Question 1

Pay-to-Buy.com, Inc. obtains a patent on an online payment system. The patent is vaguely worded and overly broad. In evaluating the patent, a court is most likely to​
A) ​have difficulty, resulting in Pay-to-Buy being targeted by patent trolls.
B) ​apply the patent broadly.
C) ​issue a vaguely worded protection order.
D) ​hold that Pay-to-Buy's business practices are illegal.

Accepted Answer

A

Question 2

According to the United States Supreme Court,​
A) ​Metro City can take a parking lot for a privately owned sports stadium.
B) ​all of the choices.
C) ​Laborville can condemn a vacant field for a private manufacturing plant.
D) ​Sleepyton can take residential property for a private corporate complex.

Accepted Answer

The United States Supreme Court has ruled in cases like Kelo v. City of New London (2005) that local governments have the authority to take private property for public use under the doctrine of eminent domain, even if the public use includes economic development by private entities. This means that cities can take private property for projects like privately owned sports stadiums, private manufacturing plants, or private corporate complexes if they argue that doing so serves a public purpose, such as economic development or job creation.

Question 3

Bob owns a virtual asteroid near the virtual planet Cosmo in the virtual DeepSpace universe. Property consists of a bundle of rights in anything that has an ascertainable value and is subject to ownership. This definition encompasses​
A) ​intangible objects used in virtual worlds like DeepSpace.
B) ​digital books, music libraries, and movie downloads.
C) ​all of the choices.
D) ​domain names and expensively created Web sites.

Accepted Answer

Property, in a legal sense, includes not only physical items but also intangible objects that have value and can be owned. This definition covers a wide range of items, including those used in virtual worlds (like virtual asteroids), digital media (such as books, music, and movies), and digital assets (like domain names and websites).

Question 4

Carrie starts Dance & Diet Nutrition, a weight-loss products enterprise, before marrying Edgar. To legitimat4ely protect Carrie's business assets from Edgar's claims if the spouses divorce, Carrie could use​
A) ​a prenuptial agreement preceded by fully disclosing the business assets.
B) ​a postnuptial agreement without fully disclosing the business assets.
C) ​conceal the business assets.
D) ​all of the choices.

Accepted Answer

The answer of Carrie starts Dance & Diet Nutrition, a...

Question 5

Liz starts Modern Roofing, which becomes successful through her efforts. Meanwhile, she marries Nick. To ensure that her business will not break up if her marriage falls apart, Liz should​
A) ​avoid involving Nick in the business.
B) ​employ Nick in the business in a minor capacity.
C) ​appoint Nick to be the business's chief executive officer.
D) ​hire Nick to work for the business on a per-project basis

Accepted Answer

To protect her business from any potential fallout from her marriage, Liz should avoid involving Nick in the business in any capacity, as there is no way to ensure that their personal relationship will not impact the success of the business. By keeping their personal and professional lives separate, Liz can ensure that her business remains stable and successful regardless of any changes in her personal life.

Question 6

Kim and Larry own Moe's, a successful restaurant. Kim, who is married, asks Larry, her unmarried partner, to convert Moe's to a limited liability company and agree that each has the right to buy the other's interest to keep control of the business. In terms of Kim's spouse and Larry's future spouse, this agreement is​
A) ​illegal and unethical.
B) ​illegal, but not unethical.
C) ​legal, but unethical.
D) ​legal and ethical.

Accepted Answer

The answer of Kim and Larry own Moe's, a successful...

Question 7

Kevin and Laura are married. Together, they buy a virtual asteroid near the virtual planet Magellan in the virtual NightSky universe. In the event of a divorce, to avoid property division issues with respect to the asteroid, this couple​
A) ​can use a pre-nuptial agreement or an addenda to it.
B) ​cannot split their interests in the asteroid or any virtual property.
C) ​must surrender their rights in the asteroid to the creators of NightSky.
D) ​must abandon their rights in the asteroid to other virtual property owners in the NightSky universe.

Accepted Answer

Kevin and Laura can use a pre-nuptial agreement or an addenda to it to specify the ownership and division of the virtual asteroid in case of divorce. This will help avoid any property division issues with respect to the virtual property.

Question 8

Bay City condemns private, residential property and conveys it to Commercial Construction Corporation to develop a shopping, dining, and entertainment complex on the city's waterfront. According to the United States Supreme Court,​
A) ​a state can prohibit taking for economic development.
B) ​eminent domain may be used to further development.
C) ​a state can permit taking for redevelopment of slum areas.
D) ​all of the choices.

Accepted Answer

The United States Supreme Court has ruled that eminent domain can be used for economic development purposes, states can prohibit takings for economic development through their own laws, and states can permit takings for the redevelopment of slum areas. This broad interpretation allows for a variety of uses of eminent domain, as long as they serve a public purpose, which can include economic development and urban redevelopment.

Question 9

Gwen starts Handy Crafts to advertise and sell ceramic pots, quilts, glass work, and so on. Later, Gwen marries Ivan, who creates and runs the firm's marketing. If Gwen and Ivan divorce, in most states the business will be considered​
A) ​Gwen's separate property.
B) ​Ivan's separate property.
C) ​marital property.
D) ​neither separate nor marital property.

Accepted Answer

In most states, a business created during the marriage is considered marital property, even if one spouse played a larger role in running the business. Therefore, if Gwen and Ivan were to divorce, the Handy Crafts business would likely be considered marital property and subject to division between the two parties.

Question 10

Money2Play Corporation does not make or sell products or services but buys a patent and asserts it against New Functions, Inc., a start-up applications company, demanding licensing fees and threatening an infringement suit. Because of these threats, New Functions is most likely to​
A) ​have difficulty in attracting investors.
B) ​target other firms with patent litigation to obtain investment capital.
C) ​cease and desist.
D) ​collect more capital to fund its operations than without the threats.

Accepted Answer

New Functions, Inc. is likely to have difficulty in attracting investors due to the looming threat of litigation and potential financial impacts of licensing fees.

Quiz 36: Digital Update:the Exploding World of Digital Property

Pay-to-Buy.com, Inc. obtains a patent on an online payment system. The patent is vaguely worded and overly broad. In evaluating the patent, a court is most likely to​

According to the United States Supreme Court,​

Bob owns a virtual asteroid near the virtual planet Cosmo in the virtual DeepSpace universe. Property consists of a bundle of rights in anything that has an ascertainable value and is subject to ownership. This definition encompasses​

Carrie starts Dance & Diet Nutrition, a weight-loss products enterprise, before marrying Edgar. To legitimat4ely protect Carrie's business assets from Edgar's claims if the spouses divorce, Carrie could use​

Liz starts Modern Roofing, which becomes successful through her efforts. Meanwhile, she marries Nick. To ensure that her business will not break up if her marriage falls apart, Liz should​

Kevin and Laura are married. Together, they buy a virtual asteroid near the virtual planet Magellan in the virtual NightSky universe. In the event of a divorce, to avoid property division issues with respect to the asteroid, this couple​

Bay City condemns private, residential property and conveys it to Commercial Construction Corporation to develop a shopping, dining, and entertainment complex on the city's waterfront. According to the United States Supreme Court,​

Gwen starts Handy Crafts to advertise and sell ceramic pots, quilts, glass work, and so on. Later, Gwen marries Ivan, who creates and runs the firm's marketing. If Gwen and Ivan divorce, in most states the business will be considered​

Money2Play Corporation does not make or sell products or services but buys a patent and asserts it against New Functions, Inc., a start-up applications company, demanding licensing fees and threatening an infringement suit. Because of these threats, New Functions is most likely to​

Pay-to-Buy.com, Inc. obtains a patent on an online payment system. The patent is vaguely worded and overly broad. In evaluating the patent, a court is most likely to

According to the United States Supreme Court,

Bob owns a virtual asteroid near the virtual planet Cosmo in the virtual DeepSpace universe. Property consists of a bundle of rights in anything that has an ascertainable value and is subject to ownership. This definition encompasses

Carrie starts Dance & Diet Nutrition, a weight-loss products enterprise, before marrying Edgar. To legitimat4ely protect Carrie's business assets from Edgar's claims if the spouses divorce, Carrie could use

Liz starts Modern Roofing, which becomes successful through her efforts. Meanwhile, she marries Nick. To ensure that her business will not break up if her marriage falls apart, Liz should

Kevin and Laura are married. Together, they buy a virtual asteroid near the virtual planet Magellan in the virtual NightSky universe. In the event of a divorce, to avoid property division issues with respect to the asteroid, this couple

Bay City condemns private, residential property and conveys it to Commercial Construction Corporation to develop a shopping, dining, and entertainment complex on the city's waterfront. According to the United States Supreme Court,

Gwen starts Handy Crafts to advertise and sell ceramic pots, quilts, glass work, and so on. Later, Gwen marries Ivan, who creates and runs the firm's marketing. If Gwen and Ivan divorce, in most states the business will be considered

Money2Play Corporation does not make or sell products or services but buys a patent and asserts it against New Functions, Inc., a start-up applications company, demanding licensing fees and threatening an infringement suit. Because of these threats, New Functions is most likely to