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Exam 2: Business Ethics and Social Responsibility

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Question 31

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An arbitrator is more likely to issue a compromise decision than a judge.

A) True
B) False

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Question 32

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Susan, a resident of Illinois, ran a traffic light while traveling in Michigan and did significant damage to Paul's car. Paul obtains a judgment against her, but Susan has no insurance and no assets except for a farm in Alabama. Which of the following is true?

A) A court in Michigan can exercise in rem jurisdiction over the farm and authorize its sale. Any excess over Paul's amount of damages would go Susan.
B) A court in Illinois can exercise quasi in rem jurisdiction over the farm and authorize its sale. Any excess over Paul's amount of damages would go to Paul for his trouble.
C) A court in Alabama can exercise in rem jurisdiction over the farm and authorize its sale. Any excess over Paul's amount of damages would go Susan.
D) A court in Alabama can exercise quasi in rem jurisdiction over the farm and authorize its sale. Any excess over Paul's amount of damages would go Susan.
E) A court in Alabama can exercise quasi in rem jurisdiction over the farm and authorize its sale. Any excess over Paul's amount of damages would go to Paul for his trouble.

F) B) and D)
G) A) and D)

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Question 33

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Courts are generally critical and unsupportive of ADR methods.

Which of the following did the U.S. Supreme Court rule in Hertz Corp. v. Friend as the appropriate test for determining a corporation's principle place of business for purposes of diversity jurisdiction?

According to the text, what are four advantages of ADR over traditional litigation?

Which of the following is the supreme court of appeal in England?

Reference - Supreme Court. Jim, who is a bit eccentric, says that he is fed up with the way a certain employer in his town treats employees and that he is going to sue that employer in an effort to improve matters. Jim also says that he is going to start his case at the appellate court level, skipping over all those "lesser" judges. Jim says that those justices will surely hear him out and that he will also seek a jury. Although he is not a lawyer, Jim believes that the offenses of the employer are so severe that the justices will appreciate his attempt to make things better for the employees involved. Will Jim get a jury at the appellate court level?

Which of the following is true regarding federal jurisdiction?

Which of the following is an extension of negotiation?

Over which of the following does the federal court system have exclusive jurisdiction?

If an appellate judge agrees with the majority's decision but for different reasons, the judge may write a "concurring" opinion.

Which of the following is needed for diversity-of-citizenship?

Reference - Sexual Harassment ADR. Jenny is very angry with her supervisor, Sleaze, at the Mexican fast-food restaurant at which she works which is owned by an international company located in Mexico. He has been making inappropriate sexual comments to her and other employees. Jenny decides to sue and retains a lawyer, Brice. Brice talks with the owners of the restaurant and is informed that Jenny signed an agreement to arbitrate any claims. Brice tells Jenny that it is completely up to her and that if she wishes, she can disregard the arbitration agreement and proceed to court. Jenny informed Brice about other employees who had complained about sexual harassment and entered into mediation agreements. Brice promises her that he will get copies of all documents and everything that was taken down by the court reporter at those mediations. He also tells Jenny in response to her question about the possibility of mediation in her case to forget it because mediation is pretty much the same thing as arbitration. What is the effect of the arbitration agreement on Jenny's ability to file an action in court?

Reference - Revenge. Jane, a first year law student, while walking to school in inclement weather, accidentally slipped on ice knocking down Greg, another first year law student, breaking his glasses. He was very angry with Jane and let the air out of one of her car tires. Greg also decided to sue Jane for negligence, claiming as damages $300 for his broken glasses. He decided that he already knew all about the law and did not need a lawyer. Greg sued Jane in state court. Jane, in the same lawsuit, brought an action against Greg for letting the air out of her tire. At trial in state court, Jane told the judge that a friend, Susie, told her that she saw Greg let the air out of Jane's tire. The judge disallowed Jane's testimony on that issue. Susie, however, who was in the courtroom also came and testified to that effect. The state court judge ruled in favor of Susie. Greg said that he was not giving up and that he would seek double damages on appeal in federal court. Jane and Greg live in different states when not attending school. After trial, Jane reported Greg's actions in letting the air out of her tire to the police who said that they would proceed with a criminal action against Greg. Jane's action against Greg for the tire is called a[n] _____________.

In which of the following do parties select a neutral third party and explain their respective positions to the neutral, who then evaluates the strengths and weaknesses of the case?

The arbitrator typically provides a decision within ___________ days of an arbitration hearing.

Which of the following is an advantage of mediation?

Cindy ran over Hank in her company parking lot breaking his leg. That happened because, without warning, Cindy's brakes failed. Hank was out of work as a bookkeeper for one week, but otherwise recovered without incident. Hank sued Cindy for one million dollars for his injuries. Cindy decides to do nothing in response to the lawsuit because she sees no way that she can win. Is she right? Why or why not? What would you suggest that she do in the civil litigation? Why is it important that Cindy proceed immediately at this point in the litigation?

A defendant who believes that he or she has a claim against the plaintiff would include a counterclaim with the answer.

Reference - Revenge. Jane, a first year law student, while walking to school in inclement weather, accidentally slipped on ice knocking down Greg, another first year law student, breaking his glasses. He was very angry with Jane and let the air out of one of her car tires. Greg also decided to sue Jane for negligence, claiming as damages $300 for his broken glasses. He decided that he already knew all about the law and did not need a lawyer. Greg sued Jane in state court. Jane, in the same lawsuit, brought an action against Greg for letting the air out of her tire. At trial in state court, Jane told the judge that a friend, Susie, told her that she saw Greg let the air out of Jane's tire. The judge disallowed Jane's testimony on that issue. Susie, however, who was in the courtroom also came and testified to that effect. The state court judge ruled in favor of Susie. Greg said that he was not giving up and that he would seek double damages on appeal in federal court. Jane and Greg live in different states when not attending school. After trial, Jane reported Greg's actions in letting the air out of her tire to the police who said that they would proceed with a criminal action against Greg. Was the judge correct in disallowing Jane's testimony regarding what Susie told her about the tire?