Class: Date: id: a bus 305: Exam I true/False

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BUS 305: Exam I

Indicate whether the sentence or statement is true or false.
1. A judge's view of the law is of little importance in a common law legal system.
____ 2. A court may depart from a precedent if the precedent is no longer valid in view of changed technology.
3. The Uniform Commercial Code has been adopted in only half of the states.
4. There is no role for public opinion in determining what is or is not ethical business behavior.
5. The courts are the final authority concerning the constitutionality of a law.
6. For purposes of diversity of citizenship, a corporation is a citizen only of the state in which it is incorporated.
7. Discovery is a process for gathering evidence and information in a suit.
8. An attorney may be permitted to aid his or her client in the commission of a crime if the crime will uncover evidence tending to exonerate the client.
9. An oral agreement to submit a dispute to arbitration is enforceable.
10. The WIPO Center provides arbitration services.

____ 11. The Constitution delegates certain powers to the national government.

12. The United States Supreme Court can hold acts of Congress unconstitutional.

____ 13. Commercial speech that does not implement a substantial government interest is not considered valid. 14 Private employers need not make any attempt to accommodate the religious beliefs of their employees.

15, The priority among conflicting federal and state laws is based on the supremacy clause of the U.S. Constitution.

Multiple Choice

Identift the letter of the choice that best completes the statement or answers the question.
16. Much of Arnerican law is based on

a. the English legal system.

b. the French legal system.

c. the Greek legal system.

d. the Roman legal system.

17. The case of Tower V. Hobbs has just been decided by the Supreme Court of Wisconsin. Of the seven justices, five agreed that Tower should win; two thought that Hobbs should win. Justice Taylor, one of the five judges who agreed that Tower should win, wrote a separate opinion. Justice Taylor's opinion is

  1. a dissenting opinion.

  2. a minority opinion.

  3. a concurring opinion.

  4. a unanimous opinion.


18. Ethics is the study of what constitutes

a, legal behavior.

b. financially rewarding behavior.

c. right or wrong behavior.

  1. religious behavior.

19. Engel Tool Company's decision makers view a particular risk in the use of Engel's product as open and

obvious. If Engel does not warn consumers of the risk and a consumer is injured, a court

a. will hold Engel responsible.

b. will not hold Engel responsible.

C. will hold Engel and the consumer equally responsible.

d. may or may not hold Engel responsible, depending on the court's view of the risk.

20. Kidtoys, Inc., sells a toy truck with a dangerous defect. Phil buys the truck for his son but discovers the defect before the child is injured. Phil files a suit against Kidtoys. Kidtoys could ask for dismissal of the suit on the basis that Phil does not have

  1. jurisdiction.

  2. standing.

C. sufficient minimum contacts.

d. venue.

Fact Pattern 3-2

Quint sues Pedro in a state court. Pedro loses and decides to appeal the decision to the state's interrnediate court of appeals.

21. Refer to Fact Pattern 3-2, Within a prescribed period of time, the clerk of the trial court will send to the clerk of the appellate court

a, a brief.

b. the grounds for reversal.

C. the record on appeal.

d. all of the above.

22. The presence of which of the following persons would violate the attorney-client privilege?

a. The attorney's legal secretary

b. The attorney's paralegal

c. The attorney's law clerk

d. The attorney's florist

23. Clem and Hooper decide to have their dispute resolved by an arbitrator. The arbitration process begins when they

a. present their evidence to the arbitrator,

b. present their arguments to the arbitrator.

c. refer their dispute to the arbitrator.

d. none of the above.

24. World Tech Corporation and Global Supplies, Inc., have their dispute resolved in arbitration. The arbitrator meets several times with World Tech's representatives to discuss the dispute outside the presence of Global's representatives. If these meetings substantially prejudiced Global's rights, this is a ground for a court to

a review the merits of the dispute.

b. review the sufficiency of the evidence.

c. set aside the award.

d. none of the above.



25. Barb and Central Processing, Inc., are engaged in court-annexed arbitration proceedings. The award will be

binding on

a. both parties.

b. neither party.

c. the losing party only.

d. the prevailing party only.

26. Most of the rights guaranteed by the Bill of Rights apply to

a. the federal government only.

b. the states only.

c. the federal government and the states.

d. neither the federal government nor the states.

27. The functions of the National Labor Relations Hoard, like most administrative agencies, include

a. adjudication.

b. investigation.

c. rulemaking.

d. all of the above.

28. The Internal Revenue Service (IRS) wants to seize certain documents of Investment Properties, Inc. Deciding whether it is permissible for the IRS to request or otherwise seize the documents depends on whether the documents are

a. incriminating. b. relevant, C. technical. d. valuable.

29. The Bureau of Alcohol, Tobacco, and Firearms (BAF), like other agencies, may conduct an on-site inspection only if

a. BATF officials have made a good-faith determination that the inspection is necessary for their investigation.

b. the inspection will further the objectives contained within the legislation that created the


c. the inspection will demonstrate to potential violators of BATF regulations that such conduct will not be tolerated.

d. none of the above.

30. The Equal Employment Opportunity Commission (EEOC) files a complaint against General Construction

Corporation (CCC). CCC may want to settle the dispute, before formal adjudicatory proceedings begin, to


a. incurring substantial legal costs to contest the proceedings.

b. the appearance of being uncooperative.

c. the disclosure by the EEOC of information acquired during the period in which GCC has been


d. All of the above.



BUS 305: Exam I Answcr Section

1. F

2. T

3. F

4. F

5. T

6. F

7. T

8. F

9. F

10. T

11. T

12. T

13. F

14. F

15. T


16. A

17. C

18. C

19. D

20. B

21. C

22. D

23. C

24. C

25. B

26. C

27. D

28. B

29. B

30. D


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