HMGT 4244 FINAL EXAM QUESTIONS WITH CORRECT ANSWERS LATEST UPDATE 2026
A valid contract needs consideration flowing to both parties. - Answers true
A hospitality manager may be responsible for which type of legal agreement(s)? - Answers all of the
above: Franchise Agreements
Supply Agreements
Employment Agreements
Management Agreements
A contract has to be in writing to be enforceable by the courts. - Answers false
The UCC is the acronym for the law regulating purchasing agreements, which gives protection to
buyers, sellers and financial lenders when goods are purchased under contract. - Answers true
Indemnification means to make one whole; to reimburse for a loss already incurred. - Answers true
The best way for a hotelier to indicate acceptance of an offer is? - Answers agree to the offer in
writing
Which of the following represents a fee that is ordinarily paid by the franchisee to the franchisor? -
Answers all of the above: Earnings percentage (royalty fee)
Franchise application fee
Advertising participation (marketing fee)
Which of the following is not an advantage when purchasing a franchise? - Answers Sensitivity to
menu items for local clientele
A well drafted conference service contract will contain a provision for cancellation by the group. If a
group decreases the number of contracted attendees, this is known as _____ and a provision should
also be stated in the conference service contract. - Answers attrition
It is the responsibility of the courts to decide the relative fairness of consideration. - Answers false
The UCC stands for: - Answers Uniform Commercial Code
In all cases, it is unlawful to breach a contract. - Answers false
Which of the following is a major element of management agreements? - Answers all of the above:
The control, if any, that the owner has in the selection or removal of the business's management
personnel.
Insurace requirements of the management company (who must carry the insurance and how much)
Incentives fees earned or penalties assessed related to operating performance
All contracts, whether verbal or written, must be for legal purpose and in order to be enforceable,
must consist of an offer, acceptance, and consideration. - Answers true
In the lodging industry, payment can be made if the hotel agrees to directly bill the company or group
for all the charges. - Answers true
Exculpatory clauses seek to put blame on the hospitality operator in certain situations. - Answers
false
A well-developed group lodging contact will include detailed language about a variety of items
including how room rates will be calculated if the contract is signed prior to the establishment of the
group's final room rates. - Answers true
In a lawsuit, the person or entity that initiates litigation against another is known as the _____. -
Answers plaintiff
The Uniform Commercial Code requires you to? - Answers Fulfill any promises made in a purchasing
or sales contract
Franchisors are not required to disclose the restrictions on what the franchisee may sell in the
franchise business and how it may be sold. - Answers false
Which of the following would not ordinarily be classified as a "Bona Fide Occupational Qualification?"
- Answers gender
Companies have the right to establish rules and policies for their workplace, so long as those rules do
not violate the law. - Answers true
All states have child labor laws. - Answers true
Which of the following statements is untrue? - Answers An employee who quits his or her job for a
non-work related reason is eligible for unemployment benefits.
When a complaint is lodged, or when inappropriate activity is brought to the attention of
management, the manager should wait to see if the charge is proven, and only then take action to
investigate the charge. - Answers false
, Discrimination against marital status by an employer is a federally protected right under Title VII of
the Civil Rights Act of 1964, as amended. - Answers false
It is not the best practice for a human resource manager, while conducting an interview, to ask if the
candidate has a criminal record. - Answers true
The Family Medical Leave Act of 1993 grants an eligible employee up to a total of 12 workweeks of
unpaid leave for? - Answers all of the above: The birth or placement of a child for adoption or foster
care.
The care of an immediate family member with a serious health condition.
Medical leave when the employee is unable to work because of a serious health condition.
If two employees in a large restaurant company tell offensive jokes to each other in the workplace
which of the following is true: - Answers Employees who overhear the jokes may have a claim against
their employer for a hostile work environment.
All of the following statements are true, except which one? :
Title VII of the Civil Rights Act of 1964, as amended, applies to employers with 25 or more employees
who are engaged in interstate commerce.
Discrimination based on sex includes pregnancy and childbirth.
The EEOC investigates complaints by employees who allege discrimination in the workplace. -
Answers Title VII of the Civil Rights Act of 1964, as amended, applies to employers with 25 or more
employees who are engaged in interstate commerce.
All of the following are questions you can never ask a prospective employee for a bartender position
during a job interview, except ______. :
Have you ever been treated for drug addiction?
Are you over the age of 18?
Do you have any physical defects or impairments?
Do you have children? - Answers Are you over the age of 18?
It is critical to show each component of the qualifications required to fulfill a particular job
description. - Answers true
It is illegal for the interviewer of a company to ask the person's religion to find out if they need to take
"special days" off from work. - Answers true
A particular employee monitoring technique is legal only if: - Answers It was performed in a non-
discriminatory manner.
Quid pro quo sexual harassment is when a perpetrator, through language or conduct, creates an
intimidating or hostile working environment for individuals of a particular gender. - Answers false
Third party sexual harassment occurs when someone outside the workforce harasses an employee, or
is harassed by an employee. - Answers true
Employee manuals should be kept up to date, and should clearly state that it is the employee who
retains the right to revise the manual. - Answers false
Which of the following is not considered "applicant screening?"
interview
testing
background check
staffing - Answers staffing
Candidates who smoke are protected from habit-based discrimination when applying for a job. -
Answers false
An employee manual should contain which of the following policies?
disciplinary process
payroll deductions
anti-harassment and anti-discrimination
employers right to modify policies
all of the above are appropriate. - Answers all of the above are appropriate
Under which theory of liability would a severely injured guest who allegedly slipped on some liquid on
the floor in your restaurant file in his or her lawsuit? - Answers negligence
Mr. Smith suffers an injury due to the hotel's negligence but he is partly responsible for the injury. The
hotel is located in a state that abides by the contributory negligence rule. What is the probable
outcome if Mr. Smith takes the hotel to court? - Answers he will not cover any damages
Which of the following elements must be present for a guest to bring an action against a hotel based
in tort?
A valid contract needs consideration flowing to both parties. - Answers true
A hospitality manager may be responsible for which type of legal agreement(s)? - Answers all of the
above: Franchise Agreements
Supply Agreements
Employment Agreements
Management Agreements
A contract has to be in writing to be enforceable by the courts. - Answers false
The UCC is the acronym for the law regulating purchasing agreements, which gives protection to
buyers, sellers and financial lenders when goods are purchased under contract. - Answers true
Indemnification means to make one whole; to reimburse for a loss already incurred. - Answers true
The best way for a hotelier to indicate acceptance of an offer is? - Answers agree to the offer in
writing
Which of the following represents a fee that is ordinarily paid by the franchisee to the franchisor? -
Answers all of the above: Earnings percentage (royalty fee)
Franchise application fee
Advertising participation (marketing fee)
Which of the following is not an advantage when purchasing a franchise? - Answers Sensitivity to
menu items for local clientele
A well drafted conference service contract will contain a provision for cancellation by the group. If a
group decreases the number of contracted attendees, this is known as _____ and a provision should
also be stated in the conference service contract. - Answers attrition
It is the responsibility of the courts to decide the relative fairness of consideration. - Answers false
The UCC stands for: - Answers Uniform Commercial Code
In all cases, it is unlawful to breach a contract. - Answers false
Which of the following is a major element of management agreements? - Answers all of the above:
The control, if any, that the owner has in the selection or removal of the business's management
personnel.
Insurace requirements of the management company (who must carry the insurance and how much)
Incentives fees earned or penalties assessed related to operating performance
All contracts, whether verbal or written, must be for legal purpose and in order to be enforceable,
must consist of an offer, acceptance, and consideration. - Answers true
In the lodging industry, payment can be made if the hotel agrees to directly bill the company or group
for all the charges. - Answers true
Exculpatory clauses seek to put blame on the hospitality operator in certain situations. - Answers
false
A well-developed group lodging contact will include detailed language about a variety of items
including how room rates will be calculated if the contract is signed prior to the establishment of the
group's final room rates. - Answers true
In a lawsuit, the person or entity that initiates litigation against another is known as the _____. -
Answers plaintiff
The Uniform Commercial Code requires you to? - Answers Fulfill any promises made in a purchasing
or sales contract
Franchisors are not required to disclose the restrictions on what the franchisee may sell in the
franchise business and how it may be sold. - Answers false
Which of the following would not ordinarily be classified as a "Bona Fide Occupational Qualification?"
- Answers gender
Companies have the right to establish rules and policies for their workplace, so long as those rules do
not violate the law. - Answers true
All states have child labor laws. - Answers true
Which of the following statements is untrue? - Answers An employee who quits his or her job for a
non-work related reason is eligible for unemployment benefits.
When a complaint is lodged, or when inappropriate activity is brought to the attention of
management, the manager should wait to see if the charge is proven, and only then take action to
investigate the charge. - Answers false
, Discrimination against marital status by an employer is a federally protected right under Title VII of
the Civil Rights Act of 1964, as amended. - Answers false
It is not the best practice for a human resource manager, while conducting an interview, to ask if the
candidate has a criminal record. - Answers true
The Family Medical Leave Act of 1993 grants an eligible employee up to a total of 12 workweeks of
unpaid leave for? - Answers all of the above: The birth or placement of a child for adoption or foster
care.
The care of an immediate family member with a serious health condition.
Medical leave when the employee is unable to work because of a serious health condition.
If two employees in a large restaurant company tell offensive jokes to each other in the workplace
which of the following is true: - Answers Employees who overhear the jokes may have a claim against
their employer for a hostile work environment.
All of the following statements are true, except which one? :
Title VII of the Civil Rights Act of 1964, as amended, applies to employers with 25 or more employees
who are engaged in interstate commerce.
Discrimination based on sex includes pregnancy and childbirth.
The EEOC investigates complaints by employees who allege discrimination in the workplace. -
Answers Title VII of the Civil Rights Act of 1964, as amended, applies to employers with 25 or more
employees who are engaged in interstate commerce.
All of the following are questions you can never ask a prospective employee for a bartender position
during a job interview, except ______. :
Have you ever been treated for drug addiction?
Are you over the age of 18?
Do you have any physical defects or impairments?
Do you have children? - Answers Are you over the age of 18?
It is critical to show each component of the qualifications required to fulfill a particular job
description. - Answers true
It is illegal for the interviewer of a company to ask the person's religion to find out if they need to take
"special days" off from work. - Answers true
A particular employee monitoring technique is legal only if: - Answers It was performed in a non-
discriminatory manner.
Quid pro quo sexual harassment is when a perpetrator, through language or conduct, creates an
intimidating or hostile working environment for individuals of a particular gender. - Answers false
Third party sexual harassment occurs when someone outside the workforce harasses an employee, or
is harassed by an employee. - Answers true
Employee manuals should be kept up to date, and should clearly state that it is the employee who
retains the right to revise the manual. - Answers false
Which of the following is not considered "applicant screening?"
interview
testing
background check
staffing - Answers staffing
Candidates who smoke are protected from habit-based discrimination when applying for a job. -
Answers false
An employee manual should contain which of the following policies?
disciplinary process
payroll deductions
anti-harassment and anti-discrimination
employers right to modify policies
all of the above are appropriate. - Answers all of the above are appropriate
Under which theory of liability would a severely injured guest who allegedly slipped on some liquid on
the floor in your restaurant file in his or her lawsuit? - Answers negligence
Mr. Smith suffers an injury due to the hotel's negligence but he is partly responsible for the injury. The
hotel is located in a state that abides by the contributory negligence rule. What is the probable
outcome if Mr. Smith takes the hotel to court? - Answers he will not cover any damages
Which of the following elements must be present for a guest to bring an action against a hotel based
in tort?
