QUESTION 1

The issue in the POM Wonderful, LLC v. FTC case involved

	a.	the type of evidence necessary to support health claims in advertisements.
	b.	violation of the Fair Debt Collection Act.
	c.	the legality of the Consumer Product Safety Act of 1972.
	d.	violation of the Magnuson-Moss Warranty Act.

4 points

QUESTION 2

A company's trade secret lasts for

	a.	20 years after the application is filed.
	b.	70 years after the death of the creator.
	c.	10 years, but it can be renewed for an unlimited number of terms as long as it is used.
	d.	as long as it is kept confidential.

4 points

QUESTION 3

To determine if an invention is obvious in the context of receiving a patent, what do the patent office and courts look at?

	a.	The difference between it and existing technologies to see if that difference would be unexpected to someone unskilled in the field at the time of patenting
	b.	The difference between it and existing technologies to see if that difference would be unexpected to someone skilled in the field at the time of patenting
	c.	The difference between it and existing technologies to see if that difference would be unexpected to someone skilled in the field at the time of the invention
	d.	The difference between it and existing technologies to see if that difference would be expected to someone unskilled in the field at the time of the invention

4 points

QUESTION 4

The Magnuson-Moss Warranty Act applies to

	a.	written or oral warranties on goods and services sold to consumers but does not require manufacturers or sellers to provide a warranty on their products.
	b.	written or oral warranties on goods and services sold to consumers and requires manufacturers or sellers to provide a warranty on their products.
	c.	written warranties on goods sold to consumers but does not require manufacturers or sellers to provide a warranty on their products.
	d.	written warranties only on goods sold to consumers and requires manufacturers or sellers to provide a warranty on their products.

4 points

QUESTION 5

The Late Night Show is a TV program that provides humorous takes on top news stories. In providing its coverage, it often uses short clips from copyrighted news programs without receiving permission from the copyright's owners. Is the Late Night Show committing copyright infringement?

	a.	Yes, it must receive permission from the individuals who appear in the clip.
	b.	Yes, it must receive permission from the studio that produced the show.
	c.	No, this is fair use.
	d.	No, TV news programs cannot be copyrighted because they are considered a public good.

4 points

QUESTION 6

Megan is a single 40-year-old who has borrowed money on numerous occasions. Her payment record has been good, except she has been delinquent in paying a few bills. Which of the following statements is true regarding credit information gathered on Megan?

	a.	Because Megan has been delinquent, she waives her right to see the credit files.
	b.	If Megan is rejected for a loan because of the consumer report, the lender must tell her the name of the agency that supplied the report.
	c.	Megan has a right to have the information regarding her delinquency in paying a few loans stricken from her credit record because her record has generally been good.
	d.	Megan's delinquencies can be reported by credit reporting agencies for a period of 12 years.

4 points

QUESTION 7

Mills Coffee has been a successful brand since the early 2000s. Mills has stores throughout the New England area. It also has a substantial internet presence and sells coffee nationwide. In late 2019, Ernie Mill started his own coffee company in Georgia and called it Mill's Coffee. Ernie had not heard of Mills Coffee before. In the first year of business, Mill's Coffee made a $1 million profit. Which of the following damages is Mills Coffee entitled to?

	a.	The $1 million in profits that Mill's Coffee made in its first year
	b.	50 percent of the profits that Mill's Coffee made in its first year
	c.	Five times the actual damages that Mills Coffee suffered
	d.	No damages as Mills does not have a trademark claim because Ernie was unaware of the mark

4 points

QUESTION 8

A trademark lasts for

	a.	20 years after the application is filed.
	b.	70 years after the death of the creator.
	c.	10 years, but it can be renewed for an unlimited number of terms as long as it is used.
	d.	as long as it is kept confidential.

4 points

QUESTION 9

Kieran Thompson wrote a book called Left Alone in 1929, at the height of the Great Depression, and it was published in 1932. Thompson died in 1939. In 2020, Alex Jordan discovered the book and published it as an e-book. Alex made sure that the author, Kieran Thompson, was appropriately listed as the author. The book became very popular, and Alex made significant sales profits. Thompson's family wants to bring a claim against Alex for copyright infringement. Which of the following statements is true?

	a.	The Thompson family has a valid copyright until 2027, or 95 years from publication of the work.
	b.	The Thompson family has a valid copyright until 2049, or 120 years from creation of the work.
	c.	The Thompson family's copyright claim expired in 2009, 70 years after the death of the author.
	d.	The Thompson family's copyright claim expired in 1953, 14 years after the death of the author.

4 points

QUESTION 10

BBQ Supply sells barbecue and barbecue accessories online through various platforms. Its products and customer service have always have been rated high on various review sites. Recently, during a dispute with a particularly irate and irrational customer, BBQ had begun to see multiple negative reviews of its products online. Management suspected that it was a result of the dispute and the work of the disgruntled customer. To fight back, BBQ began running a promotion-"Give our products a 5 Star review, and we will send you a discount code for your next purchase!" Is what BBQ did legal?

	a.	Yes, it is legal to try to counter fraudulent negative reviews in any way necessary in order to rightfully restore your brand's reputation.
	b.	Yes, it may be unethical, but it is not illegal to pay for reviews.
	c.	No, the Federal Trade Commission (FTC) prohibits companies from buying fake reviews.
	d.	No, BBQ could offer other incentives but can't offer cash discounts or rewards in return for positive reviews.

4 points

QUESTION 11

Max Walker and Michael Walker both open restaurants in Nashville, Tennessee. The two brothers are renowned cooks in the area. Max opens his restaurant in 2018 and uses the trademark "MW." Max does not register his mark under the Lanham Act. Michael opens his restaurant in January 2019 and also uses the trademark "MW." Michael does register his trademark under the Lanham Act. Which of the following statements is true?

	a.	Michael is the valid holder of the trademark because he was the first to register the mark under the Lanham Act.
	b.	Max is the valid holder of the trademark because he was the first person to use the mark.
	c.	Neither holds a valid trademark because you cannot trademark restaurant symbols.
	d.	Both hold a valid trademark, and they must share its use.

4 points

QUESTION 12

Under the Truth in Lending Act, a lender must disclose all of the following EXCEPT the

	a.	average percentage rate charged by competitors.
	b.	total of payments.
	c.	annual percentage rate (APR).
	d.	finance charge.

4 points

QUESTION 13

Some countries, such as those in the European Union, recognize a creator s moral rights to a copyrighted work. Moral rights include the rights of

	a.	attribution and integrity.
	b.	sale and attribution.
	c.	integrity and sale.
	d.	exploitation and attribution.

4 points

QUESTION 14

Dina's patent application related to an engine component for airplanes was rejected by the patent office. Dina believes the decision was wrong. What process can Dina follow to appeal the decision of the Patent and Trademark Office (PTO)?

	a.	Dina must start by filing a case in state court.
	b.	Dina should make an application directly to the U.S. Supreme Court.
	c.	Dina must ask Congress to overturn the decision.
	d.	Dina can appeal to the Patent Trial and Appeal Board in the PTO and then to the Court of Appeals for the Federal Circuit in Washington, D.C.

4 points

QUESTION 15

Kingston owns a small family farm in Iowa. The farm is surrounded by a large agribusiness, and one summer Kingston notices some new plants growing on the family farm. Kingston receives a letter from Monplanto Inc. saying that the seeds are patented and that Kingston must remove them immediately. Which of the following statements is true?

	a.	Plants cannot be patented, so Kingston doesn't have to remove the plants.
	b.	Because the seeds blew onto Kingston's property, and Kingston didn't intentionally steal the seeds, Kingston can keep the plants.
	c.	Kingston must remove the patented plants.
	d.	Kingston may grow the plants but must sell the output to Monplanto Inc.

4 points

QUESTION 16

A door-to-door salesperson knocks on Kacey's door and convinces her to purchase the Wonder Vacuum for $500. Soon after the salesperson leaves, Kacey begins to have second thoughts about the transaction. Which of the following statements about the situation is correct?

	a.	Kacey agreed to purchase the vacuum, so she must honor the agreement.
	b.	Kacey can cancel the transaction at any time before midnight of the third business day thereafter.
	c.	Kacey must pay for the vacuum, but she can get a refund if she returns it to the manufacturer within 30 days.
	d.	Kacey can keep the vacuum without paying when it is delivered, as it was purchased in her home.

4 points

QUESTION 17

A plant patent lasts for

	a.	14 years from the date of issuance.
	b.	70 years after the death of the person who filed the patent.
	c.	20 years from the date of application.
	d.	the life of the person who filed the patent.

4 points

QUESTION 18

Suppose Keshawn's credit card is stolen, and he notifies his credit card company of this fact. Which of the following statements regarding the amount of unauthorized charges made before Keshawn notified his credit card company is true?

	a.	Keshawn is not responsible for any of the unauthorized charges.
	b.	Keshawn is responsible for the first $50 of unauthorized charges.
	c.	Keshawn is responsible for the first $100 of unauthorized charges.
	d.	Keshawn is responsible for half of the unauthorized charges.

4 points

QUESTION 19

Alicia was tired of receiving telemarketing calls on her cell phone, so she added her number to the DoNotCall.gov registry. For the next two weeks, Alicia received even more calls than usual. Frustrated, Alicia wants to file a complaint. Which of the following statements is true?

	a.	Alicia can file a complaint with the Federal Trade Commission (FTC), and the telemarketers could be fined up to $40,000 for each call.
	b.	Alicia can file a complaint with the FTC, and the telemarketers could be fined up to $4,000 for each call.
	c.	Alicia can file a complaint only if the telemarketers blocked their names and numbers from appearing on caller ID systems.
	d.	Alicia currently cannot file a complaint.

4 points

QUESTION 20

Happy Toys Inc. is a children's toy manufacturer based in Maryland. Its number one selling toy is a pocket-sized drone that can fly up to 200 feet. One month after sales began, Happy Toys Inc. started to receive consumer reports about fires in the lithium battery of the toy. Given the size of the sales, Happy Toys Inc. began to investigate. Which of the following statements with respect to the company's legal responsibilities regarding reporting the potentially hazardous defect is true?

	a.	Happy Toys must report the defect within 48 hours of discovery.
	b.	Happy Toys only has to report the defect after it has completed its full investigation.
	c.	Happy Toys has complete discretion on whether to report the defect.
	d.	Happy Toys must report the defect within 24 hours of discovery.