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

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Question 31

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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.

F) B) and C)
G) D) and E)

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Question 32

Multiple Choice

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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

F) A) and D)
G) C) and E)

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Question 33

True/False

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Another name for case law is common law.

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?

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?

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

The ______ is the supreme law of the land.

Case law can be revoked by ______.

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 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 ______.

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

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

Describe contrasts between the cost-benefit school of jurisprudence and the natural law theory of jurisprudence.

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?

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

Which of the following prepares Restatements?

Which of the following is true regarding administrative agencies?

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

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?

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