Canadian Business Law
Final Exam
Course Introduction
Canadian Business Law provides students with a foundational understanding of the legal principles and regulations that govern business activities in Canada. The course covers key topics such as the Canadian legal system, contract law, tort law, employment law, forms of business organization, and the essentials of commercial transactions. Students will examine case studies and legal scenarios that highlight how laws are applied in various business contexts, equipping them with the knowledge to identify legal risks and make informed decisions within the Canadian business environment.
Recommended Textbook
Business Law in Canada 11th Canadian Edition by Richard A. Yates
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16 Chapters
2535 Verified Questions
2535 Flashcards
Source URL: https://quizplus.com/study-set/1411
Page 2
Chapter 1: Managing Your Legal Affairs
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127 Verified Questions
127 Flashcards
Source URL: https://quizplus.com/quiz/28018
Sample Questions
Q1) Most provinces set a minimum contingency fee for family law cases.
A)True
B)False
Answer: False
Q2) In the lawyer-client relationship, who is the decision-maker?
Answer: The client.
Q3) Solicitor-client privilege refers to the lawyer making all the decisions for the client.
A)True
B)False
Answer: False
Q4) If you cannot resolve a fee dispute with your lawyer, you could
A) have your bill reviewed by the appropriate court official.
B) refuse payment on ethical grounds.
C) refuse payment on legal grounds.
D) sue your lawyer for non-payment.
E) make a formal complaint to the bar association.
Answer: A
Q5) What is disbarment?
Answer: Disbarment is termination of membership in the law society.
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Chapter 2: Introduction to the Legal System
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159 Verified Questions
159 Flashcards
Source URL: https://quizplus.com/quiz/28026
Sample Questions
Q1) Which of the following is correct with respect to the impact of the Charter of Rights and Freedoms?
A) The passage of the Charter has increased the power of both parliament and the provincial legislatures.
B) The passage of the Charter has shifted power from the federal government to the provincial governments.
C) The Charter has shifted power from the provinces to the federal government.
D) The passage of the Charter has increased the power of the courts.
E) The passage of the Charter has shifted power from the courts to the parliament.
Answer: D
Q2) The Charter of Rights and Freedoms does not apply to which of the following?
A) The provincial cabinet
B) The police
C) A restaurant
D) A human rights commission
E) A municipal council
Answer: C
Q3) When was the last time Quebec revised its Civil Code?
Answer: A new Civil Code in Quebec came into effect on January 1, 1994.
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Page 4
Chapter 3: The Resolution of Disputes: the Courts and Alternatives to Litigation
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221 Verified Questions
221 Flashcards
Source URL: https://quizplus.com/quiz/28027
Sample Questions
Q1) Which of the following is correct with respect to the use of a jury in your province?
A) Juries may be available in both criminal and civil matters at the superior court trial level.
B) A jury can be used at the provincial court level in criminal matters only.
C) A jury can be used at the superior court trial level, but only for criminal matters.
D) A jury can be used only at the court of appeal level.
E) Juries are no longer used in Canadian courts.
Answer: A
Q2) Who brings a civil action?
Answer: The plaintiff.
Q3) Indicate the jurisdiction of the Small Claims Court in your area.
Answer: This will vary from province to province. For example, in Alberta, it is civil matters up to $50,000.
Q4) The principles of fundamental justice include procedural fairness and natural justice rules.
A)True
B)False
Answer: True
Page 5
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Chapter 4: Intentional Torts and Torts Impacting Business
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149 Verified Questions
149 Flashcards
Source URL: https://quizplus.com/quiz/28028
Sample Questions
Q1) Employee surveillance may violate privacy rights and, depending on how the information is obtained and used, may also violate human rights legislation.
A)True
B)False
Q2) An exotic dancer, Jasmine, jumped from the stage onto the lap of a patron. The chair broke, and in the fall, a disc in the plaintiff's back was broken. Jasmine maintained that she would jump on the lap of a patron only if he indicated he wanted her to do so and offered a tip. Which of the following is incorrect with respect to the legal position of the parties?
A) The patron would sue not only Jasmine for negligence but the employer as well for vicarious liability.
B) Jasmine's best defence would be that the patron voluntarily assumed the risk.
C) The patron would bring an action relying on the Occupiers' Liability Act.
D) The employer would not be liable since Jasmine was on a "frolic of her own."
E) Jasmine owes a duty of care to patrons, as they are foreseeable victims.
Q3) Interference with economic relations can be actionable even if no breach of contract has taken place.
A)True
B)False
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Page 6
Chapter 5: Negligence, Professional Liability, and Insurance
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155 Verified Questions
155 Flashcards
Source URL: https://quizplus.com/quiz/28029
Sample Questions
Q1) Explain what is meant by bonding.
Q2) In which of the following situations will the insured be able to collect the entire amount of the insurance claimed?
A) Jane had a compact disc player worth $300. It was portable and it was stolen from her car. She had a house policy and a car policy, both of which provided coverage. Jane claimed $300 from each policy.
B) Joe has his house insured for $100,000 when the actual value of the house is $200,000. When it burns down, Joe claims $200,000.
C) Joe owns a house on a lot in Regina, and although the property would sell for $100,000, the value of the house is only $50,000. Joe takes out a $50,000 policy against loss to the house, which is subsequently destroyed by fire. Joe claims $50,000.
D) Joe and his wife both own a one-half interest in their house, worth $100,000. Joe took out an insurance policy in his own name for the $100,000 and the house is destroyed by fire. Joe claims the $100,000.
E) Joe takes out insurance on his neighbour's house for $50,000 because his neighbour is notoriously careless. Sure enough, the house burns down with $50,000 loss.
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Chapter 6: The Elements of a Contract: Consensus and Consideration
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184 Verified Questions
184 Flashcards
Source URL: https://quizplus.com/quiz/28030
Sample Questions
Q1) Sam owed Joe $6000 due January 12, 2017. On January 1st, Joe said he'd take $5000 in full satisfaction of the debt if Sam paid him $5000 on January 5th instead. Sam paid on January 5th. A week later, Joe wants to sue Sam for the $1000 he (Joe) was legally owed. Which of the following is true?
A) Joe would win because his forgiveness of the loan was gratuitous, (i.e., unsupported by consideration).
B) Joe would win because they cannot change the original deal.
C) Joe would lose because of the doctrine of quantum meruit.
D) Joe would lose because of the rule that past consideration is no consideration. E) Joe would lose because early repayment constituted consideration to support the new arrangement.
Q2) Only the essential terms of a contract must be set out in the offer.
A)True
B)False
Q3) Once a person has promised to hold an offer open for a specified period of time, he cannot change his mind.
A)True
B)False
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Chapter 7: The Elements of a Contract: Capacity, Legality, and Intention
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157 Verified Questions
157 Flashcards
Source URL: https://quizplus.com/quiz/28031
Sample Questions
Q1) Provide an example of something that would constitute acceptable part performance when land has been sold.
Q2) The court may hold that a contract is void, voidable, unenforceable, or illegal. Which of the following is true with regard to these terms and the court's use of them?
A) "Void" is the same as "unenforceable."
B) If a contract is held to be void, it is a contract, but for some reason, one party can end it.
C) If a contract is held to be illegal, the plaintiff will get some help, because the court will try to put the parties back to their original position.
D) If a contract is unenforceable, it means it doesn't exist.
E) If a contract is held to be void, it never was a contract.
Q3) Because of the Charter of Rights and Freedoms, status Indians no longer have their capacity to contract limited.
A)True
B)False
Q4) Give three examples of contracts that would be considered void because of illegality.
Q5) Indicate what types of contracts are binding on infants.
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Chapter 8: Factors Affecting the Contractual Relationship
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182 Verified Questions
182 Flashcards
Source URL: https://quizplus.com/quiz/28032
Sample Questions
Q1) Explain what is meant by a "chose in action."
Q2) Outline the restrictions on the ability of a person to claim non est factum.
Q3) Able Company contracted to sell to Baker Company 400 barrels of chemical C for $12,000. Able Company assigned the entire $12,000 in writing to Mr. Long, who sent a letter informing Baker Company of the assignment and directing Baker Company to forward money to him instead of Able Company. Unknown to both companies, at the time of the contract the ship carrying the chemical had sunk and all cargo was lost. Which of the following is true?
A) Mr. Long, the assignee, will receive $12,000 from Baker Company.
B) The assignment to Mr. Long would fail to be a statutory assignment.
C) Mr. Long will receive nothing from Baker Company because nothing is owed to Able company.
D) Mr. Long will receive part payment.
E) Since Able Company has breached the contract, it must pay compensation for the damages of both Baker Company and Mr. Long.
Q4) The purpose of contract law is to give effect to the reasonable expectations of the parties to an agreement.
A)True B)False
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Chapter 9: The End of the Contractual Relationship
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171 Verified Questions
171 Flashcards
Source URL: https://quizplus.com/quiz/28033
Sample Questions
Q1) The courts prefer to grant an equitable remedy where a breach of contract has taken place.
A)True
B)False
Q2) Which of the following is False with regard to ending a contract by agreement?
A) A contract can be ended by the happening of a "condition subsequent" provided for in the contract.
B) A contract can be ended by one party if he finds a better deal (e.g., by cancelling an order that has been accepted), as long as this is done before performance.
C) A contract can be ended by agreement if neither party to the contract has performed his or her obligation.
D) A contract can be ended by agreement if one party has performed his obligation and agrees to take something as satisfaction from the other although that other hasn't performed according to the contract.
E) A contract can be ended by agreement by "mutual release."
Q3) If a victim of an anticipatory breach continues to insist on performance, what danger does he face?
Q4) Explain the injunction as it is available in contract law.
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Chapter 10: Agency and Partnership
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211 Verified Questions
211 Flashcards
Source URL: https://quizplus.com/quiz/28019
Sample Questions
Q1) List three duties that an agent has to the principal.
Q2) Any restrictions in the employment contract between principal and agent on an agent's authority will be binding on a third party.
A)True
B)False
Q3) What are the advantages and disadvantages of being a sole proprietor?
Q4) Which one of the following statements is correct with respect to sole proprietorships?
A) The sole proprietor has limited liability.
B) The sole proprietor need not adhere to any licensing and government regulations.
C) The sole proprietor must consult with the other owners before making any major decisions regarding the business.
D) The sole proprietor has the same extent of liability as a shareholder.
E) The sole proprietor is responsible for the torts committed by an employee that take place during the course of business.
Q5) When an agent has been dealing with a third party for an undisclosed principal and there is a default, what rights are available to the third party?
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Page 12
Chapter 11: Corporations
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149 Verified Questions
149 Flashcards
Source URL: https://quizplus.com/quiz/28020
Sample Questions
Q1) Indicate the main disadvantages to incorporation.
Q2) If there is only one class of shares, they will be common shares.
A)True
B)False
Q3) Indicate three advantages to incorporation.
Q4) Usually, a ________ will bear a promise to pay a specific dividend each year.
A) bond
B) par-value share
C) preferred share
D) debt
E) bearer bond
Q5) Explain under what circumstances a shareholder's right to dissent arises.
Q6) Shareholders do not owe a duty to the corporation.
A)True
B)False
Q7) A securities commission is a provincial agency that serves as watchdog on issuance and trading of shares.
A)True
B)False
Page 13
Q8) What does it mean to be a closely held corporation?
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Chapter 12: Employment
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161 Verified Questions
161 Flashcards
Source URL: https://quizplus.com/quiz/28021
Sample Questions
Q1) Which of the following is correct with respect to the law of collective bargaining?
A) All employees have the right to individually choose whether they will become members of a union when they are hired.
B) A union shop requires that employees become members of the union when they are hired.
C) The public has a legal obligation to honour a properly constituted picket line during a lawful strike or lockout.
D) Under the Charter of Rights and Freedoms, all employees have the right to belong to trade unions and to strike.
E) Employees can strike only where the employer has clearly breached the terms of the collective agreement.
Q2) Federal and provincial human rights legislation cover all of the following issues except
A) harassment.
B) disabled workers.
C) pay equity.
D) affirmative action.
E) minimum wage.
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Page 14
Chapter 13: Intellectual Property
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115 Verified Questions
115 Flashcards
Source URL: https://quizplus.com/quiz/28022
Sample Questions
Q1) In order to obtain an interlocutory injunction, what must the plaintiff establish?
Q2) If Weird Al wants to take "Blue Bayou," a song composed by Roy Orbison, and replace only Orbison's lyrics and publish it under "Blue by You," a song about domestic violence, which of the following is true? Assume that all are Canadian citizens governed by Canadian law. Read each separately.
A) Orbison's legal representative could not sue because Roy Orbison died and thus so did his copyright.
B) Orbison's legal representative could not sue if Weird Al's lyrics were different, because the song would take on a whole new meaning.
C) If, before his death, Orbison has signed a license agreement with Weird Al allowing him to use the music, there could be no lawsuit against Weird Al no matter how offensive the lyrics turned out to be.
D) Weird Al could get protection for his original lyrics even if his lyrics were unpublished.
E) Weird Al could get no protection for his original lyrics unless he sent a copy of his lyrics to the Copyright Office along with his application for copyright.
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Page 15
Chapter 14: Real and Personal Property and Protection of the Environment
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130 Verified Questions
130 Flashcards
Source URL: https://quizplus.com/quiz/28023
Sample Questions
Q1) A gratuitous bailment can occur when someone borrows an item from a neighbour. A)True
B)False
Q2) Explain what is meant by a landlord's obligation to provide quiet enjoyment.
Q3) Joe verbally agreed with his landlord to a two-year lease for an apartment. Only five months later, the property was sold to somebody else. The new owners gave Joe three months to vacate the premises. Explain Joe's legal rights under these circumstances.
Q4) Indicate what residential rent control regulations are in place in your jurisdiction.
Q5) Explain what is held in a life estate.
Q6) Distinguish between real property and other forms of property.
Q7) It is common today for a ________, needing more funds, to transfer the equity of redemption to another creditor as security for a further loan.
A) debtor
B) mortgagee
C) landlord
D) mortgagor
E) remainderman
Page 16
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Chapter 15: Priority of Creditors
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115 Verified Questions
115 Flashcards
Source URL: https://quizplus.com/quiz/28024
Sample Questions
Q1) Explain how, in a creditor/debtor transaction, the exposure of a guarantor is limited and his rights protected.
Q2) With regard to guarantees and indemnities, which of the following is False?
A) A guarantor can use any defence against the creditor that the debtor could use.
B) A legally binding promise to be primarily responsible for someone else's obligation is an indemnity.
C) A guarantee cannot be enforced in court unless it satisfies the writing requirements set out in statute.
D) Subrogation can result in a guarantor's being able to sue successfully the very debtor whose obligation he guaranteed.
E) A legally enforceable guarantee must satisfy all the elements required to create a binding contract except consideration.
Q3) In a creditor/debtor transaction, explain the purpose of security and how that purpose can be realized.
Q4) What is the effect if a debtor fraudulently transfers property to a bona fide purchaser for value?
Q5) Explain the purpose of the bankruptcy process.
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Page 17
Chapter 16: Sales and Consumer Protection
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149 Verified Questions
149 Flashcards
Source URL: https://quizplus.com/quiz/28025
Sample Questions
Q1) To which one of the following contracts would the Sale of Goods Act apply?
A) A contract for the sale and purchase of a farm
B) A contract for the assignment of a company's accounts receivable
C) A contract with an artist to have a portrait painted
D) A contract in which one party gives an antique pin in exchange for the other party giving an antique cigar box
E) A contract in which the seller sells a computer and ownership will transfer to the buyer at a specified future time
Q2) Quiet possession of the goods means that the goods must be of merchantable quality and free from any inherent defect.
A)True
B)False
Q3) The sale of goods anticipates the transfer of possession but not necessarily property rights from the seller to the purchaser.
A)True
B)False
Q4) When goods are sold, who normally bears the risk?
Q5) Explain what is meant by a "cooling-off period."
Q6) Explain what is meant by merchantable quality.
Page 18
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