LSTD 2106 Exam 3 Questions with Complete
Solutions
Principal's Duties -Reimburse
-Indemnify
Agent's Duties -Centerpiece - Act in the principles best interest
-Accounting- Principle can ask "What da business is?"
Employment-at-will Doctrine Permits employers to terminate an at-will employee with or
without advance notice and with or without just cause, subject to certain exceptions
Employment-at-will Doctrine Exceptions 1. The employee has an express contract
2. Courts have fashioned a common law exception
3. There is some specific statutory protection against job termination
Whistle-Blower Statute Unique by state; however, whistle-blowers are most commonly
protected when they report the violation of a law or standard by their employer to the authorities
, FLSA Fair Labor Standards Act
-Minimum wage, overtime, child labor, etc.
FLSA Exempt vs. Non-exempt -Education or skill level or certifications required for the
position, salary level, compensation method
-Amount of physical labor required
-Amount of repetitive tasks
Degree of supervision required by the employer
ERISA Employee Retirement Income Security Act
-Requires employers to make certain disclosures related to investment risk and provides
transparency for plan beneficiaries (retirement plans)
SSA Social Security Act
-Employees are entitled to retirement benefits based on how many credits they have earned
during their working life
Solutions
Principal's Duties -Reimburse
-Indemnify
Agent's Duties -Centerpiece - Act in the principles best interest
-Accounting- Principle can ask "What da business is?"
Employment-at-will Doctrine Permits employers to terminate an at-will employee with or
without advance notice and with or without just cause, subject to certain exceptions
Employment-at-will Doctrine Exceptions 1. The employee has an express contract
2. Courts have fashioned a common law exception
3. There is some specific statutory protection against job termination
Whistle-Blower Statute Unique by state; however, whistle-blowers are most commonly
protected when they report the violation of a law or standard by their employer to the authorities
, FLSA Fair Labor Standards Act
-Minimum wage, overtime, child labor, etc.
FLSA Exempt vs. Non-exempt -Education or skill level or certifications required for the
position, salary level, compensation method
-Amount of physical labor required
-Amount of repetitive tasks
Degree of supervision required by the employer
ERISA Employee Retirement Income Security Act
-Requires employers to make certain disclosures related to investment risk and provides
transparency for plan beneficiaries (retirement plans)
SSA Social Security Act
-Employees are entitled to retirement benefits based on how many credits they have earned
during their working life
