Type:
Test Bank
Resource:
Legal Fundamentals for Canadian Business
Edition:
3rd Edition
Author(s):
Richard A. Yates
TEST ITEM FILE Julia Dotson Confederation College
Legal Fundamentals for Canadian Business Third Edition Richard A. Yates Simon Fraser University
CONTENTS CHAPTER 1 The Canadian Legal System
1-1
CHAPTER 2 Torts and Professional Liability
2-1
CHAPTER 3 Formation of Contracts
3-1
CHAPTER 4 Enforcing Contractual Obligations
4-1
CHAPTER 5 Legislation in the Marketplace
5-1
CHAPTER 6 Agency and Employment
6-1
CHAPTER 7 Methods of Carrying on Business
7-1
CHAPTER 8 Property
8-1
CHAPTER 9 Ideas and Information
9-1
CHAPTER 10 Electronic Commerce and International Trade
10-1
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Yates: Legal Fundamentals for Canadian Business, 3e Chapter 1: The Canadian Legal System
1) Why is law important? Answer: Business activities involve significant human interaction. Our business relationships involve important rights, responsibilities, and obligations. These take the form of legal rules, so it's important to understand law as we participate in business. Feedback: Business activities involve significant human interaction. Our business relationships involve important rights, responsibilities, and obligations. These take the form of legal rules, so it's important to understand law as we participate in business. Diff: 1 Type: ES Page Reference: 2a Skill: Applied 2) Identify five ways in which companies can reduce legal risks in business transactions. Answer: Students may identify any number of options available to businesses. Some that they might suggest include these risk-avoidance strategies and practices: 1. Know enough about the law to be able to avoid legal problems. 2. Know when legal advice is needed. 3. Recognize legal risks associated with physical facilities. 4. Prepare contracts with an anticipation of all possible eventualities. 5. Include alternate dispute resolution options in contracts. 6. Protect intellectual property. Feedback: Students may identify any number of options available to businesses. Some that they might suggest include these risk-avoidance strategies and practices: 1. Know enough about the law to be able to avoid legal problems. 2. Know when legal advice is needed. 3. Recognize legal risks associated with physical facilities. 4. Prepare contracts with an anticipation of all possible eventualities. 5. Include alternate dispute resolution options in contracts. 6. Protect intellectual property. Diff: 2 Type: ES Page Reference: 2b Skill: Applied 3) When a client consults with a lawyer, the lawyer provides instruction and direction as to what to do. a. True b. False Answer: b
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Yates: Legal Fundamentals for Canadian Business, 3e Chapter 1: The Canadian Legal System
Diff: 1 Type: TF Page Reference: 2c Skill: Applied 4) Risk avoidance involves anticipation of what can go wrong and taking steps to avoid that eventuality. a. True b. False Answer: a Diff: 1 Type: TF Page Reference: 2d Skill: Recall 5) Which of the following is the most usable definition of law? a. It is most useful to us to define law in terms of what we think people ought to do. b. We must define law in terms of what people used to do. c. We must define law in terms of what the courts or other agents of government will enforce. d. We must define law in terms of what society needs people to do. e. It is most useful to us to define law in terms of what people do. Answer: c Diff: 1 Type: MC Page Reference: 3a Skill: Recall 6) Law and morality are the same thing. a. True b. False Answer: b Diff: 1 Type: TF Page Reference: 3b Skill: Applied 7) Substantive law is concerned with how legal institutions work. a. True b. False Answer: b Diff: 1
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