Question 11 (1 point)

Based on the decision in SOCAN v Canadian Association of Internet Providers, which of the following statements is TRUE?

Question 11 options:

	"Caching" is an unacceptable use of the Internet.
	An Internet service provider (ISP) is content-neutral when it does not have knowledge of infringing content and cannot practically monitor the content passing over its network.
	If an ISP knows that customers could potentially infringe copyright through their use of the Internet, the ISP will always be liable for any infringement that occurs.
	ISPs cannot be held responsible for paying royalties.
	Content-neutral ISPs are shielded from all legal liability.

Question 12 (1 point)

Artemis has entered into a contract with Saskatoon Berry Pies Inc for the supply of pies. After the contract was entered into, Artemis disclosed that he was negotiating the contract on behalf of ABC Food Mart, which operates three grocery stores in Regina, Saskatchewan. Which of the following best describes the situation with respect to the contract?

Question 12 options:

	Saskatoon Berry Pies is not bound to the contract because Artemis did not disclose that he was contracting on behalf of a principal until after the contract was entered into.
	Now that the principal's existence and identity have been disclosed, Saskatoon Berry Pies can hold either ABC or Artemis liable under the contract.
	Artemis cannot be held liable under the contract because he was not contracting on his own behalf.
	Artemis cannot be held liable under the contract but will be liable for breach of warranty of authority.
	Only ABC is liable under the contract to Saskatoon Berry Pies.

Question 13 (1 point)

Andres has created an online service that allows users to instantaneously distribute documents to hundreds of other people. Which of the following strategies can help him reduce his risk of being held liable for the content distributed by the users of his service?

Question 13 options:

	He should review all documents and edit anything that might be considered offensive.
	He should include a provision in his terms of use warning users that he will monitor every message they distribute through the service.
	He should include a provision in his terms of use allowing him to claim indemnification from a user if he is held liable for something they distributed through the service.
	He should avoid telling users what they can or cannot distribute through the service for fear of infringing their free speech.
	He should not worry about this risk and do nothing as it is not a likely legal hazard of his business.

Question 14 (1 point)

If you were considering selling $1 million worth of computer equipment to a partnership on credit, which of the following factors would influence your assessment of the ability of the partnership to pay you back?

Question 14 options:

	the value of the personal assets of the individual partners
	whether the individual partners had agreed to indemnify each other against any partnership liabilities that they have to pay individually
	the value of the assets of the partner's spouses
	the value of the personal assets of the employees of the partnership business
	the designations of heirs that the partners had made in their respective wills

Question 15 (1 point)

A commercial representation agreement

Question 15 options:

	occurs anytime that an agency relationship is created.
	occurs when someone sells goods to a retailer on behalf of a manufacturer.
	is always a type of franchise relationship.
	is always governed by provincial partnership law.
	is no longer legal in Canada.

Question 16 (1 point)

Which of the following propositions is best supported by the decision in Zhu v Merrill Lynch HSBC?

Question 16 options:

	Customers are entitled to rely on the common sense meaning of a website's online prompts when completing a transaction.
	Customers are NOT entitled to rely on the common sense meaning of a website's online prompts when completing a transaction.
	Customers cannot rely on keystroke errors to cancel a transaction when that transaction involves the purchase or sale of stocks.
	Companies owe customers the same duty to make online transactions readily understandable, regardless of whether the customer might risk losing large amounts of money as a result of a faulty transaction.
	It is the customer's responsibility to confirm the prompts received during online transactions.

Question 17 (1 point)

Cassandra is the sole shareholder of a corporation, incorporated under the Canada Business Corporations Act, which carries on a grocery store business. Which of the following statements is FALSE?

Question 17 options:

	Cassandra could work as a cashier employed by the corporation.
	If Cassandra was killed in an automobile accident, the corporation would continue to exist.
	Cassandra will pay no tax no matter what the corporation's profits are until some amount is paid to her personally.
	Cassandra does not own any of the specific assets of the corporation.
	Cassandra is personally liable for the debts of the corporation, in all circumstances

Question 18 (1 point)

Which of the following statements is TRUE?

Question 18 options:

	Registration is mandatory for copyright, but not for patents.
	Registration is mandatory for copyright, but not for trademarks.
	Registration is mandatory for industrial designs, but not for trade secrets.
	Registration is mandatory for trademarks, but not for copyright.
	Registration is mandatory for trade secrets, but not for patents.

Question 19 (1 point)

Which of the following is not a requirement for a patent?

Question 19 options:

	novelty
	usefulness
	non-obviousness
	a working model
	patentable subject matter

Question 20 (1 point)

Which of the following statements best describes the "business judgment rule"?

Question 20 options:

	The courts will never find that a business decision by a director or officer is a breach of the duty of care.
	Business decisions are presumed not to be a breach of duty, unless the court does not understand the business rationale for the decision.
	Directors and officers should always exercise their best business judgment in making decisions relating to the corporation.
	The courts will substitute their business judgment for that of directors and officers if doing so makes sense to them.
	Business decisions are presumed not to be a breach of duty so long as they fall within the range of reasonable business alternatives that were available and the process for making the business decision was reasonable.