Question 1

The major difference between international law and national law is that government authorities can enforce national law.

Accepted Answer

True

Question 2

An international custom can be defined as \"evidence of a general practice accepted as law.\"

Accepted Answer

True

Question 3

The International Court of Justice normally has authority to settle legal disputes only when nations voluntarily submit to its jurisdiction.

Accepted Answer

True

Question 4

International law requires nations to honor the actions of other nations.

Accepted Answer

False

Question 5

The principle of comity basically refers to legal reciprocity.

Accepted Answer

True

Question 6

The act of state doctrine provides that the judicial branch of one country will examine the validity of public acts committed by a recognized foreign government within the latter\'s own territory.

Accepted Answer

False

Question 7

The doctrine of sovereign immunity provides that only a head of state can make treaties with another nation.

Accepted Answer

False

Question 8

Expropriation occurs when a government seizes a privately owned business or privately owned goods for a proper public purpose and awards just compensation.

Accepted Answer

True

Question 9

The Foreign Sovereign Immunities Act broadly defines commercial activity

Accepted Answer

True

Question 10

A foreign state is immune from the jurisdiction of U.S. courts unless the state is involved in commercial activity within the United States.

Accepted Answer

False

Question 11

Franchising is a form of licensing.

Accepted Answer

true

Question 12

Some countries provide insurance for their citizens\' investments abroad.

Accepted Answer

True

Question 13

Few countries guarantee compensation to foreign investors if their property is taken.

Accepted Answer

False

Question 14

To restrict or encourage exports, Congress can set quotas on various items, such as grain being sold abroad.

Accepted Answer

True

Question 15

The importation of goods that infringe U.S. patents is not prohibited.

Accepted Answer

False

Question 16

Dumping is the exporting of environmentally polluting goods to a foreign market.

Accepted Answer

False

Question 17

Each member of the World Trade Organization is obligated to treat other members at least as well as it treats the country that receives its most favorable treatment with regard to imports or exports.

Accepted Answer

True

Question 18

International contracts rarely include arbitration clauses.

Accepted Answer

False

Question 19

Foreign citizens can bring civil suits in U.S. courts for injuries caused by violations of the law of nations or a treaty of the United States.

Accepted Answer

True

Question 20

Generally, U.S. employers abroad must abide by U.S. discrimination laws unless to do so would violate the laws of the country where their workplaces are located.

Accepted Answer

True

Question 21

The government of North Korea violates an international law. Persuasive tactics to remedy the situation fail. The only recourse of other nations is to

Accepted Answer

take coercive action--server relations, impose boycotts, go to war

Question 22

Yokio, Ltd., and Zeno, S.A., transact an international sale of goods. At the request of these parties, a court in Portugal resolves a dispute between them. A U.S. court will most likely honor the judgment

Accepted Answer

if it is consistent with U.S. laws and public policy

Question 23

Michael, a citizen of Ireland, and Nina, a citizen of the United States, enter into a contract. When Nina breaches the contract, Michael obtains an award of damages in an Irish court. He asks a U.S. court to enforce the award. The U.S. court defers to and enforces the Irish court\'s decree. This is

Accepted Answer

the principle of comity

Question 24

The basis for India to give effect to the laws and court decisions of the United States is primarily

Accepted Answer

courtesy and respect

Question 25

Global Marketing, Inc., a U.S. firm, owns property in Honduras. The government in Honduras takes Global Marketing\'s property without paying for it. A U.S. court will probably not examine the validity of this act committed by Honduras within its own territory, under

Accepted Answer

the act of state doctrine

Question 26

Mountain Mining Company, a U.S. firm, owns property in Bolivia. The government of Bolivia seizes the property for an illegal purpose without paying just compensation. This is

Accepted Answer

confiscation

Question 27

Reality Financial Corporation, a U.S. firm, files a suit against Switzerland in a U.S. court. Switzerland claims foreign sovereign immunity. Under the Foreign Sovereign Immunities Act

Accepted Answer

Reality Financial must show that Switzerland is not entitled to sovereign immunity

Question 28

Dynamic Oil Corporation, a U.S. firm, owns property in Ecuador. When the government of Ecuador seizes the property, Dynamic Oil asks a U.S. court to order the property\'s return. The court rules that Ecuador is exempt from the court\'s jurisdiction. This is

Accepted Answer

the doctrine of sovereign immunity

Question 29

Optima Medico Corporation, a U.S. firm, signs a contract with Pharma Beneficial, Ltd., a Canadian firm, to give Pharma the right to sell Optima\'s products in Canada. This is

Accepted Answer

a distribution agreement

Question 30

Secure Investments, Inc., a U.S. firm, expands into international markets through a joint venture. In this situation, Secure Investments owns

Accepted Answer

part of the operation

Question 31

UniVision Corporation, a U.S. company, sets up a firm in Vietnam. UniVision remains in the United States and retains ownership of the Vietnamese branch, as well as authority and control over all phases of the operation. This is

Accepted Answer

a wholly owned subsidiary

Question 32

Big Deal! Marketing Company, a U.S. firm, signs a contract with Comercio Exterior, Ltd., a Chilean firm, to give Comercio the right to use Big Deal!\'s animation techniques and characters in product promotions. This is

Accepted Answer

licensing

Question 33

Fresh Meds, Inc., a U.S. firm, contracts with Gong, Ltd., a Hong Kong firm, allowing Gong to use and profit from Fresh Meds\' patented products. This is

Accepted Answer

licensing

Question 34

Congresswoman Smith and other politicians want to prohibit the import of certain genetically modified agricultural products that they believe may pose a danger to domestic crops. With respect to these products\' import, Congress can

Accepted Answer

prohibit the imports

Question 35

The government of Korea sets a limit on the amount of rice that can be imported from the United States. This is

Accepted Answer

a quota

Question 36

Mont Blanc S.A., a French firm, imports its goods into the United States and offers those goods for sale at \"less than fair value.\" \"Fair value\" is the price of Mont Blanc\'s goods in

Accepted Answer

France

Question 37

Omega, Ltd., imports athletic shoes made in Southeast Asia into the United States. To obtain a larger share of the U.S. market, Omega sells the athletic shoes at lower prices here than in its exporting countries. With respect to these imports, the United States may

Accepted Answer

assess antidumping duties

Question 38

The United States and other members of a certain organization agree to grant normal trade relations (NTR) status to each other with regard to imports and exports. This organization is

Accepted Answer

the World Trade Organization

Question 39

Suisse Internationale, a Swiss maker of athletic equipment, enters into a price fixing agreement with Total World Sports, a U.S. wholesaler of Suisse\'s products. U.S. courts will apply U.S. antitrust laws if

Accepted Answer

the price fixing has a substantial effect on U.S. commerce

Question 40

Miranda is a U.S. citizen working in Europe for Tourist Vacations, Inc., a U.S. travel agency. Tourist fires Miranda for reasons that she believes violate U.S. antidiscrimination laws. Those laws apply

Accepted Answer

extraterritorially

Question 41

The checks that you wrote are negotiable instruments that act as substitutes for cash.

Accepted Answer

True

Question 42

All checks are time instruments.

Accepted Answer

False

Question 43

A sight draft may be payable on acceptance.

Accepted Answer

True

Question 44

On a cashiers check, the drawer is also always the payee

Accepted Answer

False

Question 45

On a certificate of deposit, the bank is the maker and the depositor is the payee

Accepted Answer

True

Question 46

To be negotiable, an instrument must be in writing

Accepted Answer

True

Question 47

An instrument is nonnegotiable unless the word \"negotiable\" is printed on it

Accepted Answer

False

Question 48

To be negotiable, an instrument cannot be portable

Accepted Answer

False

Question 49

A symbol can serve as a valid signature

Accepted Answer

True

Question 50

A signature on a negotiable instrument cannot be made by a device, such as a rubber stamp or thumbprint

Accepted Answer

False

Question 51

With respect to negotiability, the location of a signature on a document is important

Accepted Answer

False

Question 52

With respect to negotiability, a mere reference to another writing or record makes a promise conditional

Accepted Answer

False

Question 53

With respect to negotiability, an order on an instrument may be addressed to one person or to more than one person, either jointly or alternatively.

Accepted Answer

True

Question 54

To be negotiable, an instrument must be payable in money.

Accepted Answer

True

Question 55

An instrument that promises to pay \"in goods\" can be negotiable.

Accepted Answer

False

Question 56

To be negotiable, an instrument must be payable on demand.

Accepted Answer

False

Question 57

An extension clause allows a payee or other holder of a time instrument to demand payment of the entire amount due, with interest, if a certain event occurs.

Accepted Answer

False

Question 58

A holder is any person in possession of a negotiable instrument that is payable either to the bearer or to an identified person who is the person in possession.

Accepted Answer

True

Question 59

An order instrument must identify the payee with certainty

Accepted Answer

True

Question 60

A instrument \"payable to the order of bearer\" is neither an order instrument nor a bearer instrument.

Accepted Answer

False

Question 61

On April 1 Richard arranges to buy a sixteen-speed bike from his neighbor Phil for $500. Phil agrees to deliver the bike on May 1. Richard writes a draft for $500 payable to Phil on May 1. In this situation, the draft is

Accepted Answer

a time draft

Question 62

InterComp normally sells $50,000 worth of software to Power Source, a retail electronics store, each summer on terms requiring payment in sixty days. One year, InterComp wants cash, but Power Source wants the usual sixty days. To meet both needs, the parties can arrange

Accepted Answer

a trade acceptance

Question 63

To obtain a business license, Bess writes a check to a certain state agency. Bess is

Accepted Answer

the drawer

Question 64

Sarah has a checking account at Secure Bank. Sarah buys her roommate Sophie\'s two tickets to a Broadway musical for $200. Sarah writes Sophie a check for the tickets. In this situation, Secure Bank is

Accepted Answer

the drawee

Fin Ch. 24, 25 – Flashcards

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