Question 1

What is the role of the pleadings stage of the litigation process?

Accepted Answer

A)  to allow time for the parties to plead the basis of their case before a judge 
B)  to prepare a document containing the allegations supporting the claim 
C)  to allow time for the defendant to concede and allow default judgment 
D)  to facilitate the exchange of formal documents stating the basis of the suit 
A)  to allow time for the parties to plead the basis of their case before a judge 
B)  to prepare a document containing the allegations supporting the claim 
C)  to allow time for the defendant to concede and allow default judgment 
D)  to facilitate the exchange of formal documents stating the basis of the suit

Question 2

Which statement would be a valid criticism of the use of arbitration clauses in consumer contracts?

Accepted Answer

A)  Arbitration clauses may unfairly restrict consumer access to the courts. 
B)  Clients are unable to ensure the independence and expertise of a suggested arbitrator. 
C)  Arbitration firms tend to treat consumers unfairly. 
D)  An arbitration procedure requires clients to pay a fee to have their complaint remedied. 
A)  Arbitration clauses may unfairly restrict consumer access to the courts. 
B)  Clients are unable to ensure the independence and expertise of a suggested arbitrator. 
C)  Arbitration firms tend to treat consumers unfairly. 
D)  An arbitration procedure requires clients to pay a fee to have their complaint remedied.

Question 3

ABC Loans Ltd.successfully sued Brian Dooley and obtained a judgment for $150 000 after Dooley failed to repay a loan.The value of all of Dooley's assets is only about $100 000.Which statement best describes the steps ABC can now take against Dooley?

Accepted Answer

A)  ABC can seize all of Dooley's assets and apply the proceeds to toward the judgment. 
B)  ABC cannot seize Dooley's assets but can garnish his bank account. 
C)  ABC will be limited in its ability to seize Dooley's assets because some assets may be exempt from seizure to ensure Dooley is not left destitute. 
D)  ABC will be able to apply to a public fund in the event that Dooley is unable to pay the entire judgment. 
A)  ABC can seize all of Dooley's assets and apply the proceeds to toward the judgment. 
B)  ABC cannot seize Dooley's assets but can garnish his bank account. 
C)  ABC will be limited in its ability to seize Dooley's assets because some assets may be exempt from seizure to ensure Dooley is not left destitute. 
D)  ABC will be able to apply to a public fund in the event that Dooley is unable to pay the entire judgment.

Question 4

One of the advantages of mediation is that it results in a non-binding decision that can be appealed by either party to the courts.

Accepted Answer

A) True 
 B)False

Question 5

A store manager of a large grocery chain makes a verbal offer to compensate a customer for a serious hand injury that requires medical attention.Even though the store manager's offer is refused,he is seriously reprimanded by the vice president of the legal risk department.What was the vice president's most significant concern?

Accepted Answer

A)  to pay as small a settlement as possible 
B)  to clarify the situation before entering negotiations 
C)  reaching a fair and acceptable outcome 
D)  negotiating could imperil risk insurance coverage 
A)  to pay as small a settlement as possible 
B)  to clarify the situation before entering negotiations 
C)  reaching a fair and acceptable outcome 
D)  negotiating could imperil risk insurance coverage

Question 6

Gorrie Industries Ltd.recently lost a lawsuit,and in addition to damages,it must also pay "costs" to the plaintiff,its former client.Explain what "costs" refers to in this context.

Accepted Answer

Costs are the legal expenses that a judg

Question 7

What is the purpose of the discovery phase in a private lawsuit?

Accepted Answer

A)  to allow each side an opportunity to obtain expert evidence that can later be used at the trial 
B)  to disclose evidence in support of the claims in the lawsuit and test the strength of the opposing party's claims 
C)  to cross-examine all of the witnesses that will be called at trial 
D)  to enable each side to make its allegations 
A)  to allow each side an opportunity to obtain expert evidence that can later be used at the trial 
B)  to disclose evidence in support of the claims in the lawsuit and test the strength of the opposing party's claims 
C)  to cross-examine all of the witnesses that will be called at trial 
D)  to enable each side to make its allegations

Question 8

Arbitration is a very popular method for resolving international commercial disputes.

Accepted Answer

A) True 
 B)False

Question 9

Which of the following best describes burden of proof?

Accepted Answer

A)  the onus on a party to introduce evidence to prove their claim or defence 
B)  the expense of hiring a lawyer 
C)  the duty to disprove the defendant's defences 
D)  the requirement of hiring experts to support one's view of the case 
A)  the onus on a party to introduce evidence to prove their claim or defence 
B)  the expense of hiring a lawyer 
C)  the duty to disprove the defendant's defences 
D)  the requirement of hiring experts to support one's view of the case

Question 10

Dante is a claims adjuster with the insurer of a supermarket chain and has just concluded successful negotiations with a customer who was injured as a result of slipping on ice in a store parking lot.Which step should now take place?

Accepted Answer

A)  The parties should now enter into a settlement or release agreement. 
B)  The parties should take their agreement to a judge for review and approval. 
C)  The insurance company should seek reimbursement of the claim from the supermarket chain. 
D)  A written contract should now be filed with the court. 
A)  The parties should now enter into a settlement or release agreement. 
B)  The parties should take their agreement to a judge for review and approval. 
C)  The insurance company should seek reimbursement of the claim from the supermarket chain. 
D)  A written contract should now be filed with the court.

Question 11

The law firm of Janes & Jones personally served the defendant with a claim,and the defendant failed to respond with a defence within 20 days,as required by provincial law.Which of the following statements describes the position of the defendant?

Accepted Answer

A)  The defendant has effectively admitted the claim. 
B)  The defendant must be re-served with the claim. 
C)  The defendant may file a counterclaim. 
D)  The defendant may now seek arbitration of the claim. 
A)  The defendant has effectively admitted the claim. 
B)  The defendant must be re-served with the claim. 
C)  The defendant may file a counterclaim. 
D)  The defendant may now seek arbitration of the claim.

Question 12

Which of the following is a significant risk for Canadian companies doing business in the U.S.marketplace?

Accepted Answer

A)  Damage awards in the U.S.tend to be much higher than in Canada. 
B)  Unsuccessful litigants have limited rights to appeal in the U.S.compared to Canada. 
C)  Contingency fee agreements are less frequently available in the U.S.than in Canada. 
D)  Unlike Canada,the U.S.has a general rule that unsuccessful litigants must pay the costs of the winning party. 
A)  Damage awards in the U.S.tend to be much higher than in Canada. 
B)  Unsuccessful litigants have limited rights to appeal in the U.S.compared to Canada. 
C)  Contingency fee agreements are less frequently available in the U.S.than in Canada. 
D)  Unlike Canada,the U.S.has a general rule that unsuccessful litigants must pay the costs of the winning party.

Question 13

What are some factors to consider when deciding whether to proceed or not to proceed with litigation?

Accepted Answer

Litigation is costly and time consuming.

Question 14

The Ultimate Caterer Inc.did not fare well in court.In addition to damages,the company was ordered to pay costs to the young couple whose wedding dinner left them and many of their guests very ill.Which of the following correctly describes the meaning of costs in these circumstances?

Accepted Answer

A)  the legal fees incurred by the defendant in a lawsuit 
B)  the amount the loser must pay toward the winner's expenses 
C)  the legal fees incurred by the plaintiff in a lawsuit 
D)  the amount of court fees charged for litigating the lawsuit 
A)  the legal fees incurred by the defendant in a lawsuit 
B)  the amount the loser must pay toward the winner's expenses 
C)  the legal fees incurred by the plaintiff in a lawsuit 
D)  the amount of court fees charged for litigating the lawsuit

Question 15

SolarCell Corp.has decided to litigate a dispute over an $8,000 outstanding account.Over the course of the business relationship,the customer has proven to be both unreliable and unreasonable.SolarCell is no longer interested in maintaining the business relationship.Which court will have jurisdiction to decide the outcome of SolarCell's claim?

Accepted Answer

A)  small claims court 
B)  class actions court 
C)  the Trial Court of Canada 
D)  the Superior Court of Justice 
A)  small claims court 
B)  class actions court 
C)  the Trial Court of Canada 
D)  the Superior Court of Justice

Question 16

How does a person who wins a case in civil court actually collect on the judgment? What limitations are there on his/her ability to collect?

Accepted Answer

After the judge makes the judgment and o

Question 17

When a dispute is covered by insurance,it is important that employees are aware that an attempt to negotiate a settlement may jeopardize coverage unless the insurer consents to the company conducting negotiations.

Accepted Answer

A) True 
 B)False

Question 18

In addition to setting out the details of who must pay how much to whom,which of the following is required in a court's decision in a civil case?

Accepted Answer

A)  The court's account of events and application of relevant case law. 
B)  The identification of relevant legal guidelines for interpretation of contracts. 
C)  Appropriate justification based on the evidence and legal rules. 
D)  Details about the provincial jurisdictions where enforcement is possible. 
A)  The court's account of events and application of relevant case law. 
B)  The identification of relevant legal guidelines for interpretation of contracts. 
C)  Appropriate justification based on the evidence and legal rules. 
D)  Details about the provincial jurisdictions where enforcement is possible.

Question 19

Incida Homes negotiated a settlement with a customer that had initially refused to pay for renovation work it carried out.The customer claimed there were numerous deficiencies with Incida's work and the settlement agreement they reached included a reduction in the amount initially charged for its services.What likely had the greatest motivating influence on the disputing parties to achieve a remedy through this form of dispute resolution?

Accepted Answer

A)  hourly rate charged by expensive lawyers 
B)  realizing the claim was covered by insurance 
C)  justification of the use of the firm's resources 
D)  realizing cost and time savings for concerned parties 
A)  hourly rate charged by expensive lawyers 
B)  realizing the claim was covered by insurance 
C)  justification of the use of the firm's resources 
D)  realizing cost and time savings for concerned parties

Question 20

The filing and service of a defence is part of the pleadings stage of a legal action.

Accepted Answer

A) True 
 B)False

Exam 4: Dispute Resolution

What is the role of the pleadings stage of the litigation process?

Which statement would be a valid criticism of the use of arbitration clauses in consumer contracts?

ABC Loans Ltd.successfully sued Brian Dooley and obtained a judgment for $150 000 after Dooley failed to repay a loan.The value of all of Dooley's assets is only about $100 000.Which statement best describes the steps ABC can now take against Dooley?

One of the advantages of mediation is that it results in a non-binding decision that can be appealed by either party to the courts.

Gorrie Industries Ltd.recently lost a lawsuit,and in addition to damages,it must also pay "costs" to the plaintiff,its former client.Explain what "costs" refers to in this context.

What is the purpose of the discovery phase in a private lawsuit?

Arbitration is a very popular method for resolving international commercial disputes.

Which of the following best describes burden of proof?

Dante is a claims adjuster with the insurer of a supermarket chain and has just concluded successful negotiations with a customer who was injured as a result of slipping on ice in a store parking lot.Which step should now take place?

The law firm of Janes & Jones personally served the defendant with a claim,and the defendant failed to respond with a defence within 20 days,as required by provincial law.Which of the following statements describes the position of the defendant?

Which of the following is a significant risk for Canadian companies doing business in the U.S.marketplace?

What are some factors to consider when deciding whether to proceed or not to proceed with litigation?

The Ultimate Caterer Inc.did not fare well in court.In addition to damages,the company was ordered to pay costs to the young couple whose wedding dinner left them and many of their guests very ill.Which of the following correctly describes the meaning of costs in these circumstances?

How does a person who wins a case in civil court actually collect on the judgment? What limitations are there on his/her ability to collect?

When a dispute is covered by insurance,it is important that employees are aware that an attempt to negotiate a settlement may jeopardize coverage unless the insurer consents to the company conducting negotiations.

In addition to setting out the details of who must pay how much to whom,which of the following is required in a court's decision in a civil case?

The filing and service of a defence is part of the pleadings stage of a legal action.

Knowledge of Law As a Business Asset

The Canadian Legal System

Managing Legal Risks

An Introduction to Contracts

Forming Contractual Relationships

The Terms of a Contract

Non-Enforcement of Contracts

Termination and Enforcement of Contracts

Introduction to Tort Law

The Tort of Negligence

Other Torts

The Agency Relationship

Business Forms and Arrangements

The Corporate Form: Organizational Matters

The Corporate Form: Operational Matters

Introduction to Property Law

Intellectual Property

Real Property

The Employment Relationship

Terminating the Employment Relationship

Professional Services

The Sale of Goods

Consumer Protection and Competition Law

Business and Banking

The Legal Aspects of Credit

Bankruptcy and Insolvency

Insurance

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