Please Highlight the Correct Answer(s)

1. In a state, which has not adopted the Uniform Trade Secrets, a trade secret's owner

• would have no possible alternative method for recovery.

• may have a cause of action for breach of loyalty.

• may have a cause of action for breach of due care.

• may have a cause of action for breach of accounting.

2. The vice-president of operation for a chain of bakeries bought property in another city in which the chain had planned to expand. The normal practice is for the bakery chain's board of directors to authorize any such purchases prior to purchase. However, when the board members now discover this acquisition and its value, they wonder how to proceed so the bakery chain can acquire the property.

• The board already owns the property and nothing more needs to be done.

• The bakery chain can ratify the vice-president's actions and take over the contract.

• The bakery chain cannot ratify the contract unless the vice-president had express authority to buy the land.

• If the bakery chain ratifies the contract, the effect is that the vice-president is released from liability on it.

• none of the above

3. Any transfer restriction on stock share transfers:

• must appear on the stock share, or it is not valid

• is only permitted on the initial public offering

• the SEC will not accept for satisfying SEC restrictions

• is usually valid only in closely-held corporations

• none of the above

4. Jim and Fred ran a landscaping business for years, with Jim concentrating solely on business customers, and Fred focusing only on residential customers. After succeeding for a number of years, they went their separate ways and divided the business. They agreed that Jim was to keep the current business location, and Fred would seek a different office location, with Jim telling Fred he would be able to use the offices of their old company while he looked for the separate location. Fred did so for meetings with clients, as well as using original company machinery and supplies, and even continued using the original stationary with letterhead of the initial business.Six months down the road, Fred vanished, taking with him down payments of some customers.Those customers now sue Jim.

• Because of the terminated relationship, Jim is not liable.

• Because of lingering apparent authority, Jim is liable.

• Because he was Fred's agent, Jim is not liable.

• none of the above

5. The articles of incorporation, upon formation of a corporation, need NOT:

• provide the corporation name

• contain the name of each incorporator

• contain the name of each board member

• provide the structure of capital stock

• all of the above are required

1. Piercing the veil of a corporation may NOT be based on:

• the alter ego theory

• inadequate capitalization

• corporate formation to avoid/limit personal liability

• both a and c

• both b and c

7. Property which the partnership has:

• is owned by all the partners as a tenancy in common.

• is owned by all the partners as a tenancy in partnership.

• cannot be pledged to a partnership creditor without unanimous consent of the partners.

• cannot be pledged to the personal creditor of a partnership.

• none of the above

8. When a proper novation is executed:

• the promoter retains liability, only as a matter of last resort

• there is no liability for the/any promoter

• the promoter becomes secondarily liable after the corporation

• the corporation is secondarily liable after the promoter

• none of the above

9. Prior to holding another election, how long must the National Labor Relations Board wait:

• there is no minimum since the right to organize and/or refrain from organizing is an ongoing right

• three months

• twelve months

• five years

• none of the above

10. An instance in which discrimination on religious grounds is allowed would be:

• a church is looking for clerical (i.e. administrative) staff

• the person's religious beliefs will prevent the person from work during a certain shift

• a church is seeking a pastor

• both a and c

• none of the above

11. Included in the type of work-related decisions based on Title VII prohibited grounds is/are

• dismissals

• employer rules

• training

• transfer

• all of the above

12. The fact that employers are required to inform their workers of expected/planned business/plant/facility closings, and/or layoffs:

• have been imposed by Congress on all employers.

• were found unconstitutional by the courts.

• have been adopted by some governments at the state and local levels, but not on the federal government level.

• exist at the local, state, and federal government levels.

• none of the above

13. Addressed by provisions in the FLSA is/are the matter(s) of:

• child labor

• minimum wage

• overtime

• all of the above

• none of the above