Business Law – Business & Finance – Marketing
50 QUESTIONS
Visit this website of the “Electronic Frontier Foundation” @ https://www.eff.org/issues/bloggers/legal/liability/230
Then read this news story about the Section 230 of the Communications Decency Act “Case Could Stifle Online Speech”
http://www.latimes.com/business/hiltzik/la-fi-hiltzik-online-publishers-20160909-snap-story.html
And answer the following questions which are based upon the news article – not the website:
1. Section 230 of Communications Decency Act protects _____________.
a. Law firm clients
b. Lawyers
c. Internet publishers that host user comments
d. None of the above
2. The case of Hassle v. Bird was appealed to the California Supreme Court because:
a. Yelp was ordered to remove content from its site and, it’s not a party to the underlying lawsuit and was not
given notice and an opportunity to be heard (aka due process).
b. Section 230 of the CDA provides protection to those who repeat or publish information, not the original author
of defamatory comments.
c. If the case is not challenged, there will be a legal basis for anyone to remove one side of a debate.
d. All of the above
3. For purposes of establishing and comparing due process rights for Yelp! UCLA Law Professor, Eugene Volokh,
compares the internet to:
a. A bookstore possessing obscene materials
b. An art gallery containing allegedly obscene artworks
c. Both a & b
d. None of the above
4. Hassell got into a hassle with Bird over her flying away (withdrawing) from representation of Bird in a personal
injury case.
a. True
b. False
5. Hassell prevailed on her underlying lawsuit for libel based on ______________.
a. The merits of her case after a 3 week jury trial
b. A default judgment, similar to that of the neighbors of Copper the barking dog
c. A ruling of an arbitrator in a binding arbitration according to the newly imposed “Wells Fargo Rule”
d. All of the above.
6. Legal experts say that allowing a publisher to be blindsided this way simply provides enemies of free speech with
a “roadmap” for circumventing 1st Amendment safeguards of all kinds.
a. True
b. False
(Not mandatory – for more detail and perspective on the above questions see Washington Post story at:
)
Read the following story and answer the questions:
Former USC linebacker Lamar Dawson sues NCAA and Pac-12
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By: Nathan Fenno – L.A. Times – September 16, 2016
Former USC linebacker Lamar Dawson sued the NCAA and Pac-12 on Monday, alleging the organizations violated state and federal
laws governing wages and hours as “joint employers” of Division I football players.
Filed in U.S. District Court in San Francisco, the class-action lawsuit accused the NCAA and Pac-12 of breaching the Fair Labor
Standards Act and California law by not paying football players minimum wage or overtime. “Plaintiff was repeatedly paid a
substandard wage insofar as he was denied full pay for all hours worked, including overtime pay, and was frequently permitted to
work without receiving required minimum wage payments,” the 45-page complaint said.
Dawson, a prize recruit out of high school in Kentucky, played for USC from 2011 through 2015. He started during three seasons but
was a backup last year until a shoulder injury prematurely ended his season.
“The NCAA and the leagues are big business that derive enormous financial benefits from the labor of the athletes,” Dawson’s New
York-based attorney, Mark Rifkin, said in an email. “The undeniable economic reality of that relationship requires the athletes to be
recognized as employees. Therefore, the athletes must be paid mandatory minimum wages and overtime for their labor.”
A Pac-12 spokesman said the conference has reviewed the lawsuit and will “vigorously” defend itself.
“As has been made clear throughout the legal process, student-athletes are not employees,” the spokesman said.
The NCAA disputed the complaint’s premise.
“(We) strongly disagree with the notion that college students participating in athletics are employees,” Donald Remy, the
organization’s chief legal officer, said in a statement. “Our experience is that these college students, like their non-athlete
colleagues, are very focused on their academic endeavors. Moreover, they have a passion for their sport and a commitment to their
teammates that can’t be equated to punching a time clock.”
The lawsuit, which also accused the NCAA and Pac-12 of unfair business practices, seeks unpaid wages and overtime, plus interest, in
addition to a variety of unspecified damages.
7. Lamar Dawson contends that he was entitled to ____________ as a(n) ______________ while playing for USC.
a. Minimum wage/employee
b. Full benefits/player
c. Overtime pay/worker
d. Both a & c
8. The NCAA and Pac -12 are jointly accused of:
a. Violating state and federal laws
b. Failing to pay minimum wage
c. Unfair business practices
d. All of the above.
End of NCAA lawsuit story questions.
9. Whether or not a worker has a professional skill or license that they must obtain and maintain on their
own is one factor to consider when determining their “employee” vs. “independent contractor” status.
a. True
b. False
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10. A ___________________ is a combination of words and symbols that a business uses to identify its products and
distinguish them from others.
a. service mark
b. copyright
c. utility patent
d. trademark
11. Parody is:
a. Not protected by copyright law
b. A fair use of copyrighted material
c. Protected under the DMCA
d. None of the above
12. A prospectus:
a. Must be made available to all investors before purchasing stock
b. Includes important disclosures about a company
c. Is included in a company’s SEC registration statement
d. All of the above
13. According to the California Court of Appeal’s holding in Chopra vs. Helio Solutions, Inc., as discussed in your
textbook and elsewhere, shareholders have some rights to corporate information, but they are not entitled to access
corporate confidences and secrets.
a. True
b. False
14. Failure to disclose the fact that you are pregnant to your potential employer during the hiring process
constitutes fraud and is legal grounds for termination.
a. True
b. False
15. An employer can face serious fines and penalties for misclassification of a worker as an Independent Contractor
instead of an employee.
a. True
b. False
Read the newspaper articles by clicking on the links below:
http://www.noozhawk.com/article/capps_aide_fired_after_dui_hit-and-run_20131209
Read the follow up story at:
And then answer the following questions:
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16. Representative Lois Capps (D- Santa Barbara) of the U.S. Congress should be held liable for the death of Mallory
Dies.
a. True, but only if the doctrine of Respondeat Superior can be properly applied
b. False, Morua was clearly not working for Capps at the time of the accident and therefore he is solely responsible
for his actions.
c. True, it is clear that Raymond Morua was acting Rep. Capps’ behalf at the time of the accident.
d. None of the above.
17. The office of Lois Capps had a legal duty under federal law as an employer and a member of the U.S. Congress to
conduct a thorough criminal background check prior to hiring her staff members.
a. True
b. False
18. Generally, the tortious conduct of an employee will be imputed to his or her employer as long as the wrongful
actions of the employee occurred within the course and scope of the employment relationship.
a. True
b. False
19. The family of Ms. Dies, the decedent in the story, filed the lawsuit in federal court because:
a. There is diversity jurisdiction.
b. The Defendant was employed by the federal government and was allegedly acting within the course and scope
of his employment when the incident occurred, therefore federal law will apply.
c. All wrongful death cases must be brought in federal court
d. All of the above.
20. The Uniform Trade Secrets Act (UTSA) covers:
a. Stock trades
b. Unlawful disclosure of protected information
c. The American Law Institute
d. None of the above
21. Allen calls PepsiCo, the makers of Pepsi Cola saying that he’s an employee of Coca-Cola and he has the Coca-Cola
secret recipe. The recipe is legendary as a closely guarded secret supposedly known to only a handful of people
in the world. They arrange a meeting. Allen begins the meeting by stating that he acquired the recipe legally and
the PepsiCo representative says that they believe him and they will buy it. Allen in fact stole the recipe. Since
PepsiCo does not know specifically that the recipe was acquired improperly by Allen, they cannot be guilty of
misappropriation.
a) True
b) False
Read this story: His cheap fix for PCs proves costly L.A. Times – May 4, 2018
http://enewspaper.latimes.com/infinity/article_share.aspx?guid=9f3b05b4-8eca-4cb0-9d29-e36871674395
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Answer the following questions:
22. Eric Lundgren is being prosecuted in federal court because he is being charged with a federal crime.
a. True
b. False
23. Lundgren’s legal problems included
a. A seizure of a shipment of discs by U.S Customs officers in 2012
b. A sting operation by a Florida broker that resulted in conspiracy charges
c. A combination of a & b
d. A unsolved murder case in Florida
24. The judge who sentenced Lundgren found him to be a “danger to society” and stated from the bench during the
sentencing hearing that he was “. . . glad Lundgren would finally be off the streets once and for all.”
a. True
b. False
25. Federal prosecutors claimed that Lundgren’s counterfeit operating systems had deprived Microsoft of $108.3 million
in lost sales and that he should be imprisoned for life.
a. True
b. False
26. Lundgren’s attorney said that this case had set a precedent for software makers to pursue criminal cases against
those seeking to extend the life spans of computers.
a. True
b. False
27. Lundgren contends that his one of his motivations to create restore discs was to reduce e-waste.
a. True
b. False
28. The federal government was prosecuting Lundgren for
a. Money laundering and copyright infringement over $8.3 million
b. Conspiracy to traffic in counterfeit goods
c. Criminal copyright infringement
d. Both b & c
29. Lundgren’s argument(s) in support of his defense included:
a. The software on his restore discs could be downloaded for free
b. The restore discs he created could only be used on computers that already had a valid Microsoft license.
c. The discs had no value since they were free from Microsoft to begin with
d. All of the above
Read this story about Wells Fargo Bank and the pending employee and shareholder lawsuits against it:
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http://www.latimes.com/business/la-fi-wells-fargo-lawsuits-20170505-story.html
Answer this questions based on the news story:
30. According to the story, the lawsuits against Wells Fargo may proceed to the point where the bank will be
required to:
a. Change its name to protect the innocent
b. Turn over documents and evidence
c. Fire and jail the entire board of directors
d. All of the above
Read this news story about Wells Fargo arbitration clauses and answer the questions that follow:
http://www.latimes.com/business/la-fi-wells-fargo-arbitration-20170515-htmlstory.html
31. According to the story, the new state law that is proposed by California state lawmaker, Dodd, may be
invalidated by:
a. Preemption under the supremacy clause of the U.S. Constitution
b. A challenge before the U.S. Supreme Court
c. Both a & b
d. None of the above
32. The Wells Fargo customers who have sued the bank for the unlawful account openings and other illegal actions
have, thus far, had their lawsuits dismissed because:
a. They did not have a legitimate legal claim
b. They filed in federal court instead of state court
c. They signed a contract that prevented them from suing in the courts
d. Their agreement contained an arbitration clause
e. Both c & d
33. According to the article, a federal law is not likely to be passed because:
a. Republican lawmakers do not support the passage of a federal law that would protect consumers from banks
that open fraudulent accounts and therefore, it will not move forward
b. The Supreme Court will not pass such a statute
c. Senator Brown and Representative Sherman do not the necessary support to have a house and/or senate bill go
to a vote.
d. Both a & c
Read the news story in the link about Wells Fargo shareholder suits.
http://www.sfchronicle.com/business/article/Shareholder-suit-may-offer-best-chance-to-fix-11059016.php
34. According to the article, shareholder lawsuits are one way that investors can hold corporate executives
accountable, other ways to hold executives accountable are:
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a. Vote directors out of their positions on the board
b. Withhold support for executive compensation
c. Cause companies to make a change in executive pay with a “say on pay” vote
d. All of the above
35. According to Professor Hanley of Lehigh University, shareholder lawsuits such as the one against Wells Fargo
described in the story, serve more than just a means to recover money, the lawsuits can also:
a. Uncover the truth
b. Hold the right people accountable
c. Send the wrongdoers to jail
d. Both a & b
36. In determining a worker’s independent contractor status, the need for training a worker will be an indication
that that they are:
a. An independent contractor
b. An employee
c. An employer
d. All of the above.
37. General Partnership interests are not commonly transferable without the permission of the other partner(s).
a. True
b. False
38. The ________________ is an important guideline for officers and directors in the routine management of
corporate business. It is also important factor in determining the liability of the principals to the shareholders of a
corporation for the decisions that are made in the operation of the business.
a. fiduciary rule
b. business judgment rule
c. duty of loyalty
d. corporate code of honor
Click on the links below to read the news story.
http://www.latimes.com/local/california/la-me-birthday-song-20150730-story.html#page=1
How the evidence in the Happy Birthday copyright case was found:
http://www.post-gazette.com/ae/music/2015/07/30/Pitt-library-songbook-could-answer/stories/201507310146
Answer the following questions about copyrights and public domain:
39. Facts which are helpful to the Plaintiff’s claim that the “Happy Birthday to You” song is not protected by Warner
Music’s claimed copyright ownership include:
a. Music that was published before 1923 is generally considered to be in the public domain.
b. The author of the work acknowledged in a Time magazine interview that she had “long ago resigned herself to
the fact that the ditty had become the common property of the nation.”
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c. The discovery of a 1922 songbook that publishes the tune and its lyrics without any copyright notice.
d. All of the above.
40. In the case of Golan v. Holder, the U.S. Supreme Court held that Congress can remove works from the public domain
without violating the Constitution.
a. True
b. False
41. The civil lawsuit over the rights to use the Happy Birthday song that is the subject of the story was originally filed in
_________________ court because________________:
a. State court in Los Angeles because there is diversity jurisdiction.
b. State court in Los Angeles because only California law applies.
c. Federal court in New York because that is where the crime occurred.
d. Federal court because copyright law is based upon federal statutes.
42. In order for Warner to charge user royalties for use of the Happy Birthday song, the song must be used as part of a
“Profit making enterprise.”
a. True
b. False
End of Happy Birthday copyright lawsuit questions.
43. Two U.S. Supreme Court cases: Solid Waste Agency of Northern Cook County v. U.S. Army Corps of
Engineers (SWANCC) (2001) and Rapanos v. United States (2006) both focused on interpretation of which
Federal environmental law?
a. Marine Mammal Protection Act
b. The Clean Air Act
c. The Paris Climate Change Accord
d. The Clean Water Act
See below – read both the May 3, 2018 press release from the Equal Employment Opportunity Commission
and this L.A. Times news story EEOC sues Albertsons May 5, 2018
http://www.latimes.com/business/la-fi-albertsons-spanish-20180504-story.html
Answer the questions that follow.
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U.S. Equal Employment Opportunity Commission
PRESS RELEASE
5-3-18
EEOC Sues Albertsons for Harassment of Hispanic Employees
SAN DIEGO – Albertsons, Inc., a national retail grocery chain, violated federal law when a class of Hispanic employees in San Diego
were subjected to harassment and a hostile work environment through the implementation of a no-Spanish policy, U.S. Equal
Employment Opportunity Commission (EEOC) charged in a lawsuit it filed today.
According to the EEOC’s lawsuit, beginning in late 2012, the grocery retailer prohibited Hispanic employees from speaking Spanish
Around non-Spanish speakers, including when they spoke to Spanish-speaking customers and during breaks. The EEOC alleges the
Managers publicly reprimanded Hispanic employees caught speaking Spanish. The EEOC also contends that no corrective action was
Taken, despite numerous employee complaints, forcing employees to transfer.
Such alleged conduct violates Title VII of the Civil Rights Act of 1964. The EEOC filed suit in U.S. District Court for the Southern
District of California (EEOC v. Albertson’s Inc., Case No. 3:18-cv-00852-MMA-BGS) after first attempting to reach a pre-litigation
settlement through its conciliation process. The EEOC’s suit seeks monetary damages for the class of affected employees, as well as
injunctive relief intended to prevent and correct discrimination in the future.
“Employers have to be aware of the consequences of certain language policies,” said Anna Park, regional attorney for EEOC’s Los
Angeles District Office, which includes San Diego County in its jurisdiction. “Targeting a particular language for censorship is often
Synonymous with targeting a particular national origin, which is both illegal and highly destructive to workplace morale and
Productivity.”
Christopher Green, director of the EEOC’s San Diego Local Office, added, “It is extremely important for workers to feel safe in coming
forward to report harassment. It is equally important for employers to make certain that harassment is investigated and addressed
appropriately.”
According to the company’s website, www.albertsons.com, Albertsons companies is one of the largest food and drug retailers in the
United States, employing approximately 280,000 people across 35 states. They operate under 19 well-known banners, such as
Albertsons, Vons, Safeway and Pavilions, and reach over 2,300 communities.
Preventing workplace harassment through systemic litigation and investigation is one of the six national priorities identified by the
Commission’s Strategic Enforcement Plan (SEP).
The EEOC advances opportunity in the workplace by enforcing federal laws prohibiting employment discrimination. (More
information is available at www.eeoc.gov.)
44. The EEOC is criminally prosecuting the Albertsons workers because their use of Spanish in the workplace creates an
unreasonable danger and is illegal under Cal OSHA rules.
a. True
b. False
45. The EEOC attorney, Anna Park contends that censoring a particular language often equates to targeting national
origin, which is illegal under federal law.
a. True
b. False
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46. Albertsons banned its workers from speaking Spanish in the workplace because the manager “could tell from their
tone of voice” that the workers were mocking her and encouraging customers to steal from the market.
a. True
b. False
47. One of the key issues in the EEOC’s case is an Albertsons’ training video that suggests it is best if Spanish speaking
workers do not speak Spanish in front of non-Spanish speaking workers.
a. True
b. False
48. Mickey Kasparian, the Local 135 union representative said that they had complained repeatedly to Albertsons about
the limitation on speaking Spanish in the workplace and in a collective bargaining agreement, it was stipulated that
workersZamorano and Stevenson would be permitted to speak Spanish on their meal breaks, but at no other time.
a. True
b. False
49. The EEOC is the California state administrative agency charged with enforcing California’s strict anti-discrimination
laws.
a. True
b. False
50. The lawsuit is seeking a court order to stop Albertsons from discriminating against its employees based on national
origin and for compensatory and punitive damages.
a. True
b. False