1 law and business administration in canada 15th edition by smyth
Test Bank for Law and
Business Administration in
Canada by Smyth et al. |
Complete Q&A Guide
2025/2026
,1 law and business administration in canada 15th edition by smyth
TIF for Smyth: The Law and Business Administrations, Fourteenth Edition
Chapter 1: Law, Society, and Business
1) A simple definition of law would be misleading because law is so
j j j j j j j j j j j
a. bound up with the rule of law. j j j j j j
b. diverse and complex. j j
c. difficult to define. j j
d. none of the above j j j
e. all of the above
j j j
Answer:b j j
Diff: 2 j j
Type:MC j
Topic:TheRoleofLaw Skill:
j j j j j j
Recall
2) We need to have law because it
j j j j j j
a. regulates individuals’ interactions with one another. j j j j j
b. gives the government the power to act for the benefit of society in general.
j j j j j j j j j j j j j
c. provides an element of certainty in determining contractual and property rights.
j j j j j j j j j j
d. protects persons, property, and society, and prohibits conduct that society believes is
j j j j j j j j j j j j
harmful.
e. all of the above
j j j
Answer:e j j
Diff: 2 j
Type: MC j
Topic:TheRoleofLaw Skill:
j j j j j j
Recall
3) The fact that laws that appear to be unjust must still be obeyed suggests that
j j j j j j j j j j j j j j
a. justice is merely the result of the influence of ethics.
j j j j j j j j j
b. justice is merely a product of social morals. j j j j j j j
c. there is a difference between good laws and bad ones.
j j j j j j j j j
d. in reality, we must think of justice as nothing more than the result of our legal system.
j j j j j j j j j j j j j j j j
e. those who make the laws just do not care.
j j j j j j j j
Answer:d j j
Diff: 3 j
Copyright © 2016 Pearson Canada Inc.
1-1
2025/2026
,2 law and business administration in canada 15th edition by smyth
TIF for Smyth: The Law and Business Administrations, Fourteenth Edition Chapter 1:
j j j j j j j j j j j
Law, Society, and Business j j j j
Type: MC j
Topic:TheRoleofLaw Skill: j j j j j j
Applied
4) The Canadian legal profession is organized on a provincial basis with each province
j j j j j j j j j j j j j
having its own “bar” society. However, a member of any provincial bar may appear
j j j j j j j j j j j j j j
before
a. the House of Lords in England.
j j j j j
b. the International War Crimes Tribunal.
j j j j
c. the Supreme Court of Canada.
j j j j
d. any Human Rights Tribunal in any province.
j j j j j j
e. any Landlord and Tenant Board Tribunal in any province.
j j j j j j j j
Answer:c j j
Diff: 3 j j
Type:MC j
Topic:LegalRiskManagement j j j j
Skill: Recall j
5) Joe hired Julie, a lawyer, to defend him on assault charges. At their first meeting he told
j j j j j j j j j j j j j j j j j
her the details concerning his involvement in the assault. After a dispute between Joe and
j j j j j j j j j j j j j j j
Julie in relation to legal fees, Joe decided to retain a new lawyer. The police attended at
j j j j j j j j j j j j j j j j j
Julie’s office to ask her questions concerning what Joe told her about the assault. In these
j j j j j j j j j j j j j j j j
circumstances
a. the solicitor/client privilege does not allow Julie to reveal any communications she had with
j j j j j j j j j j j j j j
Joe without his approval.
j j j
b. given that the solicitor/client relationship has ended, Julie is at liberty to disclose the
j j j j j j j j j j j j j j
information.
c. the solicitor/client privilege does not extend to admissions by clients of wrongdoing so
j j j j j j j j j j j j j
communications must be disclosed. j j j
d. Julie is at liberty to disclose any information in relation to the dispute with Joe over fees
j j j j j j j j j j j j j j j j j
but not in relation to communications about the assault.
j j j j j j j j
e. the Canada Evidence Act permits Julie to disclose any information once the retainer has
j j j j j j j j j j j j j j
ended.
Answer: a j
Copyright © 2016 Pearson Canada Inc.
1-2
2025/2026
, 3 law and business administration in canada 15th edition by smyth
TIF for Smyth: The Law and Business Administrations, Fourteenth Edition Chapter 1:
j j j j j j j j j j j
Law, Society, and Business j j j j
Diff: 3 j j
Type:MC j
Topic: LegalRiskManagement j j j j
Skill: Applied j
6) A compliance officer employed by a business for purposes of monitoring legislative
j j j j j j j j j j j j
requirements applicable to the business ensures j j j j j
a. that outside counsel are hired by the business on a general retainer basis to respond to
j j j j j j j j j j j j j j j j
urgent matters. j
b. that the business complies with all regulatory and legislative requirements to avoid
j j j j j j j j j j j j
claims, fines and other possible penalties or sanctions.
j j j j j j j
c. that probationary employees are screened and monitored appropriately by the business in
j j j j j j j j j j j j
the 90 day period.
j j j
d. that the business pays outstanding fines.
j j j j j
e. that someone attends on all Small Claims Court matters where outside counsel are not
j j j j j j j j j j j j j j
required.
Answer:b j j
Diff: 3 j j
Type:MC j
Topic:LegalRiskManagement j j j j
Skill: Applied j
7) When we say that the law is part of every facet of business, we mean that
j j j j j j j j j j j j j j j
a. it is central to business interaction with customers, suppliers, competitors, and
j j j j j j j j j j j
government.
b. business cannot succeed without understanding the law. j j j j j j
c. it outlines what we do, how to do it, and what not to do.
j j j j j j j j j j j j j
d. the failure of businesses to comply with the law may result in criminal, regulatory,
j j j j j j j j j j j j j j
and/or civil liability. j j
e. all of the above
j j j
Answer:e j j
Diff: 2 j
Type: MC j
Topic: Law and Business j j j
Copyright © 2016 Pearson Canada Inc.
1-3
2025/2026
Test Bank for Law and
Business Administration in
Canada by Smyth et al. |
Complete Q&A Guide
2025/2026
,1 law and business administration in canada 15th edition by smyth
TIF for Smyth: The Law and Business Administrations, Fourteenth Edition
Chapter 1: Law, Society, and Business
1) A simple definition of law would be misleading because law is so
j j j j j j j j j j j
a. bound up with the rule of law. j j j j j j
b. diverse and complex. j j
c. difficult to define. j j
d. none of the above j j j
e. all of the above
j j j
Answer:b j j
Diff: 2 j j
Type:MC j
Topic:TheRoleofLaw Skill:
j j j j j j
Recall
2) We need to have law because it
j j j j j j
a. regulates individuals’ interactions with one another. j j j j j
b. gives the government the power to act for the benefit of society in general.
j j j j j j j j j j j j j
c. provides an element of certainty in determining contractual and property rights.
j j j j j j j j j j
d. protects persons, property, and society, and prohibits conduct that society believes is
j j j j j j j j j j j j
harmful.
e. all of the above
j j j
Answer:e j j
Diff: 2 j
Type: MC j
Topic:TheRoleofLaw Skill:
j j j j j j
Recall
3) The fact that laws that appear to be unjust must still be obeyed suggests that
j j j j j j j j j j j j j j
a. justice is merely the result of the influence of ethics.
j j j j j j j j j
b. justice is merely a product of social morals. j j j j j j j
c. there is a difference between good laws and bad ones.
j j j j j j j j j
d. in reality, we must think of justice as nothing more than the result of our legal system.
j j j j j j j j j j j j j j j j
e. those who make the laws just do not care.
j j j j j j j j
Answer:d j j
Diff: 3 j
Copyright © 2016 Pearson Canada Inc.
1-1
2025/2026
,2 law and business administration in canada 15th edition by smyth
TIF for Smyth: The Law and Business Administrations, Fourteenth Edition Chapter 1:
j j j j j j j j j j j
Law, Society, and Business j j j j
Type: MC j
Topic:TheRoleofLaw Skill: j j j j j j
Applied
4) The Canadian legal profession is organized on a provincial basis with each province
j j j j j j j j j j j j j
having its own “bar” society. However, a member of any provincial bar may appear
j j j j j j j j j j j j j j
before
a. the House of Lords in England.
j j j j j
b. the International War Crimes Tribunal.
j j j j
c. the Supreme Court of Canada.
j j j j
d. any Human Rights Tribunal in any province.
j j j j j j
e. any Landlord and Tenant Board Tribunal in any province.
j j j j j j j j
Answer:c j j
Diff: 3 j j
Type:MC j
Topic:LegalRiskManagement j j j j
Skill: Recall j
5) Joe hired Julie, a lawyer, to defend him on assault charges. At their first meeting he told
j j j j j j j j j j j j j j j j j
her the details concerning his involvement in the assault. After a dispute between Joe and
j j j j j j j j j j j j j j j
Julie in relation to legal fees, Joe decided to retain a new lawyer. The police attended at
j j j j j j j j j j j j j j j j j
Julie’s office to ask her questions concerning what Joe told her about the assault. In these
j j j j j j j j j j j j j j j j
circumstances
a. the solicitor/client privilege does not allow Julie to reveal any communications she had with
j j j j j j j j j j j j j j
Joe without his approval.
j j j
b. given that the solicitor/client relationship has ended, Julie is at liberty to disclose the
j j j j j j j j j j j j j j
information.
c. the solicitor/client privilege does not extend to admissions by clients of wrongdoing so
j j j j j j j j j j j j j
communications must be disclosed. j j j
d. Julie is at liberty to disclose any information in relation to the dispute with Joe over fees
j j j j j j j j j j j j j j j j j
but not in relation to communications about the assault.
j j j j j j j j
e. the Canada Evidence Act permits Julie to disclose any information once the retainer has
j j j j j j j j j j j j j j
ended.
Answer: a j
Copyright © 2016 Pearson Canada Inc.
1-2
2025/2026
, 3 law and business administration in canada 15th edition by smyth
TIF for Smyth: The Law and Business Administrations, Fourteenth Edition Chapter 1:
j j j j j j j j j j j
Law, Society, and Business j j j j
Diff: 3 j j
Type:MC j
Topic: LegalRiskManagement j j j j
Skill: Applied j
6) A compliance officer employed by a business for purposes of monitoring legislative
j j j j j j j j j j j j
requirements applicable to the business ensures j j j j j
a. that outside counsel are hired by the business on a general retainer basis to respond to
j j j j j j j j j j j j j j j j
urgent matters. j
b. that the business complies with all regulatory and legislative requirements to avoid
j j j j j j j j j j j j
claims, fines and other possible penalties or sanctions.
j j j j j j j
c. that probationary employees are screened and monitored appropriately by the business in
j j j j j j j j j j j j
the 90 day period.
j j j
d. that the business pays outstanding fines.
j j j j j
e. that someone attends on all Small Claims Court matters where outside counsel are not
j j j j j j j j j j j j j j
required.
Answer:b j j
Diff: 3 j j
Type:MC j
Topic:LegalRiskManagement j j j j
Skill: Applied j
7) When we say that the law is part of every facet of business, we mean that
j j j j j j j j j j j j j j j
a. it is central to business interaction with customers, suppliers, competitors, and
j j j j j j j j j j j
government.
b. business cannot succeed without understanding the law. j j j j j j
c. it outlines what we do, how to do it, and what not to do.
j j j j j j j j j j j j j
d. the failure of businesses to comply with the law may result in criminal, regulatory,
j j j j j j j j j j j j j j
and/or civil liability. j j
e. all of the above
j j j
Answer:e j j
Diff: 2 j
Type: MC j
Topic: Law and Business j j j
Copyright © 2016 Pearson Canada Inc.
1-3
2025/2026
