(Answered)-Mark True or False 1. Arbitration Awards are generally subject to - (2025 Updated Original AI-Free Solution
Question
Mark True or False
1.????? Arbitration Awards are generally subject to appeal and review by the courts.
2.????? Generally, prior to upholding a contract, a court will carefully scrutinize the value of consideration to be sure that the contract is a fair one.
3.????? An offeror may not revoke an offer before the offeree has had a reasonable time in which to consider it.
4. ???? Whether a contract is a bilateral or unilateral contract depends upon whether the sale of goods is involved.
5. ???? Consideration can be either a promise to do a certain act or the performance of the act itself.
6. ???? In a unilateral contract, a promise is given in exchange for another promise.
7. ???? Mutuality of obligation applies only to bilateral contracts.
8.????? Courts enforce liquidated damages as a form of a penalty.
9.????? The UCC permits a contract to be enforced if the parties intended a binding contract, even though important terms may have been left open for later agreement.
10. ??? The UCC does not specifically define an offer or an acceptance.
11. ??? A contract for the sale of land is governed by Article 2 of the UCC.
12. ??? Under the UCC, the buyer may reject any or all of the goods if the goods fail to conform to the contract.
13. ??? The UCC applies identical rules concerning the sales of goods to merchants and non-merchants.
?
14.???? Procedural unconscionability is easier to prove in a commercial setting than when an individual consumer is involved.
15.???? Under the UCC doctrine of commercial impracticability as applied by the UCC, a failure to perform is a breach even if performance is made impractical by an event unforeseen by the contract.
16.???? B corporations have no duty to maximize shareholder value, even when there is a change of control.
Select the Best Answer
17.???? What was the result in the case of Bammert v. Don?s Super Valu, Inc., the case noted on pg. 20 of the text involving the alleged retaliatory firing by the defendant of the wife of a police officer after the officer arrested the wife of the owner of Don?s Super Valu?
???????? A.? That the firing was prohibited because of the at-will employment principle.????
???????? B.? That the firing was unethical but legal.
???????? C.? That the firing was prohibited because of a public policy exception to the at-will principle.
???????? D.? That the firing was legal because of the employment contract involved.
18.???? Which of the following is a stakeholder of a corporation???????????
???????? A.? Customers only???????????
???????? B.? Employees and customers, but not managers
???????? C.? Managers and employees, but not customers
???????? D.? Customers, employees and managers
19.???? Which of the following is true regarding shareholder primacy????
???????? A.? It is never legally mandated.???????
???????? B.? It is always legally mandated.
???????? C.? It is legally mandated only in very narrow circumstances.
???????? D.? There is no such thing.
20.???? Which of the following illustrates that corporate conduct violating society?s expectations can result in new forms of regulation without regard for feasibility or cost?
???????? A.? The White-Rush Dow Jones Conciliatory Act of 2011
???????? B.? The Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010
???????? C.? The Corporate and Securities Reform and Retribution Consumer Protection Act of 2011
???????? D.? The Securities and Oversight Act of 2009.
21.? ?? According to the Delaware Supreme Court, when does the role of a director shift from being a ?protector of the corporate bastion? to being an ?auctioneer? charged with obtaining the highest realizable short-term value for the shareholders?
???????? A.? Only when the breakup of the corporation or a change of control has become inevitable
???????? B. ?Whenever a yearly loss is reflected
???????? C.? At the point that a yearly loss has been reflected for three straight years
???????? D.? When the CEO and the board of directors are in disagreement, and there has also been a yearly loss reflected for three straight years
22????? What is the inscription on the front of the U.S. Supreme Court building in Washington, D.C.?
???????? A.? Live free or die
???????? B.? Equal justice under the law
???????? C.? Due Process for all
???????? D.? Equal protection for all
23. ??? ________ damages compensate a party for losses that occur as a foreseeable result of the breach.
A.? Quantum meruit
B.? Reliance
C.? Restitution
D.? Consequential
?
24.???? Contract law is based on which of the following?
???????? A.? Case law
???????? B.? Statutes
???????? C.? Tradition
???????? D.? All the above
25.???? Which of the following is true regarding acceptance?
???????? A.? In the absence of a provision in an offer regarding how acceptance is to be made, acceptance is effective upon dispatch into a mailbox.
???????? B.? Acceptance is never effective until it is received.
???????? C.? An offeror may not by law specify that an offer can be accepted only by facsimile to a stated fax number and that the acceptance is not effective until actually received.
???????? D.? An offeror may revoke an offer so long as the revocation is made before an acceptance is
???????? received.
26.???? Which of the following are damages that give the plaintiff the benefit of its bargain, putting the plaintiff in the case position it would have been in if the contract had been fulfilled?
???????? A.? Expectation damages
???????? B.? Reliance damages
???????? C.? Restitution damages
???????? D.? In kind damages
27. ??? Which of the following are damages that compensate the plaintiff for any expenditures it made in reliance on a contract that was subsequently breached?
???????? A.? Expectation damages
???????? B.? Reliance damages
???????? C.? Restitution damages
???????? D.? In kind damages
28.???? A contract entered into by a minor is
A.? void
B.? voidable
C.? binding
D.? illusory
29. ??? Which of the following does not generally make a contract voidable?
A.? Fraud
B.? Duress
C.? Unilateral mistake of fact
D.? Misrepresentation
30???????? What are items of personal property that are attached to real property and cannot be removed without substantial damage called?
????????????? A.? Connectors
????????????? B.? Relaters
????????????? C.? Entanglements
????????????? D.? Fixtures
31. ?????????? Under the Convention on Contracts for the International Sale of Goods (CISG), an offer becomes effective when
????????????????? A.? the offeror sends it
????????????????? B.? it reaches the offeree
????????????????? C.? the offeree reads it
????????????????? D.? the offeree replies
32. ?????????? Under the UCC statute of frauds, which of the following terms must be in a writing order to satisfy the statute?
????????????????? A.? The price
????????????????? B.? The quantity
????????????????? C.? The identity of the parties
????????????????? D.? The time and place for delivery
33. ??? Which of the following is true regarding the UCC?s statute of frauds?
???????? A.? The writing involved must be typed, not handwritten.
???????? B.? The writing must be signed by the party to be charged, not necessarily by all parties
???????? C.? Any warranties must be included in the writing in order to be enforceable
???????? D.? The UCC?s requirements regarding a writing are strict and place significant burdens on the parties in regard to adequately including all terms of the agreement in the writing.
???????? ?
34.???? Which of the following is an online agreement that appears on a website but does not require the user to take any action to express his or her consent to the agreement?
A.? Click-wrap license
B.? Browse-wrap agreement
C.? Shrink-wrap license
D.? Computer-license agreement
?
35.???? ________ do not relieve a contracting party from their responsibilities under the UCC doctrine of commercial impracticability.
A.? Wars
B.? Market fluctuations
C.? Embargoes
D.? Market fluctuations and embargoes
?
36. ??? The wrongful interference with the right to the quiet use and enjoyment of land is associated with the tort of
A.? trespass.
B.? nuisance.
C.? ultra hazardous activities.
D.? strict liability.
37. ??? Which of the following does not involve liability for an intentional tort?
A.? A defendant is found liable for battery
B.? A defendant is found liable for false imprisonment
C.? A defendant is found liable based on successor liability
D.? A defendant is found liable for invasion of privacy
38. ??? In which of the following situations would the doctrine of res ipsa loquitur apply?
A.? A truck backed into a fence.
B.? A jar of jam fell on your foot.
C.? A post operative x-ray showed a surgical sponge in your stomach.
D.? A door slammed on your foot.
?
39. ??? Under the doctrine of ________, the plaintiff?s negligence is an absolute bar to recovery against the defendant.
A.? contributory negligence
B.? comparative negligence
C.? contribution
D.? indemnity
?
40. ??? The tort of negligence does not include the element of ______.
A.? duty
B.? causation
C.? fault
D.? intent
41. ??? Which of the following is not a part of the measure of compensatory damages?
A.? The cost to repair or replace an item.
B.? The decrease in market value of an item.
C.? Compensation for medical expenses.
D.? Damages to deter others from engaging in similar conduct.
?
42. ??? The U.S. Supreme Court has held that in order for a public official or public figure to recover damages for defamation by a media defendant, there must be a showing of
A.? intent.
B.? negligence.
C.? actual malice.
D.? invasion of privacy.
43.???? A court order prohibiting a defendant from continuing a certain activity would be called a(n) _________.
????????????????? A.? injunction
????????????????? B.? indictment
????????????????? C.? edict
????????????????? D.? due care order
44.???? Under the doctrine of _______ liability, once the court determines that multiple defendants are at fault, the plaintiff may collect the entire judgment from any one of them, regardless of the degree of that defendant?s fault.
????????????????? A.? joint and individual liability
????????????????? B.? cumulative liability
????????????????? C.? contributory liability
????????????????? D.? joint and several
45. ??? Under the ________ use doctrine, under certain circumstances, a person may infringe the copyright owner?s exclusive rights without liability in the course of such activities as news reporting, education, scholarship, or research.
A.? fair
B.? education
C.? new
D.? critical
46.???? Which of the following is true in regard to the business judgment rule if one or more individual directors have a personal interest in a transaction being considered by the board?
???????? A.? The decision may be entitled to the protection of the business judgment rule if the transaction is approved by a majority of the inside directors.
????????????????? B.? The decision may be entitled to the protection of the business judgment rule if the transaction is approved by a majority of the disinterested directors.
????????????????? C.? The decision is not entitled to the protection of the business judgment rule resulting in a higher level of proof regarding the reasonableness of the transaction being required from the board of directors.
????????????????? D.? The decision is not entitled to the protection of the business judgment rule leading to a legally established conclusion of illegality on the part of the board of directors.
47. ??? A shareholder derivative suit is a lawsuit by
A.? shareholders on behalf of the corporation.
B.? the shareholders directly.
C.? the controlling shareholders on behalf of the majority shareholder.
D.? the corporation.
48. ??? Which of the following are among the provisions of the Dodd-Frank Wall Street Reform and ????????? Consumer ???????? Protection Act in relation to shareholder control of pay for top executives?
A.? The act provides that shareholders of all privately held as well as publicly traded companies are entitled to vote and set executive compensation on a yearly basis.
???????? B.? The act provides that shareholders of public companies have an advisory vote on company payment practices for top executives and that public companies must hold a shareholder advisory vote on golden parachutes for executives.
???????? C.? The act provides that shareholders of all privately held as well as publicly traded companies are entitled to vote and set executive compensation on a yearly basis and also that the shareholders must specifically approve any golden parachute provisions for executives.
D.? Based on the belief that ill informed shareholder input negatively affected nationwide corporate performance the act provides that shareholders need not be involved in setting executive compensation.
49.???? Which of the following is true regarding any duties of controlling shareholders in relation to control of a corporation?
???????? A.? Controlling shareholders owe no duties other than to maximize their own wealth.
???????? B.? Controlling shareholders generally have a duty to control the corporation in a fair, just, and equitable manner, known as the standard of entire fairness.
???????? C.? Controlling shareholders may act to maximize their own wealth only so long as they do not intentionally harm and exhibit bad faith toward minority shareholders, a standard known as minority shareholder respect and fair dealing.
???????? D.? Controlling shareholders must appoint minority shareholders to vote a certain percentage of their shares in instances in which the minority shareholders demand that right.
50. ??? Which of the following is not a prime consideration in determining whether a fiduciary has taken an opportunity that belongs to a corporation?
A.? Whether the opportunity is in the corporation?s line of business.
B.? The amount of money the fiduciary stands to make.
C.? Whether the fiduciary developed the idea using corporation resources.
D.? Whether the involvement by the fiduciary will hinder the corporation?s purposes.
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Essay Questions.? Read the following carefully.
#1.??????? You have graduated from CLU after a lot of hard work, and are seeking employment.? You recently met with Mr. Haley, who is the owner of A&M Trading Co., a California company producing specialty T-shirts under the brand name ?Hollywood Scene?. ?A&M has obtained U.S. trademark registration of that brand name, and the mark is on A&M?s business cards. ?A&M is a small company, with modest cash resources, but maintains an inventory of 10,000 shirts in its warehouse at any given time.? It sells the shirts at wholesale for $12 each.? Mr. Haley has worked hard to make the company successful, and he wants to grow the business.? He is impressed with your intelligence and demeanor, and is considering hiring you in a management capacity.? He asks you to consider the above and the following, in confidence, and then return for a second interview to discuss your recommendations.
A&M has signed Licensing Agreements with famous celebrities authorizing A&M to use the celebrities? names and likenesses on A&M T-shirts in exchange for a royalty of $1.00/shirt. ?The Agreements also provide that the license rights are limited to A&M, and no third party may sell the celebrities? names or likenesses.? Mr. Haley is concerned about protecting his company?s relationships with the celebrities, and protecting the Hollywood Scene? trademark.? He attended a trade show last year in Las Vegas, where he met Mr. Jones, a businessman who wished to sell A&M?s T-shirts throughout the United States.? Mr. Jones does not represent any other manufacturers, but insisted he could sell A&M?s products.? Mr. Haley hired Mr. Jones as a ?Sales Representative?, gave him an A&M business card with that title, and agreed to pay him $3,000/month plus 5% commission on sales.? A&M also advances Jones a monthly marketing allowance, has paid all of Jones? sales expenses, and has required Jones to submit weekly reports concerning his sales activities. ?Mr. Haley told Jones that A&M will not be responsible for Jones? sales commitments made without Mr. Haley?s prior approval.? However, the following problems have arisen, and Mr. Haley wants your advice on how to resolve them.
While in Las Vegas, Mr. Jones met and had a romantic liaison with a Ms. Shin; an attractive woman who is President of a foreign clothing company called ?Shin Line?.? Ms. Shin told Mr. Jones she wanted to purchase 2,000 A&M T-shirts for resale in Singapore for $10 each.? Jones agreed to the sale, without Mr. Haley?s consent.? Ms. Shin gave Jones a Shin Line order form that simply reads ?T-shirts, $10 each?.? Jones submitted the purchase order to A&M?s order department, and Shin Line paid A&M $20,000 in advance for the T-shirts.? However, after A&M had shipped 1,000 shirts, Mr. Haley learned of the transaction and refused to ship the rest of the shirts, claiming Jones did not have authority to sell the shirts without advance approval.? He terminated Mr. Jones, and refused to pay him any commissions for the shirts ordered by Shin Line.? Jones has threatened to sue A&M for the commissions and for wrongful termination.? Ms. Shin has threatened to sue A&M for breach of contract, claiming her company had already paid for all the shirts, and had pre-sold all 2,000 T-shirts in Singapore for $25,000.? Mr. Haley also found out that Shin Line had registered the Hollywood Scene? trademark in its own name in Singapore.
Considering the above, how would you advise Mr. Haley concerning the following matters?
Give thoughtful answers to the following.? For any contract you claim was entered into, be sure to identify the parties to the contract, and the law and facts that show a contract was entered into.? BE SURE TO REFER IN DETAIL TO THE LAW AND THE FACTS TO SUPPORT ALL YOUR ANSWERS.???????? (120 pts)
a.? What legal claims, if any, does A&M have against Mr. Jones, why, and what damages can be claimed?
b.? What legal claims, if any, does Jones have against A&M, why, and what damages can be claimed?
c.? What legal claims, if any, does Shin Line have against A&M, why, and what damages can be claimed?
d.? What legal claims, if any, does A&M have against Shin Line, why, and what damages can be claimed?
e.? What other claims, if any, might be made against A&M, by whom, why, and what damages can be claimed?
#2.??????? Compare the following cases: Howard v. Oakwood Homes Corp, , 516 S.E.2d 869 (N.C. App, 1999), and Rosenberg v. Merrill, Lynch (etc) 170 F3rd 1 (1st Cir, 1999) referred to on page 69 of the text.??????? (20 pts)
??????????? What is the main issue the courts in each case must decide?
??????????? What is the contract issue raised in each case?
??????????? What is the critical fact the court relied on in deciding the Howard case?
??????????? What is the critical fact the court relied on in deciding the Rosenberg case?
Mark True or False
1.
Arbitration Awards are generally subject to appeal and review by the courts.
2.
Generally, prior to upholding a contract, a court will carefully scrutinize the value of consideration to be sure
that the contract is a fair one.
3.
An offeror may not revoke an offer before the offeree has had a reasonable time in which to consider it.
4.
Whether a contract is a bilateral or unilateral contract depends upon whether the sale of goods is involved.
5.
Consideration can be either a promise to do a certain act or the performance of the act itself.
6.
In a unilateral contract, a promise is given in exchange for another promise.
7.
Mutuality of obligation applies only to bilateral contracts.
8.
Courts enforce liquidated damages as a form of a penalty.
9.
The UCC permits a contract to be enforced if the parties intended a binding contract, even though important
terms may have been left open for later agreement.
10.
The UCC does not specifically define an offer or an acceptance.
11.
A contract for the sale of land is governed by Article 2 of the UCC.
12.
Under the UCC, the buyer may reject any or all of the goods if the goods fail to conform to the contract.
13.
The UCC applies identical rules concerning the sales of goods to merchants and non-merchants.
14.
Procedural unconscionability is easier to prove in a commercial setting than when an individual consumer is
involved.
15.
Under the UCC doctrine of commercial impracticability as applied by the UCC, a failure to perform is a
breach even if performance is made impractical by an event unforeseen by the contract.
16.
B corporations have no duty to maximize shareholder value, even when there is a change of control.
Select the Best Answer
17.
What was the result in the case of Bammert v. Don?s Super Valu, Inc., the case noted on pg. 20 of the text
involving the alleged retaliatory firing by the defendant of the wife of a police officer after the officer arrested
the wife of the owner of Don?s Super Valu?
A. That the firing was prohibited because of the at-will employment principle.
B. That the firing was unethical but legal.
C. That the firing was prohibited because of a public policy exception to the at-will principle.
D. That the firing was legal because of the employment contract involved.
18.
Which of the following is a stakeholder of a corporation?
A. Customers only
B. Employees and customers, but not managers
C. Managers and employees, but not customers
D. Customers, employees and managers
19.
Which of the following is true regarding shareholder primacy?
A.
B.
C.
D.
It is never legally mandated.
It is always legally mandated.
It is legally mandated only in very narrow circumstances.
There is no such thing.
20.
Which of the following illustrates that corporate conduct violating society?s expectations can result in new
forms of regulation without regard for feasibility or cost?
A. The White-Rush Dow Jones Conciliatory Act of 2011
B. The Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010
C. The Corporate and Securities Reform and Retribution Consumer Protection Act of 2011
D. The Securities and Oversight Act of 2009.
21.
According to the Delaware Supreme Court, when does the role of a director shift from being a ?protector of
the corporate bastion? to being an ?auctioneer? charged with obtaining the highest realizable short-term value
for the shareholders?
A. Only when the breakup of the corporation or a change of control has become inevitable
B. Whenever a yearly loss is reflected
C. At the point that a yearly loss has been reflected for three straight years
D. When the CEO and the board of directors are in disagreement, and there has also been a yearly loss
reflected for three straight years
22
What is the inscription on the front of the U.S. Supreme Court building in Washington, D.C.?
A. Live free or die
B. Equal justice under the law
C. Due Process for all
D. Equal protection for all
23.
________ damages compensate a party for losses that occur as a foreseeable result of the breach.
A. Quantum meruit
B. Reliance
C. Restitution
D. Consequential
24.
Contract law is based on which of the following?
A. Case law
B. Statutes
C. Tradition
D. All the above
25.
Which of the following is true regarding acceptance?
A. In the absence of a provision in an offer regarding how acceptance is to be made, acceptance is effective
upon dispatch into a mailbox.
B. Acceptance is never effective until it is received.
C. An offeror may not by law specify that an offer can be accepted only by facsimile to a stated fax number
and that the acceptance is not effective until actually received.
D. An offeror may revoke an offer so long as the revocation is made before an acceptance is
received.
26.
Which of the following are damages that give the plaintiff the benefit of its bargain, putting the plaintiff in the
case position it would have been in if the contract had been fulfilled?
A. Expectation damages
B. Reliance damages
C. Restitution damages
D. In kind damages
27.
Which of the following are damages that compensate the plaintiff for any expenditures it made in reliance on
a contract that was subsequently breached?
A. Expectation damages
B. Reliance damages
C. Restitution damages
D. In kind damages
28.
A contract entered into by a minor is
A. void
B. voidable
C. binding
D. illusory
29.
Which of the following does not generally make a contract voidable?
A. Fraud
B. Duress
C. Unilateral mistake of fact
D. Misrepresentation
30
What are items of personal property that are attached to real property and cannot be removed without substantial damage
called?
A. Connectors
B. Relaters
C. Entanglements
D. Fixtures
31.
Under the Convention on Contracts for the International Sale of Goods (CISG), an offer becomes effective when
A. the offeror sends it
B. it reaches the offeree
C. the offeree reads it
D. the offeree replies
32.
Under the UCC statute of frauds, which of the following terms must be in a writing order to satisfy the statute?
A. The price
B. The quantity
C. The identity of the parties
D. The time and place for delivery
33.
Which of the following is true regarding the UCC?s statute of frauds?
A. The writing involved must be typed, not handwritten.
B. The writing must be signed by the party to be charged, not necessarily by all parties
C. Any warranties must be included in the writing in order to be enforceable
D. The UCC?s requirements regarding a writing are strict and place significant burdens on the parties in
regard to adequately including all terms of the agreement in the writing.
34.
Which of the following is an online agreement that appears on a website but does not require the user to take
any action to express his or her consent to the agreement?
A. Click-wrap license
B. Browse-wrap agreement
C. Shrink-wrap license
D. Computer-license agreement
35.
________ do not relieve a contracting party from their responsibilities under the UCC doctrine of commercial
impracticability.
A. Wars
B. Market fluctuations
C. Embargoes
D. Market fluctuations and embargoes
36.
The wrongful interference with the right to the quiet use and enjoyment of land is associated with the
tort of
A. trespass.
B. nuisance.
C. ultra hazardous activities.
D. strict liability.
37.
Which of the following does not involve liability for an intentional tort?
A. A defendant is found liable for battery
B. A defendant is found liable for false imprisonment
C. A defendant is found liable based on successor liability
D. A defendant is found liable for invasion of privacy
38.
In which of the following situations would the doctrine of res ipsa loquitur apply?
A. A truck backed into a fence.
B. A jar of jam fell on your foot.
C. A post operative x-ray showed a surgical sponge in your stomach.
D. A door slammed on your foot.
39.
Under the doctrine of ________, the plaintiff?s negligence is an absolute bar to recovery against the
defendant.
A. contributory negligence
B. comparative negligence
C. contribution
D. indemnity
40.
The tort of negligence does not include the element of ______.
A. duty
B. causation
C. fault
D. intent
41.
Which of the following is not a part of the measure of compensatory damages?
A. The cost to repair or replace an item.
B. The decrease in market value of an item.
C. Compensation for medical expenses.
D. Damages to deter others from engaging in similar conduct.
42.
The U.S. Supreme Court has held that in order for a public official or public figure to recover
damages for defamation by a media defendant, there must be a showing of
A. intent.
B. negligence.
C. actual malice.
D. invasion of privacy.
43.
A court order prohibiting a defendant from continuing a certain activity would be called a(n)
_________.
A. injunction
B. indictment
C. edict
D. due care order
44.
Under the doctrine of _______ liability, once the court determines that multiple defendants are at
fault, the plaintiff may collect the entire judgment from any one of them, regardless of the degree of
that defendant?s fault.
A.
B.
C.
D.
joint and individual liability
cumulative liability
contributory liability
joint and several
45.
Under the ________ use doctrine, under certain circumstances, a person may infringe the copyright
owner?s exclusive rights without liability in the course of such activities as news reporting,
education, scholarship, or research.
A. fair
B. education
C. new
D. critical
46.
Which of the following is true in regard to the business judgment rule if one or more individual
directors have a personal interest in a transaction being considered by the board?
A. The decision may be entitled to the protection of the business judgment rule if the transaction is
approved by a majority of the inside directors.
B. The decision may be entitled to the protection of the business judgment rule if the transact