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TEST BANK for Business Law in Canada 13 Edition by Richard A. Yates and Clarke Chapters 1-16 .pdf

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TEST BANK for Business Law in Canada 13 Edition by Richard A. Yates and Clarke Chapters 1-16 .pdf

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Business Law In Canada 13 Edition By
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TEST BANK Business Law in Canada 13/CE Richard Yates
m m m m m m m m




Chm1.mManagingmYourmLegalmAffairs

1. Inmthemcontextmofmamsophisticatedmclient,m"sophisticated"mcanmbestmbemdefinedmas
a. complicated,mself-reliant,mandmcosmopolitan.
b. refinedmandmcultured.
c. simplemandmnaïve.
d. confident,mknowledgeable,mandmupmtomdate.
e. aggressive,mdynamic,mandmforceful.

2. Whichmofmthemfollowingmbestmdescribesmthemlikelihoodmofmamstudentmbecomingminvolved
minmam
situationmnecessitatingmlegalmadvice?
a. Amstudent,mormsomeonemclosemtomamstudent,msometimesmbecomesminvolvedminmsuchmamsituation.
b. Amstudent,mormsomeonemclosemtomthemstudent,mwillmalwaysmbecomeminvolvedminmsuchmamsituation.
c. Becausemstudentsmaremnotmbusinessmpeople,mtheymnevermbecomeminvolvedminmsuchmsituations.
d. Becausemstudentsmcannotmbemsophisticated,mtheymwillmoftenmbecomeminvolvedminmsuchmsituations.
e. Legalmadvicemismnotmavailablemtomstudents.

3. Ramanmismamsophisticatedmclient.mThismmeansmthatmshe
a. understandsmhowmtommanagemamlawyer-clientmrelationship.
b. hasmamlawmdegree.
c. ismamsmallmbusinessmowner.
d. managesmhermlegalmaffairsmwithoutmassistancemfrommamlawyer.
e. willmprobablymnevermfindmherselfminmamsituationmnecessitatingmlegalmadvice.

4. Whichmofmthemfollowingmismnotmamgoodmreasonmformambusinesspersonmtomseekmadvicemfrommamlawyer?
a. Thembusinesspersonmcannotmfindmthemnecessarymlegalminformation.
b. Thembusinesspersonmcannotmunderstandmthemnecessarymlegalminformation.
c. Themnecessarymlegalminformationmismavailablemonline.
d. Itmwouldmtakemtoomlongmformthembusinesspersonmtomfindmthemnecessarymlegalminformation.
e. Thembusinesspersonmismfacingmcriminalmcharges.

5. Formsophisticatedmclients,mthemavailabilitymofmanmabundancemofmlegalminformationmonlinemis
a. amnegativemdevelopment,mbecausemonlineminformationmismrarelymaccuratemormhelpful.
b. ampositivemdevelopment,mbecausemitmmeansmthatmtheymwillmnomlongermneedmtomretainmlawyersmasm
partmofmtheirmteam.
c. amnegativemdevelopment,mbecausemaccessingmthisminformationmtendsmtombemmoremcostlymthanmretain
ingmamlawyer.
d. ampositivemdevelopment,mbecausemitmprovidesmgreatermaccessmtominformationmtheymcanmusemasmp
artmofmtheirmdecision-makingmprocess.
e. amneutralmdevelopment,mbecausemlawyersmaremstillmthemonlymonesmablemtomaccessmthisminformation.

6. Whenmsearchingmonlinemformlegalminformation,mitmismbestmto
a. trustmthatmifmitmismpublishedmonline,mitmmustmbemaccurate.
b. nevermtrustmtheminformationmfoundmonmamwebsite.
c. usemAmericanmsources,masmtheymtendmtombemmoremcomprehensivemthanmCanadianmones.
d. gaugemthemaccuracymofmtheminformationmbymthemlookmofmthemwebsite.
e. seekminputmfrommamlawyermwhenmanswersmcannotmbemreadilymfound.

7. Sophisticatedmclients
a. domnotmneedmtomretainmamlawyer.
b. knowmthatmitmismbettermtomhiremamlawyermthanmtomconductmresearchmonmone'smown.
c. aremwillingmtompaymformlegalmadvicematmanymcost.
d. tendmtombemembarrassedmtomrequestmlegalmadvice.
e. havemthemskillmandmconfidencemtomfindmbasicmlegalminformation.

,Chm1.mManagingmYourmLegalmAffairs




8. Themprimarympurposemofmanminitialmconsultationmwithmamlawyermis
a. tomarrangempaymentmofmthemlawyer'smfeesmupmfront.
b. tomdevelopmstrategiesmformdealingmwithmthemlegalmsituationminmquestion.
c. formthemprospectivemclientmtomdecidemwhethermtomretainmthemlawyer.
d. formthemprospectivemlawyermtomhelpmmediatemthemcurrentmdispute.
e. tomdiscussmthemavailabilitymofmLegalmAid.

9. Themdecisionmtomentermthemlawyer-clientmrelationshipmshouldmbe
a. mademquicklymtomensuremthatmnomonemelsemcanmretainmyourmlawyer.
b. solelymupmtomthemlawyer,masmhemormshemismthemonemwithmthemlegalmtraining.
c. mademprimarilymonmthembasismofmcost.
d. ammutualmdecisionmmademprimarilymonmthembasismofmtrust.
e. solelymupmthemclient,masmthemclientmismthemonempayingmformthemservices.

10. Whenmsomeonemrefersmyoumtomamparticularmlawyer,myoumshould
a. retainmthemlawyermregardlessmofmwhomgavemyoumthemreferral.
b. gaugemthemreferralmonmthembasismofmthemlevelmofmtrustmyoumhavemformthempersonmmakingmthemreferral.
c. retainmthemlawyermregardlessmofmtheirmareamofmpractice.
d. ensuremthemreferralmismfrommamfamilymmembermrathermthanmammeremfriend.
e. ignoremthemreferralmasmirrelevant.

11. Amlawyermreferralmservice
a. willmenablemambusinesspersonmtomretainmamlawyermwithoutmneedmformanminitialmconsultation.
b. ismanmonlinemfee-basedmservicemprovidingmguaranteedmresults.
c. regulatesmthemlegalmprofessionminmtheminterestmofmthempublic.
d. providesmthemnamesmandmphonemnumbersmofmlawyersmwhompracticeminmamparticularmareamofmlaw.
e. ismalsomknownmasm"LegalmAid".

12. Amprovincialmlawmsociety
a. ismamself-governingmbodymformlawyers.
b. hasmasmitsmmandatemthemprovisionmofmfreemlegalmservicesminmthempublicminterest.
c. operatesmprimarilymtomoffermlow-costmlegalmadvicemtommembers.
d. operatesmprimarilymtomenhancemthemcommercialminterestsmofmitsmmembers.
e. ismamself-governingmbodymformbusinesspeoplemseekingmlegalmadvice.

13. Becomingmamsophisticatedmclientmwill
a. ensuremthatmambusinessmpersonmnevermneedsmamlawyer.
b. helpmambusinessmpersonmmanagemhermlegalmaffairsmmoremefficientlymandmeffectively.
c. resultminmambusinessmpersonmdevelopingmambiasmagainstmlawyers.
d. relievemambusinessmpersonmfrommhavingmtomconductmlegalmresearch.
e. protectmambusinessmpersonmfrommneedingmlegalmadvice.

14. ThemCanadianmBarmAssociationmis
a. themnationalmsocietymformlegalmaidmservices.
b. amprofessionalmorganizationmthatmrepresentsmjudgesmandmlawyers.
c. focusedmonmenhancingmpublicmsafetyminmthemliquormdistributionmindustry.
d. anmorganizationmresponsiblemformreviewingmlawyers'maccounts.
e. amdisciplinarymbodymformmembersmofmthemlegalmprofession.




15. Whenmsettingmupmamsmallmbusiness,mthembestmapproachmtomfollowmismtomassumemthatmaft
ermthembusinessmhasmbeenmsetmupmandmcommencesmoperating,

,Chm1.mManagingmYourmLegalmAffair
s a. themlawyermyoumchosemtomassistmyouminmthemstart-upmofmthembusinessmwillmcontinuemtomrepresentmyou.
b. themlawyermyoumchosemtomassistmyouminmthemstart-
upmofmthembusinessmwillmrefermyoumtomamdifferentmlawyer.
c. amlawyermwillmnomlongermbemrequired.
d. youmwillmnotmneedmlegalmadvice,masmlongmasmyoumaremamsophisticatedmclient.
e. themlawyermyoumchosemtomassistmyouminmthemstart-
upmofmthembusinessmwillmprovidemfreemlegalmservicesmformthemdurationmofmthembusiness'smoperation.

16. Whichmofmthemfollowingmismnotmanmadvantagemtommaintainingmanmongoingmrelationshipmwithmyourmlawyer?
a. Themlawyermwillmknowmandmunderstandmyoumandmyourmbusiness.
b. Themlawyermwillmbemablemtomprovidemlegalmadvicemmoremefficiently,mtherebymreducingmyourmlegalmcosts.
c. Themlawyermwillmbemablemtomcustomizemlegalmadvicemsomitmwillmbemevenmmoremusefulmtomyou.
d. Themlawyermwillmautomaticallymtrackmyourmbusinessmactivitiesmsomthatmhemormshemcanmprovidemco
nstantmadvicemandmguidance.
e. Themlawyermwillmbemmotivatedmtomdomevenmmoremformthemclient.

17. Legalmfees
a. aremalwaysmcalculatedminmamsingle,mspecifiedmway.
b. shouldmnotmbemdiscussedmwithmamlawyermuntilmambillmhasmbeenmprepared.
c. aremtypicallymnegligible.
d. shouldmbemdiscussedmduringmtheminitialmconsultationmwithmthemlawyer.
e. aremrarelymthemsubjectmofmconfusionmormmisunderstanding.

18. Whichmofmthemfollowingmstatementsmismcorrect?
a. Itmismampopularmmisconceptionmthatmlegalmservicesmcanmbemverymcostly.
b. Somempeoplemdon'tmretainmlawyersmevenmwhenmtheymneedmthemmbecausemtheymaremafraidmofmthemcost.
c. Allmlegalmmattersmarembilledmtomclientsmonmanmhourlymbasis.
d. Itmismconsideredmunprofessionalmtomraisemthemissuemofmfeesmduringmamconsultationmwithmamlawyer.
e. Lawyersmshouldmalwaysmbemretained,mregardlessmofmthemcost.

19. Contingencymfeemagreements
a. aremtypicallymusedmformrealmestatempurchases,mthemdraftingmofmwills,mandmincorporations.
b. aremnotmsubjectmtomanymrestrictions.
c. aremsynonymousmwithmretainermagreements.
d. maymresultminmamlawyermnotmreceivingmanymlegalmfeesmformthemworkmdonemonmamfile.
e. mustmbempreparedmformallmlawyer-clientmrelationships.

20. Whichmofmthemfollowingmstatementsmregardingmprovincialmlawmsocietiesmismfalse?
a. Provincialmlawmsocietiesmmaymrestrictmthemusemofmcontingencymfeemagreements.
b. Provincialmlawmsocietiesmmaymsetmmaximummcontingencymfeesmformcertainmtypesmofmcases.
c. Provincialmlawmsocietiesmmaymoffermamfeemmediationmservice.
d. Provincialmlawmsocietiesmprovidemonlineminformationmonmlawyers'mfees.
e. Provincialmlawmsocietiesmprovidemfreemlegalmservicesmtompeopleminmneed.

21. Typically,mlawyersmbillmtheirmfeesmonmthembasismofmwhichmofmthemfollowing?
a. Amfixedmfee,manmhourlymrate,mormamcontingencymfee
b. Amfixedmfee,mampromratamdistribution,mormamcontingencymfee
c. Amstipend,mampromratemdistribution,mormanmhourlymrate
d. Amstipend,manmhourlymrate,mormamcontingencymfee
e. Amfixedmfee,mamstipend,mormampromratamdistribution

, Chm1.mManagingmYourmLegalmAffair
s
22. Whichmofmthemfollowingmstatementsmregardingmretainersmismfalse?
a. Beforemcommencingmworkmonmammattermformamnewmclient,mamlawyermusuallymrequestsmthatmamretai
nermbempaid.
b. Provincialmlawmsocietiesmtypicallymrestrictmthemusemofmretainersmtompersonalminjurymormproductmlia
bilitymcases.
c. Amretainermismdepositedmintomamtrustmaccountmtomthemcreditmofmthemclient.
d. Themlawyermmaymrequiremthemclientmtom"topmup"mthemretainermasmfundsmaremwithdrawnmfrommth
emtrustmaccountmtompaymlegalmbills.
e. Amretainermhelpsmensuremthatmlawyersmwillmbempaidmformtheirmlegalmservices.

23. Amretainer
a. worksmtomsecuremthemreleasemofmanmarrestedmperson.
b. refersmtomthemcostsmincurredmbymamlawyermonmamclient'smbehalf.
c. ismthemamountmamlawyermwillmreceivemwhenmchargingmbasedmonmamcontingencymfeemagreement.
d. worksmasmamdeposit.
e. ismthemamountmamclientmmustmpaymthatmisminmadditionmtomregularmlegalmfeesmandmdisbursements.

24. Havingmamgoodmlawyermonmyourmteammis
a. usuallymtoomexpensivemtombemworthwhile.
b. onlymnecessarymformlargemcompanies.
c. amgoodmalternativemtombecomingmamsophisticatedmclient.
d. amlegalmrequirementmpriormtomincorporatingmambusiness.
e. amcriticalmcomponentmofmbeingmamsophisticatedmclient.

25. Legalmaidmis
a. universallymavailable,mregardlessmofmsubjectmmattermormfinancialmneed.
b. availablemtomanyonemwhomcanmdemonstratemfinancialmneed,mregardlessmofmsubjectmmatter.
c. availablemexclusivelymformcriminalmlawmissues,msubjectmtomdemonstratedmfinancialmneed.
d. onlymavailablemformbusinessmlawmissues.
e. availablemsubjectmtomsubstantivemandmfinancialmeligibilitymrequirements.

26. Whichmofmthemfollowingmstatementsmismmostmaccurate?
a. Ifmyoumhavemamlegalmproblemmandmcannotmaffordmamlawyer,myoummaymbemeligiblemformlegalmaid.
b. Ifmyoumhavemamlegalmproblemmandmcannotmaffordmamlawyer,monemwillmbemprovidedmformyou.
c. Ifmyoumqualifymformlegalmaid,myoumwillmautomaticallymbemexemptmfrommallmlegalmcosts.
d. Everyonemqualifiesmformlegalmaid.
e. Everyonemcanmaffordmamlawyer.

27. Ifmyoumcollectmmoneymasmamresultmofmamsettlementmormjudgmentmobtainedmthroug
hmthemassistancemofmlegalmaid,myoumwill
a. probablymhavemtomrepaymsomemormallmofmthemlegalmaidmbenefitsmyoumreceived.
b. probablymbemineligiblemtomenforcemthemsettlementmormjudgmentmifmthemdebtormrefusesmtompay.
c. probablymbemablemtomkeepmthemfullmamountmofmthemsettlementmofmjudgment.
d. bemrequiredmtomturnmthemamountmofmthemsettlementmormjudgmentmovermtomlegalmaid.
e. bemrequiredmtomturnmthemamountmofmthemsettlementmormjudgmentmovermtomthemcourt.

28. Amsmallmbusinessmowner
a. ismwisemtomobtainmlegalmaidmformbusinessmmattersmrathermthanmhavingmtomincurmlegalmcosts.
b. ismautomaticallymentitledmtomlegalmaidmassistance.
c. ismusuallymnotmablemtomreceivemlegalmaidmwithmrespectmtomthemtypemofmlegalmissuesminvolvingmthembusiness
.
d. shouldmalwaysmusemdutymcounselmrathermthanmhavingmtomretainmamlawyer.
e. shouldmretainmdutymcounselmtomdraftmcontractsmoutliningmlegalmduties.

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