2024 – Question 21 The sale of counterfeit goods is estimated at about 20 billion a year

Question 21

The sale of counterfeit goods is estimated at about $20 billion a year in the U.S.
True
False
    Question 22

Landlords have a privilege to enter the premises of rented property to make needed repairs.
True
False
    Question 23

In Saadala v. East Brunswick Zoning Board, the appeals court held that the Board had failed to show “special reasons” why the zoning rules should change to allow a 7-Eleven to expand.
True
False
    Question 24

Under the negligence standard, a manufacturer is required to exercise reasonable care under the circumstances in the production of its product.
True
False
    Question 25

In U.S. v. Yang, where Yang was accused of bribing an employee of a company to give him some trade secrets, the appeals court held that Yang could be convicted of a federal crime.
True
False
Question 1

With respect to transferability of ownership interests, a sole proprietor may:
not transfer her interests
may only transfer her interest with approval of the state
freely transfer her interests
transfer her interests to family members only
transfer her interests after paying a capital gains tax
    Question 2

The ____ prohibits the introduction of oral evidence into a lawsuit where the evidence presented is contrary to the terms of a written contract.
parol evidence rule
real evidence rule
oral evidence rule
phone evidence rule
verbal evidence rule
    Question 3  
  In Dunkin’ Donuts Franchised Restaurants LLC v. Sandip, Inc., where Dunkin’ Donuts claimed that Sandip breached their franchise agreements and Sandip protested that Dunkin’ Donuts was not allowing them a reasonable chance to sell the franchise, the court held that:
   Sandip had the right to continue using Dunkin’ Donuts’ marks until they sold the buildings
   Dunkin’ Donuts was not entitled to terminate the lease agreement because there was a suitable buyer
   Dunkin’ Donuts was not entitled to terminate the lease agreement, even though there was no suitable buyer
   Sandip had the right to terminate the lease agreement and sell the buildings to whoever they wanted
   none of the other choices are correct
    Question 4

A ____ is one whose shares are held by one shareholder or a small group of shareholders.
nonprofit corporation
small corporation
limited corporation
shared corporation
none of the other choices are correct
    Question 5

Elements of a contract include all of the following except:
an agreement among the parties
lawful subject matter
consideration
parties with legal capacity
all of the other choices are elements
    Question 6

The ____ are the “rules” that regulate and govern the internal operations of the corporation.
the certificate of incorporation
the bond
the bylaws
statutes of business
the corporate constitution
    Question 7

In Dunkin’ Donuts Franchised Restaurants LLC v. Sandip, Inc., where Dunkin’ Donuts claimed that Sandip breached their franchise agreements and Sandip protested that Dunkin’ Donuts was not allowing them a reasonable chance to sell the franchise, the court held that:
Dunkin’ Donuts was entitled to terminate the lease agreement
Dunkin’ Donuts was not entitled to terminate the lease agreement because there was a suitable buyer
Dunkin’ Donuts was not entitled to terminate the lease agreement, even though there was no suitable buyer
Sandip had the right to terminate the lease agreement and sell the buildings to whoever they wanted
Sandip had the right to continue using Dunkin’ Donuts’ marks until they sold the buildings
    Question 8

Contract law is primarily:
federal statutory law
state common law
federal common law
state statutes
international code law
    Question 9

A ____ is an artificial person, or legal entity, created under state law.
megabusiness
limited partnership
legal partnership
sole proprietorship
none of the other choices are correct
    Question 10

The New York Stock Exchange is an example of a stock exchange where:
the stock of sole proprietorships can be traded
the stock of public corporations can be sold but not bought
the stock of private corporations can be traded
the stock of public corporations cannot be traded
none of the other choices are correct
    Question 11
In Ironite Products v. Samuels, where a major shareholder (Samuels) of Ironite sued, contending the bylaws had been violated, the appeals court held that:
the bylaws had been violated because the Companies’ bylaws did not clearly sanction the Board of Directors to manage the business and affairs of the company
the bylaws had been violated because the Companies’ bylaws clearly sanctioned the Board of Directors to manage the business and affairs of the company
the bylaws had not been violated because the Companies’ certificate of incorporation clearly sanctioned the Board of Directors to manage the business and affairs of the company
the bylaws were never properly approved and so there was no case for violation of bylaws
none of the other choices are correct
    Question 12

Which of the following is usually included in the articles of incorporation:
name and address of the corporation
name and address of the corporation’s registered agent
purpose of the business
names and addresses of the incorporators
all of the other specific choices are correct
    Question 13

Which of the following is a type of damage award that may be granted by a court as a remedy for breach of contract:
compensatory
expectancy
liquidated
nominal
all of the other specific choices are correct
    Question 14

To make an offer, the offeror must:
have known the offeree for at least 1 year
have the intent to be bound to the contract, but need not express or manifest that intent
have filed a copy of the offer with the county court house
have written documentation of the intent
none of the other choices are correct
    Question 15

In Chevron, U.S.A., Inc. v. Natural Resources Defense Council, Inc., where the EPA’s “bubble rule” for measuring pollution from an industrial facility was challenged, the Supreme Court held that:
since Congress directly addressed the issue of the bubble policy it was not up to the EPA whether or not to use it
since Congress directly addressed the issue of the bubble policy it was up to the EPA whether or not to use it
since Congress gave the EPA special permission to enact whatever policy it wants, the EPA can have the bubble policy if it wants
since the EPA is not subject to regulation by Congress, it can have whatever policy it wants
none of the other choices are correct
    Question 16

An adjudicatory hearing by an agency about a regulatory violation is often requested by companies hoping to clear the matter.
True
False
    Question 17

Corporate charters used by state governments many years ago often granted some special privilege.
True
False
    Question 18

In fulfilling the obligations of a contract, both parties are expected to act in good faith.
True
False
    Question 19
If a person signs a contract because of “undue influence” by the other party to the contract, the person can later disaffirm the contract.
True
False
    Question 20

In Japan, contract negotiations typically are quite time consuming.
True
False
    Question 21

There are close to 30 million businesses in the U.S.
True
False
    Question 22

In Chevron v. NRDC the Supreme Court held that court of appeals, when considering challenges to agency regulations, must give deference to an agency’s “construction of of a statutory scheme.”
True
False
    Question 23
One agency created in the 1930s was the Federal Communications Commission.
True
False
    Question 24

 

In a novation, all relevant parties agree to discharge one party from the contract and create a new contract with another party who accepts responsibility for the discharged party’s performance.
True
False
    Question 25
Limited liability companies, like corporations, are presumed to have perpetual life.
True
False