Question 1

The ________ is a multilateral convention which establishes procedures for transnational discovery between private persons in different states.

Accepted Answer

A)  Hague Evidence Convention 
B)  GATT Evidence Convention 
C)  Multinational Discovery Convention 
D)  GATT Discovery Convention 
E)  International Dispute and Discovery Convention 
A)  Hague Evidence Convention 
B)  GATT Evidence Convention 
C)  Multinational Discovery Convention 
D)  GATT Discovery Convention 
E)  International Dispute and Discovery Convention

Question 2

[Weeds] Cecelia developed a product guaranteed to immediately kill weeds, but will absolutely not kill any other type of grass or shrub. She has encountered several individuals and businesses in other countries who would like to enter into contracts with her and market her products internationally. She consulted with Willie, who just graduated law school and has yet to pass the bar, and asked him for advice regarding those contracts. Willie proceeded to tell her that she should simply enter into the same type of contract with international businesses and individuals from other countries as she would if those individuals and businesses were located in the United States. He tells her that if there is any problem, then they will simply have to come to the United States to settle the matter, and that any issues would be determined in Cecelia's home county, in her home state, and under her state's law. He also mentions to her that she should consider contacting local foreign officials in the areas in which she would like her product sold and suggest to them that she can contribute heavily to election campaigns if she is allowed, without any trouble, to obtain necessary business licenses and approvals to do business.
-Which of the following is true regarding Willie's advice that Cecelia should contact foreign officials regarding election campaign contributions?

Accepted Answer

A)  Willie was incorrect, and following his advice would put Cecelia in danger of violating the Foreign Corrupt Practices Act. 
B)  Willie was incorrect, and following his advice would put Cecelia in danger of violating foreign laws in the countries in which she makes such offers; but she would not be in danger of violating any U.S. laws. 
C)  Willie was incorrect, and following his advice would put Cecelia in danger of violating the Uniform Anti-Bribery Statute. 
D)  Willie was incorrect, and following his advice would put Cecelia in danger of violating the federal Unfair Competition Act. 
E)  Willie was correct, and following his advice is a good idea for Cecelia. 
A)  Willie was incorrect, and following his advice would put Cecelia in danger of violating the Foreign Corrupt Practices Act. 
B)  Willie was incorrect, and following his advice would put Cecelia in danger of violating foreign laws in the countries in which she makes such offers; but she would not be in danger of violating any U.S. laws. 
C)  Willie was incorrect, and following his advice would put Cecelia in danger of violating the Uniform Anti-Bribery Statute. 
D)  Willie was incorrect, and following his advice would put Cecelia in danger of violating the federal Unfair Competition Act. 
E)  Willie was correct, and following his advice is a good idea for Cecelia.

Question 3

[Weeds] Cecelia developed a product guaranteed to immediately kill weeds, but will absolutely not kill any other type of grass or shrub. She has encountered several individuals and businesses in other countries who would like to enter into contracts with her and market her products internationally. She consulted with Willie, who just graduated law school and has yet to pass the bar, and asked him for advice regarding those contracts. Willie proceeded to tell her that she should simply enter into the same type of contract with international businesses and individuals from other countries as she would if those individuals and businesses were located in the United States. He tells her that if there is any problem, then they will simply have to come to the United States to settle the matter, and that any issues would be determined in Cecelia's home county, in her home state, and under her state's law. He also mentions to her that she should consider contacting local foreign officials in the areas in which she would like her product sold and suggest to them that she can contribute heavily to election campaigns if she is allowed, without any trouble, to obtain necessary business licenses and approvals to do business.
-What factors does a court use to determine whether or not to decline to exercise jurisdiction under the forum non coveniens doctrine?

Accepted Answer

A)  Whether or not the petitioner has the money to travel to a foreign location. 
B)  The court looks to see who the parties are; corporate citizens or private citizens. 
C)  The court must balance both private and public interest factors. 
D)  The court must always look to the federal statutes and international treaties. 
E)  The court cannot decline jurisdiction based on convenience of the forum but only on whether or not the court has personal jurisidiction. 
A)  Whether or not the petitioner has the money to travel to a foreign location. 
B)  The court looks to see who the parties are; corporate citizens or private citizens. 
C)  The court must balance both private and public interest factors. 
D)  The court must always look to the federal statutes and international treaties. 
E)  The court cannot decline jurisdiction based on convenience of the forum but only on whether or not the court has personal jurisidiction.

Question 4

[Lambswool tax] The U.S. and Canada are members of the World Trade Organization and GATT. Frustrated by the tough competition from Canadian suppliers, Lambswool suppliers in the U.S. have pressured Congress to pass a law requiring importers to pay a tax per pound of lambswool imported to the U.S. and restricting the number of pounds of lambswool imported from specific countries, including Canada. Wholly Wool, Inc., is a Canadian company that sells lambswool that is nearly identical to lambswool produced and sold in the U.S.
-A forum for the settlement of the lambswool tax dispute could be:

Accepted Answer

A)  The WTO 
B)  GATT 
C)  The International Trade Arbitration Forum 
D)  The Uruguay Round 
E)  The International Monetary Fund 
A)  The WTO 
B)  GATT 
C)  The International Trade Arbitration Forum 
D)  The Uruguay Round 
E)  The International Monetary Fund

Question 5

[DroneTek] DroneTek, Inc., a Swedish company, produces drones that are sold in the United States and many countries. DroneTek's D2000 model is a top seller in Illinois, where Reymond lives. While vacationing in Mexico, Reymond purchased a D2000 drone. Unfortunately, during a tour in Mexico City, the blades of the D2000 broke from the unit and caused serious and permanent injury to Reymond. Reymond wants to file suit in Illinois against DroneTek for its defective product.
-Which of the following would support a claim of specific personal jurisdiction over DroneTek?

Accepted Answer

A)  If DroneTek had a distributor in Illinois. 
B)  If Illinois were part of the D2000's chain of distribution . 
C)  If DroneTek's sales in Illinois were over $50,000. 
D)  If all D2000s were found to have a product defect. 
E)  If Illinois were part of DroneTek's stream of commerce. 
A)  If DroneTek had a distributor in Illinois. 
B)  If Illinois were part of the D2000's chain of distribution . 
C)  If DroneTek's sales in Illinois were over $50,000. 
D)  If all D2000s were found to have a product defect. 
E)  If Illinois were part of DroneTek's stream of commerce.

Question 6

Under the ________, courts of one country will not sit in judgment on the acts of another state government done within its own territory.

Accepted Answer

A)  theory of res judicata 
B)  act of state doctrine 
C)  doctrine of correctness 
D)  theory of comity 
E)  theory of full faith and credit. 
A)  theory of res judicata 
B)  act of state doctrine 
C)  doctrine of correctness 
D)  theory of comity 
E)  theory of full faith and credit.

Question 7

[Pet Products] Sonya, who has a successful pet products business, is planning to expand her operations from the U.S. into Canada and perhaps Mexico. A friend of hers, Troy, told her that she should carefully investigate the laws in those countries before she proceeded. Sonya responded, however, that she was not concerned because by international treaty, and under NAFTA, so long as she is a U.S. citizen, she only has to obey the U.S. laws. Laws of other countries would not apply to her business operations. Sonya also replied that any other country would have the same contract laws as exists in the U.S. She tells him that the Uniform Commercial Code (UCC) applies to all contracts and that as long as she has a written contract, she is covered. Sonya receives a contract from a Mexican company, signs it, drops it in the mail, and tells Troy the contract is complete.
-Which of the following statements is correct regarding Sonya's statement that so long as she obeys the laws of the U.S., she does not need to be concerned about laws of other countries?

Accepted Answer

A)  She is accurate. 
B)  She is accurate, but only in regard to laws pertaining to employment. 
C)  She is inaccurate. 
D)  She is accurate, but only in regard to laws involved with the Uniform Commercial Code. 
E)  She is accurate, but only if countries are signatories to NAFTA. 
A)  She is accurate. 
B)  She is accurate, but only in regard to laws pertaining to employment. 
C)  She is inaccurate. 
D)  She is accurate, but only in regard to laws involved with the Uniform Commercial Code. 
E)  She is accurate, but only if countries are signatories to NAFTA.

Question 8

Who purchases goods from a seller for resale in a foreign market and actually takes title to the goods, assuming the risk of being unable to resell them?

Accepted Answer

A)  Representative foreign agent 
B)  Engager 
C)  Licensing agent 
D)  Distributor 
E)  Market agent 
A)  Representative foreign agent 
B)  Engager 
C)  Licensing agent 
D)  Distributor 
E)  Market agent

Question 9

When three or more states agree to reduce and gradually eliminate tariffs and other trade barriers, it is called a multilateral free trade agreement.

Accepted Answer

A) True 
 B)False

Question 10

[Lambswool tax] The U.S. and Canada are members of the World Trade Organization and GATT. Frustrated by the tough competition from Canadian suppliers, Lambswool suppliers in the U.S. have pressured Congress to pass a law requiring importers to pay a tax per pound of lambswool imported to the U.S. and restricting the number of pounds of lambswool imported from specific countries, including Canada. Wholly Wool, Inc., is a Canadian company that sells lambswool that is nearly identical to lambswool produced and sold in the U.S.
-Which of the following is not true about the common law systems?

Accepted Answer

A)  Judges are appointed or elected. 
B)  It is an adversarial system. 
C)  Juries are not used. 
D)  The judge doesn't typically participate in gathering evidence. 
E)  There is a right of appeal. 
A)  Judges are appointed or elected. 
B)  It is an adversarial system. 
C)  Juries are not used. 
D)  The judge doesn't typically participate in gathering evidence. 
E)  There is a right of appeal.

Question 11

Under which of the following circumstances would the Uniform Commercial Code (UCC) apply?

Accepted Answer

A)  When both parties to a sales transaction are residents of the United States. 
B)  When both parties to a sales transaction engage in interstate commerce. 
C)  When the parties are residents of different countries and the amount of the sales transaction exceeds $10,000. 
D)  When the parties are residents of different countries, regardless of the amount of the sales transaction. 
E)  When the amount of the sales transaction exceeds $10,000. 
A)  When both parties to a sales transaction are residents of the United States. 
B)  When both parties to a sales transaction engage in interstate commerce. 
C)  When the parties are residents of different countries and the amount of the sales transaction exceeds $10,000. 
D)  When the parties are residents of different countries, regardless of the amount of the sales transaction. 
E)  When the amount of the sales transaction exceeds $10,000.

Question 12

[Lambswool tax] The U.S. and Canada are members of the World Trade Organization and GATT. Frustrated by the tough competition from Canadian suppliers, Lambswool suppliers in the U.S. have pressured Congress to pass a law requiring importers to pay a tax per pound of lambswool imported to the U.S. and restricting the number of pounds of lambswool imported from specific countries, including Canada. Wholly Wool, Inc., is a Canadian company that sells lambswool that is nearly identical to lambswool produced and sold in the U.S.
-Does the lambswool tax violate the principle of normal trade relations, according to Article I of GATT?

Accepted Answer

A)  Yes, because WTO member states must treat like goods coming from other WTO member states on an equal basis. 
B)  No, because WTO member states need not treat like goods coming from other WTO member states the same. 
C)  No, because Canada does not have most-favored-nation status. 
D)  No, because the tax does not violate NAFTA. 
E)  No, because the U.S. is entitled to tax like goods. 
A)  Yes, because WTO member states must treat like goods coming from other WTO member states on an equal basis. 
B)  No, because WTO member states need not treat like goods coming from other WTO member states the same. 
C)  No, because Canada does not have most-favored-nation status. 
D)  No, because the tax does not violate NAFTA. 
E)  No, because the U.S. is entitled to tax like goods.

Question 13

[Miracle Face] Yoshe developed a great new type of face cream guaranteed to provide total sun protection, remove wrinkles, and result in anyone looking at least ten years younger. Her product, Miracle Face, became extremely popular in the U.S., where she has several shops, and also in other countries to which it was shipped. Yoshe has a number of individuals in other countries seeking to team with her in selling Miracle Face. Sam, a citizen of Mexico, asks that she grant him permission to use her name and any associated trademarks, and allow him to sell Miracle Face in Mexico. Yoshe has an offer, however, from another Mexican citizen, Nora. Nora proposes that she and Yoshe associate together, open a business to sell Miracle Face, and share profits and management responsibilities. Yoshe has also thought about opening her own business in Mexico in conformity with Mexican laws. She would then hire employees in Mexico to sell the product. Another matter Yoshe has considered is simply arranging for her products to be shipped to Mexico for sale, and she is interested in the effect of any trade agreements between the U.S. and Mexico.
-If Yoshe decides to open her own business in Mexico in conformity with Mexican laws and hires employees in Mexico to sell the product, she would have opened a[n] ________.

Accepted Answer

A)  Franchise 
B)  Distributorship 
C)  Joint venture 
D)  Licensing subsidiary 
E)  Affiliate 
A)  Franchise 
B)  Distributorship 
C)  Joint venture 
D)  Licensing subsidiary 
E)  Affiliate

Question 14

________ permits adjudication of any claims against a defendant regardless of whether the claim has anything to do with the forum.

Accepted Answer

A)  General personal jurisdiction 
B)  Specific personal jurisdiction 
C)  Local personal jurisdiction 
D)  International personal jurisdiction 
E)  Domestic personal jurisdiction 
A)  General personal jurisdiction 
B)  Specific personal jurisdiction 
C)  Local personal jurisdiction 
D)  International personal jurisdiction 
E)  Domestic personal jurisdiction

Question 15

[Weeds] Cecelia developed a product guaranteed to immediately kill weeds, but will absolutely not kill any other type of grass or shrub. She has encountered several individuals and businesses in other countries who would like to enter into contracts with her and market her products internationally. She consulted with Willie, who just graduated law school and has yet to pass the bar, and asked him for advice regarding those contracts. Willie proceeded to tell her that she should simply enter into the same type of contract with international businesses and individuals from other countries as she would if those individuals and businesses were located in the United States. He tells her that if there is any problem, then they will simply have to come to the United States to settle the matter, and that any issues would be determined in Cecelia's home county, in her home state, and under her state's law. He also mentions to her that she should consider contacting local foreign officials in the areas in which she would like her product sold and suggest to them that she can contribute heavily to election campaigns if she is allowed, without any trouble, to obtain necessary business licenses and approvals to do business.
-What should Cecelia do if she wants some additional protection to guarantee that any dispute with international business will be resolved in her state in the U.S.?

Accepted Answer

A)  There is nothing she can do. 
B)  She should put a forum selection agreement clause within the contract. 
C)  She should put a choice of law provision in the contract. 
D)  She should put a choice of general jurisdiction clause in the contract. 
E)  She should put a Hague clause in the contract. 
A)  There is nothing she can do. 
B)  She should put a forum selection agreement clause within the contract. 
C)  She should put a choice of law provision in the contract. 
D)  She should put a choice of general jurisdiction clause in the contract. 
E)  She should put a Hague clause in the contract.

Question 16

Phillip is traveling to North Korea. He asks you which type of legal system exists in North Korea. What would you tell him?

Accepted Answer

A)  North Korea follows the civil legal system 
B)  North Korea follows the common law legal system 
C)  North Korea follows the Islamic system 
D)  North Korea follows the Islamic legal system 
E)  North Korea follows the socialist legal system 
A)  North Korea follows the civil legal system 
B)  North Korea follows the common law legal system 
C)  North Korea follows the Islamic system 
D)  North Korea follows the Islamic legal system 
E)  North Korea follows the socialist legal system

Question 17

Which of the following is false regarding the Convention on Contracts for the International Sale of Goods?

Accepted Answer

A)  It applies to transactions involving the commercial sale of goods. 
B)  National contract law applies in areas not covered by the Convention on Contracts for the International Sale of Goods. 
C)  The Convention on Contracts for the International Sale of Goods was adopted in 2000. 
D)  The United States has adopted the Convention on Contracts for the International Sale of Goods. 
E)  The Convention on Contracts for the International Sale of Goods has been ratified by the majority of states in the developed world. 
A)  It applies to transactions involving the commercial sale of goods. 
B)  National contract law applies in areas not covered by the Convention on Contracts for the International Sale of Goods. 
C)  The Convention on Contracts for the International Sale of Goods was adopted in 2000. 
D)  The United States has adopted the Convention on Contracts for the International Sale of Goods. 
E)  The Convention on Contracts for the International Sale of Goods has been ratified by the majority of states in the developed world.

Question 18

Ratification of international agreements occurs in the U.S. by which of the following means?

Accepted Answer

A)  Through the advice and consent of two-thirds of the Senate after the president submits the agreement for consideration. 
B)  Through the advice and consent of two-thirds of the House of Representatives after the president submits the agreement for consideration. 
C)  Through the advice and consent of two-thirds of the Senate and two-thirds of the House of Representatives after the president submits the agreement for consideration. 
D)  Through consent of the president. 
E)  Through the consent of the president and the approval of at least half the individual state legislatures. 
A)  Through the advice and consent of two-thirds of the Senate after the president submits the agreement for consideration. 
B)  Through the advice and consent of two-thirds of the House of Representatives after the president submits the agreement for consideration. 
C)  Through the advice and consent of two-thirds of the Senate and two-thirds of the House of Representatives after the president submits the agreement for consideration. 
D)  Through consent of the president. 
E)  Through the consent of the president and the approval of at least half the individual state legislatures.

Question 19

What doctrine allows courts to decline to exercise jurisdiction where there is a more convenient forum to hear the case?

Accepted Answer

A)  Forum non conveniens 
B)  Abstention 
C)  Convenience del forum 
D)  Jurisdictional convenience 
E)  Absolute privilege 
A)  Forum non conveniens 
B)  Abstention 
C)  Convenience del forum 
D)  Jurisdictional convenience 
E)  Absolute privilege

Question 20

[DroneTek] DroneTek, Inc., a Swedish company, produces drones that are sold in the United States and many countries. DroneTek's D2000 model is a top seller in Illinois, where Reymond lives. While vacationing in Mexico, Reymond purchased a D2000 drone. Unfortunately, during a tour in Mexico City, the blades of the D2000 broke from the unit and caused serious and permanent injury to Reymond. Reymond wants to file suit in Illinois against DroneTek for its defective product.
-Does an Illinois court have general personal jurisdiction over DroneTek?

Accepted Answer

A)  Yes, because the D2000 was sold in Illinois. 
B)  Yes, if the value of Reymond's claim is over $50,000. 
C)  No, because DroneTek does not maintain a presence in Illinois. 
D)  Yes, because its product was defective and injured a resident of Illinois. 
E)  No, because Illinois has specific personal jurisdiction over DroneTek. 
A)  Yes, because the D2000 was sold in Illinois. 
B)  Yes, if the value of Reymond's claim is over $50,000. 
C)  No, because DroneTek does not maintain a presence in Illinois. 
D)  Yes, because its product was defective and injured a resident of Illinois. 
E)  No, because Illinois has specific personal jurisdiction over DroneTek.

Exam 6: International and Comparative Law

The ________ is a multilateral convention which establishes procedures for transnational discovery between private persons in different states.

Under the ________, courts of one country will not sit in judgment on the acts of another state government done within its own territory.

Who purchases goods from a seller for resale in a foreign market and actually takes title to the goods, assuming the risk of being unable to resell them?

When three or more states agree to reduce and gradually eliminate tariffs and other trade barriers, it is called a multilateral free trade agreement.

Under which of the following circumstances would the Uniform Commercial Code (UCC) apply?

________ permits adjudication of any claims against a defendant regardless of whether the claim has anything to do with the forum.

Phillip is traveling to North Korea. He asks you which type of legal system exists in North Korea. What would you tell him?

Which of the following is false regarding the Convention on Contracts for the International Sale of Goods?

Ratification of international agreements occurs in the U.S. by which of the following means?

What doctrine allows courts to decline to exercise jurisdiction where there is a more convenient forum to hear the case?

An Introduction to Dynamic Business Law

Business Ethics

The Us Legal System

Alternative Dispute Resolution

Constitutional Principles

Crime and the Business Community

Tort Law

Negligence and Strict Liability

Product Liability

Liability of Accountants and Other Professionals

Intellectual Property

Introduction to Contracts

Agreement

Consideration

Capacity and Legality

Legal Assent

Contracts in Writing

Third-Party Rights to Contracts

Discharge and Remedies

Introduction to Sales and Lease Contracts

Title, Risk of Loss, and Insurable Interest

Performance and Obligations Under Sales and Leases

Remedies for Breach of Sales and Lease Contracts

Warranties

Negotiable Instruments: Negotiability and Transferability

Negotiation, Holder in Due Course, and Defenses

Liability, Defenses, and Discharge

Checks and Electronic Fund Transfers

Secured Transactions

Other Creditors Remedies and Suretyship

Bankruptcy and Reorganization

Agency Formation and Duties

Liability to Third Parties and Termination

Forms of Business Organization

Partnerships: Nature, Formation, and Operation

Partnerships: Termination and Limited Partnerships

Corporations: Formation and Financing

Corporations: Directors, Officers, and Shareholders

Corporations: Mergers, Consolidations, Terminations

Corporations: Securities and Investor Protection

Employment and Labor Law

Employment Discrimination

Administrative Law

Consumer Law

Environmental Law

Antitrust Law

The Nature of Property, Personal Property, and Bailments

Real Property

Landlord-Tenant Law

Insurance Law

Wills and Trusts

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