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Legal, Ethical, and Social Aspects of Business:     Test 6
General Test Questions & Answers

Chapter    01    02    03    04    05   06    07    08    09    10    11    12    13   14   15   16   17   18     |      Final Exam 01  02


Which of the following statements is true of the tort of negligence?
 
A) A party's carelessness rather than his intent causes another to suffer an injury.
B) Negligence applies only to unreasonably dangerous products that reach substantial change after leaving the manufacturer.
C) Negligence is a no-fault concept where an individual is responsible for harm without proof of carelessness.
D) The plaintiff needs to show that the harm itself was the actual cause but not the proximate cause of her injury.
 

 
Intentionally touching another in a harmful or offensive way without legal justification or the consent of that person is a(n) ________.
 
A) intentional infliction of emotional distress
B) assault
C) battery
D) negligent infliction of emotional distress
 

 
Intentionally causing another to reasonably believe that he or she is about to be the victim of a battery is a(n) ________.
 
A) intentional infliction of emotional distress
B) nuisance
C) assault
D) negligent infliction of emotional distress
 

 
Which of the following is not necessary to establish the tort of slander?
 
A) A statement about the victim which is false.
B) The victim's emotional well-being is harmed.
C) A statement that damages the plaintiff's reputation and causes actual harm.
D) A false statement is communicated to people other than the one being defamed.
 

 
Which of the following statements is not true of intentional infliction of emotional distress?
 
A) Testimony from a mental health professional is the only requirement needed to recover damages.
B) Employment firings, drug tests, and sexual harassment have been the basis of intentional infliction of emotional distress claims.
C) Compelling evidence of outrageous conduct is normally required.
D) Generally severe emotional distress and pain must be proved.
 

 
When an individual's name or image is wrongfully used without permission for commercial purposes, it is called a(n) ________.
 
A) misappropriation of one's name or likeness
B) intrusion into one's solitude
C) false light one one's reputation
D) public disclosure of private images
 

 
An intentional invasion of a person's solitude is labeled a(n) ________ if it would be highly offensive to a reasonable person.
 
A) false light
B) intrusion
C) assault
D) fraud
 

 
Which of the following statements is true of a false light claim?
 
A) It is wrongfully using a celebrity's name or likeness in a product.
B) Published claims about another that may show someone in a false light must be highly offensive to the reasonable person.
C) Disclosure of private facts about someone must be highly offensive to the reasonable person.
D) It involves a substantially unreasonable injury to one's reputation rather than emotional well-being.
 

 
Michael, the owner of a dry-cleaning store, refuses to return an expensive tuxedo to his customer Daniel. He keeps the tux for a day as he mistakenly believes that Daniel has not paid for the services rendered in the past three months. These facts are an example of a(n) ________.
 
A) trespass to personal property
B) injurious falsehood about another's personal property
C) conversion of personal property
D) misappropriation of personal property
 

 
Which of the following is an intentional tort directed against a person's property?
 
A) Misappropriation of personal goods
B) Battery that causes fear of imminent an offensive touching
C) Libel that harms one's reputation
D) Injurious falsehood or trade libel
 

 
Which of the following describes the tort of nuisance?
 
A) Nuisance occurs when an individual's name or image is inadvertently used without permission for commercial purposes.
B) Nuisance is a form of defamation that is directed against a competitor's product.
C) Nuisance arises when someone is unable to enjoy her land is impaired because of some tortious interference.
D) Nuisance involves third party's intentional interference with a person's right to fully enjoy his or her personal property.
 

 
The residents of a suburban region are unable to enjoy fresh air due to
the foul smell coming from an unauthorized tannery located nearby. In
this case, the owners of the tannery can be sued for ________.
 
A) intrusion
B) conversion
C) trade libel
D) nuisance
 

 
Rachel's neighbor, Ned, is away on a week-long tour. Rachel sees smoke rising from Ned's house one day and, fearing a possible outbreak of fire, breaks in through the front door only to find that the smoke was from outside and not from within the house as he had thought. In this case, Rachel can avail the defense of ________.
 
A) consent
B) necessity
C) defense of others
D) self-defense
 

 
All but which of the following are requirements for a plaintiff to establish a successful negligence claim?
 
A) The plaintiff must establish that the defendant owed the plaintiff a duty of due care.
B) The plaintiff must show that the defendant breached its duty in a strictly liable manner.
C) The plaintiff must show that the defendant's actions were sufficiently connected to the plaintiff's injuries.
D) The plaintiff must establish that she was injured as a result of the defendant's unreasonable conduct.
 

 
The following doctrine permits the court in some cases to infer the defendant's negligence even though that negligence cannot be proved.
 
A) The doctrine of res ipsa loquitur
B) The doctrine of res judicata
C) The doctrine of strict liability
D) The doctrine of products liability
 

 
Which of the following tests imposes a duty on a manufacturer to design its products so that they are safe not only for their intended use but also for any reasonably foreseeable use?
A) Chain of production test
B) Risk-utility test
C) Consumer expectations test
D) Balancing-utility test
 

 
Brian has an accident when he misses a stop sign and crashes into another car whose driver is drunk. Despite having sustained $10,000 worth injuries, Brian is able to recover only $7,000 as his own negligence is found to have contributed 30 percent to the injury. The type of negligence defense most likely availed in this case is
 
A) contributory negligence.
B) assumption of the risk.
C) comparative negligence.
D) mistake.
 

 
The historic rule that any contribution by the plaintiff to his or her own harm constitutes a complete bar to recovery is called ________.
 
A) comparative negligence
B) strict liability
C) assumption of the risk
D) contributory negligence
 

 
In many states, a plaintiff who willingly enters a dangerous situation and is injured will be barred from recovery. The central defense for negligence in this case is:
 
A) contributory negligence.
B) strict liability.
C) comparative negligence.
D) assumption of risk.
 

 
Angela, a water sports enthusiast, goes surfing despite warnings of rough weather conditions from lifeguards. Consequently, she is injured because of rough tides. Angela is barred from recovering damages as the lifeguards could not fully perform their duty of preventing harm because of her ________.
 
A) assumption of risk
B) mistake
C) implied consent
D) express consent
 

 
If a seller of goods provides a sample or model of the goods which is made a part of the basis of the bargain, a(n) ________ exists.
 
A) implied warranty
B) express warranty
C) warranty for a particular purpose
D) warranty of merchantability
 

 
Taylor purchases a vacuum cleaner that the seller promoted as top of the line and best in its class. However, at the first use he realizes that the vacuum cleaner fails to function as he expected given that it was promoted as top of the line and best in its class. In the context of warranty, which of the following statements is true?
 
A) An implied warranty of fitness for a particular purpose was breached.
B) An implied warranty of merchantability was breached.
C) An express warranty was breached.
D) No breach of warranty occurred as it is a case of puffing.
 

 
Carmen informs the sales clerk of an electronics store that she needs a computer that can maintain a 12-hour battery charge. The sales clerk sells a computer to Carmen and withholds the fact that it cannot maintain a 12-hour battery charge. Carmen find out that the computer can maintain only a 6-hour battery charge. Which of the following results is accurate in this scenario?
 
A) Carmen can sue the store for breach of implied warranty of merchantability.
B) Carmen can sue the store for breach of implied warranty of fitness for a particular purpose.
C) Carmen cannot sue the store as no breach of warranty occurred because the clerk made no affirmative statement or promise about the computer.
D) Carmen cannot sue the store as no breach of warranty occurred because the clerk has no responsibility for the way the Carmen used the computer.
 

 
Which of the following statements is true of the Magnuson-Moss Warranty Act?
 
A) Any limited warranties apply onto to household goods that cost more than $50.
B) The act requires written warranties to be labeled full or limited.
C) The act states that a limited warranty must include free repair for any defect.
D) The act specifies an express warranty is required for all products purchased for commercial use.
 

 
Which of the following statements is true of the strict liability law?
 
A) Strict liability law focuses on the use of the product more than the condition of the product.
B) Strict liability recognizes that manufacturers cannot anticipate foreseeable misuses of the product.
C) Strict liability law is a branch of negligence law and has been subsumed by the negligence rules.
D) Strict liability offers the prospect of holding all of those in the chain of distribution liable for damages from the defective product.
 

 
Which of the following is not true of coverage under the law of strict liability?
 
A) Some states limit strict liability recovery to new goods.
B) Strict liability coverage generally extends to property damage and personal injury.
C) Proof of the manufacturer's actual fault is not required in order to recover.
D) The courts have interpreted strict liability to cover exclusively design and warning defect cases.
 

 
George decides to use a lawn mower to trim his hedges. He lifts the mower and in this process is seriously injured.
Which of the following outcomes is the most likely under strict liability?
 
A) George will win because he was hurt while using the mower, and an injury is all that must be established under strict liability.
B) George will win even though he was aware of the risk that his action created because he mistakenly believed he could trim his hedges safely using the mower.
C) The company will lose if George proves that the product had defects which caused his injury.
D) The company will win if it can prove that using a mower to trim hedges is an improper and unforeseeable use.
 

 
A description of goods which is made part of the basis of a bargain creates an implied warranty that the goods shall conform to the description.
 
True
False
 

 
A full warranty requires free repair of any defect.
 
True
False
 

 
Strict liability does not require proof of the defendant's negligence.
 
True
False
 

 
Torts are civil wrongs that arise from the defendant's breach of duty that causes an injury to a particular person.
 
True
False
 

 
Intentional torts involve voluntary acts that harm the public at large.
 
True
False
 

 
Raising one's hand as if to strike another even though the blow never transpires constitutes the tort of assault if the victim reasonably thought herself to be in immediate danger.
 
True
False
 

 
Libel is the spoken form of the tort of defamation.
 
True
False
 

 
Falsely claiming that a competitor's product is defective or harmful might constitute injurious falsehood.
 
True
False
 

 
Slander generally requires a showing of actual harm.
 
True
False
 

 
Conversion is the situation in which a serious and extensive interference with someone's personal property is impaired because of some tortious interference.
 
True
False
 

 
Victims of negligence in a product liability case can bring actions against only manufacturers of the defective product.
 
True
False
 

 
To establish a successful negligence claim, a plaintiff must establish that the defendant intentionally breached a duty of due care to the plaintiff.
 
True
False
 

 
Res ipsa loquitur requires a showing that the accident happened due to the defendant's negligence.
 
True
False
 

 
The risk-utility test holds that a product is negligently designed if the benefits of a product's design are outweighed by the risks that accompany that design.
 
True
False
 

 
According to the comparative negligence defense, a plaintiff's recovery is reduced by a percentage equal to the percentage of the plaintiff's fault in the case.
 
True
False
 

 
In many states, a plaintiff who willingly enters a dangerous situation and is injured will be barred from recovery even if the dangerous condition is not his fault.
 
True
False
 

 
A warranty is simply a non-contract-based guarantee.
 
True
False
 

 
Puffing is an opinion expressed by the seller and generally does not create an express warranty.
 
True
False
 

 
Which of the following is a strict liability defense?
 
Assumption of risk
 

 
Which of the following is not a defense to an intentional tort?
 
Negligence
 

 
A civil wrong, not arising from a contract, for which a court can remedy
Tort
 

 
A public wrong, an act punishable by the state
 
Crime
 

 
Civil wrongs not arising from contracts
 
torts
 

 
How can torts be treated
 
As a civil wrong (tort), as a crime, or as both
 

 
What can an injured party in tort litigation seek
 
Compensatory damages (medical expense, lost income, pain and suffering)
 

 
Damages that will compensate a party for actual losses due to an injury suffered
 
Compensatory damages
 

 
Damages designed to punish flagrant wrongdoers and to deter them and others from engaging in the same act in the future
 
Punitive damages
 

 
What are the three kinds of torts
 
intentional torts, negligence, strict liability
 

 
Voluntary civil wrong causing harm to a protected interest
 
Intentional tort
 

 
Intent is established by showing the defendant meant to do the act that cause the harm, defendant is liable for all reasonably forseeable
 
injuries from that intentional act
 

 
Intentional tort based on a false statement made with malice that disparages the property of another
 
Injurious falsehood
 

 
Failure to do something that a reasonable person would do under the circumstances, or an act that a reasonable and prudent person would not take under the cirumstance
 
Negligence
 

 
What does negligence litigation analysis involve
 
Breach of the duty of due care
 

 
Civil wrong springing from defective and unreasonably dangerous products where responsibility automatically attaches without proof or blame of faulty
 
Strict liability
 

 
Difference between strict liability and negligence
 
Negligence must be established to situations where there is a breach of duty of due care, in strict liability proof of negligence is not required because the risk inherent in the situation is so great
 

 
How to establish strict liability
 
Defective or unreasonably dangerous product results in someone being hurt, strict liability may attach even if fault is not established
 

 
Wrongfully exercising control over the personal property of another
 
Conversion
 

 
Unreasonable, unwarrantable, or unlawful use by a person of his or her property that produces material annoyance, inconvenience, discomfort, or hurt
 
Nuisance
 

 
Three major product liability causes
 
Negligence, breach of warranty, and strict liability
 

 
Duty: Plaintiff must establish that the defendant owed a duty of care to the plaintiff. Applied to what a reasonable person would do
 
Negligence test
 

 
Breach of duty: Plaintiff must demonstrate that the defendant breached the duty of due care by engaging in conduct that did not conform to
 
reasonable person standard
 

 
Classes of defective product negligence claims
 
Manufacturing defects, design defects, and inadequate warnings
 

 
The thing speaks for itself.
 
Res Ispa
 

 
What does showing Res Ispa require
 
The injury was cause by something under control of the defendant
 

 
Two principle aspects of design defect case
 
Risk-utility test and consumer expectation test
 

 
If risks of a product outweigh the benefits then it is negligently designed
 
Risk-utility test
 

 
Manufacturer has duty to design a product so its safe for intended and foreseeable use
 
Consumer expectation test
 

 
Comparative or contributory negligence
 
Negligence defense claims
 

 
Involves weighing the negligence of the party
 
comparative negligence
 

 
If the plaintiff contributed at all, they are barred from recovery
 
Contributory negligence
 

 
If a plaintiff willingly enters a dangerous situation and is injured, in many states, they will be barred from recovery
 
Assumption of risk
 

 
Difference between contributory and assumption of risk
 
Assumption of risk is based on consent while contributory negligence is based on carelessness
 

 
If a product does not conform to the standards of the warranty, the contract is breached and the wronged party is entitled to recovery
 
Negligent warranty claims
 

 
If a seller of goods states a fact or makes a promise regarding the character quality of the good
 
Express warranty
 

 
Sales talk or puffing does not create an express warranty
 
Puffing
 

 
Automatically attaches to sale of goods unless warranty is disclaimed by seller
 
Implied warranty
 

 
Express warranties can be disclaimed with greaty difficulty
 
Disclaimer
 

 
Businesses struggle with rising costs, reduced innovation, and new jobs are less plentiful
 
Arguments for tort reform
 

Change the legal system in ways that reduce the heavy costs of personal injury claims
 
Tort reform
 

 
Limiting class actions, reducing or eliminating punitive damages, curbing attorneys fees, penalizing frivolous law suits, imposing loser pays rules
 
Proposed tort reforms
 

 
When a company manufactures a product, it is sound business practice to consider which of the following?
 
The cost of litigation should a products liability claim be filed
 

 
In a strict liability lawsuit, if someone is injured after either using a product he or she knows to be defective or misusing a product in an unforeseeable manner, the likely result is
 
that the company will raise the assumption of the risk or misuse defense.


Chapter    01    02    03    04    05   06    07    08    09    10    11    12    13   14   15   16   17   18     |      Final Exam 01  02


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