Deck 1: The Legal and Constitutional Environment of Business

Question 1

Whether a law is constitutional depends on its source.

Answer 1

False

Question 2

Every state has adopted the Uniform Commercial Code in its entirety.

Answer 2

False

Question 3

Uniform laws apply in all states,including those in which the laws have not been adopted.

Answer 3

False

Question 4

A decision on a given issue by a court is not binding on an inferior court.

Question 5

A defendant is a person against whom a lawsuit is brought.

Question 6

Equitable remedies include injunctions and decrees of specific performance.

Question 7

Federal administrative agencies specify the powers of Congress.

Question 8

The federal government cannot regulate commerce within a state,even if the commerce concerns more than one state.

Question 9

A federal law that conflicts with the U.S.Constitution will be deemed unconstitutional.

Question 10

A state law that conflicts with the U.S.Constitution will be deemed unconstitutional.

Question 11

In most states,a court can grant legal remedies or equitable remedies,but not both in the same case.

Question 12

Equity is a branch of law that seeks to supply remedies other than damages.

Question 13

The U.S.Constitution is the supreme law of the United States.

Question 14

Judges use precedent when deciding a case in a common law legal system.

Question 15

A state constitution is supreme within the state's borders so long as it does not conflict with the U.S.Constitution or a federal law.

Question 16

Common law is not a source of legal authority.

Question 17

Monetary damages is a remedy at law.

Question 18

Common law is a term for social manners and customs that are familiar to most of us.

Question 19

Constitutional law includes only the U.S.Constitution.

Question 20

A substantive law creates or defines legal rights and obligations.

Question 21

The River City Council,the Santa Clara County Board,the Texas state legislature,and the U.S.Congress enact laws.These laws constitute

A)administrative law.
B)case law.
C)stare decisis.
D)statutory law.

Question 22

Voters in North Carolina approve a new state constitution,after which the Ocean City Council passes new ordinances,the North Carolina Department of Parks and Recreation issues new rules,and the Ocean City Chamber of Commerce sends out new instructions.Sources of law do not include

A)instructions issued by the Ocean City Chamber of Commerce.
B)ordinances passed by the Ocean City Council.
C)rules issued by the North Carolina Department of Parks and Recreation.
D)state constitutions passed by popular vote.

Question 23

A reference to "28 U.S.C.Section 1332" means that a federal court's decision can be found on Page 28 of Section 1332 of the United States Cases.

Question 24

The First Amendment protects symbolic speech.

Question 25

Rules and regulations adopted by federal administrative agencies are compiled in the Code of Federal Regulations.

Question 26

The Bill of Rights protects individuals against various types of interfer?ence by the states.

Question 27

A federal law that promotes a religion is unconstitutional.

Question 28

A restriction on commercial speech that implements a substantial government interest may be valid.

Question 29

The First Amendment does not protect commercial speech as extensively as noncommercial speech.

Question 30

A law that restricts a fundamental right does not violate substantive due process if it promotes a compelling state interest.

Question 31

The U.S.Congress enacts a new federal statute that sets different stan?dards for the liability of businesses selling defective products.This statute applies

A)only to matters not covered by state law.
B)only to those states that adopt the statute.
C)to all of the states.
D)to none of the states.

Question 32

Political speech that would otherwise be protected by the First Amendment is prohibited if its source is a corporation.

Question 33

If a provision in the Florida state constitution conflicts with a provision in the U.S.Constitution

A)neither provision applies.
B)the provisions are balanced to reach a compromise.
C)the state constitution takes precedence.
D)the U.S.Constitution takes precedence.

Question 34

The state governments retain all powers not specifically delegated to the federal government.

Question 35

The federal government retains all powers not specifically delegated to the states.

Question 36

A law that restricts a fundamental right violates substantive due process regardless of the type of state interest that the law "promotes."

Question 37

Mary is a consultant to the National Conference of Commissioners on Uniform State Laws.This organization

A)adopts uniform laws for the states.
B)applies uniform laws to the states.
C)drafts uniform laws for adoption by the states.
D)imposes uniform laws on the states.

Question 38

Local governments,including cities,can exercise police powers.

Question 39

The First Amendment protects obscene speech.

Question 40

When state regulations impinge on interstate commerce,commerce must yield to the regulations.

Question 41

When Oceania,Inc. ,based in New York,does business internationally,the firm may be subject to international law.The sources of this law include

A)the laws of individual nations only.
B)treaties and international organizations only.
C)the laws of individual nations,and treaties and international organizations.
D)none of the choices.

Question 42

In a suit against Kathy,Lon obtains specific performance.This is

A)an equitable remedy and a remedy at law.
B)an equitable remedy only.
C)a remedy at law only.
D)not a remedy.

Question 43

Tom files a suit against the state of Utah,claiming that a Utah state law violates the commerce clause.The court will agree if the statute

A)imposes a substantial burden on interstate commerce.
B)promotes the public order,health,safety,morals,or general welfare.
C)regulates activities within Utah's borders.
D)regulates private activities.

Question 44

California enacts a statute to ban advertising in "bad taste." This stat?ute would likely be held by a court to be

A)an unconstitutional restriction of speech.
B)constitutional under the First Amendment.
C)justified by the need to protect individual rights.
D)necessary to protect state interests.

Question 45

Dian,a U.S.citizen,is the owner of Elemental Foods,Inc.The Bill of Rights embod?ies a series of protections for Dian against various types of interference by

A)other business entities only.
B)private individuals only.
C)the government only.
D)other business entities,private individuals,and the government.

Question 46

The Uniform Commercial Code has been adopted,at least in part,in

A)all states.
B)forty-five states.
C)twenty-five states.
D)no states.

Question 47

Kurt is a judge hearing the case of Local Co.v.Macro Corp.Applying the relevant rule of law to the facts of the case requires Kurt to find previ?ously decided cases that,in relation to the case under con?sidera?tion,are

A)as different as possible.
B)as similar as possible.
C)at odds.
D)exactly identical.

Question 48

Household Furnishings,Inc. ,distributes its merchandise on an inter?state basis.Under the commerce clause,Congress has the power to regulate

A)any commercial activity in the United States that substantially affects interstate commerce.
B)only activities that are in intrastate commerce.
C)only activities that are in local commerce.
D)only activities that are not in commerce.

Question 49

Miles,the president of Nano Games Corporation,claims that certain ac?tions by the federal government and the state of Oklahoma infringe on rights guar?anteed by the Bill of Rights.Most of these rights limit actions by

A)neither Oklahoma nor the federal government.
B)Oklahoma and the federal government.
C)Oklahoma only.
D)the federal government only.

Question 50

The federal government and the state governments constitute the U.S.le?gal system.This system is based on the legal system of

A)Ancient Greece.
B)Ancient Rome.
C)England.
D)France.

Question 51

Emergent Power Corporation regularly expresses opinions on political issues.Under the First Amendment,corporate political speech is given

A)little protection.
B)no protection.
C)significant protection.
D)total protection.

Question 52

Dixie is a victim of Enoch's violation of a criminal law.Criminal law is con?cerned with

A)the prosecution of private individuals by other private individuals.
B)the prosecution of public officials by private individuals.
C)the relief available when a person's rights are violated.
D)wrongs committed against the public as a whole.

Question 53

Franco,the president of GigaSales Company,claims that certain actions by the federal government and by the state of Idaho infringe on rights guar?anteed by the Bill of Rights.All of these rights limit actions by

A)Idaho and the federal government.
B)Idaho only.
C)neither Idaho nor the federal government.
D)the federal government only.

Question 54

Congress enacts the Tight Money Act (TMA)of 2009 to prohibit "major busi?ness entities" from making political contri?bu?tions that individuals can make.A court would likely hold the TMA to be

A)an unconstitutional restriction of speech.
B)constitutional under the First Amendment.
C)justified by the need to protect individual rights.
D)necessary to protect national interests.

Question 55

Areas of the law not governed by statutory or administrative law are

A)governed by the common law.
B)open to each individual's own interpretation.
C)regulated by the states under the U.S.Constitution.
D)subject to local ordinances.

Question 56

The Federal Trade Commission (FTC)is a government agency that issues rules,orders,and decisions.The Georgia state legislature enacts statutes.The Jackson County Board and the Peach City Council enacts or?di?nances.Administrative law includes

A)all law that affects a business's operation.
B)decisions,orders,and rules of the FTC.
C)ordinances enacted by county board and the city council.
D)statutes enacted by the state legislature.

Question 57

The police obtain a search warrant and search Dave's apartment.After yelling obscenities at the officers,Dave confesses to a crime and impli?cates his friends.The Constitution protects against

A)obscene speech only.
B)implication of others only.
C)unreasonable searches only.
D)obscene speech,implication of others,and unreasonable searches.

Question 58

As a judge,Sylvia applies common law rules.These rules develop from

A)administrative regulations.
B)court decisions.
C)federal and state statutes.
D)proposed uniform laws.

Question 59

Indiana enacts a statute that bans the distribution of anonymous politi?cal leaflets.A court would likely hold this to be

A)an unconstitutional restriction of speech.
B)constitutional under the First Amendment.
C)justified by the need to protect individual rights.
D)necessary to protect state interests.

Question 60

The "common law" is referred to as the common law because

A)it consists of social manners and customs familiar to most of us.
B)it was originally applied only to commoners in England.
C)it was more or less uniform throughout England.
D)it focuses on minor,common violations.

Question 61

Uriah is charged with reckless driving and under Vermont state law is notified of an opportunity to be heard before his license is suspended.The requirement that no person be deprived of "life,liberty,or property without due process of law" is in

A)no provision in the U.S.Constitution.
B)Article I's commerce clause.
C)the First Amendment.
D)the Fifth and Fourteenth Amendment's due process clauses.

Question 62

Ohio enacts a law requiring all businesses in the state to donate 10 per?cent of their profits to Protestant churches that provide certain services to persons whose income is below the poverty level.PriceLess Stores files a suit to block the law's enforcement.The court would likely hold that this law violates

A)no provision in the U.S.Constitution.
B)the commerce clause.
C)the First Amendment.
D)the due process clause.

Question 63

Xtreme Publications,Inc. ,disseminates obscene materials.Under nu?mer?ous state and federal statutes,this is

A)a crime.
B)a privilege.
C)a right under the commerce clause.
D)a right under the First Amendment.

Question 64

The Olympic Torch Relay passed through Juneau,Alaska,on its way to the winter games in Salt Lake City,Utah,in 2002.Students at Juneau-Douglas High School (JDHS)were permitted to leave class to observe the relay.As it passed in front of the school,Joseph Frederick,a senior,and his friends unfurled a banner bearing the phrase: "BONG HiTS 4 JESUS." Deborah Morse,JDHS's principal,confiscated the banner and suspended Frederick for ten days.Frederick's suit against Morse was eventually appealed to the United States Supreme Court.The Court's opinion in the case is at Morse v.Frederick,__ U.S.__,147 S.Ct.2618,168 L.Ed.2d 290 (2007).Specifically where can this opinion be found?

Question 65

Machismo Motor Sales Corporation regularly advertises its off-the-road and all-terrain vehicles and other products.Under the First Amendment,these ads and other commercial speech are given

A)less protection than noncommercial speech.
B)more protection than symbolic speech.
C)no protection.
D)the same protection as defamatory speech.

Question 66

Acorn Brewery,Inc. ,makes and sells alcoholic beverages with labels that display a drawing of a squirrel making the gesture generally known as "giving the finger." Acorn applies to the Ohio State Liquor Authority (OSLA)for brand-label approval to sell the beer in Ohio.Without consid?er?ing alternatives,OSLA denies approval because "the label could ap?pear in grocery stores,with obvious exposure on the shelf to children of tender age." Why would a court hold that the denial of Acorn's applica?tion vio?lates the First Amendment?

Question 67

A Massachusetts state statute imposes a prison term,without a trial,on all street vendors who operate in certain areas.A court would likely hold this statute to be

A)constitutional.
B)unconstitutional under the commerce clause.
C)unconstitutional under the due process clause.
D)unconstitutional under the free exercise clause.

Question 68

The Montana Supreme Court decides the case of National Co.v.Overseas Corp.Of nine justices,eight believe the judgment should be in National's fa?vor.Justice Pine disagrees and writes a separate opinion.This opinion is

A)a concurring opinion.
B)a dissenting opinion.
C)a minority opinion.
D)a unanimous opinion.

Question 69

Dribble Beers,Inc. ,markets alcoholic beverages.A federal regulation bans the disclosure of the alcohol content of the beverages on Dribble's labels and those of other marketers.A court would likely hold this regulation to be

A)an unconstitutional restriction of speech.
B)constitutional under the First Amendment.
C)justified by the need to protect individual rights.
D)necessary to protect national interests.

Question 70

Potable Beverage Company appeals a decision against it,in favor of Quench Thirst Corporation,from a lower court to a higher court.Potable is

A)the appellant.
B)the appellee.
C)the defendant.
D)the plaintiff.

Question 71

Metro City Center is an area of tourist attractions in Metro City.The Center's director,under the city's authority,issues a rule to require street performers to obtain permits.The Center cites Nobby,a magician,for performing without a permit.Under the principles discussed in "A Sample Court Case," Berger v.City of Seattle,the Center most likely acted

A)in violation of Nobby's rights under the First Amendment.
B)reasonably in issuing the rule but not in citing Nobby.
C)reasonably in citing Nobby but not in issuing the rule.
D)reasonably in the circumstances and under the law.

Question 72

In 2009,Congress enacts the Act to Restrict Commercial Speech (ARCS).The ARCS will be considered valid

A)if it directly advances a substantial government interest but goes no further than necessary.
B)if it directly advances a substantial government interest regard?less of how "far" it goes.
C)under any circumstances.
D)under no circumstances.