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In a case involving Internet transactions, jurisdiction is proper only when the defendant conducts substantial business in the jurisdiction online.

A) True
B) False

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Tabulated Data Inc. files a suit against the United States, challenging a congressional enactment mandating that employers pay their employees' student loans. The process by which the court decides this issue is


A) judicial review.
B) voir dire.
C) unconstitutional.
D) the rule of four.

E) B) and C)
F) A) and B)

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Liz and Moss disagree over the amount due under their contract. To avoid involving a third party in the resolution of their dispute, Liz and Moss could resolve their dispute through


A) arbitration.
B) litigation.
C) mediation.
D) negotiation.

E) A) and D)
F) A) and C)

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Jill and Kane, with their attorneys, meet to try to resolve a dispute. A neutral third party works with both sides and proposes a solution, but does not make a decision resolving the matter. This is


A) arbitration.
B) mediation.
C) negotiation.
D) none of the choices.

E) B) and C)
F) A) and B)

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Negotiation requires the use of a neutral third party to facilitate a settlement.

A) True
B) False

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In the American governmental system, applying the laws to specific situations is the essential role of Congress.

A) True
B) False

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A corporation's compliance with the laws of any jurisdiction in which it does business is complicated by the fact that those laws can be very different.

A) True
B) False

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Because the Internet is international in scope, no party to an online dispute resolution proceeding can appeal to a court at any time.

A) True
B) False

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Parties to international business transactions should include certain clauses, including arbitration clauses, in their contracts to avoid added complexity in related legal proceedings.

A) True
B) False

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When concurrent jurisdiction exists, the decision of whether to litigate in a federal or state court can be affected by the availability of different remedies.

A) True
B) False

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A mandatory arbitration clause in an employment contract may not be enforced if


A) the arbitration rules and procedures are unfair to one of the parties.
B) the parties did not specify limits to the disputes that may be submitted.
C) the relevant arbitration statute does not exclude the claim in dispute.
D) a party who agreed to the clause later opposes arbitration.

E) B) and C)
F) A) and D)

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Steel Mill Inc. makes steel forms of substandard quality. Tower Building Company has never bought or used a Steel Mill form, but files a suit against the firm, alleging that its products are defective. The defendant's best ground for dismissal of the suit is that the plaintiff does not have


A) venue.
B) exclusive jurisdiction.
C) standing to sue.
D) minimum contacts.

E) A) and B)
F) A) and C)

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A decision on a question of state law is final when


A) an issue of federal law is involved.
B) the United States Supreme Court rules on it.
C) the state's highest court make the decision.
D) a U.S. magistrate judge decides the case.

E) A) and B)
F) A) and C)

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Two businesses-Berry Farms LLC and Canned Jams Inc.-dispute the quality of goods delivered by the seller and the price agreed to by the buyer. With regard to this dispute, the two parties can


A) any of the choices.
B) litigate it.
C) settle it between themselves.
D) resolve it through an alternative method, such as arbitration.

E) A) and B)
F) None of the above

Correct Answer

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Cornel and Deanna resolve their dispute over the subsidence of Cornel's real property due to Deanna's excavation for an irrigation pond by having a neutral third party render a binding decision. This is


A) arbitration.
B) mediation.
C) negotiation.
D) early neutral case evaluation.

E) A) and B)
F) None of the above

Correct Answer

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Because the courts have defined interstate commerce broadly, arbitration agreements only slightly connected to interstate commerce may be enforced.

A) True
B) False

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State trial courts that are called special inferior trial courts or minor judiciary courts are most likely to have


A) appellate jurisdiction.
B) general jurisdiction.
C) limited jurisdiction.
D) no jurisdiction.

E) A) and B)
F) A) and C)

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A court's subject-matter jurisdiction may be limited by all of the following except


A) the subject of a lawsuit.
B) the sum in controversy.
C) whether the proceeding is a trial or an appeal.
D) the prior experience of the court in deciding similar disputes.

E) None of the above
F) B) and D)

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A federal court will apply federal law in a case involving a federal question.

A) True
B) False

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Juan sued Abram in state court, and lost his case. He immediately appealed to the intermediate level appellate court for his state, where he lost again. After losing again at the state supreme court level, he is so angry that he wants to take his case all the way to the U.S. Supreme Court. Does Juan have the right to have his case heard by the U.S. Supreme Court? What is the procedure he would use to get the U.S. Supreme Court to hear his case?

Correct Answer

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The United States Supreme Court has appe...

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