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LEB 323 Exam 1 Questions and Correct
Answers/ Latest Update / Already Graded
Chapter 1
Ans: Chapter 1
Necessity of the Law
Ans: Economic - facilitates order and economic exchange,
biggest advantage developed economies have over developing
economies is a functioning legal system, need laws to protect
makers of wealth
Social - enables people to live together in groups, creates trust
and safety
4 Requisites of a legal system
Ans: 1. Certainty - legal principles will remain stable for the
foreseeable future, well established principles will not be
abruptly overturned
2. Flexibility - must be able to adapt to technological
advancements and changing points of view(creation of planes
and the internet)
3. Knowability - obedience requires knowledge of the rules or
reasonable means of acquiring it, access to lawyers and the
actual law
All rights reserved © 2025/ 2026 |
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4. Reasonableness - rules must appear reasonable to the great
majority of people if they are to be obeyed for long
(prohibition)
How to classify the law
Ans: Subject matter - Constitutional, contract, corporate,
criminal, etc.
State vs. federal - most of our law is state law, lots of parallels
across states
Common law vs. Statutory
Civil vs. Criminal
Common law
Ans: all the rules and principles currently existing in any state,
regardless of their historical origin , that result from judicial
decisions in those areas of law where legislatures ha ve not
enacted statutes establishing definitive rules, case law/judge
made law
Contracts, torts, and agency are dominated by common law
rules
Statutory law
All rights reserved © 2025/ 2026 |
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Ans: state and federal statutes in effect at a given time, rules
have been adopted by legislative bodies rather than by the
courts, federal constitutions, city ordinances, treaties, etc.,
direct interpretation of the language
Corporation law, criminal law, and tax law are dominated by
statutory rules
Civil law
Ans: all those laws that spell out the rights and duties existing
among individuals, business firms, and government agencies,
contract law, tort law, and sales law fall here, plaintiff s eeks to
enforce private obligations or duties against the defendant,
seeks damages or injunction, must be proved by a
preponderance of the evidence (more likely than not)
Criminal law
Ans: statutes by which a state or federal government prohibits
specified kinds of conduct and which provide for imposition of
fines or imprisonment, always brought by the government,
must be proved beyond reasonable doubt
Law and business startegy
Ans: must be taken into account when making decisions
All rights reserved © 2025/ 2026 |
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Avoidance - don't understand the law so stay out of the laws
reach
Comply - understand the law, follow it as a necessary restraint
to their actions
Prevention - deep level of functional and area specific
knowledge, provide training to avoid risk
Value - fully understand big picture environment, use the law to
produce value (licensing revenue)
Transformation - sophisticated and broad knowledge of legal
and regulatory mater that cut across domains, take advantage
of opportunities to transform the business
Law and Justice
Ans: Most legal rules are just (fair and reasonable), never
complete agreement on what is just, not always possible to
provide an adequate remedy to the good person
Law and ethics
Ans: legal standards and ethical standards parallel o ne another
more closely than many people believe, ethical standards are
sometimes higher than those imposed by the law, sometimes
the opposite is true, many laws are based on statutory and
practical requirements that have little or no relationship to
ethical considerations, ethical beliefs influence legal policy
All rights reserved © 2025/ 2026 |
LEB 323 Exam 1 Questions and Correct
Answers/ Latest Update / Already Graded
Chapter 1
Ans: Chapter 1
Necessity of the Law
Ans: Economic - facilitates order and economic exchange,
biggest advantage developed economies have over developing
economies is a functioning legal system, need laws to protect
makers of wealth
Social - enables people to live together in groups, creates trust
and safety
4 Requisites of a legal system
Ans: 1. Certainty - legal principles will remain stable for the
foreseeable future, well established principles will not be
abruptly overturned
2. Flexibility - must be able to adapt to technological
advancements and changing points of view(creation of planes
and the internet)
3. Knowability - obedience requires knowledge of the rules or
reasonable means of acquiring it, access to lawyers and the
actual law
All rights reserved © 2025/ 2026 |
, Page |2
4. Reasonableness - rules must appear reasonable to the great
majority of people if they are to be obeyed for long
(prohibition)
How to classify the law
Ans: Subject matter - Constitutional, contract, corporate,
criminal, etc.
State vs. federal - most of our law is state law, lots of parallels
across states
Common law vs. Statutory
Civil vs. Criminal
Common law
Ans: all the rules and principles currently existing in any state,
regardless of their historical origin , that result from judicial
decisions in those areas of law where legislatures ha ve not
enacted statutes establishing definitive rules, case law/judge
made law
Contracts, torts, and agency are dominated by common law
rules
Statutory law
All rights reserved © 2025/ 2026 |
, Page |3
Ans: state and federal statutes in effect at a given time, rules
have been adopted by legislative bodies rather than by the
courts, federal constitutions, city ordinances, treaties, etc.,
direct interpretation of the language
Corporation law, criminal law, and tax law are dominated by
statutory rules
Civil law
Ans: all those laws that spell out the rights and duties existing
among individuals, business firms, and government agencies,
contract law, tort law, and sales law fall here, plaintiff s eeks to
enforce private obligations or duties against the defendant,
seeks damages or injunction, must be proved by a
preponderance of the evidence (more likely than not)
Criminal law
Ans: statutes by which a state or federal government prohibits
specified kinds of conduct and which provide for imposition of
fines or imprisonment, always brought by the government,
must be proved beyond reasonable doubt
Law and business startegy
Ans: must be taken into account when making decisions
All rights reserved © 2025/ 2026 |
, Page |4
Avoidance - don't understand the law so stay out of the laws
reach
Comply - understand the law, follow it as a necessary restraint
to their actions
Prevention - deep level of functional and area specific
knowledge, provide training to avoid risk
Value - fully understand big picture environment, use the law to
produce value (licensing revenue)
Transformation - sophisticated and broad knowledge of legal
and regulatory mater that cut across domains, take advantage
of opportunities to transform the business
Law and Justice
Ans: Most legal rules are just (fair and reasonable), never
complete agreement on what is just, not always possible to
provide an adequate remedy to the good person
Law and ethics
Ans: legal standards and ethical standards parallel o ne another
more closely than many people believe, ethical standards are
sometimes higher than those imposed by the law, sometimes
the opposite is true, many laws are based on statutory and
practical requirements that have little or no relationship to
ethical considerations, ethical beliefs influence legal policy
All rights reserved © 2025/ 2026 |
