Quiz 1,2,3 of BusLaw – Flashcards

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Business law consists of the enforceable rules of conduct that govern commercial relationships.
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T
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Because of the law, we rely on the goodwill and dependability of one another.
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F In the absence of law, we would rely solely on the goodwill and dependability of one another.
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Public law controls disputes between private individuals or between groups and their government.
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T
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Cyberlaw is based primarily on existing laws.
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T While some new laws have been adopted to regulate the kinds of activities businesses can now conduct online, cyberlaw is based primarily on existing laws.
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Another name for case law is common law.
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T Case law, also called common law, is the collection of legal interpretations made by judges.
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Case law interpretations are law unless they are revoked later by new statutory law.
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T Case law, also called common law, interpretations are law unless revoked later by new statutory law.
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The term "stare decisis" means "reversing the decision."
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F The principle of "stare decisis" refers to "standing by their decision," a reference to rulings made in higher courts that become a binding precedent for lower courts.
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The decision of a state supreme court is binding on a lower state court located in the state.
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T When an issue is brought before a state court, the court will determine whether the state supreme court has made a decision on a similar issue, which creates a binding precedent or pattern of law the lower court must follow.
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Constitutions and statutes are complete in the sense of covering the detailed rules that affect government and business relations.
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F Constitutions and statutes never cover all the detailed rules that affect relationships between government and business.
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Presidents claim the power to issue executive orders on the basis of their Article II, Section 3, constitutional power to "take care that the laws be faithfully executed."
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T
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The word "jurisdiction" comes from the Latin terms "juris," meaning "law," and "diction," meaning "to speak."
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T
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In rem jurisdiction references jurisdiction over a person.
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F Courts may have in rem jurisdiction (Latin for "jurisdiction over the thing") even over property.
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Under federal statutory law, Internet transactions cannot be the basis for a finding of in personam jurisdiction.
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F A federal district court established a "sliding-scale" standard in the 1997 case Zippo Mfg. Co. v. Zippo Dot Com, Inc. for determining whether a business that has Internet contact with a plaintiff in a different state satisfies the minimum-contacts standard.
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Subject-matter jurisdiction is a court's power to hear certain kinds of cases.
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T
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State courts have the power to hear all cases not within the exclusive jurisdiction of the federal court system.
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T
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Concurrent federal jurisdiction means that both state and federal courts have jurisdiction over a case.
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T
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Once a case is in the proper court system, venue determines which trial court in the system will hear the case.
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T
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In some cases, the U.S. Supreme Court functions as a trial court of limited jurisdiction.
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T In an extremely limited number of cases, the U.S. Supreme Court functions as a trial court of limited jurisdiction. These cases include controversies between states and lawsuits against foreign ambassadors.
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Intermediate courts of appeal exist in all states.
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F Intermediate courts of appeal, analogous to federal circuit courts of appeal, exist in approximately half the states.
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A person who has the legal right to bring an action in court has standing.
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T
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Under our system of justice, courts may issue advisory opinions.
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F The case or controversy (or justiciable controversy) requirement ensures that courts do not render advisory opinions.
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The defendant responds to a complaint with an answer.
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T
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Because of its complicated nature, any complaint should be at least three pages long.
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F
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A defendant who believes that he or she has a claim against the plaintiff would include a counterclaim with the answer.
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T
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A reply is an answer to a counterclaim.
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T
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A party only has a limited number of challenges for cause in jury selection.
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T Peremptory challenges allow a party to challenge a certain number of potential jurors without giving a reason.
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Peremptory challenges in jury selection may not be racially based.
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T The U.S. Supreme Court ruled that race-based peremptory challenges violate the U.S. Constitution.
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In most civil cases, a plaintiff must prove her case beyond a reasonable doubt.
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F In most civil cases, a plaintiff must prove her case by a preponderance of the evidence.
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Only one party may appeal from a final judgment.
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F Either party may appeal the judge's decision on post-trial motions or on her or his final judgment.
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If an appellate judge agrees with the majority's decision, but for different reasons, the judge may write a "concurring" opinion.
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T If a judge agrees with the majority's decision, but for different reasons, the judge may write a concurring opinion, stating the reasons used to reach the majority's conclusion.
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On average, the U.S. Supreme Court hears 300 cases a year.
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F The Supreme Court hears, on average, only 80 to 90 cases each year.
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The term ADR refers to the resolution of legal disputes through methods other than litigation.
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T The term ADR refers to the resolution of legal disputes through methods other than litigation, such as negotiation, mediation, arbitration, summary jury trials, minitrials, neutral case evaluations, and private trials.
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Courts are generally critical and unsupportive of ADR methods.
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F Not only are businesses increasingly turning to ADR, but courts are generally quite supportive of ADR methods, which alleviate some of the pressure on the overwhelming court dockets.
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A person must have a law degree in order to be a mediator.
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F When selecting a mediator, parties should be aware that mediators come from a variety of backgrounds: experts in the area of the dispute, lawyers, judges, psychologists, and sociologists.
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A person must be a lawyer in order to perform arbitration.
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F Lawyers, professors, or other professionals typically serve as arbitrators.
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An arbitrator is more likely to issue a compromise decision than a judge.
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T Because an arbitrator is hired to resolve a dispute between two parties, the arbitrator is more likely to make a compromise ruling instead of a win-lose ruling.
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Mediation is a process done only in the U.S., not in foreign countries.
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F In the global context, ADR is favored over litigation.
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Med-arb is a type of ADR method.
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T Med-arb is a dispute resolution process in which the parties agree to start out in mediation and, if the mediation is unsuccessful on one or more points, also agree to move on to arbitration.
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A summary jury trial leads to a binding jury verdict.
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F A summary jury trial leads to a nonbinding jury verdict.
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In an early neutral case evaluation, the neutral provides a binding ruling.
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F With early neutral case evaluation, the parties select a neutral third party and explain their respective positions to this neutral, who then evaluates the strengths and weaknesses of the case.
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Federal courts have vetoed any form of ADR.
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F The 1998 Alternative Dispute Resolution Act required that in all district courts, civil litigants must "consider the use of an alternative dispute resolution process at an appropriate stage in the litigation."
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