Law and Society Practice Exam
Course Introduction
Law and Society explores the dynamic relationship between legal systems and the broader social context in which they operate. This course examines how laws are influenced by cultural, political, economic, and historical factors, as well as the ways in which legal institutions both reflect and shape societal values. Through a multidisciplinary approach, students analyze the impact of law on issues such as social justice, inequality, and individual rights, and consider the role of legal actors including judges, lawyers, and policymakers. By investigating case studies and theoretical frameworks, students gain a deeper understanding of the reciprocal influence between law and society.
Recommended Textbook
Essentials of the Legal Environment 4th Edition by Roger LeRoy Miller
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Chapter 1: Business and Its Legal Environment3
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Sample Questions
Q1) A decision on a given issue by a court is not binding on an inferior court.
A)True
B)False
Answer: False
Q2) 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.
A)True
B)False
Answer: False
Q3) A state law that conflicts with the U.S.Constitution will be deemed unconstitutional.
A)True
B)False
Answer: True
Q4) In Nebraska, the highest-ranking (superior)law is
A)a case decided by the Nebraska Supreme Court.
B)a provision in the Nebraska constitution.
C)a rule created by a Nebraska state administrative agency.
D)a statute enacted by the Nebraska legislature.
Answer: B
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Chapter 2: Shifting Legal Priorites for Business:
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Sample Questions
Q1) Sustainability-economic development that meets the needs of the present without compromising the ability of future generations to meet their needs-has been legislatively committed to by
A)no state statute or federal law.
B)at least one state-Oregon.
C)federal statutes only.
D)international law only.
Answer: B
Q2) Sustainability-economic development that meets the needs of the present without compromising the ability of future generations to meet their needs-is directly addressed by
A)no U.S.statute or other nation's law.
B)U.S.federal environmental laws.
C)other nations' laws but no U.S.statute.
D)international law only.
Answer: B
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Chapter 3: Courts and Alternative Dispute Resolution
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Sample Questions
Q1) A state court can exercise jurisdiction over any person within the boundaries of the state.
A)True
B)False
Answer: True
Q2) A justiciable controversy is a case in which the court's decision-the "justice" that will be served-will be controversial.
A)True
B)False
Answer: False
Q3) Mediation is adversarial in nature.
A)True
B)False Answer: False
Q4) Minimum contacts with a jurisdiction are never enough to support jurisdiction over a nonresident defendant.
A)True
B)False Answer: False
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Chapter 4: Ethics and Business Decision Making
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Sample Questions
Q1) Focusing on a firm's short-term profits without considering the company's long-term needs may lead to unethical actions.
A)True
B)False
Q2) Margaret is the top manager of Pecans, Inc.She sets strict ethical standards for all employees.Margaret, however, often takes some of the company's best nuts and sells them from her house.The ethical tone at Pecans, Inc.is
A)likely to be good because Margaret has set such strict standards for her employees.
B)not likely to be good because although Margaret sets strict ethical standards for the other employees, she does not follow them.
C)not related to either Margaret's ethical standards or her own unethical behavior.
D)not likely to be good because employees tend to resent strict ethical standards.
Q3) It is not possible to violate a business regulation without realizing it.
A)True
B)False
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Chapter 5: Constitutional Authority to Regulate Business
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Q1) The Financial Institutions Association would like a certain law enacted, administered, interpreted, and enforced in the best interest of its members, which include banks.Under the Constitution, Congress
A)administers the laws.
B)enforces the laws.
C)interprets the laws.
D)makes the laws.
Q2) Justice For All, a political organization, files a claim to challenge a Colorado statute that limits the liberty of all persons to broadcast "annoying" radio commercials.This claim is most likely based on the right to A)equal protection of the law.
B)indictment.
C)procedural due process.
D)substantive due process.
Q3) Under the Constitution, the judicial branch interprets the laws.
A)True
B)False
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Chapter 6: Administrative Law
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Sample Questions
Q1) Final administrative rules have binding legal effect unless the courts later overturn them.
A)True
B)False
Q2) Grapple Market Share Corporation would like to know what information federal agencies have about Grapple's operations, so that the firm will know what its competitors may be able to learn about it.Can Grapple require the agencies to disclose whatever information they may have concerning it If so, how should the firm make its request What federal law applies Is any information exempt
Q3) Pure Water Company is subject to a decision by the Environmental Protection Agency.Pure Water appeals the decision, arguing that it is arbitrary and capricious.This could mean that the decision
A)changed the agency's prior policy without justification.
B)followed a consideration of all relevant factors.
C)was accompanied by a rational explanation.
D)was plainly warranted by the evidence.
Q4) Unlike those who violate statutes, violators of agency rules are not punished.
A)True
B)False
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Chapter 7: Torts and Product Liability
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Q1) An Internet service provider cannot be held liable for disseminating defamatory remarks under any circumstances.
A)True
B)False
Q2) Sam, an engineer, supervises the construction of a new bridge.When the bridge collapses due to faulty construction, Sam is sued by those injured in the collapse.As a professional, Sam is held to the same standard of care as
A)ordinary persons.
B)other engineers.
C)other professionals, including doctors, dentists, and lawyers.
D)those injured in the collapse of the bridge.
Q3) Nico is a passenger in a car driven by Owen, whose negligence causes an accident, injuring himself.Nico, uninjured, accompanies Owen to Parkside Hospital in an ambulance.The ambulance is hit by a car driven by Quin, injuring Nico.Nico files a suit against Owen, whose best defense is
A)assumption of risk.
B)contributory negligence.
C)negligence per se.
D)superseding cause.
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Chapter 8: Online Developments:
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Sample Questions
Q1) Lauren, a basketball coach at State University, schemes to fraudulently obtain scholarships for her team's players.This is most likely
A)honest-services fraud, a federal crime.
B)a violation of collegiate athletic rules but no crime.
C)a breach of university rules but no civil or criminal wrong.
D)unethical but no crime.
Q2) Catalyst Corporation is a small, U.S.-based business that makes sophisticated polymers for export.Under the National Export Initiative, the federal government is
A)erecting barriers to deny free access to foreign markets.
B)boosting lending to small businesses, especially for export purposes.
C)placing less emphasis on exports than other governments.
D)playing a less active role in promoting exports in emerging markets.
Q3) Pepper files a petition with a court to change her name to "DrPepperDotCom." If the court denies the petition, it will most likely be because the name would A)be so similar to a trademark that it would cause confusion.
B)persuade others to violate the law.
C)imply glamorization of a substance that is prohibited.
D)later need to "expand" to accommodate the needs of others.
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Chapter 9: Criminal Law and Cyber Crime
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Sample Questions
Q1) At a criminal trial, the burden of proof is on an accused person to prove his or her innocence.
A)True
B)False
Q2) Susan is the president of United Food Corporation, a wholesale grocery company.An inspection by Tim, a government agent, uncovers unsanitary conditions caused by Val, a United employee, in the United warehouse.Will, a United vice president, assures Tim that the situation will be corrected, but nothing is done, which a later inspection reveals.Susan knows nothing about any of this.Can United be convicted of a crime in these circumstances Can Susan be held personally liable
Q3) Corporations, unlike persons, cannot be liable for crimes.
A)True
B)False
Q4) Phishing occurs when a criminal poses as a member of the rock group Phish.
A)True
B)False
Q5) Cyber fraud is fraud committed over the Internet.
A)True
B)False
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Chapter 10: Intellectual Property and Internet Law
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Q1) Trademark dilution requires proof that consumers are likely to be confused by the unauthorized use of the mark.
A)True
B)False
Q2) A service mark distinguishes products used, or "put into service," by the government.
A)True
B)False
Q3) In 2013, Online Marketing Corporation registers its trademark as provided by federal law.After the first renewal, this registration
A)is renewable every ten years.
B)is renewable every twenty years.
C)runs for the life of the corporation plus seventy years.
D)runs forever.
Q4) A collective mark distinguishes products that are likely to be of interest to collectors.
A)True
B)False
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Chapter 11: International Law in a Global Economy
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Sample Questions
Q1) Quality Energy Company, a U.S.firm, and Royal Petro, a Dutch firm, enter into a contract that includes an arbitration clause.This clause must provide that the arbitrator will be
A)any specified third party.
B)the American Arbitration Association.
C)the Dutch Arbitration Organization.
D)the International Chamber of Commerce.
Q2) Vieux Carré S.A., a French firm, imports its goods into the United States and offers those goods for sale at "less than fair value." "Fair value" is the price of
A)comparable goods in a select "basket" of other countries.
B)Vieux Carré's goods in France.
C)Vieux Carré's goods in the United States.
D)Vieux Carré's goods on the world market.
Q3) Quotas are limits on the amounts of goods that can be imported.
A)True
B)False
Q4) Dumping is the sale of imported goods at "greater than fair value."
A)True
B)False
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Chapter 12: Business Organizations
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Sample Questions
Q1) There are many legal formalities involved in starting a sole proprietorship.
A)True
B)False
Q2) Pilar is interested in buying a franchise from Quixotic Travel & Tours Corporation.Quixotic must disclose material facts that Pilar needs to make an informed decision concerning this purchase, according to A)no law.
B)the Petroleum Marketing Practices Act of 1979.
C)the Federal Trade Commission's Franchise Rule.
D)the Uniform Commercial Code.
Q3) Open & Shutt Gates Corporation has a board of ten directors.Open & Shutt's bylaws do not state any quorum requirements.Normally, a quorum for Open & Shutt would consist of
A)two directors.
B)six directors.
C)nine directors.
D)ten directors.
Q4) A limited liability company can be taxed as a corporation.
A)True
B)False
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Chapter 13: Beyond Our Borders:
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Q1) Wei Wei, Ltd., a Chinese firm, delivers the first commercial unit of a two-unit shipment of headphones to Sonic Boom, a U.S.firm.Sonic accepts the goods, but later discovers that they are nonconforming.To revoke acceptance of the unit under the Convention on Contracts for the International Sale of Goods, Sonic
A)can sue immediately, claiming that Wei Wei fundamentally breached the contract. B)must notify Wei Wei and return the goods before Sonic can sue.
C)must prove that the nonconformity of the first unit impaired the value of the whole lot. D)must prove that Sonic assumed the nonconformity would be cured and it has not been cured.
Q2) Eduard is a shareholder of Deutsche Internationale, a German firm.In Germany
A)most claims against firms are alleged in shareholders' derivative suits.
B)the law does not provide for derivative litigation.
C)derivative actions can only challenge directors' actions that shareholders could not legally ratify.
D)if a derivative action is unsuccessful, a firm can sue the plaintiff.
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Chapter 14: Formation of Traditional and E-Contracts
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Q1) There are no exceptions to the rule that contracts voluntarily entered into will be enforced.
A)True
B)False
Q2) Inadequate consideration may reflect a lack of bargained-for exchange.
A)True
B)False
Q3) A partnering agreement can indicate the parties' intent with respect to subsequent contracts.
A)True
B)False
Q4) Employment Sources, Inc., enters into a contract with Fred.If Fred is a minor, this contract is most likely A)enforceable.
B)unenforceable.
C)void.
D)voidable.
Q5) An informal contract requires a special form to bind the parties to it. A)True
B)False
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Chapter 15: Contract Performance, Breach, and Remedies
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Sample Questions
Q1) Beau sells a car to Cody without disclosing that the odometer, which reads 40,000 miles, was disconnected 80,000 miles ago.Beau is liable for A)nothing.
B)fraud.
C)mistake.
D)undue influence.
Q2) Vicky contracts with Rashad for the delivery of hospice services to benefit Sigmund.This is A)a delegation.
B)an assignment.
C)a third party beneficiary contract.
D)not an enforceable contract.
Q3) Rig Heli-Pads, Inc., enters into a contract to employ Scott as an on-site project manager for two years.If Rig breaches the contract, Scott has a duty to A)do nothing.
B)reduce the damages that Scott might otherwise suffer.
C)rescind the contract with Rig.
D)sue Rig to deter others from similar acts.
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Chapter 16: Sales and Leases
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Q1) Dorothy eats a candy bar made and sold by Eastwich Candy Corporation and becomes ill.Dorothy files a suit against Eastwich, alleging that the candy bar was not merchantable.Merchantable food is food that is fit to eat on the basis of
A)consumer expectations.
B)what constitutes a perfect condition.
C)its maker's intentions.
D)its producer's experience.
Q2) Implied warranties can arise from a "usage of trade."
A)True
B)False
Q3) Readymade Construction Corporation offers to buy from Set-Still Cement Company a certain quantity of cement for a certain price.Set-Still can accept the offer by
A)a material alteration of the terms within a reasonable time.
B)a promise to ship or a prompt shipment of the cement.
C)a prompt shipment of the cement only.
D)a shipment of nonconforming goods with a notice of accommodation.
Q4) Express warranties can not be disclaimed in contracts.
A)True
B)False
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Chapter 17: Creditors Rights and Bankruptcy
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Q1) Wilson wants to file an ordinary, or straight, bankruptcy.Wilson should file using A)Chapter 7.
B)Chapter 11.
C)Chapter 13.
D)his state's bankruptcy code.
Q2) Before filing for bankruptcy, a consumer-debtor must receive credit counseling.
A)True
B)False
Q3) Thirty-one days before filing a petition in bankruptcy, Dee transfers property and makes payments that favor one creditor over another.These are
A)affirmation agreements.
B)preferences.
C)secured interests.
D)unsecured debts.
Q4) An artisan's lien is effective only if a creditor has possession of the property. A)True
B)False
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Chapter 18: Mortgages Foreclosures After the Recession
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Q1) Money Mortgage Mart makes a mortgage loan to Natalie to allow her to buy a home and establishes an escrow account.Most likely, this account holds payments for
A)homeowners' insurance and property taxes.
B)property repairs and maintenance.
C)commissions and other costs related to the purchase of the home.
D)the lender's administrative expenses.
Q2) Liberty Bank provides Michelle with a standard mortgage with an unchanging rate of interest to buy a home.Payments on the loan remain the same for the duration of the mortgage.This is
A)a fixed-rate mortgage.
B)an adjustable-rate mortgage.
C)an interest-only mortgage.
D)a violation of the law.
Q3) Home equity is the portion of a home's value that is "paid off."
A)True
B)False
Q4) The annual percentage rate is the actual cost of a loan on a yearly basis.
A)True
B)False
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Chapter 19: Employment, Immigration, and Labor Law
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Q1) All unemployed workers who are willing and able to work are eligible for unemployment compensation.
A)True
B)False
Q2) Children must be at least thirteen years old to work in hazardous occupations.
A)True
B)False
Q3) Only federal statutes protect employees and their families from the risk of accidental injury, death, and disease resulting from their employment.
A)True
B)False
Q4) Cash is an employee of Drowsy Resort, Inc., covered by federal overtime provisions, which apply only after an employee has worked more than
A)eight hours in a day.
B)forty hours in a week.
C)160 hours in a month.
D)one year for the same employer.
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Chapter 20: Beyond Our Borders:
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Q1) PowerSoft Corporation creates an internal social media network using enterprise social networking software and systems.Concerns about the use of an internal social media network include how to
A)keep the data safe.
B)make the data public.
C)provide access to all files to all employees.
D)maintain a personal, lively, and entertaining tone.
Q2) Roboto Robotics Inc.creates an internal social media network using enterprise social networking software and systems.The advantages of an internal social media network include
A)obtaining real-time information about important issues.
B)mass e-mailings.
C)employees' posts of personal notes.
D)"white noise."
Q3) Women's groups contend that sexual harassment is viewed with "quiet tolerance" in corporations based in A)Asia.
B)Europe.
C)North America.
D)South America.
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Chapter 21: Employment Discrimination
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Q1) Constructive discharge is a theory that plaintiffs can use to establish any type of discrimination claims under the Civil Rights Act of 1964.
A)True
B)False
Q2) If a job applicant or an employee with a disability, with reasonable accommodation, can perform essential job functions, the employer must make the accommodation.
A)True
B)False
Q3) Federal law does not prohibit discrimination on the basis of gender in assessing an employee's education, training, or experience.
A)True
B)False
Q4) Sexual harassment occurs only if sexual favors are demanded of an employee. A)True
B)False
Q5) The Civil Rights Act of 1964 does not protect against reverse discrimination. A)True B)False
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Chapter 22: Environmental Law
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Q1) Consolidated Trucking Company transports radioactive materials.Darla suffers from cancer.To succeed in a suit against Consolidated on the ground of strict liability, Darla must show that her injury was caused by
A)Consolidated's failure to use reasonable care to avert herm to Darla.
B)Consolidated's intentional lack of regard for the general public.
C)Consolidated's operation.
D)radiation from any source.
Q2) Fried Food, Inc., operates a commercial frying plant, discharging pollutants into the air.Greg reports the violations to the Environmental Protection Agency.Greg
A)is not entitled to a payment.
B)may be paid up to any amount.
C)may be paid up to $1,000.
D)may be paid up to $10,000.
Q3) Only the Environmental Protection Agency can sue violators of emission limits under the Clean Air Act.
A)True
B)False
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Chapter 23: Antitrust Law and Promoting Competition
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Q1) A price-fixing agreement that is reasonable does not violate antitrust law.
A)True
B)False
Q2) Monopoly power is a minor amount of market power.
A)True
B)False
Q3) Imperio Caffeine Corporation makes and sells coffee under a variety of brand names.Imperio wants to merge with Java Company, its main competitor.In weighing a challenge to the deal, a court looks at the relevant product market.This most likely includes coffee and A)no other products.
B)products that are not identical but are related, such as spin-offs.
C)products that are sometimes substituted for coffee.
D)products with identical attributes only.
Q4) The primary measure of monopoly power is a competitor's assessment of the acts of a firm under review.
A)True
B)False
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Chapter 24: Online Developments:
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Q1) The U.S.Department of Justice files a suit against Random House, Inc., and other major book publishers, charging that they conspired to fix the prices of e-books.One result of limiting e-book price competition is that consumers
A)pay more for e-books than they otherwise would have paid.
B)pay less for e-books than they otherwise would have paid.
C)have fewer choices of books to buy.
D)have more choices of books to buy.
Q2) DeLuxe, S.A., is a French company with offices and operations located throughout Europe.With respect to the direction and control of DeLuxe and other firms in continental Europe, the prevailing coordinated model of corporate governance gives priority to the interests of a corporation's
A)directors.
B)executive and financial officers.
C)shareholders.
D)stakeholders-employees, managers, suppliers, customers, and the community.
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Chapter 25: Investor Protection, Insider Trading, Corp Gov
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Q1) Lexy, a salesperson for My-T-Fine Corporation, learns that My-T-Fine will increase the dividend it pays to shareholders.Lexy buys 10,000 shares of My-T-Fine stock.When the price increases, Lexy sells the shares for a profit.Lexy would not be liable for insider trading if the information about the dividend was
A)material when she sold the stock.
B)public after she bought the stock.
C)public before she bought the stock.
D)speculative when she bought the stock.
Q2) Fresh Seasonal Fruit Company has assets of less than $10 million and fewer than fifty shareholders.Gourmand Pastries, Inc., has assets of more than $50 million and more than five hundred shareholders.The Securities Exchange Act of 1934 applies to
A)Fresh Seasonal Fruit and Gourmand Pastries.
B)Fresh Seasonal Fruit only.
C)Gourmand Pastries only.
D)neither Fresh Seasonal Fruit nor Gourmand Pastries.
Q3) State securities laws apply mainly to intrastate transactions.
A)True
B)False
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