Questions and Answers of Legal Environment Business

Write a security agreement in which your friend gives you a security interest in her $20,000 home entertainment system, in exchange for a loan of $12,000. Because the collateral is something that she
Question: Builder wants to develop 1,000 acres in rural Montana, land that is home to the Kite Owl. The Environmental Protection Agency (EPA) rules that the Kite Owl is an endangered species, and
Question: Kelly Hackworth took a leave of absence from her job at Progressive Insurance, to care for her ailing mother. When she offered to return, Progressive refused to give her the same job or one
Jason and the toddler present a classic legal puzzle: What, if anything, must a bystander do when he sees someone in danger? We will examine this issue to see how the common law works. The common law
Question: Kelly Hackworth took a leave of absence from her job at Progressive Insurance, to care for her ailing mother. When she offered to return, Progressive refused to give her the same job or one
Question: Builder wants to develop 1,000 acres in rural Montana, land that is home to the Kite Owl. The Environmental Protection Agency (EPA) rules that the Kite Owl is an endangered species, and
Question: Whitfield, who was black, worked for Ohio Edison. Edison fired him, but then later offered to rehire him. Another employee argued that Edison's original termination of Whitfield had been
Question: When Hiller Systems, Inc., was performing a safety inspection on board the M/V Cape Diamond, an ocean-going vessel, an accident killed two men. The Occupational Safety and Health
Question: The Sisters of Charity was an order of nuns in New Jersey. Faced with growing health care and retirement costs, they decided to sell off a piece of property. The nuns soon found, however,
Question: Jonah tells his friend Derek that he would like to go parasailing. Derek is very enthusiastic and suggests that they try an outfit called Wind Beneath Your Wings because he has heard good
Question: Daisy was the founder of an Internet start-up company. Mac was her driver. One day, after he had dropped her at a board meeting, he went to the car wash. There, he told an attractive woman
Question: Dr. James Leonard wrote Dr. Edward Jacobson offering him the position of Chief of Audiology at Jefferson Medical College in Philadelphia. In the letter, Leonard stated that this appointment
Question: While drunk, the driver of a subway car plows into the back of the car ahead of him, killing a passenger. It was against the rules for the driver to be drunk. Is the subway authority liable
Acting as an undisclosed principal, William Zeckendorf employed agents to purchase the land in New York on which the United Nations headquarters was ultimately built. Can you find any other examples
Question: When Shiloh interviewed for a sales job at a medical supply company, the interviewer promised that she could work exclusively selling medical devices and would not have to be involved in
Question: Compare the Weiner decision with a case from Chapter 1: Kuehn v. Pub Zone, on pages 16-17. Both are negligence cases in which the harm is caused by criminal conduct. However, the two cases
Question: Keith is driving while intoxicated. He swerves into the wrong lane and causes an accident, seriously injuring Caroline. Which statement is true? (a) Caroline could sue Keith, who might be
Question: A supervisor reprimanded an employee for eating in a restaurant when he should have been at work. Later, the employee showed up at the supervisor's office and shot him. Although the
Question: Marko owned a cat and allowed it to roam freely outside. In the three years he had owned the pet, the animal had never bitten anyone. The cat entered Romi's garage. When Romi attempted to
1. Benzaquin had a radio talk show in Boston. On the program, he complained about an incident earlier in the day, in which state trooper Fleming had stopped his car, apparently for lack of a proper
2. Caldwell, carrying a large purse, was shopping in a K-Mart store. A security guard observed her look at various small items such as stain, hinges, and antenna wire. On occasion she bent down out
3. Fifteen-year-old Terri Stubblefield was riding in the back seat of a Ford Mustang II when the car was hit from behind. The Mustang was engulfed in a ball of fire, and Terri was severely burned.
4. ETHICS In the Stubblefield case in Question 3, the jury awarded $8 million in punitive damages to the family. Ford appealed. Should the punitive damages be affirmed? What are the obligations of a
5. Caudle worked at Betts Lincoln-Mercury dealer. During an office party, many of the employees, including President Betts, were playing with an electric auto condenser, which gave a slight electric
6. YOU BE THE JUDGE WRITING PROBLEM Johnny Carson was for many years the star of a well-known television program, The Tonight Show. For about 20 years, he was introduced nightly on the show with the
7. Jason Jacque was riding as a passenger in a car driven by his sister, who was drunk and driving 19 mph over the speed limit. She failed to negotiate a curve, skidded off the road, and collided
8. Ryder leased a truck to Florida Food Service; Powers, an employee, drove it to make deliveries. He noticed that the door strap used to close the rear door was frayed, and he asked Ryder to fix it.
9. A new truck, manufactured by General Motors Corp. (GMC), stalled in rush hour traffic on a busy interstate highway because of a defective alternator, which caused a complete failure of the truck's
10. A prison inmate bit a hospital employee. The employee sued the state for negligence and lack of supervision, claiming a fear of AIDS. The plaintiff had tested negative for HIV three times, and
11. ETHICS Swimming pools in private homes often have diving boards, but those in public parks, hotels, and clubs rarely do. Why is that? Is it good or bad?
12. There is a collision between cars driven by Candy and Zeke, and both drivers are partly at fault. The evidence is that Candy is about 25 percent responsible, for failing to stop quickly enough,
13. Van Houten owned a cat and allowed it to roam freely outside. In the three years he had owned it, it had never bitten anyone. The cat entered Pritchard's garage. Pritchard attempted to move it
14. ROLE REVERSAL Write a multiple-choice question about defamation in which one and only one element is missing from the plaintiff's case. Choose a set of answers that forces the student to isolate
Take a look at http://response.restoration.noaa.gov/. What are some of the long-term problems associated with oil spills? View some of the photos in the "gallery." Are punitive damages for oil spills
Question: Eric mails glossy brochures to 25,000 people, offering to sell them a one-month time-share in a stylish apartment in Las Vegas. The brochure depicts an imposing building, an opulent
Question: Explain the difference between embezzlement and money laundering. Give an example of each. Strategy: Both crimes involve money illegally obtained, but they are very different. As to
Question: Police bang down the door of Mary Beth's apartment, enter without her permission, and search the apartment. They had no warrant. The officers discover a machine used to manufacture fake
Question: Arnie owns a two-family house in a poor section of the city. A fire breaks out, destroying the building and causing $150,000 damage to an adjacent store. The state charges Arnie with arson.
Question: National Medical Enterprises (NME) is a large for-profit hospital and health corporation. One of its hospitals, Los Altos Hospital, in Long Beach, California, paid one doctor $219,275,
Question:: Cheryl is a bank teller. She figures out a way to steal $99.99 per day in cash without getting caught. She takes the money daily for eight months and invests it in a catering business she
1. YOU BE THE JUDGE WRITING PROBLEM An undercover drug informant learned from a mutual friend that Philip Friedman "knew where to get marijuana." The informant asked Friedman three times to get him
2. ETHICS Nineteen-year-old David Lee Nagel viciously murdered his grandparents, stabbing them repeatedly and slitting their throats, all because they denied him use of the family car. He was tried
3. Federal law requires that all banks file reports with the IRS any time a customer engages in a cash transaction in an amount over $10,000. It is a crime for a bank to "structure" a cash
4. Conley owned video poker machines. They are outlawed in Pennsylvania, but he placed them in bars and clubs. He used profits from the machines to buy more machines. Is he guilty of money laundering?
5. Northwest Telco Corp. (Telco) provides long-distance telephone service. Customers dial a general access number, then enter a six-digit access code and then the phone number they want to call. A
6. Under a new British law, a police officer must now say the following to a suspect placed under arrest: "You do not have to say anything. But if you do not mention now something which you later use
7. After graduating from college, you work hard for 15 years, saving money to buy your dream property. Finally, you spend all your savings to buy a 300-acre farm with a splendid house and pool.
8. ROLE REVERSAL Write a short-answer question that focuses on the elements of a RICO violation.
On the Internet, find a current crime that might victimize you. What steps should you take to avoid harm?
10. ROLE REVERSAL Write an exam question that distinguishes between these three important Fifth Amendment protections: procedural due process, the Takings Clause, and substantive due process.
Online, find a book that was formerly censored. Find another volume that is currently banned, either in the United States or elsewhere. How have changing mores affected censorship? Will the book that
Question: California producers of sea salt protest to the American government that they cannot compete with the same product imported from China. How do the California producers want the United
Question: In an international contract for the sale of goods, Seller is to be paid by a confirmed irrevocable letter of credit. Buyer claims that the goods are defective, and threatens to sue. If the
Question: Splash is a California corporation that develops resorts. Lawrence, a Splash owner-executive, is hoping to land a $700 million dollar contract with a developing country in Southeast Asia.
Question: Sports Graphics, Inc. imports "Chill" brand coolers from Taiwan. Chill coolers have an outer shell of vinyl, with handles and pockets, and an inner layer of insulation. In a recent lawsuit,
Question: In a recent WTO case, several nations claimed that American laws concerning shrimp fishing were unfair and illegal. The case demonstrated a conflict between two important values. What were
Question: Flyby Knight (FK) contracts to sell 12 helicopters to Air Nigeria, for $8 million each. Payment is to be made by letter of credit, issued by the Bank of Nigeria, confirmed by Citibank in
1. Arnold Mandel exported certain high-technology electronic equipment. Later, he was in court arguing that the equipment he shipped should not have been on the Department of Commerce's Commodity
2. ETHICS Hector works in Zoey's importing firm. Zoey overhears Hector on the phone say, "O.K., 30,000 ski parkas at $80 per parka. You've got yourself a deal. Thanks a lot." When Hector hangs up,
3. YOU BE THE JUDGE WRITING PROBLEM Continental Illinois National Bank issued an irrevocable letter of credit on behalf of Bill's Coal Co. for $805,000, with the Allied Fidelity Insurance Co. as
4. Jean-Franois, a French wine exporter, sues Bob Joe, a Texas importer, claiming that Bob Joe owes him $2 million for wine. Jean-Franois takes the witness stand to describe how the contract was
5. The Kyrgyz Republic is one of the new nations that broke away from the old Soviet Union. In September 1994, the government of Kyrgyzstan made two independent announcements: (1) it was abolishing
6. The Instituto de Auxilios y Viviendas is a government agency of the Dominican Republic. Dr. Marion Fernandez, the general administrator of the Instituto and Secretary of the Republic, sought a
7. Blondek and Tull were two employees of an American company called Eagle Bus. They hoped that the Saskatchewan provincial government would award Eagle a contract for buses. To bolster their
8. Richard Johnson, an American citizen, was a highly trained electrical engineer who had worked for Hughes Aircraft and Norcroft Corp. He strongly believed in the cause of the Provisional Irish
9. ROLE REVERSAL Draft an essay or short-answer question that involves a dispute brought to the WTO on one of these issues: dumping, nontariff barriers, or intellectual property.
Read about the worldwide problem of sweatshops. Is this a serious issue? If so, what role should the law play in its resolution? What can one student do about it?
Question: Abby has long coveted Nicola's designer handbag, because she saw one of them in Brainless, the Movie. Finally, Nicola offers to sell her friend the bag for $350 in cash. "I don't have the
Question: Leila agrees to pay Kendrick $35,000 to repair windmills. Confident of this cash, Kendrick contracts to buy Derrick's used Porsche for $33,000. Then Leila informs Kendrick she does not need
Question: Niels owned three adjoining parcels of land in Arizona ranging from 60 to 120 acres. Hannah wanted to buy one. The two had dinner in Chicago and then sketched this agreement: "Binding
Question: The Hoffmans owned and operated a successful small bakery and grocery store. They spoke with Lukowitz, an agent of Red Owl Stores, who told them that for $18,000, Red Owl would build a
Question: Rick is selling his espresso coffee maker. He sends Tamara an e-mail, offering to sell the machine for $350. Tamara promptly e-mails back, offering to buy the item for $300. She hears
Question: An aunt saw her eight-year-old nephew enter the room, remarked what a nice boy he was, and said, "I would like to take care of him now." She promptly wrote a note, promising to pay the boy
1. Interactive Data Corp. hired Daniel Foley as an assistant product manager at a starting salary of $18,500. Over the next six years, Interactive steadily promoted Foley until he became Los Angeles
2. Academy Chicago Publishers (Academy) approached the widow of author John Cheever about printing some of his unpublished stories. She signed a contract, which stated: The Author will deliver to the
3. Rebecca, in Honolulu, faxes a job offer to Spike, in Pittsburgh, saying, "We can pay you $55,000 per year, starting June 1." Spike faxes a reply, saying, "Thank you! I accept your generous offer,
4. Explain the difference between judicial restraint activism and judicial activism in contract law.
5. YOU BE THE JUDGE WRITING PROBLEM John Stevens owned a dilapidated apartment that he rented to James and Cora Chesney for a low rent. Over a four-year period, the Chesneys installed two new
6. Describe the role each of the following plays in contract law: the common law, the UCC, and the Restatement (Second) of Contracts.
7. Which of these might be valid consideration? a. A promise to do something. b. A promise to refrain from doing something. c. An action. d. All of the above.
8. ROLE REVERSAL Write a multiple-choice question that distinguishes express, implied, and quasi-contracts.
Visit http://www.law.cornell.edu. Click on "Constitutions and Codes," then "Other Uniform Laws." Select a state from "state list". Then click on "Judicial Opinions." Search for a case concerning
Question: Caf-Fiend is an expanding chain of coffeehouses. The company offers to buy Bessie's Coffee Shop, in St. Louis, on these terms: Bessie will manage the store, as Caf- Fiend's employee, for
Question: Shauna flew a World War II fighter aircraft as a member of an exhibition flight team. While the team was performing in a delta formation, another plane collided with Shauna's aircraft,
Question: Aditi and Danielle, MBA students, need an apartment for next September. They find a lovely two-bedroom unit that the owner is rehabbing. The students can see that the owner is honest, his
Question: Ron buys 1,000 "Smudgy Dolls" for his toy store. Karen, the seller, tells him the dolls are in perfect condition, even though she knows their heads are defectively attached. Ron sells all
CPA Question: Able hired Carr to restore Able's antique car for $800. The terms of their oral agreement provided that Carr was to complete the work within 18 months. Actually, the work could be
Question: Donald Waide had a contracting business. He bought most of his supplies from Paul Bingham's supply center. Waide fell behind on his bills, and Bingham told Waide that he would extend no
1. Brockwell left his boat to be repaired at Lake Gaston Sales. The boat contained electronic equipment and other personal items. Brockwell signed a form stating that Lake Gaston had no
2. Guyan Machinery, a West Virginia manufacturing corporation, hired Albert Voorhees as a salesman and required him to sign a contract stating that if he left Guyan he would not work for a competing
3. ETHICS Richard and Michelle Kommit traveled to New Jersey to have fun in the casinos. While in Atlantic City, they used their MasterCard to withdraw cash from an ATM conveniently located in the
4. The McAllisters had several serious problems with their house, including leaks in the ceiling, a buckling wall, and dampness throughout. They repaired the buckling wall by installing I-beams to
5. YOU BE THE JUDGE WRITING PROBLEM Susan Gould was appointed to a three- year probationary position as a teacher at Sewanhaka High School. Normally, after three years, the school board either grants
6. ETHICS Sixteen-year-old Travis Mitchell brought his 19-year-old Pontiac GTO into M&M Precision Body and Paint for body work and a paint job. M&M did the work and charged $1,900, which Travis paid.
7. Lonnie Hippen moved to Long Island, Kansas, to work at an insurance company owned by Griffiths. After he moved there, Griffiths offered to sell Hippen a house he owned and Hippen agreed in writing
8. Landlord owned a clothing store and agreed in writing to lease the store's basement to another retailer. The written lease, which both parties signed, (1) described the premises exactly, (2)
9. ROLE REVERSAL Write one multiple-choice question with two noncompete clauses, one of which is valid and the other void.
Online, find a residential tenancy lease. Is it important for a lease to be in writing? Who probably drafted the lease, a landlord or a tenant? How can you tell? Should any other provisions
Question: Jade owns a drag strip. She hires Trevor to resurface it, for $180,000, paying $90,000 down. When the project is completed, Jade refuses to pay the balance, and sues Trevor for her down
Question: Sun operates an upscale sandwich shop in New Jersey, in a storefront that she leases from Ricky for $18,000 per month. The lease, which expires soon, allows Sun to renew for five years, at

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