Business Law
Pre-Test Questions
Course Introduction
Business Law introduces students to the fundamental principles and concepts that govern the legal environment in which businesses operate. This course explores areas such as contract law, agency, sales, negotiable instruments, business organizations, property law, and the regulatory framework affecting businesses. Students will learn how legal considerations impact business decision-making, risk management, and ethical conduct, as well as gain an understanding of dispute resolution processes. Real-world case studies and examples are used to illustrate how legal theory is applied in practice, preparing students to recognize and address legal issues in the business world.
Recommended Textbook
Employment Law for Business 6th Edition by
Dawn Bennett-Alexander
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15 Chapters
786 Verified Questions
786 Flashcards
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Page 2
Chapter 1: The Regulation of the Employment Relationship
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Sample Questions
Q1) Regulations governing the employer-employee relationship are based on agency law and failure of an employee/agent to act according to the employer's instructions could result in liability for the employer.
A)True
B)False
Answer: True
Q2) Carla Thomas,a nonsmoker,often encouraged her co-workers to quit smoking.Her new manager,Paul,a smoker,was annoyed by what he considered her constant nagging.He moved her desk from a separate room with a window to a cubicle surrounded by smokers,who smoked all day.Paul refused Carla's request to create a no smoking area in the office and he refused her request to be moved back to the separate room.After 4 weeks of breathing second hand smoke,Carla quit.
A)Carla has no recourse against her employer because she is an employee-at-will.
B)Carla can file a lawsuit based on discrimination because non-smokers are a protected class.
C)Carla may have a cause of action for constructive discharge.
D)None of the choices are correct.
Answer: C
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Page 3
Chapter 2: The Employment Law Toolkit: Resources for Understanding
the Lawand Recurring Legal Concepts
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Sample Questions
Q1) Federal employee claims of discrimination are filed through the EEOC. A)True
B)False
Answer: False
Q2) Claims for discrimination filed with a 706 agency must be filed within ____ days of the incident giving rise to the claim.
A)45
B)180
C)300
D)None of the choices are correct.
Answer: C
Q3) Every successful claimant in a Title VII case is eligible to receive
A)back pay,front pay and liquidated damages.
B)back pay,front pay,attorney fees and punitive damages
C)back pay,front pay,attorney fees,punitive damages,and compensatory damages
D)back pay,front pay,and compensatory damages
Answer: D
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Page 4
Chapter 3: Title VII of the Civil Rights Act of 1964
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Sample Questions
Q1) Marilyn was employed at the Quick Stop.She was fired for allegedly stealing from the cash draw.Marilyn denied taking the money.She applied for another position at the local Food Mart.When asked why she left her last job,she explained that her manager fired her for stealing;however,she continued to deny stealing the money.Marilyn did not get the job at the Quick Mart.She contacted a lawyer to discuss her options.
A)Marilyn does not have a cause of action against Quick Stop for defamation because her reputation has not been harmed.
B)Marilyn does not have a cause of action against Quick Stop for defamation because she told the manager at Food Mart about the allegations.
C)Marilyn has a cause of action for defamation against Quick Stop because she was forced to repeat the defamatory remarks to her prospective new employer.
D)Marilyn has a cause of action for defamation because the manager at Quick Stop would have provided the information if he had been asked for a reference.
Answer: C
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Chapter 4: Legal Construction of the Employment
Environment Part Two
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Sample Questions
Q1) Under Executive Order 11246 federal contractors must agree not to discriminate in hiring on the basis of race,color,religion,gender or national origin.
A)True
B)False
Q2) As a carpenter,Millie Mandel,a woman,is a member of a group defined by a protected trait (sex)that has been traditionally underrepresented in her union's apprenticeship program.However,Millie has not been a victim of sex discrimination by the union.Therefore,Millie is excluded from enjoying the benefits of any affirmative action plan designed to redress the historical under representation of women in the union's carpenter apprenticeship program.
A)True
B)False
Q3) Affirmative action applies to all employers engaged in interstate commerce.
A)True
B)False
Q4) Affirmative action quotas are permissible only as a last resort in remedying long standing violations.
A)True
B)False
Page 6
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Chapter 5: Affirmative Action
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Sample Questions
Q1) Sharon worked at the Quick Mart with James.The two of them decided to steal some beer to celebrate their school graduation.Sharon watched the front of the store while James loaded the beer into his truck out back.Neither Sharon nor James was aware of the security cameras in the parking behind the building.The owner was notified of the theft by the security guard.The owner terminated Sharon,a white female and gave James,a black male,a written warning.
A)Sharon has no cause of action because she is an employee-at-will
B)Sharon has no cause of action because she is white
C)Sharon has a cause of action under Title VII for race discrimination
D)All of the choices are correct.
Q2) Data from the EEOC shows that the number of complaints alleging discrimination based on race has declined in each decade since the Title VII became law in 1964.
A)True
B)False
Q3) Racial harassment can occur over the internet via email.
A)True
B)False
Q4) Describe an employer's best approach to avoiding liability for racial harassment in the workplace.
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Chapter 6: Race and Color Discrimination
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Q1) The Guidelines on Discrimination Because of Religion or National Origin impose an obligation on federal agencies and government contractors to take affirmative steps to prevent discrimination against Asians,Native Americans,Blacks and Spanish-surnamed Americans.
A)True
B)False
Q2) Under ICRA,if an employee gains employment with false documentation but then later obtains proper work authorization
A)the employer must notify the Department of Homeland Security so that the employee can be prosecuted for perjury.
B)the employer should correct the relevant information on the Employment Eligibility Verification Form (Form I-9).
C)the employer must fire the employee for misconduct based on falsification of the employment application.
D)the employer must notify the Department of Homeland Security so that the employee can be deported.
Q3) Distinguish between national origin and citizenship.
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Chapter 7: National Origin Discrimination
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Sample Questions
Q1) Harry and Sally work for Chemco Chemical Supply Company.Harry and Sally attended a concert out of town and failed to show up to work the following day.When they returned to work,Harry was given a verbal warning and Sally was terminated.
A)Sally has a claim for gender discrimination.
B)Sally does not have a claim for gender discrimination if the company policy provides for termination for unexcused absences from work.
C)Sally does not have a claim for gender discrimination if Harry has more seniority.
D)Sally does not have a claim for gender discrimination if she has more seniority.
Q2) Marlene applied for a job as a travel agent.At the time,she was five months pregnant.Agnes,the manager told her that the company was very interested in hiring her because her references were excellent,but she should reapply after she had the baby and had found reliable day care.Marlene has no recourse under Title VII for gender discrimination.
A)True
B)False
Q3) What is "gender stereotyping" and how does it result in gender discrimination?
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Page 9
Chapter 8: Gender Discrimination
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Sample Questions
Q1) The requirement that complained of behavior be severe and pervasive in order for it to amount to actionable sexual harassment,means
A)it must be more than occasional or it must be very serious in degree.
B)it must cause severe psychological harm to the victim.
C)that it be part of a protracted and determined campaign of harassment.
D)that it involve physical,as well as emotional,abuse.
Q2) Maxwell's interest in an intimate relationship with his supervisor,Gloria,was genuine in the beginning,but later cooled,at which point Gloria immediately ceased any pursuit of the relationship.Should Maxwell later have a professional falling out with Gloria,could he successfully assert the behavior that occurred during his relationship with Gloria as evidence of sexual harassment?
A)No,because,at the time it occurred,it was welcome behavior.
B)No,because claims of sexual harassment must be asserted before the pattern of complained of activity ceases.
C)Yes,because any sexual behavior between members of the same workforce is legally sufficient to prove sexual harassment.
D)Yes,because any sexual behavior between a supervisor and a subordinate is legally sufficient to prove sexual harassment.
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Chapter 9: Sexual Harassment
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Sample Questions
Q1) Gays and lesbians can base employment discrimination claims on the following grounds: (I)Title VII of the Civil Rights Act of 1964
(II)Tort law actions such as intentional infliction of emotional distress,defamation or invasion of privacy
(III)State and local antidiscrimination laws banning discrimination against gays and lesbians.
(IV)The 1st,5th and 14th amendments of the U.S.Constitution.
A)I,II & III
B)II,III,& IV
C)I,III & IV
D)All of the choices are correct.
Q2) Title VII prohibits employment discrimination on the basis of affinity orientation.
A)True
B)False
Q3) Discuss the current trend of voluntary employer recognition of gay rights as it relates to employee benefits and whether you believe this trend will impact the law.
Q4) What protections,if any,does Title VII afford gay and lesbian individuals?
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11
Chapter 10: Sexual Orientation and Gender Identity
Discrimination
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Sample Questions
Q1) Atheism cannot be considered the equivalent of a "religion" for purposes of Title VII. A)True
B)False
Q2) List and discuss 4 factors considered by the EEOC in determining whether the employer would suffer an "undue hardship." Your discussion should include examples.
Q3) If there is more than one reasonable accommodation available to accommodate an employee's religious practices,an employer must select the accommodation that is the most reasonable.
A)True
B)False
Q4) Title VII requires employers to accommodate an employee's religious practices and beliefs
A)provided that the employee can produce a member of the clergy who will vouch for the religious practices and beliefs
B)to the extent that it does not cause undue hardship
C)to the extent that the religion is recognized by society.
D)All of the choices are correct.
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Chapter 11: Religious Discrimination
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Sample Questions
Q1) Protection against "reverse discrimination" under the Age Discrimination in Employment Act means that
A)an employee who is less than 40 years of age can bring a case for discrimination if a person who is 40 or over is treated more favorably.
B)an employee who is over 40 years of age can bring a case for discrimination if a person who is older than the employee is treated more favorably.
C)an employee who is at least 21 but less than 40 years of age can bring a case for discrimination if a person who is 40 or over is treated more favorably.
D)None of the choices is correct.
Q2) List the elements for a prima facie cause of action for disparate treatment age discrimination.
Q3) An employer can escape liability for disparate treatment age discrimination if it can be shown that the employment decision was based on some other factor than the employee's age.
A)True
B)False
Q4) List the recognized defenses to a claim of age discrimination.
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Chapter 12: Age Discrimination
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Sample Questions
Q1) The Americans with Disabilities Act includes a specific list of impairments that are required to be treated as disabilities.
A)True
B)False
Q2) Health insurers and employers are prohibited from discriminating against people for flaws or disease risks revealed by genetic testing under the provisions of the
A)Genomics and Personalized Medicine Act
B)Genetic Information Nondiscrimination Act
C)Americans with Disabilities Act
D)Stem Cell Research Enhancement Act
Q3) The term "essential functions of the job," as that term is used in the ADA,refers to:
A)any tasks so designated by the employer for whom the job will be done.
B)task so designated by the EEOC.
C)task so designated by the Department of Labor.
D)only those tasks that are fundamental to the performance of a job,and are not marginal or unnecessary.
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14
Chapter 13: Disability Discrimination
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Sample Questions
Q1) Sean was employed by Office World as a manager.He was fired for sexually harassing his secretary.A prospective employer called for a reference and was told why Sean was terminated.
A)Sean has a cause of action for defamation.
B)Office World is not liable because the statement was true and was made in good faith.
C)Sean has a cause of action for invasion of privacy.
D)Office World is liable for public disclosure of private facts.
Q2) Lane was employed by the county as the public assistance coordinator.She was fired after her office was searched by her supervisor.Her supervisor claimed that she searched the office looking for evidence that Lane was engaged in food stamp fraud.
A)Lane's 4thAmendment rights have been violated because the search was per se unreasonable.
B)Lane has no recourse because her employer had reasonable grounds to suspect the search would reveal that she was engaged in food stamp fraud.
C)Lane can file an action based on the Privacy Act.
D)Lane can file a claim based invasion of privacy.
Q3) What is the justification for monitoring employee internet use?
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Page 15
Chapter 14: The Employees Right to Privacy and Management of Personal Information
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Q1) After seven months of negotiation,the union representing the Trout Mfg.employees has failed to reach an acceptable collective bargaining agreement.Trout Mfg.locks out its employees.This is an unfair labor practice.
A)True
B)False
Q2) The yellow dog contract was a device used by anti-union employers to stop the progress of the union movement by forcing a worker to promise not to join a labor union while in the hire of an employer.
A)Yellow dog contracts were made illegal by court decision in Hitchman Coal Company v.Mitchell.
B)the Norris-LaGuardia Act declared that yellow dog contracts were inconsistent with U.S.public policy and not enforceable in any court in the United States.
C)the Wagner Act declared that yellow dog contracts were inconsistent with U.S.public policy and not enforceable in any court in the United States.
D)the Taft-Hartley Act declared that yellow dog contracts were inconsistent with U.S.public policy and not enforceable in any court in the United States.
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Page 16
Chapter 15: Labor Law
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Sample Questions
Q1) The FLSA,which is administered by the EEOC,has the authority to investigate,gather information,issue regulations,and enforce provisions of the FSLA.
A)True
B)False
Q2) Prior to the enactment of the Occupational Safety and Health Act,employers could avoid liability for workplace accidents by alleging the contributory negligence defense.
A)True
B)False
Q3) Lucy is the plan administrator for the Golden Corporation.He has invested all of the funds in Techno stock.The stock price plummeted.Lucy has:
A)violated her fiduciary duty to of loyalty.
B)violated her fiduciary duty of diversification.
C)violated her fiduciary duty of exclusive purpose.
D)None of the choices are correct.
Q4) Briefly describe the two requirements imposed on employers by section 5(a)of the Occupational Safety and Health Act.
Q5) What are the "fiduciary standards" established by ERISA?
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Page 17