Deck 34: Professionals Liability

Question 1

Directors and officers of corporations have been successfully sued for breach of their duty of loyalty and duty of care,resulting from negligence,error,or omission.

Answer 1

True

Question 2

Architects design and supervise the construction of buildings and other large structures.

Answer 2

True

Question 3

The malpractice of a physician does not cause injury or loss to third parties,except in cases where the physician's negligence results in the patient's death or permanent disability.

Answer 3

True

Question 4

An attorney is liable to a client if he or she fails to exercise due care in handling a client's affairs.

Question 5

The distinction that developed between malpractice and other forms of negligence in part stems from the fact that the performance of certain professionals is known as a "practice" and the people served are referred to as "patients" or "clients" rather than customers.

Question 6

An attorney is not liable to a client if he or she fails to exercise due care in handling a client's affairs.

Question 7

When an agent or broker fails to recommend appropriate insurance and the buyer suffers a financial loss that could have been prevented or lessened,the agent or broker can be charged with negligence.

Question 8

Many professional groups conduct workshops and training sessions to help members of the profession reduce the risks that lead to negligent actions and the lawsuits that frequently result.

Question 9

In a malpractice lawsuit,the professional owes his or her client,as well as all third parties who are foreseeably impacted by the professional's work,a _______ to either perform an action or not to perform an action.

A) contract.
B) duty.
C) gesture.
D) promise.

Question 10

The distinction that developed between malpractice and other forms of negligence in part stems from the fact that the performance of certain professionals is known as a(n):

A) performance.
B) behavior.
C) practice.
D) employment.

Question 11

While everyone is subject to a lawsuit for negligence,suits by injured or damaged parties charging negligence frequently target:

A) customers.
B) government.
C) manufacturers.
D) professionals.

Question 12

If the attorney is in a specialized practice,such as real estate,family law,or immigration law,it is the performance of other attorneys engaged in similar practice by which he or she will be judged.

Question 13

All competent parties are not liable for their negligence or their failure to meet their contractual obligations.

Question 14

It is not a requirement for the plaintiff to show that the defendant owed him or her a duty to either perform an action or not perform an action.

Question 15

Only architects are subject to lawsuits for negligence if their work results in injury to parties with whom they have contracted or to third parties,and not the engineers.

Question 16

When the client relies on the financial planner's recommendations and suffers a loss,the financial planner cannot be sued for negligence.

Question 17

A professional's improper or immoral conduct in the performance of his or her duties through carelessness or lack of knowledge amounts to:

A) ignorance.
B) negligence.
C) malpractice.
D) nuisance.

Question 18

Professionals generally are members of state and national __________ societies,such as bar associations or medical societies.

A) professional
B) organizational
C) insurance
D) commitment

Question 19

Pharmacists who dispense drugs other than those specifically prescribed by authorized professionals,such as physicians,cannot be charged with malpractice if the incorrectly dispensed drugs cause injury to the legal user.

Question 20

Insurance brokers are representatives of insurance buyers who deal with multiple companies.

Question 21

If insurance agents and brokers either fail to recommend the purchase of the right kind of insurance to protect against a specific type of loss or fail to recommend appropriate amounts of coverage,then it amounts to:

A) churning.
B) negligence.
C) malpractice.
D) embargoes.

Question 22

If an attorney fails to properly investigate matters related to a client's case,such as seeking clear title to property in real estate matters or interviewing witnesses in criminal matters it can be established that it is a(n):

A) negligence.
B) malpractice.
C) unethical behavior.
D) churning.

Question 23

The following are subject to lawsuits for negligence when they fail to perform according to the standards expected of them,EXCEPT:

A) medical practitioners.
B) accountants.
C) travel agents.
D) consumers.

Question 24

A lawsuit against the financial planner's unreasonably excessive buying or selling of securities to generate commission is known as:

A) churning.
B) negligence.
C) misrepresentation.
D) fraud.

Question 25

__________ of insurance look to agents and brokers to recommend appropriate coverage.

A) Sellers
B) Buyers
C) Directors
D) Executives

Question 26

A professional who designs devices or installations of a complex nature,such as bridges and power-generating stations is called a(n):

A) engineer.
B) architect.
C) designer.
D) executive.

Question 27

The malpractice of a physician does not cause injury or loss to third parties,except when the patient dies or is permanently disabled because of the physician's:

A) temperament.
B) negligence.
C) discrimination.
D) harassment.

Question 28

A profession in which practitioners attempt to advise their clients,who can be either individuals or businesses,of the best ways to manage their financial affairs is known as:

A) strategic planning.
B) corporate structuring.
C) market planning.
D) financial planning.

Question 29

A lawsuit against the financial planner's intentional or negligent misstatement or nondisclosure of a material fact relating to an investment is known as:

A) churning.
B) nuisance.
C) unsuitability.
D) misrepresentation.

Question 30

It has been held that when,as a result of his or her negligence,the accountant fails to discover or conceals evidence that a client's employee has been embezzling funds,an accountant is liable only to his or her:

A) agent.
B) company.
C) client.
D) partner.

Question 31

In a malpractice lawsuit,the plaintiff must show that the professional defendant's act or failure to act directly caused the injury or loss.This element of malpractice is called a(n):

A) breach of duty.
B) negligence.
C) undue hardship.
D) proximate cause.

Question 32

A lawsuit against the financial planner's deliberate obstruction of the client's desire to transfer one or more accounts to another professional is known as:

A) unauthorized trading.
B) transfer of account problems.
C) fraud or misrepresentation.
D) churning.

Question 33

The ones who are subject to lawsuits for negligence if their work results in injury to parties with whom they have contracted,or to third parties,are:

A) chiropodists.
B) discologists.
C) dermatologists.
D) architects.

Question 34

When the client relies on the financial planner's recommendations and suffers a loss,the financial planner can be sued for:

A) scandal.
B) battery.
C) negligence.
D) nuisance.

Question 35

A person who dispenses drugs other than those specifically prescribed by authorized professionals such as physicians also can be charged with malpractice if the incorrectly dispensed drugs cause injury to the legal user.Such a person is known as a:

A) pharmacist.
B) physician.
C) psychiatrist.
D) nurse.

Question 36

Insurance agents and insurance brokers are deemed to possess superior knowledge of insurance and to have the ability to use their expertise to protect buyers against various kinds of:

A) losses.
B) negligence.
C) malpractice.
D) churning.

Question 37

A _________ can be liable for failing to inform a patient of the risks involved in a particular surgery.

A) pharmacist
B) chemist
C) physician
D) nurse

Question 38

An attorney can be found to have committed malpractice if he or she fails to act in a timely fashion in filing claims or bringing suit before the ___________ expires.

A) liability limitation
B) limitations of law
C) statute of limitations
D) limitation of actions

Question 39

One who learns from a patient that he or she intends to do harm to another and has the legal responsibility to inform the possible victim and the appropriate authorities is known as a:

A) physician.
B) psychiatrist.
C) nurse.
D) discologist.

Question 40

Many states require continuing education for certain professionals in order for the individuals in the professions to retain their:

A) standard.
B) accommodation.
C) license.
D) acquaintance.

Question 41

Discuss the liability of attorneys in professional malpractice.

Question 42

Discuss any two elements of malpractice.

Question 43

Explain how professionals protect themselves against the losses that might result from being found liable for malpractice or negligence.