Questions and Answers of Business Its Legal Ethical

LVM has registered trademarks for “LOUIS VUITTON” in connection with luggage and ladies’ handbags (the “LOUIS VUITTON mark”) and for a stylized monogram of “LV,” used in connection with
Rich Leivenberg and Jane Wyler, founders of the company Reuseniks, developed a new product called reusable dry cleaning bags. Ms. Wyler met another couple in 2008 and explained to them her plan to
GM developed an ad for its Terrain utility vehicle that featured a tattooed, shirtless image of Albert Einstein with “his underpants on display.” The body featured in the ad with Dr. Einstein’s
Yankee Candle Company, a leading manufacturer of scented candles, sued competitor Bridgewater Candle Company for trade name and trade dress infringement. Yankee alleged that Bridgewater’s labels
The San Diego Chicken, a mascot at professional baseball games, has a portion of his act in which he grabs a purple dinosaur and stomps it, stamps it, pounds it, and pummels it. Lyons Partnership,
British Airways and Virgin Atlantic Airlines discussed fuel surcharges at least six times during an 18-month period from 2005 through 2006. As a result, the two companies’ fuel surcharges rose in
Christie’s International and Sotheby’s, international auction houses for art and estate items, are known for their handling of the estates and property of the rich and famous, such as the estate
In Arizona, fees for title insurance searches and policies were established by rating bureaus established by the title companies. The bureaus recommended rates to the state, and the state adopted
In April 1965, Berkeley Heights Shopping Center leased 11,514 square feet of space to A&P Supermarkets. Under the terms of the lease, Berkeley agreed not to lease any other shopping center space
Since 1978, when the first warnings emerged from medical research about using “sun tan lotion,” ads for the products have created some confusion. There were “sunblocks,” “sunscreens,” and
Janet S. Milliken purchased a home from Kathleen and Joseph Jacono through ReMax agents Fran Day and Thomas O’Neil. Neither the sellers nor their agents disclosed to Ms. Milliken that the prior
Boeing Company was scheduled to deliver several of its 747-400 jumbo jetliners to Northwest Airlines by December 31, 1988. Northwest set that deadline because it needed the $16 million in investment
A 30-minute infomercial for the DeLonghi America Caffe Sienna espresso/cappuccino machine included this statement from the host/announcer:Brew cappuccino just like the pros do right at
Beck’s Beer originated and was brewed in Germany from 1873 until 2012, when the Anheuser–Busch Companies, LLC, acquired the brand and began brewing Beck’s in St. Louis, Missouri. The fact that
On August 6, 1998, Mr. Ruvolo purchased two chicken gordita sandwiches from Taco Bell. While eating the second sandwich, he felt a sharp pain in his throat and dislodged a chicken bone. The bone
Ms. Hubbs, 80, suffered from arthritis and osteoporosis. She purchased the Clapper, a device designed to turn electrical appliances on by responding to sound, namely, the clapping of hands.Ms. Hubbs
On February 14, 1999, Garry O. Hickman opened a pack of Big Red gum, which is manufactured by Wrigley. Mr. Hickman purchased the gum at a grocery store on the evening of February 13, 1999. Mr.
New Colt Holding Corporation advertises its Model P single-action revolver as “the gun that won the west.” Competitors have filed suit for false advertising because historical significance is
Harold Vogel, an experienced gem appraiser, is a member of the American Society of Appraisers. Mr. Vogel’s fee for his work is based on a percentage of the value of the appraised item. The society
Booklocker, Inc., is a print-on-demand (POD) book company that specializes in handling the printing of a run of books when there is an online order for those books. Amazon.com facilitated such orders
Amanda Reiss had completed her residency in ophthalmology in Portland, Oregon, and was moving to Phoenix, Arizona, to start her practice. She began looking for office space and met with a leasing
Robert Hackett became a substitute fireman for the city of New Britain, Connecticut, in 1949. In 1950, he was made a full-time fireman and in 1968 became a lieutenant. After earning the highest mark
Jennifer Cushman has a permanent residence in Pennsylvania but attended college in Vermont. In the summer of 1993, an unknown person, possibly a member of her household in Philadelphia, applied under
Leonidas Kavakos, a celebrated and international violinist, purchased a rare and historic French violin bow made by J. Henry in 1850, paying €65,000. Nazaret Mkhsi-Gevorkian owns Gevorkian Nazareth
Bernina Sewing Machines imports sewing machines and parts for U.S. distribution. Its contract prices are in francs. Because of the devaluation of the U.S. dollar, Bernina wants to be excused from its
Lululemon ordered Luon fabric for its famous black yoga pants from a supplier. The fabric was made into yoga pants, which were then sold in Lululemon stores. A wave of customer complaints followed
On December 5, 1997, Michael Dekofsky and Christopher Vrakelos sold Brea Range, Inc., an indoor shooting range, to Michael J. and Kimberly A. Hansen for $140,000. The Hansens paid $70,000 cash and
Nation Enterprises, Inc., purchased a large (36 by 3 feet) gasfired convection oven from Enersyst, Inc., to make its pizza crusts. The oven had problems that the parties were working to resolve, but
Aon Risk Services, Inc. (ARS Arkansas), and Combined Insurance Companies are subsidiaries of Aon Corporation. Aon issued an "Interdependency Memo" in February 2000, which was designed to motivate ARS
Ronald Semler was a trustee for the Semler Family Trust. The Trust was presented with an opportunity to participate in a private placement investment in ARI Overland Management LLC. Semler agreed to
On March 23, 1994, Northern Distributing Company made two offers to purchase two brands of beer carried by Keis Distributors, Inc.: 683,136 cases of Genesee beer at $1.75 per case and 95,632 cases of
Mace Industries, Inc., sent a quotation to Paddock Pools for water treatment equipment. Paddock responded with a purchase order that had the following written on its reverse side:“THE SELLER AGREES
Dr. Cook is a licensed dentist who devotes less than 50 percent of his practice to the work of fitting and making dentures. Mrs. Downing is a patient of Dr. Cook who was fitted for dentures. Mrs.
Maria Cantu had a teaching contract with the San Benito Consolidated Independent School District. She hand-delivered to her supervisor a written offer to resign. Three days later, the superintendent
In September of 1988, Jane Pittsley contracted with Hilton Contract Carpet Co. for the installation of carpet in her home. The total contract price was $4,402. Hilton paid the installers $700 to put
Larry Dobbs, Frances Dobbs, Wayne Richard, and Lorena Richard live in rural Illinois next to Donald Wiggins. The Dobbses and Richards have lived on their properties for 30 years. Mr. Wiggins
CNH owns approximately 100 acres of land near Lake Michigan and operated a foundry and tractor assembly plant there. In July 2004, CNH and Champion entered into a contract that required Champion to
The Sawtooth National Forest established its first travel plan map in 1989. The travel plan map was reprinted in 2002. The maps show visitors to the area the system of roads and trails available for
The Natural Resources Defense Council, Inc.; the Humane Society of the United States; the Cetacean Society International; the League for Coastal Protection; the Ocean Futures Society; and Jean-Michel
Joseph Marcantuone and Robert Gieson owned a shopping center in which one of the spaces was always leased as a dry cleaners. Eventually, the city of East Orange, New Jersey, took the property by
Holex Company purchased a property in Hollister, California, in 1957. From 1957 through 1980, Holex manufactured and tested military munitions under contract with the U.S. government. Whitaker
A group of landowners situated near the Sanders Lead Company brought suit to recover for damages to their agricultural property from accumulations of lead particulates and sulfur oxide deposits
American Rivers, a national river conservation organization, the Environmental Defense Fund, and several national and local environmental organizations brought suit against the U.S. Army Corps of
Joseph Mosca and 23 others boarded a sportfishing boat for a day of fishing off San Clemente Island. David Lichtenwalter, one of the fishermen, was fishing off the stern near Mr. Mosca. Mr.
Patricia Holguin went to Sally’s Beauty Supply Store carrying her “eco-friendly canvas shopping tote,” a large bag that is conspicuous when used. Upon entering the store, there were no posted
E*Trade Financial Corporation ran a memorable ad during the 2010 NFL Super Bowl in which a baby boy and a baby girl are chatting online via the use of a webcam. The dialogue between the two babies,
On the day after Thanksgiving, November 28, 2008, Walmart held a nationwide sale of a limited number of sharply discounted televisions, computers, and video game sets. The “blitz sale” had been
Ads on Times Square that feature well-known personalities clad in brand-name items are not unusual. However, the building-size photo of President Obama in a Weatherproof Garment Company jacket in an
The CBS news show 60 Minutes pulled from programming a scheduled airing of an interview with a Jeffrey S. Wigand, a former tobacco executive, when threats of both libel and tortious interference with
Rhodes tripped over a hospital cord while visiting a patient in the Detroit Medical Center. She fell and was injured. She filed suit against the hospital for negligence in the condition of its
In the May 31, 2004, issue of The Weekly Standard, editor Fred Barnes wrote the following commentary:A FEW YEARS AGO Michael Moore, who’s now promoting an anti-President Bush movie entitled
Harlan Nolte and others invested in IFC Leasing Company, a master music recording leasing program. The company was created to acquire and lease master music recordings. Jerry Denby, the executive
Jason Jones, a 19-year-old U.S. Naval Academy midshipman, killed John and Carole Hall when he collided with the rear of their car, which was on the shoulder of the road. Mr. Jones was driving 80 to
Bobby Unser (three-time Indy winner) and a friend went snowmobiling near Unser’s ranch in northern New Mexico. While on their short ride, a ground blizzard resulted in near zero visibility. The two
Odessa Mae French operated the Pines Motel as a house of prostitution for seven years. During that time, Ms. French avoided any local law enforcement action by allowing the sheriff to have free
Bernard Saul was a salesperson for A. P. Walter Company, a wholesale auto parts business, assigned to the D&S Auto Parts account. Mr. Saul took inventory at D&S each week and phoned in an
The owner of a construction firm in New York City, William Lattarulo, has been charged with manslaughter in the death of one of his workers. Lauro Ortega suffocated when the foundation of a building
Michael Friedman, Paul Goldenheim, and Howard Udell were executives at Purdue Frederick Company when it misbranded the drug OxyContin. The misbranding dealt with their company’s marketing and
Rooney Enterprises, Inc., operated a cemetery in Franklin County, Virginia. A state law requires companies that receive advance payments for funeral expenses and burial plots to put those funds into
A group of smokers (Respondents) brought suit against tobacco producer Altria, alleging that they were misled by the Altria and other cigarette producers’ (Petitioners) ads and labels on its
The Food and Drug Administration (FDA) is concerned about laser eye surgery, noting that an industry concerned with correcting vision is spawning joint ventures, holding wine-and-cheese seminars to
Countrywide, the problem mortgage company that was acquired by Bank of America, was once the largest mortgage lender in the country and the biggest supplier of mortgages to Fannie Mae€™s
Tom Welch and Dave Johnson, two officials of the Salt Lake City Olympic Committee, were charged with bribery and racketeering for their alleged role in paying money to and giving rather large gifts
In 1973, Chevron and Ecuador signed an agreement allowing Chevron to develop Ecuadorian oil fields in exchange for providing below-market oil to the Ecuadorian government. The deal was set to expire
James H. Giffen, owner of Mercator Corporation, a New York company, made $78 million in payments to two government officials in Kazakhstan. He was charged with violations of the Foreign Corrupt
United Arab Shipping Company (UASC) is a corporation formed under the laws of Kuwait. Its capital stock is wholly owned by the governments of Kuwait, Saudi Arabia, the United Arab Emirates, Qatar,
The Western oil firms once were the dominant players in Kazakhstan, a Central Asian country that is rich in oil resources. However, the Justice Department indicted U.S. citizen James Giffen for
The European Union has developed a directive on privacy and e-mail. Nations within the EU are permitted to use e-mail for commercial transactions and can exchange information via e-mail. However,
Walid Azab Al-Uneizi was an employee of the Ministry of Defense of Kuwait. Liticia Guzel was an employee of the Willard Inter-Continental Hotel in Washington, D.C. One of her duties was restocking
When the Barings Bank bankruptcy occurred in 1995, Nick Leeson, the trader responsible for the immense losses the bank experienced after heavy derivative investments, fled to Germany. He was brought
Timothy Moher owns 440 acres of land on Sugar Island, Michigan. Sugar Island is located on the St. Mary’s River, which marks the international border between Canada and the United States. Mohr’s
The Thirty Meter Telescope is a project under construction in Hawaii under the direction of Cal Tech (2016) and was given a construction permit by the Hawaii Board of Land and Natural Resources. The
Hooked on Phonics is a reading program that departs from the current educational reading philosophy of “whole-language learning.” The program emphasizes the more traditional reading process of
AAR Airlift Group, Inc., is a civilian contractor that provides services to the Department of Defense (DOD). The United States Transportation Command (USTC) issued a request for proposals (RFP) to
Because of overcrowded conditions at the nation’s airports during the late 1960s, the Federal Aviation Administration (FAA) promulgated a regulation to reduce takeoff and landing delays at airports
Florida State University (FSU) was under investigation by the NCAA for various types of violations. FSU created a special website where the NCAA and university officials could communicate, send
Fed up with the warning signals and being outnumbered on the highways by drivers looking out for one another, police officers and state troopers began issuing tickets to those who send signals and
In 1989, the city of Cincinnati authorized Discovery Network, Inc., to place on public property freestanding news racks for distributing free magazines that consisted primarily of advertising for
Iowa passed a statute restricting the length of vehicles that could use its highways. The length chosen was 55 feet. Semitrailers are generally 55 feet long; double or twin tracks (one cab pulling
The Minnesota legislature enacted a 1977 statute banning the retail sale of milk in plastic nonreturnable, nonrefillable containers but permitting such sale in other nonrefillable containers, such as
Diana Levine, a folk singer from Vermont, suffered from migraine headaches. She was being administered Wyeth Laboratory’s Phenergan through an IV drip. Either because the IV needle entered
Bruce Church, Inc., is a company engaged in extensive commercial farming in Arizona and California. A provision of the Arizona Fruit and Vegetable Standardization Act requires that all cantaloupes
The Heart of Atlanta Motel, which has rooms available to transient guests, is located on Courtland Street, two blocks from downtown Peachtree Street in Atlanta, Georgia. It is readily accessible to
Mrs. Florence Dolan owned a plumbing and electric supply store on Main Street in Portland, Oregon. Fanno Creek flows through the southeastern corner of Mrs. Dolan’s lot, on which her store is
In October 1995, Saint Clair Adams applied for a job at Circuit City Stores, Inc., a now-defunct national retailer of consumer electronics. Mr. Adams signed an employment application that included
The SEC investigation of Tyco International for possible securities law violations produced several e-mails. The e-mails focused on two concerns about the company: accounting improprieties and the
Dr. John Sutter, a pediatrician, agreed with a number of other physicians to provide medical care for individuals insured with Oxford Health Plans. Oxford agreed to pay the physicians according to
Robert Joiner began work as an electrician in the Water & Light Department of Thomasville, Georgia, in 1973. Mr. Joiner worked with and around electrical transformers that contained a fluid. In
Applegate is in litigation with Magnifium over a contract breach. Applegate has been approached by a former janitor for Magnifium who can testify regarding conversations about the contract between
A discrimination suit by a former flight attendant against Atlantic East Airlines is going to trial. Jury selection has begun. An executive from Atlantic East notices that a member of the potential
After she was found guilty of obstruction of justice and conspiracy (see Chapter 8), lawyers for Martha Stewart filed a motion for a new trial on the grounds that a juror on the case had possible
Suppose that your company had received a letter complaint about one of the prescription drugs that it sells.The customer and his physician have complained that there were cardiovascular effects from
Craig Walters slipped and fell on a piece of banana in the meat department of a Kroger store and landed on his left hip and left elbow. Initially, Walters did not experience pain or other symptoms.
Janice Burns purchased a crockpot from Cooking, Inc. The handles on the crockpot were designed poorly and were too small for lifting. When Janice tried to lift it from the cooking element, the pot
The words “I’ve fallen and I can’t get up!” were part of a TV commercial for a device whose marketing was directed at the elderly and whose appeal was that the device was hooked to
Patricia Baker was a passenger aboard a Royal Caribbean Cruise Lines ship. She had purchased a ticket to participate in a mock pirate ship excursion tour in the Cayman Islands from E & H Cruises,
Where will the following cases be tried?a. A will contest that challenges the validity of a willb. A suit by a homeowner against his building contractor for $1.5 million for the failure to provide
Determine which court(s) would have jurisdiction over the following matters:a. The sale of securities without first registering them with the Securities and Exchange Commission, as required under 15
Troy Francis was driving his 2005 Mitsubishi Lancer automobile—equipped with a Bridgestone Potenza tire— on the Melvin Evans Highway on St. Croix on February 9, 2008. Francis lost control of the
N-the-Water Publishing, Inc. dba Still N the Water Publishing produces hip-hop and rap music through sampling, the process of copying portions of prior master sound recordings directly onto new sound

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