Business Law 201 Spring 2005 Mid-Term Examination
April 5, 2005, Professor Isler
This musical mid-term exam will end at 9:10. You are to indicate the choice which best answers the question. You may keep the exam. The exam and the answers will be posted on the student forum thirty minutes after the exam.
1. “Night Time is The Right Time,” sung by Professor Isler in class for was performed by:
[A] K-Ci & JoJo
[B] Ray Charles
[C] Billy Ocean
[D] Percy Sledge
[E] James Brown
2. The difference between larceny and robbery is that:
[A] Larceny and robbery both involve the use of force.
[B] Larceny involves the use of force, but robbery does not.
[C] Robbery is intentional, but larceny is unintentional.
[D] Robbery involves the use of force, but larceny does not.
3. Changing the amount on a check is an example of the crime of
[A] Extortion.
[B] Embezzlement.
[C] Forgery.
[D] None of these.
4. Mario, a bank vice president, regularly took money for his own use from customer accounts and made false entries in the bank records. Mario committed the crime of
[A] Embezzlement.
[B] Blackmail.
[C] Robbery.
[D] Burglary.
5. Mos Def, who lived in a contributory negligence state, hired a limousine from the Lackawanna Blues Limo Service so that he and his wife Maybeth, could attend their high school reunion in style. When the limousine arrived, Mos Def told the driver to take them to the No-Tell Hotel. Once they were on the freeway, it became clear that the driver did not know how to reach the hotel. Every time the driver took a wrong turn, Mos Def attempted to correct him. The driver continued to ignore Mos Def’s instructions. Eventually, the driver, who later said he was aggravated by Mos Def’s frequent interruptions, stopped the limousine and told Mos Def and his wife to walk to the reunion. The driver drove off and left his passengers several miles from the hotel in the middle of an ice storm. While walking to the hotel, Mos Def slipped on a patch of ice and fell and broke his arm. Later the Defs learned that the driver had a long history of similar conduct, and that the limousine company had not done a proper search of the driver’s work history before hiring him. The Defs sued the limousine company alleging negligence. Which of the following is the most likely outcome of such a suit?
[A] The Defs will win because a reasonable person would not hire an employee who will be responsible for the safety of paying passengers without checking the work history of the potential employee.
[B] The Defs will win against the limousine company as they are responsible based on the doctrine of respondeat superior and because a reasonable person would not hire an employee who will be responsible for the safety of paying passengers without checking the work history of the potential employee
[C] The Defs will lose because it is the driver who was negligent and the Defs sued the limousine company.
[D] The Defs will lose because the limousine company did not proximately cause Mos Def’s injury and Mos Def was contributorily negligent when he walked onthe ice.
6. One example of a defense that could be used in a criminal action is
[A] Justification.
[B] Entrapment.
[C] Insanity.
[D] all of these.
7. Gwen Stefani is a police officer. Gwen’s legal right to conduct a reasonable search of a person who has been arrested is provided for in the
[A] Fourth Amendment.
[B] Fifth Amendment.
[C] Sixth Amendment.
[D] First Amendment.
8. Four essential elements are necessary to create a valid contract. Which of the following is not one of these elements?
[A] Something of value must be given by each party.
[B] The agreement must be in writing.
[C] The offeror and offeree must reach agreement.
[D] The parties must be competent.
9. Ciara promised Usher $50 if Usher found and returned Ciara’s cocker spaniel. This contract is
[A] Unilateral.
[B] Bilateral.
[C] Executed.
[D] Unenforceable.
10. Slim Shady promises to pay Fantasia $75 if Fantasia repairs his car. A day later Fantasia repairs the car to Slim Shady’s satisfaction. This is an example of a
[A] Unilateral contract.
[B] Bilateral contract.
[C] Void contract.
[D] Quasi contract.
11. Ludacris promised to give Kelly Clarkson, his niece, $500 if she (Kelly) promised to give up smoking for six months. Kelly did promise to do so. At the end of six months, since Kelly did not smoke, she received the $500 from Ludacris. This is an example of an
[A] Express, bilateral, quasi contract.
[B] Express, unilateral, executed contract.
[C] Express, bilateral, executed contract.
[D] Express, bilateral, executory contract.
12. Snoop Dogg had a contract with Lil Kim of the East Harlem Building Company or ( “EHBC”) to put a room addition on his (Snoop’s) home for $190,000. Lil Kim stopped construction halfway through the project and informed Snoop that she was moving on to build a mansion for Professor I, otherwise known as “OGP,” which is short for Old Gangsta Professor. In reality Lil Kim was trying to get to know OGP better because she had heard of OGP’s Kool-Aid and wanted to check out the flavor. OGP who lived in Long Beach, California (called LBC for short) was waiting on Kim because he felt he had a pre-existing duty to please her bootie and he was going to make sure Lil Kim received quantum meruit. (This means OGP liked Lil Kim). In short, OGP waited in the LBC for EHBC.
Anyway, Snoop informed Lil Kim that it was imperative that she finish the job before the rain starts and if she did not he would have to sue her for breach of contract. Lil Kim said I am sorry but there is not enough cheese (money) in it for her. Snoop tells Kim that if it is more money she wants he will be happy to pay a couple thousand more to get the job completed. Lil Kim says if that is the case, she will finish the job for an extra $3,000. Snoop agrees saying he would have paid the extra $3,000 in the first place.
Lil Kim finished the job and Snoop refused to pay the additional $3,000.If Lil Kim sues Snoop what is Snoop’s best defense?
[A] Snoop should say that Lil Kim had a pre-existing duty to build the addition for $190,000 and she was not entitled to mo fo sho ornot entitled to anything else.
[B] Snoop should defend by saying “Fo shizzel me nizzel, I do not owe you anything because I do not have the cash and that is an unforeseen difficulty
[C] Snoop should allege that there was an illegal contract modification
[D] Snoop should allege promissory estoppel
[E] Snoop should allege that there is a liquidated debt that precludes the pre-existing duty rule so Lil Kim already received as much as she deserved.
13. California's bar on gay marriages is unconstitutional, a judge has found, ruling that the state could not justify limiting marriage to a man and a woman. In the eagerly awaited opinion, based on the California Constitution, San Francisco County Superior Court judge Richard Kramer said there was "no rational purpose" for withholding marriage licenses from homosexuals.
In a written judgment, he said the state's historical definition of marriage could not justify the denial of equal protection for gays and lesbians. "The state's protracted denial of equal protection cannot be justified simply because such constitutional violation has become traditional," he wrote.
Legal groups representing religious conservatives filed an appeal with the California Court of Appeals and that court agreed that California's bar on gay marriages is unconstitutional. Last week those same religious conservatives appealed to the California Supreme Court. Yesterday that court ruled that California bar on gay marriages violated the California Constitution.
Today California Attorney-General Bill Lockyer vowed to appeal the case to the United States Supreme Court. What should the U.S. Supreme Court do?
[A] Rule on the matter since the case involves Equal Protection Issues and if California does not have a compelling state interest to discriminate, the court should rule the ban on gay marriages unconstitutional like the California Supreme Court
[B] Refuse to hear the case if it is based solely on the California Constitution
[C] Rule on the merits of the case since it involves a federal question
[D] Rule against the California Supreme Court since this is a matter for California voters to decide
[E] I do not know because I missed the class when you covered this very question!
14. In a five to four decision, the United States Supreme Court held that the imposition of the death penalty on offenders who were under the age of 18 when their crimes were committed does not violate the Eighth Amendment's prohibition against "cruel and unusual punishments.
[A] True
[B] False
15. On March 21, 2005 Jeff Weise, who allegedly described himself as a "NativeNazi" and who other students said was regularly picked on for his odd behavior, stormed into Red Lake High School in BEMIDJI, Minnesota and allegedly shot to death an unarmed guard, a teacher and five students before killing himself.
Before the Red Lake shootings, Weise, who was seven years old, allegedly shot dead his grandfather and his grandfather's girlfriend at the home he shared with them. Initial reports had as many as 15 people injured in the shootings at the school, but authorities lowered that number.
Jeff Weise was tried in a Minnesota Court for murder. Minnesota follows the common law definitions of mens rea and actus Reus. The judge issued the following jury instruction:
“If you find that Mr. Weise had a guilty mind at the time the shootings occurred and pulled the trigger then you must find him guilty of murder.”
The jury convicted Mr. Weise and Mr. Weise appealed stating that the judge gave an improper jury instruction. What would be Mr. Weise's best argument before the Minnesota Court of Appeals?
[A] The judge gave an improper instruction because Weise cannot commit the crime of murder since it requires premeditation and deliberation
[B] The judge gave an improper instruction if under Minnesota law murder requires premeditation and deliberation
[C] The judge gave an improper instruction because the prosecution has the right to rebut the presumption that Weise can commit a crime.
[D] The judge gave an improper instruction because Weise is incapable of actus reus
[E] The judge gave an improper instruction because Weise is incapable of murder
16. Dr. Dre, who was referred to as "Chronic" by his friends was to operate on a boy who had injured his hand. Dr. Dre had a farm and on his farm he had some pigs. Also, Dr. Dre worked for the Eastern Illinois Energy Independence Organization called EIEIO for short.
Anyway, the palm of the boys hand was significantly scared and Dr. Dre was going to try a new operation that consisted in the removal of a considerable quantity of scar tissue from the palm of the plaintiff's right hand and the grafting of skin taken from the plaintiff's chest in place thereof.
Before the operation was performed the boy and his father went to the Dr. Dre's office, and asked Dr. Dre, "How long will the boy be in the hospital?" Dr. Dre replied, “
Don’t worry, it ain’t nothing but a G-thang baby, I’m a low down doctor going crazy, Death Row is the label that pays me and I’m unfadeable so please don’t try to fade me.” “I figure three or four days, not over four; then the boy can go home and it will be just a few days when he will go back to work with a good hand."
After Dr. Dre operated on the boy's hand the palm of the boy's hand began to grow the same kind of hair that the boy grew on his chest. In fact, the hand grew so much hair;the boy had to rub deodorant on it. Sometimes the boy had dread locks hanging from his hand. People started calling the boy, “natty dread hand boy.” In fact, the local circus tried to give the boy a contract to show off his hairy hand. The boy's father was not amused and sued the doctor stating that the procedure that the doctor used was unreasonably dangerous.
If the boy's father brings a lawsuit against Dr. Dre based on strict liability what is the likely result?
[A] The boy’s father will win
[B] The boy’s father will win as long as he can demonstrate that there was no other safer way to perform the surgery
[C] The boy’s father will lose
[D] The Boy’s father will prevail if the father sues on a theory of strict liability because the surgery was unreasonably dangerous.
17. Eve age sixteen looked at Lil Kim who was also sixteen and said “Kim, without question, the greatest invention in the history of mankind is beer. Oh, I grant you that the wheel was also a fine invention, but the wheel doesn’t go nearly as well with pizza.”
Kim responded “Eve, when I read about the evils of drinking, I gave up reading.”
Eve had finished five beers by now and looked at Lil Kim and said “Your face could be the perfect commercial for beer. The commercial would say- Beer: helping ugly people have sex since 3000 b.c.” Lil Kim was not amused and immediately shot Eve dead in the head. The prosecutor was thinking about filing murder charges but decided not to when his legal assistant said that you can’t hold Lil Kim liable for murder. The Prosecutor has now asked you for a second opinion, what should you tell him?
[A] The legal assistant was incorrect because the presumption is that Lil Kim can form mens rea
[B] The legal assistant was incorrect because the presumption is that Lil Kim can form actus noassatallus
[C] The legal assistant was correct because the presumption is that Lil Kim cannot form mens rea
[D] The legal assistant was correct
18. The “3 Doors Down” Auto Center advertised in the local newspaper that all stock was reduced 40 percent below regular price. This advertisement legally constituted a(n)
[A] Invitation to make an offer.
[B] Voidable offer.
[C] Binding contract.
[D] Valid offer.
[E] None of the above
19. In the daily newspaper, Maroon5 Motor Company advertised a new convertible at a special reduced price. When Nivea tried to purchase one at the advertised price, Maroon5’s salesperson stated that they had only one of that model and that it had already been sold. Nivea insisted that Maroon5 Motor Company must sell him one at the reduced price, as he was accepting their newspaper offer. Is Nivea correct?
[A] Yes; an advertisement in a newspaper is a communicated offer to all customers who wish to accept the offer.
[B] Yes; all advertisements are general offers that result in binding agreements when accepted by customers.
[C] No; newspaper advertisements, as a general rule, are only invitations to customers to make an offer.
[D] No; advertisements are offers, but they do not have to be accepted by the advertiser once the product is sold out.
20. Of the following, the one that is not a method of terminating an ordinary offer is
[A] Lapse of time.
[B] Death of the offeror after acceptance by the offeree.
[C] Counteroffer.
[D] Rejection.
21. If nothing definite is stated about the time limit of an offer, it continues
[A] Up to 25 days.
[B] Until the offeree accepts or rejects the offer.
[C] For a reasonable time, depending upon the circumstances.
[D] Until the offeror accepts or rejects the offer.
22. Scarface offered to sell Baby Bash (often called the Smokin’ Nephew) an air conditioner for $300. When Baby Bash said he needed time to think about the offer, Scarface said that he would keep the offer open for five days. Which of the following statements is correct?
[A] Scarface may not withdraw the offer until the end of the fifth day.
[B] Scarface may withdraw the offer at any time before acceptance is made.
[C] Scarface’s agreement to keep the offer open created an option to purchase the air conditioner.
[D] Scarface may not withdraw his offer without Baby Bash’s consent.
23. A state legislature passed a law making the sale of fireworks illegal. At the time, The “Trillville & Lil Scrappy Company” had made an offer to sell fireworks to a large city in the state for its July 4th celebration. The effect of this law on the Trillville & Lil Scrappy Company’s offer is:
[A] Nonexistent.
[B] To allow Trillville & Lil Scrappy Company to sue for breach of contract.
[C] To automatically terminate the offer.
[D] To act as a rejection of the offer by the offeree.
24. Nelly offered a reward of $50 in the local newspaper for the return of his lost college ring. Tim McGraw, not knowing of the published reward, found and returned the ring. Tim McGraw could not legally claim the reward because