Q1. Star Flights Inc. launches exploratory and commercial space flights from its base in the United States. In the event of a collision with other space objects, under the Outer Space Treaty, liability for injury or damage

a.is to be assumed by all involved parties equitably

b.does not exist.

c.is subject to a determination of fault.

d.is strict liabilitythat is, liability without fault.

QUESTION 2

The Outer Space Treaty declares that internationally recognized political boundaries extend from Earth into the farthest reaches of space.

1. True
2. False

QUESTION 3

Countries restrict exports to protect national security, further foreign policy objectives, and conserve resources.

1. True
2. False

QUESTION 4

In direct exporting, a U.S. company sets up a specialized marketing organization in a foreign market by appointing a foreign agent.

1. True
2. False

QUESTION 5

Equity International Inc., a U.S. firm, and Finance Invest Ltd., a firm in Great Britain, are parties to a contract with a forum-selection clause. The forum specified in the clause must be within the geographic boundaries of

a.the United States.

b.Great Britain.

c.a "select" forum, such as a United Nations protectorate.

d.none of the choices.

QUESTION 6

Retail Operations, Inc., a U.S. firm, obtains a judgment in a U.S. court against Shinobu, Ltd., a Japanese business. Whether the court's judgment will be enforced by a court in Japan depends on the Japanese court's application of

a.the Foreign Sovereign Immunities Act.

b.the act of state doctrine.

c.the principle of comity.

d.the doctrine of sovereign immunity.

QUESTION 7

Market Maker, Inc., a U.S. firm, can license a foreign manufacturing company to use its

a.trademarked brand.

b.any of the choices.

c.trade secrets.

d.patented intellectual property.

QUESTION 8

An export tax imposed by Congress would be unconstitutional.

1. True
2. False

QUESTION 9

Trade barriersare

a.the lack of incentives and subsidies to stimulate imports.

b.restrictions on exports.

c.restrictions on imports.

d.the lack of incentives and subsidies to stimulate exports.

QUESTION 10

Under the principle of comity, a domestic court will not examine the validity of any act committed by a foreign government within the court's jurisdiction.

1. True
2. False

QUESTION 11

Suisse Internationale, a Swiss maker of athletic equipment, enters into a price fixing agreement with Total World Sports, a U.S. wholesaler of Suisse's products. U.S. courts will apply U.S. antitrust laws if

a.the price fixing has a substantial effect on U.S. commerce.

b.the Swiss government agrees to be sued in the United States.

c.the agreement was made in Switzerland.

d.the agreement was made in the United States.

QUESTION 12

Mining Company, a U.S. firm, owns property in Bolivia. The government of Bolivia seizes the property for an illegal purpose without paying just compensation. This is

a.confiscation.

b.the doctrine of sovereign immunity.

c.expropriation.

d.the act of state doctrine.