Deck 5: Business Torts
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Deck 5: Business Torts
1
Defamation is a personal tort and so cannot occur when a false statement is made about a person's business or product.
False
2
Fraud exists when a person represents as a fact something he or she knows (or should know) is untrue.
True
3
The same act can result in both civil and criminal actions against the wrongdoer.
True
4
Any act intended to make another person fearful of an immediate physical harm is an assault .
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5
Probable cause to believe someone has shoplifted is a defense to a charge of false imprisonment in some states.
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6
An intentional tort requires intent to commit the act that causes harm, but does not require the intent to cause the harm .
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7
Common types of trespass to land include placing part of one's building on an adjoining landowner's property .
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8
Business torts are wrongs committed by an individual or a company against an individual or a company related to business.
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9
A statement made with the intention of deceiving another is puffery .
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10
Tort law is intended to compensate society as a whole for a wrong committed against it by an individual.
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11
Threats of physical force that result in a person being afraid to leave can constitute false imprisonment.
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12
A person will not be liable for wrongful interference if the interference results from legitimate competitive behavior.
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13
The intentional touching of another that is harmful or offensive is a battery .
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14
A tort is the only type of wrong that exists in the law.
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15
Through tort law, the state prosecutes those who commit criminal acts.
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16
Through fines, imprisonment, and possibly death, the state punishes those who commit torts.
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17
To increase market share, a businessperson can use any tactics necessary to steal a competitor's customers.
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18
False imprisonment occurs when a person justifiably restrains another.
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19
An intentional tort does not require an evil or harmful motive.
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20
Defamation requires the communication of a false statement of fact.
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21
Lewis violates a Maryland state statute that defines and prohibits the crimes of assault and battery. Maryland prosecutes Lewis. A state court orders Lewis to pay a fine. This illustrates
A) a criminal prosecution.
B) a tort lawsuit.
C) interference with Lewis in a way not permitted by law.
D) none of the choices.
A) a criminal prosecution.
B) a tort lawsuit.
C) interference with Lewis in a way not permitted by law.
D) none of the choices.
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22
If no harm results from a negligent action, there can be no suit for damages.
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23
Proximate cause exists if the injury would not have occurred "but for" the wrongful act.
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24
Failure to exercise the standard of care that a reasonable person would exercise with respect to another's business is trade libel .
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25
When someone suffers injury because of another's failure to live up to a required duty of care, negligence occurs.
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26
Businesses have a duty to exercise reasonable care to protect business invitees.
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27
Bob injures Carrie. If Carrie sues Bob through U.S. tort law , Bob may have to
A) pay for Carrie's injuries.
B) pay fines, and possibly go to jail.
C) suffer a similar injury from Carrie.
D) conduct public service campaigns to let others know that his actions were not acceptable.
A) pay for Carrie's injuries.
B) pay fines, and possibly go to jail.
C) suffer a similar injury from Carrie.
D) conduct public service campaigns to let others know that his actions were not acceptable.
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28
Foreseeability is the test for proximate cause.
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29
A plaintiff who voluntarily enters into a risky situation, knowing the risk involved, can still recover for negligence.
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30
Conversion is t he tort equivalent of theft crimes and a person can be responsible for both conversion and the tort crime .
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31
Strict liability is liability without fault.
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32
After a dinner at Rosario's Diner, Sharon believes that she was overcharged and shoves Tom, the waiter, who is injured when he falls. Tom sues Sharon, alleging that the shove was a battery. Sharon is liable if
A) Rosario's did not actually overcharge her.
B) she intended to shove Tom.
C) she acted out of anger.
D) Rosario's prices are too high.
A) Rosario's did not actually overcharge her.
B) she intended to shove Tom.
C) she acted out of anger.
D) Rosario's prices are too high.
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33
Publication of false information about another's property is not a tort.
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34
Ladd throws a rock intending to hit Minh but misses and hits Nasir instead. If Nasir sues Ladd for battery, Ladd
A) likely is liable to Nasir because he meant to throw the rock.
B) likely is not liable to Nasir because he meant to throw the rock at Minh.
C) likely is not liable to Nasir because he did not intend to throw the rock.
D) likely is liable if the rock slipped.
A) likely is liable to Nasir because he meant to throw the rock.
B) likely is not liable to Nasir because he meant to throw the rock at Minh.
C) likely is not liable to Nasir because he did not intend to throw the rock.
D) likely is liable if the rock slipped.
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35
The standard of reasonable care for professionals with regard to working in their area of expertise is the same as that of ordinary persons.
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36
Mike pushes Nora, who falls and breaks her arm. Mike is liable for the injury
A) if he intended to push Nora.
B) only if he did not intend to break Nora's arm.
C) only if he had a bad motive for pushing Nora.
D) only if he intended to break Nora's arm.
A) if he intended to push Nora.
B) only if he did not intend to break Nora's arm.
C) only if he had a bad motive for pushing Nora.
D) only if he intended to break Nora's arm.
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37
Making statements that make a reasonable person doubt another's legal ownership of property is not a tort.
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38
In most states, plaintiffs can recover for injuries even if they were partially at fault .
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39
Landlords who do not maintain common areas have violated a duty to protect their tenants.
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40
The elements of negligence include intent .
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41
Bess, an accountant, distributes a handbill to her business clients and potential customers accusing her competitor Clara of being a thief. The statement is defamatory if
A) a recipient of a handbill orally repeats it.
B) Clara suffers emotional distress.
C) the statement is true.
D) the statement is false.
A) a recipient of a handbill orally repeats it.
B) Clara suffers emotional distress.
C) the statement is true.
D) the statement is false.
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42
In a digital ad, Great Treks, a retail sports equipment store, falsely accuses its competitor Headwaters of selling stolen kayaks and other gear. Headwaters' sales decrease. Great Treks has most likely committed
A) conversion.
B) trespass to personal property.
C) slander of quality.
D) slander of title.
A) conversion.
B) trespass to personal property.
C) slander of quality.
D) slander of title.
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43
Len, a MedCo Supplies salesperson, follows Nancy, a salesperson for National Health Products, a MedCo competitor, as she visits locations to make sales. After Nancy leaves, Len approaches and solicits each of her customers. Len is most likely liable for
A) conversion.
B) wrongful interference with a business relationship .
C) wrongful interference with a contractual relationship.
D) none of the choices.
A) conversion.
B) wrongful interference with a business relationship .
C) wrongful interference with a contractual relationship.
D) none of the choices.
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44
Bette backs out of City Parking Garage, colliding with Dill's car. Dill may recover $7,500 to cover the cost of the repairs if Bette failed to act as
A) a blameless person.
B) a faultless person.
C) a holistic person.
D) a reasonable person.
A) a blameless person.
B) a faultless person.
C) a holistic person.
D) a reasonable person.
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45
Larry takes Kyla's accounting textbook and hides it so that she cannot find it during the week before the exam. Larry most likely committed
A) disparagement of property.
B) interference with a business relationship.
C) trespass to land.
D) trespass to personal property.
A) disparagement of property.
B) interference with a business relationship.
C) trespass to land.
D) trespass to personal property.
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46
Ken tells Laurie that his Mazda Miata has never been in an accident, when Ken knows that the car has been in two major collisions. This may give rise to an action for fraud, because the statement is one of
A) puffery.
B) fact.
C) illusion.
D) opinion.
A) puffery.
B) fact.
C) illusion.
D) opinion.
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47
Buddy's Burgers advertises so effectively that the regular customers of its competitor Slider Sandwiches patronize Buddy's instead of Slider. This is
A) conversion.
B) wrongful interference with a business relationship .
C) wrongful interference with a contractual relationship.
D) none of the choices.
A) conversion.
B) wrongful interference with a business relationship .
C) wrongful interference with a contractual relationship.
D) none of the choices.
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48
Bram knows that the pipes in his building leak, but he tells Cassie, a potential buyer, that there are no leaks. Based on this, Cassie buys the building. Bram likely committed
A) trade libel.
B) conversion.
C) fraud.
D) wrongful interference with a business relationship.
A) trade libel.
B) conversion.
C) fraud.
D) wrongful interference with a business relationship.
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49
Calvin, a clerk at Bike World, takes a bike from the store without the owner's permission. Calvin is liable for conversion
A) if he damages the bike.
B) if he does not have a good reason for taking the bike.
C) if he fails to prevent a theft of the bike from his possession.
D) under any circumstances.
A) if he damages the bike.
B) if he does not have a good reason for taking the bike.
C) if he fails to prevent a theft of the bike from his possession.
D) under any circumstances.
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50
Egan is shopping at a local store when the store clerk detains him for suspected shoplifting. The clerk is busy and locks Egan in a room while the clerk finishes helping several customers. The clerk forgets about Egan until 3 hours later when the clerk calls the police. The store most likely
A) is not liable for false imprisonment.
B) is liable for false imprisonment.
C) is liable for battery.
D) is liable for assault.
A) is not liable for false imprisonment.
B) is liable for false imprisonment.
C) is liable for battery.
D) is liable for assault.
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51
Biff trespasses on Cruise Auto's property. Through the use of reasonable force, Cruise's security guard Dan detains Biff until the police arrive. Cruise
A) is liable for assault.
B) is liable for defamation.
C) is liable for false imprisonment.
D) is not liable for any tort.
A) is liable for assault.
B) is liable for defamation.
C) is liable for false imprisonment.
D) is not liable for any tort.
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52
Fred, a clerk at a Games Store, takes a video game player and a selection of games from the store without permission. Fred is liable for
A) slander of quality.
B) none of the choices.
C) conversion.
D) wrongful interference with a business relationship.
A) slander of quality.
B) none of the choices.
C) conversion.
D) wrongful interference with a business relationship.
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53
The reliance that gives rise to liability for fraud requires
A) a threat of physical force.
B) a misrepresentation of fact knowing that it is false.
C) puffery.
D) a statement communicated to at least one person other than the plaintiff.
A) a threat of physical force.
B) a misrepresentation of fact knowing that it is false.
C) puffery.
D) a statement communicated to at least one person other than the plaintiff.
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54
Allen applies for a position with Builders Inc. Allen's previous employer, Construction Company, gives Builders a review of Allen that includes negative statements Construction knows are untrue. This is
A) defamation.
B) not defamation because Allen was actually employed by Construction.
C) not defamation because Builders has not yet refused to hire Allen.
D) not defamation because the review was not published.
A) defamation.
B) not defamation because Allen was actually employed by Construction.
C) not defamation because Builders has not yet refused to hire Allen.
D) not defamation because the review was not published.
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55
Noah commits an assault and battery against Odell, causing her injuries. Odell files a lawsuit against Noah. A state court orders Noah to pay Odell for her injuries. This illustrates
A) a criminal prosecution.
B) a tort case.
C) interference with Noah in a way not permitted by law.
D) none of the choices.
A) a criminal prosecution.
B) a tort case.
C) interference with Noah in a way not permitted by law.
D) none of the choices.
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56
In a tweet to Ann, a reporter for the website Blast!, Carl falsely accuses Database Corporation of cheating on its taxes. This is
A) defamation.
B) not defamation because it is an opinion.
C) not defamation because it refers to a crime, not a tort.
D) not defamation because it was communicated electronically.
A) defamation.
B) not defamation because it is an opinion.
C) not defamation because it refers to a crime, not a tort.
D) not defamation because it was communicated electronically.
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57
Bella owns a farm in Colorado. Doyle drives his sport utility vehicle off a highway and onto Bella's land. Doyle commits trespass if he
A) does not have Bella's permission to drive on the property.
B) drives onto the property for recreational purposes.
C) harms the property in a material way.
D) harms the property in any way.
A) does not have Bella's permission to drive on the property.
B) drives onto the property for recreational purposes.
C) harms the property in a material way.
D) harms the property in any way.
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58
Quint sells cars for Rough Ride Motors. To make a sale, he asserts that a certain model of a Swifty auto is the "best one ever made." This is
A) fraud even if the statement is the truth.
B) fraud if Quint believes that the statement is not true.
C) fraud if Quint is stating his opinion, not the facts.
D) not fraud.
A) fraud even if the statement is the truth.
B) fraud if Quint believes that the statement is not true.
C) fraud if Quint is stating his opinion, not the facts.
D) not fraud.
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59
Trespass to land is committed if Myron
A) walks across Lucy's land with her permission.
B) leaves his sprinklers on and causes water to flood Lucy's property.
C) flies in an airplane at 25,000 feet over Lucy's land.
D) puts up a neon sign that lights up Lucy's property.
A) walks across Lucy's land with her permission.
B) leaves his sprinklers on and causes water to flood Lucy's property.
C) flies in an airplane at 25,000 feet over Lucy's land.
D) puts up a neon sign that lights up Lucy's property.
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60
DIY, a retail hardware store, must use reasonable care on its premises to warn its invitees of
A) all possible dangers.
B) hidden dangers.
C) dangers about which the business does not, or should not, know.
D) no dangers.
A) all possible dangers.
B) hidden dangers.
C) dangers about which the business does not, or should not, know.
D) no dangers.
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61
Jay's Mini-Golf Park fails to maintain its equipment and Kelly, a patron, is injured. Jay's likely has committed
A) assault.
B) battery.
C) false imprisonment.
D) negligence.
A) assault.
B) battery.
C) false imprisonment.
D) negligence.
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62
Driving his motorcycle negligently, Jack crashes into a streetlight. The streetlight falls, smashing through the roof of a house, killing Kris. But for Jack's negligence, Kris would not have died. Regarding the death, the crash is
A) the cause in fact.
B) the intervening cause.
C) the assumption of the risk.
D) the superseding cause.
A) the cause in fact.
B) the intervening cause.
C) the assumption of the risk.
D) the superseding cause.
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63
Ida slips and falls on the deck of Jet's Tour Boat and is injured. She incurs medical expenses of $500,000, and files a suit against Jet to recover. Under the "50 percent" rule, if Ida is more than 50 percent at fault, she will recover
A) nothing.
B) half of the expenses.
C) the amount of the expenses attributable to Jet's fault.
D) the entire amount of the expenses.
A) nothing.
B) half of the expenses.
C) the amount of the expenses attributable to Jet's fault.
D) the entire amount of the expenses.
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64
Casey is driving a car in which Deb is a passenger when an accident occurs. Casey and Deb are not injured. Casey is not liable to Deb on a negligence theory because
A) Casey was not injured.
B) Casey did not apparently intend to cause an accident.
C) Deb must have been comparatively negligent.
D) Deb was not injured.
A) Casey was not injured.
B) Casey did not apparently intend to cause an accident.
C) Deb must have been comparatively negligent.
D) Deb was not injured.
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65
Richard, an engineer, supervises the construction of a new mountainside roadway. When the road collapses in a landslide due to faulty grading, Richard is sued by motorists and hikers injured in the collapse. As a professional engineer, Richard is held to the same standard of care as
A) ordinary persons.
B) other engineers.
C) other professionals, including doctors, dentists, and lawyers.
D) those injured in the collapse of the bridge.
A) ordinary persons.
B) other engineers.
C) other professionals, including doctors, dentists, and lawyers.
D) those injured in the collapse of the bridge.
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66
Shelly owns Reclaim & Restore (R&R), a demolition company. Demolition of a Quad City brownstone by an R&R crew injures Penny, a spectator. Under the doctrine of strict liability, Shelly must pay for Penny's injury
A) only if the R&R crew failed to use reasonable care.
B) only if the R&R crew was greater than 50 percent at fault.
C) only if the R&R crew was entirely at fault.
D) without regard to the fault of the R&R crew.
A) only if the R&R crew failed to use reasonable care.
B) only if the R&R crew was greater than 50 percent at fault.
C) only if the R&R crew was entirely at fault.
D) without regard to the fault of the R&R crew.
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67
Clay, a driver for Delivery Company, causes a multi-vehicle accident on a city street. Clay and Delivery are liable to
A) all those who were injured.
B) only those who were uninsured.
C) only those whose injuries could have been reasonably foreseen.
D) only those whose vehicles were closest to Clay's vehicle.
A) all those who were injured.
B) only those who were uninsured.
C) only those whose injuries could have been reasonably foreseen.
D) only those whose vehicles were closest to Clay's vehicle.
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68
Ichiro is injured in a two-car accident and sues Heather, the driver of the other vehicle, alleging negligence. Heather claims that Ichiro was driving more carelessly than she was. Comparative negligence may reduce Ichiro's recovery
A) even if Ichiro was only slightly at fault.
B) only if Ichiro and Heather were equally at fault.
C) only if Ichiro was less at fault than Heather.
D) only if Ichiro was more at fault than Heather.
A) even if Ichiro was only slightly at fault.
B) only if Ichiro and Heather were equally at fault.
C) only if Ichiro was less at fault than Heather.
D) only if Ichiro was more at fault than Heather.
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69
Dixie, a driver for Express Delivery Company, leaves the truck's motor running in neutral and carelessly forgets to set the parking brake while she makes a delivery. The truck rolls and crashes into a nearby gas station pump, igniting a fire that spreads quickly to a construction site a block away. A burned wall col-lapses onto a crane, which falls on Fazio, a bystander, and injures him. What must Fazio show to recover damages from Express Delivery?
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70
Data Analytics, Inc., and eProducts Corporation market competing software products. Data Analytics launches an advertising campaign claiming that eProducts, instead of testing software before it is marketed, has customers "test" the software by using it. eProducts knows this is not true but begins to lose sales to Data Analytics. On what ground could eProducts sue Data Analytics for injury to eProducts' reputation?
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71
Dian enters a boat race on rough waters. If her boat crashes and she sues the organization that ran the race for negligence, their best defense would be
A) Dian assumed the risk of the boat crash when she chose to participate in the race.
B) there was no harm to Dian.
C) there was no proximate cause between the race and the crash.
D) there was no cause in fact.
A) Dian assumed the risk of the boat crash when she chose to participate in the race.
B) there was no harm to Dian.
C) there was no proximate cause between the race and the crash.
D) there was no cause in fact.
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72
Excavation, Inc., uses explosives to prepare land for construction projects. Strict liability is imposed on this activity because
A) Excavation is a corporation.
B) the activity is inherently negligent.
C) the activity is extremely risky.
D) the amount of liability can be added to the costs of construction.
A) Excavation is a corporation.
B) the activity is inherently negligent.
C) the activity is extremely risky.
D) the amount of liability can be added to the costs of construction.
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