LEGAL ENVIRONMENT OF BUSINESS
EXAM 1
Assume that Congress passes a law establishing a new administrative agency to
oversee cyberlaw issues. The agency writes rules to enable it to carry out its duties. The
rules written by the agency will be known as a part of - ANS-Administrative law
Richard is a state appeals court judge. In making judicial decisions, Richard issues
rulings that are consistent with precedents established in similar cases within his
jurisdiction. Richard is following the principle of - ANS-Stare decisis
Tyler believes that some laws passed by his state's legislature are bad, and he refuses
to comply with them. He believes that there is a universal law above all others that
grants rights to all people and that it is above all other laws. Tyler subscribes to what
school of jurisprudential thought? - ANS-The natural law school
Most appellate court judges write opinions in which they give the reasons for their
decisions. These opinions are collected and published in volumes of books known as -
ANS-Reporters
Monroe is reviewing an appellate case for class and must correctly identify the parties to
the case. The party appealing the case is known as the - ANS-Appellant
Marco files a lawsuit against Allied Company in an Oregon court with limited jurisdiction.
The difference between general and limited jurisdiction is based on - ANS-the subject
matter of the cases that the court can decide.
Stan, a citizen of Iowa, files a lawsuit in an Iowa state trial court against Jalisco Farm
Supply, a Texas company that sells supplies in Iowa. The court has original jurisdiction
because - ANS-the case is being heard for the first time
Charles loses his breach-of-contract case against Micheletta in a Georgia state trial
court. Charles appeals to the state court of appeals. Losing again, he files his next
appeal with - ANS-Georgia Supreme Court
Motor Sports, Inc., sues A-Z Speed. Motor Sports alleges that A-Z breached (failed to
perform) a contract that required A-Z to sell ten Jet Skis to Motor Sports. Under the
, rules governing discovery, Motor Sports is most likely entitled to obtain -
ANS-documents in A-Z's possession relating to the contract
Karl sells Jason his house. After moving in, Jason learns that Karl failed to disclose
serious defects in the house. Jason sues Karl. After the pretrial procedures are
completed, the case enters the trial phase. The attorneys begin the process of voir dire.
During voir dire - ANS-jurors are picked from a jury pool
Jackson, a homeowner, files a lawsuit against Johnson, his construction contractor.
Prior to trial, they meet with their attorneys to try to resolve their dispute before going to
trial. This proceeding is known as - ANS-negotiation
Transpac Corp. and Alliance, Inc., agree to a contract that includes an arbitration
clause. After a dispute arises, the case goes to arbitration. The arbitrator finds in
Transpac's favor. Alliance files a lawsuit, alleging that the award should not be enforced
because the arbitrator made an error in her findings of fact. The court will likely -
ANS-Do nothing
Miller signed an employment contract containing an arbitration clause stating that "any
dispute" arising during employment must be resolved by binding arbitration. Two years
later, after she was injured on the job and took leave to recover, she was fired. She filed
a complaint for disability discrimination with the Equal Employment Opportunity
Commission, which gave her a "right to sue" letter. She then filed suit in federal court
against her employer for disability discrimination. The court - ANS-dismissed the suit
because of the arbitration agreement
Don and Robert are partners in a general partnership, and have sued each other over a
number of issues relating to the partnership, with Don filing the lawsuit and Robert filing
a counter-suit. Aside from their differences with the partnership they quickly decide that
they do not want to spend a lot of money or time in reaching a settlement. Therefore,
they should seek - ANS-Court-related mediation
Marshall is working on a contract with a U.S. company involving the manufacturing of
goods in China, and wants to ensure that U.S. law applies in the event of a dispute. He
should include which of the following clauses in the contract. - ANS-Choice of law
clause
Marshall owns and operates a construction firm. He uses inexpensive and low-grade
building products and accepts inferior carpentry work from his subcontractors.
Nevertheless, Marshall complies with all the city building codes as well as all state and
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