CHAPTER 1 TRUE/FALSE - Write 'T' if the statement is true and 'F' if the statement is false. 1) The right of self-defense is an example of substantive law. ⊚ ⊚
2)
true false
Rules as to how a trial is conducted are part of procedural law. ⊚ ⊚
true false
3) Substantive law establishes the rules under which the procedural rules of law are enforced. ⊚ ⊚
4)
true false
Civil law defines breaches of duty to society at large. ⊚ ⊚
true false
5) The Commerce Clause of the United States Constitution permits Congress to regulate intrastate commerce. ⊚ ⊚
6)
true false
Under the notion of federalism, the United States is composed of 51 legal systems. ⊚ ⊚
Version 1
true false
1
7) When conflict exists between the federal legal system and a state legal system, the federal rules prevail, even if the federal government is not acting under one of the powers granted to it by the United States Constitution. ⊚ ⊚
8)
true false
A statute is the product of the lawmaking of a legislature. ⊚ ⊚
true false
9) The United States Constitution declares that treaties made by the president with foreign governments and ratified by at least one-half of the Senate are “the supreme law of the land.” ⊚ ⊚
true false
10) Generally, a court’s first step in interpreting a statute or other source of law is to look at the plain meaning of the words. ⊚ ⊚
11)
true false
Judges may look to general concepts of public policy when interpreting legal rules. ⊚ ⊚
true false
12) Due to the constitutional prohibition of ex post facto laws, a new criminal statute applies only to actions taken after it becomes effective. ⊚ ⊚
Version 1
true false
2
13) Four schools of jurisprudence that are predominant today include legal utilitarianism, natural law, psychological jurisprudence, and legal idealism. ⊚ ⊚
true false
14) Legal positivists are likely to consider public policy and their own sense of morality when interpreting the law. ⊚ ⊚
true false
15) The objectives of preventive law are to arrange business plans and methods to increase profits by (a) avoiding losses through fines and damage judgments and (b) reaching business goals through enforceable contracts while avoiding government prohibitions. ⊚ ⊚
true false
MULTIPLE CHOICE - Choose the one alternative that best completes the statement or answers the question. 16) Which of the following is not a basic function of law? A) B) C) D)
keeping the peace enforcing rules to maintain order guaranteeing social mobility promoting social justice
17) The freedom of speech granted by the United States Constitution is an example of __________. A) B) C) D)
Version 1
civil law substantive law criminal law procedural law
3
18)
Which of the following is an example of procedural law? A) B) C) D)
19)
The privilege of receiving food stamps The rules as to how a court's judgment is to be enforced The right of self-defense The freedom of speech granted by the United States Constitution
Which of the following statements is true of criminal law?
A) It is concerned with private duties owed by one person to another. B) It is completely procedural. C) It defines breaches of duty to society at large. D) It refers to the duty of corporations to exercise reasonable care with regard to other corporations.
20)
If a person carelessly runs a car into yours, that person has committed the: A) B) C) D)
21)
tort of negligence. tort of assault. crime of assault. crime of negligence.
A person whose drunken driving causes the death of another may face:
A) criminal prosecution by the survivors of the victim. B) both a criminal prosecution by the state and a civil suit for damages by the survivors of the victim. C) a civil suit for damages by the state D) either a criminal prosecution by the state or a civil suit for damages by the survivors of the victim, but not both.
Version 1
4
22)
The __________ is the most widely adopted uniform law. A) B) C) D)
23)
Local legislation regulating zoning and noise levels are examples of __________. A) B) C) D)
24)
Federal Trade Commission Interstate Commerce Commission Securities and Exchange Commission Occupational Safety and Health Administration
Which of the following statements is true of independent agencies? A) B) C) D)
26)
ordinances treaties administrative rules administrative decisions
The first federal regulatory agency was the __________. A) B) C) D)
25)
Uniform Criminal Code Interstate Commerce Treaty Uniform Commercial Code Multistate Criminal Compact
They are headed by the president. They are a part of the executive branch of the government. They are headed by a board or commission. They are given authority only to enforce rules made by the Congress.
Common law arises when:
Version 1
5
A) courts are called upon to resolve disputes for which there is no statute or other source of law establishing a rule. B) constitutional statutes are found to interfere with the freedom of expression. C) there are statutes and other sources of law establishing a particular rule and the courts decide to improvise this existing statutory law. D) the government wishes to encourage certain kinds of investments.
27)
Under the power of judicial review, __________.
A) a judge may render a legal rule unenforceable by declaring it in conflict with a constitution B) lower courts may decide that higher court decisions are not valid C) private persons are not allowed to create legally binding obligations as they do not have the power to contract D) the court may override the acts of the Constitution
28)
According to private law, private persons may: A) B) C) D)
create legally binding agreements through their power to contract. enter into contracts, but the contracts will not be upheld in court. create their own rules when there is no prior statute. make their own rules only after studying practice of similar precedents.
29) A useful tool for understanding and persuading that combines basic analytical thinking with recognition of the special features of the underlying legal system is __________. A) B) C) D)
Version 1
sociological jurisprudence legal positivism legal reasoning analytical reasoning
6
30) Which of the following is a correct statement regarding public policy and legal interpretation? A) Judges may look to general concepts of public policy when interpreting legal rules. B) There is a precise definition of what constitutes public policy. C) In determining what constitutes public policy, a judge may not consider what the majority of the population thinks is best. D) In determining what constitutes public policy, a judge may not consider his or her subjective (i.e., personal) views regarding what is best for society.
31) Since a person cannot adjust his or her conduct to a statute not yet passed, the constitutional prohibition of __________ is essential to justice. A) B) C) D)
32)
Stare decisis: A) B) C) D)
33)
caveat emptor stare decisis ex post facto laws strict liability laws
renders law rigid and unchanging. lends predictability to decisional law by relying on prior decisions. means a new statute applies only to actions taken after it becomes effective. creates harsh results by refusing to recognize equitable exceptions.
According to the doctrine of stare decisis, __________.
Version 1
7
A) the constitutional prohibition of ex post facto laws applies to common or decisional law B) a legislature cannot override stare decisis and change a common law rule by enacting a statute C) the highest appeals court in a jurisdiction cannot overrule a precedent case D) a court has considerable freedom in picking precedent cases
34)
Which of the following is a correct statement regarding legal positivism?
A) B) C) the law. D) rules.
35)
Legal positivism provides a great sense of flexibility to the enforcement of legal
Natural law thinkers believe that: A) B) C) D)
36)
Legal positivists are likely to consider public policy when interpreting the law. Legal positivist judges confine their legal analysis to the plain meaning of the words. Legal positivists are likely to consider their own sense of morality when interpreting
law and morality are not separate. there is no law superior to that promulgated by political institutions. all laws should have an environmental focus. natural law provides the level of predictability attained by legal positivism.
Sociological jurisprudence maintains that:
A) legal decisions should be based on short-term social goals. B) courts must look beyond the plain meaning of a statute to consider the law's legislative purpose. C) courts should not consider their perceptions of the prevailing public policies in interpreting statutes. D) the law is the command of legitimate political institutions.
Version 1
8
37)
Legal realism stresses that the law must be considered in light of its __________. A) B) C) D)
38)
Stare decisis means to: A) B) C) D)
39)
adhere to decided cases. enforce a standard of strict liability. examine the likely outcome of a particular judicial decision. be both firm and fair in judicial decision-making.
In applying stare decisis, rulings of prior cases that have similar facts are known as: A) B) C) D)
40)
day-to-day application inherent theoretical value philosophical foundations promotion of social justice
conditions precedent. precedents. conditions subsequent. precedence.
If a judicial precedent is established by a state court in Arizona:
A) a federal court in New Mexico must adhere to it. B) a state court in California must adhere to it. C) a state court in California may follow the precedent, but it is not bound to do so. D) the same court (or a higher court in Arizona) must revisit the issue within twenty years in order to acknowledge sociocultural change, and to incorporate such change in newlyestablished precedent.
41)
Which of the following is true regarding judicial precedent?
Version 1
9
A) The highest appeals court in a jurisdiction can overrule a precedent case, but this does not occur frequently. B) The highest appeals court in a jurisdiction can overrule a precedent case, and this occurs frequently. C) The highest appeals court in a jurisdiction cannot overrule a precedent case, due to stare decisis. D) The highest appeals court in a jurisdiction cannot overrule a precedent case, due to caveat emptor.
42) Which of the following is true regarding judicial precedent that a court with appropriate jurisdiction determines to be in error or “out-of-date?” A) It may not be overruled without prior notice. B) It may be overruled, but the new precedent cannot apply to the current case; in other words, the new precedent will only apply to future cases. C) It may be overruled without prior notice, and the new rule may be applied to the current case. D) Consistent with stare decisis, the court must adhere to the existing judicial precedent, although it can encourage the legislature to enact law (i.e., a statute) to override the existing precedent.
43)
Which of the following is true regarding precedent cases?
A) To promote the notion that “justice is blind,” a plaintiff’s lawyer cannot choose as precedent those cases in which the decision favors the plaintiff’s position. B) A court has considerable freedom in selecting existing precedent cases. C) Consistent with longstanding constitutional principles favoring due process for the defendant, a court must follow as precedent those cases in which the decision favors the defendant’s position. D) Due to stare decisis, courts have no freedom to select existing precedent cases.
44)
In the business world, one of the goals of preventive law is to increase profits by:
Version 1
10
A) B) C) D)
imposing higher inheritance and income taxes on wealthy people. avoiding losses through fines and damage judgments. involving the client in the business-planning process. creating unenforceable contracts.
45) One objective of preventive law is to arrange business plans and methods to increase profits by __________. A) honoring legal obligations while avoiding ethical obligations B) reaching business goals through enforceable contracts while avoiding government prohibitions C) strictly adhering to the socioeconomic view of the social responsibility of business D) prioritizing the interests of corporate stockholders over the interests of other stakeholders
46) If the behavior of someone who commits a tort is outrageous, that person can be made to pay __________ damages. A) B) C) D)
47)
compensatory punitive consequential non-monetary
Which of the following is true regarding the federal and state constitutions?
Version 1
11
A) Every other form of law must be consistent with the United States Constitution or it will be struck down by the courts. B) Compared to the U.S. Constitution, state constitutions are much more adaptable to changing conditions. C) The U.S. Constitution is much more specific and detailed than the various state constitutions. D) The U.S. Constitution has had only 21 additional amendments in the more than 200 years since the adoption of the Bill of Rights.
48)
Which of the following is true regarding the judicial process of legal interpretation?
A) Most statutes are written in very specific and exacting language. B) Where a statute has been interpreted by a government agency, the courts traditionally defer to that interpretation if it seems reasonable. C) A court’s power to interpret is largely inconsequential. D) Courts are generally prohibited from broadening or narrowing the reach of a law.
49)
Which of the following is true regarding stare decisis?
A) B) C) D) Carolina.
It lends uncertainty to decisional law by disregarding prior judicial decisions. State court decisions are binding only within the same state. The common law is precisely the same from state to state. A court in South Carolina must follow a precedent established by a court in North
50) Which of the following is true regarding judicial precedent and the constitutional prohibition of ex post facto laws?
Version 1
12
A) The constitutional prohibition of ex post facto laws applies to common law. B) The constitutional prohibition of ex post facto laws applies to decisional law. C) Often, a court will distinguish the case before it from precedent by finding differences in facts between the two cases. D) Precedent determined to be in error or out-of-date may be overruled without prior notice.
51)
Which of the following is true regarding preventive law?
A) In earlier times, business managers generally employed lawyers only in nonemergency situations. B) In earlier times, a business manager might hire a lawyer if a supplier’s goods were defective and no settlement could be reached. C) The use of lawyers by individuals for personal, non-business matters is called preventive law. D) In the past quarter century, there has been a qualitative but not a quantitative change in the concern of business managers with law.
SHORT ANSWER. Write the word or phrase that best completes each statement or answers the question. 52) List the four basic functions of law.
53) Describe the difference between criminal and civil law. What are the penalties that accompany violations of each?
54)
List the primary sources of law.
Version 1
13
55)
Describe the four steps in the process of legal interpretation.
56)
Define the three steps involved in applying stare decisis.
Version 1
14
Answer Key Test name: Chap 01_14e_Test Bank 1) TRUE 2) TRUE 3) FALSE 4) FALSE 5) FALSE 6) TRUE 7) FALSE 8) TRUE 9) FALSE 10) TRUE 11) TRUE 12) TRUE 13) FALSE 14) FALSE 15) TRUE 16) C 17) B 18) B 19) C 20) A 21) B 22) C 23) A 24) B 25) C 26) A Version 1
15
27) A 28) A 29) C 30) A 31) C 32) B 33) D 34) B 35) A 36) B 37) A 38) A 39) B 40) C 41) A 42) C 43) B 44) B 45) B 46) B 47) A 48) B 49) B 50) C 51) B 52) The basic functions of law are 1) keeping the peace; 2) enforcing rules to maintain order; 3) facilitating planning; and 4) promoting social justice.
Version 1
16
53) Criminal law defines breaches of duty to society at large, while civil law defines breaches of private duties owed by one person (including corporations) to another. Violations of criminal law are punishable by fine or imprisonment. In a civil action, the court does not seek to punish the wrongdoer but to make the wronged party whole through a money award called damages. 54) There are numerous sources of law within each of the 51 legal systems in the United States. The primary sources are: 1) constitutions; 2) treaties; 3) statutes; 4) administrative rules and decisions; 5) executive orders; 6) judicial decisions; and 7) private law. 55) The four steps in the process of legal interpretation are: 1) look to the plain meaning of the language, 2) examine the legislative history of the rule, 3) consider the purpose to be achieved by the rule, and 4) try to accommodate public policy. 56) Three steps are involved in applying stare decisis: 1) finding an earlier case or cases with similar facts; 2) deriving a rule of law; and 3) applying that rule to the case at hand.
Version 1
17
CHAPTER 2 TRUE/FALSE - Write 'T' if the statement is true and 'F' if the statement is false. 1) The names of the various courts and the way jurisdiction is divided between them are uniform from state to state. ⊚ ⊚
true false
2) Most minor criminal violations and civil disputes involving small amounts of money are handled by courts of record. ⊚ ⊚
true false
3) If parties to a dispute are from different states, and the amount involved in the dispute is $75,000 or more, the plaintiff may choose to bring suit in either state or federal court. ⊚ ⊚
4)
true false
Courts only permit a plaintiff to bring a lawsuit if that person has standing. ⊚ ⊚
true false
5) While the rules of jurisdiction determine whether a plaintiff may bring a lawsuit at all, standing governs which particular courts may hear the case. ⊚ ⊚
true false
6) If a court has subject matter jurisdiction, it may decide the case even if it does not have personal jurisdiction over the defendant. ⊚ ⊚
Version 1
true false
1
7) The doctrine of forum non conveniens permits a court, upon petition by the defendant, to dismiss the lawsuit when it believes it would be more convenient and fair to have the case tried in another forum. ⊚ ⊚
true false
8) The adversary legal system in the United States is premised on the notion that the ultimate truth and justice will prevail if each party to a legal dispute is represented by competent legal counsel. ⊚ ⊚
9)
true false
In the adversary legal system, the trial judge acts essentially as an advocate. ⊚ ⊚
true false
10) The attorney-client privilegerule prevents an attorney from divulging confidential information communicated to the lawyer by a client or potential client in the course of seeking to retain the attorney or otherwise seeking legal advice. ⊚ ⊚
true false
11) Like the attorney-client privilege, the work product privilege is automatically lost if the client discusses the otherwise confidential matters with others. ⊚ ⊚
true false
12) The serving of a summary judgment on the defendant gives notice to the defendant of the suit, informs him or her who the plaintiff is, and states the time within which the defendant must make an appearance. Version 1
2
⊚ ⊚
true false
13) A counterclaim is a new claim stating that the defendant owes the plaintiff damages because of harm resulting from the incident alleged in the complaint. ⊚ ⊚
true false
14) To achieve justice in a particular case, an appellate court will typically hear witnesses and gather new evidence. ⊚ ⊚
true false
15) A mediator merely facilitates negotiation; no award or opinion on the merits of the dispute is given by the mediator. ⊚ ⊚
true false
MULTIPLE CHOICE - Choose the one alternative that best completes the statement or answers the question. 16) Inferior courts may be called __________ courts in urban areas and __________ courts in rural areas. A) B) C) D)
17)
district; municipal justice of the peace; municipal municipal; justice of the peace municipal; district
Trial courts differ from inferior courts in that the trial courts:
Version 1
3
A) B) C) D)
18)
are courts of limited jurisdiction. are limited by the amount of civil damages that can be awarded. are courts of record, and their decisions can be appealed. are called municipal courts in urban areas.
Generally, the role of appellate courts is to:
A) rehear the testimony of trial court witnesses. B) establish new facts for all cases. C) accept the findings of the trial court unless there is proof beyond reasonable doubt that the trial court either committed an error of law or abused its discretion. D) review the proceedings in the trial court and correct legal errors made by the trial judge.
19) A certain court receives an appeal by parties dissatisfied with the decision of a trial court. However, neither does it hear any witnesses nor does it review new facts about the case. The court discussed in the example is a(n) __________. A) B) C) D)
municipal court inferior court appellate court justice of peace court
20) Karl, a resident of Ohio, was convicted of a bank robbery worth $90,000 in California. In which of the following courts should his case be filed? A) B) C) D)
Version 1
Small claims court Tax court District court Appellate court
4
21)
District courts: A) B) C) D)
22)
A United States court of appeals is empowered to:
A) B) C) D) statutes.
23)
accept appeals only from other districts. review legal conclusions reached by lower federal courts. hear cases that have been appealed from U.S. Supreme Court decisions. assume final responsibility for interpretation of the U.S. Constitution and federal
The United States Supreme Court:
A) B) C) D) opinion.
24)
only review the legal conclusions reached by lower federal courts. are the intermediate courts of the federal court system. have both fact-finding and law-finding functions. are specialized courts in the federal court system.
decides all of the cases appealed to it. decides most of the cases appealed to it. decides only a small percentage of the cases appealed to it. defers to the decision of the U.S. court of appeals in the event of a concurring
Writ of certiorari (cert.) may be granted when:
A) a person does not want to appeal to the United States Supreme Court. B) there have been conflicting decisions in similar cases by different courts of appeal. C) the U.S. Supreme Court has too many cases to be heard and has no time to take up a new case. D) the U.S. Supreme Court chooses to defer its decision-making authority to the U.S. court of appeals.
Version 1
5
25) Sometimes, when a defendant’s actions have injured many plaintiffs, their claims may be consolidated into __________. A) B) C) D)
26)
cross-complaints counterclaims a class action lawsuit a multistate lawsuit
Which of the following is true regarding the Class Action Fairness Act (CAFA)?
A) It was enacted in response to concerns that class actions were undermining the national judicial system. B) It was enacted in support of the notion that class actions were advancing the interests of interstate commerce. C) It supports the notion that plaintiffs’ attorneys have used the class action mechanism to the exclusive advantage of class members. D) It generally requires that a class action be heard in federal court if there is diversity of citizenship and the amount in controversy exceeds $1 million.
27) Over the many years of being his neighbor, Tom has noticed that Jim is a very angry person. On numerous occasions, Tom has overheard Jim yelling at his wife and two children (Tom doesn’t have a family of his own and believes Jim should be more grateful for and respectful of his family members). Worried, Tom went to the local courthouse to search Jim’s criminal record, and although Jim had no prior convictions for assault, that did nothing to allay Tom’s concern. Tom files a complaint against Jim in civil court, seeking a court order (more specifically, an injunction) prohibiting Jim from ever assaulting his wife and two children. What is the likely outcome of Tom’s complaint?
Version 1
6
A) neighbor. B) C) matter. D)
28)
Tom’s complaint will be successful, since he has standing to sue Jim as his Tom’s complaint will be dismissed, since he has no standing to sue Jim. Tom’s complaint will be successful, since assault is both a civil and a criminal Tom’s complaint will be dismissed, since assault is a criminal, not a civil, matter.
Jurisdiction is defined as:
A) B) C) D) disputes.
the authority of a court to hear and determine disputes. the unlimited authority of the court. the process by which legal cases are decided. the power an individual appointed within an organization possesses to settle
29) Adia files a lawsuit against Chang in an Ohio court. Chang, a citizen and resident of neighboring Indiana, has never visited Ohio and has no personal ties with anyone in Ohio. Chang can successfully argue that the Ohio court: A) B) C) D)
lacks personal jurisdiction. has legal reciprocity with Indiana, the state where Chang resides. must defer to the jurisdiction of a federal district court. lacks standing to hear the case, since the case involves diversity of citizenship.
30) What type of jurisdiction permits courts to hear cases involving the rights over property that is physically located within the court’s territory? A) B) C) D)
Version 1
In personam In rem Res ipsa loquitur Res judicata
7
31) Alvin has been accused of murdering his wife Marilyn in their home in Cincinnati, Ohio. The murder has received a great deal of media attention, and Alvin believes he cannot receive a fair trial if the case is tried in his hometown. Alvin believes he would receive a fair trial if the case is heard before a jury in Cleveland. To make his case for transfer of the trial from Cincinnati to Cleveland, Alvin will need to ask the court for __________. A) B) C) D)
a change of venue a summary judgment in personam jurisdiction in rem jurisdiction
32) The doctrine of __________ permits a court, upon petition by the defendant, to dismiss the lawsuit when it believes it would be more convenient and fairer to have the case tried in another forum. A) B) C) D)
33)
res judicata forum judicata forum in absentia forum non conveniens
Which of the following is true of a forum selection clause?
A) It must be exclusive. B) It must be nonexclusive. C) It may be either exclusive or nonexclusive. D) A forum selection clause is generally unenforceable, since jurisdiction and venue rules established by the rules of civil procedure dictate where a case may be heard.
34)
Which of the following is true regarding the adversary system?
Version 1
8
A) The adversary system represents the idea that truth is best discovered through the presentation of competing ideas. B) The judge in an adversary system is actively involved in determining the facts of a case. C) The lawyers in an adversary system do not persuade the judge that the other party's view of the facts is in error. D) The judges have a duty to direct the search for truth rather than expecting it to emerge from the efforts of the lawyers for the parties.
35) Under the adversary system, the judge’s role is viewed as not only __________ but also essentially __________. A) B) C) D)
unbiased; passive biased; passive unbiased; active biased; active
36) The Smiths, an affluent family, own a hospitality chain called Smith Hotels, Inc. When a lawsuit is filed against the hotel for serving stale food to its guests, the Smiths and Smith Hotels, Inc. decide to defend the case on its merits and take the case to trial rather than settle. In an adversary system, how is this situation advantageous to the Smiths and Smith Hotels, Inc.? A) The adversary system makes it easier for a biased judge to control the outcome of a case. B) In an adversary system, the wealthy can hire better lawyers. C) In an adversary system, corporations are generally immune from liability. D) The adversary system opposes the idea that truth is best discovered through the presentation of competing ideas.
37) Alexander has been charged with armed robbery of a convenience store in Portland, Oregon. He retains attorney Lewis A. Clarke, III to represent him, and while preparing his defense, Alexander confesses to attorney Clarke that he did indeed rob the liquor store. Which of the following is true regarding Alexander’s confession to Clarke?
Version 1
9
A) It is protected as a professional courtesy, and Clarke is prohibited from divulging this information to the prosecution and the court. B) It is protected by the attorney-client privilege, and Clarke is prohibited from divulging this information to the prosecution and the court. C) Pursuant to the attorney-client privilege, just like Alexander had the privilege to decide whether to divulge this information to his attorney, attorney Clarke also has privilege to decide whether to divulge it to the prosecution and the court. D) Since the confession relates to a criminal matter, it is not protected by the attorneyclient privilege, and in the interests of justice, attorney Clarke must divulge it to the prosecution and the court.
38)
Which of the following is true regarding the attorney-client privilege?
A) It is dependent upon the attorney actually being retained. B) It does not cover information divulged to an attorney’s subordinates (secretaries or paralegals). C) A lawyer has a duty to report a client’s statement that he intends to commit a crime. D) The attorney-client privilege covers statements made in the presence of people other than the lawyer or her subordinates.
39)
Which of the following is true regarding the attorney-client privilege?
A) It is derived from the notice that justice is best served if attorney divulges all evidence she has pertaining to a particular case to opposing counsel and the court. B) It applies only if the attorney is in private practice. C) It applies only if the attorney is in-house counsel. D) It applies regardless of whether the attorney is in-house counsel or outside counsel.
40)
Which of the following is true of pleadings?
Version 1
10
A) B) lawsuit. C) D)
41)
The first step in starting a lawsuit is the serving of a summons on the defendant. These are the first documents filed with the court, and they start and define the The case is set for trial on the court calendar once the pleadings have commenced. Both disputed and undisputed matters in the pleadings are tried in court.
In the context of filing a lawsuit, a complaint:
A) B) are true. C) D) trial.
must contain sufficient facts to show that the plaintiff is entitled to some legal relief. is a rule of law enabling the defendant to win even if all of the plaintiff's allegations was created to help deal with the increasing congestion of cases in most civil courts. is a procedural device that is designed to streamline the issues to be addressed at
42) A rule of law enabling a defendant to win even if all of plaintiff's allegations are true is a(n) __________. A) B) C) D)
counterclaim affirmative defense deposition judgment notwithstanding the verdict
43) A new claim stating that plaintiff owes the defendant damages because of harm resulting from the incident alleged in the complaint is called a(n) __________. A) B) C) D)
Version 1
counterclaim affirmative defense cross-claim motion for judgment notwithstanding the verdict
11
44)
A motion to dismiss made by a defendant is granted when:
A) the plaintiff in a civil case has not proven beyond reasonable doubt the defendant’s liability for the plaintiff’s harm. B) it is clear that the plaintiff does not have a case, and it would be wasteful to continue. C) either party feels that the judge is not impartial. D) people or groups other than the parties involved are interested in the outcome of a certain case.
45) Salim files a case against Nina for nonpayment of a debt. Before the trial, Nina is examined under oath in the presence of Salim's attorney. This process of examination is known as a(n) __________. A) B) C) D)
46)
deposition interrogatory pretrial conference direct examination
Which of the following is true regarding the pretrial conference?
A) It is held in the courtroom. B) The plaintiff and the defendant are personally present at the pretrial conference. C) The parties’ witnesses are present at the pretrial conference. D) The judge tries to get the parties’ attorneys to stipulate to as many of the material facts as possible.
47)
Which of the following is true of the presentation of testimony?
Version 1
12
A) Under direct examination, each witness is sworn and then examined by the defendant's attorney. B) A defendant's attorney may cross-examine each of the plaintiff’s witnesses, trying to raise doubts as to the person's credibility or trustworthiness. C) A defendant's attorney may conduct a redirect examination to clarify the plaintiff's view of the facts. D) During a witness's testimony, the opposing attorney cannot object to the presentation of certain evidence.
48) A __________ is designed to reach things belonging to the debtor that are in the hands of third parties. A) B) C) D)
49)
long-arm statute writ of garnishment writ of certiorari writ of mandamus
Which of the following is true of the burden of proof in a criminal trial?
A) It must be proof beyond a reasonable doubt. B) It is placed on the defendant, since the defendant has been charged with not only committing a wrong against an individual victim, but a wrong against society as well. C) It is less than the burden of proof in a civil case. D) It is identical to the burden of proof in a civil case.
50)
The term amicus curiae means:
Version 1
13
A) friendly cure, or more specifically, the amicable resolution of a dispute through mediation. B) friend of the court and refers to briefs filed by third parties interested in the outcome of a certain appeal. C) friend of the court and refers to the resolution of a dispute through the execution of a binding settlement agreement. D) friendly cure, or more specifically, the amicable resolution of a dispute through either binding or non-binding arbitration.
51)
To appeal a decision, __________.
A) a party must claim that the court made an error of law or that the evidence in the trial did not support the trial court's decision B) a party need not have objected to a judge's action at the time the alleged error was made C) a party must prepare for a new fact-finding process and must be dissatisfied with the judgment of the court D) the defendant must show that the errors made were not material
52) A record in writing of the entire trial proceedings including the testimony of all the witnesses and any discussions between the judge and the attorneys that must be prepared and forwarded to the appeals court is called a(n) __________. A) B) C) D)
53)
amicus brief motion in limine transcript brief
Pursuant to the Federal Arbitration Act:
Version 1
14
A) a court will review the wisdom of the decision of an arbitrator. B) both the agreement of parties to arbitrate and the arbitration award are enforceable in court. C) the agreement of parties to arbitrate is enforceable in court, but the arbitration award is unenforceable. D) the arbitration award is enforceable in court, but the agreement of parties to arbitrate is unenforceable.
54)
Which of the following is true about a minitrial?
A) A minitrial involves a six-member mock jury empaneled by the court that hears a shortened presentation of the case by the lawyers for each side and renders an advisory verdict. B) A minitrial often involves a neutral third-party advisor who will render a nonbinding opinion, if a settlement is not reached, regarding how a dispute is likely to be resolved if it goes to trial. C) A minitrial is conducted under court guidance. D) A minitrial differs from mediation in that the third-party to whom the dispute is submitted decides the outcome.
55)
In the private judging method of dispute resolution, __________.
A) a hired judge renders a binding opinion after hearing the evidence and arguments of the parties B) executives of the disputing companies, who have settlement authority, hear a shortened presentation of the case by the lawyers for each side C) a six-member mock jury empaneled by the court hears a shortened presentation of the case by the lawyers for each side D) executives of the disputing companies meet with lawyers for each side to negotiate a settlement
56) An individual appointed within an organization to settle disputes is called a(n) __________.
Version 1
15
A) B) C) D)
private judge arbitrator mediator ombudsperson
SHORT ANSWER. Write the word or phrase that best completes each statement or answers the question. 57) Explain the differences between trial courts and inferior courts.
58)
Explain what is meant by standing to sue.
59)
Explain the two types of personal jurisdiction.
60)
What are the advantages and disadvantages of the adversary system?
61) The employees of Claudio, Inc. were on strike for 30 days and that led to huge losses for the business. Due to loss of business and wages, both parties wanted to settle the dispute but were unable to negotiate successfully. Which method of alternative dispute resolution is best suited to them? Why?
Version 1
16
Version 1
17
Answer Key Test name: Chap 02_14e_Test Bank 1) FALSE 2) FALSE 3) TRUE 4) TRUE 5) FALSE 6) FALSE 7) TRUE 8) TRUE 9) FALSE 10) TRUE 11) FALSE 12) FALSE 13) FALSE 14) FALSE 15) TRUE 16) C 17) C 18) D 19) C 20) C 21) C 22) B 23) C 24) B 25) C 26) A Version 1
18
27) B 28) A 29) A 30) B 31) A 32) D 33) C 34) A 35) A 36) B 37) B 38) C 39) D 40) B 41) A 42) B 43) A 44) B 45) A 46) D 47) B 48) B 49) A 50) B 51) A 52) C 53) B 54) B 55) A 56) D Version 1
19
57) Trial courts differ from inferior courts in that the trial courts are courts of general jurisdiction; they are not limited by the amount of civil damages that can be awarded or the criminal penalties that can be imposed. Their geographic jurisdiction is often a county. They also differ in that the judge must be a lawyer, and juries are provided for. The juries decide the facts and, under instructions from the judge about the applicable law, reach a verdict. In addition, trial courts are courts of record. Thus, an appeal can be taken from a trial court decision. 58) Federal courts and most state courts hear only real controversies— concrete disputes between actual parties. They do not give advisory opinions, nor do they make rulings on hypothetical cases. This saves the time of judges and avoids the danger that the arguments for one side might not be vigorously pressed because no one as yet has been truly hurt. Basically, courts only permit a plaintiff to bring a lawsuit if that person has standing. At its most basic level, the standing requirement is derived from Article III of the United States Constitution, which prohibits the courts from hearing a case unless there exists a real case or controversy. This is known as “constitutional (or Article III) standing.” It prevents people from litigating frivolous or hypothetical claims. To meet this standard, a plaintiff must she that she has (1) suffered an actual injury, (2) that is traceable to the challenged conduct of the defendant, and (3) that the injury could be redressed by a favorable judicial decision.
Version 1
20
59) There are two types of personal jurisdiction: general and specific. General jurisdiction arises when the defendant’s contact with the court’s territory are so continuous and systematic as to render it essentially at home in the forum state. In those instances, the court can adjudicate any cause of action involving that particular defendant, regardless of where the cause of action arose. Specific jurisdiction refers to personal jurisdiction over causes of action arising from or related to the defendant’s actions within the court’s territory. Specific jurisdiction, on the other hand, requires a relationship between the activity giving rise to the lawsuit and the court’s territory. In short, specific jurisdiction is properly exercised where the injuries triggering the litigation arise out of and are related to activities that are significant and purposefully directed by the defendant at residents of the forum. 60) Advocates of the adversary system believe that truth is most effectively determined as a result of each lawyer presenting his or her client’s "case" through witnesses, and that deception and misperception are best exposed through cross-examination. In addition, the system makes it more difficult for a dishonest or biased judge to control the outcome of a case. Critics argue that honest witnesses can be confused by hostile questioning. They say that the system does not work when the opposing lawyers are of unequal skill. This gives an advantage to the wealthy, who can hire better lawyers. Furthermore, the competition to win can encourage suppression of unfavorable facts and overstatement, if not misstatement, of the truth.
Version 1
21
61) Students answers may vary. The alternative dispute resolution method that is best suited to them is mediation. Mediation is the best suited method to resolve the dispute in the given case because a mediator often tries first to communicate the positions of the parties to each other. It allows the parties to settle the case by appointing a mediator who merely facilitates the negotiation by proposing a basis for settlement and does not give awards or opinions on the merits of the dispute. It is a suitable method when the two parties, here the employees of Claudio, Inc. and the management, have a continuing relationship because it allows them to compromise and to reach a solution themselves.
Version 1
22
CHAPTER 3 TRUE/FALSE - Write 'T' if the statement is true and 'F' if the statement is false. 1) Predominant ethical theories include rights theory, justice theory, utilitarianism, and profit maximization. ⊚ ⊚
2)
Rights theory is known as a deontological ethical theory. ⊚ ⊚
3)
true false
true false
Justice theory, utilitarianism, and profit maximization are teleological ethical theories. ⊚ ⊚
true false
4) Teleological ethical theories focus on the consequences of a decision when deciding if it is ethical. ⊚ ⊚
5)
true false
Immanuel Kant viewed humans as moral actors that are free to make choices. ⊚ ⊚
true false
6) Profit maximization is a teleological theory that is based on the laissez-faire theory of capitalism first espoused by Adam Smith in the 18th century. ⊚ ⊚
Version 1
true false
1
7) According to the risky shift phenomenon, a group of people who must reach a consensus on an acceptable level of risk often decide on a level of risk higher than the risk they would accept as individuals. ⊚ ⊚
true false
8) Managers in collectivist societies may be more inclined to commit software piracy than members of more individualist societies. ⊚ ⊚
true false
9) The Sarbanes-Oxley Act requires public corporations to disclose whether they have adopted a code of ethics for senior financial officers. ⊚ ⊚
true false
10) It is highly likely that greater control of corporations by shareholders will lead to greater corporate social responsibility. ⊚ ⊚
true false
11) Under the revised version of the OECD’s Principles of Corporate Governance, institutional investors are specifically urged to maintain strict confidentiality of their corporate governance policies. ⊚ ⊚
true false
12) According to the decision-making model that is drawn heavily from the thoughts of Joseph L. Badaracco Jr., the question, "Which course of action does the most good and the least harm?" is utilitarian if the focus is narrowed to the manager's business organization.
Version 1
2
⊚ ⊚
true false
13) According to the decision-making model that is drawn heavily from the thoughts of Joseph L. Badaracco Jr., the question "Which course of action does the most good and the least harm?" is teleological in nature in that it focuses on the morality of the consequences of a decision. ⊚ ⊚
true false
14) According to the decision-making model that is drawn heavily from the thoughts of Joseph L. Badaracco Jr., the question, "What course is consistent with personal morality and the basic values of the company?" draws from an objective (i.e., “reasonable person”) standard of individual morality, not from the decision maker’s personal philosophy of morality. ⊚ ⊚
true false
15) According to the decision-making model that is drawn heavily from the thoughts of Joseph L. Badaracco Jr., the question, "Which course of action is feasible?" recognizes that ethics and morality must be practical. ⊚ ⊚
true false
MULTIPLE CHOICE - Choose the one alternative that best completes the statement or answers the question. 16) Rights theory is known as a __________ ethical theory. A) B) C) D)
Version 1
deontological utilitarianism teleological consequence-based
3
17)
According to Immanuel Kant, an action should be judged by applying it __________. A) B) C) D)
universally conditionally intermittently subjectively
18) "Act only on that maxim whereby at the same time you can will that it shall become universal law" is a component of Immanuel Kant’s __________. A) B) C) D)
categorical denial situational directive categorical imperative situational inquisition
19) According to the __________ principle, social inequalities are acceptable only if they cannot be eliminated without making the worst-off class even worse off. A) B) C) D)
20)
According to the justice theory, __________. A) B) C) D)
21)
profit maximization greatest equal liberty social Darwinism difference
the decision makers' choices are to be guided by fairness and impartiality the focus is on the process of decision making, not the outcome society's benefits and burdens should fall on only certain segments of society the morality of any action is determined by applying the categorical imperative
Utilitarianism is a teleological theory that suggests that “__________.”
Version 1
4
A) B) C) D)
to the victor goes the spoils with great power comes great responsibility power corrupts, and absolute power corrupts absolutely the ends justify the means
22) Which of the following is a teleological theory based on the laissez-faire theory of capitalism? A) B) C) D)
23) is to:
Act utilitarianism Profit maximization Rule utilitarianism Difference principle
Under the allocational efficiency theory, the primary objective of a business corporation
A) B) C) D)
maximize profits. minimize fraudulent activities. maximize corporate social responsibility. minimize criticism.
24) Which of the following is a reason why large corporations have the ability to influence legislation? A) There are no limits on the law's ability to control irresponsible corporate behavior. B) Their size, resources, and sophistication give them the capability to purchase this ability. C) Corporate managers are always aware of the effects of their products or production processes. D) The state legislatures cannot enact hostile regulatory legislation.
Version 1
5
25)
Many corporations initiate legislation in order to:
A) head off the risk of unpredictable lawsuits in the future. B) maximize the risk of more costly regulations for competitors. C) ensure that all legal rules reflect social interests only. D) ensure that their business partners are subject to more rigid constraints than is applicable to them.
26)
The Sarbanes-Oxley Act: A) B) C) D)
27)
raises the penalties for illegal behavior. gives corporations greater freedom from government control. adopts the theory of allocational efficiency. motivates executives to inflate reports of corporate profits.
The Sarbanes-Oxley Act: A) broadly defines obstruction of justice and makes obstruction of audit work papers a
felony. B) decreases the penalties for conscious law breaking. C) decreases the likelihood of detection and prosecution of illegal behavior. D) adopts the theory of allocational efficiency, under which the primary objective of a business corporation is to maximize profits.
28)
Which of the following statements best describes the phenomenon called risky shift?
A) Groups do not accept higher risks than individuals. B) A corporation shifts its risk onto its customers. C) A group of people who must reach a consensus on an acceptable level of risk often decide on a level of risk higher than the risk they would accept as individuals. D) The decisions made by a team of managers may have lower levels of risk and may create lesser legal problems than decisions made by an isolated manager.
Version 1
6
29) The tendency for members of a group to internalize the group's values and perceptions and to suppress critical thought is known as __________. A) B) C) D)
30)
risky shift social malingering herd behavior groupthink
Which of the following scenarios best exemplifies groupthink?
A) Ten officers of Jekyll Inc. are planning a business enterprise they know to be highly profitable. Six know the plan to be illegal. Nevertheless, the six do not voice their concerns, but go along with the team's plan. B) Four officers of Bisk Corp. devise a highly profitable plan. David, a manager, points out to the group that the plan will likely get the company a high amount of negative publicity. David states that he will not sanction the team's plan. C) Ned, Oliver, and Phoebe draft plans for a new software company. They have all thoroughly researched their plans and no one has any criticisms or concerns. D) Barry, Ralph, and Ann are subordinates of a firm who report problems to their top managers without any fear.
31) Corporate social responsibility advocates argue that ethical guidance for corporate managers may come from: A) B) C) D)
corporate cultures that hold high concern for leading with fear. corporate or industry codes of conduct. corporations giving preference to their employees over other constituencies. corporations promoting avoidance behavior among employees.
32) The problem with looking at values that find wide acceptance as a guide to ethical corporate behavior is that:
Version 1
7