LEG
500 Final Exam Answers
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LEG 500 Final Exam Answers
Question 1
Which of the following statements is
INCORRECT regarding the rights of shareholders?
1) voting power on major issues and
ownership in a portion of the company
2) right to transfer ownership and
dividend entitlement
3) hire and fire management and
select and appoint a chief executive
Question 2
Assuming a business ethical dilemma,
which statement best illustrates Gilligan approach suggested in her theory of
“The Ethics of Care”?
Correct Answer:
Question 3
Corporate director or officer
decisions to dedicate corporate funds for social causes is called:
Correct Answer:
Question 4
The Ethic of Care is Answer
Correct Answer:
Question 5
According to Citizens United v.
Federal Election Commission, which of the following is not a reason to allow
corporations the right to spend money and advertise for political candidates?
Correct Answer:
Question 6
To determine whether a public
employee receives First Amendment protection from speech (and therefore cannot
be fired for it), the Supreme Court has stated that all of the following are
important except:
Correct Answer:
Question 7
In the essay, Work Matters, by law
professor Marion Crain, all of the following are the result of working except:
Correct Answer:
Question 8
Select the best definition of
whistleblower:
Correct Answer:
Question 9
Exceptions to the rule of employment‐at‐will include which of the following?
1) organization of unions
2) passage of Sarbanes Oxley Act
3) raising of public policy issues
4) promise of implied‐contract or covenant‐of‐good‐faith
Correct Answers:
Question 10
Under the legal doctrine of
“employment at will” an employee can be lawfully terminated from her job for:
1) wearing a shirt that clashes with
her suit
2) any non‐discriminatory reason
3) complaining about illegal
activity in the workplace
4) only for good cause
Correct Answer:
Question 11
In considering the legality of
employer interception of employee e‐mails
at work, pick the correct statement.
1) Employees have complete
expectation of privacy since they can select their password for in‐house and remote access of e‐mails.
2) A subpoena is required by the
employer to read any e‐mail that is clearly marked “confidential” by the employee.
3) No expectation of privacy exists
over an employer‐owned computer system at work.
4) Statement by the employer that e‐mails are confidential and privileged cannot be later used
by an employer to defeat an employee’s claim of privacy
Correct Answer:
Question 12
One reason employers use to justify
giving honesty or integrity tests is:
Correct Answer:
Question 13
The United States Constitution,
Fourth Amendment provides “[t]he right of the people to be secure in their
persons, houses, papers, and effects, against unreasonable searches and
seizures, shall not be violated… ” Privacy rights are triggered under the
Fourth Amendment:
Correct Answer:
Question 14
The most recent major privacy law
passed by Congress was the
Correct Answer:
Question 15
The Electronic Communications
Privacy Act of 1986 (ECPA):
Correct Answer:
Question 16
John Smith was assaulted on the
loading dock by a coworker, Jim Jones, at the Acme Widget Company. The attack
was unprovoked by Smith. After the physical assault, there was an angry verbal
exchange between the parties. The incident ended when Jones yelled that Smith
was a “sissy” and “everybody knows you’re queer as a three dollar bill.” Which
of the following statements best describes the outcome of the harassment
lawsuit filed by Smith under The Civil Right Act of 1964?
I. Sex discrimination is prohibited
by federal law (The Civil Right Act of 1964).
II. Sexual orientation
discrimination is prohibited by federal law (The Civil Right Act of 1964).
III. Suits based on harassment due
to sexual orientation cannot prevail when based on local or state laws.
IV. Sexual orientation
discrimination is not prohibited by federal law (Title VII).
Correct Answer:
Question 17
A mayor serving in a major
metropolitan area receives an internal memorandum indicating personnel at many
police stations are single‐race. At the time of the report,
thirty percent of the police force was black or Hispanic. She immediately calls
a press conference and orders transfer of police officers to achieve racial
balance across the city. The transferred police offers sue on constitutional
grounds. Assuming just these facts, what is the strongest argument that might
be advanced by the transferred officers based on constitutional grounds?
Correct Answer:
Question 18
To establish a prima facie case of
religious discrimination, the employee has to show all of the following except
which one:
Correct Answer:
Question 19
All of the following are true
statements regarding the Family and Medical Leave Act (FMLA, 29 U.S.C. §§ 2601,
et seq.), EXCEPT which of the following?
Correct Answer:
Question 20.
Employment practices without
business justification applied to all employees that result in a less favorable
effect for one group than for another group may state a claim for:
Correct Answer:
Question 21
When an employee is injured on the
job, that employee may:
I. File a worker’s compensation
claim and accept the government‐determined value for the injury.
II. File a tort claim in state court
to recover damages above the worker’s compensation amount.
III. File a complaint with OSHA to
have the employer investigated and charged if violations are present.
Correct Answer:
Question 22
Employers have __________ been held
criminally responsible for workplace injuries and deaths to workers.
Correct Answer:
Question 23
Typically individual stockholders
are not held responsible for the actions of a corporation. Exceptions usually
relate to comingling of funds, underinsuring, or similar actions by the
corporate leadership. This is called:
Correct Answer:
Question 24
With the adoption of the
____________, the U.S. began to address the need to prevent, or minimize,
workplace accidents and health hazards.
Correct Answer:
Question 25
One example of modern day slavery,
as discussed in the interview with Kevin Bales, is:
Correct Answer:
Question 26
Under the ___________ plan, the EPA
auctions a set number of sulfur dioxide emission allowances annually, with each
allowance permitting one ton of emissions.
Correct Answer
Question 27
The power of the U.S. Government to
take property from a private individual and use it for public purposes is:
Correct Answer:
Question 28
According to MIT professor Layzer,
the lobbyists for the energy corporations have used which of the following
tactics to avoid stricter regulation?
1) Portray the science of global
warming as uncertain and debatable
2) Focus on the financial costs of
regulation
3) Provide Senators and
Representatives with financial incentives to vote against regulation
4) Portray the environmentalists as
extremists and a vocal minority.
Correct Answer:
Question 29
Which piece of legislation was
passed first?
Correct Answer:
Question 30
When environmentalists recognized
that politicians were not going to pass stricter legislation and regulations,
they changed their tactics to force change. According to the Layzer article in
the chapter, these new tactics included:
1) Eco‐terrorism
– bombing pipelines and factories
2) Collaboration with businesses –
create partnerships to improve environmental impacts.
3) Public relations campaigns – go
public with their accusations and encourage consumers to demand change
4) Work internally through shareholders
to try to change corporate disclosures
Correct Answer:
Question 31
According to John Kenneth Galbraith,
the theory of consumer demand is based on the following broad assumption(s):
1) Socialism will work in all
societies because consumers are willing to share their wealth.
2) The urgency of wants does not
diminish as more of them are satisfied.
3) Wants originate in the
personality of the consumer.
Correct Answer
Question 32
Identify the true statement(s)
regarding freedom of speech:
I. It was not until the 1920s that
legal doctrines protecting speech when offensive began to be recognized by the
courts.
II. In the First National Bank v.
Bellotti case, the Supreme Court struck down a state law prohibiting a
corporation to advertise to influence voters on issues that did not “materially
affect” its business.
III. In the Virginia Board case, the
U.S. Supreme Court failed to link the “right to receive information and ideas”
with the traditional values that underlie free speech.
IV. The Prescription Information Law
expressly allows the transmission or use of both patient‐identifiable data and prescriber‐identifiable data for certain commercial purposes.
Correct Answer:
Question 33
Obesity in children has continued to
rise since 1976 and approximately _____ of all teens and youth are overweight.
Correct Answer:
Question 34
Of product promotion techniques,
which is the most influential according to author Naomi Klein?
Correct Answer:
Question 35
The “creative revolution” in
advertising refers to Answer
Correct Answer:
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