Term
| A familiar example of an agent is a |
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Definition
| corporate officer who serves in a representative capacity for the owners of the corporation. |
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Term
| A factory moves from a non-right-to-work state to a right-to-work state, and the union continues to represent the employees. In the right-to-work state, |
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Definition
| The employees can decide not to be involved with the union. |
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Term
| A principal and agent relationship requires a |
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Definition
| Meeting of the minds and consent to act. |
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Term
| A principal whose identity is known to a third party at the time a contract is made is a |
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Definition
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Term
| A U.S. employer sponsors a defined-benefit pension plan. Under the Pension Protection act of 2006 |
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Definition
| Underfunding must be eliminated within 7 years if the plan is not at risk. |
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Term
| Able exceeded her actual authority when she concluded an agreement with Sky Corp. on behalf of Pix Corp. If Pix wishes to ratify the contract with Sky, which of the following statements is correct? |
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Definition
| Pix must have knowledge of all material facts relating to the contract at the time it is ratified |
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Term
| Adams worked as a delivery truck driver for Cochran & Co. Adams refused to drive a truck that lacked a required inspection sticker because he knew if he was caught driving without the sticker, he could receive a fine. Cochran fired Adams for his refusal to drive the truck. Cochran contended that Adams was an at-will employee and that Adams could be discharged with or without good cause. Adams sought to recover damages for wrongful termination. The court most likely held that Adams |
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Definition
| can recover under a public policy exception to the employment-at-will doctrine |
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Term
| After serving as an active director of Lee Corp. for 20 years, Ryan was appointed an honorary director with the obligation to attend directors' meeting with no voting power. In the most recent tax year, Ryan received an honorary directors' fee of $5,000. This fee is |
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Definition
| Reportable by Ryan as self-emnployment income subject to Social Security self-employment tax. |
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Term
| Alice Able, on behalf of Pix Corp., entered into a contract with Sky Corp. b which Sky agreed to sell computer equipment to Pix. Able disclosed to Sky that she was acting on behalf of Pix. However, Able had exceede her actual authority by entering ino the contract with Sky. If Pix does not want to honor the contract, it will nonetheless be held liable if Sky can prove that |
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Definition
| Able had apparent authority to bind Pix. |
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Term
| Alisha buys a piece of pottery from Woodward for her principal, Kwan. If Woodward knows that Alisha is buying the pottery on behalf of someone other than herself but does not know the identity of that person, Kwan is |
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Definition
| a partially disclosed principal |
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Term
| An agency cannot be terminated by |
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Definition
| the principal's calling for an accounting |
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Term
| An agency relationship is defined as |
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Definition
| a fiduciary relationship between two parties, in which one party agrees to represent or act for the other |
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Term
| An agent's authority to act for a principal |
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Definition
| may be actual or apparent |
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Term
| An agent's implied authority may be conferred by |
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Definition
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Term
| An employer having an experience unemployment tax rate of 3.2% in a state having a standard unemployment tax rae of 5.4% may take a credit against a 6.2% federal unemployment tax rate of |
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Definition
|
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Term
| An employer may be held liable for the wrongful discharge of an employee if the discharge violated |
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Definition
| the common law or statutory law |
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Term
| An employer who fails to withhold Federal Insurance Contributions Act (FICA) taxes from covered employees' wages, but who pays both the employer and employee shares, |
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Definition
| Has a right to be reimbursed by the employees for the employees' share. |
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Term
| An ordinary power of attorney ends when the |
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Definition
| person giving the power dies or becomes incapacitated |
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Term
| An unemployed CPA generally will receive unemployment compensation benefits if the CPA |
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Definition
| Was fired as a result of the employers' business reversals. |
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Term
| Ann Agent is acting on behalf of a disclosed principal. She will not be liable to a third party if she |
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Definition
| Lacks specific express authority but is acting within the scope of her implied authority. |
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Term
| As a condition of his employment, Angus lived with his family in a mobile home owned by his employer, Deffenbaugh Industries. Deffenbaugh bought the mobile home and put it on the grounds of its plant so Angus could maintain "a constant presence on the premises." He ordinarily worked out of an office in a different building, but the mobile home had a phone so Angus could contact drivers and customers as needed. One day, when Angus was home for dinner and awaiting the arrival of a company truck, a tornado struck, killing Angus's wife and severely injuring him. Angus filed a workers' compensation claim against Deffenbaugh, alleging that his injuries arose "out of his employment." Deffenbaugh argued that Angus was not entitled to recover compensation because he was not working but was eating dinner when the tornado struck. The court most likely held that Angus could |
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Definition
| recover under workers' compensation laws, because at the time of his injuries he was performing the duties of his job, which required his continual presence on the employer's premises |
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Term
| Ashley is a fifteen-year-old who works part-time as a clerk in a store that sells bird seed. She earns minimum wage. Her boss, Trina, often expects her to stay and work as many as three hours longer than her scheduled hours. Trina never pays Ashley for these hours. Ashley is |
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Definition
| entitled to be paid minimum wage for the additional hours and cannot work more than eighteen hours in a week |
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Term
| Atlas, Inc. did not believe that the union representing its employees was supported by the employees any longer. Who can be assured of getting a representation election held? |
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Definition
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Term
| Aymes was hired by Bonelli of Sun Island Sales to create a program for Sun Island to use in maintaining its business records. Bonelli gave Aymes frequent instructions about what he wanted the program to do, and Aymes did most of the work at Sun Island's office during regular work hours. Aymes generally worked alone on the project. He was paid when he submitted invoices to Sun Island for his work. Sun Island did not withhold taxes or make Social Security payments on his earnings. When a dispute arose later about the program, the court had to determine whether Aymes was an employee or an independent contractor. The court most likely held that Aymes was an |
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Definition
| independent contractor, because of his level of skill and Sun Island did not withhold payroll taxes from payments to him |
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Term
| Beth works for Lane in his dance supply shop and is authorized to sell inventory but not to order new merchandise. Rena, a sales representative for a new line of dance wear, comes into the store, and Beth places an order with her. When Lane learns the details of Beth's purchase, he wants to ratify the contract. The one condition that is not necessary for ratification is |
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Definition
| Rena must withdraw from the transaction before Lane ratifies it |
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Term
| Bill Gladstone has been engaged as a sales agent for the Doremus Corporation. Under which of the following circumstances may Gladstone delegate his duties to another? |
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Definition
| When an emergency arises and the delegation is necessary to meet the emergency. |
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Term
| Blue, a used car dealer, appointed Gage as an agent to sell Blue's cars. Gage was authorized by Blue to appoint subagents to assist in the sale of the cars. Vond was appointed as a subagent. To whom does Vond owe a fiduciary duty? |
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Definition
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Term
| Brittany works at home making unique children's clothes. Liam buys Brittany's clothes to sell in his store. With respect to Brittany's legal relationship to Liam, she is probably |
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Definition
| an independent contractor |
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Term
| Brooks was a sales representative for the Bob King Mitsubishi car dealership in North Carolina. Reba Stanley wanted to test drive a Mitsubishi pickup. During her drive, Brooks sexually assaulted Stanley. Brooks was convicted of the assault. Stanley sued the dealership for emotional distress on a theory of respondeat superior. The court most likely determined that the dealership was |
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Definition
| not liable, because Brooks was acting outside the scope of his employment when he assaulted Stanley |
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Term
| Buck Dent is an agent for George Wein pursuant to a written agreement with a 3 year term. After 2 years of the term, Wein decides that he would like to terminate the relationship with Dent. Wein may terminate the relationship |
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Definition
| Without cause but may be held liable for breach of contract. |
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Term
| Case 33.2, Mims v. Starbucks Corp., concerned whether |
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Definition
| employees with managerial duties should be paid overtime |
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Term
| Castaways Management owned Castaways Motel in Miami Beach. The general manager supported one of the two unions that sought to represent the motel's employees. Employees were told that voting for the other union could result in demotions and pay reduction. Some employees who supported the other union were fired. Both unions filed unfair labor practice charges against Castaways. The National Labor Relations Board (NLRB) found that Castaways violated federal labor law by firing employees for supporting union activity. Castaways was issued a cease-and-desist order that required it to reinstate the discharged employees, award them back pay, conduct a new election, and post notice of its violations on the motel premises. By the time the order was in place, the motel had been demolished—although Castaways still existed as a business entity. On appeal, Castaways argued that the NLRB's order was of no legal significance because the motel no longer existed. Is it likely that the court would hold the employer could still be held liable? |
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Definition
| Yes. Although the building no longer existed, the company was still in business and was responsible for its labor violations |
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Term
| Clarence goes out shopping, and using his wife Maria's credit card, he buys $221.00 worth of groceries. Under agency law, Maria will probably be deemed |
|
Definition
| liable for the purchase, based on the creation of an agency by operation of law |
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Term
| Darlene gives her agent, Misha, money to purchase a new commercial oven. Misha takes the money and deposits it into his personal checking account. Misha then accidentally spends some of Darlene's money. Misha has violated his duty of |
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Definition
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Term
| Darren Stephens is an employee of the Jensen Manufacturing Company, a multi-state manufacturer of rollerskates. The plant in which he works is unionized and Stephens is a dues-paying union member. Which statement about the federal Fair Labor Standards Act (FLSA) is true? |
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Definition
| The act allows a piece-rate method to be employed in lieu of the hourly-rate method when appropriate. |
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Term
| Delta sent its agent, Otto Bismark, to purchase some equipment. Bismark was instructed to charge the purchase to Delt's account. However, Bismark charged it to a personal account and did not indicat it was for Delta. Upon returning to Delta, Bismark showed Delta the personal charge and Delta reimbursed Bismark. Later Bismark disappeard and the store seeks to hold Delta liable. |
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Definition
| Delta is liable because Bismark was instructed to make the purchase. |
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Term
| Elaine knows that her friend Jerry collects duck memorabilia. One day, she spots a carved wooden duck she is sure he will love. She tells the shop owner that Jerry will pay her for the duck as soon as he sees it, and she takes the duck with her to show it to Jerry. Jerry is |
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Definition
|
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Term
| Elegiility to receive Social Security benefits |
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Definition
| Depens on Having earning from employment for a specified number of calendar quarters. |
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Term
| Eli and Sonja ask Faye to be the administrator of their will and the guardian of their children if they pass away before their children reach the age of majority. Faye agrees. Fiduciary relationships such as the one that they have created |
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Definition
| involve a high degree of trust and confidence |
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Term
| Farley Farms, Inc. shipped 100 bales of hops to Burton Brewing Corporation. Burton asserted that the hops did not conform to the contract. Farley's general sales agent agreed to relieve Burton of libility and to have the hops whipped elsewhere. This was done, and the hops were sold at a price less than Burton was to have paid. Farley sued Burton for the amount of its loss. Under these Circumstances, |
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Definition
| Farley is bound because its agent expressly, impliedely, or apparetnly had the authority to make the adjustment. |
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Term
| Federal rules and regulations concerning worker safety are enforced by |
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Definition
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Term
| For which of the following is a principal liable for damages caused by an independent contractor acting on behalf of the principal? |
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Definition
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Term
| Forest Products is a mill that has always successfully resisted unionization of its workers by offering better pay and benefits than other employers. Nevertheless, Bernie and several others would like to unionize. The first step they will need to take is to |
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Definition
| have workers sign authorization cards |
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Term
| Garcia was an employee of Van Groningen & Sons, which operated an orchard. One of Garcia's duties was to drive a tractor through the orchard while pulling machinery. One time, Garcia let his nephew Perez accompany him on the job, although Van Groningen forbade anyone but the driver to ride on the tractor. Garcia knew of this rule. Perez had to sit on the toolbox, because there was only one seat on the tractor. While Garcia was driving, Perez was knocked off the tractor by a tree branch and was severely injured when machinery ran over his leg. Perez sued Van Groningen under the theory of respondeat superior. The court most likely held that Van Groningen was |
|
Definition
| liable, because Garcia was conducting his employer's business and had not substantially deviated from his duties |
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Term
| Generally, a disclosed principal will be liable to third parties for its agen'ts unauthorized misreptresentations if the agent is an |
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Definition
| Employee/YES Independent Contractor/NO |
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Term
| Grace, who is eighty-seven years old, appoints her niece Lauren to act and make decisions for her in the event that Grace becomes incapacitated. This is known as a |
|
Definition
| durable power of attorney |
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Term
| Grocer's Choice is the largest employer in the Pacific Northwest. It is covered by numerous federal employment laws. As such, it is required by the Family and Medical Leave Act of 1993 to provide non-military caregiver employees with up to |
|
Definition
| up to twelve weeks of unpaid family or medical leave during any twelve-month period |
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Term
| Hanson Tire Company did not want to bargain with the union elected by the majority of its employees. Hanson does not have to bargain in good faith with the union about |
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Definition
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Term
| Hash worked for Van Stavern Construction as a supervisor in charge of constructing a new plant facility. Hash entered into a contract with Sutton Steel to provide steel to the construction site in several installments. Hash gave the name of the principal on whose behalf he was making the contract as B. D. Van Stavern (the president and owner of the firm) rather than as Van Stavern Construction Co. The contract and all subsequent invoices only had B. D. Van Stavern's name, not the company's name, on them. Sutton delivered several loads, and the invoices for each load were signed by Van Stavern employees and paid with corporate checks made out to Sutton. Van Stavern was unaware that the materials had been purchased in his name and not in the name of the corporation. When Van Stavern failed to pay Sutton Steel for subsequent deliveries, Sutton Steel sued Van Stavern personally for unpaid debts totaling $40,000. Sutton claimed that Van Stavern had ratified the contracts of its employee, Hash, by allowing payment on the previous invoices. The court most likely held that Van Stavern had |
|
Definition
| not ratified the contracts, because he did not have knowledge of all the material facts involved in the transaction |
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Term
| Hextor Manufactureing is a small business as defined by the Small business Administration. Regarding Hexter's relationship to requirements of the Social Security Act, which of the following is true? |
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Definition
| The Social Security Act applies to both Hextor and its employees |
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Term
| Hill is an agent for Newman. On behalf of Newman, Hill contracts to purchase furniture from A and M Wholesalers. Hill has previously purchased furniture on behal of Newman from A and m sholesalers. This contract is voidable by Newman if |
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Definition
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Term
| Howard and Elle Bankerd were having marital difficulties and Howard decided to move to the West Coast. Before he did, he executed an agency agreement with his lawyer, King. Elle continued to live in the home in Maryland and assumed all expenses for it. Seven years later, Howard asked King to sell the house for whatever King "deemed best." Two years later, Elle asked King to transfer her husband's interest in the house to her. She wished to sell it and retire. King sent Howard three letters about the transfer to Elle. Howard failed to respond. King concluded that Howard did not care and transferred the house to Elle. Howard later sued King, claiming he had breached his duty of loyalty as an agent. King argued that he had acted reasonably under the circumstances. The court most likely held that King had |
|
Definition
| breached the duty of loyalty, because Howard had not granted him the right to give the house away |
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Term
| If a strike produces a national emerbency, the Taft-Hartley Act provides for an 30 day cooling off period. This provision |
|
Definition
| Is invoked after appointment of a board of inquiry and the Attorney General's petition for federal court injunction. |
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Term
| If an employee is injured , gull workers' compensation benefits are not payable if the employee |
|
Definition
| Intentinally caused self-inflicted injury |
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Term
| If an employee recovers benefits from a workers' compensation claim, he or she |
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Definition
| is normally barred from suing the employer for negligence |
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Term
| In agency law, ratification occurs when |
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Definition
| a principal, by word or by action, affirms a contract made by a person who is in fact not an agent |
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Term
| In Case 31.3, Gossels v. Fleet National Bank, concerning the deposit of a foreign check at a bank by Gossels, the court held that in an agency law context, the bank |
|
Definition
| was the agent and Gossels was the principal |
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Term
| In Case 32.1, Ermoian v. Desert Hospital, concerning the birth of a baby with severe disabilities, the court |
|
Definition
| refused to hold a principal liable for a tort supposedly committed by an agent with apparent authority |
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Term
| In Case 32.2, In re Selheimer & Co., the defendant was a member of a brokerage firm that, as a principal, hired an agent who committed fraud. The defendant in that case argued that |
|
Definition
| he could not be held liable for the criminal acts of the agent because the agent did not have authority to defraud clients |
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Term
| In Case 33.1, Wendeln v. The Beatrice Manor, Inc, concerning an employee fired by a nursing home, the Nebraska high court concluded that |
|
Definition
| the employee could sue for wrongful discharge because the firing may have violated public policy |
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Term
| In general, which of th following statements is true with respect to unemployment compensation? |
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Definition
| An individual who has been discharged from employment because of work-connected misconduct is ineligivle for unemployment compensation. |
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Term
| Jada and Alejandro work for a company that they believe makes arbitrary rules about work hours, benefits, wages, and vacation time. They are interested in joining a union so that they can belong to a group that has the legal right to |
|
Definition
| negotiate with the employer on their behalf |
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Term
| Jarrod works for a federal governmental agency that requires drug testing as a condition of employment. He wants to challenge the constitutionality of the testing in court. For his case, Jarrod will attempt to rely on |
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Definition
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Term
| Jenni Jones, a clerk in a lumber yard, decided to take a lunch break. Bob Smith came in to buy some nails. Not seeing anyone around, Smith sat down on the counter to wait. Walter Proctor came in to buy some lumber. Thinking Smith worked there, Proctor asked Smith if the lumber could be delivered that afternoon. Smith assured Proctor that it would be done. Proctor paid Smith and left. Smith kept the money and also left. Which sttement is false? |
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Definition
| Smith had apparent authority to sell the lumber or agree to deliver it. |
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Term
| Jill Jackson engaged Tod Taylor to purchase 1,000 shares of XYZ stock on her behalf. Jackson did not know Taylor owned 1,000 shares of XYZ stock the he wished to sell. Taylor sold these 1,000 shares of XYZ stock to Jackson at the current market price. Taylor's purchase of his stock on behalf of Jackson was |
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Definition
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Term
| Kademenos was about to sell a $1 million life insurance policy to a prospective customer when he resigned from his position with Equitable Life. Before resigning, he had spent company money and used Equitable's medical examiners to try to get the sale. After resigning, Kademenos joined a competing firm, Jefferson Life Insurance, and made the sale through that company instead. With respect to Equitable, Kademenos |
|
Definition
| breached his duty of loyalty, because an agent cannot, right after ending an agency, act contrary to the principal's interest using the principal's resources to the principal's detriment. |
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Term
| Kent works as a welder for Mighty Manufacturing, Inc. He was specially trained in safety precautions applicable to installing replacement mufflers on automobiles, including a rule against installing a muffler on any auto that had heavily congealed oil or grease or that had any leaks. Kent disregarded this rule, and, as a result , a customer's auto caught fire, causing extensive property dmage and injury to Kent. Which of the following is true? |
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Definition
| Mighty is liable to the customer irrespective of its efforts to prevent such an occurrence and its exersice of reasonable care. |
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Term
| Kip owns Kip's Construction. He agrees to renovate Mrs. Simha's bathroom. According to Internal Revenue Service (IRS) criteria, Kip is likely to be classified as |
|
Definition
| an independent contractor |
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Term
| Kroll, an employee of Acorn, Inc., was injured in the course of employment while operationg a forklift manufactured and sold to Acorn by Trell Corp., The forklift was defectively designed by Trell. Under the state's mandatory workers' compensation statute, Kroll will be successful in |
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Definition
| Obtaining Workers Compensation Benefits/YES A Negligence Action against Acorn/NO |
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Term
| Lee repairs high-speed looms for Sew Corp., a clothing manufactureer. Which of the following circumstances best indicates that Lee is an employee of Sew and not an independent contractor? |
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Definition
| Lee is paid weekly by Sew. |
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Term
| Luisa has to move from the East Coast to the West Coast for her job. Grover agrees to act as Luisa's agent to sell her New York condo. As her agent, Grover owes Luisa all of the following duties except |
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Definition
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Term
| Marta needs an electrician to do some work at her home. Her father advises her to make sure that the firm she plans to hire is not a closed shop. Marta is not sure what this means, but later learns that the "closed shop" that her father was referring to is |
|
Definition
| firm that requires union membership by its workers as a condition of employment |
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Term
| Morning, Inc. refused to recognize a union that had not been elected by the employees. The union had lost in a representation election eight months previously but now claimed that it had the support of the majority of employees. The union began picketing Morning, Inc. to try to force recognition. |
|
Definition
| The union has committed an unfair labor practice. |
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Term
| Muriel, an elderly widow, gives her young neighbor, Lee, power of attorney. This means that Lee now |
|
Definition
| has express authority to act as Muriel's agent |
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Term
| Musgrove Manufacturing Enterprises is subject to compulsory workers' compensation laws in the state in which it does business. It has complied with the state's workers' compensation provisions. State law provides that when there has been compliance, workers' compensation is normally an exclusive remedy against the employer. However, the remedy will not be exclusive if |
|
Definition
| The employee has been intentionally injured by the employer personally |
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Term
| Noll gives Carr a written power of attoreney. Which of the following statements is true regarding this power of attorney? |
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Definition
| It may limit Carrs' authority to specific transactions. |
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Term
| North, Inc. Hired Sutter as a purchasing agent. North gave Sutter written authorization to purchase, without limit, electronic appliances. Later, Sutter was told not to purchase more than 300 of each appliance. Sutter contracted with Orr to purchae 500 tape recordrs. Orr had been shown Sutter's written authorization. Which of the following statements is true? |
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Definition
| North will be liable to Orr because of sutter's actual and apparent authority. |
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Term
| One of the duties that a principal owes to an agent is the duty of |
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Definition
|
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Term
| One of the reasons for the doctrine of respondeat superior is that |
|
Definition
| employers are usually in a better financial position to bear the loss |
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Term
| Paul employed Terry as his agent to purchase a tract of real property, to sell some bonds owned by Paul, and to investigate a potential investment in a city 1,000 miles away. Terry is a |
|
Definition
|
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Term
| Pell is the principal and Asor is the agent in an agency coupled with an interest. In the absence of a contractual provision relating to the duration of th agency, who has the right to terminate the agency before the interest has expired? |
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Definition
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Term
| Perry tells Jamal that Selena has agreed to allow him to sell her racing bicycle. Selena is present at the time, hears the conversation, and says nothing. Jamal wants to buy a bicycle like Selena's, so he agrees with Perry to buy Selena's bike. Selena then refuses to sell the bicycle. Selena claims that she is not bound by the agreement formed by Perry and Jamal because Perry is not her agent. Selena is |
|
Definition
| bound by the contract, under a theory of agency by estoppel |
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Term
| Randy instructs his agent Antonio to obtain a piece of artwork from Martina by threatening to beat her if she refuses to sell the artwork. Antonio follows Randy's instruction and beats Martina when she refuses to sell the item. In this situation, |
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Definition
| Both Randy and Antonio are liable for Martina's injuries |
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Term
|
Definition
| Requires the principal to ratify the entire act of the agent, and the ratification is retroactive. |
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Term
| Regina asks Warren, a house painter, to paint her house. Warren, who is overloaded with work, contracts with Maggie to do the work for him as an independent contractor. As Maggie is busy painting, Regina walks out of her house and Maggie accidentally drops a one-gallon can of paint onto Regina's head, causing serious injuries. In this situation, Warren is |
|
Definition
| probably not liable for Regina's harms |
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Term
| Several states in the United States now have "right to work laws". In these states, |
|
Definition
| Compulsory union membership is illegal |
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Term
| Sierra works for a dry-cleaning company that has a contract with the U.S. government. To save on cleaning fluid, her boss orders her to wash some clothes in a washing machine that are supposed to be dry-cleaned. When the courier hired to pick up the cleaned garments arrives, Sierra tells him about her boss's actions. Sierra tells no one else about what is going on and is later fired. Sierra |
|
Definition
| is not protected by the whistleblower statute, because she failed to inform the proper party of the contract violation |
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Term
| Simpson, Ogden Corp.'s agent, needs a written agency agreement to |
|
Definition
| Purchase an interest in undeveloped land for Ogden. |
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Term
| Smith has been engaged as a general sales agent for the Victory Medical Supply Company. Victory, as Smiths' Principal, owes Smith several duties that are implied as a matter of law. Which of the following duties is owed by Victory to Smith? |
|
Definition
| To indemnify Smith for libility for acts done in good faith upon Victory's orders. |
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Term
| Smith suffered a heart attack in the emergency room of Baptist Hospital after being given a dose of penicillin for a sore throat. Smith sued the physician as well as the hospital. The hospital did not consider the physician to be its agent or its employee; all physicians who treated patients at the hospital were considered to be independent contractors. Physicians did not receive employee benefits from the hospital, and they were responsible for the payment of their own taxes on the income that they earned from the hospital. The court most likely found that the hospital was |
|
Definition
| liable for Smith's claim, because an agency between the physician and the hospital had been created by estoppel |
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Term
| Social Security benefits may include all of the following except |
|
Definition
|
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Term
| Target Stores hires store security officers (SSOs) to observe, apprehend, and arrest suspected shoplifters. SSOs are not armed, but they carry handcuffs and may use force, in self-defense, if necessary to carry out their duties. Target views good judgment and emotional stability as important SSO job skills. To determine whether applicants for SSO positions possess these qualities, Target uses a psychological test that it calls the Psychscreen. All job applicants must take the test as a condition of employment. A number of the questions included in the Psychscreen test are personal and relate to the applicant's religious beliefs and sexual orientation. Sibi Soroka sued Target, challenging the test as a violation of his privacy rights. Target claimed that the test was a good indicator of suitability for the SSO job but did not show a clear connection between success on the test and success on the job. The court most likely held that the test |
|
Definition
| violated applicants' privacy rights. Target did not have a compelling, job-related interest that justified invading the privacy of applicants |
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Term
| Tarver worked as an independent contractor in the Landers real estate agency. The sales agents worked on a commission basis, and Tarver's contract stated that she would receive 30 percent of the agency's commissions whenever she was the listing or selling agent in a sale. Seidel contacted the agency regarding a house advertised in the newspaper. Tarver showed him the property and handled offers and counteroffers between him and the seller. Later, Seidel returned to the agency office, and because Tarver was out, Landers met with him and negotiated the final details for the purchase of the property. Landers then refused to pay Tarver a commission because Tarver had not negotiated the final deal. Tarver sued to recover a commission. The court most likely held that Tarver was |
|
Definition
| entitled to a commission, based on the principal's duty of compensation |
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Term
| Taxes payable under the Federal Unemployment Tax Act (FUTA) are |
|
Definition
| Deductible by the employer as a business expense for federal income tax purposes. |
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Term
| The City of Delta Junction, Alaska, wanted to buy a fire tanker and sought bids from several dealers. The city bought the truck from Alaska Mack, a Mack truck dealer in Fairbanks. Alaska Mack modified a Mack chassis to carry a five-thousand-gallon water tank, but the truck then exceeded the manufacturer's weight limit specifications and was dangerously unbalanced and difficult to drive. Attempts to solve the problem failed. The city filed a breach-of-warranty lawsuit against Alaska Mack and also against Mack Trucks, the maker of the truck, under a theory of apparent agency. Mack Trucks claimed that Alaska Mack was not its agent. The city contended that Alaska Mack's use of Mack Trucks' name and trademark in its advertising caused the city's mayor and fire chief to believe that Alaska Mack was an agent of Mack Trucks and that they bought the truck because of the manufacturer's reputation. The court most likely held that |
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Definition
| an agency existed, based on the reasonable inference that could be drawn from Alaska Mack's use of Mack Trucks' very recognizable trademark and name |
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Term
| The duty of an agent to a principal |
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Definition
| May sometimes involve refusing to obey reasonable instructions |
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Term
| The Fair Labor Standards Act (FLSA) as amended |
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Definition
| Prohibits discrimination based upon the sex of the employee. |
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Term
| The Fair Labor Standards Act (FLSA) does not |
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Definition
| restrict the power of federal courts to issue injunctions against unions |
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Term
| The Federal Fair Labor Standards Act |
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Definition
| Prohibits the delivery by a wholesaler to a dealer in another state of any goods if the wholesaler knew that oppressive child labor was used in their manufacture. |
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Term
| The federal government began to regulate wages and working hours of employees |
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Definition
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Term
| The federal law that provides continued access to health insurance to workers who have been terminated from their employment is known as |
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Definition
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Term
| The Labor-Management Reporting and Disclosure Act (LMRDA) creates reporting requirements for |
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Definition
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Term
| The law regulating private pension funds is |
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Definition
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Term
| The legal doctrine of respondeat superior means that the |
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Definition
| principal is responsible for the agent's torts that are committed in the course and scope of employment |
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Term
| The National Labor Relations Act (also known as the Wagner Act) was enacted in 1935 to regulate labor activities in which way? |
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Definition
| Prohibit unfair labor practices. |
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Term
| The National Labor Relations Act (NLRA) established the right to |
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Definition
| engage in collective bargaining and to strike |
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Term
| The National Labor Relations Board (NLRB) was formed under the National Labor Relations Act in 1935. The NLRB |
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Definition
| Is responsible for the conduct of representative elections. |
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Term
| The party represented by the agent is known as the |
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Definition
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Term
| The primary purpose for enacting workers's compensation statutes was to |
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Definition
| Enable employees to recover for injuries regardless of negligence |
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Term
| The principal has a variety of available remedies when the agent breaches his/her duties. Which of the following best states a remedy for the given breach? |
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Definition
| Misappropriation of trade secrets. Remedy in recovery of profits made by the agent or by knowing third-party users. |
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Term
| The Taft-Harley Act of 1947 shifted the balance between the rights and obligations of employees and those of employers by |
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Definition
| Designating a list of unfair labor practices on the part of unions. |
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Term
| The term "employment at will" means that |
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Definition
| an employer or employee may terminate an employment relationship at any time, for any or no reason, as long as termination does not violate a law or an employment contract. |
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Term
| Under the equal dignity rule, |
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Definition
| if a contract must be in writing to be executed, an agent's authority must also be in writing |
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Term
| Under the Fair Labor Standards Act (FLSA) the Secretary of Labor does not have the power to |
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Definition
| Issue injunctions to restrain obvious violations of the act |
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Term
| Under the Fair Labor Standards Act (FLSA), certain employment of children is considered oppressive and is prohibited. Which of the following is not a legal exception to the FLSA? |
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Definition
| After school part-time work in the fast-food industry. |
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Term
| Under the Federal Consolidated Budget Reconciliation Act of 1985 (COBRA), when an employee voluntarily resigns from a job, the former employee's group health insurance coverage that was in effect during the period of employment with the company |
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Definition
| May be retained for the former employee and spouse at the former employee's expense for at least 18 months after leaving the company. |
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Term
| Under the Federal Insurance Contributions Act (FICA) , all of the following are considered wages except |
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Definition
| Reimbursed travel expenses |
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Term
| Under the Federal Insurance Contributions Act (FICA) and the Social Security Act (SSA), |
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Definition
| The receipt of earned income by a person who is also receiving Social Security retirement benefits may result in a reduction of such benefits. |
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Term
| Under the NLRA, an employer is prohibited from engaging in unfair labor practices, which include all of the following except |
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Definition
| failing to discriminate against employees for filing charges under the act |
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Term
| Virgil belongs to a union that has been locked in negotiations with his employer for months. The union gets a majority vote to strike and sends its members out on the picket lines. Virgil does his part, carrying signs and marching peacefully. After about an hour, however, he is arrested. At trial, his defense is that picketing is protected by |
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Definition
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Term
| Wanamaker, Inc. engaged Adolph Anderson as its agent to purchase original oil paintings for resale by Wanamaker. Anderson's express authority was specifically limited to a maximum purchase price of $25,000 for any collection provided it contained a minimum of five oil paintings. Anderson purchased a seven-picture collection on Wanamaker's behalf for $30,000. Based upon these facts, which of the following is a correct legal conclusion? |
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Definition
| If Wanamaker rightfully disaffirms the unauthorized contract, Anderson is personally liable to the seller. |
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Term
| What are yellow-dog contracts? |
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Definition
| Agreements that employees would not join unions. |
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Term
| What fiduciary duty, if any, exists in an agency relationship? |
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Definition
| The agent owes a fiduciary duty to the principal. |
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Term
| When a third party reasonably believes a person has authority to act on another's behalf, even if that person does not have such authority, it is known as |
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Definition
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Term
| When determining whether a worker is an employee or an independent contractor, a key factor to consider is the |
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Definition
| extent to which the employer controls the actions of the worker |
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Term
| When Imani, the bookkeeper and employee of a marketing firm, is going from her home to work, she is normally considered to be acting |
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Definition
| outside the scope of employment |
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Term
| When the principal breaches a duty owed to the agent, an agent may |
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Definition
| withhold further performance and demand an accounting |
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Term
| which of the following acts can a principal employ an agent to perform? |
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Definition
|
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Term
| Which of the following classes of employees is exempt from both the minimum wage and maximum hours provisions of the federal Fair Labor Standards Act (FLSA)? |
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Definition
| Administrative personnel. |
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Term
| Which of the following employees are exempt from the overtime provisions of the Fair Labor Standards Act (FLSA)? |
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Definition
| Railroad and airline employees |
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Term
| Which of the following is a true statement about penalties provided by OSHA |
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Definition
| The Secretary of Labor cannot issue an unjunction to prevent future violations |
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Term
| Which of the following parties generally is ineligible to collect workers' compensaition benefits? |
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Definition
|
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Term
| Which of the following remedies is available to a principal when an agent fraudulently breaches a fiduciary duty? |
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Definition
| Termination of the agency/YES Constructive Trust/YES |
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Term
| Which of the following rights will a third party be entitled to after validly contracting with an agent representing an undisclosed principal |
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Definition
| Performance of the contract by the agent. |
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Term
| Which of the following statements about a duty of an employer to protect employees from cigarette smoke of co-workers is true? |
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Definition
| Emloyees could reasonably argue that they have a right to a smoke-free working environment based upon both common law and federal and state statutes |
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Term
| Which of the following statements about OSHA inspections is true? |
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Definition
| An employee may request an inspection of his employer. |
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Term
| Which of the following statements about the status of striker is true? |
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Definition
| A striker over an unfair labor practice by the employer abut not an illegal or economic striker is entitled to reinstatement. |
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Term
| Which of the following statements about workers' compensation claim procedures is true? |
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Definition
| A notice of injury must be given within the statutory period |
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Term
| Which of the following statements is true regarding the scope and provisions of the Occupational Safety and Health Act (OSHA) |
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Definition
| OSHA prohibits an employer from discharging an employee for revealing OSHA violations |
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Term
| Which of the following statements is true with respect to Social Security taxes and benefits? |
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Definition
| A self-employed individual with net earning of $35,000 will pay more tax than an employee with wages of $35,000 |
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Term
| Which of the following statements is(are) correct regarding the relationship between an agent and a nondisclosed principal? 1. Te principal is required to indemnify the agent for any contract entered into by the agen within the scope of the agency agreement. 2. The agent has the same actual authority as if the principal had been disclosed. |
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Definition
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Term
| Which of the following types of income is subject to taxation under the provisions of the Federal Insurance Contributions Act (FICA) |
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Definition
| Car received as a productivity award |
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Term
| Which of the following would be the employer's best defense to a claim for worker's compensation by an injured route salesman? |
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Definition
| The salesman's injury did not arise out of and in the course of employment |
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Term
| Which one of the following federal acts requires unions to retain financial records and submit financial reports to federal authorities? |
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Definition
| Landrum-Griffin Act of 1959. |
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Term
| Which one of the following statements concerning workers' compensation laws is generally true? |
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Definition
| Employers are strictly liable without regard to whether or not they are at fault. |
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Term
| With respect to their employers, employees who deal with third parties are generally deemed to be |
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Definition
|
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Term
| Workers compensation laws provide for all of the following benefits except |
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Definition
| Full pay during disability |
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Term
| Workers have the right to strike but certain kinds of strikes are illegal. Which of the following statements is true? |
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Definition
| If the collective bargaining agreement is for a definite period, 60 days' notice must be given if the union wishes to strike to seek modification of the agreement. |
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Term
| Young was a purchasing agent for Wilson, a sole proprietor. Young had the express authority to place purchase orders with wilson's suppliers. Young conducted business through the mail and had little contact with Wilson. Young placed an order with Vanguard, Inc. on Wilson's behalf after Wilson was declared incompetent in a judicial proceeding. Young was aware of Wilson's incapacity. With regard to the contract with Vanguard, Wilson (or Wilson's legal representative) will |
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Definition
| Not be liable because Yound did not have authority to enter into the contract. |
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Term
| Winters was an at-will employee for the Houston Chronicle for nine years. After he had worked there for about four years, he became aware of illegal activities. The Chronicle was falsely reporting an inflated number of paid subscribers and several employees were engaged in inventory theft. His supervisor offered him a chance to participate in a kickback scheme with a plastic bag supplier. Winters reported these activities to upper-level management. He made no report to law enforcement agencies. He was fired. The state had no whistleblower statute. He sued the Chronicle for wrongful termination. The court most likely held that Winters was |
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Definition
| protected by a public policy exception to the employment-at-will doctrine. |
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