Deck 4: Courts and Alternative Dispute Resolution

Question 1

Judicial review is the process through which Congress approves or rejects judicial appointments.

Answer 1

False

Question 2

Because the Internet is international in scope, it raises international jurisdictional issues.

Answer 2

True

Question 3

Jurisdiction refers to the right of a citizen to bring a case before a court.

Answer 3

False

Question 4

In a case involving Internet transactions, jurisdiction is proper only when the defendant conducts substantial business in the jurisdiction online.

Question 5

Under a state long-arm statute, a court can exercise jurisdiction only over certain nonresident defendants.

Question 6

A corporation's compliance with the laws of any jurisdiction in which it does business is complicated by the fact that those laws can be very different.

Question 7

When concurrent jurisdiction exists, the decision of whether to litigate in a federal or state court can be affected by the availability of different remedies.

Question 8

The effect of the minimum-contacts standard is that a business firm has to comply with the laws of any jurisdiction in which it targets customers.

Question 9

Large corporations that do business in many states are now automatically subject to jurisdiction in all of them.

Question 10

For purposes of diversity jurisdiction, a corporation is not considered a citizen of any particular state.

Question 11

The federal courts are an independent system of courts superior to the state courts.

Question 12

Only the United States Supreme Court exercises the power of judicial review.

Question 13

That a favorable court decision will be likely to remedy an injury is an element of standing.

Question 14

In a case based on diversity of citizenship, a federal court will apply to the dispute the law of all of the jurisdictions of the parties.

Question 15

Laws would have no discernible meaning without the courts to interpret them.

Question 16

Any court can exercise jurisdiction over any person.

Question 17

A federal court will apply federal law in a case involving a federal question.

Question 18

In the American governmental system, applying the laws to specific situations is the essential role of Congress.

Question 19

The amount of business a corporation does within a state can serve to subject or exempt the firm from that state's jurisdiction.

Question 20

Doing business within a jurisdiction is not enough for most courts to compel a defendant to appear.

Question 21

Because the Internet is international in scope, no party to an online dispute resolution proceeding can appeal to a court at any time.

Question 22

Tabulated Data Inc. files a suit against the United States, challenging a congressional enactment mandating that employers pay their employees' student loans. The process by which the court decides this issue is

A)judicial review.
B)voir dire .
C)unconstitutional.
D)the rule of four.

Question 23

A challenge to the constitutionality of an executive order that limits certain state actions is

A)beyond the jurisdiction of the courts.
B)solely for the executive to decide.
C)subject to the exclusive authority of Congress.
D)within the power of judicial review.

Question 24

Arbitration differs from other forms of alternative dispute resolution in that a third party hearing a dispute makes a decision for the parties.

Question 25

A question of law is generally the focus of an appellate court.

Question 26

A court's review of an arbitrator's decision is the same in scope as an appellate court's review of a trial court's decision.

Question 27

The simplest form of alternative dispute resolution is mediation.

Question 28

Parties to international business transactions should include certain clauses, including arbitration clauses, in their contracts to avoid added complexity in related legal proceedings.

Question 29

Two businesses-Berry Farms LLC and Canned Jams Inc.-dispute the quality of goods delivered by the seller and the price agreed to by the buyer. With regard to this dispute, the two parties can

A)any of the choices.
B)litigate it.
C)settle it between themselves.
D)resolve it through an alternative method, such as arbitration.

Question 30

The 1803 decision of the United States Supreme Court in the case of Marbury v. Madison established

A)the jurisdiction of the courts.
B)the writ of certiorari .
C)the power of judicial review.
D)the rule of four.

Question 31

There are no international conventions or treaties to assist in the enforcement of arbitration clauses because their enforcement is a national domain.

Question 32

Because the courts have defined interstate commerce broadly, arbitration agreements only slightly connected to interstate commerce may be enforced.

Question 33

To use arbitration as a method of dispute resolution, the parties must agree to arbitrate any dispute before it arises.

Question 34

Ovid wants to file a suit against Petra. For a court to hear the case,

A)both parties must consent.
B)the court must have jurisdiction.
C)the parties must have diversity of citizenship.
D)the parties must own property.

Question 35

Most states encourage or require parties to undertake a trial before alternative dispute resolution.

Question 36

Multinational corporations agreeing to resolve a dispute through a formal hearing before a panel of experts is a method of alternative dispute resolution.

Question 37

Negotiation requires the use of a neutral third party to facilitate a settlement.

Question 38

A choice-of-law clause permits a party to choose which nation's law to apply to a dispute arising under an international contract.

Question 39

An appellate court will not challenge a trial court's finding of fact, even if the finding is clearly erroneous.

Question 40

Generally, because the parties to arbitration are free to agree to the means of the method, a court will not hear a complaint from either party about the results.

Question 41

A trial court's capacity to directly observe witnesses' gestures, demeanor, and other nonverbal behavior supports the decision of an appellate court to

A)conduct a new trial and re-examine the witnesses.
B)apply the trial court's interpretation of the law in the case.
C)defer to the trial court's findings on questions of fact.
D)focus on what really happened in regard to the dispute.

Question 42

Franco files a suit in a federal district court against Greta. Franco loses the suit, appeals to the U.S. Court of Appeals for the Ninth Circuit, and loses again. Franco asks the United States Supreme Court to hear the case. The Court is

A)not required to hear the case.
B)required to hear the case because Franco lost in a federal court.
C)required to hear the case because Franco lost in a lower court.
D)required to hear the case because it is an appeal.

Question 43

State trial courts that are called county, district, superior, or circuit courts are most likely to have

A)appellate jurisdiction.
B)general jurisdiction.
C)limited jurisdiction.
D)no jurisdiction.

Question 44

Cattle House Steaks, a Colorado company, enters into a contract over the phone with Beef Packing Inc., an out-of-state corporation. If a dispute arises, a Colorado court can exercise jurisdiction over Beef Packing

A)under the minimum-contacts test.
B)on the basis of a federal question.
C)in no circumstances.
D)only if Beef Packing files the suit.

Question 45

Ty, a citizen of Utah, files a suit in a Utah state court against Vancouver Sales Corporation, a Washington state company that does business in Utah. The court has original jurisdiction, which means that

A)the case is being heard for the first time.
B)the court has a unique method of deciding whether to hear a case.
C)the court has unusual procedural rules.
D)the subject matter of the suit is interesting and new.

Question 46

The jurisdiction of the federal courts is limited because

A)the federal government has limited powers.
B)Congress sets the limits.
C)the territory of the United States is limited.
D)the states can exercise their authority under long arm statutes.

Question 47

A dispute between two cheese makers-Cheddar Creamery Company and Deli Dairy Inc.-falls under a state statute on unfair trade practices. The application of this law to these parties must be determined by

A)an appellate court.
B)a trial court.
C)a judge.
D)a jury.

Question 48

Steel Mill Inc. makes steel forms of substandard quality. Tower Building Company has never bought or used a Steel Mill form, but files a suit against the firm, alleging that its products are defective. The defendant's best ground for dismissal of the suit is that the plaintiff does not have

A)venue.
B)exclusive jurisdiction.
C)standing to sue.
D)minimum contacts.

Question 49

Heyli is not a resident of Iowa although her website can be accessed by residents of that state. Jen files a suit against Heyli in an Iowa state court. The court is most likely to have jurisdiction over Heyli if Jen's claim arises from

A)minimum contacts between Heyli and any Iowa resident.
B)substantial business between Jen and Heyli through Heyli's website.
C)no interactivity between Heyli and any Iowa resident through Heyli's website.
D)the Internet's capacity to bypass boundaries.

Question 50

A decision on a question of state law is final when

A)an issue of federal law is involved.
B)the United States Supreme Court rules on it.
C)the state's highest court make the decision.
D)a U.S. magistrate judge decides the case.

Question 51

Lazlo, a citizen of Minnesota, wants to file a suit against Nadji, a citizen of Ohio. The diversity of citizenship may be a basis for

A)no court to exercise jurisdiction.
B)a federal court to exercise jurisdiction.
C)any court to exercise jurisdiction.
D)the United States Supreme Court to refuse jurisdiction.

Question 52

Ginny and Haruto present their case to an Idaho state court for resolution. The court defers to a different Idaho court's findings of fact in the case, and focuses on the application and interpretation of the law to the dispute. The court currently deciding Ginny and Haruto's dispute is

A)an appellate court.
B)a trial court.
C)a U.S. magistrate's court.
D)a special inferior court.

Question 53

State trial courts that are called special inferior trial courts or minor judiciary courts are most likely to have

A)appellate jurisdiction.
B)general jurisdiction.
C)limited jurisdiction.
D)no jurisdiction.

Question 54

The concept of venue reflects the policy that a court trying a case should

A)be more or less informed or prejudiced for or against the defendant.
B)have exclusive jurisdiction over the subject matter.
C)be in the geographic neighborhood of the incident or parties in dispute.
D)have minimum contacts with the parties to the case.

Question 55

Maris files a suit against Ngu in a state court over an employment contract. The case proceeds to trial, after which the court renders a verdict. The case is appealed to the state's highest court. After that court's review of Maris v. Ngu , a party can appeal the decision to the United States Supreme Court if

A)a federal question is involved.
B)a state question is unresolved.
C)the party is unsatisfied with the result.
D)the state trial and appellate court rulings are different.

Question 56

Hobbes, a resident of Illinois, owns a warehouse in Indiana. A dispute arises over the ownership of the warehouse with Jules, a resident of Kentucky. Jules files a suit against Hobbes in Indiana. Regarding this suit, Indiana has

A)federal jurisdiction.
B)in personam jurisdiction.
C)in rem jurisdiction.
D)no jurisdiction.

Question 57

The availability of different remedies is a factor that can affect

A)a party's decision to litigate in a certain court.
B)the in rem jurisdiction of a court.
C)standing, venue, and other threshold issues.
D)the determination of whether a court can exercise jurisdiction.

Question 58

In a case based on diversity of citizenship, a court will apply

A)federal common law.
B)the relevant state law.
C)any law that the parties to the case agree to apply to their dispute.
D)the law that produces the most equitable result.

Question 59

Kari and Lillian, who are citizens of Mississippi, are involved in a case related to the adoption of their child. Over this case, Mississippi state courts have

A)concurrent jurisdiction with federal courts.
B)concurrent jurisdiction with other state courts.
C)exclusive jurisdiction.
D)no jurisdiction.

Question 60

A court's subject-matter jurisdiction may be limited by all of the following except

A)the subject of a lawsuit.
B)the sum in controversy.
C)whether the proceeding is a trial or an appeal.
D)the prior experience of the court in deciding similar disputes.

Question 61

A mandatory arbitration clause in an employment contract may not be enforced if

A)the arbitration rules and procedures are unfair to one of the parties.
B)the parties did not specify limits to the disputes that may be submitted.
C)the relevant arbitration statute does not exclude the claim in dispute.
D)a party who agreed to the clause later opposes arbitration.

Question 62

Liz and Moss disagree over the amount due under their contract. To avoid involving a third party in the resolution of their dispute, Liz and Moss could resolve their dispute through

A)arbitration.
B)litigation.
C)mediation.
D)negotiation.

Question 63

Juan sued Abram in state court, and lost his case. He immediately appealed to the intermediate level appellate court for his state, where he lost again. After losing again at the state supreme court level, he is so angry that he wants to take his case all the way to the U.S. Supreme Court. Does Juan have the right to have his case heard by the U.S. Supreme Court? What is the procedure he would use to get the U.S. Supreme Court to hear his case?

Question 64

Rock Quarry Inc. and Serene Vineyards agree to resolve a dispute in arbitration. The arbitrator meets with the quarry's representative to discuss the matter without the vineyard's representative being present. If this substantially prejudices the grape grower's rights, a court will most likely

A)dismiss the dispute.
B)review the record of the case.
C)file a complaint against the arbitrator.
D)set aside any award.

Question 65

With respect to international dispute resolution, a domestic court may enforce a foreign court's decision for any of the following reasons except

A)courtesy.
B)if the foreign decision is consistent with domestic national law and policy.
C)if a foreign plaintiff won a favorable judgment in the plaintiff's country.
D)a desire not to accommodate the foreign plaintiff.

Question 66

Cornel and Deanna resolve their dispute over the subsidence of Cornel's real property due to Deanna's excavation for an irrigation pond by having a neutral third party render a binding decision. This is

A)arbitration.
B)mediation.
C)negotiation.
D)early neutral case evaluation.

Question 67

The United States Supreme Court has held that a mandatory arbitration clause in an employment contract is generally enforceable because in agreeing to the clause, the parties waived

A)their right to sue.
B)the right to engage in other methods of alternative dispute resolution.
C)rights under statutes designed to protect the employee.
D)the right to terminate the employment relationship without cause.

Question 68

Jill and Kane, with their attorneys, meet to try to resolve a dispute. A neutral third party works with both sides and proposes a solution, but does not make a decision resolving the matter. This is

A)arbitration.
B)mediation.
C)negotiation.
D)none of the choices.

Question 69

In a suit to compel arbitration, a court will order a dispute to be arbitrated if

A)both parties consented to it.
B)the rules for the arbitration are fair to at least one of the parties.
C)the relevant state or federal statute does not include such claims.
D)all of the choices.

Question 70

Norwest Trucking Corporation files a suit in a state court against Bob's Service Company (BSC), and wins. BSC appeals the court's decision, asserting that the evidence presented at trial to support Norwest's claim was so scanty that no reasonable jury could have found for the plaintiff. Therefore, argues BSC, the appellate court should reverse the trial court's decision. Is the appellate court likely to reverse the trial court's findings with respect to the facts? Why or why not? What are an appellate court's options after reviewing a case?

Question 71

Fresh Seafood Inc. and Grocers Market LLC dispute a term in their contract. Because the parties have a long-standing business relationship that they would like to continue, they could settle their dispute through mediation because

A)the case will be heard by a jury.
B)the dispute will eventually go to trial.
C)the process is not as adversarial as litigation.
D)the resolution of the dispute will be decided an expert.

Question 72

Because litigating a complaint can be costly, and there is a backlog of cases in many courts, a businessperson is likely to attempt to resolve a dispute

A)through the court system.
B)with a method of alternative dispute resolution.
C)by anticipating that the dispute will resolve itself.
D)by filing a writ of certiorari in a different court.