Dev shell 2nd edition 2014 fall d term 6 quiz 1

Question 1

Mega Corporation has developed a strategic plan that calls for an emphasis on appealing to a younger demographic. If it decided that such an appeal to a younger market would necessitate a change in the corporate logo and trademark, such changes would require an understanding of:

securities law.

intellectual property law.

contract law.

antitrust law.

Question 2

Secondary sources of law:

are looked to when there is no primary source of law that applies to the facts of a case.

are considered a valid independent authority.

apply to both federal and state legal issues.

have no legally binding effect.

Question 3

The common law is the law that all states follow to avoid confusion and to promote consistency from state to state.



Question 4

Restatements of the Law are written and revised by Congress and state legislatures as needed.



Question 5

Legal positivists believe that agreed-upon laws should be uniformly and strictly enforced and may be changed only by the government.



Question 6

Rich has been arrested for a series of 21 home burglaries that spanned over nine months. The news regarding the crime spree was on television, on radio, and in the newspapers on a regular basis. His lawyer doesn’t believe that Rich can get a fair trial locally, so he will ask for:

a change in personal jurisdiction.

a change in subject matter jurisdiction.

a change in venue.

a change using a long-arm statute.

Question 7

The physical presence of an out-of-state party in a particular state is generally an automatic basis for jurisdiction over the defendant by both that state’s courts and the federal trial court within that state.



Question 8

A state court may not unilaterally declare or decide that proper venue for a case should be in another state.



Question 9

State long-arm statutes are used to establish subject matter jurisdiction over out-of-state defendants.



Question 10

Not all courts have the authority to hear all cases.



Question 11

While normal arbitration produces an arbiter’s decision and the parties are bound by the award, online arbitration produces a decision but the award is not binding on the parties.



Question 12

When the American Arbitration Association receives an application for appointment of an arbitrator, it:

meets with a local trial judge to determine whether litigation or arbitration will be most efficient and advantageous based on the parties and the nature of the dispute.

meets with attorneys from both sides to determine whether litigation or arbitration will be most efficient and advantageous based on the parties and the nature of the dispute.

receives a list of suggested arbitrators from both parties and then selects the arbitrator, who informs the parties of the procedures and rules of arbitration.

appoints a tribunal administrator, who informs the parties of the procedures and rules of arbitration.

Question 13

In the typical business context, ADR is invoked either via contract or by mutual agreement.



Question 14

Depositions are:

oral questions, answered orally, asked of parties and witnesses.

oral questions, answered orally, asked only of parties.

written questions, answered in writing, asked of parties and witnesses.

written questions, answered in writing, asked only of parties.

Question 15

Online dispute resolution (ODR) has all of the advantages of traditional forms of ADR.



Question 16

The moderate view of assessing corporate citizenship holds that:

corporate officers and boards of directors should provide the exclusive view of corporate responsibility.

corporate employees below the senior executive level should provide the exclusive view of corporate responsibility.

community groups where the corporation is located should provide the exclusive view of corporate responsibility.

the government should provide the exclusive view of corporate responsibility.

Question 17

Modern Corporation operates a steel mill. It has never contributed anything to the local community, and it knowingly pollutes both the air and the river that runs by its mill. The corporation’s reasoning is that the cost of installing pollution control devices would diminish its profits, and it doesn’t support the community because it provides jobs and doesn’t think it owes anything else to the citizens in its area. Donating to the community would also diminish profits. Which theory of corporate social responsibility is Modern Corporation exhibiting?

the narrow view, or invisible hand theory

the moderate view, or government’s hand theory

the hybrid view, or citizen’s hand theory

the broad view, or management’s hand theory

Question 18

A particular act can be deemed unethical yet still be legal.



Question 19

The triple bottom line in the perspective of corporate social responsibility emphasizes each of the following except:

creation of profit.

creation or destruction of environmental value.

creation of social value.

creation of private value.

Question 20


The reputed mastermind of the Enron business model was:

Kenneth Lay, founder and chief executive officer.

Jeffrey Skilling, chief operating officer.

Andrew Fastow, chief financial officer.

Rick Clausey, chief accounting officer.

Question 21

Zoning is generally done at the state level through statutes passed by the state legislature.



Question 22

A sublease occurs when a tenant transfers the entire remaining term of a lease to a third party.



Question 23

The Takings Clause is found in the Constitution’s:

First Amendment.

Fifth Amendment.

Eighth Amendment.

Fourteenth Amendment.

Question 24


Penny is renting an apartment from Albert. Every time Penny flushes the toilet, the toilet overflows and she must clean and mop the floor of her bathroom. She has complained numerous times, but Albert will not fix the problem. Albert is breaching Penny’s right to:


quiet enjoyment.


fair use.

Question 25

Company A and company B own adjacent pieces of land. The companies own the full bundle of rights in their respective properties. Company A digs a mine that starts on its own property but extends, below ground, across the property line. If company A finds minerals below company B’s surface property, it may mine and use the minerals for its own use because it has not gone onto or disturbed company B’s property.





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