question

The stability and predictability of the law is essential to business activities.

answer

TRUE

question

Law is a body of enforceable rules governing relationships among individuals and between individuals and their society.

answer

TRUE

question

A breach of a contract is a failure to perform it.

answer

TRUE

question

Constitutional law includes only the U.S. Constitution

answer

FALSE

question

A state constitution is supreme within the state's borders.

answer

TRUE

question

Whether a law is constitutional depends on its source.

answer

FALSE

question

Uniform laws apply in all states, including those in which the laws have not been adopted.

answer

FALSE

question

A state law that conflicts with the U.S. Constitution will be deemed unconstitutional.

answer

TRUE

question

Statutory law does not include county ordinances.

answer

FALSE

question

No state has adopted the Uniform Commercial Code in its entirety.

answer

FALSE

question

Common law is a term for law that is common throughout the world

answer

FALSE

question

Damages is a remedy at law.

answer

TRUE

question

Remedies in equity include injunctions and decrees of specific performance

answer

TRUE

question

In most states, the courts no longer grant "equitable" remedies.

answer

FALSE

question

A defendant is a person against whom a lawsuit is brought

answer

TRUE

question

Courts do not depart from precedents

answer

FALSE

question

A judge's function is to make the law

answer

FALSE

question

Criminal law focuses on duties that exist between persons

answer

FALSE

question

A reference to "28 U.S.C. Section 1332" means that a statute can be found in section 1332 of title 28 of the United States Code

answer

TRUE

question

Most state trial court decisions are not published

answer

TRUE

question

The legislature of the state of Mississippi enacts a new statute that sets stan-dards for the liability of businesses selling defective products. This statute applies

answer

only in Mississippi

question

Lewis is a state court judge. Like other judges, Lewis often refers to secondary sources of law for guidance. These sources include

answer

official comments to statute

question

Hawaii enacts a state law that violates the U.S. Constitution. This law can be enforced by

answer

no one

question

The Federal Trade Commission is a government agency that issues rules, orders, and decisions. The Georgia state legislature enacts stat¬utes. The Jackson County Board and the Peach City Council enacts or¬dinances. Administrative law includes

answer

the rules, orders, and decisions of the Federal Trade Commission

question

The Securities Exchange Commission is an administrative agency. The chief purpose of such agencies is to

answer

perform specific government functions.

question

In a suit against Corbin, Donatella obtains damages. This is

answer

a payment of money or property as compensation

question

In an action against Elin, Frank obtains a remedy. This is

answer

the legal means to recover a right or to redress a wrong.

question

In a suit against Evan, Floyd obtains an injunction. This is

answer

an order to do or to refrain from doing a particular act

question

In a suit against Vladimir over the performance of a contract, Wyler obtains rescission. This is

answer

the cancellation of a contract

question

In a suit against Sandy, Tippy obtains damages. In the U.S. legal system, this remedy at law is

answer

normal.

question

Maggie and Nate enter into a contract for the sale of car, but Nate later refuses to deliver the goods. Maggie asks a court to order Nate to perform as promised. Ordering a party to perform what was promised is

answer

an equitable remedy

question

As a judge, Diane applies common law rules. These rules develop from

answer

decisions of the courts in legal disputes

question

Craig is a state court judge. In his court, as in most state courts, legal and equitable remedies have merged. But it is important to distinguish between equitable and legal remedies

answer

to request a proper remedy

question

In Ben v. City Car Dealership, a state supreme court held that a minor could cancel a con¬tract for the sale of a car. Now a trial court in the same state is decid¬ing Daphne v. Even Steven Auto Deals, Inc.,, a case with similar facts. Under the doctrine of stare de¬cisis, the trial court is likely to

answer

allow the minor to cancel the contract

question

In Export Co. v. Imports, Inc., there is no precedent on which the court can base a decision. The court can consider, among other things,

answer

public policy or social values

question

A federal statute regulates an employment practice. To resolve a dispute concerning the practice, Paula, a judge, will most likely apply

answer

the statute

question

The Texas Supreme Court decides the case of Livewire Entertainment Co. v. Power Play Corp. Of nine justices, six believe the judgment should be in Livewire's fa¬vor. Justice Bellamy, one of the six, writes a separate opinion. The four justices who be¬lieve the judgment should be in Power's favor join in a third separate opinion Refer to Fact Pattern 1-A1. These opinions are collected and published in volumes called

answer

reporters

question

The Texas Supreme Court decides the case of Livewire Entertainment Co. v. Power Play Corp. Of nine justices, six believe the judgment should be in Livewire's fa¬vor. Justice Bellamy, one of the six, writes a separate opinion. The four justices who be¬lieve the judgment should be in Power's favor join in a third separate opinion Refer to Fact Pattern 1-A1. Bellamy's opin¬ion is known as

answer

a concurring opinion

question

The Texas Supreme Court decides the case of Livewire Entertainment Co. v. Power Play Corp. Of nine justices, six believe the judgment should be in Livewire's fa¬vor. Justice Bellamy, one of the six, writes a separate opinion. The four justices who be¬lieve the judgment should be in Power's favor join in a third separate opinion Refer to Fact Pattern 1-A1. The opin¬ion joined by the four justices who favor Power is known as

answer

a dissenting opinion

question

At a prison in Ohio, inmate Steve recruits other inmates to play Towers & Trolls, a potentially violent, fantasy, role-playing game. Ryan, the prison's warden, confiscates the game materials and bans its play at the prison. Under the principles discussed in "A Sample Court Case," Singer v. Raemisch, Ryan most likely acted

answer

reasonably in the circumstances and under the law.

question

Congress can only pass legislation that falls within the limits set up by the U.S. Constitution

answer

TRUE

question

The U.S. Constitution is the supreme law of the United States

answer

TRUE

question

Each state has its own constitution

answer

TRUE

question

Every state has adopted some or all of the Uniform Commercial Code

answer

TRUE

question

State agency regulations take precedence over conflicting federal agency regulations

answer

FALSE

question

Common law is a term for the laws that are familiar to most of us

answer

FALSE

question

A decision on a given issue by a court is not binding on an inferior court

answer

FALSE

question

Stare decisis is a doctrine obligating judges to help persons who have failed to protect their own rights

answer

FALSE

question

A court may depart from a precedent if the precedent is no longer valid.

answer

TRUE

question

There is one right answer to every legal question

answer

FALSE

question

To reason by analogy is syllogistic reasoning because it employs a syllogism

answer

FALSE

question

Linear reasoning proceeds from one point to another with the focal point being the conclusion

answer

TRUE

question

Deductive reasoning involves a main premise, a minor premise, and a conclusion

answer

TRUE

question

Common law is the best and only source of legal authority

answer

FALSE

question

Courts often rely on the common law as a guide to interpreting legislation

answer

TRUE

question

A jury's good sense and careful consideration of consequences is known as jurisprudence

answer

FALSE

question

How judges apply the law to specific disputes may depend in part on their personal philosophical views

answer

TRUE

question

A judge's view of the law is of little importance in a common law legal system.

answer

FALSE

question

A substantive law creates or defines legal rights and obligations

answer

TRUE

question

Rules and regulations adopted by federal administrative agencies are compiled in the Code of Federal Regulations

answer

TRUE

question

The River City Council, the Santa Clara County Board, the Texas state legislature, and the U.S. Congress enact laws. These laws constitute

answer

statutory law

question

The U.S. Congress enacts a new federal statute that imposes liability on businesses emitting significant amounts of a certain pollutant into the environment. This statute applies

answer

to all of the states

question

Krystal is a federal judge. Krystal's judicial decisions are part of case law. This law includes interpretations of primary sources of law. These sources include

answer

administrative regulations

question

If a provision in the Florida state constitution conflicts with a provision in the U.S. Constitution

answer

the U.S. Constitution takes precedence

question

As a judge, Nina decides cases that involve principles of various sources of law. Common law is

answer

case law

question

The federal government and the state governments constitute the U.S. legal system. This system is based on the legal system of

answer

England

question

In a suit against Owen over the performance of their contract, Phil ob¬tains specific performance. This is

answer

an order to perform what was promised

question

MaxiMart, Inc., is a discount retailer. MaxiMart's customer service em-ployees are on strike. Sixty of the workers block the entrances to one of MaxiMart's stores. To get them away from the doors, MaxiMart should seek

answer

an injunction

question

Leona enters into a contract with Munchie Bakery to cater a sales con-ference. When the conference is postponed indefinitely, Leona asks a court to cancel the contract. This request involves

answer

an equitable remedy

question

Eliza is a state court judge. Flora appears in a case in Eliza's court, claim¬ing that Glover breached a contract. As in most state courts, Eliza may

answer

award damages or cancel the contract

question

Diana is a state court judge. In her court, as in most state courts, she may grant in a particular case

answer

equitable and legal remedies

question

Jill is an appellate court judge. In this capacity, Jill establishes a rule of law. Under the doctrine of stare decisis, the principle must be adhered to by

answer

that court and courts of lower rank

question

In Sales Distribution Corp. v. Consumer Products Co., the court decides that a precedent is incorrect or in¬ap¬plicable. The court

answer

may rule contrary to the precedent

question

Brian's pick-up truck collides with Miranda's semi-trailer on a county highway. Weighing Brian's liability for the collision, Rachel, a judge, reasons by analogy. To reason by analogy is to

answer

compare the facts in previous cases and apply the same rule of law.

question

Quinn is a state court judge. In the case of Royal Banners, Inc. v. Superior Flags Co., Quinn establishes a logical relationship by compar-ing the facts in the case to the facts in other cases and, to the ex¬tent the facts are similar, applies the same rule. This is

answer

reasoning by analogy

question

Julius is a judge. How the Julius and the judges in other courts interpret a particular statute determines

answer

how that statute will be applied

question

To Serena, the written law of a particular society at a particular time is most signifi¬cant. Serena is

answer

a legal positivist

question

Standard Business Company appeals a decision against it, in favor of Fast Delivery Corporation, from a lower court to a higher court. Standard is

answer

the appellant

question

The title of a case appears as "Duck Down Corp. v. Egret Feathers Co." The party in whose favor the case was decided

answer

could be either party

question

The South Carolina Supreme Court decides the case of Toy Co. v. Umbrella Corp. The court issues an opinion that does not indicate which justice authored it. This opinion is

answer

a per curiam opinion.

question

Federal courts are superior to state courts

answer

FALSE

question

The courts can decide whether the other branches of government have acted within the scope of their constitutional authority.

answer

TRUE

question

Minimum contacts with a jurisdiction can be sufficient to support jurisdiction over a nonresident defendant

answer

TRUE

question

Federal courts have jurisdiction over any case involving citizens of different states regardless of the amount in controversy

answer

FALSE

question

Concurrent jurisdiction exists when neither federal nor state courts have the power to hear a particular case

answer

TRUE

question

A court cannot exercise jurisdiction over an out-of-state defendant who has only done business in the state over the Internet

answer

FALSE

question

Venue is the term for the subject matter of a case.

answer

FALSE

question

A justiciable controversy is a case in which the court's decision—the "jus¬tice" that will be served—will be controversial

answer

FALSE

question

Generally, lawyers are required to represent people in small claims courts

answer

FALSE

question

Federal cases typically originate in appellate courts

answer

FALSE

question

The United States Supreme Court has original jurisdiction in rare instances

answer

TRUE

question

There is one set of procedural rules for federal courts and various sets for state courts

answer

TRUE

question

A default judgment is entered against a party who fails to respond to the allegations in a complaint

answer

TRUE

question

At every stage of a trial, either party can file a motion to dismiss the case

answer

TRUE

question

A summary judgment is granted only if there is no genuine question of law

answer

FALSE

question

If a discovery request involves confidential business information, the scope of the request can be limited

answer

TRUE

question

Hearsay evidence is testimony about a statement made by someone who was not under oath at the time

answer

TRUE

question

A motion for a directed verdict is also known as a motion for judgment as a matter of law

answer

TRUE

question

A trial commences with the plaintiff's attorney's direct examination of the first witness

answer

FALSE

question

An appellate court can affirm or reverse the decision of a trial court in part

answer

TRUE

question

The Ohio state legislature passes a law to regulate local delivery serv¬ices. The final authority regarding the constitutionality of this law is

answer

the judicial system

question

Ginger wants to file a suit against Fred. For a court to hear the case

answer

the court must have jurisdiction

question

The case of Max v. National Credit Co. is heard in a trial court. The case of O! Boy! Ice Cream Co. v. Pickled Peppers, Inc., is heard in an appellate court. The difference between a trial and an appellate court is whether

answer

a trial is being held

question

Tyler, a citizen of Utah, files a suit in a Utah state court against Veritas Sales Corporation, a Washington state company that does business in Utah. The court has original jurisdiction, which means that

answer

the case is being heard for the first time

question

Rolf, a citizen of New Mexico, wants to file a suit against Sandy, a citizen of Texas, relating to a motorcycle accident in which Rolf's injuries resulted in medical costs of more than $75,000. Their diversity of citizenship may be a basis for

answer

a federal court to exercise original jurisdiction

question

Liu files a suit against Macro Sales, Inc., in a New Jersey state court based on a Web site through which New Jersey residents can do busi¬ness with Macro. The court will most likely exercise jurisdiction over Macro if the interactivity of the site is seen as

answer

a "substantial enough" connection with the state

question

3D HD TV Company, a firm in Minnesota, advertises on the Web. A court in North Dakota would be most likely to exercise jurisdiction over 3D HD if the firm

answer

conducted substantial business with North Dakota residents through its Web site

question

Gaudy Ornaments, Inc., sells decorative ware. Hank, who has never bought a Gaudy product, files a suit against the firm, alleging that its products are defective. The firm's best ground for dis¬missal of the suit is that Hank does not have

answer

standing

question

Mariah wins her suit against Natural Products Company. Natural's best ground for appeal is the trial court's interpretation of

answer

the law that applied to the issues in the case

question

Drummond wants to make a federal case out of his dispute with Elena. Federal cases originate in

answer

federal district courts

question

Boyd files a suit in a federal district court against Cathy. Cathy loses the suit, appeals to the U.S. Court of Appeals for the Second Circuit, and loses again. Cathy asks the United States Supreme Court to hear the case. The Court is

answer

not required to hear the case

question

Ulrica wants to initiate a suit against Valley Farms by filing a complaint. The complaint should include

answer

the facts establishing Ulrica's basis for relief

question

Beyond-the-Sea Imports, Inc., disputes the use of "beyond-the-sea.com" as a domain name by Beyond-the-Sea Overseas Exports, Ltd., and files a suit to re¬solve the dispute. Service of process must be

answer

according to the rules of the court in which the suit is brought

question

Loren files a suit against Mabel, alleging a failure to pay for the harvest of Mabel's orchards. Mabel denies Loren's charge and claims that Loren breached their contract to harvest a certain number of acres and owes Mabel money for the breach. Mabel's claim is

answer

a counterclaim

question

To prepare for a trial between Condo Development Corporation and Demo Construction Company, Condo's attorney places Demo's president under oath. An authorized court official makes a record of the attorney's questions and the officer's answers. This is

answer

a deposition

question

In Dawg Stop's suit against Condiment Vendor, Inc., Dawg serves a written request for Condiment to admit the truth of matters relating to the trial. Condiment's admission in response is the equivalent of

answer

an admission in court

question

During a trial in Gene's suit against Homer over the use of Gene's lakeside cabin, Gene's attorney asks questions of the plaintiff's witness Illya. This is

answer

a direct examination

question

During a trial, the attorney for Gloria the plaintiff questions her witness Heidi. Heidi, who is not an expert in the matter about which she is being asked, can

answer

testify about only what she personally observed

question

After a trial between OptiGames, Inc., and Play Video Corporation, the jury renders a verdict in OptiGames's favor. Play Video's attorney can file a motion

answer

for a new trial

question

In Recycle Cafe's suit against Sanitary Services, Inc., the court issues a judgment in Recycle's favor. The judgment can be appealed to an appropriate court of appeals by

answer

Recycle or Sanitary

question

The function of the courts is to interpret and apply the law

answer

TRUE

question

State courts are inferior to federal courts

answer

FALSE

question

The political branch of government is the final authority concerning the constitutionality of a law

answer

FALSE

question

Under a long arm statute, a court cannot exercise jurisdiction over a defendant who has minimum out-of-state contacts

answer

FALSE

question

state court can exercise jurisdiction over property located within the state's boundaries regardless of the property owners' location

answer

TRUE

question

For purposes of diversity of citizenship, a corporation is a citizen only of the state in which its principal place of business is located

answer

FALSE

question

A business firm may have to comply with the laws of any jurisdiction in which it actively targets customers for its products

answer

TRUE

question

To have standing to sue, a party must have been injured or have been threatened with injury by the action about which he or she is complaining

answer

TRUE

question

Small claims courts are inferior trial courts

answer

TRUE

question

Courts of appeals conduct new trials in which evidence is submitted to the court but witnesses are not examined

answer

FALSE

question

U.S. district courts have original jurisdiction in matters involving federal questions

answer

TRUE

question

The United States Supreme Court can review any case decided by any of the federal courts of appeals

answer

TRUE

question

Before a lawsuit begins, the court must have proof that the defendant was notified

answer

TRUE

question

Discovery is the process of obtaining information from an apposing party before trial

answer

TRUE

question

deposition is sworn testimony by a party to a lawsuit or any witness

answer

TRUE

question

Information stored electronically cannot be the object of a discovery request

answer

FALSE

question

A closing argument is a statement by a party that results in a summary judgment in that party's favor

answer

FALSE

question

A court of appeals hears all of the same evidence that the trial court heard

answer

FALSE

question

A petitioner is the party against whom an appeal is taken

answer

FALSE

question

The expenses associated with an appeal are minor

answer

FALSE

question

Harvey, a resident of Indiana, has an accident with Janette, a resident of Kentucky, while driving through that state. Janette files a suit against Harvey in Kentucky. Regarding Harvey, Kentucky has

answer

in personam jurisdiction

question

Inferior Company, which is based on South Carolina, makes and sells products that are poorly made. Jack, who is a resident of North Carolina, buys an Inferior product and suffers harm through its use. The diversity of citizenship between these parties means that

answer

federal and state courts have concurrent jurisdiction

question

Lora is a resident of Illinois. Ned is a resident of Wisconsin. They dispute the ownership of a boat docked in a Michigan harbor. This diversity of citizenship could serve as a basis for

answer

federal jurisdiction

question

Jo files a suit against Kara in a Missouri state court. Kara's only connection to Missouri is an ad on the Web originating in Nebraska. For Missouri to exercise jurisdiction, the issue is whether Kara, through her ad, has

answer

conducted substantial business with Missouri residents

question

Child's Play, Inc., sells a toy with a dangerous defect. Drew buys the toy for his son but discovers the defect before the child is injured. Drew files a suit against Child's Play. The firm's best ground for dismissal of the suit is that Drew does not have

answer

standing to sue

question

Lacey files a suit in Michigan against Ned over the ownership of a boat docked in a Michigan harbor. Lacey and Ned are residents of Ohio. Ned could ask for a change of venue on the ground that Ohio

answer

is a more convenient location to hold the trial

question

Kit loses her suit against Lou in a Minnesota state trial court. Kit appeals to the state court of appeals and loses again. Kit would appeal next to

answer

the Minnesota Supreme Court

question

The Idaho Supreme Court rules against Jiffy Mart in a case against Kwik Stop Stores, Inc. Jiffy Mart files an appeal with the United States Supreme Court. The Court does not hear the case. This

answer

means that the Idaho court's decision is the law in Idaho.

question

Jason files a suit against Maybelline. If Maybelline fails to respond, Jason

answer

will be awarded the remedy sought.

question

Liv wants to initiate a suit against Mortgage Mart Corporation by filing a complaint. The complaint should include

answer

the facts showing that the court has jurisdiction

question

Solar Power, Inc., files a suit against Thunder Bay Utility Company and seeks to examine certain documents in Thunder's possession. A legitimate reason for this examination is that the documents contain

answer

evidence about the case

question

During the trial phase of Fuel Corporation's suit against Gas Stations, Inc., their attorneys engage in voir dire. This is

answer

the jury selection process

question

During a trial between Laramie and Mikayla over a sale of allegedly diseased livestock, Mikayla's attorney asks questions of the plaintiff's witness Nilson. This is

answer

a cross-examination

question

Toppers, Inc., files a suit against Sports Cap Company. Toppers's attorney calls Renalda, the first witness, and questions her. This questioning is

answer

direct examination

question

Irma files a civil suit against Jim. To succeed, Irma must prove her case

answer

by a preponderance of the evidence

question

In Brick 'n Mortar Corporation's suit against Online Mall, Inc. (OMI), the jury re¬turns a verdict in Brick 'n Mortar's favor. OMI files a motion asking the judge to set aside the verdict and begin new proceedings. This is a mo-tion for

answer

a new trial

question

In Chickenpot Cafe's suit against Dawg Carts, Inc., the jury returns a verdict in Chickenpot's favor. Chickenpot will most likely ask the court to enter

answer

a judgment in accordance with the verdict

question

In Midnight Motel's suit against Natural Mattress Company, the jury returns a verdict in Midnight's favor. Natural files a motion stating that even if the evi¬dence is viewed in the light most favorable to Midnight, a reasonable jury should not have found in its favor. This is a motion for

answer

judgment n.o.v

question

Stefani files a suit against Thomasina. The document that informs Thomasina that she is required to answer the complaint is

answer

the summons.

question

In Phil's suit against Riley, the court issues a judgment in Riley's favor. If the case is appealed to an appropriate court of appeals, the appellate court will hear

answer

none of the evidence

question

Like statutory law, administrative law is created by legislatures

answer

FALSE

question

State regulation, when not preempted, may cover many of the same ac-tivities as federal regulation

answer

TRUE

question

Federal administrative agencies can regulate beyond the powers granted by enabling legislation

answer

FALSE

question

Federal executive agencies are outside the federal executive departments

answer

FALSE

question

Administrative agencies can not make legislative rules, or substantive rules, that are as legally binding as laws that the Congress passes.

answer

FALSE

question

A court will not review an administrative agency's decision until the case is "ripe for review"

answer

TRUE

question

A party can challenge an administrative regulation as so irrational as to be arbitrary and capricious

answer

TRUE

question

Rulemaking—the formulation of new administrative regulations—is a major function of Congress, not administrative agencies

answer

FALSE

question

Final administrative rules have binding legal effect unless the courts later overturn them

answer

TRUE

question

The period for persons to comment on a proposed administrative rule must be at least thirty days

answer

TRUE

question

If the meaning of a statute's language is unclear and an agency inter¬prets it, a court must overturn the interpretation

answer

FALSE

question

Informal agency actions are exempt from the Administrative Procedure Act's requirements

answer

TRUE

question

Many agency rules require compliance reporting from regulated entities, and such a report can not trigger an enforcement investigation

answer

FLASE

question

There are no limits to the information that an administrative agency can demand from an individual or organization

answer

FALSE

question

In most instances, an agency is not required to obtain a search warrant before a physical search for evidence is conducted

answer

FALSE

question

If an investigation reveals a suspected violation of an administrative rule, the agency can not issue a formal complaint against the suspected violator

answer

FALSE

question

Frequently, disputes over violations of administrative rules are resolved through informal adjudication proceedings

answer

TRUE

question

The federal government must disclose certain records to any person or entity on written request only if there is a rational reason for the request

answer

FALSE

question

Every portion of every meeting of a federal administrative agency does not have to be open to public observation.

answer

FALSE

question

An agency must conduct a regulatory flexibility analysis whenever a new regulation will have an impact on a "small number of substantial entities."

answer

FALSE

question

Boxy's Packaging Materials Company is subject to regulations issued by the Occupational Safety and Health Administration (OSHA). Like other federal administrative agencies, the OSHA was created by

answer

Congress, through enabling legislation

question

Independent regulatory agencies such as the Federal Trade Commission are

answer

outside the major departments of the government's executive branch

question

Executive control over the Federal Communications Commission, and other agencies, may be exercised through a pres¬iden¬tial veto of

answer

Congress's modifications of the agency's authority

question

Pure Water Company is subject to a decision by the Environmental Protection Agency. Pure Water appeals the decision, arguing that it is arbitrary and capricious. This could mean that the decision

answer

changed the agency's prior policy without justification

question

The Federal Aviation Administration uses notice-and-comment rulemak¬ing. The final rule in such a proceeding has binding legal effect

answer

unless a court overturns it

question

To notify the public of a proposed rule, the Food Safety and Inspection Service, like other federal agencies, publishes the proposal in

answer

the Federal Register

question

The Securities and Exchange Commission decides to create a new rule relating to the dissemination of material nonpublic information through corporate blogs, tweets, and Web sites. The first step is to

answer

publish a notice of the proposed rulemaking

question

Before adopting new regulations to govern Internet-based phone serv¬ices, the Federal Communications Commission may not

answer

ignore the Administrative Procedure Act to streamline proceedings

question

The Federal Aviation Administration uses notice-and-comment rulemak¬ing. The final rule in such a proceeding is sometimes referred to as

answer

a legislative rule

question

The Merit Systems Protection Board issues a rule. Like other adminis¬tra¬tive agencies' "legislative rules," this rule is as

answer

binding as a law passed by Congress

question

The U.S. Fish and Wildlife Service uses notice-and-comment rulemak¬ing. This involves a period during which

answer

the public is asked to comment on a proposed rule.

question

After notice-and-comment rulemaking, the U.S. Bureau of Land Management (BLM) issues a new rule and applies it to Clearcut Timber Company. Clearcut appeals the application to a federal court. The court will most likely defer to the BLM's interpretation of

answer

the facts and the law

question

The Federal Trade Commission (FTC) orders GR8 Steaks Company to re-veal certain information. GR8 Steaks complains to a court, arguing that the order is an abuse of the FTC's discretion. Like other agencies, the FTC can use a subpoena to

answer

reveal violations of the law

question

The Consumer Product Safety Commission (CPSC) wants Monster Toy Company to produce certain records for review. To obtain the records, the CPSC will issue

answer

a subpoena

question

The Internal Revenue Service (IRS) wants to seize certain documents of Mortgage Bank, Inc. Deciding whether it is permissible for the IRS to request or seize the documents depends on whether the docu¬ments are

answer

relevant

question

The Food and Drug Administration (FDA) is investigating reports that Caplets Pharmaceutical Corporation is putting potentially harmful ad¬di-tives in Doze, a new pain-relief medication. The FDA's demands for particular documents from Caplets

answer

must be general so as to force an uncooperative party's compliance

question

The Nuclear Regulatory Commission (NRC) files a complaint against General Construction Corporation (GCC). GCC may want to set¬tle the dispute, before formal adjudicatory proceedings be¬gin, to avoid

answer

appearing uncooperative

question

Guard Personnel Company is charged hiring practices that do not meet requirements set by the Transportation Safety Administration (TSA). The administra¬tive law judge or¬ders Guard to comply with the TSA's regulations. Guard may

answer

appeal to the commission that governs the TSA.

question

With some exceptions, every portion of every meeting of the Federal Reserve System Board of Governors and other federal administrative agencies must be open to public observation under

answer

the Government-in-the-Sunshine Act

question

The Regulatory Flexibility Act has helped reduce record-keeping bur¬dens for Hometown Gas Company and other small business firms in the area of

answer

hazardous waste management

question

Administrative law is created by administrative agencies, not by legislatures.

answer

TRUE

question

State regulation, when not preempted, may regulate independently the activities that federal regulation does not cover

answer

TRUE

question

By delegating some of its authority to make and implement laws, Congress violates the U.S. Constitution

answer

FALSE

question

Independent regulatory agencies include the cabinet departments of the executive branch

answer

FALSE

question

Interpretive rules simply declare policy and do not affect legal rights or obligations

answer

TRUE

question

A party seeking court review of an administrative action must first exhaust all of his or her administrative remedies before seeking court review

answer

TRUE

question

There is a precise definition of what makes an administrative rule arbitrary and capricious

answer

FALSE

question

Unlike those who violate statutes, violators of agency rules are not punished

answer

FALSE

question

Final administrative rules do not have binding legal effect unless the courts later declare them to be binding.

answer

FLASE

question

Only experts can submit comments on a proposed administrative rule

answer

FALSE

question

If the meaning of a statute's language is unclear and an agency interprets it, a court must follow the interpretation as long as it is reasonable

answer

TRUE

question

An administrative agency can issue a guidance document to advise the public on the agency's legal and policy position

answer

TRUE

question

Often, an administrative agency enforces it own rules

answer

TRUE

question

If a business firm refuses to comply with an agency's request to inspect facilities or business records, the agency must defer to the refusal

answer

FALSE

question

Administrative agencies can conduct warrantless searches in some situations

answer

TRUE

question

Administrative agencies generally exercise substantial discretion over the type of hearing procedures that they use

answer

TRUE

question

An administrative adjudicatory hearing does not have to meet the constitutional standards of due process

answer

FLASE

question

All federal government agencies must make their records available electronically on the Internet

answer

TRUE

question

The public must be provided with adequate advance notice of scheduled federal administrative agency meetings and agendas

answer

TRUE

question

Federal agencies must consider ways to reduce the economic impact of new regulations on small businesses

answer

TRUE

question

Seafood Restaurant Company pays income and other taxes collected by the Internal Revenue Service (IRS). Like other federal administrative agencies, the IRS was created by

answer

Congress, through enabling legislation

question

Persons who favor the creation of a federal biotech agency to regu¬late the production of genetically altered agricultural products should con¬cen¬trate their lobbying ef¬forts on

answer

Congress

question

The Office of Postsecondary Education, like other federal administra¬tive agencies, is part of the government's

answer

executive branch

question

Congress leaves it to the Bureau of Prisons to oversee the promulgation of detailed regulations in areas under the agency's juris¬diction. This is

answer

the delegation of legislative powers

question

Plastix Produx Company is subject to a decision by the Consumer Product Safety Commission. Opposed to the decision, Plastix Produx wants a court to review it. First, however, the firm must use all of the potential administrative remedies. This is

answer

the exhaustion doctrine

question

Truck Transport Company is subject to a decision by the National Labor Relations Board. Truck Transport appeals the decision, arguing that it is arbitrary and capricious. This could mean that the decision

answer

was plainly contrary to the evidence

question

The Federal Highway Administration uses notice-and-comment rulemaking. This process begins with

answer

the publication of a notice of proposed rulemaking.

question

The U.S. Department of Homeland Security issues a rule. Like the rules of other federal administrative agencies, this rule is compiled in

answer

the Code of Federal Regulations

question

In reviewing the actions of the U.S. Office of Nuclear Energy and other agencies, the courts

answer

are usually reluctant to review questions of fact

question

The Equal Employment Opportunity Commission (EEOC) orders First Financial Company to reveal certain information. First Financial complains to a court, arguing that the order is an abuse of the EEOC's discretion. Like other agencies, the EEOC can use a subpoena to

answer

obtain assurances that the law is not being violated

question

The U.S. Patent and Trademark Office (USPTO) wants to review certain records of Verity Corporation. The USPTO can legitimately gain access to the records through

answer

Verity's consent.

question

Caleb is a witness in a contro¬versy involving the U.S. Drug Enforcement Administration. Caleb can be compelled to appear before an adminis¬trative law judge if he is served with

answer

a subpoena

question

Nursing Home Care Company is charged with violating a rule of the Social Security Administration. Most likely, Nursing Home Care will be required to appear at a hearing presided over by

answer

an administrative law judge

question

The U.S. Mine Safety Administration conducts searches of certain businesses. This agency and other administrative agencies can conduct warrantless searches in

answer

highly regulated industries

question

The Federal Emergency Management Agency (FEMA) discovers that Goodnuff Trailers, Inc., is violating a FEMA regulation. If this situation is resolved like most such disputes, the outcome will be

answer

a negotiated settlement

question

The functions of the Social Security Administration, like those of other adminis¬trative agencies, include

answer

adjudication

question

Labor Recruiters, Inc., has been ordered to appear at a hearing be¬fore an administrative law judge of the National Labor Relations Board. A significant difference between a trial and an administrative hearing is that

answer

hearsay can be introduced as evidence in an administrative hearing

question

Jay seeks information about Kim and other well-known businesspersons under the Freedom of Information Act. To obtain the informa¬tion, Jay must

answer

describe the information

question

A failure of the Federal Bureau of Investigation to comply with a request under the Freedom of Information Act (FOIA) may be challenged in

answer

a federal district court

question

Closed meetings of the Office of Community Planning and Development and other federal administrative agencies are permitted when

answer

all of the choices

question

A misdemeanor is a crime punishable only by a fine

answer

FALSE

question

Thinking about killing someone constitutes the crime of attempted murder

answer

FALSE

question

A wrongful mental state is typically required for criminal liability

answer

TRUE

question

Picking pockets is not robbery

answer

TRUE

question

A person who commits larceny can be sued under tort law

answer

TRUE

question

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

answer

FALSE

question

Changing a trademark is forgery

answer

TRUE

question

A person's intent to return embezzled property is a defense to the crime of embezzlement

answer

FALSE

question

A kickback for a special favor or service is not considered a bribe

answer

FALSE

question

A defendant may be relieved of liability by showing that a criminal act was necessary to prevent an even greater harm

answer

TRUE

question

Ordinarily, "ignorance of the law is an excuse," or a valid defense to criminal liability

answer

FALSE

question

A suspect cannot be tried twice in the same court for the same crime

answer

TRUE

question

The purpose of the exclusionary rule is to encourage criminals to provide exclusive evidence of their crimes

answer

FALSE

question

Any crime that requires knowledge of computer technology for its investigation is a computer crime

answer

TRUE

question

Most cyber crimes are "new" crimes

answer

FALSE

question

It is not identity theft to use a fabricated identity to access financial resources online

answer

FALSE

question

Vishing is phishing that involves voice communication

answer

TRUE

question

A stolen credit card is more likely to hurt a consumer than a merchant

answer

FALSE

question

A hacker is someone who uses one computer to break into another

answer

TRUE

question

A cyberterrorist might target a government agency, but not a business

answer

FALSE

question

Gail is a "payday" lender charged with filing false claims in bankruptcy proceedings against her debtors. The standard of proof to find a defendant who has been charged with a crime guilty is

answer

beyond a reasonable doubt

question

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

answer

imprisonment up to one year

question

Plato works for Quirky Squirters, Inc. During work hours, Plato "steals" his employer's computer time to start up his own business, Rowdy Drenchers. This is

answer

larceny

question

Rock pushes Sylvia to the ground, grabbing her purse as she falls. The use of force or fear is required for this act to constitute

answer

robbery

question

Ivan signs Jeb's name, without his authorization, to the back of a check. This is

answer

forgery.

question

Sven receives an MP3 player stolen from Tomas. To be criminally liable, Sven must know

answer

the player is stolen

question

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

answer

embezzlement

question

Mona offers Ned, a building inspector, money to overlook the violations in her new warehouse. Ned accepts the money and overlooks the viola¬tions. Mona is charged with the crime of bribery. The crime occurred when

answer

Mona offered the bribe

question

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

answer

money laundering

question

Davis points a gun at Eton, threatening to shoot him if he does not steal from his employer, Freddy's Convenience Store, and give the stolen funds to Davis. Charged with theft, Eton can successfully claim, as a defense

answer

duress

question

Vance points a gun at Workman, threatening to shoot him. Workman hits Vance, causing his death. Charged with homicide, Workman can successfully claim as a defense

answer

self-defense

question

Ollie, an employee of Payroll Management Corporation, is arrested at work. A grand jury issues a formal charge against Ollie for larceny. This charge is

answer

an indictment

question

Jean sends e-mail to Irwin promising a percentage of the amount in an African 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

answer

online fraud

question

Harvey puts up a guitar for bids on eWay, a Web auction site. Faith makes the highest bid and sends the payment, which Harvey receives, but he does not send the guitar to her. This is online

answer

auction fraud

question

Posing as Platinum Bank, Oswald e-mails Nadia, asking her to update her personal banking information through a link in the e-mail. She clicks on the link and types in the data, which Oswald promptly sells to Moe. This is

answer

phishing

question

Posing as a representative of Global Games Company, Ferris e-mails Evan, a job seeker, asking him to forward personal banking information so that if he is hired, payroll checks can be deposited directly into his account. Evan supplies the data, which Ferris promptly sells to Dixie. This is

answer

employment fraud

question

Minka uses her computer to secretly install software on hundreds of personal computers without their owners' knowledge. Minka's secretly installed software allows her to forward transmissions from her unauthorized network to even more systems. This network is

answer

a botnet

question

Minka uses her computer to secretly install software on hundreds of personal computers without their owners' knowledge. Minka's software is harmful to the computers on which she installed it. This program is

answer

malware

question

Via the Internet, Rocky sabotages the computer system of Quik Chik'n Company, a food manufacturer, with the purpose of altering the levels of ingredients of the company's products so that consumers of the food become ill. Rocky is

answer

a cyberterrorist

question

Rashad accesses Quant Company's computer system without authority to obtain protected financial data. Under federal law, this is

answer

a felony if it is committed for a commercial purpose

question

Most criminal liability depends on the performance of a prohibited act

answer

TRUE

question

The crime of theft does not require that the perpetrator know whatever is taken belonged to another

answer

FALSE

question

Stealing software is not a crime

answer

FALSE

question

The crime of bribery occurs when the bribe is offered even if it is not accepted

answer

TRUE

question

The only defense to criminal liability that justifies the use of force is self-defense.

answer

FLASE

question

Most crimes must be prosecuted within a certain number of years

answer

TRUE

question

There is at least one circumstance in which a person cannot refuse to testify

answer

TRUE

question

Under the exclusionary rule, all evidence must be included in a criminal prosecution

answer

FALSE

question

Any crime that requires knowledge of computer technology for its perpe-tration is a computer crime

answer

TRUE

question

Any crime committed with a computer is a cyber crime

answer

FALSE

question

Because embezzlement is considered a white-collar crime, it cannot be considered a computer crime

answer

FALSE

question

Fraud has occurred online only by e-mail

answer

FALSE

question

In cyberspace, thieves are as subject to physical limits as they are in the "real" world

answer

FALSE

question

Many Web sites use "cookies" to collect data on those who visit their sites

answer

TRUE

question

Phishing occurs when a criminal poses as a member of the rock group Phish

answer

FLASE

question

Identity theft occurs when a wrongdoer steals another's form of identification

answer

TRUE

question

A business takes a risk by electronically storing its customers' credit ac¬count numbers

answer

TRUE

question

Hackers sometimes rent their "crimeware" as a service

answer

TRUE

question

Jurisdiction can be a key issue in a case involving a cyber crime

answer

TRUE

question

Computer fraud is a state, not a federal, crime.

answer

FALSE

question

Smitty, driving while intoxicated, causes a car accident that results in the death of Tiffany. Smitty is arrested and charged with a felony. A fel¬ony is a crime punishable by death or imprisonment for

answer

more than one year

question

Biff wrongfully takes an unopened carton from a Cold Storage Warehouse loading dock, puts the carton in his car, and drives away. This is

answer

larceny

question

Desi reaches into Edna's pocket and takes her money, without her consent and without her immediate awareness. Unlike robbery, picking pockets does not involve

answer

force or fear

question

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 most likely

answer

forgery

question

Ludwig receives from Milo a marimba stolen from Nadine. To be crimi¬nally liable, Ludwig must know

answer

the marimba is stolen

question

Val, the owner of Wild Wheels, a bicycle store, trusts Xavier to manage the store's daily cash flow. One night, without Val's knowledge or con¬sent, Xavier takes and keeps $500 from the receipts. This is most likely

answer

embezzlement

question

In relation to Edie's solicitation of investors in a nonexistent business, she is charged with "mail fraud." This requires, among other things,

answer

mailing or causing someone else to mail a writing

question

Ilise, an employee of Pyro Displays, Inc., pays Gavin, an employee of Pyro's competi¬tor Fire Worx Company, for a secret Fire Worx pricing schedule. This may be

answer

commercial bribery

question

Page points a knife at Ray's daughter, threatening to hold her hostage and "cut" her unless Ray takes a certain file from Skelter Supplies Corporation, his employer. Charged with theft, Ray can successfully claim as a defense

answer

duress

question

Ethan, the president of Financial Investments, Inc. (FII), and Gina, FII's account¬ant, are charged with a crime, after the police search FII's of¬fices. Under the exclusionary rule

answer

illegally obtained evidence must be excluded from a trial

question

Jesse arrests Imelda on suspicion of embezzlement. According to the United States Supreme Court in Case 9.3, Miranda v. Arizona, Imelda must be apprised of certain of her rights

answer

prior to any questioning

question

Mike is arrested at a warehouse in North Industrial Park. A government prosecutor issues a formal charge against Mike for receiving stolen property. This charge is

answer

an information

question

Swinborn sells "Tyger" steroids over the Internet. He is arrested and charged with the sale of a controlled substance. This is cyber crime, which is

answer

a crime that occurs in the virtual community of the Internet

question

Travis sends Ursula a link to a purported e-birthday card that when clicked on downloads software to her computer to record her keystrokes and send the data to Travis. He uses the data to obtain her personal in¬formation and access her financial resources. This is

answer

identity theft

question

Posing as Sterling Bank, Roxanne e-mails Quentin, asking him to update his personal banking information by calling a certain phone number. He makes the call and supplies the data, which Roxanne promptly sells to Porcio. This is

answer

vishing

question

Omar sends Nell an e-mail ad touting software that will cloak its user in "the anonymity of the Internet." Nell pays Omar for the software, which is never delivered to her. This is online

answer

retail fraud

question

Jared uses his computer to secretly install software on thousands of per¬sonal computers without their owners' knowledge. The program can re¬produce itself and spread from one computer to another via any USB port. This program is

answer

a worm

question

Iggy uses his computer to break into Hye Technology Company's com¬puter. Iggy is

answer

a hacker

question

Patricia commits an act via e-mail against Othman Finance Company, a business in California, where the act is a cyber crime. Patricia resides in New York where the act is not a crime. Prosecution of Patricia in California involves questions of

answer

jurisdiction

question

Boris programs software to prompt a computer to continually crash and reboot. Boris's goal is to install this program on various companies' com¬puter systems without the companies' knowledge. The program can re¬produce itself, but must be attached to a host file to travel from one com¬puter network to another. This program is

answer

a virus

question

The rules of contract law are often followed to avoid potential disputes

answer

TRUE

question

If a contractual promise is not fulfilled, the person who made it is not subject to the sanctions of a court

answer

FALSE

question

The only requirement of a valid contract is that it be voluntarily entered into.

answer

FALSE

question

A unilateral is a promise for an act

answer

TRUE

question

No offer may be revoked before it is accepted

answer

FALSE

question

An agreement is evidenced by a single event: an offer

answer

FALSE

question

A statement of future intent—"I plan to sell my 700-pound sow"—is an offer

answer

FALSE

question

To be effective, an offer must be communicated to the offeree

answer

TRUE

question

An acceptance subject to new conditions implicitly rejects the offer

answer

TRUE

question

Under the mailbox rule, an acceptance takes effect at the time it is sent

answer

TRUE

question

In contract law, "consideration" refers to the courtesy that one party shows another in negotiating a deal

answer

FALSE

question

Parties are not usually free to bargain as they wish

answer

FALSE

question

A contract is void if one of the parties was intoxicated at the time of its formation

answer

FALSE

question

A contract to do something that is prohibited by statutory law is void

answer

TRUE

question

A contract is always enforceable even if one party is aware that the other party made a mistake of fact

answer

FALSE

question

Misrepresentation of a material fact can occur through conduct alone

answer

TRUE

question

Forcing someone to enter into a contract through fear created by threats is duress

answer

TRUE

question

A contract involving property of any kind must be in writing to be enforceable

answer

FALSE

question

As a general rule, contract duties can be delegated.

answer

TRUE

question

An incidental third party beneficiary can sue to enforce the contract

answer

FALSE

question

Phil agrees to work for Vacation Resorts, Inc., as a chef. In determining whether a contract has been formed, an element of prime importance is

answer

the parties' intent

question

On behalf of the jazz group Synco-Passion, their manager Raul agrees to a performance in the Quay Club on May 1. Portia, acting for Quay Club, sends a written copy of the agreement to Raul to be signed. Typically, businesspersons put their contracts in writing to

answer

ensure proof of the contracts' existence

question

When Jeff's car breaks down, he asks Kwik Tow, Inc., to tow it from its location to Lou's Repair Shop. There is no discussion of a price, and Jeff and Kwik do not sign any documents. After the tow, Kwik sends Jeff a bill. With respect to Jeff's obligation to pay the bill, this is

answer

an implied contract

question

Scot enters into a contract with Tiffany that later proves voidable at Tiffany's option. If she elects to avoid the contract

answer

both parties are released from it

question

Yvon asks Zach, "Do you want to buy one of my fishing rods?" This is

answer

not a valid offer because the terms are not definite

question

Grant offers to sell his Honda Civic for $10,000 to Ivy. Referring to the prices for similar Hondas, Ivy says, "I'll pay no more than $5,000." Grant says, "Forget it." Grant's offer was terminated by

answer

Ivy

question

Deepwater Mining Corporation offers to sell East China Refining, Inc., a certain quantity of unrefined oil. If East China sends an acceptance via Deepwater's authorized mode of communication, it will be effective when it is

answer

sent

question

Tomato Farms (TF) offers to sell Unified Grocers, Inc., a boxcar load of tomatoes. The offer is sent via overnight delivery because an acceptance is re¬quired urgently. It would be most reasonable for Unified to accept via

answer

a fax sent to TF as soon as the offer is received.

question

Kelsey promises to pay Jon, her son, $5,000 if he obtains his degree at Ivy University, where he is currently in his second year. Jon graduates. Kelsey is

answer

required to pay, because Jon obtained a degree at Ivy.

question

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

answer

unenforceable because Agro's performance was a preexisting duty.

question

Panini Vittles, Inc., contracts with Qino to deliver its sandwiches. Later, the parties decide to cancel their contract. They can

answer

rescind their contract to the extent that it is executory

question

Jenna, a minor acting on her own, signs a contract to buy a horse and its tack from Field Equine Ranch. Later, after taking possession of the horse and tack, Jenna disaffirms the deal. She

answer

must return both the horse and the tack

question

Jolie signs a contract with Keaton, an unlicensed physician, to perform plastic surgery—a medical procedure. This contract is enforceable by

answer

no one

question

Danton, a popular performer, dies. His spouse Caitlin sells their house to Buck. Un¬known to Caitlin or Buck, in one of the closets is the mas¬ter recording of an unreleased album. With respect to this recording, Buck can

answer

not keep it because there was no voluntary consent to its sale.

question

Sylvia creates a profile for Today's Date, Inc., an online dating service. She exaggerates her appealing features and posts a photo of her friend Uva, whom Sylvia thinks is prettier. Enticed by the profile, Van subscribes to the service so that he can contact Sylvia. Van is most likely a victim of

answer

fraud

question

Maya is a stockbroker. Nora believes that the price of OK Goods, Inc. (OKGI), a widely traded stock, is going to in¬crease sub¬stantially. 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

answer

nothing

question

Lyra induces Moe to enter into a contract for the sale of an apartment about which Lyra fraudulently misrepresents a number of material facts. Lyra tells Moe that her commission is 6 percent, but their signed, written contract states "12 percent." The Statute of Frauds governs

answer

contracts that must be in writing to be enforceable

question

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

answer

an assignment.

question

Grande Properties, Inc., and Investment Capital Corporation enter into a con¬tract for a sale of land. To be enforceable, the contract must be in writing if the land is valued at

answer

any price

question

Vicky contracts with Rashad for the delivery of hospice services to benefit Sigmund. This is

answer

a third party beneficiary contract

question

One of the elements of a valid contract is a fair price

answer

FALSE

question

A party's intent to enter into a contract is judged by their personal, subjective intent or belief

answer

FALSE

question

An executory contract is one that has been fully performed

answer

FALSE

question

A contract is void if its purpose is illegal

answer

TRUE

question

An advertisement is generally considered an invitation to negotiate

answer

TRUE

question

A contract lacking a quantity term, when appropriate, may not be enforceable.

answer

TRUE

question

An offer that a statute makes illegal automatically terminates the offer

answer

TRUE

question

An unequivocal acceptance operates as a rejection of the original offer

answer

FALSE

question

Inadequate consideration may reflect a lack of bargained-for exchange

answer

TRUE

question

To be legally sufficient, consideration must include something of economic value

answer

FALSE

question

An obligation is enforceable only if it is supported by past consideration

answer

FALSE

question

Contractual capacity refers to the size or volume of a contract

answer

FALSE

question

A minor may not contract with an adult

answer

FALSE

question

A covenant not to compete is enforceable only if it is necessary to restrain trade.

answer

FALSE

question

Only a mistake in value will make a contract voidable

answer

FALSE

question

An innocent party can rescind a fraudulent contract

answer

TRUE

question

A contract entered into under undue influence is voidable

answer

TRUE

question

Under the Statute of Frauds, all contracts must be in writ¬ing to be enforceable

answer

FALSE

question

If a contract stipulates that a right cannot be assigned, then ordinarily it cannot be assigned

answer

TRUE

question

An incidental beneficiary is not entitled to enforce the promise of a promisor

answer

TRUE

question

Digital Architecture, Inc., agrees to design robotic software for equipment owned by Chassis Assembly Corporation. Whether or not this agreement meets all of the requirements of a contract, the parties are most likely to follow the rules of contract law because they

answer

want to avoid potential disputes

question

Paco offers to pay Quik Delivery (QD) $50 if it picks up and delivers to him a package from his accountant Rupert within 30 minutes. QD can ac¬cept the offer only by meeting the deadline. If QD performs as directed, these parties will have

answer

a unilateral contract

question

Build-Rite Contractors, Inc., asks Cool Electric, a subcontractor, to provide certain services. Nothing is said about payment. Cool provides the services and submits an invoice, which Build-Rite refuses to pay. In Cool's suit to recover, the chief issue is most likely to be whether these parties had

answer

an implied contract

question

Debit & Credit Accounting Services and Brickwork Construction Company negotiate a contract. If it has all of the elements necessary for one of the parties to enforce it in court, it is

answer

a valid contract

question

John says to Kris, "I would like to sell you my sports memorabilia collec¬tion." This is not an offer because it

answer

only invites Kris to negotiate

question

Brick Products, Inc., files a suit against City Trucking Service for breach of contract, based on what Brick claims was City's offer. For a court to de-termine if a contract has been breached, under the common law, the offer must include terms that are

answer

reasonably definite. c. unequivocally approximate

question

New Cell Phone Company offers to buy a laser printer, with a case of paper and an extra car¬tridge, from Office Products, Inc. (OPI), for $200. Paul, OPI's representative, says, "Okay, but no paper and no extra car¬tridge." Paul has

answer

rejected the offer and made a counteroffer

question

Eve tells Finlay that she will pay him $50 if he unloads her truck. Finlay's acceptance is complete

answer

only after Finlay unloads the truck.

question

Quality Aluminum Corporation files a suit against Rite Tool Company, claiming that the consideration for their contract is inadequate. The court will most likely not examine the adequacy of the considera¬tion if

answer

something of value passed between the parties

question

Rollo promises to perform, for a price, shoe repair services in affiliation with Togs 'n Things, a clothing store. To support a contract, the consid¬eration ex-changed by the parties must be

answer

legally sufficient

question

Chip's Chips Company agrees to supply Delicioso Café with all the corn chips that it re¬quires for a year. A sudden demand for ethanol results in a shortage of corn, and the price rises sharply. Chip's asks Delicioso to pay a higher price for the chips. This request is

answer

valid due to the unforeseen difficulty of the sudden price increase.

question

Koko signs a covenant not to compete as part of a sale of her ongoing medical equipment business to Laurel Valley Medico, Inc., in exchange for a bonus payment. The covenant is most likely enforceable by

answer

both parties

question

U-Can-Own-It Corporation sells appliances to less educated consumers, including Viv, on installment plans. U-Can-Own-It files a suit against Viv when she stops making payments. Viv claims that the deal is unconscionable. The court will most likely consider

answer

the parties' relative bargaining power

question

Urban City and Thru-way Construction Company enter into a contract that includes calculations. Urban, whose engineer, Sergei, compiled the figures, discovers later that some numbers were added incorrectly, but Thru-way refuses to make changes. Urban can

answer

rescind the contract on the basis of mistake

question

Genie.com initiates an online dating service. To attract subscribers and encourage participation, Genie.com creates and posts profiles of fictitious persons and exaggerated profiles of actual users. Fooled by the false profiles, Ham buys a subscription. He is most likely a victim of

answer

fraud

question

Dora, an accountant, uses undue influence to induce her client Emily to invest in Fine Gems, Ltd., a business with little potential. When Emily learns the truth, she can

answer

enforce the contract or rescind it.

question

Fresh Air Filter & Purification Company and Big Box Commercial Storage Company enter into a contract. To be enforceable, the contract must be in writ¬ing if it involves

answer

an interest in land

question

Eustace and Durango Oil Company enter into an oral contract under which Eustace agrees to work on a Durango rig for not less than eighteen months. This contract is enforce¬able by

answer

none of the choices

question

A contract between Drill-Bit Sharpeners, Inc., and East Oil Mining Corporation contains a clause stating that any assignment is "void." This ordinarily prohibits

answer

any assignment.

question

George promises to repair Francesca's boat dock in exchange for Efrem's promise to plant trees on George's property. This is

answer

a third party beneficiary contract

question

A duty to perform under a contract is never absolute

answer

FALSE

question

In most contracts, promises of performance are not expressly conditioned

answer

TRUE

question

Most contracts are discharged by rescission

answer

FALSE

question

A party who substantially performs his or her duties under a con¬tract can enforce the contract against the other party

answer

TRUE

question

Most contracts need to be performed to per¬sonally satisfy the party to whom per¬formance is owed

answer

FALSE

question

Any breach excuses the nonbreaching party's duty to perform.

answer

FALSE

question

If no time for performance is stated in a contract, any time is acceptable

answer

FALSE

question

Anticipatory repudiation discharges a contract

answer

FALSE

question

When a contract party alters a written contract, the other party must adapt his or her performance accordingly

answer

FALSE

question

A contract will be discharged if foreseeable circumstances make it impossible to attain the contract's purpose

answer

FALSE

question

A breach of contract entitled the nonbreaching party to sue for monetary damages

answer

TRUE

question

Damages are designed to punish a breaching party and deter others from similar conduct

answer

FALSE

question

Most parties settle their lawsuits for damages or other remedies prior to trial

answer

TRUE

question

Compensatory damages are foreseeable damages that arise from a party's breach of a contract

answer

FALSE

question

Special damages are awarded for damage caused by special circumstances beyond a contract

answer

TRUE

question

The duty owed under the mitigation of damages doctrine depends on the nature of the contract

answer

TRUE

question

Specific performance is the remedy customarily used when one party has breached a contract for the sale of goods

answer

FALSE

question

The purpose of the doctrine of election of remedies is to permit a double recovery

answer

FALSE

question

A contract may include a clause stating that no damages can be recovered for a certain type of breach

answer

TRUE

question

A party who knowingly accepts defective performance of a contract waives the breach

answer

TRUE

question

Lark enters into a contract to mine limestone in Milena's quarry, sell it, and share the profits on its sale with Milena. If the duties under this contract are discharged like those under most contracts, the duties will be

answer

performed

question

Lake Port Services enters into a contract to load Max's Great Lakes barges with the cargo that Max designates. Lake Port's offer to perform, when Lake Port is ready, willing, able to do so, is

answer

tender

question

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 dif¬ferent brand of discounted paint. This is most likely

answer

substantial performance

question

Safe-T Guard Services enters into a contract to secure Taylor's Business Park from vandalism and theft between 6 P.M. and 6 A.M. nightly for six months. At the end of the term, if there has been no vandalism or theft in the Park, Safe-T's performance will have been

answer

complete

question

Mutual Company enters into a contract to employ Neil as an investment manager for two years. During the first year, Neil is often absent without explanation and when present fails to adequately monitor and manage Mutual's investments. Neil's performance is most likely

answer

a material breach

question

Mutual Company enters into a contract to employ Neil as an investment manager for two years. During the first year, Neil is often absent without explanation and when present fails to adequately monitor and manage Mutual's investments. With respect to Mutual's duties, Neil's performance most likely

answer

discharges Mutual from the contract

question

Jane and Kelly want Lucy to replace Kelly as a party to their con¬tract. They can best accomplish this by

answer

a novation

question

Clyde contracts with Deephole Excavation, Inc., to dig an agricultural pond on his farm. Deephole is to keep the excavated gravel in payment. Clyde's neighbor Eden challenges the dig as an illegal gravel pit. A court orders a halt to the dig. Clyde's contract with Deephole is

answer

discharged

question

Development Associates (DA) agrees to buy five acres of land from Eastside Properties for $15,000. Eastside fails to go through with the deal on the agreed date, when the market price of the land is $17,000. DA may recover

answer

$2,000

question

Dondi contracts to buy a custom espresso maker from Caffee Specialties, Inc., for $4,500, but Caffee fails to deliver. Dondi buys the appliance else¬where for $5,500. Dondi's measure of damages is

answer

$1,000 plus incidental damages

question

Damon contracts to repair the turf on a soccer field for Carousel Sports Park. Damon knows that without the repair, Carousel will have to cancel an upcoming game. Damon does not perform as promised. As consequential damages, Carousel can recover

answer

the loss of profit from the canceled game

question

SFX Paintball Games, Inc., and Truck & Trailer Delivery Corporation sign an agree¬ment that provides for the payment of "$1,000 by whichever party commits a material breach of the contract that creates damages difficult to esti¬mate but approximately $1,000." This is

answer

a liquidated damages clause

question

Ray breaches his lease with Sunny Properties and vacates the premises six months before the end of the term. In some states, Sunny would have to

answer

make reasonable efforts to relet the premises to mitigate damages

question

Rural Power Utility, Inc., enters into a contract with Shovel Excavation Service to dig up, replace, and rebury Rural's cables in a certain location. Rural advances Shovel 10 percent of its cost. The parties rescind the contract. Shovel's refund of the payment is

answer

restitution

question

Ira orally agrees to buy a unique collection of sports memorabilia for $1,000 from Janet and sends her $250 as a down payment. When Ira sends her the rest of the price, Janet refuses to ship Ira the collection. Ira should seek

answer

specific performance

question

Lester and Myrtle want to rescind their contract under which Lester sold an MP3 player for $40. To rescind the contract

answer

Lester must return the $40 and Myrtle must return the player

question

Grady enters into a contract to buy 440 acres from Hollis to expand Grady's ranch. If Hollis breaches the contract, Grady's normal remedy would be

answer

specific performance

question

Refined Commodities, Inc., agrees to deliver ten tons of sheet metal to Select Builders Corporation. The agreement states that delivery is to be within "3" days, although the parties intend "30" days. Refined cannot convince Select to amend the contract. Refined should seek

answer

reformation

question

Vacation Vistas, Inc., agrees to sell certain acreage to Umiko, who intends to develop a destination resort. Vacation Vistas repudiates the deal. Umiko sues Vacation Vistas and recovers dam¬ages. She can now obtain

answer

nothing more

question

Clear Creek Corporation enters into a contract with Brightside Management Associates to manage and maintain Clear Creek's apartment complex. Their contract provides that neither party can recover damages for a non-fraudulent or unintentional breach. This is

answer

a limitation-of-liability clause

question

The most common way to discharge a contract is by breach

answer

FALSE

question

In most contracts, promises of performance are expressly qualified.

answer

FALSE

question

A buyer's duty to pay becomes absolute once a contract is formed

answer

FALSE

question

Performance can be accomplished by tender

answer

TRUE

question

Complete performance occurs when conditions in a contract are fully satisfied

answer

TRUE

question

Anything less than complete performance is a material breach of contract

answer

FLASE

question

Anticipatory repudiation is a material breach of a contract

answer

TRUE

question

A contractual obligation may not be discharged through novation

answer

FALSE

question

Performance of an accord discharges an original contractual obligation

answer

TRUE

question

A contract is discharged when its specific subject matter is destroyed

answer

TRUE

question

If a party breaches a contract, the other party can choose one or more of several remedies

answer

TRUE

question

The measurement of compensatory damages for breach of contract is the same for all types of contracts

answer

FALSE

question

Punitive damages are almost never available in contract disputes

answer

TRUE

question

Nominal damages normally establish that the defendant acted wrongly

answer

TRUE

question

Consequential damages are foreseeable damages that arise from a party's breach of a contract

answer

TRUE

question

Liquidated damages provisions are usually not enforceable

answer

FALSE

question

Rescission advances the contracting parties to the position they would have been in if the contract had been fully executed

answer

FALSE

question

Reformation allows a court to rewrite a contract to reflect the parties' true intentions

answer

TRUE

question

A party who knowingly accepts defective performance of a contract thereby acknowledges the breach and can take later action on it

answer

FALSE

question

Whether a contract's limitation-of-liability clause will be enforced depends on the type of breach that the clause excuses

answer

TRUE

question

Dylan enters into a contract to manage the operations of Cash's accounting office for one year, renewable for subsequent one-year terms. If this contract is discharged like most contracts, it will be

answer

performed

question

Juana contracts to sell Ignacio her MP3 player for $30. This contract will be fully discharged when Juana and Ignacio

answer

exchange the player for the $30

question

Candace enters into a contract to pay Parker for a business survey and review of Candace's competitors, which Parker delivers on June 1. Candace's offer, on the same date, to pay Parker is

answer

tender

question

Red's Plumbing Service substantially performs its contract with Shady Grove Condominiums, Inc. Shady Grove is entitled to

answer

damages

question

Building Restoration, Inc. (BRI), enters into a contract to refurbish an old train depot for Casual Dining, Inc., to open as Eat Up Restaurant. If BRI completes most of the work promised in the contract, its performance will be

answer

substantial

question

Bell Medical Education Service enters into a contract to employ Chris as an instructor for two years to begin May 1. One month before the term begins, Bell is underbid by a competitor and loses a major client, Delta Hospital Center. Bell now refuses to hire Chris. Under the circumstances, with respect to damages, Chris can

answer

bring an action immediately

question

Bell Medical Education Service enters into a contract to employ Chris as an instructor for two years to begin May 1. One month before the term begins, Bell is underbid by a competitor and loses a major client, Delta Hospital Center. Bell now refuses to hire Chris. Bell's repudiation is most likely

answer

a material breach

question

Straitedge Toolmakers, Inc., contracts to sell its assets to Trulevel Hardware Corpo¬ration. Before either party has performed, rescission of this con¬tract requires

answer

a mutual agreement to rescind

question

3D FX, LLC, and Vivid Star CG, Inc., are parties to a contract. They subse-quently agree that Pixellated Inc. should take 3D's place and assume all of its rights and duties under the contract. This is

answer

a novation

question

On April 1, KO Contractors, Inc., contracts to build a store for Lo-Cost Housewares at a specific location in Metro City. On May 1, Metro changes its zoning law to prohibit the construction of a commercial building at that location. Lo-Cost files a suit against KO. In this situation

answer

the contract is discharged

question

Handy Hardware Store agrees to hire Ilsa for one year at a salary of $500 per week. When Handy cancels the contract, Ilsa spends $100 to obtain a similar job that pays $450 per week for a year. Ilsa is entitled to recover

answer

the difference between the wages at the two jobs plus $100

question

GroundSwell Pools, Inc., agrees to build a swimming pool for Francis, but fails to complete the job. Francis hires EquiAqua, Inc., to finish the project. Francis may recover from GroundSwell

answer

the costs needed to complete construction

question

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

answer

$10,000

question

Erte holds 1,000 pounds of perishable fruit in storage for Fresh Stuff Corpo-ration. Fresh Stuff does not pay for the storage. Erte sells the fruit to Green Grocers, Inc. This sale represents

answer

a mitigation of damages

question

Rig Heli-Pads, Inc., enters into a contract to employ Scott as an on-site project manager for two years. If Rig breaches the contract, Scott has a duty to

answer

reduce the damages that Scott might otherwise suffer

question

Drew contracts to sell a house to Evan. The contract pro¬vides that if Drew does not close the deal by February 10, he must pay Evan one-half of the contract price. This provision is not enforceable be¬cause it is

answer

a penalty clause

question

Ralph contracts to sell his Double-R Ranch to Samantha on May 1. On April 20, Ralph tells Samantha that he will not go through with the deal. Samantha can recover

answer

the Double-R Ranch

question

Tristan hires Stefani to perform at Tristan's Club, but she breaches the agreement to accept a higher-paying job at Rock Star Arena. Tristan files a suit against her. The court will most likely

answer

award damages to Tristan

question

A contract for a sale of land from Evergreen Properties, Inc., to Longlife Investment Corporation contains an erroneous legal description. The most appropriate remedy for these parties is

answer

reformation

question

A contract between E-Debits, Inc., and First Credit Corporation includes a provision excluding liability as a result of fraud. This provision is

answer

not enforceable

question

The purpose of tort law is to provide remedies when legally protected interests have been invaded

answer

TRUE

question

Tortfeasor is the term for a person who commits a tort

answer

TRUE

question

Self-defense is a defense to a charge of assault

answer

TRUE

question

An act that causes indignity is sufficient to recover for the infliction of emotional distress

answer

FALSE

question

An individual's right to privacy includes the exclusive use of his or her likeness

answer

TRUE

question

An unauthorized scan of a bank account can be an invasion of privacy

answer

TRUE

question

Bona fide competitive behavior can constitute wrongful interference with a contractual relationship

answer

FALSE

question

An artisan's lien is a defense to a charge of trespass to personal property

answer

TRUE

question

Disparagement of property is another term for appropriation

answer

FALSE

question

Under the theory of negligence, the duty of care requires an intentional act

answer

FALSE

question

An ordinary person standard determines whether allegedly negligent conduct resulted in a breach of a duty of care

answer

FALSE

question

The degree of care to be exercised in a situation can vary with a person's profession or occupation

answer

TRUE

question

Causation in fact can be determined by use of the but-for test

answer

TRUE

question

Proximate cause exists when injuries sustained were too remotely connected to an incident to trigger liability

answer

FALSE

question

A person assumes all risks associated with any activity in which he or she participates

answer

FALSE

question

A defense available in an action based on a negligence theory is that the plaintiff failed to prove one or more of the required elements

answer

TRUE

question

A superseding cause is an intervening event that imposes liability on a defendant for injuries caused by the intervening event

answer

FALSE

question

The doctrine of res ipsa loquitur applies if an event causing harm does not normally occur in the absence of negligence

answer

TRUE

question

Under the "danger invites rescue" doctrine, a person who tries to rescue another individual from harm is liable for any injuries to the individual

answer

FALSE

question

An Internet service provider is generally not liable for publishing a defamatory statement that comes from a third party.

answer

TRUE

question

At Parkside Bistro, Ogden believes that he was overcharged and shoves Nellie, the waiter. Nellie sues Ogden, alleging that the shove was a battery. Ogden is liable

answer

if the shove was offensive

question

Jaqy distributes a handbill among her neighbors accusing one of them—Ked—of being a convicted sex offender. The statement is defamatory only if

answer

the statement is false

question

From a computer in a distant location, Sergio searches Tia's personal computer without her permission. Sergio is most likely liable for

answer

invasion of privacy

question

Great Tans, Inc., uses, in its radio ads, a recording by Holly, who owns the rights, without paying for the use. Over time, the song comes to be asso¬ci¬ated with Great Tans. In Holly's suit against Great Tans, the firm is most likely liable for

answer

appropriation

question

Clem, a Delite Dairy salesperson, follows Edna, a salesperson for Festive Foods, a Delite competitor, as Edna visits stores to make sales. Clem solicits each of Edna's customers. Clem is most likely liable for

answer

wrongful interference with a business relationship

question

Joy invites Ken into her apartment. Ken commits trespass to land if he

answer

refuses to leave when Joy asks him to go

question

Ian steals a business law textbook from Jules. Kris, who does not know that the book is stolen, buys it from Ian. Kris has committed

answer

conversion

question

Amber shops in a Breezy Bargains store, whose employee Connor recently mopped the floor. Amber slips, falls, and suffers an injury. Breezy is liable to Amber on a negligence theory if there was a "Wet Floor" warning sign and

answer

Connor did not place the sign near the wet floor

question

John sees that Kris is about to step into the path of an oncoming bus. If John does not warn Kris of the danger, John is liable

answer

under no circumstances

question

Leon files a suit against Moira, a medical doctor, alleging negligence. As a physician, Moira is held to the standard of

answer

a reasonable physician

question

Nick sees Opal, a stranger, in peril, but does not attempt to rescue her. Opal could successfully sue Nick for

answer

nothing

question

Driving his sport utility vehicle negligently, Bart crashes into a streetlight. The streetlight falls, smashing through the roof of a house, killing Chris. But for Bart's negligence, Chris would not have died. Regarding the death, the crash is the

answer

cause in fact

question

Nadine is a spectator at the Metro City Softball Tournament, an athletic competition. Regarding the risk of injury, Nadine assumes the risks

answer

normally associated with the tournament

question

Kay carelessly bumps into Lyle, knocking him to the ground. Kay has committed the tort of negligence

answer

only if Lyle is injured

question

Clyde enters Desert Decathlon, an athletic competition in which Clyde has often competed. Regarding the risk of injury, Clyde assumes the risks

answer

normally associated with the Decathlon

question

An Illinois state statute requires commercial vehicle drivers to "fully attend to the operation of the vehicle." Jerry, a driver for Crosstown Taxi Company, is driving and talking on his cell phone when his cab collides with Kayla's car, injuring her. Kayla's best theory for recovery against Jerry and Crosstown is

answer

negligence per se

question

An anonymous person posts online a defamatory message about Dewitt. Not knowing the poster's identity, Dewitt files a suit against "John Doe." Using the authority of the court, Dewitt can obtain from the poster's Internet service provider

answer

the identity of the poster

question

In an emergency situation, Milena, an emergency medical technician, renders aid to Lothar, who needs help. Lothar would most likely be prohibited from suing Milena for negligence under

answer

a Good Samaritan statute

question

Oakley posts a defamatory remark about Pierre in "Roominate," an online social network maintained by SocNet, Inc., an Internet service provider. Most likely to be held liable for the remark is

answer

Oakley

question

From a location in Asia, Basil sends spam to U.S. e-mail addresses touting a variety of deceptive scams in an attempt to dupe unwitting recipients into revealing their bank account and credit card numbers. Under the U.S. Safe Web Act, the Federal Trade Commission can

answer

share information with foreign agencies to investigate and prosecute

question

The purpose of tort law is to punish criminal wrongdoers

answer

FALSE

question

Perpetrator is the term for a person who commits a tort

answer

FALSE

question

Defense of others is a defense to an allegation of battery

answer

TRUE

question

False imprisonment is a legal term for "privilege to detain."

answer

FALSE

question

Repeated annoyances coupled with threats are sufficient to recover for the infliction of emotional distress

answer

TRUE

question

A person may not be liable for a defamatory statement if he or she enjoys a privilege

answer

TRUE

question

The use of a person's likeness for commercial purposes without permis¬sion is not an invasion of privacy

answer

FALSE

question

Malicious prosecution can occur if a party initiates a lawsuit out of malice

answer

TRUE

question

Competitive behavior is wrongful interference if it results in the break¬ing of a contract

answer

FALSE

question

If it can be shown that a trespass to personal property was warranted, a complete defense exists

answer

TRUE

question

A failure to return personal property may be conversion even if the rightful owner consented to the initial taking

answer

TRUE

question

Under the theory of negligence, a breach of the duty of care requires a careless act

answer

FALSE

question

A business that invites persons to come onto its premises is charged with a duty to exercise reasonable care to protect those invitees

answer

TRUE

question

Some risks are obvious but, with respect to the duty of care required to establish negligence, a warning is always necessary

answer

FALSE

question

Causation in fact exists if an injury would not have occurred without the defendant's act

answer

TRUE

question

The law establishes limits to liability for negligence through the concept of proximate cause

answer

TRUE

question

Assumption of risk can be raised as a defense in a negligence suit

answer

TRUE

question

Only a foreseeable intervening event can break the connection between a wrongful act and an injury to another

answer

FALSE

question

In many states, the plaintiff's negligence is a defense that may be raised in a negligence suit

answer

TRUE

question

Negligence per se may occur on the violation of a statute

answer

TRUE

question

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

answer

a public figure

question

Teresa is a celebrity. Without her permission, Sinclair Enterprises in¬cludes in an ad an image that resembles her. Sinclair does not use Teresa's name or actual likeness. This is most likely

answer

appropriation

question

Nesbit publishes in a newspaper an account of the sex life of Merinda, who is not a public figure. The information is true. This is most likely

answer

an invasion of privacy

question

Field Trenchers Inc. initiates a lawsuit against its competitor Master Excavators Inc. out of malice and without probable cause. Master suffers a loss of profits due to the litigation, but Field loses the suit. Field is most likely liable for

answer

malicious prosecution

question

Obie accuses Portia, a broker with QT Financial Services, of fraudulently in-ducing him to invest in Riske Development Company, whose stock price de-clines in value. The reliance that gives rise to liability for fraud requires

answer

misrepresentation of a fact knowing that it is false

question

Bargain Bytes Computers, a computer store, takes unethical steps to divert the customers of Cyber World, an adjacent competing store. Bargain Bytes may be liable for

answer

wrongful interference with a business relationship

question

Superior Health Club's mar¬keting strate¬gies entice many of Tone-Up Exercise Club's members to change clubs. After less than a year in business, Superior surpasses Tone-Up in numbers of members. Superior is liable for

answer

no tort

question

Oak Valley Mall contains two video game stores, Pirates Pick and Game Quest. Pirates's manager Ryan stands in the mall near Game Quest's en-trance to divert customers to his store. Game Quest's manager Sara asks Ryan to leave. He refuses. Ryan has committed

answer

wrongful interference with a business relationship

question

Federico enters Gunther's property to read an electric meter. Gunther charges Federico with trespass to land. Federico has

answer

a complete defense

question

Hilliard, a clerk at a Games Unlimited store, takes a video game player from the store without permission. Hilliard is liable for

answer

conversion

question

Levon leaves his truck at MakeRight Vehicle Shop for repair. When Levon re¬fuses to pay for the work, MakeRight refuses to give him possession of the truck. MakeRight has committed

answer

trespass to personal property

question

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

answer

a reasonable person

question

Pier shops in a Rowdy Ranch & Farm Store store. Enticed by a display, Pier takes an item to examine it and, when she is done, places it on the floor. Tanner, a consumer enticed by the same display, does not see the item on the floor, trips over it, falls, and suffers an injury. With respect to the danger, Rowdy had

answer

a duty to discover and remove the hazard

question

Joe sees Karo floundering in Lake Rough Waters. Joe is liable on the ground of negligence

answer

under no circumstances

question

Dirk is driving a sport utility vehicle in which Elin is a passenger when they are involved in a traffic accident, and Elin is injured. Liability may be imposed on Dirk for Elin's injury if Dirk's driving is

answer

the causation in fact and the proximate cause of the injury

question

Molly shoots Norm with Opal's pistol. The proximate cause of Norm be¬ing shot is most likely attributable to

answer

Molly only

question

Leo slips and falls in Mornin' Breakfast Café and is injured. Leo files a suit against Mornin' for $50,000. If Leo is 20 percent at fault and Mornin' is 80 percent, under a contributory negligence doctrine, Leo would recover

answer

$0

question

Taylor slips and falls in Urban Mall and is injured. She files a suit against the mall for $500,000. Under a "pure" comparative negligence rule, Taylor could recover damages

answer

under any circumstances

question

A Rhode Island state statute imposes fines on tire repair businesses whose pneumatic equipment does not include automatic shut-off switches to protect employees. Bob's Brakes & Tires, Inc., does not have the switches on its equipment. Carter, a Bob's employee, suffers an injury that a shut-off switch would have prevented. Carter's best theory for recovery is

answer

negligence per se

question

Drake pushes Evon into the path of an oncoming car driven by Flip. Gina tries to rescue Evon, but the car hits both of them. Drake is liable for the injuries of

answer

Evon and Gina

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