Question 1

Tech Performance, Inc., completes programming and other tech services for Uno IT Products Corporation. When Uno's computer system crashes, it loses $500,000 worth of business and pays $100,000 to have the system reprogrammed. Uno IT announces to the media that the crash was due to Tech Performance's incompetence and files a complaint in a federal court against the firm. What are Tech Performance's options in response?​

Accepted Answer

The answer of Tech Performance, Inc., completes programming and other...

Question 2

If Cornel and Deanna resolve their dispute by having a neutral third party render a binding decision, they will have used the method of​
A) ​arbitration.
B) ​conciliation.
C) ​intervention.
D) ​mediation.

Accepted Answer

Arbitration is a method of resolving disputes where a neutral third party listens to both sides and makes a final, binding decision. This is different from mediation, where a neutral third party helps facilitate a discussion between the parties with the goal of reaching a mutually acceptable agreement but does not make a decision. Conciliation and intervention are similar to mediation in that a third party helps facilitate discussions, but they are not typically used as binding resolution methods. Therefore, the best choice for this scenario is arbitration.

Question 3

Liz and Moss disagree over the amount due under their contract. To avoid involving any third party in the resolution of their dispute, Liz and Moss might prefer to use the alternative dispute resolution method of​
A) ​arbitration.
B) ​litigation.
C) ​mediation.
D) ​negotiation.

Accepted Answer

Negotiation is the alternative dispute resolution method that allows parties to resolve their disputes without involving any third party, relying instead on direct discussions to reach a mutually acceptable agreement.

Question 4

Quest Inc., a U.S. firm, and Real Treks, Ltd., a Canadian firm, enter into a contract that does not have a forum-selection or choice-of-law clause. Litigation between Quest and Real Treks involving this contract may occur in​
A) ​an online forum only.
B) ​Canada or the United States, but not both.
C) ​Canada, the United States, or both.
D) ​an international, United Nations tribunal only.

Accepted Answer

Since the contract does not have a forum-selection or choice-of-law clause, litigation between Quest and Real Treks can occur in Canada, the United States, or both. The choice depends on the specific circumstances of the case and the applicable laws in each country. It is also possible that the parties may choose to use alternative dispute resolution methods such as arbitration or mediation instead of going to court in either country. Option A is not a viable alternative as it is uncommon for litigation to take place solely in an online forum. Option B is not accurate as both countries have jurisdiction over the dispute. Option D is also not relevant as there is no indication that an international tribunal would be involved in the case.

Question 5

Cullen files a suit against Demi. Cullen and Demi meet, and each party's attorney argues the party's case before a judge and jury. The jury presents an advisory verdict, after which the judge meets with the parties to encourage them to settle their dispute. This is​
A) ​court-ordered arbitration.
B) ​early neutral case evaluation.
C) ​a mini-trial.
D) ​a summary jury trial.

Accepted Answer

This scenario describes a summary jury trial, which involves an abbreviated trial before a jury whose verdict is non-binding but intended to encourage settlement negotiations.

Question 6

Farmers Pantry Products Inc. and Market Grocers LLC dispute a term in their contract. If Farmers Pantry and Market Grocers have a long-standing business relationship that they would like to continue, they may prefer to settle their dispute through mediation because​
A) ​the case will be heard by a jury.
B) ​the dispute will eventually go to trial.
C) ​the process is not adversarial.
D) ​the resolution of the dispute will be decided an expert.

Accepted Answer

Mediation is a non-adversarial process where a neutral third-party mediator helps the parties to reach a mutually acceptable solution. As the disputed term may be contentious, the parties can avoid damaging their long-standing relationship by using mediation to work towards a resolution. Mediation provides a less formal and often more efficient resolution method than going to trial or using an expert.

Question 7

Millie and Noble dispute the quality of a suite of furniture sold over the Internet. They agree to resolve their dispute in OpenTerms.com, an online forum. Like most online forums, OpenTerms.com applies​
A) ​general, universal legal principles.
B) ​the provisions of the Federal Magistrates Act.
C) ​international principles provided by the United Nations.
D) ​the law of the Internet.

Accepted Answer

Most online forums apply general, universal legal principles rather than specific laws, regulations or international principles. In the absence of an agreement by the parties to the contrary, the forum will likely apply the principles of contract law or common law to resolve disputes.

Answer: D 
 There is no "law of the Internet" per se, although some jurisdictions have enacted specific legislation to regulate online activities. However, many online forums rely on their own terms of service and community guidelines to govern user behavior and resolve disputes.

Question 8

SPF Sunscreen Corporation and Taylor agree to resolve their dispute through arbitration. The arbitrator's decision is called​
A) ​a conclusion of law.
B) ​a finding of fact.
C) ​an award.
D) ​a verdict.

Accepted Answer

The term "award" is typically used to refer to a decision made by an arbitrator, whereas the other options are more commonly associated with court proceedings.

Question 9

Norwest Trucking Corporation files a suit in a state court against Bob's Service Company (BSC), and wins. BSC appeals the court's decision, asserting that the evidence presented at trial to support Norwest's claim was so scanty that no reasonable jury could have found for the plaintiff. Therefore, argues BSC, the appellate court should reverse the trial court's decision. Is the appellate court likely to reverse the trial court's findings with respect to the facts? If not, why not? What are an appellate court's options after reviewing a case?​

Accepted Answer

The answer of Norwest Trucking Corporation files a suit in...

Question 10

To resolve a dispute in nonbinding arbitration, Alyson in Baltimore and Chuck in Denver utilize E-Resolve, an online dispute resolution (ODR) service. This limits these parties' recourse to the courts​
A) ​not at all.
B) ​until the ODR service has issued a decision.
C) ​with respect to any dispute arising between them.
D) ​with respect to this dispute only.

Accepted Answer

Nonbinding arbitration means the parties are not legally bound by the decision and can still seek resolution in court if they choose.

Question 11

Sour Dough Inc. and The Bread Company, agree to a contract that includes an arbitration clause. If a dispute arises, a court having jurisdiction may​
A) ​monitor any arbitration until it concludes.
B) ​order an arbitrator to rule in a particular way.
C) ​order a party to bring the dispute to court.
D) ​order a party to submit to arbitration.

Accepted Answer

The court may order a party to submit to arbitration, but cannot order an arbitrator to rule in a particular way or require a party to bring the dispute to court. The court also cannot monitor the arbitration process.

Question 12

Service Employees International Union and Timberline Products, Inc., have their dispute resolved in arbitration. The arbitrator arbitrates issues that the parties did not agree to submit to arbitration. This is a ground for a court to​
A) ​none of the choices.
B) ​review the merits of the dispute.
C) ​review the sufficiency of the evidence.
D) ​set aside the award.

Accepted Answer

The ground for a court to set aside the award in arbitration is when the arbitrator arbitrates issues that the parties did not agree to submit to arbitration. This is because the parties have the right to decide which issues they want to submit to arbitration and if the arbitrator goes beyond that agreement, the court can set aside the award. Therefore, option D is the correct answer.

Quiz 3: Courts and Alternative Dispute Resolution

If Cornel and Deanna resolve their dispute by having a neutral third party render a binding decision, they will have used the method of​

Liz and Moss disagree over the amount due under their contract. To avoid involving any third party in the resolution of their dispute, Liz and Moss might prefer to use the alternative dispute resolution method of​

Quest Inc., a U.S. firm, and Real Treks, Ltd., a Canadian firm, enter into a contract that does not have a forum-selection or choice-of-law clause. Litigation between Quest and Real Treks involving this contract may occur in​

Cullen files a suit against Demi. Cullen and Demi meet, and each party's attorney argues the party's case before a judge and jury. The jury presents an advisory verdict, after which the judge meets with the parties to encourage them to settle their dispute. This is​

Farmers Pantry Products Inc. and Market Grocers LLC dispute a term in their contract. If Farmers Pantry and Market Grocers have a long-standing business relationship that they would like to continue, they may prefer to settle their dispute through mediation because​

Millie and Noble dispute the quality of a suite of furniture sold over the Internet. They agree to resolve their dispute in OpenTerms.com, an online forum. Like most online forums, OpenTerms.com applies​

SPF Sunscreen Corporation and Taylor agree to resolve their dispute through arbitration. The arbitrator's decision is called​

To resolve a dispute in nonbinding arbitration, Alyson in Baltimore and Chuck in Denver utilize E-Resolve, an online dispute resolution (ODR) service. This limits these parties' recourse to the courts​

Sour Dough Inc. and The Bread Company, agree to a contract that includes an arbitration clause. If a dispute arises, a court having jurisdiction may​

Service Employees International Union and Timberline Products, Inc., have their dispute resolved in arbitration. The arbitrator arbitrates issues that the parties did not agree to submit to arbitration. This is a ground for a court to​

If Cornel and Deanna resolve their dispute by having a neutral third party render a binding decision, they will have used the method of

Liz and Moss disagree over the amount due under their contract. To avoid involving any third party in the resolution of their dispute, Liz and Moss might prefer to use the alternative dispute resolution method of

Quest Inc., a U.S. firm, and Real Treks, Ltd., a Canadian firm, enter into a contract that does not have a forum-selection or choice-of-law clause. Litigation between Quest and Real Treks involving this contract may occur in

Cullen files a suit against Demi. Cullen and Demi meet, and each party's attorney argues the party's case before a judge and jury. The jury presents an advisory verdict, after which the judge meets with the parties to encourage them to settle their dispute. This is

Farmers Pantry Products Inc. and Market Grocers LLC dispute a term in their contract. If Farmers Pantry and Market Grocers have a long-standing business relationship that they would like to continue, they may prefer to settle their dispute through mediation because

Millie and Noble dispute the quality of a suite of furniture sold over the Internet. They agree to resolve their dispute in OpenTerms.com, an online forum. Like most online forums, OpenTerms.com applies

SPF Sunscreen Corporation and Taylor agree to resolve their dispute through arbitration. The arbitrator's decision is called

To resolve a dispute in nonbinding arbitration, Alyson in Baltimore and Chuck in Denver utilize E-Resolve, an online dispute resolution (ODR) service. This limits these parties' recourse to the courts

Sour Dough Inc. and The Bread Company, agree to a contract that includes an arbitration clause. If a dispute arises, a court having jurisdiction may

Service Employees International Union and Timberline Products, Inc., have their dispute resolved in arbitration. The arbitrator arbitrates issues that the parties did not agree to submit to arbitration. This is a ground for a court to