Business Law I Final Exam Questions and
Verified Answers.
1. _____ is that which must be obeyed and followed by citizen’s subject to sanctions or
legal consequences - ANS a. Law
2. Mark Walton was involved in a car accident in which the airbag of his car failed to
deploy. He sued the car manufacturer for installing faulty airbags. But in the course of
the case being heard in court the car company and Mark decided to settle the lawsuit
out of court. What important function of the law was served in this case? - ANS a.
Providing a basis for compromise
3. What was the key factor in the development of the English common law? - ANS a.
The use of precedence of past cases for judges to decide similar cases
4. What led to the creation of the Chancery Courts? - ANS a. The unfair results and
limited remedies provided by the law courts
5. The law courts of the English common law emphasized legal procedure over the
merits of an individual case - ANS a. True
6. What is considered as the supreme law of the land in the United States? - ANS a.
The constitution of the US
7. What is the function of the judicial branch of the federal government? - ANS a. It has
the power to interpret and determine the validity of the law
8. A ___ is a written law enacted by the legislative branch of the federal and state
governments that establishes certain courses of conduct to which covered parties must
adhere - ANS a. Statue
9. From the following identify an example of codified law in the US - ANS a. Federal
statues
10. Stare decisis is the doctrine of - ANS a. Adhering to legal precedent
11. How does the doctrine of stare decisis help in creating stability in a legal system? -
ANS a. By allowing the use of precedence in deciding future cases
12. Federal statues are organized by topic into code books - ANS a. True
13. State courts of one state are not required to follow the legal precedent established
by the courts of another state - ANS a. True
, 14. Intermediate appellate courts? - ANS a. They review either pertinent parts or the
whole trail court record from the lower court
15. In general jurisdiction trail courts the testimony and evidence at trial are recorded
and stored for future reference - ANS a. True
16. The decisions handed down by the general jurisdiction trail courts are appealable to
an intermediate appellate court or the state supreme court - ANS a. True
17. Intermediate appellate courts review new evidence or testimony that was not seen
or heard in the lower courts - ANS a. False
18. Which of the following courts are the federal court system trail courts of general
jurisdiction - ANS a. The US district courts
19. The geographical area served by each US court of appeals is referred to as a - ANS
a. Circuit
20. Which court was created by article 3 of the US Constitution - ANS a. US Supreme
court
21. In the US supreme court if all the justices voting agree as to the outcome and
reasoning used to decide a case it is a __ decisions - ANS a. Unanimous
22. ___ refer to cases arising under the US constitution treaties and federal statutes and
regulations - ANS a. Federal question cases
23. In which of the following cases do federal and state courts have concurrent
jurisdiction? - ANS a. Diversity of citizenship cases
24. For federal question cases to be brought in a federal court the dollar amount of the
controversy must exceed 75000 - ANS a. False
25. The federal court must apply federal laws in deciding diversity of citizenship cases -
ANS a. False
26. __ refers to a court's jurisdiction over the parties to a lawsuit - ANS a. Personal
jurisdiction
27. The Federal court must apply federals in deciding diversity of citizenship cases -
ANS b. False
28. ______refers to a courts' jurisdiction over the parties to a lawsuit - ANS c. Personal
Jurisdiction
Verified Answers.
1. _____ is that which must be obeyed and followed by citizen’s subject to sanctions or
legal consequences - ANS a. Law
2. Mark Walton was involved in a car accident in which the airbag of his car failed to
deploy. He sued the car manufacturer for installing faulty airbags. But in the course of
the case being heard in court the car company and Mark decided to settle the lawsuit
out of court. What important function of the law was served in this case? - ANS a.
Providing a basis for compromise
3. What was the key factor in the development of the English common law? - ANS a.
The use of precedence of past cases for judges to decide similar cases
4. What led to the creation of the Chancery Courts? - ANS a. The unfair results and
limited remedies provided by the law courts
5. The law courts of the English common law emphasized legal procedure over the
merits of an individual case - ANS a. True
6. What is considered as the supreme law of the land in the United States? - ANS a.
The constitution of the US
7. What is the function of the judicial branch of the federal government? - ANS a. It has
the power to interpret and determine the validity of the law
8. A ___ is a written law enacted by the legislative branch of the federal and state
governments that establishes certain courses of conduct to which covered parties must
adhere - ANS a. Statue
9. From the following identify an example of codified law in the US - ANS a. Federal
statues
10. Stare decisis is the doctrine of - ANS a. Adhering to legal precedent
11. How does the doctrine of stare decisis help in creating stability in a legal system? -
ANS a. By allowing the use of precedence in deciding future cases
12. Federal statues are organized by topic into code books - ANS a. True
13. State courts of one state are not required to follow the legal precedent established
by the courts of another state - ANS a. True
, 14. Intermediate appellate courts? - ANS a. They review either pertinent parts or the
whole trail court record from the lower court
15. In general jurisdiction trail courts the testimony and evidence at trial are recorded
and stored for future reference - ANS a. True
16. The decisions handed down by the general jurisdiction trail courts are appealable to
an intermediate appellate court or the state supreme court - ANS a. True
17. Intermediate appellate courts review new evidence or testimony that was not seen
or heard in the lower courts - ANS a. False
18. Which of the following courts are the federal court system trail courts of general
jurisdiction - ANS a. The US district courts
19. The geographical area served by each US court of appeals is referred to as a - ANS
a. Circuit
20. Which court was created by article 3 of the US Constitution - ANS a. US Supreme
court
21. In the US supreme court if all the justices voting agree as to the outcome and
reasoning used to decide a case it is a __ decisions - ANS a. Unanimous
22. ___ refer to cases arising under the US constitution treaties and federal statutes and
regulations - ANS a. Federal question cases
23. In which of the following cases do federal and state courts have concurrent
jurisdiction? - ANS a. Diversity of citizenship cases
24. For federal question cases to be brought in a federal court the dollar amount of the
controversy must exceed 75000 - ANS a. False
25. The federal court must apply federal laws in deciding diversity of citizenship cases -
ANS a. False
26. __ refers to a court's jurisdiction over the parties to a lawsuit - ANS a. Personal
jurisdiction
27. The Federal court must apply federals in deciding diversity of citizenship cases -
ANS b. False
28. ______refers to a courts' jurisdiction over the parties to a lawsuit - ANS c. Personal
Jurisdiction
