1) Which of the following is true about crimes?
a. Recklessness never provides a sufficient criminal intent.
b. Criminal liability exists only if there is a victim who suffered damages.
c. A criminal defendant will be found guilty whenever the jury believes it is more likely
than not that the defendant committed the crime.
d. Torts always accompany crimes, although the civil case is often not brought.
e. For some crimes recklessness provides a sufficient criminal intent.
2) Sam is charged with the crime of theft and has also had a civil suit filed against him
by the victim. Which of the following could not be a consistent outcome?
a. Not guilty in the criminal case, not liable in the civil case.
b. Guilty in the criminal case, not liable in the civil case.
c. Not guilty in the criminal case, liable in the civil case.
d. Guilty in the criminal case, liable in the civil case.
e. Both A and D.
3) Which of the following is true about how plea bargaining usually works?
a. A defendant pleads guilty to the charged crime or to a lesser offense in exchange for
receiving a lighter sentence than if the defendant were to be tried and found guilty of
the original charges.
b. A defendant who is serving a prison sentence for a crime the defendant was convicted
of can get the sentence reduced for good behavior, community service or similar reasons.
c. A defendant waives certain constitutional rights in exchange for a lighter sentence.
d. A defendant waives the right to a jury trial and the judge determines guilt or innocence.
e. Both C and D.
4) Which is true about corporate criminal liability?
a. Because a corporation cannot be sent to prison, they generally cannot be held criminally liable for the actions of their officers.
b. If the criminal conduct can be traced to a specific person or persons, those persons will be liable and not the corporation.
c. Corporations have never been subject to criminal liability because they cannot go to jail.
d. There can be liability for both the individuals who commit crimes and for the corporation on whose behalf the crimes were committed.
e. There can be no liability for individual employees of a corporation, but the corporation
can be held responsible for the crimes committed.
5) Which of the following statements is true?
a. The attorney-client privilege is the only privilege that has been recognized under the Fifth Amendment.
b. Even if immunity from prosecution has been granted, the defendant may still refuse to testify.
c. The guarantee has been extended to include all business records and documents.
d. The Fifth Amendment guarantee against self-incrimination does prohibit the taking of fingerprints against a suspect’s will.
e. The Fifth Amendment guarantee against self-incrimination does not prohibit the taking of fingerprints against a suspect’s will.
6) The Miranda decision requires that a criminal suspect be notified of the following except:
a. the fact that anything the suspect says may be used against the suspect.
b. the right to have an attorney appointed if the suspect cannot afford one.
c. the right to a trial by jury.
d. the right to have a lawyer present during interrogation.
e. the right of the suspect to remain silent.
7) The following can properly be the subject of a patent except:
a. asexually reproduced plants.
b. conceptual ideas.
c. designs for manufactured objects.
d. mechanical processes.
e. compositions of matter.
8) Which of the following is true about copyright law in the United States?
a. A work must be published in order to receive copyright protection.
b. A copyright is not created by the process of registration.
c. A copyright must be registered before public disclosure of the copyrighted material.
d. State copyright laws supplement the federal copyright laws.
e. Both C and D.
9) Countries began entering into treaties with each other that provided protection of
international property rights in the:
a. only since 2000.
10) John has invented a device to monitor the tire pressure on bicycle tires. This device consists of a tire pressure sensor on the tire with a radio transmitter and a receiver mounted on the handlebars to give a readout of the pressure. The radio transmitter is similar to existing designs, but one has never been used in this way. The product cannot be produced for less than $120, but John’s preliminary marketing studies indicate that the product could not be sold for more than $25. Which of the following is true?
a. John cannot get a patent because the transmitter part is not a new invention.
b. John can get a provisional patent which would provide limited protection until he can
redesign it so that it can be made for under $25.
c. John cannot get a patent because the inability to produce the product at a cost low
enough to sell it means that it does not meet the usefulness requirement.
d. John can obtain protection for his invention even if someone else files a patent application for the same invention so long as John actually invented his first and only if he pays a fee of $1,000.
e. John can obtain protection for his invention even if someone else files a patent application for the same invention so long as John actually invented his first.
11) Business law teacher Sue Smith copies 5 pages out of a 999 page book in the library for use in class. Ms. Smith did not want her students to have to purchase the entire book because of the expense involved. A grumpy library assistant calls the publisher of the book and informs on Ms. Smith. Is Ms. Smith in trouble?
a. It is unlikely that Ms. Smith will be in trouble because her use of a few pages would probably constitute a “fair use” under trademark law.
b. Yes, Ms. Smith will be liable for trademark violation because the students should have been required to buy the book.
c. Yes, Ms. Smith will be liable for copyright violation because the students should have been required to buy the book.
d. It is unlikely that Ms. Smith will be in trouble because her use of a few pages would probably constitute a “fair use” under copyright law.
e. Ms. Smith will be liable for copyright violation only if she made a profit from the use.
12) Which of the following statements is true regarding the relationship of law and ethics?
a. The legal requirements will almost always be the same as the ethical requirement because the law is based on the ethical standards.
b. In some cases ethics will require a higher standard of conduct than the law, but never vice versa.
c. In some cases the law will require a higher standard of conduct than ethics, but never
d. There is a disagreement about legal standards of conduct but not about ethical standards of conduct.
e. Depending on the circumstances, the law can require a higher, lower, or the same standard of conduct as ethics demands.
13) Someone who believes that moral decisions should be made such that the greatest amount of good in total results from the actions, believes in which moral theory?
a. Kantian ethics.
b. Rawls’s distributive justice theory.
d. Ethical fundamentalism.
e. Ethical relativism.
14) A criticism of utilitarianism is that:
a. moral and ethical rules are too rigid and fixed over time.
b. some persons would take actions that they believe to be moral, but which most per-
sons in society believe to be immoral.
c. decisions require the measurement of qualities that are not subject to precise measurements.
d. decisions are not allowed to take into account an individual’s station or place in society.
e. Both C and D.
15) Rawls’s promoted which of the following?
a. The belief that the moral rules should be determined by persons who have a “veil of ignorance” about their place or station in society.
b. The belief that a person must decide what course of action is proper based on that person’s own set of beliefs or feelings.
c. Determining which course of action produces the greatest amount of good for the greatest number of people.
d. A set of universal rules based on reasoning which must be applied in all situations and are characterized by reversibility.
e. The consultation of an outside source, such as a book or person, for guidance.
16) Big Green Company is considering introducing a new product to replace an existing product. The new product would result in increased revenues, but slightly lower overall profits because the product will cause injury to a few users and Big Green will
compensate persons who are injured. The introduction of this product would be the proper decision under:
a. the moral maximum theory, but not under the moral minimum theory.
b. neither the moral minimum theory nor the profit maximization theory.
c. both the moral minimum theory and the profit maximization theory.
d. the moral minimum theory, but not under the profit maximization theory.
e. the profit maximization theory, but not under the moral minimum theory.
17) Under the objective theory of contracts, a contract could result from an offer made:
a. due to fraud.
b. due to a need to sell an item quickly.
c. by someone who clearly had Alzheimer’s disease.
d. under duress.
e. by someone who was clearly intoxicated.
18) Under the objective theory of contracts, whether or not a contract exists is based on:
a. the statutory offers.
b. the objective contractor standard.
c. the judicial standard.
d. the objective constitutional standard.
e. the reasonable person standard.
19) What is required for a contract to be an express contract?
a. It is performed immediately after formation.
b. It is performed for mutual benefit.
c. It is stated in words.
d. It is written and signed.
e. All of the above.
20) A contract under seal is called a/an:
a. quasi contract.
b. informal contract.
c. bilateral contract.
d. express contract.
e. formal contract.
21) An agreement that is lacking consideration:
a. will not be an enforceable contract, but may be enforced under the theory of promissory estoppel.
b. is void as against public policy.
c. is not enforceable, and thus cannot be performed.
d. is enforceable only if in writing.
e. will be enforced only against the party who gave consideration.
22) Offeror says, “I’ll sell you my car for $15,000.” Offeree says, “I accept your offer but will
pay $14,000.” What is true at this point?
a. This was a conditional acceptance.
b. Offeror must sell car to Offeree if Offeree gives Offeror $15,000.
c. There are two open offers.
d. The offeree’s statement was a revocation of the $15,000 offer.
e. The only open offer is for $14,000.
23) Mary promises to give her car to her friend. The friend sells his current car at a fairly low price because he is expecting to get a nearly new car at no cost from his rich and generous friend, Mary. Mary changes her mind and decides to keep the car. If the friend sues Mary, the court most likely will:
a. based on the theory of promissory estoppel, require Mary to pay damages to the friend for any loss he incurred in connection with Mary’s not keeping her promise.
b. require Mary to give her friend the car because Mary made an illusory promise.
c. require Mary to give her friend the car because his sale of his car was consideration.
d. not require Mary to do anything unless it can be proven that she subjectively intended to cause her friend monetary difficulty.
e. not require Mary to do anything because this was a gift promise.
24) Which of the following is not true?
a. What constitutes a necessary varies over time and can differ from state to state.
b. A minor can still disaffirm a contract for a reasonable time after reaching majority.
c. A minor does not have to wait until reaching majority to disaffirm a contract.
d. In most states a minor who misrepresents his or her age has no duty to place the
competent party in status quo if the minor disaffirms the contract.
e. A minor must pay the agreed price on a contract for necessaries.
25) Kathy purchased a used car from Mint Motors, Inc. on her sixteenth birthday and will be making 48 monthly payments to Mint. Thirteen months later, the car was stolen and was never recovered. Which of the following statements is correct?
a. The car’s theft is an automatic ratification of the contract because it is now impossible to return the car.
b. Kathy ratified the contract by driving the car for thirteen months.
c. Kathy may demand a new car from Mint as a penalty for dealing with a minor.
d. Kathy may not disaffirm the contract if she ratified the contract either orally or in writing prior to the theft..
e. Kathy may disaffirm the contract because she is a minor.
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