LAW 531 Final Exam 2018

LAW 531 Final Exam 2018 1.The obligation owed by individuals to one another not to cause any unreasonable harm or any risk of harm is called: duty of care duty of restoration. duty of loyalty. duty of restitution. 2.Which of the following best describes the term warranty? It refers to the terms in a sales contract stipulating the party that will bear the risk of loss of goods during shipment. It is a purchaser’s title to goods obtained by the impersonation of another person. It is the seller’s assurance to a buyer that the goods sold meet certain standards of quality. It refers to the transfer of possession of stolen property to a person who had bought the property without the knowledge that it has been stolen. 3The manifestation of the substance of a contract by two or more individuals is called . acceptance an agreement an offer consideration 4Workers’compensation is defined as the: set of programs mandated by the government to ensure safety in places of work. remuneration awarded to employees & their families when the employees are injured on the job. insurance obtained by employees from private insurance companies & government-sponsored programs. system that provides retirement & death benefits to covered employees & their dependents. 5.Which of the following applies to trade restraints that are inherently anticompetitive? The per se rule The pro rata rule The rule of four The rule of reason 6.A group boycott occurs when: competitors at one level of distribution collectively refuse to deal with others at a different level of distribution. parties enter into a trade agreement that has greater anticompetitive effects than procompetitive effects. competitors agree that they will distribute their goods to only a particular portion of the market. parties at different levels of distribution enter into an agreement to adhere to a schedule that will stabilize prices. 7.Which of the following scenarios is an example of law & ethics contradicting each other? the trademarked garment designs of a well-known fashion designer. A restaurateur, whose restaurant is violating labor laws, bribes a federal official to prevent him from reporting the violations. A florist in the United States employs an illegal immigrant to help the immigrant & her family overcome their financial difficulties. An iron-ore manufacturing company provides its employees with high-quality safety equipment. 8.Corporate officers are elected by a corporation’s . board of directors preferred stockholders owners common stockholders 9.Which of the following is a category of torts? Personal liability Nonintent crime Professional malpractice Strict liability 10.Corporate officers are best described as: owners of a corporation with limited liability for its debts & obligations. directors elected by a corporation’s shareholders. employees appointed to manage the daily operations of a corporation. partners pursuing a joint venture transaction 11.Which of the following is a remedy that requires the breaching party to perform the acts promised in a contract? Binding arbitration Special damages Specific performance Punitive damages 12.Helen buys a toy railway set for her 3-year-old son, Ben. The product’s cover mentions that the toy is suitable for children only aged between 3 & 12. While playing with the toy one evening, without Helen’s supervision, Ben chokes on an inch-long engine driver figure that forms part of the train. Although he survives, he is traumatized by the incident. For which type of defect can Helen sue the toy manufacturer? Failure to tamperproof Defect in product packaging Failure to warn Defect in manufacture 13.An agency that appears to be created by a principal but does not exist in reality is called a(n) . fully disclosed agency implied agency apparent agency agency by ratification 14.Robert orders coffee while having breakfast in a diner. He suffers third-degree burn injuries when the coffee accidently spills on him. He presses charges against the diner for failing to notify him that the coffee was exceptionally hot. In this scenario, the diner is guilty of a(n) . intentional tort unintentional tort nonintent crime intent crime 15.When an employer does not discriminate against women in general but treats women above the age of 40 differently, the employer is practicing . color discrimination religious discrimination sex-plus discrimination racial discrimination 16.Insider trading is considered illegal because: it results in excessive losses for the company. it makes use of nonmaterial public information. it fails to account for the short-swing profits brought into a company. it limits investment opportunities for the investing public. 17.When can an arbitrator’s decision & award be appealed to the courts? When an arbitration is binding While entering a negotiation While drafting a submission agreement When an arbitration is nonbinding 18.When one party acquires a license to use another party’s business model & intellectual property in the distribution of goods & services, the arrangement is a . limited liability partnership franchise joint venture kickback 19.Which of the following is a difference between embezzlement & larceny? Embezzlement is an unintentional tort, whereas larceny is a nonintent crime. Embezzlement is usually punishable by the payment of monetary damages, whereas larceny is usually punishable by the death penalty. Embezzlement is the stealing of property by a person to whom the property was entrusted, whereas larceny is the stealing of property by a person not entrusted with it. Embezzlement is the snatching of personal property from a person’s home, whereas larceny is the snatching of personal property from a person on the street.