TEST BANK FOR
Odette Coccola
Camosun College
Business Law in Canada
Thirteenth Edition
Richard A. Yates
Simon Fraser University
Trevor Clarke
Aurora College
Angus Ng
Northern Alberta Institute of Technology
Teresa Bereznicki-Korol
Northern Alberta Institute of Technology
Table of Contents
Chapter 1: Managing Your Legal Affairs 01
Chapter 2: Introduction to the Legal System 42
Chapter 3: The Resolution of Disputes: The Courts and 109
Alternatives to Litigation
Chapter 4: Intentional Torts and Torts Impacting Business 179
SuccessShelf2 © 2025 SuccessShelf2. For Personal Use Only. All rights reserved.
Downloaded by: akramrq12 | Want to earn $1.236
Distribution of this document is illegal extra per year?
,Chapter 5: Negligence, Professional Liability, and Insurance 239
Chapter 6: The Elements of a Contract: Consensus and 300
Consideration
Chapter 7: The Elements of a Contract: Capacity, Legality, 380
and Intention
Chapter 8: Factors Affecting the Contractual Relationship 447
Chapter 9: The End of the Contractual Relationship 540
Chapter 10: Agency and Partnership 611
Chapter 11: Corporations 693
Chapter 12: Employment 750
Chapter 13: Intellectual Property 811
Chapter 14: Real and Personal Property and Protection of 859
the Environment
Chapter 15: Priority of Creditors 913
Chapter 16: Sales and Consumer Protection 956
ii
SuccessShelf2 © 2025 SuccessShelf2. For Personal Use Only. All rights reserved.
Downloaded by: akramrq12 | Want to earn $1.236
Distribution of this document is illegal extra per year?
,Chapter 01: Managing Your Legal Affairs
1. In the context of a sophisticated client, "sophisticated" can best be defined as
A) complicated, self-reliant, and cosmopolitan.
B) refined and cultured.
C) simple and naïve.
D) confident, knowledgeable, and up to date.
E) aggressive, dynamic, and forceful.
Difficulty: 1
QuestionID: 01-01
Topic: Ch. 1 - Becoming a Sophisticated Client
Skill: Recall
Objective: Chapter 1—1. Explain the meaning of "sophisticated client."
Answer: D) confident, knowledgeable, and up to date.
2. Which of the following best describes the likelihood of a student becoming
involved in a situation necessitating legal advice?
A) A student, or someone close to a student, sometimes becomes involved in such a
situation.
B) A student, or someone close to the student, will always become involved in such a
situation.
C) Because students are not business people, they never become involved in such
situations.
D) Because students cannot be sophisticated, they will often become involved in such
situations.
E) Legal advice is not available to students.
Difficulty: 1
QuestionID: 01-02
Topic: Ch. 1 - Becoming a Sophisticated Client
Skill: Applied
Objective: Chapter 1—1. Explain the meaning of "sophisticated client."
Answer: A) A student, or someone close to a student, sometimes becomes involved in
such a situation.
3. Becoming a sophisticated client will
A) ensure that a business person never needs a lawyer.
B) help a business person manage her legal affairs more efficiently and effectively.
C) result in a business person developing a bias against lawyers.
D) relieve a business person from having to conduct legal research.
E) protect a business person from needing legal advice.
iii
SuccessShelf2 © 2025 SuccessShelf2. For Personal Use Only. All rights reserved.
Downloaded by: akramrq12 | Want to earn $1.236
Distribution of this document is illegal extra per year?
, Difficulty: 2
QuestionID: 01-03
Topic: Ch. 1 - Becoming a Sophisticated Client
Skill: Applied
Objective: Chapter 1—1. Explain the meaning of "sophisticated client."
Answer: B) help a business person manage her legal affairs more efficiently and
effectively.
4. Having a good lawyer on your team is
A) usually too expensive to be worthwhile.
B) only necessary for large companies.
C) a good alternative to becoming a sophisticated client.
D) a legal requirement prior to incorporating a business.
E) a critical component of being a sophisticated client.
Difficulty: 3
QuestionID: 01-04
Topic: Ch. 1 - Becoming a Sophisticated Client
Skill: Applied
Objective: Chapter 1—1. Explain the meaning of "sophisticated client."
Answer: E) a critical component of being a sophisticated client.
5. Which of the following best describes the role of the lawyer?
A) The lawyer makes the legal decisions for the client.
B) The lawyer is simply one of the experts the businessperson consults.
C) The client must follow the lawyer's instructions, as long as they are lawful.
D) The client makes decisions regarding civil matters; the lawyer makes decisions
regarding criminal matters.
E) The lawyer makes decisions regarding civil matters; the client makes decisions
regarding criminal matters.
Difficulty: 2
QuestionID: 01-05
Topic: Ch. 1 - The Role of the Lawyer
Skill: Recall
Objective: Chapter 1—2. Examine the Role of the Lawyer.
Answer: B) The lawyer is simply one of the experts the businessperson consults.
6. One reason for a lack of respect for lawyers is that
A) many people do not understand the role of the lawyer in the solicitor-client
relationship.
B) lawyers are not bound by a code of professional conduct.
C) lawyers who breach their duties are generally not subject to any punishment.
iv
SuccessShelf2 © 2025 SuccessShelf2. For Personal Use Only. All rights reserved.
Downloaded by: akramrq12 | Want to earn $1.236
Distribution of this document is illegal extra per year?
Odette Coccola
Camosun College
Business Law in Canada
Thirteenth Edition
Richard A. Yates
Simon Fraser University
Trevor Clarke
Aurora College
Angus Ng
Northern Alberta Institute of Technology
Teresa Bereznicki-Korol
Northern Alberta Institute of Technology
Table of Contents
Chapter 1: Managing Your Legal Affairs 01
Chapter 2: Introduction to the Legal System 42
Chapter 3: The Resolution of Disputes: The Courts and 109
Alternatives to Litigation
Chapter 4: Intentional Torts and Torts Impacting Business 179
SuccessShelf2 © 2025 SuccessShelf2. For Personal Use Only. All rights reserved.
Downloaded by: akramrq12 | Want to earn $1.236
Distribution of this document is illegal extra per year?
,Chapter 5: Negligence, Professional Liability, and Insurance 239
Chapter 6: The Elements of a Contract: Consensus and 300
Consideration
Chapter 7: The Elements of a Contract: Capacity, Legality, 380
and Intention
Chapter 8: Factors Affecting the Contractual Relationship 447
Chapter 9: The End of the Contractual Relationship 540
Chapter 10: Agency and Partnership 611
Chapter 11: Corporations 693
Chapter 12: Employment 750
Chapter 13: Intellectual Property 811
Chapter 14: Real and Personal Property and Protection of 859
the Environment
Chapter 15: Priority of Creditors 913
Chapter 16: Sales and Consumer Protection 956
ii
SuccessShelf2 © 2025 SuccessShelf2. For Personal Use Only. All rights reserved.
Downloaded by: akramrq12 | Want to earn $1.236
Distribution of this document is illegal extra per year?
,Chapter 01: Managing Your Legal Affairs
1. In the context of a sophisticated client, "sophisticated" can best be defined as
A) complicated, self-reliant, and cosmopolitan.
B) refined and cultured.
C) simple and naïve.
D) confident, knowledgeable, and up to date.
E) aggressive, dynamic, and forceful.
Difficulty: 1
QuestionID: 01-01
Topic: Ch. 1 - Becoming a Sophisticated Client
Skill: Recall
Objective: Chapter 1—1. Explain the meaning of "sophisticated client."
Answer: D) confident, knowledgeable, and up to date.
2. Which of the following best describes the likelihood of a student becoming
involved in a situation necessitating legal advice?
A) A student, or someone close to a student, sometimes becomes involved in such a
situation.
B) A student, or someone close to the student, will always become involved in such a
situation.
C) Because students are not business people, they never become involved in such
situations.
D) Because students cannot be sophisticated, they will often become involved in such
situations.
E) Legal advice is not available to students.
Difficulty: 1
QuestionID: 01-02
Topic: Ch. 1 - Becoming a Sophisticated Client
Skill: Applied
Objective: Chapter 1—1. Explain the meaning of "sophisticated client."
Answer: A) A student, or someone close to a student, sometimes becomes involved in
such a situation.
3. Becoming a sophisticated client will
A) ensure that a business person never needs a lawyer.
B) help a business person manage her legal affairs more efficiently and effectively.
C) result in a business person developing a bias against lawyers.
D) relieve a business person from having to conduct legal research.
E) protect a business person from needing legal advice.
iii
SuccessShelf2 © 2025 SuccessShelf2. For Personal Use Only. All rights reserved.
Downloaded by: akramrq12 | Want to earn $1.236
Distribution of this document is illegal extra per year?
, Difficulty: 2
QuestionID: 01-03
Topic: Ch. 1 - Becoming a Sophisticated Client
Skill: Applied
Objective: Chapter 1—1. Explain the meaning of "sophisticated client."
Answer: B) help a business person manage her legal affairs more efficiently and
effectively.
4. Having a good lawyer on your team is
A) usually too expensive to be worthwhile.
B) only necessary for large companies.
C) a good alternative to becoming a sophisticated client.
D) a legal requirement prior to incorporating a business.
E) a critical component of being a sophisticated client.
Difficulty: 3
QuestionID: 01-04
Topic: Ch. 1 - Becoming a Sophisticated Client
Skill: Applied
Objective: Chapter 1—1. Explain the meaning of "sophisticated client."
Answer: E) a critical component of being a sophisticated client.
5. Which of the following best describes the role of the lawyer?
A) The lawyer makes the legal decisions for the client.
B) The lawyer is simply one of the experts the businessperson consults.
C) The client must follow the lawyer's instructions, as long as they are lawful.
D) The client makes decisions regarding civil matters; the lawyer makes decisions
regarding criminal matters.
E) The lawyer makes decisions regarding civil matters; the client makes decisions
regarding criminal matters.
Difficulty: 2
QuestionID: 01-05
Topic: Ch. 1 - The Role of the Lawyer
Skill: Recall
Objective: Chapter 1—2. Examine the Role of the Lawyer.
Answer: B) The lawyer is simply one of the experts the businessperson consults.
6. One reason for a lack of respect for lawyers is that
A) many people do not understand the role of the lawyer in the solicitor-client
relationship.
B) lawyers are not bound by a code of professional conduct.
C) lawyers who breach their duties are generally not subject to any punishment.
iv
SuccessShelf2 © 2025 SuccessShelf2. For Personal Use Only. All rights reserved.
Downloaded by: akramrq12 | Want to earn $1.236
Distribution of this document is illegal extra per year?
