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business
essentials of business law
Questions and Answers of
Essentials of Business Law
Dumping. The fuel for nuclear power plants is low enriched uranium (LEU). LEU consists of feed uranium enriched by energy to a certain assay—its percentage of the isotope necessary for a nuclear
International Agreements and Jurisdiction. U.S. citizens who were descendants of victims of the Holocaust (the mass murder of 6 million Jews by the Nazis during World War II) in Europe filed a claim
Sovereign Immunity. Bell Helicopter Textron, Inc., designs, makes, and sells helicopters with distinctive and famous trade dress that identifies them as Bell aircraft. Bell also owns the
Commercial Activity Exception. Technology Incubation and Entrepreneurship Training Society (TIETS) entered into a jointventure agreement with Mandana Farhang and M.A. Mobile to develop and market
A Question of Ethics—Terrorism. On December 21, 1988, Pan Am Flight 103 exploded 31,000 feet in the air over Lockerbie, Scotland, killing all 259 passengers and crew on board and 11 people on the
Business Law Critical Thinking Group Assignment.Assume that you are manufacturing iPad accessories and that your business is becoming more successful. You are now considering expanding operations
What is a contract? What is the objective theory of contracts? LO1
What are the four basic elements necessary to the formation of a valid contract? LO2
What is the difference between express and implied contracts? LO3
How does a void contract differ from a voidable contract? What is an unenforceable contract? LO4
What rules guide the courts in interpreting contracts? LO5
What are four primary sources of law in the United States? LO1
What is the common law tradition? LO2
What is a precedent? When might a court depart from precedent? LO3
What is the difference between remedies at law and remedies in equity? LO4
What are some important differences between civil law and criminal law? LO5
What are four primary sources of law in the United States?LO2
What is the common law tradition?LO2
What is a precedent? When might a court depart from precedent?LO2
What is the difference between remedies at law and remedies in equity?LO2
What are some important differences between civil law and criminal law?LO2
Binding versus Persuasive Authority. A county court in Illinois is deciding a case involving an issue that has never been addressed before in that state’s courts. The Iowa Supreme Court, however,
Remedies. Arthur Rabe is suing Xavier Sanchez for breaching a contract in which Sanchez promised to sell Rabe a Van Gogh painting for $150,000. (See page 14.)1. In this lawsuit, who is the plaintiff,
Question with Sample Answer—Sources of Law.Under a Massachusetts state statute, large wineries could sell their products through wholesalers or to consumers directly, but not both. Small wineries
Philosophy of Law. After World War II ended in 1945, an international tribunal of judges convened at Nuremberg, Germany. The judges convicted several Nazi war criminals of“crimes against
Reading Citations. Assume that you want to read the court’s entire opinion in the case of State v. Allen, 268 P.3d 1198(Kan. 2012). Read the section entitled “Finding Case Law”in the appendix
Case Problem with Sample Answer—Law around the World. Karen Goldberg’s husband was killed in a terrorist bombing in Israel. She filed a suit in a U.S. federal court against UBS AG, a
Spotlight on AOL—Common Law. AOL, LLC, mistakenly made public the personal information of 650,000 of its members. The members filed a suit, alleging violations of California law. AOL asked the
A Question of Ethics—Stare Decisis. On July 5, 1884, Dudley, Stephens, and Brooks—“all able-bodied English seamen”—and a teenage English boy were cast adrift in a lifeboat following a storm
Business Law Writing. John’s company is involved in a lawsuit with a customer, Beth. John argues that for fifty years higher courts in that state have decided cases involving circumstances similar
Business Law Critical Thinking Group Assignment—Court Opinions. Read through the subsection entitled “Decisions and Opinions” in the appendix following this chapter. (See page 30.)1. One
What is the basic structure of the U.S. government? LO1
What constitutional clause gives the federal government the power to regulate commercial activities among the various states? LO2
What constitutional clause allows laws enacted by the federal government to take priority over conflicting state laws? LO3
What is the Bill of Rights? What freedoms do the First Amendment guarantee? LO4
Where in the Constitution can the due process clause be found? LO5
What is the basic structure of the U.S. government? LO5
What constitutional clause gives the federal government the power to regulate commercial activities among the various states? LO5
What constitutional clause allows laws enacted by the federal government to take priority over conflicting state laws? LO5
What is the Bill of Rights? What freedoms do the First Amendment guarantee? LO5
Freedom of Speech. A mayoral election is about to be held in Bay City. One of the candidates is Donita Estrella, and her supporters wish to post campaign signs on streetlights and utility posts. A
Question with Sample Answer—The Free Exercise Clause. Thomas worked in the nonmilitary operations of a large firm that produced both military and nonmilitary goods. When the company discontinued
The Equal Protection Clause. With the objectives of preventing crime, maintaining property values, and preserving the quality of urban life, New York City enacted an ordinance to regulate the
Spotlight on Plagiarism—Due Process. The Russ College of Engineering and Technology of Ohio University announced in a press conference that it had found“rampant and flagrant plagiarism” in the
The Commerce Clause. Under the federal Sex Offender Registration and Notification Act (SORNA), sex offenders must register and update their registration as sex offenders when they travel from one
Case Problem with Sample Answer—Establishment Clause. Judge James DeWeese hung a poster in his courtroom showing the Ten Commandments. The American Civil Liberties Union (ACLU) filed a suit,
The Dormant Commerce Clause. In 2001, Puerto Rico enacted a law that requires specific labels on cement sold in Puerto Rico and imposes fines for any violations of these requirements. The law
A Question of Ethics—Free Speech. Aric Toll owns and manages the Balboa Island Village Inn, a restaurant and bar in Newport Beach, California. Anne Lemen lives across from the Inn. Lemen complained
Business Law Writing. The United States Supreme Court originally interpreted the commerce clause to allow the federal government to regulate interstate commerce. Over time, however, the Supreme Court
Business Law Critical Thinking Group Assignment.For many years, New York City has had to deal with the vandalism and defacement of public property caused by unauthorized graffiti. In an effort to
What is judicial review? How and when was the power of judicial review established? LO1
What is the difference between a trial court and an appellate court? LO3
What is discovery, and how does electronic discovery differ from traditional discovery? LO4
What are three alternative methods of resolving disputes? LO5
What is judicial review? How and when was the power of judicial review established? LO2
What is the difference between a trial court and an appellate court? LO2
What is discovery, and how does electronic discovery differ from traditional discovery? LO2
What are three alternative methods of resolving disputes? LO2
Standing to Sue. Jack and Maggie Turton bought a house in Jefferson County, Idaho, located directly across the street from a gravel pit. A few years later, the county converted the pit to a landfill.
Question with Sample Answer—Jurisdiction. Marya Callais, a citizen of Florida, was walking along a busy street in Tallahassee when a large crate flew off a passing truck and hit her. Callais
Discovery. Advance Technology Consultants, Inc. (ATC), contracted with RoadTrac, LLC, to provide software and client software systems for the products of global positioning satellite (GPS) technology
Case Problem with Sample Answer—Arbitration.Kathleen Lowden sued cellular phone company T-Mobile USA, Inc., contending that its service agreements were not enforceable under Washington state law.
Venue. Brandy Austin used powdered infant formula to feed her infant daughter shortly after her birth. Austin claimed that a can of Nestlé Good Start Supreme Powder Infant Formula was contaminated
Arbitration. PRM Energy Systems owned patents licensed to Primenergy, LLC, to use in the United States. Their contract stated that “all disputes” would be settled by arbitration. Kobe Steel of
Spotlight on National Football—Arbitration. Bruce Matthews played football for the Tennessee Titans. As part of his contract, he agreed to submit any dispute to arbitration.He also agreed that
Minimum Contacts. Seal Polymer Industries sold two freight containers of latex gloves to Med-Express, Inc., a company based in North Carolina. When Med-Express failed to pay the $104,000 owed for the
A Question of Ethics—Agreement to Arbitrate. Nellie Lumpkin, who suffered from dementia, was admitted to the Picayune Convalescent Center, a nursing home. Because of her mental condition, her
Business Law Critical Thinking Group Assignment.Assume that a statute in your state requires that all civil lawsuits involving damages of less than $50,000 be arbitrated and allows such a case to be
What is the purpose of tort law? What types of damages are available in tort lawsuits? LO1
What are two basic categories of torts? LO2
What is defamation? Name two types of defamation. LO3
Identify the four elements of negligence. LO4
What is meant by strict liability? In what circumstances is strict liability applied? LO5
What is the purpose of tort law? What types of damages are available in tort lawsuits? LO3
What are two basic categories of torts? LO3
What is defamation? Name two types of defamation. LO3
Identify the four elements of negligence. LO3
What is meant by strict liability? In what circumstances is strict liability applied? LO3
Liability to Business Invitees. Kim went to Ling’s Market to pick up a few items for dinner. It was a stormy day, and the wind had blown water through the market’s door each time it opened. As
Question with Sample Answer—Negligence.Shannon’s physician gives her some pain medication and tells her not to drive after taking it because the medication induces drowsiness. In spite of the
Spotlight on Intentional Torts—Defamation. Sharon Yeagle was an assistant to the vice president of student affairs at Virginia Polytechnic Institute and State University(Virginia Tech). As part of
Case Problem with Sample Answer—Libel and Invasion of Privacy. The Northwest Herald, a newspaper, received regular e-mail reports from police departments about criminal arrests. When it received a
Proximate Cause. Galen Stoller was killed at a railroad crossing when an Amtrak train hit his car. The crossing was marked with a stop sign and a railroad-crossing symbol but there were no flashing
Business Torts. Medtronic, Inc., is a medical technology company that competes for customers with St. Jude Medical S.C., Inc. James Hughes worked for Medtronic as a sales manager. His contract
Intentional Infliction of Emotional Distress. While living in her home country of Tanzania, Sophia Kiwanuka signed an employment contract with Anne Margareth Bakilana, a Tanzanian living in
A Question of Ethics—Wrongful Interference. White Plains Coat & Apron Co. and Cintas Corp. are competitors.White Plains had five-year exclusive contracts with some of its customers. As a result of
Business Law Critical Thinking Group Assignment.Assume that your business partner, Gayanne Zokhrabov, was at the train station when a train, traveling at more than 70 mph, hit eighteen-year-old
Case Analysis Question. Go to Appendix I at the end of this text and examine the excerpt of Case No. 1, Lott v. Levitt.Review and then brief the case, making sure that your brief answers the
The legal term for a deceased person.a. benefi ciaryb. bequestc. codicild. decedente. devisef. executor g. holographic will h. inter vivos i. intestate j. personal representative k. residuary l.
The individual who is either named in a will or appointed by a court to administer an estate.a. benefi ciaryb. bequestc. codicild. decedente. devisef. executor g. holographic will h. inter vivos i.
A gift of real property left in a will.a. benefi ciaryb. bequestc. codicild. decedente. devisef. executor g. holographic will h. inter vivos i. intestate j. personal representative k. residuary l.
A gift of personal property left in a will.a. benefi ciaryb. bequestc. codicild. decedente. devisef. executor g. holographic will h. inter vivos i. intestate j. personal representative k. residuary
The wishes of a person for the distribution of his or her property as expressed in a will.a. benefi ciaryb. bequestc. codicild. decedente. devisef. executor g. holographic will h. inter vivos i.
The person named in a will to administer the estate.a. benefi ciaryb. bequestc. codicild. decedente. devisef. executor g. holographic will h. inter vivos i. intestate j. personal representative k.
A person who makes a will.a. benefi ciaryb. bequestc. codicild. decedente. devisef. executor g. holographic will h. inter vivos i. intestate j. personal representative k. residuary l. settlor m.
A person who receives gifts of personal property in a will.a. benefi ciaryb. bequestc. codicild. decedente. devisef. executor g. holographic will h. inter vivos i. intestate j. personal
The balance of an estate remaining after all other distributions have been made.a. benefi ciaryb. bequestc. codicild. decedente. devisef. executor g. holographic will h. inter vivos i. intestate j.
A completely handwritten will.a. benefi ciaryb. bequestc. codicild. decedente. devisef. executor g. holographic will h. inter vivos i. intestate j. personal representative k. residuary l. settlor m.
The requirement that a person be of legal age and sound mind to prepare a will.a. benefi ciaryb. bequestc. codicild. decedente. devisef. executor g. holographic will h. inter vivos i. intestate j.
A document that revokes, changes, or revises a will.a. benefi ciaryb. bequestc. codicild. decedente. devisef. executor g. holographic will h. inter vivos i. intestate j. personal representative k.
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