtz recovers because of the aid. d. only if Kurtz was aware of the aid

on a quad contract theory

Chem-Co, Inc. and Plastiques, Inc. are the only local companies that make and distribute a particular chemical. Chem-Co manufactures 70% and Plastiques manufactures 30% of the particular chemical. That chemical is found in the water supply in the city where both factories are located. If that jurisdiction recognizes the theory of market-share liability, liability may be imposed

on both ChemCo and Plastiques in an an amount equal to the percentage of each company's market share

Tortfeasor

one who commits a tort

forum-selection clause 153

online contract indicating the forum, or location (such as a court or jurisdiction), for the resolution of any dispute arising under the contract. A provision in a contract designating the court, jurisdiction, or tribunal that will decide any disputes arising under the contract.

Gaia tells Franco that she will pay him $50 to haul lawn debris from her property. Franco's acceptance is complete a. only after he hauls away the debris. b. when he hears the offer. c. as soon as he says he will do the job. d. once he starts to work

only after he hauls away the debris

Receiving stolen goods

only requirement is that recipient knows or should have known that the goods were stolen.

cybernotary 154

or legally recognized certification authority, issues the key pair, identifies the owner of the keys, and certi-fies the validity of the public key. serves as a repository for public keys.A legally recognized authority that can certify the validity of digital signatures.

Counterfelt goods copy

or otherwise imitate trademarked goods but are not genuine.

Movers LLC promises to deliver a certain couch to Nora, who promises to pay for the service. If Movers does not perform, it may be required to a. pay damages. b. perform a different service. c. none of the choices. d. make another promise.

pay damages

CASE EXAMPLE 4.14 The Naked Cowboy, Robert Burck, was a street entertainer in New York City who had achieved some fame

performing for tourists. He performed wearing only a white cowboy hat, white cowboy boots, and white underwear and carrying a guitar strategically placed to give the illusion of nudity. Burck sued Mars, Inc., the maker of M&Ms candy, over a video it showed on billboards in Times Square that depicted a blue M&M dressed exactly like The Naked Cowboy. The court, however, held that the use of Burck's signature costume did not amount to appropriation. Appropriation

Dru e-mails Ester, promising her a percentage of the amount in a foreign bank account if she will assist in transferring the funds to a U.S. bank account. Ester forwards her account number, but the funds are never sent. Instead, Dru quickly withdraws the funds in Ester's account. This is a. phishing. b. hacking. c. no crime. d. identity theft.

phishing

Posing as Visa Bank, Walt e-mails Paulina, asking her to update her credit-card information through a link in the e-mail. She clicks on the link and types in the data, which Walt promptly sells to Ilana. This is

phishing

Posing as eBank, Frank e-mails Grace, asking her to update her credit-card information through a link in the e-mail. She clicks on the link and types in the data, which Frank promptly sells to Hector. This is a. phishing. b. no crime. c. hacking. d. cyberterrorism.

phishing

cyber crimes.

phishing, identity theft, employment fraud,cyber terrorism and hacking

Good Samaritan statutes were passed largely to protect, in emergency situations, a. physicians and medical personnel. b. business invitees. c. those in need, such as individuals hurt in accidents. d. landlords and other property owners.

physicians and medical personnel

Petro Parts Inc. makes and sells parts for the repair of motor vehicles. Olsen suffers a loss when a defective Petro part causes damage to her car's engine. With respect to Olsen's product liability suit against Petro, an applicable statute of repose

places an outer time limit on bringing the suit

statutes of repose

places outer time limits on product liability actions to ensure manufacturers will not be left vulnerable to lawsuits indefinitely

To assist with contract interpretation, the federal government and a majority of the states have enacted ____ laws.

plain language

Epsilon Corporation makes scientific instruments that are subject to extensive government regulation and undergo a rigorous premarket approval process. In a design defect product liability suit against Epsilon by a party allegedly injured by one of the devices, the company can most successfully raise the defense of

preemption

Civil Law

preponderance of the evidence standard of proof-anything over half that would tip the (unreadable) in P's behavior

In the context of product liability law...

privity is not required

Evita, a police officer, wants to search the offices of Debit & Credit, Accountants. She asks Judge Bern to issue a warrant. No warrant for a search can be issued without a. double jeopardy. b. reasonable doubt. c. immunity. d. probable cause

probable cause

Evita, a police officer, wants to search the offices of Debit & Credit, Accountants. She asks Judge Bern to issue a warrant. No warrant for a search can be issued without

probable cause.

Malpractice

professional misconduct or the lack of the requisite degree of skill as a professional For instance, a patient might sue a physician for medical malpractice. A client might sue an attorney for legal malpractice.

CAN-SPAM act

prohibited false and deceptive e-mails originating in the United States. • After that, spamming from servers located in other nations increased. These cross-border spammers generally were able to escape detection and legal sanctions because the Federal Trade Commission (FTC) lacked the authority to investigate foreign spamming.

8th Amendment

prohibits excessive bail and fines, as well as cruel and unusual punishment. -prisoners have right to adequate food, water, living conditions, shelter, clothing and medical care.

offer 144

promise or commitment to perform or refrain from performing some specified act in the future. The party making an offer is called the offeror, and the party to whom the offer is made is called the offeree. Three elements are necessary for an offer to be effective: 1. There must be a serious, objective intention by the offeror. 2. The terms of the offer must be reasonably certain, or definite, so that the parties and the court can ascertain the terms of the contract. 3. The offer must be communicated to the offeree. A promise or commitment to perform or refrain from performing some specified act in the future.

A voluntary petition in bankruptcy must include

proof of each creditor's claim. ANSWER: a list of the debtor's creditors and the amount of the debt owed to each. all of the choices. statement indicating that the debtor understands basic economics.

Traditionally, the hundreds of thousands of acts defined as criminal in federal, state, and local laws have been grouped into broad categories, including a. private crime. b. property crime. c. public crime. d. personal crime.

property crime

Traditionally, the hundreds of thousands of acts defined as criminal in federal, state, and local laws have been grouped into broad categories, including

property crime.

4th Amendment Protections

protects the "right of the people to be secure in their persons, house, papers, and effects."

The Fourth Amendment

protects the "right of the people to be secure in their persons, houses, papers, and effects." • Before searching or seizing private property, law enforcement officers must obtain a search warrant—an order from a judge or other public official authorizing the search or seizure.

Rosa, who operates a Street Tacos restaurant in her apartment, is charged with criminal violations of the local health and building codes, state license regulations, and federal environmental statutes. To obtain a conviction, the prosecution must a. convince the court it is more likely than not that the charges are true. b. show the evidence as reasonably permitting a guilty verdict. c. persuade three-fourths of the jurors to agree on a guilty verdict. d. prove beyond a reasonable doubt that Rosa committed every essential element of an offense.

prove beyond a reasonable doubt that Rosa committed every essential element of an offense

A truck with defective brakes runs off the street and crashes into Lima's home, damaging the property and injuring her. In a successful tort action against the truck's owner for gross negligence, Lima may be awarded punitive damages to

punish the defendant and deter others from similar wrongdoing

A truck with defective brakes runs off the street and crashes into Lima's home, damaging the property and injuring her. In a successful tort action against the truck's owner for gross negligence, Lima may be awarded punitive damages to a. put her into the same position she would have been in if the tort had not occurred. b. all of the choices. c. compensate for her total losses. d. punish the defendant and deter others from similar wrongdoing.

punish the defendant and deter others from similar wrongdoing

Courts exercise great restraint in granting punitive damages to plaintiffs in tort actions because

punitive damages are subject to the limitations imposed by the due process clause of the U.S. Constitution. The United States Supreme Court has held that, when an award of punitive damages is grossly excessive, it furthers no legitimate purpose and violates due process requirements. Consequently, an appellate court will sometimes reduce the amount of punitive damages awarded to a plaintiff because the amount was excessive and thereby violates the due process clause.

For a court to determine if a contract has been breached and to give an appropriate remedy, the offer must include terms that are at least a. accurately precise. b. reasonably definite. c. vaguely uncertain. d. unequivocally approximate.

reasonably definite

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. regular mail. b. any of the choices. c. phone. d. e-mail.

regular mail

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

regular mail.

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

rejected the offer and made a counteroffer.

counteroffer 149

rejection of the original offer and the simultaneous making of a new offer. An offeree's response to an offer in which the offeree rejects the original offer and at the same time makes a new offer.

Rita brings a tort action against Santo and proves all of the elements of the claim. Santo's successful defense will a. impose liability on Rita for any harm to Santo arising from the suit. b. further no legitimate purpose and violate the due process clause. c. toll the statute of limitations. d. release the defendant from partial or full liability for the tortious act.

release the defendant from partial or full liability for the tortious act

Necessity

relieved liability if someone can prove that they did it out of necessity to prevent a higher crime.

Beca, a computer operator for Cloud Corporation, is arrested in her employer's parking lot on suspicion of larceny. Beca must be informed of her right to a. punishment. b. question witnesses. c. a trial by jury. d. remain silent

remain silent

By which of the following methods can a party not terminate an offer?

repudiation

mirror image rule 149

requires that the offeree's acceptance match the offeror's offer exactly. In other words, the terms of the acceptance must "mirror" those of the offer. If the acceptance materially changes or adds to the terms of the original offer, it will be considered not an acceptance but a counteroffer—which, of course, need not be accepted. The original offeror can, however, accept the terms of the counteroffer and create a valid contract. A common law rule that requires that the terms of the offeree's acceptance adhere exactly to the terms of the offeror's offer for a valid contract to be formed.

Under the ---- doctrine, a court may impose criminal liability on a corporate officer who knew about a given criminal violation.

responsible corporate officer

False Imprisonment

restraining an individual or restricting an individual's freedom

Bert pushes Connie to the ground, grabbing her phone as she falls. The use of force or fear is required for this act to constitute a. embezzlement. b. larceny. c. any crime. d. robbery.

robbery

Niles enters Omelet Café and points a gun at the cashier Pico. Niles forces Pico to open the register and give him all the money. Niles will most likely be charged with

robbery

Niles enters Omelet Café and points a gun at the cashier Pico. Niles forces Pico to open the register and give him all the money. Niles will most likely be charged with a. larceny. b. receiving stolen property. c. obtaining property by false pretenses. d. robbery.

robbery

The key difference between larceny and robbery is that: a. robbery involves force or fear of force; larceny does not. b. robbery involves breaking into a dwelling; larceny does not. c. larceny involves arson; robbery does not.

robbery involves force or fear of force; larceny does not.

Warrantless Arrests

routine officer observes a crime, potential flight by a suspect

Shep offers to make digital copies of Reliable Company's business conference videotapes, CDs, DVDs, and other media for $500. Under the mailbox rule, Reliable's acceptance by e-mail will be considered effective when a. followed up by a confirmation letter sent by regular mail. b. sent. c. composed on a Reliable computer. d. received.

sent

Pye tries to start his car with no success. He yells that he will sell the car to anyone for $10. Qua, a passerby, hears Pye's yell. This is not an effective offer because it lacks a. definite terms. b. serious intent. c. communication. d. practicality.

serious intent

DEFINTION: Remedies

set right

Greta files a suit against Home Repair Corporation under the doctrine of promissory estoppel. Greta must show that

she justifiably relied on Home Repair's promise.

Criminal negligence can occur when a defendant was not aware of the risk, but

should have been aware about it

Civil Law

spells out the duties that exist between persons or between persons and their government.

Persons who keep wild animals, for example, are

strictly liable for any harm inflicted by the animals. In addition, an owner of domestic animals may be strictly liable for harm caused by those animals if the owner knew, or should have known, that the animals were dangerous or had a propensity to harm others.

Zeb is burned when a can of EZ-Off explodes. Solvents Inc. manufactured the EZ-Off. Under product liability laws, Zeb (the injured party) has the ability to

sue Solvents Inc

Consideration must be legally___ and the result of a___

sufficient ; bargain

Felice is injured when a can of Ground-Up explodes into flames. Herbicides Inc. manufactured the Ground-Up. Under product liability laws, Felice's options include

suing Herbicides Inc

Felice is injured when a can of Ground-Up explodes into flames. Herbicides Inc. manufactured the Ground-Up. Under product liability laws, Felice's options include a. any of the choices. b. suing Herbicides Inc. c. ordering a halt to the production of Ground-Up. d. issuing a recall of all Ground-Up.

suing Herbicides Inc.

tolled

suspended time for a defendant to bring something forward until they have discovered it or should have discovered it

Historically, the tort of conversion was limited to

tangible property and did not apply to intangible property (with an exception for intangible property represented by documents, such as stock certificates). Modern courts, however, have permitted conversion claims against intangible interests such as checks and customer lists.

Coffee Beans Inc. offers to buy Brewing Company's roasting services for a certain price. Brewing responds that the price is too low and thereby rejects the offer. The offer is a. valid for the period of time prescribed by a state statute. b. valid for a reasonable time. c. valid until Coffee Beans revokes the offer. d. terminated.

terminated

Rafi offers to sell his sailboat, Sea Siren, to Tara for $50,000. Referring to the prices for similar vessels, Tara says, "I'll pay no more than $40,000." Rafi's offer is a. rejected and subject to a counteroffer. b. revoked. c. still open. d. terminated

terminated

Kelly offers to sell a certain used forklift to Lumber Outlet, but Kelly dies before Lumber Outlet accepts. Most likely, Kelly's death a. extends the time of the offer. b. does not affect the offer. c. terminates the offer. d. shortens the time of the offer but does not terminate it.

terminates the offer

A contract is an agreement

that can be enforced in court

Conversion can occur even when a person mistakenly believes

that she or he was entitled to the goods. In other words, good intentions are not a defense against conversion. Someone who buys stolen goods, for instance, can be sued for conversion even if he or she did not know that the goods were stolen. If the true owner brings a tort action against the buyer, the buyer must either return the property to the owner or pay the owner the full value of the property (despite having already paid the purchase price to the thief).

EZ Co-op Inc. sells Fill-Up cattle feed to ranchers. Gina buys and feeds Fill-Up to her herd. The feed is poisoned. Gina sues EZ for product liability based on negligence. To win, Gina must show

that the feed caused her damage

Negligence

the *failure to exercise a duty of care* that a *reasonable person* would exercise in the same situation. Ex: Baby Things Inc. makes and sells a crib to Cara. Baby Things fails to exercise "due care" to make the crib safe, and Cara's child Dua is injured as a result. Baby Things is most likely liable for: *negligence* Ex: Bix backs out of City Parking Garage, colliding with Dill's car. Dill may recover $7,500 to cover the cost of the repairs if Bix failed to act as *a reasonable person* *The plaintiff must prove each of the following (all four) in order to prove negligence*: 1. *Duty*: defendant owed a duty of care to the plaintiff 2. *Breech*: defendant breached that duty. 3. *Causation*: defendant's breach caused the plaintiff's injury 4. *Damages*: plaintiff suffered a legally recognizable injury.

When the outrageous conduct consists of speech about a public figure

the First Amendment's guarantee of freedom of speech limits emotional distress claims. The Court held that creators of parodies of public figures are protected under the First Amendment from claims of intentional infliction of emotional distress.

A speedy trial, a trial by jury, a public trial, and the right to confront witnesses are guaranteed by a. the Fourth Amendment. b. state law, not the U.S. Constitution c. the Sixth Amendment. d. the Fifth Amendment.

the Sixth Amendment

Wild Life LLC keeps and displays domestic and wild animals in a rural setting for an interested public. Strict liability is imposed on this activity because a. the public is considered inherently negligent. b. the activity is extremely risky. c. the amount of liability can be added to the costs of attendance. d. Wild Life is not a corporation

the activity is extremely risky

Sound Financials Corporation sends daily e-mail ads to its previous customers and those who have opted to receive the notices. The state in which the company is physically located has enacted an antispam law. Under federal law

the application of federal law to Sound's ads is preempted. Sound's ads are required to be reviewed by a federal agency. Sound's ads are prohibited. ANSWER: the application of the state's law to Sound's ads is preempted.

Syd offers Tina, a city inspector, money to overlook health code violations in his restaurant. Tina accepts the money and overlooks the violations. Syd is charged with the crime of bribery. The crime occurred when

the bribe was offered

Syd offers Tina, a city inspector, money to overlook health code violations in his restaurant. Tina accepts the money and overlooks the violations. Syd is charged with the crime of bribery. The crime occurred when a. the health code was violated. b. the bribe was accepted. c. the violation was overlooked. d. the bribe was offered

the bribe was offered

Causation in fact can usually be determined by the use of

the but for test: "but for" the wrongful act, the injury would not have occurred. Theoretically, causation in fact is limitless. One could claim, for example, that "but for" the creation of the world, a particular injury would not have occurred. Thus, as a practical matter, the law has to establish limits, and it does so through the concept of proximate cause.

The intent of the parties may be determined by evaluating what the parties said, how the parties acted, and:

the circumstances surrounding the transaction.

The federal government has the power to regulate commercial activities among the states under a. the First Amendment. b. the privileges and immunities clause. c. the full faith and credit clause. d. the commerce clause.

the commerce clause

When a storm erupts outside Reba's Diner, Reba and Shaw quickly enter into an implied contract to split the revenue from Shaw's sale of umbrellas to Reba's customers. The terms of this contract are defined by a. the fortuity of the deal's timing and the parties' proximity. b. the conduct of the parties. c. the written words of the parties. d. the unforeseeable storm that gave rise to the deal.

the conduct of the parties

When a rainstorm erupts outside Rita's Clothing Shop, Rita and Shaw enter into an implied contract to split the revenue from Shaw's sale of umbrellas to Rita's customers. The terms of this contract are defined by

the conduct of the parties.

Jared claims that a Kentucky state statute infringes on his "substantive due process" rights. This claim focuses on a. the treatment of similarly situated individuals. b. the steps to be taken to protect Orin's privacy. c. procedures used to make decisions to take life, liberty, or property. d. the content of the statute.

the content of the statute

Donald is a minor. He can enter into any contract an adult can, provided

the contract is not one prohibited by law for minors.

Ovid wants to file a suit against Petra. For a court to hear the case, a. both parties must consent. b. the parties must own property. c. the court must have jurisdiction. d. the parties must have diversity of citizenship.

the court must have jurisdiction

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

the courts

Petro Refinery asks Quality Bank for a loan to increase its inventory. Quality requires Roma, Petro's president, to sign a personal guaranty to pay the debt if Petro defaults. The guaranty is required to be in writing because

the debtor has a right of redemption. the co-signer has a right of contribution. the main purpose rule applies. ANSWER: the main purpose rule does not apply.

Kansas enacts a law requiring all businesses in the state to donate 10 percent of their profits to Protestant churches that provide certain services to persons whose income is below the poverty level. Lo-Price Stores files a suit to block the law's enforcement. The court would likely hold that this law violates a. the supremacy clause. b. no clause in the U.S. Constitution. c. the establishment clause. d. the free exercise clause.

the establishment clause

DIY-Haul, Inc., makes, sells, and leases hauling equipment for consumer use. Ed files a product liability suit against DIY-Haul, alleging a design defect. In deciding whether to hold the maker liable, the court may consider a. the assumptions of DIY-Haul. b. the expectations of the ordinary consumer. c. the identity of DIY-Haul's owner. d. the intentions of DIY-Haul.

the expectations of the ordinary consumer

Negligence

the failure to exercise the degree of care that a reasonable, prudent person would have exercised under the circumstances

A rule issued by the federal Environmental Protection Agency (EPA) limits the amount of carbon that can be emitted from a car's exhaust system. California state law prescribes much lower limits. Under the U.S. Constitution a. the state law takes precedence. b. the rule and the law are invalid. c. the federal rule takes precedence. d. the rule and the law apply equally.

the federal rule takes precedence

Contingency Fee

the fee paid to an attorney based on a percentage of the sum the client is awarded or settles for in a lawsuit

a product is defective in design when...

the foreseeable risks of harm posed by the product could have been reduced or avoided by the adoption of a reasonable alternative design by the seller or other distributor, or a predecessor in the commercial chain of distribution, and the omission of the alternative design renders the product not reasonably safe

Embezzlement

the fraudulent appropriation of funds or other property by a person to whom the funds or property has been entrusted.

Forgery

the fraudulent making or altering of any writing in a way that changes the legal rights and liabilities of another

Preemption as a defense to product liability

the government regulations preempt claims for product liability

False Imprisonment

the intentional confinement or restraint of another person's activities without justification False imprisonment interferes with the freedom to move without restraint. The confinement can be accomplished through the use of physical barriers, physical restraint, or threats of physical force. Moral pressure or threats of future harm do not constitute false imprisonment. It is essential that the person under restraint does not wish to be restrained.

Ota asserts that a deal entered into with Pai to sponsor and host a motivational conference for independent sales representatives was formed as the result of a mistake. Ota's best defense to the enforcement of this contract is a. preliminary indications of unsatisfactory results. b. insufficient capital. c. the lack of a party's voluntary consent. d. a desire not to perform.

the lack of a party's voluntary consent

Steps & Rungs Inc. makes ladders. Ty discovers that his Steps & Rungs ladder is defective and sues the maker for product liability based on strict liability. To win, Ty must show that

the ladder was in a defective condition when Steps & Rungs sold it.

Colleen owns a parcel of land. She tows a mobile home to the parcel and anchors it to the land near a stand of Douglas fir trees. Her real property consists of

the land. the mobile home. the trees. ANSWER: all of the choices.

Due Process of Law

the law must be carried out in a fair and orderly way. D. must have the opportunity to object to the charges against them before a fair, neutral decision maker (judge); must be given the opportunity to confront and cross examine witnesses; and to present their own witnesses.

Petty Offense

the least serious kind of criminal offense such as a traffic or building code violation

The key difference between the torts of abuse of process and malicious prosecution is

the level of proof required to succeed. Unlike malicious prosecution, abuse of process is not limited to prior litigation and does not require the plaintiff to prove malice. It can be based on the wrongful use of subpoenas, court orders to attach or seize real property, or other types of formal legal process.

Believing that a higher, or universal, law exists that applies to all human beings, and that each written law should reflect the principles inherent in this higher law, is a. the natural law tradition. b. legal realism. c. the historical school of legal thought. d. legal positivism.

the natural law tradition

CASE EXAMPLE 4.2 Naython Watts was born with disabling brain injuries caused by

the negligence of physicians at Cox Medical Centers in Missouri. At the age of six, Naython could not walk, talk, or feed himself. He had the mental capacity of a two-year-old, suffered from seizures, and needed around-the-clock care. His mother, Deborah Watts, sued the medical center on his behalf. A jury awarded Watts $1.45 million in non-economic damages, plus $3.37 million in future medical damages. The trial court reduced the non-economic damages award to $350,000—the statutory cap under Missouri's law. Watts appealed. Missouri's highest court struck down the state's damages cap, holding that it violated the state constitution's right to trial by jury. The court reasoned that the amount of damages is a fact for the jury to determine, and the legislature cannot place caps on jury awards independent of the facts of a case. Special Damages

Boca claims that he intended to enter into a contract with Carla for tutoring, and she breached it. Carla responds that she never intended to enter into a contract with Boca. Their intent to enter into a contract is determined with reference to a. the personal theory of contracts. b. the objective theory of contracts. c. the subjective theory of contracts. d. the intentional theory of contracts.

the objective theory of contracts

Safe-T Company makes electrical cords and other connectors for electronic devices. Tina files a product liability suit against Safe-T, alleging a warning defect. In deciding whether to hold Safe-T liable, the court may consider

the obvious risks of this product

Safe-T Company makes electrical cords and other connectors for electronic devices. Tina files a product liability suit against Safe-T, alleging a warning defect. In deciding whether to hold Safe-T liable, the court may consider​

the obvious risks of this product.

Rico, an auctioneer, puts a semi-truck and trailer up for auction. Rico is a. the offeree. b. the offeror. c. the bidder. d. none of the choices

the offer

Sui enters into a contract with Trey to act as a personal sports trainer. If a dispute later arises over the parties' promises, the court will interpret the contract according to a. what the promisor claims was the parties' intent. b. the parties' intent at the time they entered into the contract. c. what the promisee claims was the parties' intent. d. what the parties now agree they intended.

the parties intent at the time they entered into the contract

agreement 144

the parties must agree on the terms of the contract. Ordinarily, agreement is evidenced by two events: an offer and an acceptance. One party offers a certain bargain to another party, who then accepts that bargain. A meeting of two or more minds in regard to the terms of a contract; usually broken down into two events—an offer by one party to form a contract and an acceptance of the offer by the person to whom the offer is made. *****An essential element for contract formation is agreement. The parties must mutually assent to the same bargain. An agreement has two components: an offer and an acceptance. ****Definiteness of Terms. Identification of the parties. Object or subject matter of the contract. Consideration to be paid. Payment, delivery, or performance.

Radiant Supply wants to initiate a suit against Solar Power LLC by filing a complaint. The complaint should include a statement of the facts necessary to show that a. the case can be disposed of without a trial. b. the solvency of the defendant is in question. c. the defendant does not have a valid defense. d. the plaintiff is legally entitled to a remedy.

the plaintiff is legally entitled to a remedy

Bob owns twenty acres of land on the side of a mountain in Colorado. He files a suit against the Durango Flight School, claiming that its planes flying over his land violate his property rights. To succeed, his best argument is

the planes fly over more than twice a day. there are other routes the planes could take. ANSWER: the flights are low and frequent, interfering with enjoyment of his land. the planes are effectively taking private property for private use.

The term checks and balances refers to the system under which a. any judicial decision with respect to property rights in one state will be honored and enforced in all states. b. a state must refrain from imposing unreasonable burdens on citizens of another state. c. the powers of government are divided among its branches, each of which exercises a check on the actions of the others. d. the national government regulates interstate commerce.

the powers of government are divided among its branches, each of which exercises a check on the actions of the others

When price changes make performance of a contract costly, compliance with the terms may most certainly be obtained through a. the principles of contract law. b. the innocent party's sense of rightness. c. both parties' good faith. d. the adversely affected party's sense of duty.

the principles of contract law

When price changes make performance of a contract costly, compliance with the terms may most certainly be obtained through

the principles of contract law.

Zoey is accused of auto theft. She refuses to give information related to her alleged criminal activities because she suspects it will be used to prosecute her. This is a. a mistake of fact. b. entrapment. c. the privilege against self-incrimination. d. ignorance of the law.

the privilege against self-incrimination

Zoey is accused of auto theft. She refuses to give information related to her alleged criminal activities because she suspects it will be used to prosecute her. This is

the privilege against self-incrimination.

Fresh Seafood Inc. and Grocers Market LLC dispute a term in their contract. Because the parties have a long-standing business relationship that they would like to continue, they could settle their dispute through mediation because a. the case will be heard by a jury. b. the dispute will eventually go to trial. c. the process is not as adversarial as litigation. d. the resolution of the dispute will be decided an expert.

the process is not as adversarial as litigation

Privity of contract

the relationship that exists between the parties to a contract

** Interllectual Property

the right to control how inventions and creations are used

Dian enters a car race, knowing that there is a risk of being injured in a crash. Dian assumes

the risk of being injured in a crash

After a dinner at Rosa's Restaurant, So believes that he was overcharged and shoves Tell, the waiter, who is injured when he falls. Tell sues So, alleging that the shove was a battery. So is liable if

the shove was offensive

Nancy owns Office Tower, a commercial building situated on an acre of land that she also owns in Peoria, Illinois. Subject to certain qualifications, the exterior boundaries of Nancy's land extend to

the size of a cubic acre. the limits of the current building market. infinity and beyond. ANSWER: the center of the earth and up to the sky.

Missouri's highest court struck down the state's damages cap, holding that it violated

the state constitution's right to trial by jury. The court reasoned that the amount of damages is a fact for the jury to determine, and the legislature cannot place caps on jury awards independent of the facts of a case.

Jess, an accountant, posts a message on social media that states her competitor Kelly has been convicted of theft. Which of the following statements, taken by itself, would most likely make Jess liable for the tort of defamation

the statement is false

Khe says, "I plan to sell my Apple stock." This is not an offer because

the statement is not addressed to a specific offeree. the offeror has only committed to negotiate the terms in good faith. ANSWER: a statement of future intent to do something in the future is not an offer. an expression of opinion does not indicate an intent to enter into a deal.

A federal form of government is one in which the national government shares sovereign power with a. the national government. b. no one. c. the people. d. the states.

the states

Under the U.S. Constitution, the federal government has the power to regulate commercial activities among the states. This grant implies that the regulation of such activities is not within the authority of a. the President. b. the states. c. the courts. d. Congress.

the states

Veda owns a house. In the house, on a tile floor is a throw rug and a heavy decorative urn. Most likely to meet the definition of a fixture is

the urn. the throw rug. ANSWER: the tile floor. all of the choices.

Goodwill (in business context)

the valuable reputation of a business viewed as an intangible asset.

Arson

the willful and malicious burning only requirement is that recipient knows or should have known that the goods were stolen.

Sy enters into a contract with Truck Company to work as a driver. If a dispute arises over the deal, under the plain meaning rule, the court cannot consider any evidence not contained in the document if a. the words in the contract appear clear. b. the parties' intent cannot be determined from the contract's language. c. a contract term can be interpreted in more than one way. d. the contract lacks a provision on a disputed issue.

the words in the contract appear clear

Larceny

the wrongful taking and carrying away of another person's personal property with the intent to permanently deprive the owner of the property.

Franny is charged with a crime. Almost all federal courts and some state courts would not hold Franny liable if, at the time of the offense, as a result of a mental disease or defect, she lacked substantial capacity to obey the law and to appreciate a. the authority of the court. b. the power of the police. c. the fruits of his crime. d. the wrongfulness of her conduct

the wrongfulness of her conduct

A product can be deemed defective if

there is inadequate instructions or warnings

Cities and counties may also face lawsuits for false imprisonment if

they detain individuals without reason.

Abnormally Dangerous Activities

those that involve a high risk of serious harm to persons or property that cannot be completely guarded against by the exercise of reasonable care. (example: Storing explosives or dynamite)

Punitive Damages

to *punish and deter* - Rare, generally only awarded to companies - Something *malicious, intentional* Ex: Opal is injured and her property is damaged when a truck with defective brakes careens off an adjacent highway and crashes into her home. If Opal brings a successful tort action against the truck's owner for gross negligence, she may be awarded punitive damages to: *punish the defendant and deter others from similar wrongdoing*

Probable Cause

to obtain a search warrant, the officers must convince a judge that they have reasonable grounds, or probable cause, to believe a search will reveal a specific illegality. - no general warrants (there must be a particular description of the items to be searched/seized). - if looking for a motorcycle, can't look in drawers - there are exceptions to the requirement of a search warrant- ex. When it is likely that the items sought will be removed before a warrant can be obtained.

The purpose of tort law

to provide remedies for the invasion of various protected interests Society recognizes an interest in personal physical safety, and tort law provides remedies for acts that cause physical injury or interfere with physical security and freedom. Society also recognizes an interest in protecting property, and tort law provides remedies for acts that cause destruction of or damage to property.

Nevertheless, critics contend that certain aspects of today's tort law encourage

too many trivial and unfounded lawsuits, which clog the civil courts and add unnecessary costs. They say that damages awards are often excessive and bear little relationship to the actual damage suffered, which inspires more plaintiffs to file lawsuits. The result, in the critics' view, is a system that disproportionately rewards a few plaintiffs while imposing a "tort tax" on business and society as a whole. Among other consequences, physicians and hospitals order more tests than necessary in an effort to avoid medical malpractice suits, thereby adding to the nation's healthcare costs.

Megan gives out a business card with an e-mail address on it. It is reasonable to infer that Megan has consented to a. transact business electronically. b. nothing. c. respond to e-mail sent to that address. d. submit to the recipient's jurisdiction

transact business electronically

Megan gives out a business card with an e-mail address on it. It is reasonable to infer that Megan has consented to

transact business electronically.

As a joke, Jem takes Kyla's business law textbook and hides it so that Kyla cannot find it for a few days during finals week, but ultimately gives it back the day before the exam. Jem has committed

trespass to personal property

A criminal defendant has the right to confront accusers and to present his or her own witnesses.

true

A defamatory statement must be communicated to a third party to be actionable

true

A defense available in an action based on a negligence theory is that the plaintiff failed to prove one or more of the required elements

true

A person who commits larceny can be sued under tort law.

true

A personal name is protected under trademark law if it acquires a secondary meaning.​

true

A successful defense releases the defendant from partial or full liability for a tortious act.

true

Agreement is normally evidenced by an offer and an acceptance.

true

An acceptance sent by means not expressly or impliedly authorized normally is not effective until it is received by the offeror.

true

Crimes are offenses against society as a whole.

true

Cyber torts are torts that arise from online conduct.

true

Defense of others is a defense to an allegation of assault.

true

Failure to live up to a standard of care may be an act or an omission.

true

Harm must be foreseeable to be considered the proximate cause of an injury in negligence.

true

If it can be shown that a trespass to land was warranted, a complete defense exists.

true

If no harm results from an allegedly negligent act, there is no liability.

true

If the evidence of a defendant's guilt was obtained improperly, it normally cannot be used against the defendant in court.

true

In a criminal case, the state must prove its case beyond a reasonable doubt.

true

Proximate cause exists when the connection between an act and an in-jury is strong enough to justify imposing liability.

true

The U.S. Constitution provides safeguards that apply not only in federal but also in state courts.

true

The common law governs all contracts except when the common law has been modified or replaced by statutory law or administrative agency regulations.

true

The most potent weapons against white-collar criminals include the federal laws prohibiting mail and wire fraud.

true

The most widely used defense in negligence actions is comparative negligence.

true

The requirement that an offer be properly communicated to the offeree means that the offeror must inform the offeree about the offer in some effective way.

true

The taking of electronic records and data can form the basis of a conversion claim.

true

To maintain a suit for the invasion of privacy, a person must have a reasonable expectation of privacy in the particular situation.

true

defense of others is a defense to an allegation of battery

true

false imprisonment occurs when a person restrains another intentionally and without justification

true

the bases of all torts are wrongs and compensation

true

Rowan registers a domain name—sweetfriedpotatos.com—that is a misspelling of a popular brand—sweetfriedpotatoes.com. This is

typosquatting

Cattle House Steaks, a Colorado company, enters into a contract over the phone with Beef Packing Inc., an out-of-state corporation. If a dispute arises, a Colorado court can exercise jurisdiction over Beef Packing a. on the basis of a federal question. b. under the minimum-contacts test. c. only if Beef Packing files the suit. d. in no circumstances.

under the minimum-contacts test

Identity Theft

when a person steals another identifying information and uses it to gain access to the victim's financial records.

**The Consumer Expectations test:

under this analysis the product must be proven to be dangerous beyond the expectation of the ordinary consumer. When used in its original condition provided by the manufacturer with no alteration by the consumer • When used in tis original condition provided by the manufacturer with no alterations by the consumer, and used as intended... • Case ex. Hot Coffee: Lieback v. McDonald's restaurant

Edna is induced by her guardian Fran to sign a contract to invest funds in Gold Inc. through Fran's investment firm. Unknown to Edna, Fran realizes a commission from the investment. Most likely, Edna can rescind the contract on the basis of

undue influence.

Eugene, an accountant, convinces his client Faye to enter into a contract to invest her savings in Gathering, a non-existent social media site. There is clear and convincing evidence that Faye did not act out of her free will. This is

undue influence.

A contract to do something that is prohibited by statute is

unenforceable.

A lease between Mia and Niles for residential property contains an exculpatory clause. This clause is most likely

unenforceable.

Burglary

unlawful entry or breaking into a building with the intent to commit a felony (in some states any crime) therein.

Constitutional Safeguards and Criminal Procedures

used to protect everyone against the arbitrary use of power by the government

damage

used to refer to harm or injury to persons or property.

Hacking

using a computer to break into another computer.

Ocean Inc., a seafood distributor, agrees to buy from Paul, a commercial fisher, any "overstock" of fish that he catches in excess of the legal limit. This agreement is most likely a. quasi. b. enforceable. c. void. d. voidable.

void

If one party has the legal option not to perform a contract and to have the contract declared unenforceable, the contract is called a ____contract.

voidable

acceptance 150

voluntary act by the offeree that shows assent, or agreement, to the terms of an offer. The offeree's act may consist of words or conduct. A voluntary act by the offeree that shows assent, or agreement, to the terms of an offer; may consist of words or conduct. In negotiable instruments law, the drawee's signed agreement to pay a draft when it is presented. *****A voluntary act (expressed or implied) by the Offeree that shows assent (agreement), to the terms of an offer. Unequivocal Acceptance: the "Mirror Image" Rule..

Ihlan initiates a lawsuit against Juno, alleging that Juno has not paid her rent for six months and Ihlan wants her to vacate her apartment. The sheriff serves a summons. Juno does not respond. Ihlan a. must provide proof in support of the claim. b. must withdraw the complaint. c. must file a motion for renewed service of process. d. will be awarded a default judgment.

will be awarded a default judgment

Beau devises a scheme to send fraudulent e-mails—claiming that an arrest warrant has been issued for non-payment of taxes—to individual taxpayers. By these false pretenses, Beau intends to obtain money and personal data. This is

wire fraud

Beau devises a scheme to send fraudulent e-mails—claiming that an arrest warrant has been issued for non-payment of taxes—to individual taxpayers. By these false pretenses, Beau intends to obtain money and personal data. This is a. no crime. b. wire fraud. c. robbery. d. larceny

wire fraud

Bob devises a scheme to send fraudulent e-mailed ads—claiming that an arrest warrant has been issued for non-payment of taxes—to individual taxpayers. By these false pretenses, Bob intends to obtain money and personal data. This is

wire fraud.

Statue of Limitations

with some exceptions (murder), this applies to criminal as well as civil cases. - GA capital crimes other than murder (life imprisonment)- 7 yrs from crime - other felonies- 4 yrs. from commission of crime - misdemeanors- 2 yrs from commission of crime

A challenge to the constitutionality of an executive order that limits certain state actions is a. subject to the exclusive authority of Congress. b. within the power of judicial review. c. beyond the jurisdiction of the courts. d. solely for the executive to decide.

within the power of judicial review

Tort law recognizes that people have a right not to be sued

without a legally just and proper reason, and therefore it protects individuals from the misuse of litigation. Torts related to abusive litigation include malicious prosecution and abuse of process.

The explosive demolition of a rock formation by Mountain Blasters Inc. injures Noh, who is hiking on a nearby slope. Under the doctrine of strict liability, Mountain Blasters must pay for Noh's injury a. only if the company was greater than 50 percent at fault. b. only if the company was entirely at fault. c. without regard to the fault of the company. d. only if the company failed to use reasonable care.

without regard to the fault of the company

Fresh Agro Inc. offers to deliver produce to Growers' Market for a certain price. Fresh's intent to extend an offer is determined by reference to Fresh's a. all of the choices. b. words and actions. c. market assumptions. d. subjective, unexpressed intentions.

words and actions

malware.

worms, viruses, botnets

Len, a MedCo Supplies salesperson, follows Nan, a salesperson for Optima Health Products (a MedCo competitor) as she visits locations to make sales. Len solicits each of Nan's customers. Len is most likely liable for

wrongful interference with a business relationship

Business Tort

wrongful interference with another's business rights and relationships Two Types 1. wrongful interference with a contractual relationship 2. wrongful interference with a business relationship.

Criminal statutes proscribe a. wrongs committed against society for which society demands redress. b. the prosecution of private individuals by other private individuals. c. the prosecution of public officials by private individuals. d. the relief available when a person's rights are violated.

wrongs committed against society for which society demands redress

Defenses to Negligence

• *Assumption of risk*: A plaintiff who voluntarily enters a risky situation is not allowed to recover. Ex: Dian enters a car race, knowing that there is a risk of being injured in a crash. Dian assumes: *the risk of being injured in a crash* • *Superseding cause*: If an unforeseeable intervening event broke the chain of causation between the defendant's act and the injury, there is no recovery. • *Contributory negligence* (used in a few states): If the plaintiff is also negligent, it bars recovery of damages. • *Comparative negligence* (used in most states): If the plaintiff is also negligent, then the plaintiff's level of fault determines whether and how much damages are recovered. - *if plaintiff is partially at fault money compensated decreases* Ex: Ichiro is injured in a two-car accident and sues Heather, the driver of the other vehicle, alleging negligence. Heather claims that Ichiro was driving more carelessly than she was. Comparative negligence may reduce Ichiro's recovery: *even if Ichiro was only slightly at fault*

Civil law and Criminal law

• Civil law: spells out the duties that exist between persons or between persons and their governments. Criminal law, in contrast, has to do with crime. • A crime can be defined as a wrong against society proclaimed in a statute and, if committed, punishable by society through fines and/or imprisonment—and, in some cases, death. • Because crimes are offenses against society as a whole, they are prosecuted by a public official, such as a district attorney (D.A.) or an attorney general (AG), not by the crime victims

** Original Work

• Creative effort applied • Need to be substantial effort o A scribble is copyrightable • Need to be particularly original o Books and movies with similar plots o Artwork with similar themes or styles • Must be created independently • "Spark" of creativity • Infringement: not uncommon

Classification of crimes

• Felonies: are serious crimes punishable by death or by imprisonment for more than one year • Misdemeanors are less serious crimes, punishable by a fine or by confinement for up to a year. • Petty offenses are minor violations, such as jaywalking or violations of building codes, considered to be a subset of misdemeanors.

Uses in Legal Process

• Impact on Litigation (the process of taking legal action): Social media posts now are routinely included in discovery in litigation. Such posts can provide damaging information that establishes a person's intent or what she or he knew at a particular time. o Like e-mail, posts on social networks can be the smoking gun that leads to liability. • Inpact on settlement agreements: Social media posts have been used to invalidate settlement agreements that contained confidentiality clauses. • Criminal Investigation: Law enforcement uses social media to detect and prosecute criminals. o A surprising number of criminals boast about their illegal activities on social media. o Police may also use social media to help them to locate a particular suspect or to determine the identity of other suspects within a criminal network. • Administrative Agencies: Federal regulators also use social media posts in their investigations into illegal activities.

Buden of proof

• In a civil case, the plaintiff usually must prove his or her case by a preponderance of the evidence. • In a criminal case, in contrast, the state must prove its case beyond a reasonable doubt. If the jury views the evidence in the case as reasonably permitting either a guilty or a not guilty verdict, then the jury's verdict must be not guilty.

General Types of Torts

• Intentional torts • Unintentional torts (negligence) • Strict liability • Product liability

**Abnormally dangerous and ultra-hazardous activities:

• Involve serious potential for harm • Involve high degree of risk that cannot be made safe regardless of care; and • Are not commonly performed in the community or area. --- Wild Animal

A person suddenly attracts Carlos as he is walking down the street:

• Physical attack as a tort: the assailant commits an assault (an intentional unexcused act that creates in Carlos the reasonable fear of immediate harmful contact) and battery (intentional harmful or offensive contact). → Carlos files a civil suit against the assailant. → a court orders the assailant to pay Carlos for his injuries. • Physical attacks as a crime: The assailant violets a statute that defines and prohibits the crime of assault (attempt to commit a violent injury on another) and battery (commission of an intentional act resulting in injury to another) → the state prosecutes the assailant → a court order the assailant to be fined or imprisoned.

** U.S Constitution, Article I, Section 8, Clause 8:

• to promote the progress of science nd useful arts, by securing for limited times to authors and inventors the exlusive right to their respective writings and discoveries;


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