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[Pet Products] Sonya, Who Has a Successful Pet Products Business

Question 60

Multiple Choice

[Pet Products] Sonya, who has a successful pet products business, is planning to expand her operations from the U.S. into Canada and perhaps Mexico. A friend of hers, Troy, told her that she should carefully investigate the laws in those countries before she proceeded. Sonya responded, however, that she was not concerned because by international treaty, and under NAFTA, so long as she is a U.S. citizen, she only has to obey the U.S. laws. Laws of other countries would not apply to her business operations. Sonya also replied that any other country would have the same contract laws as exists in the U.S. She tells him that the Uniform Commercial Code (UCC) applies to all contracts and that as long as she has a written contract, she is covered. Sonya receives a contract from a Mexican company, signs it, drops it in the mail, and tells Troy the contract is complete.
-Which of the following statements is correct regarding Sonya's statement that so long as she obeys the laws of the U.S., she does not need to be concerned about laws of other countries?


A) She is accurate.
B) She is accurate, but only in regard to laws pertaining to employment.
C) She is inaccurate.
D) She is accurate, but only in regard to laws involved with the Uniform Commercial Code.
E) She is accurate, but only if countries are signatories to NAFTA.

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