Commercial Law Test 1

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What source of law takes priority:  a federal statue or the constitution?

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1

What source of law takes priority:  a federal statue or the constitution?

Constitution

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2

All trial automatically have a jury trial.

False

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3

If a business is only operating in 1 state, it does not come under the regulation of interstate commerce and not affected by federal regulations under the Commerce Clause.

False

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4

When a trial takes place, who determines the facts of a case?

the jury

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5

Assault is defined as:

the unexcused threat of immediate harmful or offensive contact

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6

Doug and Frank both live in Indiana.  They were involved in a two-car accident on their way to work when Frank ran into the back of Doug's car.  A week later, Doug got notice in the mail that he has been sued by Frank to recover damages, claiming that Doug stopped too quickly for Frank to avoid the accident.  What type of case is this (e.g. civil or criminal), and who is the plaintiff in the case?

Civil, and Frank is the Plaintiff

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7

The protections afforded to all citizens by the Bill of Rights are absolute and can never be limited or taken away under any circumstances.

False

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8

Doug and Frank both live in Indiana.  They were involved in a two-car accident on their way to work when Frank ran into the back of Doug's car.  A week later, Doug got notice in the mail that he has been sued by Frank to recover damages, claiming that Doug stopped too quickly for Frank to avoid the accident.  Frank is claiming $100,000 in damages.  What is the proper court for this case to be filed?

Indiana State Court

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9

In a civil case, the parties are required to have a jury.

False

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10

Corporations have no protections under the Bill of Rights.

False

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11

A federal court has the power to strike down a state law as being unconstitutional.

True

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12

All trials (criminal and civil) automatically have a jury.

False

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13

The United States Supreme Court has the power to tell the President of the United States that he has done something that is unconstitutional, and thereby overrule his decision.

True

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14

If a person does something that is illegal under state law and illegal under federal law, which is true?

The person can be prosecuted by both the state and federal governments

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15

What does it mean to say that courts apply "stare decisis"?

a court will rule on a set of facts in the same manner as rulings on similar cases in the past; let the decisions stand

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16

The Contract Clause in the U.S. Constitution has been applied as such:

A contract that is legally entered into in Indiana must be enforced by all other states

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17

A statute is:

a written law passed by a legislative body

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18

Most lawsuits are resolved by completing a trial before a jury.

False

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19

The U.S. Constitution prohibits unreasonable searches and seizures.  Does this protection apply to business activities?

Yes

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20

In every criminal case, the prosecutor must show that the defendant knew he was committing a crime.

False

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21

The word "liability means?

to be legally responsible for something

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22

What does it mean to commit fraud?

to deceive someone for financial gain

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23

Loving Care Nursing Home has a little dog ‘Tilly’ who lives with the residents as a beloved community pet.  One day, a FedEx driver came to the nursing home to deliver packages and as he entered the front door of Loving Care Tilly bit him numerous times.

What does the FedEx driver have to prove to hold Loving Care Nursing Home responsible for his injuries?

the driver must show that the nursing home owed him a duty, that the duty was breached, and that he was injured as a result

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24

Bud owns an auto body shop. One Sunday, he went to the shop to do some work and when he opened the door, he surprised a burglar who was in the act of stealing.  When Bud surprised the burglar, the burglar took off running with Bud’s petty cash box which contained over $1,000. Is Bud liable if he shoots the burglar in the leg to keep him from getting way?  (Assume Bud lives in Indiana.)

Yes, shooting the burglar while he is fleeing is a form of battery

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25

The constitutional right to an impartial jury means that in a criminal case the jurors cannot know anything about the case prior to the trial.

False

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26

While waitressing at a bar, Juanita accidentally dropped a tray full of empty glasses. The glasses shattered and pieces of glass flew in all directions. Two customers in the bar received injuries from flying glass. Is Juanita legally responsible for their injuries?

Yes, Juanita had to a duty to carry the tray without dropping it and injuring others

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27

The truth is an absolute defense to claims of defamation.

True

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28

False imprisonment is the intentional confinement or restraint of anther person's activities without justification.

True

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29

One set of actions (facts), can result in someone being a defendant in a criminal case AND a defendant in a civil case at the same time.

True

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30

If a defendant is found not guilty of a criminal case, but evidence later surfaces that would prove the defendant's guilt, the defendant can be re-tried for the crime.

False

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31

The purpose of compensatory damages in a tort case are:

to compensate the plaintiff for his actual and determinable losses

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