Ch03-TB-BLTE-8e

Ch03-TB-BLTE-8e - Chapter3 CourtsandAlternative...

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Chapter 3 Courts and Alternative Dispute Resolution TRUE/FALSE QUESTIONS 1. Federal courts are superior to state courts. ANSWER: F PAGE: 72 TYPE: = MISC: AACSB Analytic Skill Level: AICPA Legal 2. State courts are independent of federal courts. ANSWER: T PAGE: 72 TYPE: = MISC: AACSB Analytic Skill Level: AICPA Legal 3. The function of the courts is to interpret and apply the law. ANSWER: T PAGE: 73 TYPE: N MISC: AACSB Analytic Skill Level: AICPA Legal 4. A state court can exercise jurisdiction over anyone within the boundaries of  the state. ANSWER: T PAGE: 73 TYPE: = 33
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34 TEST BANK TO ACCOMPANY BUSINESS LAW TODAY: THE ESSENTIALS MISC: AACSB Analytic Skill Level: AICPA Legal 5. A long arm statute permits a court to exercise jurisdiction over an out-of- state defendant. ANSWER: T PAGE: 73 TYPE: = MISC: AACSB Analytic Skill Level: AICPA Legal 6. A state court can exercise jurisdiction over a nonresident by showing that  he or she had minimum contacts with the state. ANSWER: T PAGE: 73 TYPE: = MISC: AACSB Analytic Skill Level: AICPA Legal
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CHAPTER 3: COURTS AND ALTERNATIVE DISPUTE RESOLUTION 35 7. A state court can exercise jurisdiction over all of the property located within  the boundaries of the state. ANSWER: T PAGE: 76 TYPE: + MISC: AACSB Analytic Skill Level: AICPA Legal 8. A lawsuit involving a federal question can originate in a federal court. ANSWER: T PAGE: 77 TYPE: = MISC: AACSB Analytic Skill Level: AICPA Legal 9. For purposes of diversity of citizenship, a corporation is a citizen only of the  state in which it is incorporated. ANSWER: F PAGE: 77 TYPE: = MISC: AACSB Analytic Skill Level: AICPA Legal 10. Cyberspace is its own jurisdiction. ANSWER: F PAGE: 78 TYPE: = MISC: AACSB Analytic Skill Level: AICPA Critical  Thinking 11. The Internet has no effect on a court’s assertion of personal jurisdiction. ANSWER: F PAGE: 78 TYPE: = MISC: AACSB Reflective Skill Level: AICPA Critical  Thinking 12. A court will not exercise jurisdiction over an out-of-state defendant who has  only done business in the jurisdiction over the Internet. ANSWER: F PAGE: 78 TYPE: N MISC: AACSB Analytic Skill Level: AICPA Legal
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36 TEST BANK TO ACCOMPANY BUSINESS LAW TODAY: THE ESSENTIALS 13. To have standing to sue, a party must have been harmed or have been  threatened with harm by the action about which he or she complains. ANSWER: T PAGE: 80 TYPE: = MISC: AACSB Analytic Skill Level: AICPA Legal 14. A   justiciable   controversy   is   a   case   in   which   the   court’s   decision—the  “justice” that will be served—will be controversial. ANSWER:
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Ch03-TB-BLTE-8e - Chapter3 CourtsandAlternative...

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