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Questions and Answers of Business Law

Does the Magnuson-Moss Warranty Act apply in this case? Is the re-roofing of a home a “consumer product” under the Act?
1. Does the Magnuson-Moss Warranty Act apply to all warranties?2. Is a house a consumer product?3. What about a product that is attached to a house, such as an air conditioner or hot water heater?
1. Is a new roof real estate or a consumer product?2. So where do you draw the line? What about new windows? Or a new carpet?
What obligations does a salesperson have to consumers? Why not simply adopt the rule, “Buyer Beware”?
Match the following terms with their definitions:___ A. EPA___ B. ESA___ C. NEPA___ D. CERCLA___ E. RCRA1. Regulates the clean-up of hazardous wastes improperly dumped in the past2. Establishes rules
True and False1. In establishing national standards under the Clean Air Act, the EPA need not consider the cost of compliance.2. The Clean Water Act requires anyone discharging pollution into water
1. Which of the following statements is true of Superfund?I. Anyone who has ever owned a site is liable for clean-up costs.II. Anyone who has ever transported waste to a site is liable for clean-up
Tariq Ahmad owned Shankman Laboratories. He decided to dispose of some of the lab’s hazardous chemicals by shipping them to his home in Pakistan. He sent the chemicals to Castelazo & Associates (in
The marbled murrelet is a rare seabird that nests only in old-growth forests on the West Coast. Logging has destroyed so much of its habitat that its numbers in California have declined from 60,000
YOU BE THE JUDGE WRITING PROBLEM: The Lordship Point Gun Club operated a trap and skeet shooting club in Stratford, Connecticut, for 70 years. During this time, customers deposited close to 5 million
Suppose that you are the manager of the General Motors Hummer plant in Mishawaka, Indiana.Hummers are the successor to the U.S. Army jeep and have become popular recreational vehicles among the rich
Nucan Aluminum Corp. hired Mozart Co. to dispose of an emulsion it used during manufacturing. This emulsion contained hazardous materials. Without Nucan’s knowledge, Mozart dumped the emulsion into
Did the EPA act arbitrarily and capriciously in requiring the NGS to spend half a billion dollars to improve winter visibility at the Grand Canyon by at most 7%?
1. How much would the Navaho Generating Station have to spend to comply with the EPA order to reduce its sulfur dioxide emissions?2. What benefit would NGS and the public at large gain from this
1. How many visitors do you think there are to the Grand Canyon in the winter months?2. What is the cost per visitor of the proposed EPA order?
Is a canal a point source when it transmits pollutants that it did not create?
1. Why did the defendants want C-11 defined as a point source?2. What did the court say about point sources?
Why did the District argue that C-11 was not a point source?
Did Kelly violate the RCRA?
1. Who was accused of doing something wrong in this case?2. What legal claim was made by the U.S. Federal Government against the Defendant?3. What was the Courts decision?
What was Kelly’s defense?
If the owner of a contaminated site has not been sued under CERCLA but has paid cleanup costs, can it seek contribution from prior owners of the property?
Match the following terms with their definitions:___ A. S Corp___ B. Dissociation___ C. Close corp___ D. Dissolution___ E. Limited partnership1. The first step in the process of terminating a
True or False:1. Sole proprietorships must file a tax return.2. Ownership in a partnership is not transferable.3. Creditors of a partnership must first seek recovery from partnership assets before
Multiple-Choice Questions1. CPA QUESTION: Assuming all other requirements are met, a corporation may elect to be treated as an S corporation under the Internal Revenue Code if it has:A. Both common
Under Delaware law, a corporation cannot appear in court without a lawyer, but a partnership can. Fox Hollow Ventures, Ltd., was a limited liability company. One of its employees, who was not a
Alan Dershowitz, a law professor famous for his wealthy clients (O. J. Simpson, among others), joined with other lawyers to open a kosher delicatessen, Maven’s Court. Dershowitz met with greater
Mrs. Meadows opened a biscuit shop called The Biscuit Bakery. The business was not incorporated. Whenever she ordered supplies, she was careful to sign the contract in the name of the business, not
The Logan Wright Foundation (LWF), an Oklahoma corporation, was a partner in a partnership formed to operate two Sonic Drive-In restaurants. LWF argued that it was not responsible for Sonic’s taxes
1. Why do 76 percent of all small businesses choose to operate as sole proprietorships?2. Who establishes the rules to determine if a corporation is an S corp or a C corp?3. Who establishes the rules
Are the limitations on S corporations (one class of stock, etc.) serious restraints that dramatically impede an entrepreneur’s options or minor technicalities?
1. What is the goal of Superfund?2. Who polluted this site?3. Then why can’t Aviall seek contribution from Cooper if Cooper is also responsible for the pollution?
How does that make sense, didn’t Aviall do the right thing?
What arguments can you make that CERCLA should be reformed?
What arguments can you make that CERCLA should not be amended (or at least not weakened)?
Is the anti-takings provision of the ESA constitutional?
1. Who’s afraid of the big bad red wolf?2. What legal claim did the plaintiffs make against the Secretary of the Interior (Bruce Babbitt)?
Do the red wolves have a substantial impact on interstate commerce.
What general support for the ESA did the court offer?
Match the following terms with their definitions:___ A. ECPA___ B. Fourth Amendment to the Constitution___ C. CFAA___ D. COPPA___ E. CDA1. Regulates access to e-mail2. Regulates Internet service
True or False:1. The First Amendment to the Constitution protects bloggers who post insults about other people.2. Under the Gramm-Leach-Bliley Act, a financial institution cannot disclose private
1. Rory is concerned that the employees in her division are wasting too much time on personal matters. She would like to monitor them. Which of the following activities is she not allowed to do?A.
Matt Drudge published a report on his Web site (www.drudgereport.com) thatWhite House aide Sidney Blumenthal “has a spousal abuse past that has been effectively covered up. . . . There are court
To demonstrate the inadequacies of existing computer security systems, Cornell student Robert Morris created a computer virus. His plan, however, went awry, as plans sometimes do. He thought his
Nancy Garrity and Joanne Clark worked for John Hancock Mutual Life Insurance Company. On their office computers they regularly received sexually explicit e-mails from friends and from Internet joke
What can you do to protect your privacy online? Draw up a concrete list of steps that you might reasonably consider. Are there some actions that you would not be willing to take, either because they
During the course of 10 months, Joseph Melle sent more than 60 million unsolicited e-mail advertisements to AOL members. What charges could be brought against him?
How is online privacy currently guarded?
Should investigators be entitled to review all files on a computer? What if the files had been deleted? What if they would reveal the identity of a vicious murderer? What can you do to protect
Did Professor Angevine have a reasonable expectation of privacy in his office computer?
1. What illegal material did Professor Angevine store on his university computer?2. How did the police find this illegal material?3. Did the police obtain a search warrant before conducting this
Was the court right? Was Professor Angevine unreasonable in assuming that his university computer was private?
1. But Professor Angevine erased the material. Couldn’t you argue that he has a reasonable expectation in deleted material?2. Under what circumstances would Professor Angevine have had a reasonable
Did Scott have a right to privacy in e-mails he sent to his lawyer using the BI system?
Which provision of the Electronic Communication Privacy Act applies to Scott’s e-mails?
1. Scott was e-mailing his lawyer, so the content of the e-mails should be privileged by the attorney-client privilege. Should that trump the employer’s right to monitor his e-mail?2. What should
Would a reasonable person find this intrusion offensive? Does an employee have a reasonable expectation of privacy in his e-mail files?
1. What is the legal standard for an invasion of privacy suit? What must a plaintiff prove to win such a suit?2. If you were McLaren, what arguments would you make to show that you had a reasonable
1. Who owned the e-mail system that McLaren used? Who established it?2. What was the purpose of the e-mail system? Why did Microsoft set it up?3. Why did Microsoft care about the contents of
Does the Washington anti-spam law violate the Commerce Clause of the Constitution?
1. How many spam messages did Jason Heckel send per week?2. Was he honest in disclosing who had sent the messages?3. Under what circumstances does a statute violate the Commerce Clause?
What did the Washington law prohibit?
Did this statute unduly burden interstate commerce?
How did the state benefit from prohibiting spam?
What burden does this statute impose on spammers?
Does the CDA protect Matchmaker from liability?
1. What role did Matchmaker play in developing the content that was posted as a profile of Carafano?2. Was Matchmaker a content provider?3. Is Matchmaker liable?
1. Why did Congress make ISPs immune from liability for material posted online by others under the Communications Decency Act?2. Can Carafano recover damages from anyone?
Are GTE and PSINet liable for the posting and sale of unauthorized videos? Should their motion to dismiss be granted?
1. What is the difference between an ISP and a web host?2. What is the argument for protecting ISPs from liability for content?3. Is there an argument that web hosts should be treated differently
1. How difficult would it have been for GTE or PSINet to determine that the nude videos had been made without the plaintiffs’ permission?2. Did the court make the right decision in this case?
1. How much would you be willing to pay for a recording of your favorite band in concert?2. How are these recordings made?3. Is eBay liable for selling illegal items?
1. Should the CDA apply to eBay?2. But don’t web hosts do that, too?
Match the following terms with their definitions:___ A. Patent___ B. Copyright___ C. Trade secrets___ D. Trademark___ E. Paris Convention1. Protects the particular expression of an idea2. Words that
True or False:1. T F Once you have purchased a CD and copied it onto your iPod, it is legal to give the CD to a friend.2. A provisional patent lasts until the product is used in interstate
1. To obtain a patent, an inventor must show that her invention meets all of the following tests, except:A. It has not ever been used anyplace in the world.B. It is a new idea.C. It has never been
Rebecca Reyher wrote (and copyrighted) a children’s book entitled My Mother Is the Most Beautiful Woman in the World. The story was based on a Russian folktale told to her by her own mother. Years
A man asked a question of the advice columnist at his local newspaper. His wife had thought of a clever name for an automobile. He wanted to know if there was any way they could own or register the
Frank B. McMahon wrote one of the first psychology textbooks to feature a light and easily readable style. He also included slang and examples that appealed to a youthful student market. Charles G.
After Edward Miller left his job as a salesperson at the New England Insurance Agency, Inc., he took some of his New England customers to his new employer. At New England, the customer lists had been
In the documentary movie, Expelled: No Intelligence Allowed, there is a 15-second clip of “Imagine,” a song by John Lennon. His wife and sons, who held the copyright, sued to block this use of
Is it true that “he who lights his taper at mine receives light without darkening mine”?
1. Is data processing software patentable?2. How is this different from a2 + b2 = c2?
1. Are mathematical formulas patentable?2. What did Signature patent?
1. Will this patent (and others like it) promote the development of intellectual property by protecting a novel idea or stifle innovation by limiting who can use it?2. What about Priceline’s claim
1. Why is this activity illegal?2. What is the harm? Record companies make so much money anyway.
Come on, what’s the harm in copying a few songs off the Internet?
Do Google’s thumbnail displays of Perfect 10’s photos violate copyright law? Are they a fair use?
1. What must a person prove in order to win an infringement action:2. Didn’t Google copy Perfect 10’s work?3. Then why is that not a copyright violation?
How does this doctrine make sense? It seems to fly in the face of the purpose of copyright protection.
Were Grokster and StreamCast violating copyright law?
1. What is a peer-to-peer network?2. Is there any legitimate use for a peer-to-peer network?3. Then why would it be illegal to use the peer-to-peer software?
Is that what Grokster and the other defendants did?
1. Is intent to violate the law enough to create liability?2. Why didn’t the court just tell the plaintiffs to go after those users who were directly infringing copyright law?
What’s wrong with downloading music or movies for free? Everyone does it.
1. Does the Lanham Act permit a color to be trademarked?2. How did Qualitex distinguish its press pads from those of its competitors?3. Why didn't Qualitex simply put its name on the pads?
1. Can any color be trademarked?2. Can you give an example of a color that could not be trademarked?3. Can you think of other colors that identify the sources of products?
Suppose that Loretta opens a candy shop on Main Street. Wary about her potential liability serving food to the public, she incorporates her business. However, she fails to follow the manufacturer’s
1. Would you be worried about trademark issues?2. What can Warner Bros. do now?
The trademark search revealed no similar names, so Warner was safe, right?

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