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1 Page 1 of 7 print name as your signature EXAM #2 Business Law Fundamentals LAWS 3930 sections Chapters 1-4, 24, 6, 7, 9-18 INSTRUCTIONS: 1. Affix your printed name as your signature in the space provided above. 2. This is a closed book exam. It is an objective test of your subjective knowledge. group work is academic dishonesty earns the student a course letter grade of "F". 3. The time for this exam is limited to the class meeting time (i.e., exam ends at 11:45am). That ought not be a constraint for any student. 4. Both print your last name bubble in your last name on your blue computer graded bubble sheet. 5. Both print your NU ID number bubble in your NU ID number on your blue computer graded bubble sheet. 6. This is a True-False exam. 7. Read carefully. Think. Read closely. Think. Recall, this is an objective test of your subjective knowledge. 8. Recall the material difference between i.e. (that is) versus e.g. (for example). 9. This is not a trivia test. Accordingly, never is an answer option false because of the description of a number in the answer option. For example, if an answer option describes Amd. X, then that description is accurate. The answer option might be false for a reason other than the description of the number. The number is included solely to aid the student's recall. 10. Students taking their Exam #2 on Wednesday shall turn in both [1] white copy of exam; [2] completed blue answer sheet. Students taking their Exam #2 on Thursday shall turn in the completed blue answer sheet, will receive in exchange an answer key; you may keep your white copy exam. Students taking their Exam #2 on Wednesday may, after 11:30 AM Thursday, retrieve their white copy exam an answer key from the MH 228 suite secretary. 11. This Exam #2 is worth 200 points of a course total of 1,000 points. There are 52 questions graded as if there only are 50. Accordingly, each correct answer on Exam #2 is worth 4.0 course points. 12. WARNING: A student earns NEGATIVE TEN COURSE POINTS for each failure to comply with Instruction #1, Instruction #4, /or Instruction #5. WARNING: Exam score of zero if fail to answer question #53. See NOTE F on page 2 of 7.
2 Page 2 of 7 NOTES: A. Recall the material difference between i.e. (that is) versus e.g. (for example). B. Use bubble A for TRUE use bubble B for FALSE. C. For clarity in distinguishing a "principal" from a principal as well as distinguishing an "agent" from an agent, quote marks will be used for the generic words "principal" "agent" no quote marks will be used for the specific words principal agent. That is, "principal" "agent" refer to all three relationships (i.e., principal agent; principal independent contractor; employer employee). D. For clarity in distinguishing enforceable from unenforceable transactions, the word contract is not in quotes for an enforceable contract (e.g., a voidable contract elected to be enforced), whereas the word "contract" is in quotes for a transaction that is not an enforceable contract (e.g., a voidable contract that has been voided now is a void "contract"). E. The quote marks described in NOTE C. in NOTE D. might be the very essence of the question's truth or falsity. For example, it is true to say "An employee is one of the three relationships in "agent"."; it is false to say "An employee is an agent.". F. Different students have different versions of this Exam #2. For a student's blue bubble sheet to be correctly scored requires that student to record that student's version of this Exam #2. AT THE BOTTOM RIGHT OF THIS PAGE, WHAT LETTER FOLLOWS THE YEAR 2015? RECORD THAT LETTER AS YOUR ANSWER TO ungraded QUESTION 53. Failure to correctly record your version shall earn you a score of zero on Exam #2. G. All appeals of this exam s questions must be: [G1] typed; [G2] signed by the student in three ways, typed name, hwritten signature, typed university identification number; [G3] immediately following the [G2] signature, list in sequence, solely by number, each of the questions being appealed; [G4] since this exam's design (i.e., 52 questions graded as 50) presumes two errors, harmless error exists with two flawed questions; thus, an appeal must appeal three or more questions must prove at least three questions to be objectively ambiguous for there to be one non-harmless error; [G5] after the [G3] list, argue each question, one at a time; [G6] at the beginning of each question s [G5] appeal, identify at least two reasonable meanings that the question could have had; [G7] in each [G5] appeal, argue why one or more of the [G6] identified reasonable meanings is as appropriate or is more appropriate than the meaning used for the answer key answer; [G8] the signed appeal must be personally hed to the instructor (or to the instructor's suite secretary in MH 228) no later than 11:59 AM (i.e., minute before noon) Friday, October 30th, time is of the essence.
3 Page 3 of 7 QUESTIONS: 1. T F The USA States have the Police Power to regulate for the Peoples' health, safety, morals, general welfare the USA federal government does not have the Police Power. 2. T F The USA federal government has the Commerce Clause the USA States do not have the Commerce Clause. The courts interpret the Commerce Clause as granting Congress the power to regulate all commerce with a close a substantial affect on commerce between the several States. 3. T F The USA Constitution's Amendment XIV Equal Protection Clause requires both the USA State governments the USA federal government to assure all of its citizens, but not all persons, the equal protection of that government's laws. 4. T F All USA governments always must provide all citizens, but not all persons, due process of law (i.e., notice hearing, both proportional to the interests involved). 5. T F If the plaintiff lacks sting to sue (i.e., injury in fact within the zone of protected interests) then the defendant's Motion to Dismiss shall be granted by the trial court. 6. T F All USA law assigns liability to those persons whose actions are either knowing or voluntary. 7. T F USA law favors the objective over the subjective. Both express implied are objective. 8. T F The appellate court will affirm the trial court unless the trial court makes a material error of fact, procedure, or law. 9. T F If at the time of the defendant's breach of a duty owed to the plaintiff the plaintiff's damages were reasonably foreseeable to The Reasonable Person in the position of the defendant, then the defendant is liable for tort.
4 Page 4 of T F Since a crime requires both a bad deed (i.e., actus rea) a bad thought (i.e., mens rea) an adjudicated insane person can not commit a crime. 11. T F A contract exists if parties with capacity reach an agreement with reality of assent supported by consideration in the correct form for legal subject matter. 12. T F A contractual agreement must be sufficiently definite that the court can enforce the parties' objective agreement. 13. T F The Mirror Image Rule of the common law of contracts has been repealed by statute for contracts over one year. 14. T F The Mailbox Rule of the common law contracts requires the offeror to submit to the offeree any written offer via the USA mails (i.e., U.S. Postal Service). 15. T F Nebraskan Roscoe Pound's objective theory of contracts prohibits ever using silence as acceptance by the offeree. 16. T F Capacity is the ability to grasp the natural consequences of your own actions. 17. T F A minor (i.e., natural person under the age of majority [i.e., age 19 in Nebraska]) only has the capacity sufficient to create a voidable contract. Whereas, an objectively intoxicated person only has the capacity sufficient to create a void "contract". 18. T F The consideration that supports a common law contract is a bargained for exchange of value. 19. T F A bilateral contract exchanges liberty as consideration. 20. T F The Statute of Frauds requires five types of contracts (e.g., sale of l) to be in the form of a signed writing that contains the material terms. 21. T F A cosigner is guarantor.
5 Page 5 of T F Physical duress is objective whereas emotional duress is subjective; therefore, reality of assent exists when there is emotional duress but reality of assent can not exist when there is physical duress. 23. T F Mistake, whether it is mutual mistake or is unilateral mistake, requires the mistake to be of a material fact. 24. T F There are four contract terms that always are material: parties, time, capacity, legal subject matter. 25. T F Undue influence is proved when the defendant has both opportunity inclination to take advantage of the plaintiff, the result of the defendant's actions is the plaintiff suffered disadvantage. 26. T F The USA Constitution has an implied separation of powers between the legislative, executive, judicial branches whereas the Nebraska Constitution has an express separation of powers. 27. T F A person's full name written in script is a signature. A person's printed name is not a signature. 28. T F A written signed bargained for exchange of promises that are sufficiently definite that the court can enforce the parties' objective agreement to commit a crime is a contract. 29. T F In Nebraska a covenant not to compete, which is unquestionably limited both to a reasonable time a reasonable area is a "contract" unless supported by consideration in the form of good will. 30. T F The USA Constitution's Article IV Full Faith Credit clause requires a receiving USA State to grant comity enforce all contracts created in accordance with the law of contracts of that sending USA State, sought to be imported into the receiving USA State as a contract. 31. T F Since punitive damages could punish punitive damages raise substantive due process questions.
6 Page 6 of T F Compensatory damages for contracts include both incidental damages consequential damages, but exclude nominal damages. 33. T F An offer that is not sufficiently definite results in an illusory promise results in a "contract". Both output contracts requirements contracts are not illusory promises since the unstated quantity of those contracts are measured objectively. 34. T F The offeror creates by the offer the power in the offeree, with an unequivocal "Yes.", to create a contract. 35. T F In USA tort law proximate cause is that fraction of actual cause that was reasonably foreseeable to The Reasonable Person in the position of the defendant. 36. T F In the common law of contracts compensatory damages are measured by the party's loss of the benefit of the bargain. 37. T F Tort damages within a contract are not recoverable since the law treats such damages as mere economic loss. 38. T F If also supported by capacity by consideration, then employment agreements, bailments, warranties, licenses each creates a contract. 39. T F Since in contracts tort damages are mere economic loss; punitive damages never are recoverable for breach of contract. 40. T F Lost profits are recoverable damages even though consequential damages if those lost profits are both reasonably foreseen by the parties agreed to by the parties. 41. T F Ready, willing, able is an express condition of all contracts. 42. T F Most contracts are discharged by complete performance.
7 Page 7 of T F Substantial performance of a contract is a breach of contract that discharges (i.e., makes it executed) but is a breach that avoids creating liability for contractual damages. 44. T F A breach of an express condition is a material breach. 45. T F The duty to mitigate damages is a duty owed by the breaching party to the non-breaching party. 46. T F An independent contractor is liable for negligence torts. The principal of an independent contractor is liable for strict liability torts. 47. T F The Law uses three forms of knowing: actual knowledge (i.e., scienter); receipt of notice; reason to know. 48. T F All that is implied also is express. 49. T F A statute of repose raises concerns of substantive due process. For the companion statute of limitations, tolling is a form of procedural due process that addresses those substantive due process concerns. 50. T F A crime is void for vagueness if a Reasonable Person who did read the statute creating the crime could not reasonably determine what was the bad deed (i.e., actus rea) or what was the bad thought (i.e., mens rea). 51. T F One way to help you get to "Yes." is to change your opponent's perception of your BATNA. Another way is to change your opponent's perception of your opponent's BATNA. 52. T F A negotiator who uses principled negotiation tactics holds firmly to that negotiator's positions. 53. C. Answer #53 C or earn a zero on this Exam #2.
Spring 2018 Business Law Fundamentals O'Hara 2018 D
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