Test bank for business law today 9th edition by miller
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Chapter 1
The Legal Environment
N.B.: TYPE indicates that a question is new, modified, or unchanged,
as follows.
N
A question new to this edition of the Test Bank.
+ A question modified from the previous edition of the Test
Bank,
= A question included in the previous edition of the Test Bank.
TRUE/FALSE QUESTIONS
1.
The law establishes rights, duties, and privileges that are consistent
with the values of society.
ANSWER: T
NAT: AACSB Reflective
2.
2
TYPE:
AICPA Critical Thinking
=
Law includes enforceable rules governing relationships between
individuals and their society.
ANSWER: T
NAT: AACSB Analytic
3.
PAGE:
PAGE:
2
AICPA Legal
TYPE:
=
A federal law that conflicts with the U.S. Constitution will be deemed
unconstitutional.
ANSWER: T
NAT: AACSB Analytic
PAGE:
5
AICPA Legal
TYPE:
=
1
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
2
4.
UNIT ONE: THE LEGAL ENVIRONMENT OF BUSINESS
Constitutional law includes only the U.S. Constitution.
ANSWER: F
NAT: AACSB Analytic
PAGE:
5
AICPA Legal
TYPE:
=
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
FULL FILE AT HTTP://TESTBANKSSTORE.EU/TEST-BANK-FOR-BUSINESS-LAW-TODAY-9THEDITION-BY-MILLER
5.
A state law that conflicts with the U.S. Constitution will be deemed
unconstitutional.
ANSWER: T
NAT: AACSB Analytic
6.
TYPE:
=
PAGE:
5
AICPA Legal
TYPE:
=
PAGE:
5
AICPA Legal
TYPE:
=
PAGE:
5
AICPA Legal
TYPE:
=
PAGE:
6
AICPA Legal
TYPE:
=
No state has adopted the Uniform Commercial Code in its entirety.
ANSWER: F
NAT: AACSB Reflective
12.
5
AICPA Legal
Uniform laws apply in all states, including those in which the laws
have not been adopted.
ANSWER: F
NAT: AACSB Analytic
11.
PAGE:
Federal statutes apply to all states.
ANSWER: T
NAT: AACSB Analytic
10.
=
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.
ANSWER: T
NAT: AACSB Analytic
9.
TYPE:
Whether a law is constitutional depends on its source.
ANSWER: F
NAT: AACSB Analytic
8.
5
AICPA Legal
The U.S. Constitution is the supreme law of the United States.
ANSWER: T
NAT: AACSB Analytic
7.
PAGE:
PAGE:
6
AICPA Legal
TYPE:
+
Administrative agencies are established to perform specific functions.
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
4
UNIT ONE: THE LEGAL ENVIRONMENT OF BUSINESS
ANSWER: T
NAT: AACSB Analytic
13.
TYPE:
N
PAGE:
6
TYPE:
AICPA Critical Thinking
N
PAGE:
6
AICPA Legal
TYPE:
N
PAGE:
7
TYPE:
AICPA Critical Thinking
=
PAGE:
7
AICPA Legal
TYPE:
=
Judges use precedent when deciding a case in a common law legal
system.
ANSWER: T
NAT: AACSB Analytic
19.
6
AICPA Legal
A decision on a given issue by a court is not binding on an inferior
court.
ANSWER: F
NAT: AACSB Analytic
18.
PAGE:
Common law is a term for the law that is known to most of us.
ANSWER: F
NAT: AACSB Analytic
17.
N
Courts can rely on the common law as a guide to interpreting
legislation.
ANSWER: T
NAT: AACSB Analytic
16.
TYPE:
The basis for the U.S. legal system is the natural law school.
ANSWER: T
NAT: AACSB Ethics
15.
6
AICPA Legal
Rules issued by administrative agencies now affect almost no aspect
of a business’s operations.
ANSWER: F
NAT: AACSB Analytic
14.
PAGE:
PAGE:
7
AICPA Legal
TYPE:
=
Stare decisis is a doctrine obligating judges to help persons who have
failed to protect their own rights.
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
FULL FILE AT HTTP://TESTBANKSSTORE.EU/TEST-BANK-FOR-BUSINESS-LAW-TODAY-9THEDITION-BY-MILLER
ANSWER: F
NAT: AACSB Analytic
20.
=
PAGE:
8
TYPE:
AICPA Critical Thinking
=
PAGE:
8
AICPA Legal
TYPE:
N
PAGE:
8
AICPA Legal
TYPE:
=
PAGE:
9
AICPA Legal
TYPE:
=
A plaintiff is a person against whom a lawsuit is brought.
ANSWER: F
NAT: AACSB Analytic
26.
8
TYPE:
AICPA Critical Thinking
A defendant is a person against whom a lawsuit is brought.
ANSWER: T
NAT: AACSB Analytic
25.
PAGE:
Monetary damages is a remedy at law.
ANSWER: T
NAT: AACSB Analytic
24.
N
Equity is a branch of unwritten law that seeks to supply remedies of
equal measure to the parties in a legal dispute.
ANSWER: F
NAT: AACSB Analytic
23.
TYPE:
A court may depart from a precedent if the court decides that the
precedent should no longer be followed.
ANSWER: T
NAT: AACSB Reflective
22.
7
AICPA Legal
Courts do not depart from precedents.
ANSWER: F
NAT: AACSB Reflective
21.
PAGE:
PAGE:
9
AICPA Legal
TYPE:
=
A court’s direction to a party to do or to refrain from doing a
particular act is a rescission.
ANSWER: F
NAT: AACSB Analytic
PAGE:
9
AICPA Legal
TYPE:
=
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
6
27.
UNIT ONE: THE LEGAL ENVIRONMENT OF BUSINESS
Equitable remedies include injunctions.
ANSWER: T
NAT: AACSB Analytic
28.
10
AICPA Legal
TYPE:
N
PAGE:
11
TYPE:
AICPA Critical Thinking
=
PAGE:
12
AICPA Legal
TYPE:
=
PAGE:
12
AICPA Legal
TYPE:
=
International law is the law of a foreign nation and varies from
country to country.
ANSWER: F
NAT: AACSB Analytic
33.
PAGE:
Criminal law focuses on duties that exist between persons.
ANSWER: F
NAT: AACSB Analytic
32.
=
A substantive law creates or defines legal rights and obligations.
ANSWER: T
NAT: AACSB Analytic
31.
TYPE:
How judges apply the law to specific disputes may depend in part on
their personal philosophical views.
ANSWER: T
NAT: AACSB Reflective
30.
9
AICPA Legal
In most states, the courts no longer grant “equitable” remedies.
ANSWER: F
NAT: AACSB Analytic
29.
PAGE:
PAGE:
13
AICPA Legal
TYPE:
=
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.
ANSWER: F
NAT: AACSB Analytic
PAGE:
18
TYPE:
AICPA Research
=
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
FULL FILE AT HTTP://TESTBANKSSTORE.EU/TEST-BANK-FOR-BUSINESS-LAW-TODAY-9THEDITION-BY-MILLER
34.
Rules and regulations adopted by federal administrative agencies are
compiled in the Code of Federal Regulations.
ANSWER: T
NAT: AACSB Analytic
35.
PAGE:
19
TYPE:
AICPA Research
=
Most state trial court decisions are not published.
ANSWER: T
NAT: AACSB Analytic
PAGE:
19
TYPE:
AICPA Research
=
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
8
UNIT ONE: THE LEGAL ENVIRONMENT OF BUSINESS
MULTIPLE-CHOICE QUESTIONS
1.
Krystal is a federal judge. Krystal’s judicial decisions are part of case
law. This law includes interpretations of primary sources of law. These
sources include
a.
b.
c.
d.
administrative regulations.
articles in law reviews and other legal journals.
compilations summarizing court decisions on particular topics.
legal encyclopedias.
ANSWER: A
NAT: AACSB Reflective
2.
4
AICPA Legal
TYPE:
N
Lewis is a state court judge. Like other judges, Lewis often refers to
secondary sources of law for guidance. These sources include
a.
b.
c.
d.
official comments to statutes.
other states’ statutes.
state constitutions.
the U.S. Constitution.
ANSWER: A
NAT: AACSB Reflective
3.
PAGE:
PAGE:
4
AICPA Legal
TYPE:
N
Under Ohio’s state constitution, the Ohio Environmental Protection
Agency issues a new rule, the Polk County Commission approves a
new property tax measure, and the professors and students at Ohio
Law School publish the results of their most recent legal research.
Sources of law do not include
a.
b.
c.
d.
the
the
the
the
measures approved by local governing bodies.
results of legal scholars’ research.
rules issued by state administrative agencies.
states’ constitutions.
ANSWER: B
NAT: AACSB Reflective
PAGE:
4
AICPA Legal
TYPE:
N
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
FULL FILE AT HTTP://TESTBANKSSTORE.EU/TEST-BANK-FOR-BUSINESS-LAW-TODAY-9THEDITION-BY-MILLER
4.
In Nebraska, the highest-ranking (superior) law is
a.
b.
c.
d.
a
a
a
a
case decided by the Nebraska Supreme Court.
provision in the Nebraska constitution.
rule created by a Nebraska state administrative agency.
statute enacted by the Nebraska legislature.
ANSWER: B
NAT: AACSB Reflective
5.
TYPE:
=
no one.
the federal government only.
the state of Hawaii only.
the United States Supreme Court only.
ANSWER: A
NAT: AACSB Reflective
PAGE:
5
AICPA Legal
TYPE:
=
The legislature of the state of Missouri enacts a new statute that sets
standards for the liability of businesses selling defective products.
This statute applies
a.
b.
c.
d.
only in Missouri.
only in Missouri and its border states.
in all states.
in all states but only to matters not covered by other states’
laws.
ANSWER: A
NAT: AACSB Reflective
7.
5
AICPA Legal
Hawaii enacts a state law that violates the U.S. Constitution. This law
can be enforced by
a.
b.
c.
d.
6.
PAGE:
PAGE:
5
AICPA Legal
TYPE:
N
The River City Council, the Santa Clara County Board, the Texas state
legislature, and the U.S. Congress enact laws. These laws constitute
a.
b.
c.
administrative law.
case law.
stare decisis.
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
10
UNIT ONE: THE LEGAL ENVIRONMENT OF BUSINESS
d.
statutory law.
ANSWER: D
NAT: AACSB Reflective
PAGE:
5
TYPE:
AICPA Critical Thinking
=
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
FULL FILE AT HTTP://TESTBANKSSTORE.EU/TEST-BANK-FOR-BUSINESS-LAW-TODAY-9THEDITION-BY-MILLER
8.
The U.S. Congress enacts a new federal statute that imposes liability
on businesses emitting significant amounts of a certain pollutant into
the environment. This statute applies
a.
b.
c.
d.
only to matters not covered by state law.
only to those states that adopt the statute.
to all of the states.
to none of the states.
ANSWER: C
NAT: AACSB Reflective
9.
5
AICPA Legal
TYPE:
=
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 ordinances. Administrative law includes
a.
b.
c.
d.
all law that affects a business’s operation.
the rules, orders, and decisions of the Federal Trade
Commission.
statutes enacted by the Georgia state legislature.
ordinances created by the Jackson County Board and the city
council of Peach City, Georgia.
ANSWER: B
NAT: AACSB Reflective
10.
PAGE:
PAGE:
5
AICPA Legal
TYPE:
=
Crater Tools Company may be subject to regulations issued by the
Occupational Safety and Health Administration (OSHA). Like other
administrative agencies, the OSHA affects
a.
b.
c.
d.
almost every aspect of a business’s operations.
almost no aspect of a business’s operations.
a firm’s capital structure and financing, but nothing else.
a firm’s hiring and firing procedures, but nothing else.
ANSWER: A
NAT: AACSB Reflective
PAGE:
6
AICPA Legal
TYPE:
N
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
12
11.
UNIT ONE: THE LEGAL ENVIRONMENT OF BUSINESS
The Securities Exchange Commission (SEC) is an administrative
agency. Like other administrative agencies, the SEC was established
to
a.
b.
c.
d.
act as a liaison between federal and state governments.
impose uniform laws on the states.
perform a specific function.
standardize laws for the executive and judicial branches.
ANSWER: C
NAT: AACSB Reflective
12.
TYPE:
N
Ancient Greece.
England.
France.
the natural law school.
ANSWER: B
NAT: AACSB Reflective
PAGE:
7
AICPA Legal
TYPE:
+
As a judge, Potter applies common law rules. These rules develop
from
a.
b.
c.
d.
administrative regulations.
court decisions.
federal and state statutes.
proposed uniform laws.
ANSWER: B
NAT: AACSB Reflective
14.
6
AICPA Legal
The federal government and the state governments constitute the
U.S. legal system. This system is based on the legal system of
a.
b.
c.
d.
13.
PAGE:
PAGE:
7
AICPA Legal
TYPE:
=
Jill is an appellate court judge. In this capacity, Jill establishes a rule
of law. Under the doctrine of stare decisis, the principle must be
adhered to by
a.
b.
all courts.
courts of lower rank only.
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
FULL FILE AT HTTP://TESTBANKSSTORE.EU/TEST-BANK-FOR-BUSINESS-LAW-TODAY-9THEDITION-BY-MILLER
c.
d.
that court and courts of lower rank.
that court only.
ANSWER: C
NAT: AACSB Reflective
15.
TYPE:
=
allow the minor the Daphne case to cancel the contract.
disregard the Ben case.
order the minor in the Daphne case to cancel the contract.
require the minor in the Daphne case to fulfill the contract.
ANSWER: A
NAT: AACSB Reflective
PAGE:
7
TYPE:
AICPA Critical Thinking
=
Sam is a judge hearing the case of Local Co. v. National Corp.
Applying the relevant rule of law to the facts of the case requires Sam
to find previously decided cases that, in relation to the case under
consideration, are
a.
b.
c.
d.
as different as possible.
as similar as possible.
at odds.
exactly identical.
ANSWER: B
NAT: AACSB Reflective
17.
7
AICPA Legal
In Ben v. City Car Dealership, a state supreme court held that a minor
could cancel a contract for the sale of a car. Now a trial court in the
same state is deciding Daphne v. Even Steven Auto Deals, Inc.,, a
case with similar facts. Under the doctrine of stare decisis, the trial
court is likely to
a.
b.
c.
d.
16.
PAGE:
PAGE:
7
TYPE:
AICPA Critical Thinking
=
In Sales Distribution Corp. v. Consumer Products Co., the court
decides that a precedent is incorrect or inapplicable. The court
a.
b.
c.
d.
may rule contrary to the precedent.
must apply the precedent.
must ask a higher court to rule on the case.
must refuse to decide the case.
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
14
UNIT ONE: THE LEGAL ENVIRONMENT OF BUSINESS
ANSWER: A
NAT: AACSB Reflective
PAGE:
8
AICPA Legal
TYPE:
+
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
FULL FILE AT HTTP://TESTBANKSSTORE.EU/TEST-BANK-FOR-BUSINESS-LAW-TODAY-9THEDITION-BY-MILLER
18.
A state trial court has before it Eagle Manufacturing Co. v. Four
Feathers Products Corp., a case with no binding authority. The court
can
a.
b.
c.
d.
not refuse to decide the Eagle case.
postpone deciding Eagle indefinitely.
postpone deciding Eagle until there is binding authority.
refuse to decide Eagle.
ANSWER: A
NAT: AACSB Reflective
19.
TYPE:
=
an administrative agency’s enforcement of its rule.
a principle of the law derived from earlier court cases.
a statute enacted by a state legislature or Congress.
the legal means to recover a right or to redress a wrong.
ANSWER: D
NAT: AACSB Reflective
PAGE:
8
AICPA Legal
TYPE:
N
In Export Co. v. Imports, Inc., there is no precedent on which the
court can base a decision. The court can consider
a.
b.
c.
d.
neither public policy nor social customs and values.
public policy only.
public policy or social customs and values.
social customs and values only.
ANSWER: C
NAT: AACSB Reflective
21.
8
AICPA Legal
In an action against Elin, Frank obtains a remedy. This is
a.
b.
c.
d.
20.
PAGE:
PAGE:
8
TYPE:
AICPA Critical Thinking
=
In a suit against Sandy, Taylor obtains a remedy. In the U.S. legal
system, this remedy will most likely be
a.
b.
c.
d.
an injunction.
damages.
rescission.
specific performance.
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
16
UNIT ONE: THE LEGAL ENVIRONMENT OF BUSINESS
ANSWER: B
NAT: AACSB Reflective
22.
the
the
the
the
N
appellant.
appellee.
defendant.
plaintiff.
ANSWER: D
NAT: AACSB Reflective
PAGE:
9
AICPA Legal
TYPE:
=
MaxiMart, Inc., is a discount retailer. MaxiMart’s customer service
employees are on strike. Sixty of the workers block the entrances to one
of MaxiMart’s stores. To get them away from the doors, MaxiMart should
seek
a.
b.
c.
d.
an injunction.
damages.
rescission.
specific performance.
ANSWER: A
NAT: AACSB Reflective
24.
8
TYPE:
AICPA Critical Thinking
Network Corporation files a suit against Omega, Inc., alleging that
Omega breached a contract to sell Network a computer system.
Network is
a.
b.
c.
d.
23.
PAGE:
PAGE:
9
TYPE:
=
AICPA Decision Modeling
In a suit against Clem, Dona obtains the cancellation of a contract.
This is
a.
b.
c.
d.
an injunction.
damages.
rescission.
specific performance.
ANSWER: C
NAT: AACSB Reflective
PAGE:
9
AICPA Legal
TYPE:
+
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
FULL FILE AT HTTP://TESTBANKSSTORE.EU/TEST-BANK-FOR-BUSINESS-LAW-TODAY-9THEDITION-BY-MILLER
25.
In a suit against Owen, Phil obtains specific performance. This is
a.
b.
c.
d.
an order to do or to refrain from doing a particular act.
an order to perform what was promised.
a payment of money or property as compensation.
the cancellation of a contract.
ANSWER: B
NAT: AACSB Reflective
26.
TYPE:
N
a statute of limitations.
the doctrine of stare decisis.
the chancellor’s discretion.
the king’s conscience.
ANSWER: A
NAT: AACSB Analytic
PAGE:
11
AICPA Legal
TYPE:
=
To Cody, the written law of a particular society at a particular time is
most significant. Cody is
a.
b.
c.
d.
a
a
a
a
legal positivist.
legal rationalist.
legal realist.
person who adheres to the natural law school.
ANSWER: A
NAT: AACSB Analytic
28.
9
AICPA Legal
Grady is a judge. In his court, Grady may bar a suit if it is not filed
within a proper time according to
a.
b.
c.
d.
27.
PAGE:
PAGE:
11
TYPE:
AICPA Critical Thinking
=
Beth is a victim of Carl’s violation of a criminal law. Criminal law is
concerned with
a.
b.
c.
d.
the prosecution of private individuals by other private
individuals.
the prosecution of public officials by private individuals.
the relief available when a person’s rights are violated.
wrongs committed against the public as a whole.
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
18
UNIT ONE: THE LEGAL ENVIRONMENT OF BUSINESS
ANSWER: D
NAT: AACSB Reflective
PAGE:
12
AICPA Legal
TYPE:
=
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
FULL FILE AT HTTP://TESTBANKSSTORE.EU/TEST-BANK-FOR-BUSINESS-LAW-TODAY-9THEDITION-BY-MILLER
29.
When Overseas Exports, Inc., based in New York, does business
internationally, the firm may be subject to international law. The
sources of this law include
a.
b.
c.
d.
the laws of individual nations only.
treaties and international organizations only.
the laws of individual nations, and treaties and international
organizations.
none of the choices.
ANSWER: C
NAT: AACSB Reflective
30.
PAGE:
13
AICPA Legal
TYPE:
=
The title of a case appears as “Duck Sales Corp. v. Egret Supply Co.”
The party in whose favor the case was decided
a.
b.
c.
d.
could be either party.
must be neither party.
must be Duck.
must be Egret.
ANSWER: A
NAT: AACSB Analytic
PAGE:
21
TYPE:
AICPA Research
+
Fact Pattern 1-1 (Questions 31–33 apply)
The Texas Supreme Court decides the case of Livewire Co. v. Power Corp.
Of nine justices, five believe the judgment should be in Livewire’s favor.
Justice Bellamy, one of the five, writes a separate opinion. The four justices
who believe the judgment should be in Power’s favor join in a third
separate opinion.
31.
Refer to Fact Pattern 1-1. These opinions are collected and published
in volumes called
a.
b.
c.
d.
citations.
codes.
regulations.
reporters.
ANSWER:
D
PAGE:
19
TYPE:
N
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
20
UNIT ONE: THE LEGAL ENVIRONMENT OF BUSINESS
NAT: AACSB Analytic
AICPA Research
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
FULL FILE AT HTTP://TESTBANKSSTORE.EU/TEST-BANK-FOR-BUSINESS-LAW-TODAY-9THEDITION-BY-MILLER
32.
Refer to Fact Pattern 1-1. Bellamy’s opinion is
a.
b.
c.
d.
a
a
a
a
concurring opinion.
dissenting opinion.
majority opinion.
per curiam opinion.
ANSWER: A
NAT: AACSB Analytic
33.
25
TYPE:
AICPA Research
N
Refer to Fact Pattern 1-1. The opinion joined by the four justices who
favor Power is known as
a.
b.
c.
d.
a
a
a
a
concurring opinion.
dissenting opinion.
majority opinion.
per curiam opinion.
ANSWER: B
NAT: AACSB Analytic
34.
PAGE:
PAGE:
25
TYPE:
AICPA Research
N
At a prison in Ohio, inmate Steve recruits other inmates to play
Towers & Trolls, a potentially violent, fantasy, role-playing game.
Ryan, the prison’s warden, confiscates the game materials and bans
its play at the prison. Under the principles discussed in “A Sample
Court Case,” Singer v. Raemisch, Ryan most likely acted
a.
b.
c.
d.
in violation
reasonably
play.
reasonably
reasonably
of Steve’s rights under the First Amendment.
in taking the game materials but not in banning its
in banning the game but not in taking the materials.
in the circumstances and under the law.
ANSWER: D
NAT: AACSB Reflective
PAGE:
25
TYPE:
AICPA Research
N
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
22
35.
UNIT ONE: THE LEGAL ENVIRONMENT OF BUSINESS
Standard Business Company appeals a decision against it, in favor of
Top Flight Corporation, from a lower court to a higher court. Standard
is
a.
b.
c.
d.
the
the
the
the
appellant.
appellee.
defendant.
plaintiff.
ANSWER: A
NAT: AACSB Reflective
PAGE:
25
AICPA Legal
TYPE:
=
ESSAY QUESTIONS
1.
In a lawsuit between Digital Hardware Corporation and Software
Engineering Associates, Inc., the court applies the doctrine of stare
decisis. What is this doctrine? What does this doctrine have to do
with the American legal system?
ANSWER: In a common law legal system, past judicial decisions are
binding in current disputes with similar facts. This feature of the common law, which is the basis of the American legal system, is unique
because, unlike the law in other legal systems, it is judge-made law.
Within the common law system, when possible, judges attempt to be
consistent and to base their decisions on the principles suggested by
earlier cases. The body of principles and doctrines that form the
common law emerged over time as judges applied the principles
announced in earlier cases to subsequent legal controversies. The
practice of deciding cases with reference to former decisions, or
precedents—the cornerstone of the American legal system—is called
the doctrine of stare decisis. Under this doctrine, judges are obligated
to follow the precedents established within their jurisdictions. This
helps courts to be more efficient, and makes the law more stable and
predictable.
PAGES:
7–8
NAT: AACSB Reflective
TYPE:
=
AICPA Legal
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
FULL FILE AT HTTP://TESTBANKSSTORE.EU/TEST-BANK-FOR-BUSINESS-LAW-TODAY-9THEDITION-BY-MILLER
2.
Blizzard Entertainment, Inc., one of the owners of the World of
Warcraft (WoW) computer game, is involved in a lawsuit with MDY
Industries, LLC, the owner of Glider, a software program that plays
WoW for its players while they are away from their keyboards.
Blizzard asks the court to direct MDY to stop selling and distributing
Glider. The court’s opinion in the case is at MDY Industries, LLC v.
Blizzard Entertainment, Inc., 616 F.Supp.2d 958 (D.Ariz. 2009). What
is the name for the remedy that Blizzard is seeking? What type of
remedy is it? What court decided this case? Specifically where can
the court’s opinion be found?
ANSWER: The remedy that Blizzard asks the court to provide is an
injunction—defined as an order to do or to refrain from doing a
particular act. An injunction is an equitable remedy. The U.S. District
Court for the District of Arizona decided this case in 2009. The
opinion of the court in this case—MDY Industries, LLC v. Blizzard
Entertainment, Inc., 616 F.Supp.2d 958 (D.Ariz. 2009)—can be found
in its entirety in volume 616 of the Federal Supplement, Second
Series, on page 958.
PAGES:
9, 20, 21 & 23
NAT: AACSB Reflective
TYPE:
N
AICPA Legal
© 2012 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted
to a publicly accessible website, in whole or in part.
