BL300 EXAM STUDY SET WITH
COMPLETE SOLUTION
5 forces determine industry attractiveness - Answer buyer power, supplier power,
competitive threat by current rivals, availability of substitutes, threat of new entrants
legal astuteness - Answer ability of managers to communicate. effectively + work w/
counsel
3 sources of law - Answer constitution, statute, regulation
regulations - Answer provisions issued by federal gov to state administrative agencies
and executive departments to interpret + implement statutes enacted by legislature
common law + doctrine of stare decisis "abide by decided cases" - Answer legal rules
made by judges when they decide a case where no constitution, statute, regulation
exists to resolve dispute
supreme court - Answer overrules previous decisions
splits in circut - Answer when diff courts of appeal (in each state) disagree on
interpretation of legal issue
restatements - Answer rules originating as common law now compiled formally
federal/state courts - Answer diff subject matter jurisdiction (hear diff cases)
federal jurisdiction - 3 sources of power to hear civil cases - Answer 1) diversity
jurisdiction - citizens of 2 diff states AND $75,000+, 2) federal question jurisdiction when
dispute concerns fed law, 3) when US constitution is a party
citizenship of corporation - Answer dual citizenship 1) state in which its incorporated, 2)
state where it has headquarters
3 tiered system - Answer 1) district court, 2) court of appeals, 3) federal court
court of appeals - Answer 1) review decisions of final courts w/i territory, 2) review
decisions of administrative agencies, 3) issue writs (orders) to lower courts/litigants
vacate - Answer nullify
remand - Answer send back to lower court for reccomendation
supreme court "discretionary review" - Answer decides which cases in jurisdiction to
see
writ of certiorari - Answer orders lower court to send record of proceedings
,state courts - Answer create state laws, state trial courts, state appellate courts, state
supreme court
must have "standing" to sue - Answer 1) proper party to advance litigation, 2) personal
interest in outcome, 3) will benefit from favorable ruling
personal jurisdiction - Answer court has legal authority over parties to the lawsuit
(based on residence or location of property usually) (which states have power to hear
MY claim)
ethics focus on - Answer consequences, 1st principles (rules), virtue, care
litigation process - Answer 1) plantiff files complaint, 2) parties conduct discovery, 3)
court conducts trials or other hearing, 4) after evidence presented, winner decided, 5)
losing party can appeal
source of law - Answer what is the legal claim?
state subject matter jurisdiction - Answer when its a state law or federal law allows it (so
its not overwhelmed)
federal court jurisdiction - Answer over federal laws
sources of law - Answer federal + state law (most - corporate, contract, torts, etc)
4 ways to get personal jurisdiction - Answer 1) citizenship of defendant, 2) consent, 3)
service of process (served w papers), 4) long-arm statue (prove minimum context in
state (property) + case happened in the state, then call to state
subject matter jurisdiciton - Answer which court system (fed, state, both) can hear this
kind of claim
federal subject matter jurisdiction - Answer its a federal law case or diversity
jurisdiction applies (1) only on state law claims (2) $75,000+ case based on what plantiff
claims (3) all parties in lawsuit citizens of diff states
class action - Answer affects numerous persons in common way, commonality needs to
be established among members [court can w/ 1 single decision solve dispute for every
plaintiff, degree of injury doesn't impact commonality], binds present + future
complaints ex) smoking tobacco
class action fairness act - Answer bring any class action to federal court
civil procedure - Answer methods/processes/practices that govern processing of a civil
lawsuit from start to finish (1) plaintiff's complaint w facts, legal reason, prayer (request
for relief), (2) summons - officially notifies defendant, (3) answer and counterclaim or
affirmative defense (not a full admission), (4) default judgement
pleadings - Answer plaintiff's complaint + defendants answer
, directed verdict - Answer not enough evidence to support legal claim
jury verdict - Answer has to be unanimous
deposition (discovery) - Answer collect info ab case orally outside of court (under oath),
requests for discovery/production of documents, recuses asymmetric information
between plaintiff/defendant, but labor-intensive/expensive
interrogatives (discovery) - Answer written questions to other side + required to get a
response
order of class action lawsuit - Answer complaint, answer, discovery, trial, verdict,
appeals
agency relationship - Answer agent represents a principal (person), agent can bind
principle in legal relations w/ 3rd parties if agent has actual or apparent authority to do
so (can control some actions + both have fiduciary duties that govern their conduct)
equal dignities rule - Answer has to be in writing agreement to have agency relationship
apparent authority - Answer when one leads another to believe someone else is his/her
agent (3rd party has reasonable belief) and therefore stopped from denying it
agency by ratification - Answer principal (client) approve/accepts benefits of actions of
otherwise unauthorized agent
employer-employee relationship - Answer employer controls conduct of employee
independent contractor (freelance workers) - Answer independent contractor NOT
employee, use ABC test - worker free from control/direction of hirer in relation to the
performance of the work, both under the contract and in fact;
1) The worker performs work that is outside the usual course of the hirer's business;
AND
2) The worker is customarily engaged in an independently established trade,
occupation, or business of the same nature as the work performed for the hirer
respondeat superior - Answer employers responsible for employees tort as long as
acting under terms of employment (but independent contractors NO)
joint employer of leased workers (from employment agency) - Answer 1) supervise
workers, 2) ability to hire/fire, 3) establishes wage rates, 4) involved in day to day labor
relations, 5) has power to discipline/promote workers
fiduciary - Answer agent becomes this when agreed to act on behalf of principle - duty of
loyalty (act for their benefit only) + obedience (agent follows instructions) + duty of care
(to avoid mistakes through negligence, recklessness, unintentional misconduct)
actual authority - Answer may be expressed or implied
COMPLETE SOLUTION
5 forces determine industry attractiveness - Answer buyer power, supplier power,
competitive threat by current rivals, availability of substitutes, threat of new entrants
legal astuteness - Answer ability of managers to communicate. effectively + work w/
counsel
3 sources of law - Answer constitution, statute, regulation
regulations - Answer provisions issued by federal gov to state administrative agencies
and executive departments to interpret + implement statutes enacted by legislature
common law + doctrine of stare decisis "abide by decided cases" - Answer legal rules
made by judges when they decide a case where no constitution, statute, regulation
exists to resolve dispute
supreme court - Answer overrules previous decisions
splits in circut - Answer when diff courts of appeal (in each state) disagree on
interpretation of legal issue
restatements - Answer rules originating as common law now compiled formally
federal/state courts - Answer diff subject matter jurisdiction (hear diff cases)
federal jurisdiction - 3 sources of power to hear civil cases - Answer 1) diversity
jurisdiction - citizens of 2 diff states AND $75,000+, 2) federal question jurisdiction when
dispute concerns fed law, 3) when US constitution is a party
citizenship of corporation - Answer dual citizenship 1) state in which its incorporated, 2)
state where it has headquarters
3 tiered system - Answer 1) district court, 2) court of appeals, 3) federal court
court of appeals - Answer 1) review decisions of final courts w/i territory, 2) review
decisions of administrative agencies, 3) issue writs (orders) to lower courts/litigants
vacate - Answer nullify
remand - Answer send back to lower court for reccomendation
supreme court "discretionary review" - Answer decides which cases in jurisdiction to
see
writ of certiorari - Answer orders lower court to send record of proceedings
,state courts - Answer create state laws, state trial courts, state appellate courts, state
supreme court
must have "standing" to sue - Answer 1) proper party to advance litigation, 2) personal
interest in outcome, 3) will benefit from favorable ruling
personal jurisdiction - Answer court has legal authority over parties to the lawsuit
(based on residence or location of property usually) (which states have power to hear
MY claim)
ethics focus on - Answer consequences, 1st principles (rules), virtue, care
litigation process - Answer 1) plantiff files complaint, 2) parties conduct discovery, 3)
court conducts trials or other hearing, 4) after evidence presented, winner decided, 5)
losing party can appeal
source of law - Answer what is the legal claim?
state subject matter jurisdiction - Answer when its a state law or federal law allows it (so
its not overwhelmed)
federal court jurisdiction - Answer over federal laws
sources of law - Answer federal + state law (most - corporate, contract, torts, etc)
4 ways to get personal jurisdiction - Answer 1) citizenship of defendant, 2) consent, 3)
service of process (served w papers), 4) long-arm statue (prove minimum context in
state (property) + case happened in the state, then call to state
subject matter jurisdiciton - Answer which court system (fed, state, both) can hear this
kind of claim
federal subject matter jurisdiction - Answer its a federal law case or diversity
jurisdiction applies (1) only on state law claims (2) $75,000+ case based on what plantiff
claims (3) all parties in lawsuit citizens of diff states
class action - Answer affects numerous persons in common way, commonality needs to
be established among members [court can w/ 1 single decision solve dispute for every
plaintiff, degree of injury doesn't impact commonality], binds present + future
complaints ex) smoking tobacco
class action fairness act - Answer bring any class action to federal court
civil procedure - Answer methods/processes/practices that govern processing of a civil
lawsuit from start to finish (1) plaintiff's complaint w facts, legal reason, prayer (request
for relief), (2) summons - officially notifies defendant, (3) answer and counterclaim or
affirmative defense (not a full admission), (4) default judgement
pleadings - Answer plaintiff's complaint + defendants answer
, directed verdict - Answer not enough evidence to support legal claim
jury verdict - Answer has to be unanimous
deposition (discovery) - Answer collect info ab case orally outside of court (under oath),
requests for discovery/production of documents, recuses asymmetric information
between plaintiff/defendant, but labor-intensive/expensive
interrogatives (discovery) - Answer written questions to other side + required to get a
response
order of class action lawsuit - Answer complaint, answer, discovery, trial, verdict,
appeals
agency relationship - Answer agent represents a principal (person), agent can bind
principle in legal relations w/ 3rd parties if agent has actual or apparent authority to do
so (can control some actions + both have fiduciary duties that govern their conduct)
equal dignities rule - Answer has to be in writing agreement to have agency relationship
apparent authority - Answer when one leads another to believe someone else is his/her
agent (3rd party has reasonable belief) and therefore stopped from denying it
agency by ratification - Answer principal (client) approve/accepts benefits of actions of
otherwise unauthorized agent
employer-employee relationship - Answer employer controls conduct of employee
independent contractor (freelance workers) - Answer independent contractor NOT
employee, use ABC test - worker free from control/direction of hirer in relation to the
performance of the work, both under the contract and in fact;
1) The worker performs work that is outside the usual course of the hirer's business;
AND
2) The worker is customarily engaged in an independently established trade,
occupation, or business of the same nature as the work performed for the hirer
respondeat superior - Answer employers responsible for employees tort as long as
acting under terms of employment (but independent contractors NO)
joint employer of leased workers (from employment agency) - Answer 1) supervise
workers, 2) ability to hire/fire, 3) establishes wage rates, 4) involved in day to day labor
relations, 5) has power to discipline/promote workers
fiduciary - Answer agent becomes this when agreed to act on behalf of principle - duty of
loyalty (act for their benefit only) + obedience (agent follows instructions) + duty of care
(to avoid mistakes through negligence, recklessness, unintentional misconduct)
actual authority - Answer may be expressed or implied
