Get Ahead in 2023 with the [Essentials of Business Law and the Legal Environment,Mann,11e] Test Bank

Chapter 1—Introduction to Law


TRUE/FALSE

1. William Blackstone, an English jurist, defined law as “a rule of civil conduct prescribed by the
supreme power in a state, commanding what is right, and prohibiting what is wrong.”

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2. The common law system is used in most of Europe, Scotland, and Latin America.

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3. The primary function of the law is to maintain stability in the social, political, and economic
system while simultaneously permitting change.

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4. Substantive law creates, defines, and regulates legal rights and duties.

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5. The Constitution provides that federal statutes are paramount to state constitutions and statutes.

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6. The burden of proof in a criminal case is preponderance of the evidence.

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7. The law does not change; it is based on unchanging and universal truths.

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8. The main categories of the law are (a) substantive and procedural, (b) public and private, and (c)
civil and criminal.

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9. Law is an instrument of social control.

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,10. Under the civil law system, adversaries initiate and conduct litigation.

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11. A judge deciding a common law case must look for guidance to similar cases previously decided
by that court or superior courts.

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12. The United States Constitution establishes the principle of judicial review, which divides the
government into three distinct and independent branches: judicial, executive, and legislative.

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13. Since the end of the nineteenth century, case law developed from court opinions has been the
primary source of new law and ordered social change in the United States.

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14. A constitution restricts the powers of the government and specifies the rights and liberties of the
people.

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15. The Uniform Commercial Code is a federal law that applies to commercial transactions among
the states.

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16. Laws passed by Congress are the supreme law of the land in the United States and take
precedence over other sources of law.

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17. The final arbiter as to the constitutionality of laws passed by Congress or by the legislature of a
state is the Supreme Court of the United States.

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18. The common law system of law uses the inquisitorial system of determining disputes.

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,19. Rodriguez and Compton asked a court for reformation of their contract based on a mutual
mistake. They seek an equitable remedy.

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20. The principle of stare decisis gives stability to our system of jurisprudence.

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21. Once a court has decided a case, the principle of stare decisis precludes correction of erroneous
decisions.

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22. Civil law systems, as found in the state of Louisiana and countries such as Scotland, depend on
comprehensive legislative enactments.

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23. The business law topics of contracts, agency, property, and trusts are governed primarily by the
common law.

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24. One important source of law in the United States is the Restatement of law.

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25. Assume the state of Minnesota has been negotiating with the Canadian government on issues
involving acid rain and eventually reaches an agreement with Canadian officials. This is a valid
treaty under the United States Constitution.

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26. In the United States, treaties are not subject to judicial review.

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27. Tate brings an action against Marsheen for damages from trespass to Tate’s property. Tate must
prove the case by a preponderance of the evidence.

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28. All laws are related to morals, but some moral precepts are not enforced by legal sanctions.

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29. Business law is primarily public law.

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30. Decisions of courts of appeals are published in volumes known as "reports" or "reporters."

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31. The terms "law" and "justice" are interchangeable.

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MULTIPLE CHOICE

1. A crime is:
a. a private wrong that necessitates litigation between the victim and the perpetrator.
b. any act prohibited by the government or an omission of an act required by public law and
made punishable by the government in a judicial proceeding brought by it.
c. litigation where the injured party sues to recover compensation for the damages and injury
sustained as a result of the defendant's wrongful conduct.
d. wrongful conduct as set forth in statutes that constitute the supreme law of the land.

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2. What is the supreme law of the land in the United States?
a. Federal statutes.
b. Treaties.
c. Case law as developed through the U.S. Supreme Court.
d. The U.S. Constitution.

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3. Which of the following is not descriptive of the law?
a. It is always prohibitory.
b. It is pervasive.
c. It may be permissive.
d. Its function is to regulate human conduct and relations.

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4. The courts are likely to provide remedies in all but which of the following cases?