Deck 14: Information Technology and the Internet

Question 1

While at work, Neil would spend a considerable amount of time on the Internet. After multiple warnings, Neil was fired from his job as a result. To get back at his boss, Neil anonymously posted several untrue and offensive messages about his boss to an Internet discussion board frequently visited by his employer's customers and suppliers. Which of the following is true?

A) Because the Internet remains largely unregulated, neither Neil nor his internet service provider could be held liable for such discussion board postings.
B) Neil's internet service provider could be forced to disclose the source of the discussion board postings.
C) If Neil's former boss notifies Neil's internet service provider about the offensive messages, the internet service provider should not remove the messages, because free speech is the cornerstone of the Internet.
D) Neil's internet service provider, not Neil, is the one facing liability for defamation, because it is the one technically publishing the offensive material.
E) Because the messages were posted anonymously, Neil could not be held liable for such discussion board postings.

Answer 1

B

Question 2

Which of the following is false with respect to the application of tort law to the Internet?

A) The principles of misrepresentation and negligent misstatement will apply to the Internet just like any other form of communication, but the problems of jurisdiction and whom to sue will create significant obstacles.
B) It is unlikely that courts will be willing to expand existing tort law to encompass new technologies.
C) Statutes will need to be passed to expand or modify the common law where current tort law proves inadequate.
D) Companies that sell their products over the Internet will still be held liable under the laws of negligence if that product causes injury.
E) Because the Internet provides direct and inexpensive access to a massive audience, torts such as deceit, negligent misstatement, and defamation are primary concerns.

Answer 2

B

Question 3

Laura is concerned that her e-mails may be read by third parties and that her Internet "surfing" is being tracked by businesses hoping to use the information to inundate her with unsolicited e-mail advertising. She is also convinced that embedded software devices on her computer give others the
Ability to access her private information. Her friends think she is just being paranoid. Which of the following is true in respect of privacy on the Internet?

A) Unauthorized interception of communications between individuals is now a criminal offence in Canada.
B) Although privacy laws are being enacted as precautionary measures, voluntary protection of privacy has proven overwhelmingly successful.
C) Now that privacy rights are legally protected, Internet users should feel secure in giving out private information online.
D) While unencrypted data is susceptible to unauthorized access, encryption of information communicated online provides a guarantee of security.
E) Every Canadian province is governed by the provisions of the federal Personal Information Protection and Electronic Documents Act.

Answer 3

A

Question 4

Which of the following is true with respect to the application of contract law to the Internet?

A) Even if the basic requirements of acceptance are met, an offer accepted by e-mail has been deemed legally ineffective.
B) Internet contracts are governed by the federal Uniform Electronic Commerce Act, in effect throughout Canada.
C) Clicking an "I Accept" button is used by some online vendors to make an internet user believe that the terms presented are binding, however "click-wrap" cases have confirmed that this action has no legal effect.
D) Many jurisdictions have passed legislation making electronic communications the equivalent of written documents for legal purposes.
E) Online communications are governed by the "postbox rule".

Question 5

Which of the following is not a common internet or computer-related offence?

A) Distribution of pornography
B) Computer piracy
C) Hate literature and other human rights violations
D) Trespass
E) Gambling

Question 6

Which of the following statements regarding online transactions is false?

A) Clicking an "I Accept" button may constitute valid acceptance of the terms of an agreement.
B) Reasonableness of terms can affect the enforceability of electronic contracts.
C) It is unlikely that the courts will extend the postbox rule to apply to online transactions.
D) Conducting transactions online negates the need to satisfy the normal requirements of a contract.
E) Legislation has been passed in some jurisdictions to make electronic documents equivalent to written ones.

Question 7

Dan, a Canadian resident, has decided to created a web site offering products and services to consumers in certain European markets. Which of the following is true with respect to the jurisdictional issues that arise?

A) Dan could not be prosecuted for an activity that is against the law in a European jurisdiction, as long as that activity is acceptable in Canada.
B) It is sufficient for Dan to follow the rules of his own jurisdiction.
C) "Conflict of laws" refers to the established rule that if laws in one jurisdiction conflict with those of another, it is the laws of the jurisdiction of residence that always govern.
D) Disclaimers posted on Dan's web site will protect him if the content of his web site turns out to constitute an offence in the European markets in which he is operating.
E) Because the web site was created to do business in other jurisdictions, the laws of those jurisdictions will apply to the transactions unless it is clearly stated otherwise in the contract.

Question 8

Which of the following is true with respect to the application of tort law to the Internet?

A) Since common law provides adequate protection, no new statutes need to be passed to provide additional protection.
B) It is unlikely that courts will be willing to expand existing tort law to encompass new technologies.
C) Companies that sell their products over the Internet will cannot be held liable under the laws of negligence if that product causes injury.
D) Because the Internet provides direct and inexpensive access to a massive audience, torts such as deceit, negligent misstatement, and defamation normal civil and criminal remedies do not apply.
E) The principle of defamation will apply to the Internet just like any other form of communication, but the problems of jurisdiction and whom to sue will create significant obstacles.

Question 9

Which of the following is true with respect to the application of contract law to the Internet?

A) Internet contracts are governed by the federal Uniform Electronic Commerce Act, in effect throughout Canada.
B) Clicking an "I Accept" button on a website is considered the equivalent of achieving the consensus element of a binding contract.
C) No jurisdictions have passed any legislation making electronic communications the equivalent of written documents for legal purposes.
D) If the basic requirements of acceptance are not met, an offer accepted by e-mail is binding on both parties.
E) Online communications are governed by the "postbox rule".

Question 10

Which of the following statements regarding privacy is true?

A) Since the development of 128 bit encryption, wireless networks are 100% protected against unauthorized access.
B) An organization is responsible for the protection of personal information such as drivers' licence information.
C) Credit card and debit card fraud is now virtually impossible with the new safeguards in place.
D) Employers are not liable for employees' abuses of privacy.
E) The incidence of personal identification numbers (PIN) theft has been eliminated.

Question 11

Grant and Shawna developed a new and exciting invention which they called the "Zlackerblogf". They incorporated "Zlackerblogf Industries Ltd." to be responsible for the manufacture and sale of this revolutionary new product. After years of success, they decided to sell their product online. When time came to register "zlackerblogf.com", however, they discovered that the domain name had already been taken by Curlicue Developments Inc., a major competitor. Which of the following is true?

A) If Curlicue Developments Inc. obtained the domain name to prevent their competitor from using it, this does not undermine Curlicue's claim to the name; it merely demonstrates that Curlicue is a crafty competitor.
B) Zlackerblogf Industries Ltd. does not need to worry; because of the nature of the Internet, the same domain name can be used by more than one entity.
C) Curlicue Developments Inc.'s registered domain name could be used as a defence to any allegation of trademark infringement.
D) Although Curlicue Developments Inc. may have acted improperly, once a domain name has been issued, it cannot later be rescinded.
E) The dispute over the domain name could be dealt with by dispute resolution mechanisms in place to resolve exactly this kind of domain name conflict.

Question 12

Deceitful practices and fraud are ongoing concerns for those transacting business on the Internet. Pat has recently been the victim of such a scam. He gets into a heated discussion with his friend over the application of current consumer protection laws to online transactions. Which of the following statements is correct?

A) Consumer protection law in respect of online transactions is governed by the federal Universal Internet Transactions Act (UITA).
B) Provincial consumer protection legislation has been ineffective in protecting consumers with respect to internet transactions.
C) Although new legislation may be enacted in the future, general consumer protection legislation has yet to be extended to online transactions in any Canadian jurisdictions.
D) Provinces are adopting federal Uniform Electronic Commerce Act guidelines.
E) While case law applies to online activities, statute law - such as sale of goods legislation - does not apply to such transactions.

Question 13

In the context of employment and use of the Internet, which of the following is false?

A) Monitoring employees' e-mail can be effective, but also raises a privacy concern.
B) E-mail should be encouraged over other forms of communication, because it is inherently private.
C) An employer should have a clear and comprehensive policy prohibiting misuse of company resources.
D) Employers should notify employees when their use of company resources may be subject to monitoring.
E) Employers can be liable when their employees misuse the Internet.

Question 14

Which of the following is true with respect to the application of intellectual property law to the Internet?

A) In Canada, the design of an integrated circuit embodied in a computer chip is protected by a specific statute created for that purpose.
B) Because of the "wild west" nature of the Internet, web sites have typically been exempt from traditional trademark and copyright laws.
C) Copyright law provides the owner of electronic material with the legal right to prevent unauthorized copying, but does not give the owner any exclusive rights to rent it or otherwise control its use.
D) If a user accesses a web site on which a trademark appears, an actionable infringement has taken place.
E) The Napster trial and other high-profile cases have shown the courts remain powerless to stop abuse of intellectual property rights on the Internet.

Question 15

Chad was the best private detective in the west. His system for tracking persons who have caused themselves to disappear was markedly superior to that of others. Sally, his only assistant, was considered so valuable that he always had her sign five-year contracts with non-disclosure clauses. Sally took notes at a private meeting between Chad and a representative of the RCMP who was negotiating a contract with Chad for tracking down two criminals. Sally and Chad took care that the discussions were understood to be confidential -- regarding both the information from the RCMP and from Chad about his methods. Sally was approached by a competitor of Chad, Mr. Adolph, who offered her three times her salary if she would break her contract with Chad, sign with him, and bring him information about Chad's tracking system. After some months, she did just that. Furthermore, she told Adolph the details of the information given to Chad by the RCMP, which caused the RCMP embarrassment, time, and money. Which of the following is false?

A) Chad could sue Sally for disclosing the information only if he had made it clear that the information was confidential and should not be disclosed.
B) Chad could sue Adolph for the tort of inducing breach of contract.
C) The RCMP could not sue Chad for breach of confidence because the information disclosed by Sally was not novel know-how that was giving the RCMP the cutting edge in business competition.
D) Sally owes a fiduciary duty to Chad because of her trusted position as an employee.
E) Chad could sue Sally for breach of her employment contract, not only on the clause relating to the term of her employment, but also on the non-disclosure clause.

Question 16

Deceitful practices and fraud are ongoing concerns for those transacting business on the Internet. Pat has recently been the victim of such a scam. He gets into a heated discussion with his friend over the application of current consumer protection laws to online transactions. Which of the following statements is correct?

A) In most provinces, consumer protection legislation has been enacted to invalidate internet transactions and render electronic "signatures" ineffective.
B) Provincial securities regulations will also apply to trades on the Internet, but amendments will likely be enacted to apply special provisions to electronic trading.
C) Although new legislation may be enacted in the future, general consumer protection legislation has yet to be extended to online transactions in any Canadian jurisdictions.
D) Consumer protection law in respect of online transactions is governed by the federal Universal Internet Transactions Act (UITA).
E) While case law applies to online activities, statute law - such as sale of goods legislation - does not apply to such transactions.

Question 17

Gordon invented a solution that dissolved the residue of tape that remained on walls after the removal of notices, pictures, etc. He kept his formula secret, but wasn't yet interested in marketing it, just in improving it. Gordon's only employee, Thad, who had signed a contract to work until July 1, 2011, was offered a job by Mr. Barr who would pay him twice his salary if Thad would leave Gordon right away (April) and bring Gordon's secret formula with him. Because Thad was upset by Gordon's lack of interest in marketing his product, he did copy the formula, quit, and began working for Barr, who marketed the solution. On these facts, which of the following is false?

A) Gordon could sue Thad for breach of the employment contract.
B) Gordon could not get an injunction to stop Barr from marketing the product because Barr didn't steal the formula.
C) Gordon could sue Barr for inducing breach of contract.
D) Gordon could sue Thad for breach of trade secret law.
E) As one remedy, Gordon could ask for the accounting of profits.

Question 18

Which of the following statements with regards to defamation over the internet is true.

A) If the ISP encourages the offending behaviour, or if they ought to have known of it , the intermediary cannot be held liable for defamation.
B) If the author is unknown or uses a false name, bringing an action for defamation presents little difficulty.
C) If the author resides in another jurisdiction, an action for defamation in all circumstances, can be brought against the ISP.
D) Where the communication is found to be defamatory, the first question to be determined is whether the statement is libel or slander.
E) If the author is unknown, intermediaries, such as ISP's or website operators, can always be held liable for defamation.

Question 19

Naxon opened a retail computer shop which he called Computer Haven Ltd. He used colours and signs similar to those used by Computerheaven Ltd., a very successful computer store three miles away. After Naxon was in business for about five months, the directors of Computerheaven Ltd. noticed that their sales had dropped. On these facts, which of the following is true?

A) Computerheaven could successfully sue Naxon for the tort of passing off if it can prove that the name, signs, and colours used by Naxon were likely to mislead the public.
B) Computerheaven could successfully sue Naxon for breach of contract.
C) Computerheaven has no cause of action against Naxon because ours is a free society and competition in all forms is encouraged by our political and legal system.
D) Computerheaven could successfully sue Naxon for the tort of innuendo.
E) Computerheaven could successfully sue Naxon for the tort of injurious falsehood.

Question 20

Which of the following is true in respect of privacy law in Canada?

A) Organizations in the private sector are subject to the Personal Information Protection and Electronic Documents Act with respect to the personal information they collect.
B) The power to enact privacy legislation has been exclusively granted to the federal government.
C) Privacy protection is found primarily in the common law.
D) The Personal Information Protection and Electronic Documents Act is designed only to regulate the government in its collection, use and disclosure of personal information.
E) Privacy laws are generally considered unnecessary because voluntary privacy protection has been so successful.

Question 21

Which of the following statements correctly illustrate a legal signature for online commercial transactions?

A) Signing your name at the bottom of a standard form, and then not mailing it to the business.
B) Clicking an "I Reject" dialogue box..
C) Attaching an electronic signature to an electronic document.
D) Attaching a signature on your computer screen.
E) Opening an online shopping basket, and adding several items to the basket.

Question 22

With regards to the Ontario Consumer Protection Act , which of the following statements is true

A) The Act specifically provides that the rights set out in it apply to all consumer transactions where the consumer or the other party are Canadian residents.
B) The Act specifically provides that the rights set out in it apply to all consumer transactions where the consumer or the other party is located anywhere in Canada at the time of the transaction.
C) The Act specifically provides that the rights set out in it apply to all consumer transactions where the consumer or the other party is located in Ontario at the time of the transaction.
D) The Act specifically provides that the rights set out in it apply only if the consumer resides in Ontario.
E) The Act specifically provides that the rights set out in it apply only if the seller resides in Ontario at the time of the transaction.

Question 23

With regards to internet jurisdiction, which of the following statements is true?

A) Many jurisdictions have passed long-arm statutes allowing them to take jurisdiction only if the person being sued is a resident of that jurisdiction.
B) Canadian courts are willing to find jurisdiction where there is a degree of interactivity and substantial connection between the act complained of and the province.
C) Every jurisdiction has a different set of laws, and each internet user should conform to the local laws of each nation, state, or province.
D) Valid laws apply to the internet, and there have been no difficulties in determining what laws apply to the internet and internet transactions.
E) Judicial action is allowed only if the person being sued is a resident of that jurisdiction and directly involved.

Question 24

With regards to the internet, which of the following statements is true?

A) Existing laws go a long way to establish rights and obligations for the parties doing business online, but the protection and enforcement of those rights can be an insurmountable problem.
B) Valid laws apply to the internet, and there have been no difficulties in determining what laws apply to the internet and internet transactions.
C) Judicial action is allowed only if the person being sued is a resident of that jurisdiction.
D) Regulatory steps have been taken to overcome all problems associated with jurisdictional issues.
E) Determining where an action should be brought has not presented any legal problems.

Question 25

With regards to the National Do Not Call List registry (National DNCL), which of the following statements is true

A) The registry requires consumers to register only once to avoid all future unsolicited calls.
B) The registry enables consumers to reduce the number of unsolicited calls they receive by making a single registration.
C) The registry requires telemarketers to operate and maintain the national DNCL.
D) The registry enables consumers to reduce the number of unsolicited pop-up ads they receive by making a single registration.
E) The registry enables consumers to reduce the number of unsolicited bulk email they receive by making a single registration.

Question 26

With regards to internet jurisdiction, the courts have identified eight factors in determining a real or substantial connection. Which of the following statements is false?

A) The courts will not consider the standards of jurisdiction, recognition, and enforcement prevailing elsewhere.
B) There need be neither an unfairness to the plaintiff nor the defendant in assuming jurisdiction.
C) The courts will consider the standards of jurisdiction, recognition, and enforcement prevailing elsewhere.
D) The courts will consider the involvement of the parties to the suit in determining jurisdiction.
E) There need be a connection between the forum and the plaintiff's claim.

Question 27

The objective, in Canada, of the Uniform Electronic Commerce Act (UECA) is primarily:

A) To define what constitutes a violation of privacy
B) To make electronic documents and signatures as binding on parties as written ones.
C) To restrict internet gambling
D) To restrict internet pornography.
E) To provide a series of remedies for internet commerce retail abuses primarily from "offshore" enterprises

Question 28

You decide to register a domain name "Delicious_breads_R_us.com", although you neither own a bakery nor any legitimate use for the domain name. Subsequently you receive a complaint alleging that you have registered the name in bad faith. The complainant does not hold a registered trademark in the name nor do they have a domain name registered, but they have used the business name "Breads R Us" for many years. Which of the following statements is true?

A) The complainant does not have any legitimate claim on the domain name.
B) You can claim good faith justification for your the use of your domain name.
C) You are a cybersquatter.
D) You have a real property right in the name
E) Your domain name dispute must be litigated in court.

Question 29

Which of the following statements regarding online transactions is true?

A) Common law has established the equivalency of electronic documents to written ones.
B) Electronic signatures are not effective in determining the capacity of the parties entering into a contract.
C) Clicking an "I Accept" button may constitute valid acceptance of the terms of an agreement.
D) The post box rule applies to both non-instantaneous and instantaneous methods of communication.
E) Conducting transactions online negates the need to satisfy the normal requirements of a contract.

Question 30

When a business or employer provides access to their website for discussion forums, the following statement is correct.

A) The employee only is held liable for any offensive comments made.
B) The employer is not liable, if the employee uses email and does not post the offensive comments on the website.
C) Businesses or employees can not be held criminally responsible for offending communications made.
D) The business or employer may be held liable for any defamation or otherwise offensive statements made by its employees.
E) All email communications are considered private, and therefore exempt from any defamation actions.

Question 31

Electronic commerce (E-commerce) legislation consists of:

A) The laws regulating the internet and internet transactions.
B) The laws of what jurisdiction should apply to internet transactions.
C) The digital communication between government agencies.
D) The laws to restrict internet gambling, pornography, and defamatory material.
E) Specifies the time and place of the formation of electronic contracts.

Question 32

When a judgment is obtained against a foreign service provider, which of the following statements is true

A) If the service provider has assets in the foreign jurisdiction or there are treaties in place to allow for enforcement, enforcement continues to be a substantial threat, but generally, only if the conduct complained of is actionable in both jurisdictions.
B) If the service provider has no assets in the foreign jurisdiction or if there is no treaty in place to allow for enforcement, enforcement continues to be a substantial threat.
C) Since the service provider resides in a foreign jurisdiction there is no threat of enforcement.
D) If the service provider has assets in the foreign jurisdiction or there are treaties in place to allow for enforcement, enforcement continues to be a substantial threat, no matter if the conduct complained of is actionable in only one jurisdiction.
E) Since the judgment is obtained in a different jurisdiction, the business or individual may be extradited to face criminal charges.

Question 33

Which of the following statements would be true with regards to the Uniform Electronic Commerce Act (UECA)?

A) The use of electronic documents is not allowed with regards to online purchase of goods.
B) An offer will be accepted and a contract formed only when the offer is sent and accepted by snail mail, and not email.
C) The UECA changes the law with respect to the requirement of written documents and signatures.
D) A password or encryption does not authenticate an electronic document.
E) A signature equivalent may be a password or some other form of encryption.

Question 34

A Canadian company published an article on the internet defaming an Australian resident. The Australian resident brought action against the Canadian company. With regards to internet jurisdiction, which of the following statements is true

A) Since the plaintiff lived in Australia, and the defendant was based in Canada, a third neutral country would be the appropriate jurisdiction.
B) The Canadian company's appropriate defence would be to point out out that it is impossible to know and comply with the laws of every jurisdiction, and therefore not liable.
C) Since the company was Canadian, the most convenient jurisdiction would be the province the Canadian company resides.
D) Since the plaintiff lived in Australia, and the harm was done in that country, there is no connection between the defamation and Canada, and appropriately there is no jurisdiction.
E) Since the plaintiff lived in Australia, and the harm was done in that country, there is a sufficient connection between the defamation and that country, and case would be heard in an Australian court.

Question 35

Which of the following statements are relevant to determining the appropriate jurisdiction for litigation arising from online defamation?

A) Whether the defendant owns the ISP that posted the comments.
B) Whether there is a sufficient connection between the defamation and the jurisdiction for the case to be heard.
C) Whether the defendant only intended for a local audience to view the comments.
D) Whether the plaintiff suffered any harm where the comment was posted
E) Whether the website that posted the comments has a local server.

Question 36

Which of the following statements regarding the registration of domain names and trademarks is true

A) Registration of domain name precludes someone from registering a trademark.
B) Where trademarks are infringed, it will be no defence to show one registered a domain name.
C) The registration of domain names overrules trademark law.
D) The Canadian Internet Registration Authority determines whether a domain name constitutes trademark infringement.
E) A business is entitled to its own unique domain name regardless of trademark law.

Question 37

Joe sends Sanjay an offer via email from his Toronto office. The offer contains a provision indicating the offer expires at 5:00 PM Toronto time. Sanjay, who lives in Vancouver, replies accepting Joe's offer at 4:00 PM Vancouver time. Joe received Sanjay's email acceptance at 9:00 AM the next day. Which of the following statements is true? (Note the three hour time difference between Toronto and Vancouver)

A) Joe's offer had expired.
B) Joe and Sanjay had a binding contract, since Sanjay had accepted by 4:00 Vancouver time.
C) A binding contract had been formed, once Joe opened Sanjay's email acceptance the next day.
D) Once Sanjay had sent the email,, a binding contract had been formed, regardless of what time Joe had received the email.
E) The contract became binding once Joe had made the offer.

Question 38

In the context of employment and use of the Internet, which of the following is true?

A) Viewing an employees' Facebook account is considered a criminal offence.
B) Employers can be liable when their employees misuse the Internet.
C) An employer need not have a clear and comprehensive policy prohibiting misuse of company resources such as the Internet.
D) E-mail should be encouraged over other forms of communication, because it is inherently private.
E) Employers are not required to notify employees when their use of company resources may be subject to monitoring.

Question 39

The Ontario Consumer Protection Act requires that the supplier disclose to the consumer, before the consumer enters into an internet agreement, detailed information including which of the following statements:

A) The consumer need be notified of any cancellation, return, exchange, or refund conditions.
B) The telephone number of the supplier, and the address of he premises from which the supplier conducts business.
C) An itemized list of the prices, including taxes and shipping charges, at which the goods and services are proposed to be supplied to the consumer.
D) The name of the supplier and, if different, the name under which the supplier carries on business.
E) All of the above statements are included.

Question 40

Which of the following statements regarding cybersquatting is true

A) Cybersquatters capture domain names that rightfully belong to no one.
B) A business is entitled to its own unique domain name regardless who registered it first.
C) Similar domain names are registered just to sell them to others or so that visitors making slight but expected mistakes are intercepted and redirected to a competing business.
D) Businesses that did not register their domain name, have no recourse against someone else appropriating their name and registering it first.
E) Registration of domain name precludes someone from registering a similar name to confuse visitors of their business website.

Question 41

In an Alberta case, the accused sent "teaser" email on the internet advertising software that could be used to generate "valid" credit card numbers. What did the Court find?

A) Counselling others to commit a crime, is not in of itself enough to commit an indictable offence.
B) Knowingly counselling others to commit a crime, is neither a criminal nor a civil matter.
C) Knowingly counselling others to commit a crime, is all that is required to show guilty intent.
D) If someone is knowingly counselling others to commit a crime, damages must be proved in order for a criminal action to be successful.
E) The law requires proof of any intent to deceive or misrepresent.

Question 42

Click Enterprises operated a software and internet business in Ontario to facilitate the illegal copying and downloading of movies in both Canada and the United States. Disney Enterprises brought action against Click in New York State.Which of the following statements is true?

A) An Ontario court will not enforce a New York judgment regardless of any circumstances.
B) Click's involvement in the United States was not direct, since the firm operated out of Canada, and as a consequence, Disney's action in New York State would not be successful.
C) New York State has no jurisdiction since Click is a Canadian company.
D) Even though Click's involvement in the United States consisted of selling his product directly to residents of the United States, the question of jurisdiction would be solely determined by Click's nationality.
E) An Ontario court will enforce a New York judgment since Click's involvement indicated a real and substantial connection between the conduct complained of and New York State.

Question 43

Because the internet provides direct and inexpensive access to a massive audience, torts involving defamation is a primary concern. Which of the following statements regarding defamation over the internet is false.

A) Material placed on the internet, via a website, where it may be accessed by a large audience, has been likened to broadcasting information on television or radio.
B) The courts are reluctant to create new categories of torts, and hence have been unwilling to consider defamation over the internet.
C) Intermediaries, such as ISPs' will be liable for defamation only if they encouraged the offending behaviour, or if they knew or ought to have known of it and failed to remove it after notification.
D) Where several connecting factors exist, Canadian courts appear willing to assume jurisdiction.
E) When determining damages, the size of the audience has been regarded as relevant.

Question 44

The Personal Information Protection and Electronic Documents Act (PIPEDA) protects personal information, and limits its collection and provides for limited access where appropriate.

Question 45

The Personal Information and Protection and Electronic Documents Act, PIPEDA does not allow employers from monitoring email.

Question 46

Which of the following is used to authenticate the identity of a person of a party to an online contract?

A) Digital waterboarding
B) File formatting
C) Information encryption security
D) Digital certificate
E) A court order

Question 47

An offer accepted on a website or by email will be effective so long as the basic requirements of acceptance are made. Which of the following statements are true?

A) When people buy software over the internet, or the licence to use it, clicking the "I Accept" button is the equivalent of removing the shrink-wrap, and the contract is binding as soon as the button is clicked.
B) When people buy software over the internet, or the licence to use it, the contract is binding immediately since the postbox rule of acceptance applies.
C) A purchaser of a product online will be bound by all the terms of the agreement regardless if has notice.
D) When people buy software over the internet, the contract is binding only when the product has been delivered.
E) When people buy software over the internet, or the licence to use it, it is not necessary, that the purchaser indicate that they have read and accepted the seller's terms and conditions.

Question 48

Burke v. NYP Holdings Inc. involved defamation over the internet. According to this case, which of the following is true?

A) The key to a court assuming jurisdiction is the number and strength of the connecting factors between the cause of the action and the where the defendant resides.
B) The key to a court assuming jurisdiction is the connecting factors between where the plaintiff and the defendant reside.
C) Since the article was read, and the damage to Burke's reputation was done in America, the Court held New York was the appropriate place to sue.
D) Burke established a real and substantial connection, and that his reputation was damaged within British Columbia, even though the article was published on an American website, the Court held Burke was able to pursue a defamation action in British Columbia.
E) Since the plaintiff lived in New York, and his reputation was damaged there, the Court held New York was the appropriate place to sue.

Question 49

With regards to online contracts, which of the following statements is accurate?

A) Consumers cannot be held liable for terms that they did not actually read.
B) Exemption clauses in electronic contracts do not have to be brought to the attention of the person accepting.
C) Canadian consumers may have to have their claims heard in foreign jurisdictions.
D) An electronic document becomes effective only once the consumer is provided with a paper copy.
E) The electronic equivalent of small print, is the part of a document that cannot be seen on the screen.

Question 50

The Personal Information Protection and Electronic Documents Act (PIPEDA) applies only to federal government institutions.

Question 51

Ness v. Cunningham Lyon Creek Lodge, involved a case where the plaintiff learned over the internet of the defendant, a residential centre for therapy of eating disorders. What did the Court find?

A) The internet information and faxed materials contained insignificant misstatements of fact, but these statements did not induce Ness to enroll in the program, so the tort of deceit could not be established.
B) The internet information and faxed materials contained serious misstatements of fact. These statements were either made dishonestly or recklessly, to induce Ness to enroll in the program. The tort of deceit was established.
C) The internet information and faxed materials contained serious misstatements of fact. These statements were either made dishonestly or recklessly, to induce Ness to enroll in the program. The tort of deceit was established, but since the missrepresentation took place in another jurisdiction, Ness had no course of action against the defendant.
D) The internet information and faxed materials contained serious misstatements of fact. These statements induced Ness to enroll in the program, so the tort of defamation was established.
E) The internet information and faxed materials contained innocent misstatements of fact. The tort of deceit could not be established.

Question 52

The case Di Vito v. MacDonald Dettwiler & Associates Ltd., involved an employer dismissing an employee for just cause based on a email message. What did the Court find?

A) The Court determined that circulating the derogatory email, was in itself sufficient grounds for a summary dismissal.
B) The Court determined that circulating the derogatory email, while wrong, was not in itself sufficient grounds .for a summary dismissal. But later lying about how far and to whom the email was forwarded gave the employer just cause.
C) The Court determined the only recourse would be for the plaintiff to bring a defamation action against the employer.
D) The Court determined that lying about how far and to whom the email was forwarded gave the employer insufficient grounds for a summary dismissal.
E) The Court determined that circulating the derogatory email, was in itself insufficient grounds for a summary dismissal, and the employer was held vicariously liable for defamation.
TRUE/FALSE. Write 'T' if the statement is true and 'F' if the statement is false.

Question 53

Citron v. Zundel, involved a Canadian human rights complaint involving an internet hate site. What did the Tribunal find?

A) Since no one person in particular was mentioned on the internet hate site, there is no case for defamation.
B) The tone of the messages on the website were so malevolent in its depiction of Jews, the Tribunal found them to be hate messages within the meaning of the Canadian Human Rights Act, but they were protected under the Charter of Rights and Freedoms.
C) The only recourse would be for the plaintiff to bring a defamation action against the defendant.
D) The messages on the website were considered free speech and thusly protected by the Charter of Rights and Freedoms.
E) The tone of the messages on the website were so malevolent in its depiction of Jews, the Tribunal found them to be hate messages within the meaning of the Canadian Human Rights Act.

Question 54

Jurisdiction with respect to the internet is an important area of concern. Which of the following statements is false.

A) Without a degree of interactivity, the courts in a particular province may refuse to hear a case.
B) There must be a special link or connection to have a local court take jurisdiction.
C) To avoid battles over jurisdiction, the parties should specify in their contract what law is to apply.
D) A Canadian may be prosecuted for an activity that is against the law in one jurisdiction, but perfectly acceptable in another.
E) It is relatively straightforward to take a judgment obtained in one jurisdiction, and enforce it in another.

Question 55

Employment with respect to the internet is an important area of concern. Which of the following statements is false.

A) Monitoring employee email and the their internet use in all cases, is a violation under the Charter of Rights and Freedoms.
B) Employers must consider the impact of PIPEDA before monitoring employee email.
C) Businesses may find themselves linked to criminal activities through the actions of their employees.
D) The employer will be responsible for data transmissions that result in intentional violations of intellectual property rights.
E) Monitoring an employee's telephone conversation, without obtaining prior consent or authorization, may be recognized by the Courts as an invasion of privacy.

Question 56

The internet provides direct and inexpensive access to a massive audience. Which of the following torts are not concerns related to the internet.

A) conversion
B) negligent misstatement
C) deceit
D) nuisance
E) defamation

Question 57

With respect to the online contracts, which of the following statements is true?

A) The legal status of online contracts is determined by common law.
B) The Uniform Electronic Commerce Act (UECA) clearly states that a contract is formed when the communication of an acceptance through instantaneous communication is sent.
C) Online contracts do not require all the essential elements of a contract such as consensus, capacity, and legality.
D) The Uniform Electronic Commerce Act (UECA) clearly states that an invitation to treat in all cases qualifies as an offer.
E) The Uniform Electronic Commerce Act (UECA) clearly states that an offer may be made and accepted electronically.

Question 58

In order to be effective, employers who monitor their employees' use of computers are well-advised to do so secretly, without informing their employees of this practice.

Question 59

Health information is not specifically protected by legislation in any province.

Question 60

Which of the following statements is true?

A) The legal status of online contracts is determined by common law.
B) Online dispute resolution services are very costly and time consuming.
C) Online dispute resolution services are now available for electronic transactions.
D) Arbitration has not been proved to be a valuable tool for ecommerce disputes.
E) Online disputes are often self-regulated.

Question 61

Whether a contract or another form of internet communication, UECA provisions determine, a message is sent as soon as it is committed to the system, and it is received as soon as it arrives on the recipients's computer, even if it is never read.

Question 62

A major problem concerning the internet is to determine what laws apply to the internet and internet transactions.

Question 63

Canada's Uniform Electronic Commerce Act creates rights, and obligations with respect to electronic commerce transactions within Canada.

Question 64

Internet defamation is a problem because of the ease of widespread distribution.

Question 65

Attempts at self-regulation of the Internet have been largely successful.

Question 66

Hitting the "I Accept" button on a website is equivalent to an acceptance of the seller's offer.

Question 67

Credit cards, debit cards and other forms of electronic money may be used in online transactions.

Question 68

Long-arm statutes refer to rules used to resolve questions as to which jurisdiction's laws are to be applied to a particular issue.

Question 69

Cybersquatting captures domain names that rightfully should go to others.

Question 70

A signature equivalent for electronic documents might be a password or some other form of encryption.

Question 71

Electronic signatures provides a digital certificate that authenticates the identity of a party to the contract.

Question 72

Alternative dispute resolution has been effective in settling certain types of internet disputes.

Question 73

With regards to internet transactions, an offer will be accepted and a contract formed as soon as message is sent, and it is received as soon as it arrives on the recipient's computer, even if it is never read.

Question 74

Traditional contract rules only apply to written contracts but not internet transactions.

Question 75

Businesses can find themselves liable for defamatory statements made by an employee.

Question 76

Privacy protection is provided under common law .

Question 77

Determining where the contract was formed is an important factor in determining the laws of what jurisdiction will apply to the transaction.

Question 78

In assessing damages for defamation over the Internet, the size of the audience is irrelevant.

Question 79

Ontario's Consumer Protection Act specifically provides rights set out in it that apply to all consumer internet transactions.

Question 80

The federal government's Personal Information and Electronic Documents Act applies in all provinces except where legislation that provides for equivalent protection has been passed by the province.