Deck 1: An Introduction to the Fundamentals of Dynamic Business Law

Question 1

Which of the following is not a purpose of the law as set forth in the text?

A) Encouraging taxation
B) Serving as an alternative to fighting
C) Encouraging social justice
D) Guaranteeing personal freedoms
E) Providing order such that one can depend on a promise or an expectation of obligations

Answer 1

A
Explanation: Purposes of law include the following: Providing order such that one can depend on a promise or an expectation of obligations; serving as an alternative to fighting; facilitating a sense that change is possible, but only after a rational consideration of options; encouraging social justice; guaranteeing personal freedoms; and serving as a moral guide by indicating minimal expectations of citizens and organizations.

Question 2

Which of the following involves disputes between private individuals or groups?

A) Public law
B) Private law
C) Governmental law
D) Public law and private law, but not governmental law
E) Public law, private law, and governmental law

Answer 2

B
Explanation: Private law involves disputes between private individuals or groups.

Question 3

A decision of a state supreme court is binding on a lower state court located in the state.

Answer 3

True
Explanation: If an issue is brought before a state court, the court will ascertain whether the state supreme court has made a decision on a similar issue, which would have then set a binding precedent that the lower court would need to follow.

Question 4

Ethical conversation is primarily about finding the one and only right thing to do.

Question 5

Which of the following involves remedies available to an individual when his or her rights are violated?

A) Civil law
B) Resolution law
C) Procedural law
D) Civil law and procedural law, but not criminal law
E) Civil law, criminal law, and procedural law

Question 6

Another name for case law is common law.

Question 7

Presidents claim the power to issue executive orders on the basis of their Article II, Section 1, constitutional power to "take care that the laws be faithfully executed."

Question 8

Many market transactions occur without legal guidelines.

Question 9

Penny is investigating what she needs to do to legally open a dog grooming business in her city. Which of the following would govern the business?

A) State statutes
B) City ordinances
C) Model laws
D) State statutes, city ordinances, and model laws
E) State statutes and city ordinances but not model laws

Question 10

Crimes are prosecuted by the government, not individuals.

Question 11

Which of the following most accurately sets forth ways into which law may be divided and classified?

A) National versus international.
B) Federal versus state.
C) Public versus private.
D) National versus international, and federal versus state, but not public versus private.
E) National versus international, federal versus state, and public versus private.

Question 12

Constitutions and statutes are complete in the sense of covering the detailed rules that affect government and business relations.

Question 13

A decision from a state supreme court in one state is binding on a trial court judge in another state if the other state has no applicable law on the issue involved.

Question 14

The term "stare decisis" means "reversing the decision."

Question 15

The social responsibility of business if formed by expectations employees have of employers.

Question 16

Business law consists of the suggested rules of conduct that govern commercial relationships.

Question 17

Which of the following involves disputes between private individuals or groups and their government?

A) Public law
B) Private law
C) Governmental law
D) Public law and private law, but not governmental law
E) Public law, private law, and governmental law

Question 18

Public law involves disputes between private individuals or groups and their government.

Question 19

Case law interpretations are law unless they are revoked later by new statutory law.

Question 20

Because of the law, we rely on the goodwill and dependability of one another.

Question 21

The group that urges states to enact model laws to provide greater uniformity of law is called the ______.

A) Model Law on Uniform State Laws Organization
B) Federal Uniform Law Commission
C) National Conference of Commissioners on Uniform State Laws
D) Model and Uniform Law Consortium
E) Uniform Statutory Enforcement Commission

Question 22

Laws are enforced by which of the following?

A) State legislatures
B) Federal Congress
C) Community consensus
D) Courts
E) All of these

Question 23

Which of the following references rules of cities and counties that govern matters not covered by federal or state law?

A) Area laws
B) Ordinances
C) Classifications
D) Filings
E) Reports

Question 24

The United States Constitution and the ________ establish the fundamental principles and rules by which the United States and the several states are governed.

A) Administrative rules
B) Procedural rules
C) Constitution of each state
D) Bylaws of each state
E) Both the procedural rules and the bylaws of each state

Question 25

Which of the following applies to situations in which someone commits an act against the public as a unit?

A) Civil law
B) Criminal law
C) Procedural law
D) Civil law and procedural law, but not criminal law
E) Civil law, criminal law, and procedural law

Question 26

A majority of citizens in a democracy can agree to permit certain authorities to make and enforce rules describing what behavior is permitted and encouraged in their community. These rules are what we refer to as the ______.

A) Electoral College
B) Community standard
C) Democratic validation
D) Staredecisis
E) Law

Question 27

Which of the following is a term used to refer to laws that are contained in one convenient location?

A) Area laws
B) Codes
C) Classifications
D) Filings
E) Reports

Question 28

Assume a restaurant chain is forced to pay damages to a person who suffered food poisoning after eating at the restaurant. What type of law is involved?

A) Public law only
B) Private law only
C) Civil law only
D) Public, private, and civil law
E) Private law and civil law

Question 29

When the organization in charge of proposing uniform laws proposes a statute, which of the following is true?

A) All states must adopt the uniform statute within one year.
B) All states must adopt the uniform statute within six months.
C) The uniform statute automatically goes into effect without any action by state legislatures.
D) A state legislature is not required to adopt the uniform statute; but if the state legislature decides to go forward with adoption, all portions of the statute must be adopted.
E) A state legislature can ignore the proposed uniform law, adopt it in full, or adopt it in part.

Question 30

Assume a businessperson who owns a computer equipment store is delinquent in paying rent to the landlord. The resulting dispute entails ______ law.

A) Public
B) Preferential
C) Consensual
D) Private
E) Black letter

Question 31

The term ______ involves the use of past decisions to guide future decisions.

A) Commonality
B) Precedent
C) Restatement
D) Uniformity
E) Modeling

Question 32

Crimes committed under criminal laws are prosecuted by which of the following?

A) Only injured individuals
B) Any interested person whether injured or not
C) State government only
D) The federal government only
E) The state or federal government

Question 33

Which type of law involves the rights and responsibilities involved in relationships between persons, and between persons and their government?

A) Criminal
B) Procedural
C) Civil
D) Natural
E) Positive

Question 34

Case law can be revoked by ______.

A) New statutes
B) Precedent
C) Staredecisis
D) Standard law
E) None of these because case law cannot be revoked.

Question 35

Assume the Securities and Exchange Commission prosecutes someone for insider trading. That prosecution is an example of ______ law.

A) Criminal
B) Procedural
C) Civil
D) Natural
E) Positive

Question 36

Legislative acts passed by the U.S. Congress can be found in ______.

A) The U.S. Code
B) State codes
C) The Uniform Register
D) The State Reporter
E) The State Reference Manual

Question 37

The rules and regulations put forth by legislatures are referred to as ______ law.

A) Administrative
B) Statutory
C) Uniform
D) Proper
E) Secondary

Question 38

Legislative acts passed by state legislatures can be found in ______.

A) The U.S. Code
B) State codes
C) The Uniform Register
D) The State Reporter
E) The State Reference Manual

Question 39

If a computer store dumps waste behind its building in violation of local, state, or federal environmental regulations, the resulting dispute focuses on ______ law.

A) Public
B) Preferential
C) Consensual
D) Private
E) Black letter

Question 40

The ______ is the supreme law of the land.

A) U.S. Constitution
B) Declaration of Independence
C) U.S. Code
D) Model Law
E) Uniform Code

Question 41

Which of the following cases is referenced in the text as a use of stare decisis as binding precedent, in that it abolished discriminatory policies for individuals of different racial backgrounds?

A) Curtisv. SchoolBoard
B) Laughlinv. Glover
C) Groverv. BreeBee
D) Brownv. BoardofEducation
E) Storyv. Price

Question 42

Which of the following are summaries of common law rules in a particular area of the law that have been enacted by most states?

A) Restatements of the Law
B) Codifications of the Law
C) Reporters
D) Reports of the Law
E) Codes of Reporters

Question 43

Assume an issue is decided by a state supreme court. On what cases is that decision binding?

A) The decision being appealed from and future cases in the state, but not past cases.
B) The decision being appealed from, future cases in the state, and past cases which must be reopened.
C) Only the decision being appealed from.
D) Only future cases.
E) The decision being appealed from and future cases in the state and in surrounding states, but not past cases.

Question 44

The idea that we should interact with other people in a manner consistent with the manner in which we would like for them to interact with us is called ______.

A) The Equalization Rule
B) The Ethical Realization Rule
C) The Silver Rule
D) The Golden Rule
E) The Ten Commandments Rule

Question 45

When courts rely on precedent, they are obeying ______.

A) Common analysis
B) Resjudicata
C) Staredecisis
D) Inrem process
E) Federal law

Question 46

Which of the following is true regarding administrative agencies?

A) There are state administrative agencies, but no federal administrative agencies.
B) There are federal administrative agencies, but no state administrative agencies.
C) There are state and federal administrative agencies, but no local administrative agencies.
D) Administrative agencies exist only at the local county level.
E) Administrative agencies exist at the federal, state, and local level.

Question 47

The ______ for ethical behavior seeks consideration of what the world would be like if a decision is copied by everyone else.

A) Golden Rule
B) Universalization test
C) Public Disclosure
D) Relevant Disclosure
E) World Rule

Question 48

In which of the following cases did the U.S. Supreme Court rely on precedent to strike down a school's admissions policy that reserved slots for members of minority races?

A) Storyv. Price
B) Brownv. BoardofEducation
C) UniversityofCaliforniav. Bakke
D) Groverv. UniversityofMississippi
E) Adkinsv. Price

Question 49

The ______ is a significant body of law to business activities including sales, banking, and warranty.

A) Federal Business Code
B) Model Business Code
C) Uniform Transactional Model
D) Uniform Commercial Code
E) Marketing Transaction Code

Question 50

In which school of jurisprudence is the concept of staredecisis rooted?

A) The Historical school
B) Legal-realism
C) The cost-benefit analysis school
D) Positivism
E) Cultural reenactment

Question 51

The "public disclosure" test for ethical behavior is sometimes referred to as the ______ test.

A) Television
B) Powell
C) Self-conscious
D) Golden
E) Primary

Question 52

Which of the following prepares Restatements?

A) State legislatures
B) The federal Congress
C) Local governing bodies
D) The Uniform Restatement Association
E) The American Law Institute

Question 53

Reference - The Stolen Book. Susan is told by Betty that Bob stole her business law book from her car. The next day Susan confronts Bob and slaps him for stealing her book. Bob had Susan arrested for slapping him. Susan sues Bob for damages in the amount of the book and for maliciously having her arrested. Claiming that she lied, Bob sues Betty for defamation. The prosecution by the government against Susan for slapping Bob involves which of the following?

A) Public law
B) Private law
C) Administrative law
D) Both public and private law
E) Comprehensive law.

Question 54

Which of the following is true regarding treaties at the federal level?

A) A treaty is generally negotiated by the executive branch and must then be approved by two-thirds of the Senate.
B) A treaty is generally negotiated by the executive branch and must then be approved by two-thirds of the House of Representatives.
C) A treaty is generally negotiated by the executive branch and must then be approved by two-thirds of the Senate and also by two-thirds of the House of Representatives.
D) A treaty is generally negotiated by the executive branch and no approval by the Senate or House of Representatives is needed.
E) A treaty is generally negotiated by the executive branch and must then be approved by two-thirds of the Senate and also by two-thirds of the state legislatures.

Question 55

Positive abstractions that capture our sense of what is good or desirable are ______.

A) Ethical ideas
B) Values
C) Conscience demands
D) Desirable principles
E) Action goals

Question 56

Which of the following are stakeholders of a business?

A) Shareholders
B) Employees
C) Customers
D) Management
E) All of these

Question 57

The concept of ______ suggests that individuals should have the freedom to disobey a law enacted by people if their conscience goes against the law and they believe the law is wrong.

A) Legal positivism
B) Natural law
C) Legal-realism
D) Conscience reaction
E) None of these

Question 58

Assume a judge writes that she is deciding to enforce a law in question but that her decision does not mean that she sees the law as the morally correct rule. The judge would have leanings in the direction of ______.

A) Legal positivism
B) Natural law
C) Legal-realism
D) Conscience reaction
E) None of these

Question 59

Candy wants to start an Internet business. She is told by the Chinese government that certain items on her site are objectionable and illegal, and that if she wants to do business in China, she must remove the objectionable material. Which of the following is true?

A) Candy is within her rights and should stand her ground. She is a U.S. citizen, and so long as she obeys U.S. laws, she can do business in China.
B) Candy is within her rights only if she petitioned her state senator and obtained his or her permission to proceed.
C) If Candy wants to do business in China, she must abide by Chinese law.
D) By international law, there is a set fee of $10,000 that Candy can pay if she wants to obey only U.S. law. If she pays that amount, she can continue in China without any modification.
E) By international law, there is a set fee of $5,000 that Candy can pay if she wants to obey only U.S. law. If she pays that amount, she can continue in China without any modification.

Question 60

Reference - The Stolen Book. Susan is told by Betty that Bob stole her business law book from her car. The next day Susan confronts Bob and slaps him for stealing her book. Bob had Susan arrested for slapping him. Susan sues Bob for damages in the amount of the book and for maliciously having her arrested. Claiming that she lied, Bob sues Betty for defamation. The lawsuit Susan has against Bob for damages for stealing her book involves which of the following?

A) Public law
B) Private law
C) Administrative law
D) Both public and private law
E) Comprehensive law.

Question 61

Reference - International Expansion. Zach wants to expand his coffee business internationally-into Zeno, a small remote country in Africa. His best friend Zora asks him if he plans to hire legal counsel for the expansion. Zach replies, "Of course not. The U.S. has the most strict laws regarding contracts, employment, and business practices. So long as I'm legal here, I'm legal anywhere. Besides, I studied up on Zeno law ten years ago, and I know it all." Zach proceeds and lands in jail in the remote country of Zeno for violating recently past laws protecting employees and mandating certain benefits. Authorities there claim that he sexually harassed an employee, failed to pay sufficient wages, and failed to give employees Zeno's mandated 12 weeks of vacation per year. Which of the following is true regarding Zach's defense that he thought he knew the law of Zeno because he had studied it some years before and that the laws under which he was arrested were new?

A) Rules in international business change frequently, and Zach had a duty to stay current. It is not a defense that he studied the law at one time and that the laws at issue were new.
B) Zach is entitled to rely as a defense on the fact that he had studied the law at one time. Officials in Zeno were charged with publicizing any changes.
C) If Zach can prove that the laws at issue were passed within the last twelve months before he was arrested, he will get out of jail because under international law, there is a twelve month grace period for foreigners.
D) If Zach can prove that the laws at issue were passed within the last six months before he was arrested, he will get out of jail because under international law, there is a six month grace period for foreigners.
E) Zach cannot be prosecuted so long as he was not aware he was violating the law. He did not have the requisite intent to perform a criminal act regardless of whether the laws were new.

Question 62

Reference - International Expansion. Zach wants to expand his coffee business internationally-into Zeno, a small remote country in Africa. His best friend Zora asks him if he plans to hire legal counsel for the expansion. Zach replies, "Of course not. The U.S. has the most strict laws regarding contracts, employment, and business practices. So long as I'm legal here, I'm legal anywhere. Besides, I studied up on Zeno law ten years ago, and I know it all." Zach proceeds and lands in jail in the remote country of Zeno for violating recently past laws protecting employees and mandating certain benefits. Authorities there claim that he sexually harassed an employee, failed to pay sufficient wages, and failed to give employees Zeno's mandated 12 weeks of vacation per year. The type of law involved in comparing laws between the U.S. and Zeno is ______.

A) Comparative law
B) Contributory law
C) Comprehensive law
D) Complete law
E) Delineated law

Question 63

Reference - Environmental Concerns. Connie, the president of a company that makes paper, has a new interest in the environment. She recently went to a seminar on environmental dangers and has decided to take steps to clean things up. She started at home and was also convicted to change things at work. Connie had to face the fact that her company has been cheating and is not in compliance with applicable environmental regulations due to dumping in a nearby river. Her company has never been cited, however, because it employs a very large number of people in the community, including the mayor's wife and the chief-of-police's brother. On her mission to clean things up, Connie has decided to go even further than the law requires and install the very latest environmental protections. When she announced her plan, the chair of the company's board of directors, Brooke, had a meeting with Connie. Brooke told Connie to analyze the situation carefully because the cost of the additional equipment would mean no dividend to shareholders and no raise for employees. Furthermore, Brooke told Connie that installing all the new equipment would result in higher prices for the company's paper products and could bankrupt the company because of foreign competition. Brooke hinted that Connie could be fired if she persisted. Brooke suggested that Connie just be concerned with a minimal standard of ethics. Connie, however, decides to go forward with her plan to clean things up under the theory that she wants to treat others in the same manner that she wants to be treated. Under Connie's theory, if she did not understand the importance of the environmental improvements, she would want them to be thrust upon her. Connie's idea is best referred to as ______.

A) The Golden Rule
B) The Disclosure Principle
C) The Help Peers Test
D) The Sarbanes-Oxley Rule
E) The Greenhouse Rule

Question 64

Reference - International Expansion. Zach wants to expand his coffee business internationally-into Zeno, a small remote country in Africa. His best friend Zora asks him if he plans to hire legal counsel for the expansion. Zach replies, "Of course not. The U.S. has the most strict laws regarding contracts, employment, and business practices. So long as I'm legal here, I'm legal anywhere. Besides, I studied up on Zeno law ten years ago, and I know it all." Zach proceeds and lands in jail in the remote country of Zeno for violating recently past laws protecting employees and mandating certain benefits. Authorities there claim that he sexually harassed an employee, failed to pay sufficient wages, and failed to give employees Zeno's mandated 12 weeks of vacation per year. Which of the following is true regarding Zach's legal problems in Zeno?

A) Zach can rely upon the federal statutory laws of the U.S. as a defense but not his U.S. Constitutional rights.
B) Zach is entitled to all U.S. Constitutional rights in Zeno because he is a U.S. citizen, but he cannot rely on U.S. statutory rights.
C) Zach can rely upon the federal statutory laws of the U.S. as a defense, and he is also entitled to all U.S. Constitutional rights in Zeno because he is a U.S. citizen.
D) Zach must obey the laws of Zeno when operating a business in Zeno and cannot rely upon U.S. laws as a defense.
E) Zach is subject to civil laws but not criminal laws of Zeno.

Question 65

Reference - To the Dogs. Alice loves all animals and is starting a new grooming business for dogs. She believes that animals are very important and plans to exceed any applicable regulations regarding cleanliness and health standards. Alice thinks some local regulations make no sense. For example, there is a local ordinance that all dogs must be kept on a leash at all times when not in a fenced area. Although Alice lives on a large lot with plenty of room for dogs to run free, she plans to obey the leash regulation and all others. She is aware, however, that members of the community have had success in changing local regulations by petitioning city council. Alice plans to proceed in that manner to attempt a change in the leash law. Alice's plan to obey all laws and regulations even if she does not agree with them is rooted in which of the following?

A) Legal positivism
B) The historical school
C) Legal realism
D) Natural law
E) Cost-benefit analysis

Question 66

Reference - Inattentive Driving. While cutting class and driving off campus to check on her new dress for the upcoming formal, Molly, a busy college student, is busy talking on her cell phone with her friend Sharon in an attempt to talk Sharon into going to the dance with Molly's brother who has a big crush on Sharon. Unfortunately for Molly, there is a statute in her state outlawing talking on a cell phone while operating a motor vehicle. Molly crashes into the side of Sam's new convertible when she looks down to pick up a can of soda she just dropped onto her new jeans. A police officer just down the street comes over to investigate. Molly explains to him that it was difficult to hold the cell phone in one hand, the soda in the other, and also drive. The officer was not impressed. Around that time Sam comes along. He is furious regarding the significant dent in his new car. Molly says she has insurance and that she will cover the whole incident. Sam says that is insufficient. The officer is annoyed because it is his lunch break. He tells Molly that she must obey the law, and proceeds to write several citations to her. Which of the following is true regarding Molly's predicament?

A) Molly can be given a ticket and prosecuted criminally by government officials, but she may not be sued for a civil violation.
B) Molly can be sued for a civil action and must pay for Sam's car, but she cannot be prosecuted for a criminal violation.
C) Molly can be sued in a civil action by Sam, and she can also be prosecuted by the government for a criminal violation.
D) So long as Molly has insurance and can pay for Sam's vehicle damage, she cannot be prosecuted in a civil or criminal action.
E) Sam can prosecute Molly in a criminal action, but he cannot sue her in a civil action.

Question 67

Reference - Inattentive Driving. While cutting class and driving off campus to check on her new dress for the upcoming formal, Molly, a busy college student, is busy talking on her cell phone with her friend Sharon in an attempt to talk Sharon into going to the dance with Molly's brother who has a big crush on Sharon. Unfortunately for Molly, there is a statute in her state outlawing talking on a cell phone while operating a motor vehicle. Molly crashes into the side of Sam's new convertible when she looks down to pick up a can of soda she just dropped onto her new jeans. A police officer just down the street comes over to investigate. Molly explains to him that it was difficult to hold the cell phone in one hand, the soda in the other, and also drive. The officer was not impressed. Around that time Sam comes along. He is furious regarding the significant dent in his new car. Molly says she has insurance and that she will cover the whole incident. Sam says that is insufficient. The officer is annoyed because it is his lunch break. He tells Molly that she must obey the law, and proceeds to write several citations to her. Which type or types of law is involved in the above situation considering Molly's interaction with both the officer and Sam?

A) Public law only
B) Private law only
C) Civil law and private law only
D) Criminal law and public law only
E) Public law, private law, civil law, and criminal law

Question 68

Explain the function of administrative agencies and why they are needed. List five independent agencies and five executive agencies.

Question 69

Reference - The Stolen Book. Susan is told by Betty that Bob stole her business law book from her car. The next day Susan confronts Bob and slaps him for stealing her book. Bob had Susan arrested for slapping him. Susan sues Bob for damages in the amount of the book and for maliciously having her arrested. Claiming that she lied, Bob sues Betty for defamation. The action Bob has against Betty for defamation involves which of the following?

A) Criminal law
B) Civil law
C) Insider law
D) Both criminal and civil law
E) Administrative law

Question 70

List the purposes of the law and discuss why these purposes are necessary for an ordered society.

Question 71

Reference - To the Dogs. Alice loves all animals and is starting a new grooming business for dogs. She believes that animals are very important and plans to exceed any applicable regulations regarding cleanliness and health standards. Alice thinks some local regulations make no sense. For example, there is a local ordinance that all dogs must be kept on a leash at all times when not in a fenced area. Although Alice lives on a large lot with plenty of room for dogs to run free, she plans to obey the leash regulation and all others. She is aware, however, that members of the community have had success in changing local regulations by petitioning city council. Alice plans to proceed in that manner to attempt a change in the leash law. Alice's idea that dogs have basic rights, and her plan to exceed laws involving cleanliness and health standards is rooted in which of the following?

A) Legal positivism
B) The historical school
C) Legal realism
D) Natural law
E) Cost-benefit analysis

Question 72

Reference - Inattentive Driving. While cutting class and driving off campus to check on her new dress for the upcoming formal, Molly, a busy college student, is busy talking on her cell phone with her friend Sharon in an attempt to talk Sharon into going to the dance with Molly's brother who has a big crush on Sharon. Unfortunately for Molly, there is a statute in her state outlawing talking on a cell phone while operating a motor vehicle. Molly crashes into the side of Sam's new convertible when she looks down to pick up a can of soda she just dropped onto her new jeans. A police officer just down the street comes over to investigate. Molly explains to him that it was difficult to hold the cell phone in one hand, the soda in the other, and also drive. The officer was not impressed. Around that time Sam comes along. He is furious regarding the significant dent in his new car. Molly says she has insurance and that she will cover the whole incident. Sam says that is insufficient. The officer is annoyed because it is his lunch break. He tells Molly that she must obey the law, and proceeds to write several citations to her. The law in Molly's state regulating cell phone usage would be classified as which of the following?

A) A statute
B) A type of common law
C) An executive order
D) A uniform law
E) A negative law

Question 73

Reference - Inattentive Driving. While cutting class and driving off campus to check on her new dress for the upcoming formal, Molly, a busy college student, is busy talking on her cell phone with her friend Sharon in an attempt to talk Sharon into going to the dance with Molly's brother who has a big crush on Sharon. Unfortunately for Molly, there is a statute in her state outlawing talking on a cell phone while operating a motor vehicle. Molly crashes into the side of Sam's new convertible when she looks down to pick up a can of soda she just dropped onto her new jeans. A police officer just down the street comes over to investigate. Molly explains to him that it was difficult to hold the cell phone in one hand, the soda in the other, and also drive. The officer was not impressed. Around that time Sam comes along. He is furious regarding the significant dent in his new car. Molly says she has insurance and that she will cover the whole incident. Sam says that is insufficient. The officer is annoyed because it is his lunch break. He tells Molly that she must obey the law, and proceeds to write several citations to her. The officer's reference to the need for Molly to obey duly authorized law is a reference to which of the following?

A) The historical school of law
B) Legal positivism
C) Natural law
D) Legal realism
E) Stare decisis

Question 74

Reference - To the Dogs. Alice loves all animals and is starting a new grooming business for dogs. She believes that animals are very important and plans to exceed any applicable regulations regarding cleanliness and health standards. Alice thinks some local regulations make no sense. For example, there is a local ordinance that all dogs must be kept on a leash at all times when not in a fenced area. Although Alice lives on a large lot with plenty of room for dogs to run free, she plans to obey the leash regulation and all others. She is aware, however, that members of the community have had success in changing local regulations by petitioning city council. Alice plans to proceed in that manner to attempt a change in the leash law. Alice's plan to seek change through following what others have done in the past by petitioning city council is rooted in which of the following?

A) Legal positivism
B) The historical school
C) Legal realism
D) Natural law
E) Cost-benefit analysis

Question 75

Reference - The Stolen Book. Susan is told by Betty that Bob stole her business law book from her car. The next day Susan confronts Bob and slaps him for stealing her book. Bob had Susan arrested for slapping him. Susan sues Bob for damages in the amount of the book and for maliciously having her arrested. Claiming that she lied, Bob sues Betty for defamation. Bob is anxious to see Susan punished for slapping him. Which of the following is true regarding action Bob can take?

A) Bob can hire his own lawyer to prosecute Susan and send her to jail but cannot bring a civil action if he prosecutes criminally.
B) Bob's privately retained lawyer may not prosecute Susan alone but may insist on jointly trying the criminal case with the government lawyer.
C) Bob can bring an additional civil action against Susan for slapping him only if he loses the criminal case.
D) Bob can hire his own lawyer to prosecute Susan and send her to jail, and Bob can also bring an additional civil action against Susan for slapping him.
E) Bob's privately retained lawyer may not prosecute Susan because that is the government's job, but the privately retained lawyer can bring a civil action against Susan.

Question 76

Reference - Environmental Concerns. Connie, the president of a company that makes paper, has a new interest in the environment. She recently went to a seminar on environmental dangers and has decided to take steps to clean things up. She started at home and was also convicted to change things at work. Connie had to face the fact that her company has been cheating and is not in compliance with applicable environmental regulations due to dumping in a nearby river. Her company has never been cited, however, because it employs a very large number of people in the community, including the mayor's wife and the chief-of-police's brother. On her mission to clean things up, Connie has decided to go even further than the law requires and install the very latest environmental protections. When she announced her plan, the chair of the company's board of directors, Brooke, had a meeting with Connie. Brooke told Connie to analyze the situation carefully because the cost of the additional equipment would mean no dividend to shareholders and no raise for employees. Furthermore, Brooke told Connie that installing all the new equipment would result in higher prices for the company's paper products and could bankrupt the company because of foreign competition. Brooke hinted that Connie could be fired if she persisted. Brooke suggested that Connie just be concerned with a minimal standard of ethics. Which of the following would be a stakeholder in the company?

A) The community only
B) The shareholders only
C) Future generations only
D) The community and shareholders only
E) The community, shareholders, and future generations

Question 77

Define the meaning of the term "staredecisis," discuss when it occurs in the legal system, and why this is needed in business.

Question 78

Judge Susie Justice, who is newly appointed to the bench, is presented with a question of law involving a cat named Chester who scratched a neighbor's antique jalopy. The neighbor, George, demands justice in the form of full payment from Chester's owner, Bill, and also requests that Chester be shipped to the local animal shelter. Bill says that he should not have to pay anything because Chester had never scratched before, that Chester should be allowed to stay in the neighborhood, and that he should be reimbursed for his legal fees by George who is a grump and never should have brought the lawsuit. Judge Justice is perplexed and wants to make a good decision since she is new to the bench. Describe how the judge should go about reaching a decision. Discuss in your answer the impact of cases from other jurisdictions assuming there is no relevant law in Judge Justice's jurisdiction. Also, assuming there is relevant law in this jurisdiction, discuss the applicable legal standard the judge should apply if she finds a relevant statute that conflicts with earlier case law.

Question 79

Explain in what ways a treaty between a foreign country and the U.S. is similar to a contract.

Question 80

Reference - Environmental Concerns. Connie, the president of a company that makes paper, has a new interest in the environment. She recently went to a seminar on environmental dangers and has decided to take steps to clean things up. She started at home and was also convicted to change things at work. Connie had to face the fact that her company has been cheating and is not in compliance with applicable environmental regulations due to dumping in a nearby river. Her company has never been cited, however, because it employs a very large number of people in the community, including the mayor's wife and the chief-of-police's brother. On her mission to clean things up, Connie has decided to go even further than the law requires and install the very latest environmental protections. When she announced her plan, the chair of the company's board of directors, Brooke, had a meeting with Connie. Brooke told Connie to analyze the situation carefully because the cost of the additional equipment would mean no dividend to shareholders and no raise for employees. Furthermore, Brooke told Connie that installing all the new equipment would result in higher prices for the company's paper products and could bankrupt the company because of foreign competition. Brooke hinted that Connie could be fired if she persisted. Brooke suggested that Connie just be concerned with a minimal standard of ethics. Which of the following is the minimal standard that a business must meet in a consideration of business ethics?

A) Decisions must be legal.
B) Decisions must meet the criteria of a follower of the WPH Framework for Business Ethics.
C) Decisions must meet the requirements of the most important stakeholders.
D) Decisions must receive a majority vote of acceptance by employees.
E) Both that decisions must be legal ad that decisions receive a majority vote of acceptance by employees.