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business law legal environment

Questions and Answers of Business Law Legal Environment

Saudi Basic Industries Corporation (SABIC) was a Saudi Arabian corporation owned by the Saudi government. In the 1970s, it entered into joint ventures with Mobil and Exxon, under contracts governed
Every other year, the National Institutes of Health publish the “Report on Carcinogens,” which lists products that cause cancer. Among those in the most recent report was formaldehyde, found in
A former colleague recruited Luke to join his new company as a director, leading a team of about 30 people. Luke was replacing Jill, who had been fired for failing to deliver on an important project.
Rob is in the business of buying dental practices. He finds solo practitioners, buys their assets, signs them to a long-term contract and then improves their management and billing processes so
The CIO of my company was the kind of boss who expected people to do as they were told. Everyone in the company kowtowed to him, even his peers. Years before, he had introduced a new IT platform to
Wesley Autrey was standing on a train platform with his two young daughters, and a man he did not know. Suddenly, this man had a seizure, causing him to fall on the tracks. Autrey heard a train
When Orlanda graduated from college, she got a job as a software engineer in Silicon Valley. After two years working in technical support, one of her customers offered her a job at his company. It
James is on the management team of a health insurance company called HIC. At a team meeting, the CEO announces that from now on, HIC will not hire smokers, and all employees will be regularly tested
Before becoming a Supreme Court justice, Sonia Sotomayor stated in a speech to students: “I would hope that a wise Latina woman with the richness of her experiences would more often than not reach
The defendant, attempting to heal the plaintiff, left him blind in one eye. The plaintiff has sued in trespass, a forerunner of today’s tort action. The defendant made a procedural argument,
You Be the Judge: WRITING PROBLEM Should trials be televised? Here are a few arguments to add to those in the chapter. You be the judge.Arguments against Live Television Coverage: We have tried this
Now suppose that Rowe has an argument with her husband and wants to withdraw from being a member of David-son Masonry is the term for such a withdrawal, and what effect would it have on the LLC?
Erb Poultry, Inc., is a distributor of fresh poultry products in Lima, Ohio. CEME, does business as Bank Shots, a restaurant in Trotwood, Ohio. CEME ordered chicken wings and °dippers" from Erb,
No express warranties should be created by the oral statements made by salespersons about a product. Debate this
The doctrine of commercial impracticability should be abolished. Debate this
Randy Jones is art agent for Farmers Insurance Co. of Arizona. Though Jones, Rob-ert and Marcia Murray obtained auto insurance with Farm-ers. On Jones's advice, the Murrays increased the policy's
Russ Wyant owned Humble Ranch in Perkins County, South Dakota. Edward Humble, whose parents had previously owned the ranch, was Wyant's uncle. Humble held a two-year option to buy the ranch. The
Madeline Castellon; was the sole shareholder of `44 Whole Pies, Inc.. which owns Johns Pizzeria in New York City Her other ante included a 51 percent interest in a real estate partnership, a
Before their marriage, Linda and Gerald Heiden executed a prenuptial agreement. The agreement provided that no spouse shall have any right in the property of the other spouse. even in the event of
Joy Pervis and Brenda Pauley worked together as talent agents in Geor-gia. When Pervis "discovered" actress Dakota Fan-ning, Pervis sent Fanning's audition tape to Cindy Osbrink, a talent agent in
Citynet, LLC, established an employee incentive plan "to attract and retain experienced individuals." The plan provided that a participant who left Citynet's employment was entitled to "cash out" his
Assume that you want to read the entire it court opinion in the case of Equal Employment Opportunity Commission it Autccone. Inc., 809 E3d 916 (7th Cir. 2016). Refer to the subsection entitled
Would the result in this case have been different if it had been Taylor’s minor son, rather than Taylor herself, had been struck by the ball? Should courts apply the doctrine of assumption of risk
Why might a corporation’s managers agree to pay a large fine rather than to be indicted and proceed to trial?
Lawrence M. Clarke, Inc., was the general contractor for construction of a portion of a sanitary sewer system in Billings, Michigan. Clarke accepted Kim Draeger's proposal to do the work for a
Lehman Brothers, Inc. (LBI), wrote a letter to Mary Dragon offering her employment as LBI's "Business Chief Administrative Offic in Its Faed Income Division." The offer included a salary of $150,000
Amy Kemper was seriously injured when her motorcycle was struck by a vehicle driven by Christopher Brown. Kemper's attorney wrote to Statewide Claims Services, the administrator for Brown's insurer,
The Susan G. Komen breast cancer charity trademarked the term “for the cure.” It has brought suit against other charities that use the term, as in “run for the cure” or “kites for the
Victoria’s Secret, a well-known lingerie company, found out that a man named Victor Moseley was running a small store in Kentucky named “Victor’s Little Secret.” Moseley’s shop sold clocks,
Craig Hare offered computers and related equipment for sale on various Internet auction websites. He accepted payment but not responsibility—he never shipped the goods. Which government agencies
Chitika, Inc. provided online tracking tools on websites. When consumers clicked the “opt-out” button, indicating that they did not want to be tracked, they were not – for ten days. After that,
Is cost benefit analysis an effective tool in environmental disputes? How do we measure the costs and benefits? How do we know what benefits we might gain from saving endangered species? Or improving
Before the Department of Agriculture issued regulations on genetically modified beets, what steps did it need to take under the environmental statutes?
Shell Oil sold pesticides to B&B, which allowed these chemicals to leak into the ground. Shell was aware that the leaks were occurring. B&B ultimately went bankrupt. Is Shell liable for the
Proponents of the Post Chicago School argue that federal antitrust regulators should undertake enforcement actions that will lead to lower consumer prices. Look at the five cases in this chapter. Are
Texaco sold gasoline in Spokane, Washington to independent retailers and also to Gulf Oil, which operated its own filling stations and also sold to retailers. Texaco charged a substantially lower
Samantha manufactures 60 percent of the titanium screws sold in the United States. Does she have a monopoly on this product? What would you need to know to answer this question?
Dr. Ibrahim Khan caused an automobile accident in which a fellow physician, Dolly Yusufji, became a quadriplegic. Khan signed a contract for the lifetime support of Yusufji. When he refused to make
A railroad’s employees noticed that a lot of people in suits were touring the rail yard. The CFO asked for a list of all trains owned by the company. Workers began speculating that the company
ETS Payphones, Inc. sold pay phones to the public. The company then leased back the pay phones from the purchaser, promising a guaranteed 14 percent annual return on their investment. Although
Shareholders lost their gamble when they bought stock of Jackpot Enterprises, Inc. Fed up with management, a shareholder asked the company to include a proposal in the proxy statement that would
Courts have tended to be protective of managers who fight against hostile takeovers, even if the bidder is offering a price much higher than the market value of the shares. Why? Do the courts have
Ulrick and Birger started an air taxi service in Berlin, Germany, under the name Berlinair, Inc. Birger was approached by a group of travel agents who were interested in hiring an air charter
Is it fair that partners are not entitled to be paid for work they do for the partnership? What about poor Arnold in the Peaceful Valley case – he was on call 24/7, his girlfriend was cleaning the
Pedro and Juan have a business selling ties with fraternity insignia. Pedro finds out that an online shirt business is for sale. It sounds like a great idea -- customers send in their measurements
Corporations developed to encourage investors to contribute the capital needed to create large-scale manufacturing enterprises. But LLCs are often start-ups or other small businesses. Why do their
As you will see in Chapter 33, Facebook began life as a corporation, not an LLC. Why did the founder, Mark Zuckerberg make that decision?
Leonard, an attorney, was negligent in his representation of Anthony. In settlement of Anthony’s claim against him, Leonard signed a promissory note for $10,400 on behalf of his law firm, an LLC.
FedEx gave Marcie Dutschmann an employment handbook stating that: (1) she was an at-will employee, (2) the handbook did not create any contractual rights and (3) employees who were fired had the
The Pharmaceutical Association holds an annual convention. At the convention, Brittany, who was president of the Association, told Luke that Research Corp. had a promising new cancer vaccine. Luke
What if the custodian hit one of the schoolchildren for calling him a name? Is the school district liable?
An elementary school custodian hit a child who wrote graffiti on the wall. Is the school district liable for this intentional tort by its employee?
Wayne and Arlene Selden invested in Competition Aircraft, a fraudulent company that pretended to sell airplanes. After the company went bankrupt, the Seldens sought to recover from accountant William
When Steven was killed in an automobile accident, he left his wife, Debra a life insurance policy for $60,000. She decided to move from Bunkie to Sulphur, Louisiana. Debra executed a document
Merlyn borrowed money from Finance Co. to buy equipment for his farm. He promised Finance that he would accept payment for his crops only with checks that named him and Finance as co-payees. This
Regions Bank refused to loan money to ZLM, Inc. unless its owner, Stewart, would sign the note as an accommodation party. He did and, sadly, ZLM did not repay the loan. But, because the note was due
Abe gives the note to his daughter, Prudence, for her birthday. Is Prudence a holder in due course? Does Duncan have to pay Prudence?
Shifty sells that note to Honest Abe for $22,000. Does Duncan have to pay Abe?
Duncan Properties, Inc. agrees to buy a car from Shifty for $25,000. The company issues a promissory note in payment. The car that Duncan bought is defective. If Shifty still has the note, does
Chip bought an insurance policy on his house from Insurance Co. The policy covered damage from fire but explicitly excluded coverage for harm caused “by or through an earthquake.” When an
Slimline and Distributor signed a contract which provided that Distributor would use reasonable efforts to promote and sell Slimline’s diet drink. Slimline was already being sold in Warehouse Club.
Susan drops by Dean’s garage sale. She buys a painting for $10. Both she and Dean think that the painting is a copy of a Matisse. Later, Susan is delighted to discover that the painting is actually
On television and in magazines, Maurine and Mamie Mason saw numerous advertisements for Chrysler Fifth Avenue automobiles. The ads described the car as “luxurious,” “quality-engineered,” and
Jack Tallas came to the United States from Greece in 1914. He lived in Salt Lake City for nearly 70 years, achieving great success in insurance and real estate. During the last 14 years of his life,
Conley owned video poker machines. Although they are outlawed in Pennsylvania, he placed them in bars and clubs. He used profits from the machines to buy more machines. Is he guilty of money
Karin made illegal firearm purchases at a gun show. At her trial, she alleged that she had committed this crime because her boyfriend had threatened to harm her and her two daughters if she did not.
An informant bought drugs from Dorian. The police obtained a search warrant to search Dorian’s house. But before they acted on the warrant, they sent the informant back to try again. This time,
Shawn was caught stealing letters from mailboxes. After pleading guilty, he was sentenced to two months’ in prison and three years’ supervised release. One of the supervised release conditions
Andy was arrested for driving under the influence of alcohol (DUI). He had already been convicted of another driving offense. The court in the first offense was notified of this later DUI charge and
Dan checks into a nice beachfront hotel. He does not want to expose his $10,000 Patek Philipe wristwatch to saltwater, and so he leaves it in the dresser in the room. When he returns from the beach,

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