DOWNLOAD THE Test Bank for Business Law 17th Edition Langvardt
Business Law, 17e (Langvardt)
Chapter 2 The Resolution of Private Disputes
1) Minor criminal cases and civil disputes are decided in the appellate courts.
Answer: FALSE
Explanation: Minor criminal cases and civil disputes involving small amounts of money or
specialized matters frequently are decided in courts of limited jurisdiction. Appellate courts
correct legal errors made by trial judges.
Difficulty: 1 Easy
Topic: State Courts and Their Jurisdiction
Learning Objective: 02-01 Describe the basic structures of state court systems and the federal
court system.
Bloom's: Remember
AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
2) The plaintiff can sue the defendant in whatever court and locale that the plaintiff wishes.
Answer: FALSE
Explanation: The plaintiff in a civil case must chose a court to litigate in that has jurisdiction over
the case. Jurisdiction is the court's power to hear a case and issue a decision binding on the parties.
Difficulty: 1 Easy
Topic: State Courts and Their Jurisdiction
Learning Objective: 02-02 Explain the difference between subject-matter jurisdiction and in
personam jurisdiction.
Bloom's: Remember
AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
3) For a state trial court to have the power to decide a civil case, it must have either in personam
jurisdiction or in rem jurisdiction.
Answer: TRUE
Explanation: In order to decide a civil case, a state trial court needs to have either in personam or
in rem jurisdiction.
Difficulty: 2 Medium
Topic: State Courts and Their Jurisdiction
Learning Objective: 02-03 Identify the major legal issues courts must resolve when deciding
whether in personam jurisdiction exists with regard to a defendant in a civil case.
Bloom's: Understand
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
1
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4) Due process requirements are satisfied when a state or federal court asserts in personam
jurisdiction over a nonresident defendant when he has been shown to have the requisite "minimum
contacts" with the forum state or federal district.
Answer: TRUE
Explanation: The assertion of in personam jurisdiction satisfies federal or state due process
guarantees so long as the defendant has sufficient "minimum contacts" with the forum state, such
that maintaining an action there comports with "traditional notions of fair play and substantial
justice."
Difficulty: 2 Medium
Topic: State Courts and Their Jurisdiction
Learning Objective: 02-03 Identify the major legal issues courts must resolve when deciding
whether in personam jurisdiction exists with regard to a defendant in a civil case.
Bloom's: Understand
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
5) In rem jurisdiction is based only on the fact that property of the defendant is located within the
state.
Answer: TRUE
Explanation: In rem jurisdiction is based on the presence of property within the state and it
empowers state courts to determine rights in that property even if the persons whose rights are
affected are outside the state's in personam jurisdiction.
Difficulty: 1 Easy
Topic: State Courts and Their Jurisdiction
Learning Objective: 02-03 Identify the major legal issues courts must resolve when deciding
whether in personam jurisdiction exists with regard to a defendant in a civil case.
Bloom's: Remember
AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
6) Generally, forum selection clauses in form agreements are unenforceable.
Answer: FALSE
Explanation: Courts generally enforce forum selection clauses unless they are shown to be
unreasonable in a given set of circumstances.
Difficulty: 1 Easy
Topic: State Courts and Their Jurisdiction
Learning Objective: 02-03 Identify the major legal issues courts must resolve when deciding
whether in personam jurisdiction exists with regard to a defendant in a civil case.
Bloom's: Remember
AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
2
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7) In general, a court has venue if it is a territorially fair and convenient forum for both parties to
litigate the case in that court.
Answer: TRUE
Explanation: A court has venue if it is a territorially fair and convenient forum to hear a case.
Venue for state courts is typically set by state statutes.
Difficulty: 1 Easy
Topic: State Courts and Their Jurisdiction
Learning Objective: 02-03 Identify the major legal issues courts must resolve when deciding
whether in personam jurisdiction exists with regard to a defendant in a civil case.
Bloom's: Remember
AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
8) Forfederaldistrictcourtdiversityjurisdictiontoexist theonlyrequirementisthattheamountin
p p p p p p p p p p p p p p p p
controversy must be at least $75,000. p p p p p
Answer: FALSE p p p
Explanation: Diversityjurisdiction exists when (1) the case is between citizens of different states
p p p p p p p p p p p p p p p
and (2) the amount in controversy exceeds $75,000.
p p p p p p p
Difficulty: 1 Easy p p
Topic: Federal Courts and Their Jurisdiction
p p p p p p p
Learning Objective: 02-04 Explain what is necessary in order for a federal court to have
p p p p p p p p p p p p p p p p p
subject-matter jurisdiction over a civil case. p p p p p
Bloom's: Remember p p p
AACSB: Reflective p p p
Thinking
Accessibility: Keyboard Navigation p p p
9) The doctrine of certiorari jurisdiction makes it mandatory for the U.S. Supreme Court to hear
p p p p p p p p p p p p p p p
appeals from federal and state courts.
p p p p p
Answer: FALSE p p p
Explanation: The doctrine of certiorari jurisdiction grants the U.S. Supreme Court the discretion
p p p p p p p p p p p p p p
to decide whether it wants to hear a case or not. The court hears only a small percentage of the many
p p p p p p p p p p p p p p p p p p p p p
appeals that come to it.
p p p p
Difficulty: 2 Medium p p
Topic: Federal Courts and Their Jurisdiction
p p p p p p p
Learning Objective: 02-04 Explain what is necessary in order for a federal court to have
p p p p p p p p p p p p p p p p p
subject-matter jurisdiction over a civil case. p p p p p
Bloom's: Understand p p p p
AACSB: Analytical p p p
Thinking
Accessibility: Keyboard Navigation p p p
3
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, DOWNLOAD THE Test Bank for Business Law 17th Edition Langvardt
10) Brennan sues Melissa for breach of contract. In her reply, Melissa claims, among other things, that
p p p p p p p p p p p p p p p
she should not be liable as she only entered the contract because Brennan defrauded her. This
p p p p p p p p p p p p p p p p p
assertion is called an affirmative defense.
p p p p p
Answer: TRUE p p p
Explanation: A successful affirmative defense enables the defendant to win the case even if all the
p p p p p p p p p p p p p p p p
allegations in the complaint are true and, by themselves, would have entitled the plaintiff to
p p p p p p p p p p p p p p p
recover.
Difficulty: 3 Hard p p p
Topic: Civilp p p
Procedure
Learning Objective: 02-05 Identify the major steps in a civil lawsuit's progression from
p p p p p p p p p p p p p p p
beginning to end. p p
Bloom's: Apply p p p
AACSB: Analytical Thinking
p p p p
Accessibility: Keyboard Navigation p p p
11) Thedefendantmustwaituntilafterthepleadingshavebeencompletedbeforemakingamotion to
p p p p p p p p p p p p p p p p
dismiss.
Answer: FALSE p p p
Explanation: The motion to dismiss is often made after the filing of a complaint and before the
p p p p p p p p p p p p p p p p p p p
defendant's answer. The pleadings phase of a trial includes the complaint and answer and in some
p p p p p p p p p p p p p p p p
jurisdictions the reply. p p
Difficulty: 1 Easy p p p
Topic: Civilp p p
Procedure
Learning Objective: 02-05 Identify the major steps in a civil lawsuit's progression from
p p p p p p p p p p p p p p p
beginning to end. p p
Bloom's: Remember p p p
AACSB: Reflective p p p
Thinking
Accessibility: Keyboard Navigation p p p
12) Interrogatories are a form of discovery requiring a party to file written answers to questions p p p p p p p p p p p p p p p
submitted to that party. p p p
Answer: TRUE p p p
Explanation: Interrogatories are written questions directed by the plaintiff to the defendant, or
p p p p p p p p p p p p p p
vice versa. The litigant on whom interrogatories are served must provide written answers, under
p p p p p p p p p p p p p p
oath, within a time period prescribed by applicable law.
p p p p p p p p
Difficulty: 1 Easy p p p
Topic: Civilp p p
Procedure
Learning Objective: 02-06 Describe the different forms of discovery available to parties in civil
p p p p p p p p p p p p p p p
cases.
Bloom's: Remember p p p
4
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Business Law, 17e (Langvardt)
Chapter 2 The Resolution of Private Disputes
1) Minor criminal cases and civil disputes are decided in the appellate courts.
Answer: FALSE
Explanation: Minor criminal cases and civil disputes involving small amounts of money or
specialized matters frequently are decided in courts of limited jurisdiction. Appellate courts
correct legal errors made by trial judges.
Difficulty: 1 Easy
Topic: State Courts and Their Jurisdiction
Learning Objective: 02-01 Describe the basic structures of state court systems and the federal
court system.
Bloom's: Remember
AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
2) The plaintiff can sue the defendant in whatever court and locale that the plaintiff wishes.
Answer: FALSE
Explanation: The plaintiff in a civil case must chose a court to litigate in that has jurisdiction over
the case. Jurisdiction is the court's power to hear a case and issue a decision binding on the parties.
Difficulty: 1 Easy
Topic: State Courts and Their Jurisdiction
Learning Objective: 02-02 Explain the difference between subject-matter jurisdiction and in
personam jurisdiction.
Bloom's: Remember
AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
3) For a state trial court to have the power to decide a civil case, it must have either in personam
jurisdiction or in rem jurisdiction.
Answer: TRUE
Explanation: In order to decide a civil case, a state trial court needs to have either in personam or
in rem jurisdiction.
Difficulty: 2 Medium
Topic: State Courts and Their Jurisdiction
Learning Objective: 02-03 Identify the major legal issues courts must resolve when deciding
whether in personam jurisdiction exists with regard to a defendant in a civil case.
Bloom's: Understand
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
1
Copyright © 2019 McGraw-Hill
mynursytest.store
,DOWNLOAD THE Test Bank for Business Law 17th Edition Langvardt
4) Due process requirements are satisfied when a state or federal court asserts in personam
jurisdiction over a nonresident defendant when he has been shown to have the requisite "minimum
contacts" with the forum state or federal district.
Answer: TRUE
Explanation: The assertion of in personam jurisdiction satisfies federal or state due process
guarantees so long as the defendant has sufficient "minimum contacts" with the forum state, such
that maintaining an action there comports with "traditional notions of fair play and substantial
justice."
Difficulty: 2 Medium
Topic: State Courts and Their Jurisdiction
Learning Objective: 02-03 Identify the major legal issues courts must resolve when deciding
whether in personam jurisdiction exists with regard to a defendant in a civil case.
Bloom's: Understand
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
5) In rem jurisdiction is based only on the fact that property of the defendant is located within the
state.
Answer: TRUE
Explanation: In rem jurisdiction is based on the presence of property within the state and it
empowers state courts to determine rights in that property even if the persons whose rights are
affected are outside the state's in personam jurisdiction.
Difficulty: 1 Easy
Topic: State Courts and Their Jurisdiction
Learning Objective: 02-03 Identify the major legal issues courts must resolve when deciding
whether in personam jurisdiction exists with regard to a defendant in a civil case.
Bloom's: Remember
AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
6) Generally, forum selection clauses in form agreements are unenforceable.
Answer: FALSE
Explanation: Courts generally enforce forum selection clauses unless they are shown to be
unreasonable in a given set of circumstances.
Difficulty: 1 Easy
Topic: State Courts and Their Jurisdiction
Learning Objective: 02-03 Identify the major legal issues courts must resolve when deciding
whether in personam jurisdiction exists with regard to a defendant in a civil case.
Bloom's: Remember
AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
2
Copyright © 2019 McGraw-Hill
mynursytest.store
,DOWNLOAD THE Test Bank for Business Law 17th Edition Langvardt
7) In general, a court has venue if it is a territorially fair and convenient forum for both parties to
litigate the case in that court.
Answer: TRUE
Explanation: A court has venue if it is a territorially fair and convenient forum to hear a case.
Venue for state courts is typically set by state statutes.
Difficulty: 1 Easy
Topic: State Courts and Their Jurisdiction
Learning Objective: 02-03 Identify the major legal issues courts must resolve when deciding
whether in personam jurisdiction exists with regard to a defendant in a civil case.
Bloom's: Remember
AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
8) Forfederaldistrictcourtdiversityjurisdictiontoexist theonlyrequirementisthattheamountin
p p p p p p p p p p p p p p p p
controversy must be at least $75,000. p p p p p
Answer: FALSE p p p
Explanation: Diversityjurisdiction exists when (1) the case is between citizens of different states
p p p p p p p p p p p p p p p
and (2) the amount in controversy exceeds $75,000.
p p p p p p p
Difficulty: 1 Easy p p
Topic: Federal Courts and Their Jurisdiction
p p p p p p p
Learning Objective: 02-04 Explain what is necessary in order for a federal court to have
p p p p p p p p p p p p p p p p p
subject-matter jurisdiction over a civil case. p p p p p
Bloom's: Remember p p p
AACSB: Reflective p p p
Thinking
Accessibility: Keyboard Navigation p p p
9) The doctrine of certiorari jurisdiction makes it mandatory for the U.S. Supreme Court to hear
p p p p p p p p p p p p p p p
appeals from federal and state courts.
p p p p p
Answer: FALSE p p p
Explanation: The doctrine of certiorari jurisdiction grants the U.S. Supreme Court the discretion
p p p p p p p p p p p p p p
to decide whether it wants to hear a case or not. The court hears only a small percentage of the many
p p p p p p p p p p p p p p p p p p p p p
appeals that come to it.
p p p p
Difficulty: 2 Medium p p
Topic: Federal Courts and Their Jurisdiction
p p p p p p p
Learning Objective: 02-04 Explain what is necessary in order for a federal court to have
p p p p p p p p p p p p p p p p p
subject-matter jurisdiction over a civil case. p p p p p
Bloom's: Understand p p p p
AACSB: Analytical p p p
Thinking
Accessibility: Keyboard Navigation p p p
3
Copyright © 2019 McGraw-Hill
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, DOWNLOAD THE Test Bank for Business Law 17th Edition Langvardt
10) Brennan sues Melissa for breach of contract. In her reply, Melissa claims, among other things, that
p p p p p p p p p p p p p p p
she should not be liable as she only entered the contract because Brennan defrauded her. This
p p p p p p p p p p p p p p p p p
assertion is called an affirmative defense.
p p p p p
Answer: TRUE p p p
Explanation: A successful affirmative defense enables the defendant to win the case even if all the
p p p p p p p p p p p p p p p p
allegations in the complaint are true and, by themselves, would have entitled the plaintiff to
p p p p p p p p p p p p p p p
recover.
Difficulty: 3 Hard p p p
Topic: Civilp p p
Procedure
Learning Objective: 02-05 Identify the major steps in a civil lawsuit's progression from
p p p p p p p p p p p p p p p
beginning to end. p p
Bloom's: Apply p p p
AACSB: Analytical Thinking
p p p p
Accessibility: Keyboard Navigation p p p
11) Thedefendantmustwaituntilafterthepleadingshavebeencompletedbeforemakingamotion to
p p p p p p p p p p p p p p p p
dismiss.
Answer: FALSE p p p
Explanation: The motion to dismiss is often made after the filing of a complaint and before the
p p p p p p p p p p p p p p p p p p p
defendant's answer. The pleadings phase of a trial includes the complaint and answer and in some
p p p p p p p p p p p p p p p p
jurisdictions the reply. p p
Difficulty: 1 Easy p p p
Topic: Civilp p p
Procedure
Learning Objective: 02-05 Identify the major steps in a civil lawsuit's progression from
p p p p p p p p p p p p p p p
beginning to end. p p
Bloom's: Remember p p p
AACSB: Reflective p p p
Thinking
Accessibility: Keyboard Navigation p p p
12) Interrogatories are a form of discovery requiring a party to file written answers to questions p p p p p p p p p p p p p p p
submitted to that party. p p p
Answer: TRUE p p p
Explanation: Interrogatories are written questions directed by the plaintiff to the defendant, or
p p p p p p p p p p p p p p
vice versa. The litigant on whom interrogatories are served must provide written answers, under
p p p p p p p p p p p p p p
oath, within a time period prescribed by applicable law.
p p p p p p p p
Difficulty: 1 Easy p p p
Topic: Civilp p p
Procedure
Learning Objective: 02-06 Describe the different forms of discovery available to parties in civil
p p p p p p p p p p p p p p p
cases.
Bloom's: Remember p p p
4
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