Question 1

In his article \"Is business bluffing ethical?,\" Albert Carr makes a distinction between an \"unethical\" poker player and a \"crook.\"

Accepted Answer

True

Question 2

According to Albert Carr in the article \"Is business bluffing ethical?,\" a businessperson who cultivates a reputation for integrity, honesty, and decency will have a better chance of success in the long run.

Accepted Answer

True

Question 3

Defamation is one person\'s use of another\'s name without permission.

Accepted Answer

False

Question 4

Dru is an Excel Company employee. He falsely accuses Fiona, Excel\'s office manager, of stealing from their employer. The statement is defamatory

Accepted Answer

if a coworker overhears it.

Question 5

False imprisonment occurs when a person restrains another intentionally and without justification.

Accepted Answer

True

Question 6

Lew angrily accuses Mandy, a broker with New Financial Services, of fraudulently inducing him to invest in Open Pit Oil Company, whose wells are dry. The reliance that gives rise to liability for fraud is normally based on a statement of

Accepted Answer

fact.

Question 7

Ralph, a van driver for Speedy Delivery Company, causes a multi-vehicle accident on a city street. Ralph and Speedy are liable to

Accepted Answer

only those whose injuries could have been reasonably foreseen.

Question 8

Good intention is a complete defense to conversion.

Accepted Answer

False

Question 9

Proximate cause exists when the connection between an act and an injury is strong enough to justify imposing liability.

Accepted Answer

True

Question 10

Drake pushes Evon into the path of an oncoming car driven by Flip. Gina tries to rescue Evon. Drake is liable for any injuries to

Accepted Answer

Evon, Flip, and Gina.

Question 11

Ira signs Jill\'s name, without her authorization, on the back of a check made out to her. This is

Accepted Answer

forgery.

Question 12

Domino causes a disturbance at El Nino Cafe. He is arrested and charged with disorderly conduct, a misdemeanor. A misdemeanor is a crime punishable by

Accepted Answer

imprisonment up to one year.

Question 13

Thinking about killing someone constitutes the crime of attempted murder.

Accepted Answer

False

Question 14

Mariah takes off her ring and places it on her desk while she works. Without her knowledge or consent, her coworker Nita picks up the ring, puts it on, and walks away. Nita has likely committed

Accepted Answer

larceny.

Question 15

Rick manages an illegal gambling operation in his Sushi Bar & Grill. Rick reports the profits of the gambling operation as income from Sushi\'s legitimate activities on its tax returns. This is

Accepted Answer

money laundering.

Question 16

Riley, a State Bank employee, deposits into his account checks that are given to him by bank customers to deposit into their accounts. This is

Accepted Answer

embezzlement.

Question 17

Under the Fourth Amendment, a general search warrant and a general search through a person\'s belongings are permitted.

Accepted Answer

False

Question 18

Cyber fraud is fraud committed over the Internet.

Accepted Answer

True

Question 19

Home Products Company and House & Yard, Inc., use the mark \"Good Housekeeping Seal of Approval\" to certify the quality of their products. Home Products and House & Yard are not in business together and do not own this mark. This mark is

Accepted Answer

a certification mark.

Question 20

Paula develops a new espresso machine, which she names \"Quik Shot.\" She also writes the operating manual. Paula can obtain trademark protection for

Accepted Answer

the name.

Question 21

Modern Clothing, Inc., and National Denim Corporation use the mark \"Made by Members of the U.S. Textile Workers Union\" on the tags of their products to indicate the participation of the union in the manufacture. Modern and National are not in business together and do not own this mark. This mark is

Accepted Answer

a collective mark.

Question 22

Li\'l Canine Company (LCC) uses a trademark that neither LCC nor anyone else has registered with the government. Under federal trademark law, LCC

Accepted Answer

can register the mark for protection.

Question 23

Trade dress has the same legal protection as trademarks.

Accepted Answer

True

Question 24

Ric designs a new computer hard drive, which he names \"Sci Phi.\" He also writes the operating manual to be included with each final product. Ric could obtain patent protection for

Accepted Answer

the hard drive.

Question 25

A service mark distinguishes products used, or \"put into service,\" by the government.

Accepted Answer

False

Question 26

Patent infringement occurs only if an invention is copied in its entirety.

Accepted Answer

False

Question 27

Vernon claims that his contract with Ulani is voidable. If their contract is avoided

Accepted Answer

both parties are released from it.

Question 28

The intention to enter into a contract is judged by objective facts as interpreted by a reasonable person.

Accepted Answer

True

Question 29

An implied contract is implied from the conduct of the parties.

Accepted Answer

True

Question 30

An informal contract requires a special form to bind the parties to it.

Accepted Answer

False

Question 31

An online offer should include provisions relating to dispute settlement.

Accepted Answer

True

Question 32

Business Properties, Inc. (BPI), offers to sell a warehouse to Corporate Investments. Transport Storage Company is aware of the offer and is interested in buying the warehouse. This offer can be accepted by

Accepted Answer

only Corporate Investments.

Question 33

Renee, a product designer for Supersize Cosmetics Company, agrees not to work for Supersize\'s competitors or start a competing business for a specified period of time after termination of employment. This agreement is legal in most states

Accepted Answer

if the specified period of time is reasonable.

Question 34

Under a contract with Bucolic Farms, Agro Excavation, Inc., begins digging an agricultural pond. In mid-project, Agro asks for $15,000 over the contract price, claiming an increase in the \"cost of doing business.\" Bucolic agrees but later refuses to pay. Their agreement is

Accepted Answer

unenforceable because Agro\'s performance was a preexisting duty.

Question 35

Loren and Kendra enter into a contract for the distribution of Loren\'s produce to local restaurants for which he agrees to pay Kendra. Kendra transfers her right to payment under the contract to County Bank. This transfer is

Accepted Answer

an assignment.

Question 36

aya is a stockbroker. Nora believes that the price of OK Goods, Inc. (OKGI), a widely traded stock, is going to increase substantially. Through Maya, Nora buys 500 shares of OKGI at $10 per share, but the price soon drops to $2. Nora can successfully recover from Maya

Accepted Answer

nothing.

Question 37

Only a mistake in value will make a contract voidable.

Accepted Answer

False

Question 38

An incidental beneficiary cannot sue the promisor directly for breach of the contract.

Accepted Answer

True

Question 39

Lava Excavators, Inc., needs a drill to continue its operations and orders one for $3,000 from Mining Supplies Company. Lava tells Mining that it must receive the drill by Tuesday or it will lose $10,000. Mining ships the drill late. Lava can recover

Accepted Answer

$10,000.

Question 40

To qualify as substantial performance, the performance must not vary greatly from the performance promised in the contract.

Accepted Answer

True

Question 41

Liquidated damages provisions are usually not enforceable.

Accepted Answer

False

Question 42

Real Cheap Painters, Inc., agrees to paint Quint\'s house, using a particular brand of \"discount\" paint. Real Cheap completes the job but uses a different brand of discounted paint. This is most likely

Accepted Answer

substantial performance.

Question 43

According to Albert Carr in the article \"Is business bluffing ethical?,\" a poker player who, while abiding with the rules of the game, finds ways to put other players at an unfair disadvantage is unethical.

Accepted Answer

True

Question 44

To commit an intentional tort, one person must intend to harm a certain other person.

Accepted Answer

False

Question 45

The use by one person of another person\'s likeness without permission and for the benefit of the user constitutes the tort of appropriation.

Accepted Answer

True

Question 46

Toni files a suit against Universal Media Corporation for defamation. Actual malice must be shown for recovery of damages if Toni is

Accepted Answer

a public figure.

Question 47

Kelly is injured when she slips and falls on Layla\'s sidewalk. To determine whether Layla owed a duty of care to Kelly, Layla is subject to the standard of

Accepted Answer

a reasonable person.

Question 48

Jean is playing a computer game on a bad disk that melts in her drive, starting a fire that injures her hands. Jean files a suit against K-Tech, Inc., the game\'s manufacturer. K-Tech is held liable under the doctrine of strict liability. A significant application of this doctrine is in the area of

Accepted Answer

product liability.

Question 49

Due care must be exercised in designing a product.

Accepted Answer

True

Question 50

Misrepresentation on a label is not enough to show an intent to induce the reliance of anyone who may use the product.

Accepted Answer

False

Question 51

A crime can be committed only against persons.

Accepted Answer

False

Question 52

On the orders of their corporate employer, Della and Efron, employees of Fabulous Fashionista, a clothing store, switch trademarks on clothing that comes into the store to be sold to consumers. This is

Accepted Answer

forgery.

Question 53

The crime of theft requires the taking of property, without regard to whether the perpetrator knew that it belonged to another.

Accepted Answer

False

Question 54

Jean sends e-mail to Irwin promising a percentage of the amount in a foreign bank account for assistance in transferring the funds to a U.S. bank account. Irwin forwards his account number, but the funds are never sent. Instead, Jean quickly withdraws the funds in Irwin\'s account. This is

Accepted Answer

cyber fraud.

Question 55

It may be a crime to take another\'s property, but it is not a crime to receive stolen goods.

Accepted Answer

False

Question 56

Briana, an employee of Cotillion Bank, is charged with embezzlement, which requires

Accepted Answer

fraudulently appropriating another\'s property.

Question 57

Jeri is indicted. Before she is arrested, she confesses to the crime in a conversation with Kelly, the arresting officer. Kelly then arrests Jeri and advises her of the right to counsel. Later, Jeri claims that her statement should be excluded as evidence from her trial. The statement will most likely be

Accepted Answer

excluded because it was elicited before Jeri was advised of her rights.

Question 58

In Case 8.1, Coca-Cola Co. v. Koke Co. of America, the United States Supreme Court upheld an injunction prohibiting competing beverage companies from calling their products \"Koke.\"

Accepted Answer

True

Question 59

Trek Transport Company uses a mark associated with its name to distinguish its services from those of other trucking firms. This mark is

Accepted Answer

a service mark.

Question 60

Trademark dilution requires proof that consumers are likely to be confused by the unauthorized use of the mark.

Accepted Answer

False

Question 61

A famous trademark may be diluted only by the unauthorized use of an identical mark.

Accepted Answer

False

Question 62

In the United States, a patent is given to the first person to invent a product or process.

Accepted Answer

False (first person to file)

Question 63

A license permits the use of intellectual property for certain limited purposes.

Accepted Answer

True

Question 64

Sights Unseen, Inc., (SUI) sells scopes with distinctively designed and made lenses and mirrors to scientists. Telescopes, Etc. Corporation later begins to sell scopes with identical set-ups of lenses and mirrors, without SUI\'s permission, to consumers. This is most likely

Accepted Answer

patent infringement

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