1) InNew York Times v. Tasini the Supreme Court held that electronic publication of copyrighted works did not violate the copyright so long as they were not sold for profit.

a)True

b) False

2) It would not be infringement of the adidas trademark to sell shoes under the name addidas, since it is a different word.

a) True

b) False

3)Once issued by the Trademark Office, trademarks are registered forever.

1. True
2. False

4) Copyrights, trademarks and trade names are examples of intellectual property.

1. True
2. False

5) Trademarks are due absolute protection under federal law, even if not used in commerce, once they are registered.

1. True
2. False

6) The Federal Circuit Court of Appeals has primary responsibility for reviewing which kinds of cases:

1. patent
2. contract
3. copyright
4. trade secret
5. all of the other choices

7)Allie makes a contract to buy a piece of land in six months on which a house will be built. Allie hires an architect to design a house that will look just right on that piece of land. When it is time to pay for the land, the seller refuses to sell. Because Allie wants that piece of land to use for a house that has been designed for, Allie should ask for:

1. nominal damages
2. rescission
3. specific performance
4. compensatory damages
5. a and c

8)A(n) ____ is when one party to the contract has the right to avoid a legal obligation.

1. executed contract
2. formal contract with an escape clause
3. parol evidence contract
4. ephemeral contract
5. none of the other choices are correct

9)If a house burns down before it sale is completed, the contract for sale is discharged by impossibility.

1. True
2. False

10)An exculpatory agreement:

1. is the offeree's initial expression of agreement before a contract is formalized in writing
2. releases all unknown parties from the consequences brought about by wrongful acts
3. is a form of counteroffer whereby the offeree accepts part and rejects part of a contract
4. is an agreement that has not been fully performed by either party
5. none of the other choices

11)If the subject matter of the offer is destroyed:

1. the court takes over the contract
2. the contract is still binding
3. the offeror must replace the subject matter
4. the offeree must replace the subject matter
5. none of the other choices are correct

12)Consideration is the element of a contract that:

Group of answer choices

1. allows it to be a gift
2. prevents it from being a gift
3. gives the offeror a better deal
4. gives the offeree a better deal
5. provides the terms of contract execution

13)InEagles Landing Development, LLC v. Eagles Landing Apartments, LP, where the LLC built apartments for the LP, but the LLC was not paid for all its work, the LLC sued some limited partners in the LP for payment. The appeals court held that:

1. the limited partners had agreed to be personally liable on the debts of the LP, so were responsible
2. limited partners share equally in the debts of a limited partnership unless the agreement among the partners states something to the contrary
3. the LLC had agreed not to sue any limited partners individual, so could not later go back on that agreement
4. limited partners are not liable for the debts of the LP
5. none of the other choices

14)Directors are under a ____ to conduct themselves on behalf of the corporation as a reasonably prudent person in the conduct of personal business affairs.

1. duty of reasonability
2. duty of profit
3. duty of management
4. duty of morality
5. none of the other choices are correct

15)State regulation of franchises is typically conducted by:

1. a state attorney general
2. county prosecutors
3. state chartering offices
4. state examining boards
5. state FTCs

16) A corporation consists of legally distinct groups, not including:

1. shareholders
2. stakeholders
3. directors
4. managers
5. all of the other choices are included

17)A partnership may be designed to continue even if a partner dies or quits.

1. True
2. False

18)The ____, which is required by the Franchise Rule, enables prospective investors to learn about the background of the business.

1. offering circular
2. offering document
3. offering disclosure
4. circular offering
5. circular document

19)The legal document that authorizes a person or a company to act as an agent for a principal is called:

power of law

power of agency

power of principal

power of plaintiff

none of the other choices are correct

20) Which of the following is an advantage to having the ability to use agents:

a) access to the expertise of agents

b) reduced tax burden

c) exemption from income tax

d) creation of many small companies within one larger company

e) easier organization of a company

21) An agent makes a contract with a third party on behalf of the disclosed principal. The principal then breaches the contract. The third party may sue the agent to recover damages.

a) True

b) False

Question 22

An employee (servant) who works for an employer (master):

a) may not be an agent for the same employer as part of the relationship.

b) may not be an independent contractor for the same employer as part of the relationship.

c) may not be subject to control of details of work by the employer to retain employee status.

d) may not be held responsible for any torts committed in the course of employment.

e) none of the other choices

Question 23

An agent is expected to perform responsibilities with the degree of care that is called ordinary care under the circumstances.

a) True

b) False

Question 24

In an agency relationship, the agent is a neutral party regarding contracts between the principal and third parties.

Group of answer choices

a) True

b) False

Question 25

Workers' compensation premiums are set by the Department of Labor.

Group of answer choices

a) True

b) False

Question 26

Among the "mandatory subjects" of collective bargaining is the length of lunch breaks.

Group of answer choices

a) True

b)False

Question 27

Which of the following is an example employer conduct that impairs the goals of the National Labor Relations Act:

Group of answer choices

a)threatening employees with loss of jobs or benefits if they join or support a union

b) threatening to close a plant if employees vote for unionization

c) questioning employees about union activities

d)promising benefits to employees if they do not support a union

e) all of the other specific choices are correct

Question 28

A "bill of rights" for union members is included in:

a) the Griffin-Landrum Act

b)the Landrum-Griffin Act

c) the Wagner Act

d) the Union Bill of Rights Act

e) none of the other choices are correct

Question 29

An exculpatory agreement is one in which:

a) one party promises not to sue another in case of an injury caused by a tort or some other event

b) an employee agrees not to leave and go into competition against the employer or go to work for a competitor for a certain time

c) an employee agrees not to recruit fellow employees for another company when they leave their current place of employment

d) an employee agrees not to use illegal substances

e) none of the other choices are correct

Question 30

A strike by workers against their employer whose collective bargaining agreement is in question is called:

a) unprotected activity

b) primary boycott

c) secondary boycott

d) lockout

e) grievance action

Question 31

Under the ____, it is illegal to pay men and women employees different wages when their jobs require equal skill, effort, responsibility, and the same working conditions

a) Equal Conditions Act

b) Equal Compensation Act

c) Equal Pay Act

d) Civil Rights Act

e) Common Wage Act

Question 32

All companies with federal contracts of $2,500 or more have a duty to ensure the disabled an opportunity in the workplace by providing reasonable accommodations under the:

a) Disability Act of 1973

b) Temporarily Disabled Persons Protection Act of 1973

c) Title VII Disability Act of 1990

d) Able Bodied Worker Act of 1990

e) none of the other choices are correct

Question 33

The Age Discrimination in Employment Act holds it illegal to discriminate in employment against:

a) persons under age 21 or over age 65

b) persons aged 40 and over

c) women or minorities aged 40-65

d) women or minorities aged 40-70

e) women or minorities under age 21

Question 34

Title VII sex discrimination includes discrimination with respect to:

a) plans to have children in the future

b) current pregnancy

c) having children already

d) insurance benefits and childbirth

e) all of the other choices are included under the law

Question 35

The Pregnancy Discrimination Act, a part of Title VII, provides protection for which pregnancy-related condition?

a) fringe benefits

b) childbirth

c) related medical conditions

d) insurance benefits and childbirth

e) childbirth and related medical conditions and fringe benefits

Question 36

Sexual harassment does not appear to include:

a) commenting on physical attributes

b) deliberate, unsolicited touching of a sexual nature

c) using crude or offensive language directed at a woman

d) discussing explicit sexual activities

e) all of the other choices may be included

Question 37

The Department of Agriculture has primary responsibility for sanitation of foods; the FDA focuses on food additives.

a)True

b) False

Question 38

Fact Pattern 19-2

Jayme's Best produced a new line of pasta sauce (Herbal Health), intending for it to have extra nutritional benefits. Using the freshest ingredients, Jayme's added special herbs to the tomato paste and spices, as the herbs are believed by some Tibetan monks to have the power to prevent cancer. Jayme's marketed the sauce in grocery stores and health food stores. Jayme's advertisements said that Herbal Health may help prevent cancer and taste a lot better than the competition. Based on these facts, answer the following questions.

Refer to Fact Pattern 19-2. The Nutrition Labeling and Education Act does not require Jayme's to list:

a) calories per serving size.

b) how much the risk of cancer is reduced by consuming the sauce.

c) nutrients, such as vitamins and minerals, per serving size.

d) total and saturated fat per serving size.

e) all such information must be provided.

Question 39

The Fair Credit Billing Act:

a) prohibits the mailing of credit cards

b) holds that if a consumer notifies a credit card company in a timely fashion that a card has been stolen there is no liability for unauthorized charges

c) holds that a consumer must pay credit card companies the disputed amount but disputes must be resolved in 180 days

d) all of the other specific choices

e) none of the other choices

Question 40

To address the issues of consumers being unable to get creditors to correct inaccurate or unauthorized charges that appeared on their bills and credit cards being sent to people who did not request them the FTC passed the:

a) Fair Credit Billing Act

b)Legitimate Credit Billing Act

c) Real Credit Billing Act

d) Fair Credit Regulation Act

e) Consumer Credit Protection Act

Question 41

The 1962 Kefauver Amendment to the Food and Drug Act gave the FDA authority for the first time to:

a) approve drugs based on their proven effectiveness

b) license the use of drugs in physician offices

c) determine which drugs are to be prescription drugs

d) approve drugs based on their safety

e) none of the other choices

Question 42

The Food and Drug Administration:

a) prohibits the sale of any drug without a prescription

b) prohibits the sale of drugs without FDA approval

c) prohibits the sale of prescription drugs to anyone under age 19 without parental consent

d) prohibits the sale of any drug without a prescription and prohibits the sale of drugs without FDA approval

e) prohibits the sale of any drug without a prescription and prohibits the sale of drugs without FDA approval and prohibits the sale of prescription drugs to anyone under age 19 without parental consent

Question 43

Equal credit opportunity refers to the requirement that creditors:

a) must disclose all relevant terms in credit transactions

b) must not use sex or race to determine a person's creditworthiness

c) must not use abusive debt collection techniques

d) all of the other specific choices are correct

e) none of the other specific choices are correct

Question 44

Which of the following is not amajor pollutant regulated by the Clean Air Act:

a) ozone

b) sulfur dioxide

c) zinc

d) carbon monoxide

e) nitrogen oxide

Question 45

Wastes defined as hazardous under RCRA mayonly be disposed or stored at sites whose owners or operators have obtained a permit from the EPA.

a)True

b) False

Question 46

The ____ was first passed in 1947 to regulate pesticides.

a) Federal Pesticide Regulation Act

b) Federal Toxic Substances Act

c) National Pesticide Act

d) National Insecticide, Fungicide, and Rodenticide Act

e) none of the other choices are correct

Question 47

Which of the following is one of the four major external environmental problems that the EPA has primary responsibility for:

a) land pollution

b) contamination of food products

c) noise pollution

d) all of the other specific choices are correct

e) none of the other specific choices are correct

Question 48

Under the Clean Air Act, if a plant owner plans to build a plant in a "dirty air area" he

a) does not need a preconstruction permit from the EPA or the state agency that enforces the Act

b) needs a preconstruction permit from the EPA or the state agency that enforces the Act

c) does not need to get any permits until after construction begins

d) can begin construction with no permit if he pays a fee to the state agency that enforces the Act

e) none of the other choices are correct

Question 49

Citizen suits against polluters are blocked if:

a) the polluter pays a fine

b) the EPA does not take action

c) the EPA takes charge of the situation

d)the citizen fails to offer a solution for reducing pollution

e) none of the other choices are correct

Question 50

The Montreal Protocol is an international agreement to restrict production of CFCs, chemicals that destroy the upper-atmosphere ozone layer.

a)True

b) False