Deck 1: Foundations of Law and the Role of Ethics in Business

Question 1

The most important influences on the development of law today are criminal law and civil law.

Answer 1

False

Question 2

The Romans developed the concept of a written code, which became known as the Justinian Code.

Answer 2

True

Question 3

"Law" refers only to the statutes passed by federal and state legislatures.

Answer 3

False

Question 4

Law actually refers to the duties imposed upon people requiring them to act in a certain manner.

Question 5

Laws passed by local governments are called acts.

Question 6

Any law, whether enacted by Congress or by a state legislature, may be declared invalid if it conflicts with the Constitution of the United States.

Question 7

Because equity is so important, special equity courts have been established within the state court system.

Question 8

English common law is the basis for much of the law in Europe today.

Question 9

The Social Security system is an example of using law to

A) settle disputes.
B) promote worthwhile social objectives.
C) protect property.
D) protect society.

Question 10

The Environmental Protection Agency is an example of a federal administrative agency.

Question 11

The constitution of a state is the primary legal authority for that state.

Question 12

A government may take private property without compensation if it is needed for public use.

Question 13

Criminal law includes rules that protect society.

Question 14

A major reason rules or laws were first established was to

A) provide jobs for people.
B) restrict people's movement in society.
C) make it possible for the majority to rule the rest.
D) protect the rights of individuals against acts by others.

Question 15

Administrative regulations have the same force and effect as statutes and court decisions.

Question 16

The practice of following precedents in deciding later cases is known as

A) stare decisis.
B) equity.
C) statute law.
D) moral law.

Question 17

Business Ethics is the inquiry into the moral judgment people make in deciding what is right or good in their daily lives.

Question 18

Law in the United States is derived primarily from

A) constitutions, statutes, and ordinances.
B) court decisions.
C) administrative regulations.
D) all of these.

Question 19

The body of legal decisions made by English court judges over a period of many years was called

A) constitutional law.
B) administrative law.
C) statute law.
D) common law.

Question 20

Violations of business ethics occur only in large corporations.

Question 21

Another name for common law is

A) written law.
B) equity law.
C) administrative law.
D) case law.

Question 22

Laws regulating the rights and obligations of individuals in relationship to each other are called

A) civil laws.
B) criminal laws.
C) constitutional laws.
D) administrative laws.

Question 23

Remedies available in a civil action include all of the following except

A) damages.
B) ordering a person to refrain from certain conduct.
C) ordering a person to perform a certain act.
D) a prison term.

Question 24

Most state constitutions are modeled after the ____________________.

Question 25

The Uniform Commercial Code governs

A) violations of civil law.
B) equity cases.
C) business transactions.
D) citizens' rights.

Question 26

Laws that are enacted by legislative bodies forbidding conduct that is considered harmful to society and that is subject to punishment are referred to as

A) moral law.
B) civil law.
C) Roman law.
D) criminal law.

Question 27

An important concept in our legal system is that the law protects people but, at the same time, imposes legal ____________________ upon them.

Question 28

The relief granted in a civil action is

A) punishment.
B) money damages.
C) having a person arrested.
D) bringing an action against society.

Question 29

A Federal Communications Commission restriction on the amount of prescription drugs permitted on television is an example of

A) administrative law.
B) constitutional law.
C) common law.
D) statutory law.

Question 30

The supreme law in the United States is

A) the constitutions of the various states.
B) decisions made by courts.
C) administrative regulations.
D) the U.S. Constitution.

Question 31

In making a distinction between law and equity, which of the following is a correct statement concerning the distinction?

A) Law provides different remedies than those available in equity.
B) Equity grants relief in accordance with fair and just principles.
C) One possible remedy in a court of equity is specific performance.
D) All of these.

Question 32

Common law had its beginnings in ____________________.

Question 33

Grimes is suing Winkler for damages brought about when Winkler breached a contract with Grimes. Assuming that both parties lived in the state of Nevada, the case will appear on the court docket as

A) Winkler v. State of Nevada.
B) Winkler v. Grimes.
C) Grimes v. Winkler.
D) State of Nevada v. Winkler.

Question 34

The body of written law that defines the rights and duties of individuals and describes the power and limitations of the government is known as

A) business law.
B) common law.
C) constitutional law.
D) moral law.

Question 35

Higgins willfully and maliciously set fire to his neighbor's garage. The branch of law that would govern Higgins' action is

A) moral law.
B) criminal law.
C) the law of equity.
D) administrative law.

Question 36

The rules established by government to regulate the conduct of individuals and groups in a society are called ____________________.

Question 37

One of the first printed books containing important decisions of English court judges was ____________________ Commentaries.

Question 38

A city council passed a local law restricting the use of water for car washing and lawn watering during a very dry season. This law is an example of

A) common law.
B) case law.
C) administrative law.
D) an ordinance.

Question 39

It is not within the power of states to regulate

A) zoning.
B) postal delivery.
C) marriage.
D) traffic control.

Question 40

An illustration of common law is

A) the constitution of a particular state.
B) the Constitution of the United States.
C) a statute enacted by a legislative body.
D) decisions of federal and state courts.

Question 41

What were the two greatest influences on the development of law in the United States?

Question 42

Laws passed by Congress are called ____________________.

Question 43

What are the four sources of law in the United States?

Question 44

Two remedies available to persons at equity are ____________________ and ____________________.

Question 45

The State of Tennessee v. Peterson is an example of a case title indicating a(n) ____________________ action.

Question 46

____________________ is concerned with the relationships between and among individuals.

Question 47

The subject of contracts is governed by ____________________ law.

Question 48

Based on the information in the text, name three ethical challenges faced by business owners and managers in the workplace.

Question 49

What is the advantage of relying on prior court decisions (stare decisis doctrine) to decide future cases?

Question 50

Mention a basic distinction between suing at law and suing in equity.