BUSINESS LAW
Objective Type Question with Ans.
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Which of the following is a function of the law?
all of the above
Which of the following is a function of the law?
all of the above
The ________ School of jurisprudence postulates that the law is based on what is "correct."
Natural
The Natural Law School of jurisprudence postulates that the law is based on what is "correct."
The ________ School of jurisprudence believes that the law is an aggregate of social traditions and customs that have developed over the centuries.
Historical
The ________ School of jurisprudence maintains that the law is shaped by logic.
Analytical
The Analytical School of jurisprudence maintains that the law is shaped by logic.
The ________ School of jurisprudence asserts that the law is a means of achieving and advancing certain sociological goals.
Sociological
The ________ School proposes that legal rules are unnecessary and are used as an obstacle by the powerful to maintain the status quo.
Critical Legal Studies
The ________ School believes that promoting market efficiency should be the central goal of legal decision making.
Law and Economics
English common law can be divided into cases decided by which of the following courts?
law courts, equity courts, and merchant courts
Which of the following branches of government has the power to make (enact) the law?
legislative
________ are written laws that establish certain courses of conduct that must be adhered to by covered parties.
Statutes
When deciding individual lawsuits, federal and state courts issue________.
judicial decisions
Which doctrine dictates adherence to judicial precedent?
stare decisis
Executive orders are issued by which governmental authority?
the executive branch of government, which includes the president of the United States and state governors
State limited-jurisdiction trial courts are also referred to as ________.
inferior trial courts
courts of record
indiscriminate trial courts
courts of discretionary jurisdiction
All of the following are examples of limited-jurisdiction trial courts except ________.
traffic courts
juvenile courts
probate courts
criminal courts
The highest court in a state court system is typically referred to as the:
state superior court.
state trial court.
state appellate court.
state supreme court.
If five, six, seven, or eight United States Supreme Court justices vote for the same outcome for the same reason, the decision is referred to as a(n) ________ decision.
majority
unanimous
plurality
concurring
-
If all of the United States Supreme Court justices voting agree as to the outcome and reasoning used to decide a case, the decision is referred to as a(n) ________ decision.
majority
unanimous
plurality
concurring
If a majority of the United States Supreme Court justices agree as to the outcome of a case but not as to the reasoning for reaching the outcome, the decision is referred to as a(n) ________ decision.
unanimous
majority
plurality
dissenting
Jurisdiction over the property of the lawsuit is called ________ jurisdiction.
in personam
forum-selection
in rem
minimum contacts
________ requires lawsuits to be heard by the court with jurisdiction nearest the location in which the incident occurred or where the parties reside.
Long-arm jurisdiction
Equity
Forum-selection
Venue
A justice who agrees with the outcome of a case but not the reason proffered by the other justices can issue a ________ opinion.
concurring
majority
dissenting
Consensus
What type of jurisdiction do federal courts have in cases involving federal crimes?
limited
special
exclusive
appellate
To bring a lawsuit, a plaintiff must have ________ to sue.
Situs
standing
representation
res judicata
________ jurisdiction is also referred to as attachment jurisdiction.
Appellate
Personal
In rem
Quasi in rem
________ jurisdiction represents a court's power to hear and decide a case because it has jurisdiction over the property of the lawsuit.
Appellate
In rem
Personal
None of the above
In order for a state's long-arm statute to extend a state's jurisdiction to nonresidents who were not served a summons within the state, the nonresident must have had ________ with the state.
maximum contact
minimum contact
maximum affinity
minimum affinity
The exercise of long-arm jurisdiction is generally permitted over nonresidents who have________.
committed torts within the state
entered into a contract either in the state or that affects the state
transacted business in the state that allegedly caused injury to another person
all of the above
Which of the following is not a major phase of the pretrial litigation process?
voir dire
A(n) ________ is a court order directing the defendant to appear in court and answer the complaint.
Summons
If the defendant does not answer the complaint, a ________ is entered against him or her
default judgment
A statute of ________ establishes the period during which a plaintiff must bring a lawsuit against a defendant; if a lawsuit is not filed within this time period, the plaintiff loses his or her right to sue.
Limitations
Which of the following is a major form of discovery?
all of the above
Interrogatories are ________.
written questions submitted by one party of a lawsuit to another party
A motion ________ alleges that if all of the facts presented in the pleadings are true, and if the proper law is applied to the facts, the moving party is entitled to win the lawsuit
for judgment on the pleadings
A motion ________ asserts that there are no factual disputes to be decided by the jury, and that the judge should apply the relevant law to the undisputed facts and decide the case; this motion can be made by either party, and is supported by evidence outside of the pleadings, including affidavits from the parties and witnesses, documents related to the litigation, and depositions
for summary judgment
The settlement conference is also referred to as the ________.
pre-trial hearing
Pursuant to the ________ Amendment to the United States Constitution, a party to a civil action at law is guaranteed the right to a jury trial in a case in federal court.
Seventh
The simplest form of alternative dispute resolution is engaging in ________ between the parties to settle a dispute.
Negotiations
In ________, the parties choose an impartial third party to hear and decide the dispute.
Arbitration
________ is a form of alternative dispute resolution in which a neutral third party assists the disputing parties in reaching a settlement of their dispute (without deciding the dispute).
Mediation
In which of the following methods of alternative dispute resolution must parties to a case employ a neutral third party to settle their dispute?
fact-finding
The legislative branch of the United States government is ________.
Your Answer:
unicameral
Correct Answer:
bicameral
The legislative branch of the United States government is bicameral; in other words, it consists of the Senate and the House of Representatives.
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2.
Incorrect The ________ Clause of the United States Constitution establishes that the federal Constitution, treaties, federal laws, and federal regulations are the supreme law of the land.
Your Answer:
Establishment
Correct Answer:
Supremacy
The Supremacy Clause of the United States Constitution establishes that the federal Constitution, treaties, federal laws, and federal regulations are the supreme law of the land.
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3.
Incorrect The ________ Clause of the United States Constitution grants Congress the power "to regulate commerce with foreign nations, and among the several states, and with Indian tribes."
Your Answer:
Supremacy
Correct Answer:
Commerce
The Commerce Clause of the United States Constitution grants Congress the power "to regulate commerce with foreign nations, and among the several states, and with Indian tribes."
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4.
Correct The authority of states to regulate intrastate and much interstate business activity that occurs within their borders is commonly referred to as states' ________ power.
Your Answer:
police
Correct
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5.
Incorrect In 1791, the ________ amendments that are commonly referred to as the Bill of Rights were approved by the states and became part of the United States Constitution.
Your Answer:
five
Correct Answer:
ten
In 1791, the ten amendments that are commonly referred to as the Bill of Rights were approved by the states and became part of the United States Constitution.
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6.
Incorrect The United States Supreme Court has held that the content of offensive speech may not be forbidden, but that it be restricted by the government under ________ restrictions.
Your Answer:
sight and sound
Correct Answer:
time, place, and manner
The United States Supreme Court has held that the content of offensive speech may not be forbidden, but that it be restricted by the government under time, place, and manner restrictions.
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7.
Incorrect Which of the following represents unprotected speech?
Your Answer:
fighting words
Correct Answer:
all of the above
Unprotected speech is not protected by the First Amendment to the United States Constitution, and may be totally forbidden by the government. Types of unprotected speech include dangerous speech, fighting words, speech that incites the violent or revolutionary overthrow of the government, defamatory language, child pornography, and obscene speech.
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8.
Incorrect Which of the following is the test set forth by the United States Supreme Court for determining whether speech is obscene?
Your Answer:
The work depicts or describes, in a patently offensive way, sexual conduct specifically defined by the applicable state law.
Correct Answer:
All of the above
In Miller v. California, the United States Supreme Court determined that speech is obscene when: (1) the average person, applying contemporary community standards, would find that the work, taken as a whole, appeals to the prurient interest; (2) the work depicts or describes, in a patently offensive way, sexual conduct specifically defined by the applicable state law; and (3) the work, taken as a whole, lacks serious literary, artistic, political, or scientific value.
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9.
Correct The ________ Clause of the First Amendment to the United States Constitution prohibits the government from either establishing a state religion or promoting one religion over another.
Your Answer:
Establishment
Correct
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10.
Incorrect The ________ Amendment to the United States Constitution includes the Equal Protection Clause, the Due Process Clause, and the Privileges and Immunities Clause.
Your Answer:
Fifth
Correct Answer:
Fourteenth
The Fourteenth Amendment to the United States Constitution includes the Equal Protection Clause, the Due Process Clause, and the Privileges and Immunities Clause.
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11.
Incorrect Any government activity or regulation that classifies persons based on a suspect class (i.e., race) is reviewed for lawfulness using a(n) ________ test.
Your Answer:
None of the above
Correct Answer:
strict scrutiny
Any government activity or regulation that classifies persons based on a suspect class (i.e., race) is reviewed for lawfulness using a strict scrutiny test.
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12.
Correct The lawfulness of government classifications based on a protected class other than race (such as sex or age) is examined using a(n) ________ test.
Your Answer:
intermediate scrutiny
Correct
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13.
Correct The lawfulness of all government classifications that do not involve suspect or protected classes is examined using a(n) ________ test.
Your Answer:
rational basis
Correct
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14.
Correct Which Amendments to the United States Constitution both contain Due Process Clauses?
Your Answer:
the Fifth and Fourteenth Amendments
Correct
1.
Incorrect ________ is unauthorized and harmful or offensive physical contact with another person.
Your Answer:
Assault
Correct Answer:
Battery
Battery is unauthorized and harmful or offensive physical contact with another person.
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2.
Incorrect The intentional confinement or restraint of another person without authority or justification and without that person's consent constitutes ________.
Your Answer:
defamation
Correct Answer:
false imprisonment
The intentional confinement or restraint of another person without authority or justification and without that person's consent constitutes false imprisonment.
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3.
Incorrect Disparagement is also referred to as ________.
Your Answer:
product disparagement
Correct Answer:
all of the above
Disparagement is also referred to as trade libel, product disparagement, and slander of title.
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4.
Incorrect Intentional infliction of emotional distress is also referred to as the tort of ________.
Your Answer:
scienter
Correct Answer:
outrage
Intentional infliction of emotional distress is also referred to as the tort of outrage.
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5.
Incorrect The doctrine of unintentional tort is commonly referred to as ________.
Your Answer:
absolute liability
Correct Answer:
negligence
The doctrine of unintentional tort is commonly referred to as negligence.
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6.
Incorrect Actual cause is also referred to as ________.
Your Answer:
implied causation
Correct Answer:
causation in fact
Actual cause is also referred to as causation in fact.
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7.
Incorrect Proximate cause is also referred to as________.
Your Answer:
implied causation
Correct Answer:
legal cause
Proximate cause is also referred to as legal cause.
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8.
Incorrect The ________ defense assumes that the plaintiff had knowledge of the specific risk, and that he or she voluntarily assumed that risk.
Your Answer:
contributory negligence
Correct Answer:
assumption of the risk
The assumption of the risk defense assumes that the plaintiff had knowledge of the specific risk, and that he or she voluntarily assumed that risk.
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9.
Incorrect Under the common law doctrine of ________, a plaintiff who is partially at fault for his or her own injury cannot recover against a negligent defendant.
Your Answer:
negligence per se
Correct Answer:
contributory negligence
Under the common law doctrine of contributory negligence, a plaintiff who is partially at fault for his or her own injury cannot recover against a negligent defendant.
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10.
Correct Suppose a driver who is driving over the speed limit negligently hits and injures a pedestrian who is jaywalking. Assume further that the case is heard in a jurisdiction that recognizes the doctrine of contributory negligence. If a jury determines that the driver is eighty percent responsible for the accident and that the jaywalker is twenty percent responsible, and that the pedestrian suffered $100,000 in damages, how much will the pedestrian recover from the driver?
Your Answer:
Nothing
Correct
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11.
Incorrect Comparative negligence is also referred to as ________.
Your Answer:
assumption of the risk
Correct Answer:
comparative fault
Comparative negligence is also referred to as comparative fault.
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12.
Incorrect ________ negligence provides that a plaintiff must be less than fifty percent responsible for causing his or her own injuries in order to recover damages from the defendant.
Your Answer:
Partial contributory
Correct Answer:
Partial comparative
Partial comparative negligence provides that a plaintiff must be less than fifty percent responsible for causing his or her own injuries in order to recover damages from the defendant.
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13.
Incorrect ________ holds that there are certain activities that can place the public at risk of injury, even if reasonable care is taken, and that the public should have some means of compensation if such injury occurs.
Your Answer:
Qualified immunity
Correct Answer:
Strict liability
Strict liability holds that there are certain activities that can place the public at risk of injury, even if reasonable care is taken, and that the public should have some means of compensation if such injury occurs.
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14.
Correct Strict liability was first imposed for ________.
Your Answer:
abnormally dangerous activities
Correct
________ is unauthorized and harmful or offensive physical contact with another person.
Your Answer:
Assault
Correct Answer:
Battery
Battery is unauthorized and harmful or offensive physical contact with another person.
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2.
Incorrect The intentional confinement or restraint of another person without authority or justification and without that person's consent constitutes ________.
Your Answer:
negligent infliction of emotional distress
Correct Answer:
false imprisonment
The intentional confinement or restraint of another person without authority or justification and without that person's consent constitutes false imprisonment.
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3.
Incorrect Disparagement is also referred to as ________.
Your Answer:
product disparagement
Correct Answer:
all of the above
Disparagement is also referred to as trade libel, product disparagement, and slander of title.
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4.
Incorrect Intentional infliction of emotional distress is also referred to as the tort of ________.
Your Answer:
strict liability
Correct Answer:
outrage
Intentional infliction of emotional distress is also referred to as the tort of outrage.
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5.
Incorrect The doctrine of unintentional tort is commonly referred to as ________.
Your Answer:
strict liability
Correct Answer:
negligence
The doctrine of unintentional tort is commonly referred to as negligence.
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6.
Correct Actual cause is also referred to as ________.
Your Answer:
causation in fact
Correct
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7.
Incorrect Proximate cause is also referred to as________.
Your Answer:
causation in fact
Correct Answer:
legal cause
Proximate cause is also referred to as legal cause.
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8.
Incorrect The ________ defense assumes that the plaintiff had knowledge of the specific risk, and that he or she voluntarily assumed that risk.
Your Answer:
strict liability
Correct Answer:
assumption of the risk
The assumption of the risk defense assumes that the plaintiff had knowledge of the specific risk, and that he or she voluntarily assumed that risk.
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9.
Incorrect Under the common law doctrine of ________, a plaintiff who is partially at fault for his or her own injury cannot recover against a negligent defendant.
Your Answer:
comparative negligence
Correct Answer:
contributory negligence
Under the common law doctrine of contributory negligence, a plaintiff who is partially at fault for his or her own injury cannot recover against a negligent defendant.
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10.
Incorrect Suppose a driver who is driving over the speed limit negligently hits and injures a pedestrian who is jaywalking. Assume further that the case is heard in a jurisdiction that recognizes the doctrine of contributory negligence. If a jury determines that the driver is eighty percent responsible for the accident and that the jaywalker is twenty percent responsible, and that the pedestrian suffered $100,000 in damages, how much will the pedestrian recover from the driver?
Your Answer:
$80,000
Correct Answer:
Nothing
Under the doctrine of contributory negligence, a plaintiff who is partially at fault for his or her own injury cannot recover anything from a negligent defendant. Based on the facts presented, the pedestrian will recover nothing from the driver.
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11.
Correct Comparative negligence is also referred to as ________.
Your Answer:
comparative fault
Correct
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12.
Correct ________ negligence provides that a plaintiff must be less than fifty percent responsible for causing his or her own injuries in order to recover damages from the defendant.
Your Answer:
Partial comparative
Correct
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13.
Correct ________ holds that there are certain activities that can place the public at risk of injury, even if reasonable care is taken, and that the public should have some means of compensation if such injury occurs.
Your Answer:
Strict liability
Correct
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14.
Incorrect Strict liability was first imposed for ________.
Your Answer:
negligence
Correct Answer:
abnormally dangerous activities
Strict liability was first imposed for abnormally dangerous activities
Generally, a successful plaintiff in a trade secret action can ________.
Your Answer:
recover the profits made by the offender from the use of the trade secret
Correct Answer:
all of the above
Generally, a successful plaintiff in a trade secret action can recover the profits made by the offender from the use of the trade secret, recover for damages, and obtain an injunction prohibiting the offender from divulging or using the trade secret.
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2.
Incorrect Which of the following courts is a special federal appeals court that hears patent appeals from federal courts concerning patent issues, and whose purpose is to promote uniformity in patent law?
Your Answer:
The United States Supreme Court for the Federal Circuit in Washington, D.C.
Correct Answer:
The United States Court of Appeals for the Federal Circuit in Washington, D.C.
The United States Court of Appeals for the Federal Circuit in Washington, D.C. is a special federal appeals court that hears patent appeals from federal courts concerning patent issues, and whose purpose is to promote uniformity in patent law.
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3.
Incorrect Patents for inventions are valid for ________ years, while design patents are valid for ________ years.
Your Answer:
twenty-five; seventeen
Correct Answer:
twenty; fourteen
Patents for inventions are valid for twenty years, while design patents are valid for fourteen years.
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4.
Incorrect In terms of patent protection, the United States follows the ________ rule, rather than the ________ rule.
Your Answer:
first-to-capitalize; first-to-socialize
Correct Answer:
first-to-invent; first-to-file
In terms of patent protection, the United States follows the first-to-invent rule, rather than the first-to-file rule.
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5.
Incorrect Which of the following categories of innovation can be patented under federal patent law?
Your Answer:
machines
Correct Answer:
all of the above
Federal patent law recognizes several categories of innovation that can be patented, including: (1) machines; (2) processes; (3) compositions of matter; (4) improvements to existing machines, processes, or compositions of matter; (5) designs for an article of manufacture; (6) asexually-reproduced plants; and (7) living material invented by a person.
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6.
Incorrect To be patented, an invention must be ________.
Your Answer:
novel
Correct Answer:
all of the above
To be patented, an invention must be novel, useful, and non-obvious.
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7.
Incorrect The one-year "on sale" doctrine is also called the ________ doctrine.
Your Answer:
private use
Correct Answer:
public use
The one-year "on sale" doctrine is also called the public use doctrine.
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8.
Incorrect Patent ________ occurs when someone makes an unauthorized use of another's patent.
Your Answer:
capitalism
Correct Answer:
infringement
Patent infringement occurs when someone makes an unauthorized use of another's patent.
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9.
Incorrect Only ________ writings are subject to copyright registration and protection.
Your Answer:
for-profit
Correct Answer:
tangible
Only tangible writings are subject to copyright registration and protection.
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10.
Correct The ________ of 1998 extended copyright protection to individuals who were granted copyright protection for their lifetime plus seventy years.
Your Answer:
Sonny Bono Copyright Term Extension Act
Correct
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11.
Incorrect The law permits certain limited unauthorized use of copyright materials under the ________ doctrine.
Your Answer:
fair play
Correct Answer:
fair use
The law permits certain limited unauthorized use of copyright materials under the fair use doctrine.
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12.
Incorrect Which of the following uses are protected under the fair use doctrine?
Your Answer:
quotation of the copyrighted work for review or criticism, or in a scholarly or technical work
Correct Answer:
all of the above
All of the following uses are protected under the fair use doctrine: (1) quotation of the copyrighted work for review or criticism, or in a scholarly or technical work; (2) use in a parody or satire; (3) brief quotation in a news report; (4) reproduction by a teacher or student of a small part of the work to illustrate a lesson; (5) incidental reproduction of a work in a newsreel or broadcast of an event being reported; and (6) reproduction of a work in a legislative or judicial proceeding.
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13.
Incorrect Which of the following federal laws provide federal protection to trademarks, service marks, and other marks?
Your Answer:
The Sherman Antitrust Act
Correct Answer:
The Lanham Act
The Lanham Act provides federal protection to trademarks, service marks, and other marks.
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14.
Incorrect The word "mark" collectively refers to all but which of the following?
Your Answer:
service marks
Correct Answer:
collaborative marks
The word "mark" collectively refers to trademarks, service marks, certification marks, and collective marks. A collaborative mark does not exist, and is therefore not legally recognized.
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15.
Incorrect Ordinary words that are descriptive can qualify as a mark if they have taken on a ________ meaning.
Your Answer:
primary
Correct Answer:
secondary
Ordinary words that are descriptive can qualify as a mark if they have taken on a secondary meaning
In a sale on approval contract, acceptance of the goods occurs if the buyer ________.
Your Answer:
expressly indicates acceptance
Correct Answer:
all of the above
In a sale on approval contract, acceptance of the goods occurs if the buyer (1) expressly indicates acceptance, (2) fails to notify the seller of rejection of the goods within the agreed-upon trial period (or, if no time is agreed upon, a reasonable time), or (3) uses the goods inconsistently with the purpose of the trial (e.g., the customer resells the computer to another person).
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2.
Incorrect In a sale on approval contract, when do risk of loss and title pass to the buyer?
Your Answer:
when the contract is formed
Correct Answer:
when the buyer accepts the goods
In a sale on approval contract, risk of loss and title pass to the buyer when the buyer accepts the goods.
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3.
Incorrect In a sale or return contract, when do risk of loss and title to goods pass to the buyer?
Your Answer:
when the buyer revokes acceptance of the goods
Correct Answer:
when the buyer takes possession of the goods
In a sale or return contract, risk of loss and title to goods pass to the buyer when the buyer takes possession of the goods.
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4.
Incorrect In a consignment, a(n) ________ delivers goods to a(n) ________ to sell.
Your Answer:
licensee; licensor
Correct Answer:
consignor; consignee
In a consignment, a consignor delivers goods to a consignee to sell.
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5.
Incorrect A consignment is treated as a ________ under the Uniform Commercial Code (UCC) that is, title and risk of loss of the goods pass to the consignee when the consignee takes possession of the goods.
Your Answer:
return on sale
Correct Answer:
sale or return
A consignment is treated as a "sale or return" under the Uniform Commercial Code (UCC) that is, title and risk of loss of the goods pass to the consignee when the consignee takes possession of the goods.
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6.
Incorrect A seller breaches a sales contract if he or she tenders or delivers ________ goods to the buyer.
Your Answer:
unconditional
Correct Answer:
nonconforming
A seller breaches a sales contract if he or she tenders or delivers nonconforming goods to the buyer.
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7.
Incorrect A buyer breaches a sales contract if he or she ________.
Your Answer:
rejects non-conforming goods
Correct Answer:
refuses to take delivery of conforming goods
A buyer breaches a sales contract if he or she refuses to take delivery of conforming goods.
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8.
Incorrect In the case of an ordinary lease, if the lessor is a merchant, the risk of loss passes to the lessee on the
Your Answer:
lessee's payment for the goods.
Correct Answer:
lessee's receipt of the goods.
In the case of an ordinary lease, if the lessor is a merchant, the risk of loss passes to the lessee on the lessee's receipt of the goods.
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9.
Incorrect If the lease is a finance lease and the supplier is a merchant, the risk of loss passes to the lessee on the ________.
Your Answer:
lessee's payment for the goods
Correct Answer:
lessee's receipt of the goods
If the lease is a finance lease and the supplier is a merchant, the risk of loss passes to the lessee on the lessee's receipt of the goods.
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10.
Incorrect Which of the following is an accurate statement regarding an insurable interest in goods?
Your Answer:
A seller has an insurable interest in goods as long as he or she retains title or has a security interest in the goods.
Correct Answer:
All of the above
A seller has an insurable interest in goods as long as he or she retains title or has a security interest in the goods. A lessor retains an insurable interest in the goods during the term of the lease. A buyer or lessee obtains an insurable interest in the goods when they are identified in the sales or lease contract.
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11.
Incorrect In a case where a buyer purchases goods or a lessee leases goods from a thief who has stolen them, the purchaser does not acquire title to the goods and the lessee does not acquire any leasehold interest in the goods. The real owner can reclaim the goods from the purchaser or lessee. This is called ________ title.
Your Answer:
fee simple absolute
Correct Answer:
void
In a case where a buyer purchases goods or a lessee leases goods from a thief who has stolen them, the purchaser does not acquire title to the goods and the lessee does not acquire any leasehold interest in the goods. The real owner can reclaim the goods from the purchaser or lessee. This is called void title.
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12.
Incorrect If an owner entrusts the possession of his or her goods to a merchant who deals in goods of that kind, the merchant has the power to transfer all rights (including title) in the goods to a buyer in the ordinary course of business. The real owner cannot reclaim the goods from this buyer. This is called the ________ rule.
Your Answer:
due diligence
Correct Answer:
entrustment
If an owner entrusts the possession of his or her goods to a merchant who deals in goods of that kind, the merchant has the power to transfer all rights (including title) in the goods to a buyer in the ordinary course of business. The real owner cannot reclaim the goods from this buyer. This is called the entrustment rule.
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13.
Incorrect A(n) ________ is a person to whom a lease interest can be transferred from a person with voidable title.
Your Answer:
good faith purchaser for value
Correct Answer:
good faith subsequent lessee
A good faith subsequent lessee is a person to whom a lease interest can be transferred from a person with voidable title. The real owner cannot reclaim the goods from the subsequent lessee until the lease expires.
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A ________ is an unconditional written promise by one party to pay money to another party.
Your Answer:
sight draft
Correct Answer:
promissory note
A promissory note is an unconditional written promise by one party to pay money to another party.
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2.
Incorrect A party who makes a promise to pay is the ________ of a note.
Your Answer:
drawer
Correct Answer:
maker
A party who makes a promise to pay is the maker of a note.
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3.
Incorrect The party to whom the promise to pay is made is the ________.
Your Answer:
maker
Correct Answer:
payee
The party to whom the promise to pay is made is the payee.
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4.
Correct Promissory notes can be payable at either ________ or ________.
Your Answer:
a specific time; on demand
Correct
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5.
Incorrect Promissory notes that are secured by real estate are called ________ notes.
Your Answer:
personal property
Correct Answer:
mortgage
Promissory notes that are secured by real estate are called mortgage notes.
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6.
Incorrect Promissory notes that are secured by personal property are called ________ notes.
Your Answer:
installment
Correct Answer:
collateral
Promissory notes that are secured by personal property are called collateral notes.
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7.
Incorrect A certificate of ________ is a special form of note that is created when a depositor deposits money at a financial institution in exchange for the institution's promise to pay back the amount of the deposit plus an agreed-upon rate of interest upon the expiration of a set time period agreed upon by the parties.
Your Answer:
insurance
Correct Answer:
deposit
A certificate of deposit is a special form of note that is created when a depositor deposits money at a financial institution in exchange for the institution's promise to pay back the amount of the deposit plus an agreed-upon rate of interest upon the expiration of a set time period agreed upon by the parties.
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8.
Incorrect Certificates of deposit (CDs) under ________ in amount are commonly referred to as small CDs, while CDs of ________ or more are usually called jumbo CDs.
Your Answer:
$50,000; $100,000
Correct Answer:
$100,000; $100,000
Certificates of deposit (CDs) under $100,000 in amount are commonly referred to as small CDs, while CDs of $100,000 or more are usually called jumbo CDs.
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9.
Incorrect The Uniform Commercial Code (UCC) ________ requirement requires that a negotiable instrument must be signed by the maker if it is a note or certificate of deposit and by the drawer if it is a check or draft.
Your Answer:
declaration
Correct Answer:
signature
The Uniform Commercial Code (UCC) signature requirement requires that a negotiable instrument must be signed by the maker if it is a note or certificate of deposit and by the drawer if it is a check or draft.
--------------------------------------------------------------------------------
10.
Incorrect To be a negotiable instrument under Uniform Commercial Code (UCC) 3-104, a writing must contain either a(n) ________ promise or order to pay.
Your Answer:
qualified
Correct Answer:
unconditional
To be a negotiable instrument under Uniform Commercial Code (UCC) 3-104, a writing must contain either an unconditional promise or order to pay.
--------------------------------------------------------------------------------
11.
Incorrect The Uniform Commercial Code (UCC) requires that negotiable instruments be payable either to ________ or to ________.
Your Answer:
drawer; drawee
Correct Answer:
order; bearer
The Uniform Commercial Code (UCC) requires that negotiable instruments be payable either to order or to bearer.
--------------------------------------------------------------------------------
12.
Correct A bearer instrument is payable to ________.
Your Answer:
anyone in physical possession of the instrument who presents it for payment when it is due
Correct
--------------------------------------------------------------------------------
13.
Incorrect To be negotiable, an instrument must contain a promise or order to pay a(n) ________ amount of money.
Your Answer:
conditional
Correct Answer:
fixed
To be negotiable, an instrument must contain a promise or order to pay a fixed amount of money.
--------------------------------------------------------------------------------
14.
Incorrect The Uniform Commercial Code (UCC) defines ________ as a "medium of exchange authorized or adopted by a domestic or foreign government as part of its currency."
Your Answer:
a promissory note
Correct Answer:
money
The Uniform Commercial Code (UCC) defines money as a "medium of exchange authorized or adopted by a domestic or foreign government as part of its currency."
--------------------------------------------------------------------------------
15.
Incorrect A(n) ________ clause allows the payee or holder to accelerate payment of the principal amount of an instrument, plus accrued interest, upon the happening of an event (for example, a default).
Your Answer:
due-on-sale
Correct Answer:
acceleration
An acceleration clause allows the payee or holder to accelerate payment of the principal amount of an instrument, plus accrued interest, upon the happening of an event (for example, a default).
The Food, Drug and Cosmetic Act (FDCA) prohibits the shipment, distribution, or sale of ________ food.
Your Answer:
moderated
Correct Answer:
adulterated
The Food, Drug and Cosmetic Act (FDCA) prohibits the shipment, distribution, or sale of adulterated food.
--------------------------------------------------------------------------------
2.
Correct In 2000, more than 150 countries, including the United States, agreed to the United Nations-sponsored ________ for genetically altered foods.
Your Answer:
Biosafety Protocol
Correct
--------------------------------------------------------------------------------
3.
Incorrect The ________ is an independent federal administrative agency empowered to (1) adopt rules and regulations to interpret and enforce the Consumer Product Safety Act, (2) conduct research on the safety of consumer products, and (3) collect data regarding injuries caused by consumer products.
Your Answer:
United States Commerce Department
Correct Answer:
Consumer Product Safety Commission
The Consumer Product Safety Commission is an independent federal administrative agency empowered to (1) adopt rules and regulations to interpret and enforce the Consumer Product Safety Act, (2) conduct research on the safety of consumer products, and (3) collect data regarding injuries caused by consumer products.
--------------------------------------------------------------------------------
4.
Incorrect Which of the following federal agencies is authorized to adopt and enforce the Family Smoking Prevention and Tobacco Control Act?
Your Answer:
the Agency for Healthcare Research and Quality
Correct Answer:
the Food and Drug Administration
The federal Food and Drug Administration (FDA), a federal government agency, is authorized to enforce the Family Smoking Prevention and Tobacco Control Act and adopt rules to implement the provisions of the act.
--------------------------------------------------------------------------------
5.
Correct The ________ is empowered to enforce the Federal Trade Commission Act, as well as other federal consumer protection statutes.
Your Answer:
Federal Trade Commission
Correct
--------------------------------------------------------------------------------
6.
Correct Section ________ of the Federal Trade Commission Act prohibits unfair and deceptive practices.
Your Answer:
5
Correct
--------------------------------------------------------------------------------
7.
Incorrect ________ is a type of deceptive advertising under Section 5 of the Federal Trade Commission Act.
Your Answer:
Push and shove
Correct Answer:
Bait and switch
Bait and switch is a type of deceptive advertising under Section 5 of the Federal Trade Commission Act.
--------------------------------------------------------------------------------
8.
Incorrect Consumers can place their names on the Do-Not-________ Registry and free themselves from most unsolicited commercial telephone calls.
Your Answer:
Castigate
Correct Answer:
Call
Consumers can place their names on the Do-Not-Call Registry and free themselves from most unsolicited commercial telephone calls.
--------------------------------------------------------------------------------
9.
Incorrect Telemarketers have ________ months from the date on which a consumer signs up for the Do-Not-Call Registry to remove the customer's phone number from their sales call list.
Your Answer:
two (2)
Correct Answer:
three (3)
Telemarketers have three (3) months from the date on which a consumer signs up for the Do-Not-Call Registry to remove the customer's phone number from their sales call list.
--------------------------------------------------------------------------------
10.
Incorrect There is an established business relationship exception to the Do-Not-Call Registry that allows businesses to call customers for ________ months after they sell or lease goods or services to that person or conduct a financial transaction with that person.
Your Answer:
nine (9)
Correct Answer:
ten (10)
There is an established business relationship exception to the Do-Not-Call Registry that allows businesses to call customers for ten (10) months after they sell or lease goods or services to that person or conduct a financial transaction with that person
limited liability company is formed by delivering articles of ________ to the office of the secretary of state of the state of organization for filing.
Your Answer:
incorporation
Correct Answer:
organization
A limited liability company is formed by delivering articles of organization to the office of the secretary of state of the state of organization for filing.
--------------------------------------------------------------------------------
2.
Incorrect The articles of organization of an LLC may be amended at any time by filing articles of ________ with the secretary of state.
Your Answer:
change
Correct Answer:
amendment
The articles of organization may be amended at any time by filing articles of amendment with the secretary of state.
--------------------------------------------------------------------------------
3.
Incorrect A limited liability company is a(n) ________ limited liability company unless it is designated as a(n) ________ limited liability company.
Your Answer:
term; at-will
Correct Answer:
at-will; term
A limited liability company is an at-will limited liability company unless it is designated as a term limited liability company.
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4.
Incorrect A limited liability company's operating agreement may provide that a member's ownership interest may be evidenced by a certificate of ________ issued by the limited liability company. The certificate of ________ acts the same as a stock certificate issued by a corporation.
Your Answer:
principle; principle
Correct Answer:
interest; interest
A limited liability company's operating agreement may provide that a member's ownership interest may be evidenced by a certificate of interest issued by the limited liability company. The certificate of interest acts the same as a stock certificate issued by a corporation.
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5.
Incorrect Members of a limited liability company may enter into a(n) ________ agreement that regulates the affairs of the company and the conduct of its business and governs relations among the members, managers, and company.
Your Answer:
functionality
Correct Answer:
operating
Members of a limited liability company may enter into an operating agreement that regulates the affairs of the company and the conduct of its business and governs relations among the members, managers, and company.
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6.
Incorrect A member's ownership interest in a limited liability company is called a(n) ________ interest.
Your Answer:
proportional
Correct Answer:
distributional
A member's ownership interest in a limited liability company is called a distributional interest.
--------------------------------------------------------------------------------
7.
Incorrect The owners of limited liability companies are usually called ________.
Your Answer:
partners
Correct Answer:
members
The owners of limited liability companies are usually called members.
--------------------------------------------------------------------------------
8.
Correct A limited liability company can be either a(n) ________-managed limited liability company or a(n) ________-managed limited liability company.
Your Answer:
member; manager
Correct
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9.
Incorrect In a(n) ________-managed limited liability company, each member has equal rights in the management of the business of the limited liability company.
Your Answer:
manager
Correct Answer:
member
In a member-managed limited liability company, each member has equal rights in the management of the business of the limited liability company.
--------------------------------------------------------------------------------
10.
Correct In a(n) ________-managed limited liability company, the members and nonmembers who are designated managers control the management of the limited liability company.
Your Answer:
manager
Correct
---------------------------------------------------------------------------
11.
Incorrect A member of a member-managed limited liability company and a manager of a manager-managed limited liability company owe a fiduciary duty of ________ to the limited liability company. This means that these parties must act honestly in their dealings with the limited liability company.
Your Answer:
due care
Correct Answer:
loyalty
A member of a member-managed limited liability company and a manager of a manager-managed limited liability company owe a fiduciary duty of loyalty to the limited liability company. This means that these parties must act honestly in their dealings with the limited liability company.
--------------------------------------------------------------------------------
12.
Incorrect After dissolution and winding up, a limited liability company may end its existence by filing articles of ________ with the secretary of state.
Your Answer:
expedition
Correct Answer:
termination
Objective Type Question with Ans.
Save your Exam Time and get full marks
Which of the following is a function of the law?
all of the above
Which of the following is a function of the law?
all of the above
The ________ School of jurisprudence postulates that the law is based on what is "correct."
Natural
The Natural Law School of jurisprudence postulates that the law is based on what is "correct."
The ________ School of jurisprudence believes that the law is an aggregate of social traditions and customs that have developed over the centuries.
Historical
The ________ School of jurisprudence maintains that the law is shaped by logic.
Analytical
The Analytical School of jurisprudence maintains that the law is shaped by logic.
The ________ School of jurisprudence asserts that the law is a means of achieving and advancing certain sociological goals.
Sociological
The ________ School proposes that legal rules are unnecessary and are used as an obstacle by the powerful to maintain the status quo.
Critical Legal Studies
The ________ School believes that promoting market efficiency should be the central goal of legal decision making.
Law and Economics
English common law can be divided into cases decided by which of the following courts?
law courts, equity courts, and merchant courts
Which of the following branches of government has the power to make (enact) the law?
legislative
________ are written laws that establish certain courses of conduct that must be adhered to by covered parties.
Statutes
When deciding individual lawsuits, federal and state courts issue________.
judicial decisions
Which doctrine dictates adherence to judicial precedent?
stare decisis
Executive orders are issued by which governmental authority?
the executive branch of government, which includes the president of the United States and state governors
State limited-jurisdiction trial courts are also referred to as ________.
inferior trial courts
courts of record
indiscriminate trial courts
courts of discretionary jurisdiction
All of the following are examples of limited-jurisdiction trial courts except ________.
traffic courts
juvenile courts
probate courts
criminal courts
The highest court in a state court system is typically referred to as the:
state superior court.
state trial court.
state appellate court.
state supreme court.
If five, six, seven, or eight United States Supreme Court justices vote for the same outcome for the same reason, the decision is referred to as a(n) ________ decision.
majority
unanimous
plurality
concurring
-
If all of the United States Supreme Court justices voting agree as to the outcome and reasoning used to decide a case, the decision is referred to as a(n) ________ decision.
majority
unanimous
plurality
concurring
If a majority of the United States Supreme Court justices agree as to the outcome of a case but not as to the reasoning for reaching the outcome, the decision is referred to as a(n) ________ decision.
unanimous
majority
plurality
dissenting
Jurisdiction over the property of the lawsuit is called ________ jurisdiction.
in personam
forum-selection
in rem
minimum contacts
________ requires lawsuits to be heard by the court with jurisdiction nearest the location in which the incident occurred or where the parties reside.
Long-arm jurisdiction
Equity
Forum-selection
Venue
A justice who agrees with the outcome of a case but not the reason proffered by the other justices can issue a ________ opinion.
concurring
majority
dissenting
Consensus
What type of jurisdiction do federal courts have in cases involving federal crimes?
limited
special
exclusive
appellate
To bring a lawsuit, a plaintiff must have ________ to sue.
Situs
standing
representation
res judicata
________ jurisdiction is also referred to as attachment jurisdiction.
Appellate
Personal
In rem
Quasi in rem
________ jurisdiction represents a court's power to hear and decide a case because it has jurisdiction over the property of the lawsuit.
Appellate
In rem
Personal
None of the above
In order for a state's long-arm statute to extend a state's jurisdiction to nonresidents who were not served a summons within the state, the nonresident must have had ________ with the state.
maximum contact
minimum contact
maximum affinity
minimum affinity
The exercise of long-arm jurisdiction is generally permitted over nonresidents who have________.
committed torts within the state
entered into a contract either in the state or that affects the state
transacted business in the state that allegedly caused injury to another person
all of the above
Which of the following is not a major phase of the pretrial litigation process?
voir dire
A(n) ________ is a court order directing the defendant to appear in court and answer the complaint.
Summons
If the defendant does not answer the complaint, a ________ is entered against him or her
default judgment
A statute of ________ establishes the period during which a plaintiff must bring a lawsuit against a defendant; if a lawsuit is not filed within this time period, the plaintiff loses his or her right to sue.
Limitations
Which of the following is a major form of discovery?
all of the above
Interrogatories are ________.
written questions submitted by one party of a lawsuit to another party
A motion ________ alleges that if all of the facts presented in the pleadings are true, and if the proper law is applied to the facts, the moving party is entitled to win the lawsuit
for judgment on the pleadings
A motion ________ asserts that there are no factual disputes to be decided by the jury, and that the judge should apply the relevant law to the undisputed facts and decide the case; this motion can be made by either party, and is supported by evidence outside of the pleadings, including affidavits from the parties and witnesses, documents related to the litigation, and depositions
for summary judgment
The settlement conference is also referred to as the ________.
pre-trial hearing
Pursuant to the ________ Amendment to the United States Constitution, a party to a civil action at law is guaranteed the right to a jury trial in a case in federal court.
Seventh
The simplest form of alternative dispute resolution is engaging in ________ between the parties to settle a dispute.
Negotiations
In ________, the parties choose an impartial third party to hear and decide the dispute.
Arbitration
________ is a form of alternative dispute resolution in which a neutral third party assists the disputing parties in reaching a settlement of their dispute (without deciding the dispute).
Mediation
In which of the following methods of alternative dispute resolution must parties to a case employ a neutral third party to settle their dispute?
fact-finding
The legislative branch of the United States government is ________.
Your Answer:
unicameral
Correct Answer:
bicameral
The legislative branch of the United States government is bicameral; in other words, it consists of the Senate and the House of Representatives.
--------------------------------------------------------------------------------
2.
Incorrect The ________ Clause of the United States Constitution establishes that the federal Constitution, treaties, federal laws, and federal regulations are the supreme law of the land.
Your Answer:
Establishment
Correct Answer:
Supremacy
The Supremacy Clause of the United States Constitution establishes that the federal Constitution, treaties, federal laws, and federal regulations are the supreme law of the land.
--------------------------------------------------------------------------------
3.
Incorrect The ________ Clause of the United States Constitution grants Congress the power "to regulate commerce with foreign nations, and among the several states, and with Indian tribes."
Your Answer:
Supremacy
Correct Answer:
Commerce
The Commerce Clause of the United States Constitution grants Congress the power "to regulate commerce with foreign nations, and among the several states, and with Indian tribes."
--------------------------------------------------------------------------------
4.
Correct The authority of states to regulate intrastate and much interstate business activity that occurs within their borders is commonly referred to as states' ________ power.
Your Answer:
police
Correct
--------------------------------------------------------------------------------
5.
Incorrect In 1791, the ________ amendments that are commonly referred to as the Bill of Rights were approved by the states and became part of the United States Constitution.
Your Answer:
five
Correct Answer:
ten
In 1791, the ten amendments that are commonly referred to as the Bill of Rights were approved by the states and became part of the United States Constitution.
--------------------------------------------------------------------------------
6.
Incorrect The United States Supreme Court has held that the content of offensive speech may not be forbidden, but that it be restricted by the government under ________ restrictions.
Your Answer:
sight and sound
Correct Answer:
time, place, and manner
The United States Supreme Court has held that the content of offensive speech may not be forbidden, but that it be restricted by the government under time, place, and manner restrictions.
--------------------------------------------------------------------------------
7.
Incorrect Which of the following represents unprotected speech?
Your Answer:
fighting words
Correct Answer:
all of the above
Unprotected speech is not protected by the First Amendment to the United States Constitution, and may be totally forbidden by the government. Types of unprotected speech include dangerous speech, fighting words, speech that incites the violent or revolutionary overthrow of the government, defamatory language, child pornography, and obscene speech.
--------------------------------------------------------------------------------
8.
Incorrect Which of the following is the test set forth by the United States Supreme Court for determining whether speech is obscene?
Your Answer:
The work depicts or describes, in a patently offensive way, sexual conduct specifically defined by the applicable state law.
Correct Answer:
All of the above
In Miller v. California, the United States Supreme Court determined that speech is obscene when: (1) the average person, applying contemporary community standards, would find that the work, taken as a whole, appeals to the prurient interest; (2) the work depicts or describes, in a patently offensive way, sexual conduct specifically defined by the applicable state law; and (3) the work, taken as a whole, lacks serious literary, artistic, political, or scientific value.
--------------------------------------------------------------------------------
9.
Correct The ________ Clause of the First Amendment to the United States Constitution prohibits the government from either establishing a state religion or promoting one religion over another.
Your Answer:
Establishment
Correct
--------------------------------------------------------------------------------
10.
Incorrect The ________ Amendment to the United States Constitution includes the Equal Protection Clause, the Due Process Clause, and the Privileges and Immunities Clause.
Your Answer:
Fifth
Correct Answer:
Fourteenth
The Fourteenth Amendment to the United States Constitution includes the Equal Protection Clause, the Due Process Clause, and the Privileges and Immunities Clause.
--------------------------------------------------------------------------------
11.
Incorrect Any government activity or regulation that classifies persons based on a suspect class (i.e., race) is reviewed for lawfulness using a(n) ________ test.
Your Answer:
None of the above
Correct Answer:
strict scrutiny
Any government activity or regulation that classifies persons based on a suspect class (i.e., race) is reviewed for lawfulness using a strict scrutiny test.
--------------------------------------------------------------------------------
12.
Correct The lawfulness of government classifications based on a protected class other than race (such as sex or age) is examined using a(n) ________ test.
Your Answer:
intermediate scrutiny
Correct
--------------------------------------------------------------------------------
13.
Correct The lawfulness of all government classifications that do not involve suspect or protected classes is examined using a(n) ________ test.
Your Answer:
rational basis
Correct
--------------------------------------------------------------------------------
14.
Correct Which Amendments to the United States Constitution both contain Due Process Clauses?
Your Answer:
the Fifth and Fourteenth Amendments
Correct
1.
Incorrect ________ is unauthorized and harmful or offensive physical contact with another person.
Your Answer:
Assault
Correct Answer:
Battery
Battery is unauthorized and harmful or offensive physical contact with another person.
--------------------------------------------------------------------------------
2.
Incorrect The intentional confinement or restraint of another person without authority or justification and without that person's consent constitutes ________.
Your Answer:
defamation
Correct Answer:
false imprisonment
The intentional confinement or restraint of another person without authority or justification and without that person's consent constitutes false imprisonment.
--------------------------------------------------------------------------------
3.
Incorrect Disparagement is also referred to as ________.
Your Answer:
product disparagement
Correct Answer:
all of the above
Disparagement is also referred to as trade libel, product disparagement, and slander of title.
--------------------------------------------------------------------------------
4.
Incorrect Intentional infliction of emotional distress is also referred to as the tort of ________.
Your Answer:
scienter
Correct Answer:
outrage
Intentional infliction of emotional distress is also referred to as the tort of outrage.
--------------------------------------------------------------------------------
5.
Incorrect The doctrine of unintentional tort is commonly referred to as ________.
Your Answer:
absolute liability
Correct Answer:
negligence
The doctrine of unintentional tort is commonly referred to as negligence.
--------------------------------------------------------------------------------
6.
Incorrect Actual cause is also referred to as ________.
Your Answer:
implied causation
Correct Answer:
causation in fact
Actual cause is also referred to as causation in fact.
--------------------------------------------------------------------------------
7.
Incorrect Proximate cause is also referred to as________.
Your Answer:
implied causation
Correct Answer:
legal cause
Proximate cause is also referred to as legal cause.
--------------------------------------------------------------------------------
8.
Incorrect The ________ defense assumes that the plaintiff had knowledge of the specific risk, and that he or she voluntarily assumed that risk.
Your Answer:
contributory negligence
Correct Answer:
assumption of the risk
The assumption of the risk defense assumes that the plaintiff had knowledge of the specific risk, and that he or she voluntarily assumed that risk.
--------------------------------------------------------------------------------
9.
Incorrect Under the common law doctrine of ________, a plaintiff who is partially at fault for his or her own injury cannot recover against a negligent defendant.
Your Answer:
negligence per se
Correct Answer:
contributory negligence
Under the common law doctrine of contributory negligence, a plaintiff who is partially at fault for his or her own injury cannot recover against a negligent defendant.
--------------------------------------------------------------------------------
10.
Correct Suppose a driver who is driving over the speed limit negligently hits and injures a pedestrian who is jaywalking. Assume further that the case is heard in a jurisdiction that recognizes the doctrine of contributory negligence. If a jury determines that the driver is eighty percent responsible for the accident and that the jaywalker is twenty percent responsible, and that the pedestrian suffered $100,000 in damages, how much will the pedestrian recover from the driver?
Your Answer:
Nothing
Correct
--------------------------------------------------------------------------------
11.
Incorrect Comparative negligence is also referred to as ________.
Your Answer:
assumption of the risk
Correct Answer:
comparative fault
Comparative negligence is also referred to as comparative fault.
--------------------------------------------------------------------------------
12.
Incorrect ________ negligence provides that a plaintiff must be less than fifty percent responsible for causing his or her own injuries in order to recover damages from the defendant.
Your Answer:
Partial contributory
Correct Answer:
Partial comparative
Partial comparative negligence provides that a plaintiff must be less than fifty percent responsible for causing his or her own injuries in order to recover damages from the defendant.
--------------------------------------------------------------------------------
13.
Incorrect ________ holds that there are certain activities that can place the public at risk of injury, even if reasonable care is taken, and that the public should have some means of compensation if such injury occurs.
Your Answer:
Qualified immunity
Correct Answer:
Strict liability
Strict liability holds that there are certain activities that can place the public at risk of injury, even if reasonable care is taken, and that the public should have some means of compensation if such injury occurs.
--------------------------------------------------------------------------------
14.
Correct Strict liability was first imposed for ________.
Your Answer:
abnormally dangerous activities
Correct
________ is unauthorized and harmful or offensive physical contact with another person.
Your Answer:
Assault
Correct Answer:
Battery
Battery is unauthorized and harmful or offensive physical contact with another person.
--------------------------------------------------------------------------------
2.
Incorrect The intentional confinement or restraint of another person without authority or justification and without that person's consent constitutes ________.
Your Answer:
negligent infliction of emotional distress
Correct Answer:
false imprisonment
The intentional confinement or restraint of another person without authority or justification and without that person's consent constitutes false imprisonment.
--------------------------------------------------------------------------------
3.
Incorrect Disparagement is also referred to as ________.
Your Answer:
product disparagement
Correct Answer:
all of the above
Disparagement is also referred to as trade libel, product disparagement, and slander of title.
--------------------------------------------------------------------------------
4.
Incorrect Intentional infliction of emotional distress is also referred to as the tort of ________.
Your Answer:
strict liability
Correct Answer:
outrage
Intentional infliction of emotional distress is also referred to as the tort of outrage.
--------------------------------------------------------------------------------
5.
Incorrect The doctrine of unintentional tort is commonly referred to as ________.
Your Answer:
strict liability
Correct Answer:
negligence
The doctrine of unintentional tort is commonly referred to as negligence.
--------------------------------------------------------------------------------
6.
Correct Actual cause is also referred to as ________.
Your Answer:
causation in fact
Correct
--------------------------------------------------------------------------------
7.
Incorrect Proximate cause is also referred to as________.
Your Answer:
causation in fact
Correct Answer:
legal cause
Proximate cause is also referred to as legal cause.
--------------------------------------------------------------------------------
8.
Incorrect The ________ defense assumes that the plaintiff had knowledge of the specific risk, and that he or she voluntarily assumed that risk.
Your Answer:
strict liability
Correct Answer:
assumption of the risk
The assumption of the risk defense assumes that the plaintiff had knowledge of the specific risk, and that he or she voluntarily assumed that risk.
--------------------------------------------------------------------------------
9.
Incorrect Under the common law doctrine of ________, a plaintiff who is partially at fault for his or her own injury cannot recover against a negligent defendant.
Your Answer:
comparative negligence
Correct Answer:
contributory negligence
Under the common law doctrine of contributory negligence, a plaintiff who is partially at fault for his or her own injury cannot recover against a negligent defendant.
--------------------------------------------------------------------------------
10.
Incorrect Suppose a driver who is driving over the speed limit negligently hits and injures a pedestrian who is jaywalking. Assume further that the case is heard in a jurisdiction that recognizes the doctrine of contributory negligence. If a jury determines that the driver is eighty percent responsible for the accident and that the jaywalker is twenty percent responsible, and that the pedestrian suffered $100,000 in damages, how much will the pedestrian recover from the driver?
Your Answer:
$80,000
Correct Answer:
Nothing
Under the doctrine of contributory negligence, a plaintiff who is partially at fault for his or her own injury cannot recover anything from a negligent defendant. Based on the facts presented, the pedestrian will recover nothing from the driver.
--------------------------------------------------------------------------------
11.
Correct Comparative negligence is also referred to as ________.
Your Answer:
comparative fault
Correct
--------------------------------------------------------------------------------
12.
Correct ________ negligence provides that a plaintiff must be less than fifty percent responsible for causing his or her own injuries in order to recover damages from the defendant.
Your Answer:
Partial comparative
Correct
--------------------------------------------------------------------------------
13.
Correct ________ holds that there are certain activities that can place the public at risk of injury, even if reasonable care is taken, and that the public should have some means of compensation if such injury occurs.
Your Answer:
Strict liability
Correct
--------------------------------------------------------------------------------
14.
Incorrect Strict liability was first imposed for ________.
Your Answer:
negligence
Correct Answer:
abnormally dangerous activities
Strict liability was first imposed for abnormally dangerous activities
Generally, a successful plaintiff in a trade secret action can ________.
Your Answer:
recover the profits made by the offender from the use of the trade secret
Correct Answer:
all of the above
Generally, a successful plaintiff in a trade secret action can recover the profits made by the offender from the use of the trade secret, recover for damages, and obtain an injunction prohibiting the offender from divulging or using the trade secret.
--------------------------------------------------------------------------------
2.
Incorrect Which of the following courts is a special federal appeals court that hears patent appeals from federal courts concerning patent issues, and whose purpose is to promote uniformity in patent law?
Your Answer:
The United States Supreme Court for the Federal Circuit in Washington, D.C.
Correct Answer:
The United States Court of Appeals for the Federal Circuit in Washington, D.C.
The United States Court of Appeals for the Federal Circuit in Washington, D.C. is a special federal appeals court that hears patent appeals from federal courts concerning patent issues, and whose purpose is to promote uniformity in patent law.
--------------------------------------------------------------------------------
3.
Incorrect Patents for inventions are valid for ________ years, while design patents are valid for ________ years.
Your Answer:
twenty-five; seventeen
Correct Answer:
twenty; fourteen
Patents for inventions are valid for twenty years, while design patents are valid for fourteen years.
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4.
Incorrect In terms of patent protection, the United States follows the ________ rule, rather than the ________ rule.
Your Answer:
first-to-capitalize; first-to-socialize
Correct Answer:
first-to-invent; first-to-file
In terms of patent protection, the United States follows the first-to-invent rule, rather than the first-to-file rule.
--------------------------------------------------------------------------------
5.
Incorrect Which of the following categories of innovation can be patented under federal patent law?
Your Answer:
machines
Correct Answer:
all of the above
Federal patent law recognizes several categories of innovation that can be patented, including: (1) machines; (2) processes; (3) compositions of matter; (4) improvements to existing machines, processes, or compositions of matter; (5) designs for an article of manufacture; (6) asexually-reproduced plants; and (7) living material invented by a person.
--------------------------------------------------------------------------------
6.
Incorrect To be patented, an invention must be ________.
Your Answer:
novel
Correct Answer:
all of the above
To be patented, an invention must be novel, useful, and non-obvious.
--------------------------------------------------------------------------------
7.
Incorrect The one-year "on sale" doctrine is also called the ________ doctrine.
Your Answer:
private use
Correct Answer:
public use
The one-year "on sale" doctrine is also called the public use doctrine.
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8.
Incorrect Patent ________ occurs when someone makes an unauthorized use of another's patent.
Your Answer:
capitalism
Correct Answer:
infringement
Patent infringement occurs when someone makes an unauthorized use of another's patent.
--------------------------------------------------------------------------------
9.
Incorrect Only ________ writings are subject to copyright registration and protection.
Your Answer:
for-profit
Correct Answer:
tangible
Only tangible writings are subject to copyright registration and protection.
--------------------------------------------------------------------------------
10.
Correct The ________ of 1998 extended copyright protection to individuals who were granted copyright protection for their lifetime plus seventy years.
Your Answer:
Sonny Bono Copyright Term Extension Act
Correct
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11.
Incorrect The law permits certain limited unauthorized use of copyright materials under the ________ doctrine.
Your Answer:
fair play
Correct Answer:
fair use
The law permits certain limited unauthorized use of copyright materials under the fair use doctrine.
--------------------------------------------------------------------------------
12.
Incorrect Which of the following uses are protected under the fair use doctrine?
Your Answer:
quotation of the copyrighted work for review or criticism, or in a scholarly or technical work
Correct Answer:
all of the above
All of the following uses are protected under the fair use doctrine: (1) quotation of the copyrighted work for review or criticism, or in a scholarly or technical work; (2) use in a parody or satire; (3) brief quotation in a news report; (4) reproduction by a teacher or student of a small part of the work to illustrate a lesson; (5) incidental reproduction of a work in a newsreel or broadcast of an event being reported; and (6) reproduction of a work in a legislative or judicial proceeding.
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13.
Incorrect Which of the following federal laws provide federal protection to trademarks, service marks, and other marks?
Your Answer:
The Sherman Antitrust Act
Correct Answer:
The Lanham Act
The Lanham Act provides federal protection to trademarks, service marks, and other marks.
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14.
Incorrect The word "mark" collectively refers to all but which of the following?
Your Answer:
service marks
Correct Answer:
collaborative marks
The word "mark" collectively refers to trademarks, service marks, certification marks, and collective marks. A collaborative mark does not exist, and is therefore not legally recognized.
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15.
Incorrect Ordinary words that are descriptive can qualify as a mark if they have taken on a ________ meaning.
Your Answer:
primary
Correct Answer:
secondary
Ordinary words that are descriptive can qualify as a mark if they have taken on a secondary meaning
In a sale on approval contract, acceptance of the goods occurs if the buyer ________.
Your Answer:
expressly indicates acceptance
Correct Answer:
all of the above
In a sale on approval contract, acceptance of the goods occurs if the buyer (1) expressly indicates acceptance, (2) fails to notify the seller of rejection of the goods within the agreed-upon trial period (or, if no time is agreed upon, a reasonable time), or (3) uses the goods inconsistently with the purpose of the trial (e.g., the customer resells the computer to another person).
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2.
Incorrect In a sale on approval contract, when do risk of loss and title pass to the buyer?
Your Answer:
when the contract is formed
Correct Answer:
when the buyer accepts the goods
In a sale on approval contract, risk of loss and title pass to the buyer when the buyer accepts the goods.
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3.
Incorrect In a sale or return contract, when do risk of loss and title to goods pass to the buyer?
Your Answer:
when the buyer revokes acceptance of the goods
Correct Answer:
when the buyer takes possession of the goods
In a sale or return contract, risk of loss and title to goods pass to the buyer when the buyer takes possession of the goods.
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4.
Incorrect In a consignment, a(n) ________ delivers goods to a(n) ________ to sell.
Your Answer:
licensee; licensor
Correct Answer:
consignor; consignee
In a consignment, a consignor delivers goods to a consignee to sell.
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5.
Incorrect A consignment is treated as a ________ under the Uniform Commercial Code (UCC) that is, title and risk of loss of the goods pass to the consignee when the consignee takes possession of the goods.
Your Answer:
return on sale
Correct Answer:
sale or return
A consignment is treated as a "sale or return" under the Uniform Commercial Code (UCC) that is, title and risk of loss of the goods pass to the consignee when the consignee takes possession of the goods.
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6.
Incorrect A seller breaches a sales contract if he or she tenders or delivers ________ goods to the buyer.
Your Answer:
unconditional
Correct Answer:
nonconforming
A seller breaches a sales contract if he or she tenders or delivers nonconforming goods to the buyer.
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7.
Incorrect A buyer breaches a sales contract if he or she ________.
Your Answer:
rejects non-conforming goods
Correct Answer:
refuses to take delivery of conforming goods
A buyer breaches a sales contract if he or she refuses to take delivery of conforming goods.
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8.
Incorrect In the case of an ordinary lease, if the lessor is a merchant, the risk of loss passes to the lessee on the
Your Answer:
lessee's payment for the goods.
Correct Answer:
lessee's receipt of the goods.
In the case of an ordinary lease, if the lessor is a merchant, the risk of loss passes to the lessee on the lessee's receipt of the goods.
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9.
Incorrect If the lease is a finance lease and the supplier is a merchant, the risk of loss passes to the lessee on the ________.
Your Answer:
lessee's payment for the goods
Correct Answer:
lessee's receipt of the goods
If the lease is a finance lease and the supplier is a merchant, the risk of loss passes to the lessee on the lessee's receipt of the goods.
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10.
Incorrect Which of the following is an accurate statement regarding an insurable interest in goods?
Your Answer:
A seller has an insurable interest in goods as long as he or she retains title or has a security interest in the goods.
Correct Answer:
All of the above
A seller has an insurable interest in goods as long as he or she retains title or has a security interest in the goods. A lessor retains an insurable interest in the goods during the term of the lease. A buyer or lessee obtains an insurable interest in the goods when they are identified in the sales or lease contract.
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11.
Incorrect In a case where a buyer purchases goods or a lessee leases goods from a thief who has stolen them, the purchaser does not acquire title to the goods and the lessee does not acquire any leasehold interest in the goods. The real owner can reclaim the goods from the purchaser or lessee. This is called ________ title.
Your Answer:
fee simple absolute
Correct Answer:
void
In a case where a buyer purchases goods or a lessee leases goods from a thief who has stolen them, the purchaser does not acquire title to the goods and the lessee does not acquire any leasehold interest in the goods. The real owner can reclaim the goods from the purchaser or lessee. This is called void title.
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12.
Incorrect If an owner entrusts the possession of his or her goods to a merchant who deals in goods of that kind, the merchant has the power to transfer all rights (including title) in the goods to a buyer in the ordinary course of business. The real owner cannot reclaim the goods from this buyer. This is called the ________ rule.
Your Answer:
due diligence
Correct Answer:
entrustment
If an owner entrusts the possession of his or her goods to a merchant who deals in goods of that kind, the merchant has the power to transfer all rights (including title) in the goods to a buyer in the ordinary course of business. The real owner cannot reclaim the goods from this buyer. This is called the entrustment rule.
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13.
Incorrect A(n) ________ is a person to whom a lease interest can be transferred from a person with voidable title.
Your Answer:
good faith purchaser for value
Correct Answer:
good faith subsequent lessee
A good faith subsequent lessee is a person to whom a lease interest can be transferred from a person with voidable title. The real owner cannot reclaim the goods from the subsequent lessee until the lease expires.
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A ________ is an unconditional written promise by one party to pay money to another party.
Your Answer:
sight draft
Correct Answer:
promissory note
A promissory note is an unconditional written promise by one party to pay money to another party.
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2.
Incorrect A party who makes a promise to pay is the ________ of a note.
Your Answer:
drawer
Correct Answer:
maker
A party who makes a promise to pay is the maker of a note.
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3.
Incorrect The party to whom the promise to pay is made is the ________.
Your Answer:
maker
Correct Answer:
payee
The party to whom the promise to pay is made is the payee.
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4.
Correct Promissory notes can be payable at either ________ or ________.
Your Answer:
a specific time; on demand
Correct
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5.
Incorrect Promissory notes that are secured by real estate are called ________ notes.
Your Answer:
personal property
Correct Answer:
mortgage
Promissory notes that are secured by real estate are called mortgage notes.
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6.
Incorrect Promissory notes that are secured by personal property are called ________ notes.
Your Answer:
installment
Correct Answer:
collateral
Promissory notes that are secured by personal property are called collateral notes.
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7.
Incorrect A certificate of ________ is a special form of note that is created when a depositor deposits money at a financial institution in exchange for the institution's promise to pay back the amount of the deposit plus an agreed-upon rate of interest upon the expiration of a set time period agreed upon by the parties.
Your Answer:
insurance
Correct Answer:
deposit
A certificate of deposit is a special form of note that is created when a depositor deposits money at a financial institution in exchange for the institution's promise to pay back the amount of the deposit plus an agreed-upon rate of interest upon the expiration of a set time period agreed upon by the parties.
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8.
Incorrect Certificates of deposit (CDs) under ________ in amount are commonly referred to as small CDs, while CDs of ________ or more are usually called jumbo CDs.
Your Answer:
$50,000; $100,000
Correct Answer:
$100,000; $100,000
Certificates of deposit (CDs) under $100,000 in amount are commonly referred to as small CDs, while CDs of $100,000 or more are usually called jumbo CDs.
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9.
Incorrect The Uniform Commercial Code (UCC) ________ requirement requires that a negotiable instrument must be signed by the maker if it is a note or certificate of deposit and by the drawer if it is a check or draft.
Your Answer:
declaration
Correct Answer:
signature
The Uniform Commercial Code (UCC) signature requirement requires that a negotiable instrument must be signed by the maker if it is a note or certificate of deposit and by the drawer if it is a check or draft.
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10.
Incorrect To be a negotiable instrument under Uniform Commercial Code (UCC) 3-104, a writing must contain either a(n) ________ promise or order to pay.
Your Answer:
qualified
Correct Answer:
unconditional
To be a negotiable instrument under Uniform Commercial Code (UCC) 3-104, a writing must contain either an unconditional promise or order to pay.
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11.
Incorrect The Uniform Commercial Code (UCC) requires that negotiable instruments be payable either to ________ or to ________.
Your Answer:
drawer; drawee
Correct Answer:
order; bearer
The Uniform Commercial Code (UCC) requires that negotiable instruments be payable either to order or to bearer.
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12.
Correct A bearer instrument is payable to ________.
Your Answer:
anyone in physical possession of the instrument who presents it for payment when it is due
Correct
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13.
Incorrect To be negotiable, an instrument must contain a promise or order to pay a(n) ________ amount of money.
Your Answer:
conditional
Correct Answer:
fixed
To be negotiable, an instrument must contain a promise or order to pay a fixed amount of money.
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14.
Incorrect The Uniform Commercial Code (UCC) defines ________ as a "medium of exchange authorized or adopted by a domestic or foreign government as part of its currency."
Your Answer:
a promissory note
Correct Answer:
money
The Uniform Commercial Code (UCC) defines money as a "medium of exchange authorized or adopted by a domestic or foreign government as part of its currency."
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15.
Incorrect A(n) ________ clause allows the payee or holder to accelerate payment of the principal amount of an instrument, plus accrued interest, upon the happening of an event (for example, a default).
Your Answer:
due-on-sale
Correct Answer:
acceleration
An acceleration clause allows the payee or holder to accelerate payment of the principal amount of an instrument, plus accrued interest, upon the happening of an event (for example, a default).
The Food, Drug and Cosmetic Act (FDCA) prohibits the shipment, distribution, or sale of ________ food.
Your Answer:
moderated
Correct Answer:
adulterated
The Food, Drug and Cosmetic Act (FDCA) prohibits the shipment, distribution, or sale of adulterated food.
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2.
Correct In 2000, more than 150 countries, including the United States, agreed to the United Nations-sponsored ________ for genetically altered foods.
Your Answer:
Biosafety Protocol
Correct
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3.
Incorrect The ________ is an independent federal administrative agency empowered to (1) adopt rules and regulations to interpret and enforce the Consumer Product Safety Act, (2) conduct research on the safety of consumer products, and (3) collect data regarding injuries caused by consumer products.
Your Answer:
United States Commerce Department
Correct Answer:
Consumer Product Safety Commission
The Consumer Product Safety Commission is an independent federal administrative agency empowered to (1) adopt rules and regulations to interpret and enforce the Consumer Product Safety Act, (2) conduct research on the safety of consumer products, and (3) collect data regarding injuries caused by consumer products.
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4.
Incorrect Which of the following federal agencies is authorized to adopt and enforce the Family Smoking Prevention and Tobacco Control Act?
Your Answer:
the Agency for Healthcare Research and Quality
Correct Answer:
the Food and Drug Administration
The federal Food and Drug Administration (FDA), a federal government agency, is authorized to enforce the Family Smoking Prevention and Tobacco Control Act and adopt rules to implement the provisions of the act.
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5.
Correct The ________ is empowered to enforce the Federal Trade Commission Act, as well as other federal consumer protection statutes.
Your Answer:
Federal Trade Commission
Correct
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6.
Correct Section ________ of the Federal Trade Commission Act prohibits unfair and deceptive practices.
Your Answer:
5
Correct
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7.
Incorrect ________ is a type of deceptive advertising under Section 5 of the Federal Trade Commission Act.
Your Answer:
Push and shove
Correct Answer:
Bait and switch
Bait and switch is a type of deceptive advertising under Section 5 of the Federal Trade Commission Act.
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8.
Incorrect Consumers can place their names on the Do-Not-________ Registry and free themselves from most unsolicited commercial telephone calls.
Your Answer:
Castigate
Correct Answer:
Call
Consumers can place their names on the Do-Not-Call Registry and free themselves from most unsolicited commercial telephone calls.
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9.
Incorrect Telemarketers have ________ months from the date on which a consumer signs up for the Do-Not-Call Registry to remove the customer's phone number from their sales call list.
Your Answer:
two (2)
Correct Answer:
three (3)
Telemarketers have three (3) months from the date on which a consumer signs up for the Do-Not-Call Registry to remove the customer's phone number from their sales call list.
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10.
Incorrect There is an established business relationship exception to the Do-Not-Call Registry that allows businesses to call customers for ________ months after they sell or lease goods or services to that person or conduct a financial transaction with that person.
Your Answer:
nine (9)
Correct Answer:
ten (10)
There is an established business relationship exception to the Do-Not-Call Registry that allows businesses to call customers for ten (10) months after they sell or lease goods or services to that person or conduct a financial transaction with that person
limited liability company is formed by delivering articles of ________ to the office of the secretary of state of the state of organization for filing.
Your Answer:
incorporation
Correct Answer:
organization
A limited liability company is formed by delivering articles of organization to the office of the secretary of state of the state of organization for filing.
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2.
Incorrect The articles of organization of an LLC may be amended at any time by filing articles of ________ with the secretary of state.
Your Answer:
change
Correct Answer:
amendment
The articles of organization may be amended at any time by filing articles of amendment with the secretary of state.
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3.
Incorrect A limited liability company is a(n) ________ limited liability company unless it is designated as a(n) ________ limited liability company.
Your Answer:
term; at-will
Correct Answer:
at-will; term
A limited liability company is an at-will limited liability company unless it is designated as a term limited liability company.
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4.
Incorrect A limited liability company's operating agreement may provide that a member's ownership interest may be evidenced by a certificate of ________ issued by the limited liability company. The certificate of ________ acts the same as a stock certificate issued by a corporation.
Your Answer:
principle; principle
Correct Answer:
interest; interest
A limited liability company's operating agreement may provide that a member's ownership interest may be evidenced by a certificate of interest issued by the limited liability company. The certificate of interest acts the same as a stock certificate issued by a corporation.
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5.
Incorrect Members of a limited liability company may enter into a(n) ________ agreement that regulates the affairs of the company and the conduct of its business and governs relations among the members, managers, and company.
Your Answer:
functionality
Correct Answer:
operating
Members of a limited liability company may enter into an operating agreement that regulates the affairs of the company and the conduct of its business and governs relations among the members, managers, and company.
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6.
Incorrect A member's ownership interest in a limited liability company is called a(n) ________ interest.
Your Answer:
proportional
Correct Answer:
distributional
A member's ownership interest in a limited liability company is called a distributional interest.
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7.
Incorrect The owners of limited liability companies are usually called ________.
Your Answer:
partners
Correct Answer:
members
The owners of limited liability companies are usually called members.
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8.
Correct A limited liability company can be either a(n) ________-managed limited liability company or a(n) ________-managed limited liability company.
Your Answer:
member; manager
Correct
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9.
Incorrect In a(n) ________-managed limited liability company, each member has equal rights in the management of the business of the limited liability company.
Your Answer:
manager
Correct Answer:
member
In a member-managed limited liability company, each member has equal rights in the management of the business of the limited liability company.
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10.
Correct In a(n) ________-managed limited liability company, the members and nonmembers who are designated managers control the management of the limited liability company.
Your Answer:
manager
Correct
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11.
Incorrect A member of a member-managed limited liability company and a manager of a manager-managed limited liability company owe a fiduciary duty of ________ to the limited liability company. This means that these parties must act honestly in their dealings with the limited liability company.
Your Answer:
due care
Correct Answer:
loyalty
A member of a member-managed limited liability company and a manager of a manager-managed limited liability company owe a fiduciary duty of loyalty to the limited liability company. This means that these parties must act honestly in their dealings with the limited liability company.
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12.
Incorrect After dissolution and winding up, a limited liability company may end its existence by filing articles of ________ with the secretary of state.
Your Answer:
expedition
Correct Answer:
termination
