#and sandy now has a painting partner so its a win win

[bobus]

icetea doodle in honor of new moot lmao, also some things ive dug up from my old magma trenches.

[aventurineswife]

Aventurine with a hospitalized reader? I love how you write so much!! :3

“I never believed in luck until I met you.”

Summary: In the quiet confines of a hospital room, Aventurine, known for his charm and daring, reveals a softer, more vulnerable side as he sits beside his hospitalized partner. With playful gestures and genuine tenderness, he brings warmth and light to their recovery, reminding them of their unique bond and the strength they give each other.

Tags: Aventurine x Reader, Hurt/Comfort, Fluff, Hospital setting, Soft moments, Vulnerability.

Warnings: Mentions of hospitalization, light angst, with a focus of emotional vulnerability.

A/N: Thank you so much, anon 🫶💖!! I love the request and hope it meets up to your expectations!

You opened your eyes to the sterile white ceiling, the quiet hum of machines reminding you of your surroundings. Your chest ached faintly as you moved, and the familiar dullness of the hospital settled around you. But today felt different, lighter somehow, as if the air itself carried a spark of excitement.

And there he was—Aventurine, standing at the foot of your bed, grinning. His sandy-blond hair fell slightly across his face, and those eyes sparkled with a mischievous warmth that seemed to brighten the entire room. Even his attire—somehow seemed effortlessly out of place here, like he’d strolled right off a casino floor to see you.

“Well, darling, looks like I’m just in time.” He tilted his head, sliding into the chair beside you and immediately reaching for your hand, his fingers warm against yours. “Wouldn’t want you to get too lonely, now would we?”

You laughed softly, squeezing his hand. “How could I feel lonely with a Stoneheart risking his lunch break just to sit with me?”

He leaned back, adjusting the glasses perched on his nose. “Ah, but see, I like to think of it as my lucky break. Besides,” he added with a wink, “someone has to remind you that you’re my good luck charm.”

He reached into his coat, pulling out a small container with the most ridiculous thing inside—a mooncake cat, with a face painted on to look almost real. “I figured a silly snack would lift your spirits,” he said, breaking off a small piece and offering it to you. “Let’s hope it works its magic.”

You took the piece, savoring its sweetness. “Who’s the one in the hospital bed here?” you teased. “It’s usually you with the crazy luck stories.”

Aventurine’s smile softened, and he looked away, the playful mask slipping for just a second. “Everyone needs a reminder now and then,” he murmured, brushing a thumb over the back of your hand. “I know what it’s like to be in this place.”

He sighed, gently setting the rest of the mooncake cat aside. “It’s strange, but I always feel a bit...grounded, when I’m with you.” His voice softened as he held your gaze. “Like I can be more than the schemes and gambles. I can just...be me.”

Your heart warmed as his words lingered. In that moment, his dazzling, risk-taking facade fell away, revealing the vulnerability that he so often hid behind his confident smile. You reached up, gently brushing a stray strand of hair from his face.

“Guess that’s what makes us a winning pair,” you said. “We balance each other out.”

His eyes lit up as he chuckled, bringing your hand to his lips for a soft kiss. “Then we’ve already hit the jackpot.”

A comfortable silence settled between you as he remained by your side, his hand a steady comfort. Every so often, he’d hum softly, telling you little stories about his day, his latest daring ventures, and absurd workplace tales—anything to keep you smiling. His presence was soothing, a steady flame against the cold hospital walls.

Finally, as the nurse stepped in to adjust your IV, Aventurine looked up, his gaze meeting yours with a tenderness that took your breath away. “Promise me one thing,” he whispered, his voice low and warm, meant only for you. “Promise me you’ll come back to me soon.”

You nodded, unable to tear your eyes away from him. “I promise.”

With that, Aventurine leaned in, brushing a gentle kiss against your forehead, his warmth and devotion wrapping around you like a comforting blanket. “Good,” he murmured. “Because, my lucky charm, I’d be lost without you.”

He's definitely Lana Del Rey coded 🫶💖

[centrally-unplanned]

A Century+ of the Kurtzian Temptation

Partner and I rewatched (well, first time for her) Apocalypse Now this evening, and man does that hit hard after the debacle of Afghanistan had fully spun out its threads. Apocalypse Now always gained a lot of power from being an adaptation of a 19th century novel on colonialism, transplanted to the Vietnam War, and having to change almost none of its themes to still work. That act itself simply succeeding gave the film power outside of itself - the thematic universality was self evident. Adding another 50 years onto the pile and seeing a film that could take place in Helmud with nothing but a fresh coat of sandy paint is frightening - The Horror indeed.

I do think there is a deeper connection there, though. The surface reading of “war is bad and corrupting” of Apocalypse Now gives way to a more detailed understanding of the strategic contradictions of modern war, ones that relate to my own writings from before on the topic. The US military brass in the film have an understanding of their own war that is completely divorced from reality. They want to prop up the South Vietnamese government, they state their goal is to build an ally, but everything exists only on paper. Their allies are corrupt to the core; their own soldiers perpetually kill the people they aim to win over; the troops build a bridge every day that is blown up every night just to say progress is being made in the reports.

Colonel Kurtz has an “answer” to this dilemma - to go rogue, discard western morality, to *replace* the corrupt system they are propping up to one built by Men Like Him. In short, he wants to go Full Empire - a land run by a western elite built on superior force for the purpose of domination. And, critically for the film, this works to some degree - Kurtz gets results that other operations cannot, often with far less material*. The US has comically overpowered material capabilities in Vietnam, but it is all irrelevant as their goal is contradictory - to build a system that can survive without that military might, somehow achieved via that military might. Yet the US can of course never embrace the Kurtzian approach, as it clashes with the entire political and moral apparatus of our system - we prop up allies, we don’t Do Imperialism. And the genius insight of Apocalypse Now is that...the US system is right. Kurtz *cannot* Do Imperialism, his attempts to shed his morality and upbringing fail, it was a dream he could not live up to. And despite his material successes he finds himself asking for death when it comes knocking.

This is in fact a thematic change in relation to Heart of Darkness. The eponymous Kurtz of the Congo river is not Doing Imperialism for the mission - he is just a grandiloquent asshole. Which makes sense! Because in the Congo Free State of the 19th century, the West is very much Doing Imperialism. Like holy shit, the imperialism is off the charts, you have never seen this level of imperialism before. This was a system that was very much working, intensively effectively, the mission is not failing, and it needs no Kurtz to save it. Instead the contradiction Kurtz is exposing is the idea of the moralizing sheen Europe put on colonialism, the White Man’s Burden to civilize the world. The act of imperialism could never be ‘civilizing’, as the act itself was inherently de-civilizing. Imperial Europe could dominate, but it could never change the culture of its dominions (at least not in the way it intended; the unintended effects were legion), while it would itself be forever changed by own attempts. Meanwhile the US in the Vietnam of Apocalypse Now, as a culture that refused to explicitly dominate, found itself worse off in its ability to achieve victory while gaining nothing in its ability to achieve ‘civilization’, and degraded its own morality and soldiers in the process.

Afghanistan in so many ways is this ethos distilled. Nowhere has America tried to laser-focus more on the idea of the Civilizing Mission, called Nation-Building now. And nowhere have more well-intentioned men simply thrown their hands up in rage and disgust at the reality of that approach, like being told to stand back and do nothing as, say, the police force they were training for the Afghan government practiced institutionalized child sex slavery with no consequences. Every one of these people faced a Kurtzian moment of temptation, I have read too many accounts from veterans saying so implicitly, and some even explicitly, to just wipe the slate clean of the government we had built and forge something new, real, strong, and just. But of course the US system could not do that - instead we would drone strike Taliban fighters, and a few children on the side, and call it a day. Making friends with the horror of it all was the only way to survive such a civilizing mission, and how many Kurtz’s we made and broke along the way is surprising to no one who paid attention to how it went the last time.

(*I should note that Kurtz’s success is the least realistic part of the film; 1960′s Vietnam is not 19th century Annam or the Congo, while I do think there is some validity to his insight I do not think the US could have “won Vietnam” by going Kurtzian by any means. Its just not that important to the themes.)

[annenewton-blog]

BMGT 380 Final Examination Question and Answers

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 1. Sam orally agreed to sell Ramie some land for $500,000. Ramie paid Sam the $500,000; Sam gave Ramie the deed to the land. Ramie took possession of the land and began building a cabin on it. One month later, Sam tried to retake possession of the land by arguing that the contract for the sale was invalid because it was oral, not written. Sam sued Ramie to invalidate the contract and retake the land. The court will likely conclude that Sam will: a) Win; the sale exceeded $500 so the contract must be written to be valid. b) Win; all land sales contracts must be written. c) Lose; because the contract was fully executed Sam cannot rescind the contract. d) Lose; because Ramie had begun building a cabin on the property, Sam cannot rescind the contract.

2. On Tuesday, Sam offered to sell his CD collection to Sandy for $100. Sandy replied, "I’m interested. I’ll think it over and let you know Thursday whether I want to buy the CDs." On Wednesday, Sam agreed to sell the CDs to Jason, and Jason immediately gave Sam a letter that stated: "Sam, I will buy your CD collection for $100. As we agreed, I will pay you on Friday when I pick up the CDs. Yours truly, Jason." Upon Sam’s receipt of this letter on Wednesday, what best describes Sam’s contract agreement(s)? a) By forming an agreement with Jason, Sam breached his contract with Sandy.

b) Sam has formed contracts with both Jason and Sandy. c) Sam and Jason have formed a valid, enforceable contract; Sam did not form a contract with Sandy. d) Sam formed a contract with Sandy, but has not formed an enforceable contract with Jason because Jason has not yet paid for the CD collection.

3. Mac and Rhamad signed a business contract with a clause that provides that if a dispute arises they must submit to binding arbitration to resolve the dispute. After they had been doing business together for a year, a dispute arose under the terms of the contract. Rather than submit to arbitration, Mac filed a lawsuit against Rhamad. Most likely the court will: a) Hear the lawsuit because Mac cannot be compelled to submit to arbitration; he is constitutionally entitled to a jury trial if he requests a trial. b) Conduct a bench trial, then order a remedy without compelling Mac to submit to arbitration or to a jury trial. c) Compel Mac to submit to arbitration to resolve the dispute. d) Hear the lawsuit in a trial, then compel Mac to submit to arbitration, if Mac is not satisfied with the trial decision.

4. Roxy, while driving through Wyoming to her home in Montana, accidentally lost control of her car and drove it through a window into a store owned by Colt. Colt sued Roxy in a Wyoming court for damages to his store. Will the Wyoming court likely be able to exercise jurisdiction over Roxy? a) No, because Wyoming has no in personam (personal) jurisdiction over Roxy, and cannot exercise its long arm statute in cases only involving automobile accidents. b) No, because Wyoming has no in personam jurisdiction over Roxy, and cannot justify minimum contacts in this case.

c) Yes, Wyoming can exercise in personam jurisdiction in this case because any state court has personal jurisdiction in every diversity of citizenship case. d) Yes, because Wyoming can assert in personam jurisdiction over Roxy under the minimum contacts test.

5. Assume a salesperson intentionally made one of the following statements knowing that the statement was false – to a customer considering a purchase. Which statement could create liability for fraudulent misrepresentation if the customer made the purchase? a) “In my opinion, this car is in flawless mechanical condition.” b) “This crane will probably lift about 10,000 pounds.” c) “This car is a real gem.” d) “This is an original painting by the artist, Pablo Picasso.”

6. Don promised to buy his girlfriend, Sophie, a new car so Sophie sold her old car. Don now refuses to buy Sophie the car. Sophie has a job that requires her to have a car to get to work. If Sophie sues Don to enforce the promise, the likely result is that the promise will: a) Be enforced under promissory estoppel because Sophie reasonably relied on Don’s promise, to her detriment. b) Not be enforced as Sophie was not unjustly enriched simply because she did not receive the car. c) Be enforced because the car is a necessity for Sophie and all contracts for necessities are binding and enforceable for all parties even if contract formation is flawed. d) Not be enforced as Don’s promise was a gift to Sophie; Sophie gave consideration, but Don did not.

7. Reg offered to sell his motorcycle to Thelma for $8,000. Thelma replied, "Your price is too high. I will purchase your motorcycle for $7,000". Reg agreed and they committed their agreement to writing. This transaction can be characterized as: a) An enforceable contract because Reg’s acceptance of Thelma’s offer was a clearly communicated acceptance. b) An enforceable contract because Thelma’s counteroffer was less than Reg’s original offer. c) An unenforceable contract because Thelma’s offer was not the mirror image of Reg’s original offer as is required under common law contract rules. d) An unenforceable contract unless either Reg or Thelma is a merchant, as defined by the UCC, because sale of personal property contracts are valid only if one of the parties to the contract is a merchant. 8. Mary sued Don for negligence. Mary’s losses total $100,000. Under a contributory negligence system, if Mary is found to be contributorily negligent for her own injuries, what damages will Mary likely recover from Don? a) None. b) $100,000. c) $100,000 minus the percentage of fault (e.g., 20%, 60%, etc.) for which Mary was responsible. d) $100,000 minus the percentage of fault for which Mary was responsible, so long as Mary was not more than 50% responsible for the injuries.

9. Ram was walking down the sidewalk by a construction project site in a downtown area. The project was owned and operated by Modern Construction, Inc. and was surrounded by orange plastic fencing typically used for construction projects. Ram stopped to watch a metal beam being lifted by a crane on the

construction site. As the beam swung through the air, Ram thought it was going to fall and jumped forward quickly off the sidewalk and into the construction project property, falling into and smashing the orange plastic fencing. As Ram landed inside the construction project, the beam fell near Ram. The beam did not hit Ram but some rocks were thrown onto Ram as the beam fell, cutting his arm badly so that it required 35 stitches. If Ram sues Model Construction for negligence, the likely result will be that Ram will: a) Lose, because he assumed the risk as a trespasser on the construction site and trespassers can never recover damages. b) Lose, because pedestrians are always contributorily negligent in such cases involving trespassing. c) Win, because it is always foreseeable that a beam could fall on a nearby pedestrian. d) Win, if the beam fell because of Model Construction’s negligence.

10. X and Y agreed that X would sell Y his small business, including the land on which the business was situated, for $500,000. Both X and Y knew at the time the contract was formed that the business was actually worth $800,000. Is this a valid, enforceable contract? a) Yes, provided the contract was in writing, in accordance with the Statute of Frauds and the parties freely consented. b) Yes, provided the contract was in accordance with state statutory law that permits real estate sales for 40% or more below market value. c) No, because $500,000 is not valid consideration for a business worth $800,000. d) No, because X has no pre-existing legal duty to sell his business.

11. Fine Art Corp. sent a written offer to buy 10,000 pencils for a total of $10,000 from Faber Pencil Co. Both parties are merchants. Faber can accept the offer by: a) Promising to ship the pencils. b) Promptly shipping the pencils. c) Accepting the offer on Faber’s own written standard form contract. d) All of the above could be valid acceptance.

12. Ralph, a 16-year old minor, is manager for the high school football team. Ralph signed a contract to purchase alcoholic beverages from Liquormart, Inc. for the team party. This contract is: a) Void as a matter of law because it is illegal to sell alcohol to minors by state law. b) Void only if Ralph misrepresented his age and told Liquormart he was an adult. c) Valid and enforceable, but Ralph has the right to disaffirm because he is a minor. d) Valid and enforceable, if Liquormart knew that Ralph was a minor.

13. Which of the following activities may involve the use of a contract, and/or constitute a sales contract? a) Purchasing medications from a pharmacy. b) Hiring a contractor to make home repairs. c) Purchasing insurance policies from an insurance agent. d) Selling books to customers in a bookstore.

e) All of the above.

14. Fay was admitted to Global Associates, an existing partnership, as a limited partner on January, 2015. In June, 2015, a partnership debt incurred in October, 2014 came due. Fay is: a) Not liable for the debt because the debt was incurred prior to her joining the partnership. b) Only liable for the debt up to the amount of her capital contribution to the partnership. c) Personally liable only for 50% of the total debt if 50% of the other partners do not pay. d) Personally liable for the full extent of the debt if the other partners do not pay.

15. Earl, a nonmerchant, offered to sell a chair to Isaac, a nonmerchant. Earl’s house caught fire and destroyed the chair before Isaac accepted Earl’s offer to buy the chair. As a result: a) The destruction of the chair constitutes an automatic, valid revocation of the offer. b) The fire does not automatically revoke the offer, but because neither Earl nor Isaac is a merchant, the offer is revocable at any time at Earl’s option. c) Earl did not validly communicate a revocation to Isaac, so Isaac still has the option of accepting Earl’s offer; if Isaac accepts the offer, Earl must obtain a similar chair for Isaac or pay Isaac the equivalent value of the chair. d) Earl’s offer is automatically revoked by the fire, unless the offer was a firm offer.

16. CC’s Day Spa, LLC, is a member-managed limited liability company. So long as it is in accordance with state law, members can agree to apportion voting rights according to: a) Participation in management. b) Capital contributions. c) The number of members. d) Any of the above.

17. Jim and Kiley are architects and general partners of JK Designs. Jim and Kiley supervise Luc, an employee of JK Designs. As general partners of JK Designs, Jim and Kiley: a) Are not personally liable for any tort(s) committed by Kiley. b) May be personally liable for malpractice committed by Luc working within the scope of his job at JK. c) Have limited liability for any of Kiley’s acts of malpractice. d) Have no liability for any torts committed by Luc.

18. Kisha operates River Valley Soccer, an athletic equipment shop as a sole proprietorship. Taxes on the business’s income are paid by: a) No one; since it is a sole proprietorship there are no business taxes. b) Kisha as the sole owner. c) The state or federal government if Kisha holds a Small Business Administration loan acquired to start her business. d) The business entity of River Valley Soccer, not Kisha personally.

19. Assume that Virginia enacted a law prohibiting, until further notice, all grocery stores in Virginia from selling all powdered spices manufactured in, or shipped from, Maryland. This law was enacted because it was discovered that the spices recently manufactured in Maryland were infected with bacteria. Determine the constitutionality of the Virginia statute. The statute is: a) Unconstitutional; it violates grocery store owners’ substantive and procedural due process rights under the 5th and 14th Amendments because they are private businesses. b) Unconstitutional; the statute imposes an undue burden on interstate commerce. c) Constitutional; it is a valid exercise of Virginia’s police power. d) Constitutional; the statute imposes an undue burden on intrastate and interstate commerce.

20. Distinguish which of the following is an advantage of limited liability companies (LLCs) over corporations. a) Only one member of a LLC must have unlimited liability as compared with corporations in which all shareholders have unlimited liability. b) LLCs can be formed without any specific steps being taken by the owners as compared with corporations that must file Articles of Incorporation with the State. c) In most cases, a LLC can choose whether to be taxed as a partnership or corporation, as compared with corporations that are subject to double corporate taxation. d) LLCs can choose whether to sell shares publically to investors, as compared to private corporations that must sell shares publically to investors.

21. Pete, who collects antique cars, hired Ann as his agent to find and purchase a 1965 Ford Mustang on his behalf. Ann found a Mustang like Pete wanted, but Ann fell in love with the car and purchased it for herself. Which of the following illustrates Ann’s liability, if any, in her duty as agent to Pete in this situation? a) Ann has not violated the duty of loyalty to Pete; she can find another Mustang for him. b) Ann has not engaged in self-dealing because she did not purchase the Mustang with Pete’s funds. c) Ann usurped an opportunity for Pete, but has not violated the duty of loyalty to Pete by competing with Pete’s interests. d) Ann violated the duty of loyalty to Pete by competing with Pete’s interests, and has usurped an opportunity for Pete.

22. Ed hired Frankie, who is 13 years old, to buy a computer on Ed’s behalf. Which of the following identifies the legal relationship between Ed and Frankie? a) This is a valid agency relationship even though Frankie is a minor, and Ed would be bound by authorized contracts Frankie enters into on Ed’s behalf. b) This is a valid agency relationship even though Frankie is a minor, but Ed would have the option of disaffirming any contracts Frankie enters into on Ed’s behalf. c) This is a valid agency relationship even though Frankie is a minor, but Frankie would not be entitled to any payment under the terms of the agency because he is a minor. d) This is an invalid agency relationship because Frankie is a minor.

23. Mediation might be more reasonable and appropriate than a trial in which of the following situations?

a) A lawsuit challenging the constitutionality of a new state statute. b) A dispute between neighbors over a property boundary. c) An alleged theft of patio furniture from the patio of a house. d) None of the above are appropriate for mediation.

Answer questions 24-25 regarding the following scenario: Scenario: Jones, a resident of Arizona, booked reservations for a vacation at Windell Hotels, Inc. in Cabo Mar, Mexico. Windell Hotels is an international hotel chain incorporated in Delaware with hotels in North and South America; Windell Hotels has no hotels in Arizona but does advertise and book reservations for all its hotels over the Internet. While a guest in the hotel in Cabo Mar, Jones was walking across the hotel lobby, and slipped and fell on the wet marble floor that had been just washed by the maintenance staff. The staff had placed a “wet floor” sign on the lobby floor on the side wall of the lobby. Jones was taken to the nearest Mexican hospital where surgery was necessary to place a pin in his broken leg. Anxious to return home and see his regular doctor, Jones flew out of Mexico shortly after the surgery. He required two plane seats and an ambulance to meet him at various airports. His health insurance would not cover his hospital stay in Mexico as it was located outside the U.S. When back in Arizona, Jones was unable to work for 8 weeks and required another surgery to remove the pin. He also required several weeks of physical therapy.

24. Jones wants to sue Windell Hotels, Inc. in federal court for $450,000 to recover all his medical expenses in Mexico and the US; for $50,000 for the cost of the plane trip from Mexico to Arizona, the 2 plane seats and ambulance costs in various airports; $10,000 for 8 weeks of lost wages; and $50,000 for pain and suffering resulting from the injury. Can he sue in federal court? a) Yes, because Federal Court always has jurisdiction over citizens of different states.

b) No, because Federal Court does not have jurisdiction in cases that do not involve federal laws. c) Yes, because the Federal Court may have jurisdiction over citizens of different states and the lawsuit involves damages greater than $75,000. d) No, because the Federal Court has no jurisdiction over an accident that occurred in Mexico.

25. It would be easier for Jones to bring the lawsuit in Arizona state court, but he wonders if the court can get Windell Hotels to come to Arizona. Can the Arizona state court impose jurisdiction over Windell Hotels to bring the company to court in Arizona? a) No, because the subject of the lawsuit took place in a foreign country. b) No, because the corporation does not have sufficient minimum contact with Arizona to allow the Arizona court to use the long arm statute to establish jurisdiction in Arizona. c) Yes, because the Jones is a resident of Arizona and he is the plaintiff in the lawsuit. d) Yes, because Windell Hotels has sufficient minimum contact with Arizona the state to justify the court’s use of the long arm statute. Scroll down please to begin the essay portion of the exam.

Section: Section II. Essay: 9 questions/50 points Questions 1-8 = 5 pts each; question 9 = 10 pts Use the answer sheet at the end of the exam. Number each answer. DO NOT recopy questions. Answer each question in complete paragraphs; do not list or answer in phrases (points will be deducted for doing so). None of these questions can be adequately/comprehensively answered in just a paragraph, so be comprehensive, in depth in your answers, but be careful to not include irrelevant information. Points will be deducted for answers that are not well justified, not sufficiently comprehensive. Use APA in text citations, as appropriate but please do not use direct quotes. Use only classroom notes/comment and assigned reading or watching materials as resources, which is all you need to complete the exam. DO NOT use any outside, Internet resources as they are often inaccurate. Follow directions carefully. Answer all parts of each question. Be sure to directly answer the question(s) asked. __________________________________________________________________ Refer to the scenario for Multiple Choice questions 24-25 above to answer the following essay question #1 only: 1. Jones sued Windell Hotels, Inc. for negligence to recover damages for his injuries resulting from the fall in the Cabo Mar hotel. Will Jones likely be successful in the negligence lawsuit against Windell Hotels? Explain fully why or why not.

2. Clarkson and Lee did not have a contract, but Clarkson completed extensive landscaping in Lee’s yard by mistake while Lee was away on vacation. Clarkson sent Lee a bill for the landscaping service but Lee refused to pay. Determine the likely result if Clark sues Lee to recover the costs of the landscaping.

3. Racer contracted in writing to drive Owner’s one-of-a-kind, specially designed championship race car in the Miami 500 Race on July 15 for a fee of $2500. On July 1, the race car was destroyed in an accidental fire in a storage warehouse where the race car was being stored prior to the race. Owner owns no other race cars, so Owner considered the contract discharged. Racer claimed that she is still entitled to the $2500 fee because she and Owner had a valid enforceable contract. Compare and contrast the rights and obligations of Racer and Owner under the contract as of July 1.

4. Compare and contrast the rights and possible liabilities for a merchant selling goods in “As Is” condition with the rights and possible liabilities for selling goods with an express warranty stating, “This product is quality Grade A”.

5. Aaron plans to open Aaron’s Pets, a pet shop selling pets and pet supplies, and plans to hire 2 part-time employees. Aaron will invest only his own money in the business. He does not expect to make any profit for at least 2 years and to make very little profit for the next 3 years after the first 2 years. He does expect to make a profit eventually. Which form of business organization is most appropriate and easiest for Aaron to use in opening his pet store – and why? (There is only one correct answer).

6. There are extensive federal regulations governing airplanes and pilots. Assume that the state of New York passed a statute containing numerous requirements,

some conflicting with federal regulations, covering operation of airplanes and licensing of airplane pilots. If the New York state statue is challenged as being unconstitutional, what is the likely result? Describe the applicable law and rationale for your conclusion.

7. Fran, Joe, and Mike formed a general partnership to operate a flower shop called Fresher Flowers. One of Fran’s jobs is to make deliveries using the partnership truck. In one such delivery, Fran negligently ran a stop sign, striking a car driven by Peggy, causing damage to the car and injury to Peggy.

Analyze and describe (1) the personal liability of Fran, Joe, and Mike, (2) the liability of the partnership, Fresher Flowers.

8. Mark plans to open a barbeque restaurant. He can either open the business as a sole proprietorship or obtain a franchise for “Smokin’ Hot Bar-B-Q”. Compare and contrast the advantages and disadvantages of opening the business as a sole proprietorship and a franchise.

9. 10 points Leon, a bank vice president, joined Fitness Center, Inc. (FC). He signed a contract for the membership. The contract stated, among other things, an exculpatory clause that FC… “shall not be liable for any claim, demand, cause of action of any kind whatsoever for, or on account of death, personal injury, property damage or loss of any kind resulting from or related to Member’s use of facilities or participation in any sport, exercise or activity within the club premises…”

While working out at FC, Leon sustained back injuries when a treadmill on which he was walking suddenly collapsed at FC. Leon sued FC for his injuries. Discuss: a. Is the exculpatory clause in the contract valid or invalid in Leon’s case and why? b. Possible product liability claim(s) for which Leon could sue FC and why product liability claims might be applicable to this case c. Possible ordinary (non-product liability) negligence claim for which Leon could sue FC and why a negligence claim might be applicable to this case d. The likely outcome if Leon sues FC under product liability e. The likely outcome if Leon sues FC under ordinary negligence

[refugiaporter-blog]

BMGT 380 Final Examination Question and Answers

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 1. Sam orally agreed to sell Ramie some land for $500,000. Ramie paid Sam the $500,000; Sam gave Ramie the deed to the land. Ramie took possession of the land and began building a cabin on it. One month later, Sam tried to retake possession of the land by arguing that the contract for the sale was invalid because it was oral, not written. Sam sued Ramie to invalidate the contract and retake the land. The court will likely conclude that Sam will: a) Win; the sale exceeded $500 so the contract must be written to be valid. b) Win; all land sales contracts must be written. c) Lose; because the contract was fully executed Sam cannot rescind the contract. d) Lose; because Ramie had begun building a cabin on the property, Sam cannot rescind the contract.

2. On Tuesday, Sam offered to sell his CD collection to Sandy for $100. Sandy replied, "I’m interested. I’ll think it over and let you know Thursday whether I want to buy the CDs." On Wednesday, Sam agreed to sell the CDs to Jason, and Jason immediately gave Sam a letter that stated: "Sam, I will buy your CD collection for $100. As we agreed, I will pay you on Friday when I pick up the CDs. Yours truly, Jason." Upon Sam’s receipt of this letter on Wednesday, what best describes Sam’s contract agreement(s)? a) By forming an agreement with Jason, Sam breached his contract with Sandy.

b) Sam has formed contracts with both Jason and Sandy. c) Sam and Jason have formed a valid, enforceable contract; Sam did not form a contract with Sandy. d) Sam formed a contract with Sandy, but has not formed an enforceable contract with Jason because Jason has not yet paid for the CD collection.

3. Mac and Rhamad signed a business contract with a clause that provides that if a dispute arises they must submit to binding arbitration to resolve the dispute. After they had been doing business together for a year, a dispute arose under the terms of the contract. Rather than submit to arbitration, Mac filed a lawsuit against Rhamad. Most likely the court will: a) Hear the lawsuit because Mac cannot be compelled to submit to arbitration; he is constitutionally entitled to a jury trial if he requests a trial. b) Conduct a bench trial, then order a remedy without compelling Mac to submit to arbitration or to a jury trial. c) Compel Mac to submit to arbitration to resolve the dispute. d) Hear the lawsuit in a trial, then compel Mac to submit to arbitration, if Mac is not satisfied with the trial decision.

4. Roxy, while driving through Wyoming to her home in Montana, accidentally lost control of her car and drove it through a window into a store owned by Colt. Colt sued Roxy in a Wyoming court for damages to his store. Will the Wyoming court likely be able to exercise jurisdiction over Roxy? a) No, because Wyoming has no in personam (personal) jurisdiction over Roxy, and cannot exercise its long arm statute in cases only involving automobile accidents. b) No, because Wyoming has no in personam jurisdiction over Roxy, and cannot justify minimum contacts in this case.

c) Yes, Wyoming can exercise in personam jurisdiction in this case because any state court has personal jurisdiction in every diversity of citizenship case. d) Yes, because Wyoming can assert in personam jurisdiction over Roxy under the minimum contacts test.

5. Assume a salesperson intentionally made one of the following statements knowing that the statement was false – to a customer considering a purchase. Which statement could create liability for fraudulent misrepresentation if the customer made the purchase? a) “In my opinion, this car is in flawless mechanical condition.” b) “This crane will probably lift about 10,000 pounds.” c) “This car is a real gem.” d) “This is an original painting by the artist, Pablo Picasso.”

6. Don promised to buy his girlfriend, Sophie, a new car so Sophie sold her old car. Don now refuses to buy Sophie the car. Sophie has a job that requires her to have a car to get to work. If Sophie sues Don to enforce the promise, the likely result is that the promise will: a) Be enforced under promissory estoppel because Sophie reasonably relied on Don’s promise, to her detriment. b) Not be enforced as Sophie was not unjustly enriched simply because she did not receive the car. c) Be enforced because the car is a necessity for Sophie and all contracts for necessities are binding and enforceable for all parties even if contract formation is flawed. d) Not be enforced as Don’s promise was a gift to Sophie; Sophie gave consideration, but Don did not.

7. Reg offered to sell his motorcycle to Thelma for $8,000. Thelma replied, "Your price is too high. I will purchase your motorcycle for $7,000". Reg agreed and they committed their agreement to writing. This transaction can be characterized as: a) An enforceable contract because Reg’s acceptance of Thelma’s offer was a clearly communicated acceptance. b) An enforceable contract because Thelma’s counteroffer was less than Reg’s original offer. c) An unenforceable contract because Thelma’s offer was not the mirror image of Reg’s original offer as is required under common law contract rules. d) An unenforceable contract unless either Reg or Thelma is a merchant, as defined by the UCC, because sale of personal property contracts are valid only if one of the parties to the contract is a merchant. 8. Mary sued Don for negligence. Mary’s losses total $100,000. Under a contributory negligence system, if Mary is found to be contributorily negligent for her own injuries, what damages will Mary likely recover from Don? a) None. b) $100,000. c) $100,000 minus the percentage of fault (e.g., 20%, 60%, etc.) for which Mary was responsible. d) $100,000 minus the percentage of fault for which Mary was responsible, so long as Mary was not more than 50% responsible for the injuries.

9. Ram was walking down the sidewalk by a construction project site in a downtown area. The project was owned and operated by Modern Construction, Inc. and was surrounded by orange plastic fencing typically used for construction projects. Ram stopped to watch a metal beam being lifted by a crane on the

construction site. As the beam swung through the air, Ram thought it was going to fall and jumped forward quickly off the sidewalk and into the construction project property, falling into and smashing the orange plastic fencing. As Ram landed inside the construction project, the beam fell near Ram. The beam did not hit Ram but some rocks were thrown onto Ram as the beam fell, cutting his arm badly so that it required 35 stitches. If Ram sues Model Construction for negligence, the likely result will be that Ram will: a) Lose, because he assumed the risk as a trespasser on the construction site and trespassers can never recover damages. b) Lose, because pedestrians are always contributorily negligent in such cases involving trespassing. c) Win, because it is always foreseeable that a beam could fall on a nearby pedestrian. d) Win, if the beam fell because of Model Construction’s negligence.

10. X and Y agreed that X would sell Y his small business, including the land on which the business was situated, for $500,000. Both X and Y knew at the time the contract was formed that the business was actually worth $800,000. Is this a valid, enforceable contract? a) Yes, provided the contract was in writing, in accordance with the Statute of Frauds and the parties freely consented. b) Yes, provided the contract was in accordance with state statutory law that permits real estate sales for 40% or more below market value. c) No, because $500,000 is not valid consideration for a business worth $800,000. d) No, because X has no pre-existing legal duty to sell his business.

11. Fine Art Corp. sent a written offer to buy 10,000 pencils for a total of $10,000 from Faber Pencil Co. Both parties are merchants. Faber can accept the offer by: a) Promising to ship the pencils. b) Promptly shipping the pencils. c) Accepting the offer on Faber’s own written standard form contract. d) All of the above could be valid acceptance.

12. Ralph, a 16-year old minor, is manager for the high school football team. Ralph signed a contract to purchase alcoholic beverages from Liquormart, Inc. for the team party. This contract is: a) Void as a matter of law because it is illegal to sell alcohol to minors by state law. b) Void only if Ralph misrepresented his age and told Liquormart he was an adult. c) Valid and enforceable, but Ralph has the right to disaffirm because he is a minor. d) Valid and enforceable, if Liquormart knew that Ralph was a minor.

13. Which of the following activities may involve the use of a contract, and/or constitute a sales contract? a) Purchasing medications from a pharmacy. b) Hiring a contractor to make home repairs. c) Purchasing insurance policies from an insurance agent. d) Selling books to customers in a bookstore.

e) All of the above.

14. Fay was admitted to Global Associates, an existing partnership, as a limited partner on January, 2015. In June, 2015, a partnership debt incurred in October, 2014 came due. Fay is: a) Not liable for the debt because the debt was incurred prior to her joining the partnership. b) Only liable for the debt up to the amount of her capital contribution to the partnership. c) Personally liable only for 50% of the total debt if 50% of the other partners do not pay. d) Personally liable for the full extent of the debt if the other partners do not pay.

15. Earl, a nonmerchant, offered to sell a chair to Isaac, a nonmerchant. Earl’s house caught fire and destroyed the chair before Isaac accepted Earl’s offer to buy the chair. As a result: a) The destruction of the chair constitutes an automatic, valid revocation of the offer. b) The fire does not automatically revoke the offer, but because neither Earl nor Isaac is a merchant, the offer is revocable at any time at Earl’s option. c) Earl did not validly communicate a revocation to Isaac, so Isaac still has the option of accepting Earl’s offer; if Isaac accepts the offer, Earl must obtain a similar chair for Isaac or pay Isaac the equivalent value of the chair. d) Earl’s offer is automatically revoked by the fire, unless the offer was a firm offer.

16. CC’s Day Spa, LLC, is a member-managed limited liability company. So long as it is in accordance with state law, members can agree to apportion voting rights according to: a) Participation in management. b) Capital contributions. c) The number of members. d) Any of the above.

17. Jim and Kiley are architects and general partners of JK Designs. Jim and Kiley supervise Luc, an employee of JK Designs. As general partners of JK Designs, Jim and Kiley: a) Are not personally liable for any tort(s) committed by Kiley. b) May be personally liable for malpractice committed by Luc working within the scope of his job at JK. c) Have limited liability for any of Kiley’s acts of malpractice. d) Have no liability for any torts committed by Luc.

18. Kisha operates River Valley Soccer, an athletic equipment shop as a sole proprietorship. Taxes on the business’s income are paid by: a) No one; since it is a sole proprietorship there are no business taxes. b) Kisha as the sole owner. c) The state or federal government if Kisha holds a Small Business Administration loan acquired to start her business. d) The business entity of River Valley Soccer, not Kisha personally.

19. Assume that Virginia enacted a law prohibiting, until further notice, all grocery stores in Virginia from selling all powdered spices manufactured in, or shipped from, Maryland. This law was enacted because it was discovered that the spices recently manufactured in Maryland were infected with bacteria. Determine the constitutionality of the Virginia statute. The statute is: a) Unconstitutional; it violates grocery store owners’ substantive and procedural due process rights under the 5th and 14th Amendments because they are private businesses. b) Unconstitutional; the statute imposes an undue burden on interstate commerce. c) Constitutional; it is a valid exercise of Virginia’s police power. d) Constitutional; the statute imposes an undue burden on intrastate and interstate commerce.

20. Distinguish which of the following is an advantage of limited liability companies (LLCs) over corporations. a) Only one member of a LLC must have unlimited liability as compared with corporations in which all shareholders have unlimited liability. b) LLCs can be formed without any specific steps being taken by the owners as compared with corporations that must file Articles of Incorporation with the State. c) In most cases, a LLC can choose whether to be taxed as a partnership or corporation, as compared with corporations that are subject to double corporate taxation. d) LLCs can choose whether to sell shares publically to investors, as compared to private corporations that must sell shares publically to investors.

21. Pete, who collects antique cars, hired Ann as his agent to find and purchase a 1965 Ford Mustang on his behalf. Ann found a Mustang like Pete wanted, but Ann fell in love with the car and purchased it for herself. Which of the following illustrates Ann’s liability, if any, in her duty as agent to Pete in this situation? a) Ann has not violated the duty of loyalty to Pete; she can find another Mustang for him. b) Ann has not engaged in self-dealing because she did not purchase the Mustang with Pete’s funds. c) Ann usurped an opportunity for Pete, but has not violated the duty of loyalty to Pete by competing with Pete’s interests. d) Ann violated the duty of loyalty to Pete by competing with Pete’s interests, and has usurped an opportunity for Pete.

22. Ed hired Frankie, who is 13 years old, to buy a computer on Ed’s behalf. Which of the following identifies the legal relationship between Ed and Frankie? a) This is a valid agency relationship even though Frankie is a minor, and Ed would be bound by authorized contracts Frankie enters into on Ed’s behalf. b) This is a valid agency relationship even though Frankie is a minor, but Ed would have the option of disaffirming any contracts Frankie enters into on Ed’s behalf. c) This is a valid agency relationship even though Frankie is a minor, but Frankie would not be entitled to any payment under the terms of the agency because he is a minor. d) This is an invalid agency relationship because Frankie is a minor.

23. Mediation might be more reasonable and appropriate than a trial in which of the following situations?

a) A lawsuit challenging the constitutionality of a new state statute. b) A dispute between neighbors over a property boundary. c) An alleged theft of patio furniture from the patio of a house. d) None of the above are appropriate for mediation.

Answer questions 24-25 regarding the following scenario: Scenario: Jones, a resident of Arizona, booked reservations for a vacation at Windell Hotels, Inc. in Cabo Mar, Mexico. Windell Hotels is an international hotel chain incorporated in Delaware with hotels in North and South America; Windell Hotels has no hotels in Arizona but does advertise and book reservations for all its hotels over the Internet. While a guest in the hotel in Cabo Mar, Jones was walking across the hotel lobby, and slipped and fell on the wet marble floor that had been just washed by the maintenance staff. The staff had placed a “wet floor” sign on the lobby floor on the side wall of the lobby. Jones was taken to the nearest Mexican hospital where surgery was necessary to place a pin in his broken leg. Anxious to return home and see his regular doctor, Jones flew out of Mexico shortly after the surgery. He required two plane seats and an ambulance to meet him at various airports. His health insurance would not cover his hospital stay in Mexico as it was located outside the U.S. When back in Arizona, Jones was unable to work for 8 weeks and required another surgery to remove the pin. He also required several weeks of physical therapy.

24. Jones wants to sue Windell Hotels, Inc. in federal court for $450,000 to recover all his medical expenses in Mexico and the US; for $50,000 for the cost of the plane trip from Mexico to Arizona, the 2 plane seats and ambulance costs in various airports; $10,000 for 8 weeks of lost wages; and $50,000 for pain and suffering resulting from the injury. Can he sue in federal court? a) Yes, because Federal Court always has jurisdiction over citizens of different states.

b) No, because Federal Court does not have jurisdiction in cases that do not involve federal laws. c) Yes, because the Federal Court may have jurisdiction over citizens of different states and the lawsuit involves damages greater than $75,000. d) No, because the Federal Court has no jurisdiction over an accident that occurred in Mexico.

25. It would be easier for Jones to bring the lawsuit in Arizona state court, but he wonders if the court can get Windell Hotels to come to Arizona. Can the Arizona state court impose jurisdiction over Windell Hotels to bring the company to court in Arizona? a) No, because the subject of the lawsuit took place in a foreign country. b) No, because the corporation does not have sufficient minimum contact with Arizona to allow the Arizona court to use the long arm statute to establish jurisdiction in Arizona. c) Yes, because the Jones is a resident of Arizona and he is the plaintiff in the lawsuit. d) Yes, because Windell Hotels has sufficient minimum contact with Arizona the state to justify the court’s use of the long arm statute. Scroll down please to begin the essay portion of the exam.

Section: Section II. Essay: 9 questions/50 points Questions 1-8 = 5 pts each; question 9 = 10 pts Use the answer sheet at the end of the exam. Number each answer. DO NOT recopy questions. Answer each question in complete paragraphs; do not list or answer in phrases (points will be deducted for doing so). None of these questions can be adequately/comprehensively answered in just a paragraph, so be comprehensive, in depth in your answers, but be careful to not include irrelevant information. Points will be deducted for answers that are not well justified, not sufficiently comprehensive. Use APA in text citations, as appropriate but please do not use direct quotes. Use only classroom notes/comment and assigned reading or watching materials as resources, which is all you need to complete the exam. DO NOT use any outside, Internet resources as they are often inaccurate. Follow directions carefully. Answer all parts of each question. Be sure to directly answer the question(s) asked. __________________________________________________________________ Refer to the scenario for Multiple Choice questions 24-25 above to answer the following essay question #1 only: 1. Jones sued Windell Hotels, Inc. for negligence to recover damages for his injuries resulting from the fall in the Cabo Mar hotel. Will Jones likely be successful in the negligence lawsuit against Windell Hotels? Explain fully why or why not.

2. Clarkson and Lee did not have a contract, but Clarkson completed extensive landscaping in Lee’s yard by mistake while Lee was away on vacation. Clarkson sent Lee a bill for the landscaping service but Lee refused to pay. Determine the likely result if Clark sues Lee to recover the costs of the landscaping.

3. Racer contracted in writing to drive Owner’s one-of-a-kind, specially designed championship race car in the Miami 500 Race on July 15 for a fee of $2500. On July 1, the race car was destroyed in an accidental fire in a storage warehouse where the race car was being stored prior to the race. Owner owns no other race cars, so Owner considered the contract discharged. Racer claimed that she is still entitled to the $2500 fee because she and Owner had a valid enforceable contract. Compare and contrast the rights and obligations of Racer and Owner under the contract as of July 1.

4. Compare and contrast the rights and possible liabilities for a merchant selling goods in “As Is” condition with the rights and possible liabilities for selling goods with an express warranty stating, “This product is quality Grade A”.

5. Aaron plans to open Aaron’s Pets, a pet shop selling pets and pet supplies, and plans to hire 2 part-time employees. Aaron will invest only his own money in the business. He does not expect to make any profit for at least 2 years and to make very little profit for the next 3 years after the first 2 years. He does expect to make a profit eventually. Which form of business organization is most appropriate and easiest for Aaron to use in opening his pet store – and why? (There is only one correct answer).

6. There are extensive federal regulations governing airplanes and pilots. Assume that the state of New York passed a statute containing numerous requirements,

some conflicting with federal regulations, covering operation of airplanes and licensing of airplane pilots. If the New York state statue is challenged as being unconstitutional, what is the likely result? Describe the applicable law and rationale for your conclusion.

7. Fran, Joe, and Mike formed a general partnership to operate a flower shop called Fresher Flowers. One of Fran’s jobs is to make deliveries using the partnership truck. In one such delivery, Fran negligently ran a stop sign, striking a car driven by Peggy, causing damage to the car and injury to Peggy.

Analyze and describe (1) the personal liability of Fran, Joe, and Mike, (2) the liability of the partnership, Fresher Flowers.

8. Mark plans to open a barbeque restaurant. He can either open the business as a sole proprietorship or obtain a franchise for “Smokin’ Hot Bar-B-Q”. Compare and contrast the advantages and disadvantages of opening the business as a sole proprietorship and a franchise.

9. 10 points Leon, a bank vice president, joined Fitness Center, Inc. (FC). He signed a contract for the membership. The contract stated, among other things, an exculpatory clause that FC… “shall not be liable for any claim, demand, cause of action of any kind whatsoever for, or on account of death, personal injury, property damage or loss of any kind resulting from or related to Member’s use of facilities or participation in any sport, exercise or activity within the club premises…”

While working out at FC, Leon sustained back injuries when a treadmill on which he was walking suddenly collapsed at FC. Leon sued FC for his injuries. Discuss: a. Is the exculpatory clause in the contract valid or invalid in Leon’s case and why? b. Possible product liability claim(s) for which Leon could sue FC and why product liability claims might be applicable to this case c. Possible ordinary (non-product liability) negligence claim for which Leon could sue FC and why a negligence claim might be applicable to this case d. The likely outcome if Leon sues FC under product liability e. The likely outcome if Leon sues FC under ordinary negligence

[tophatal]

Time For Change …

Baseball has entered the last complete month of its regular season and there is a great deal on the line for several teams . The likelihood is that there will be major changes within several of the organizations either from a managerial standpoint or among the front office. We already know the Miami Marlins will see a change in ownership with the Sherman group coming in led by Bruce Sherman , Derek Jeter and Michael Jordan . Jeter and Jordan give more visibility to the ownership group because of their high profiles .,instant visibility and name recognition . Yet, I am not so sure that will be enough to turn around an organization which his has been mismanaged and starved of resources by outgoing owner Jeffrey Loria .

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Within the NL East the Miami Marlins have played themselves out of contention for the divisional title and while their hopes are faint for a wildcard berth , they remain in the hunt for one of the two positions on offer. Fans have been salivating over the season attained by Giancarlo Stanton and his having hit a franchise record fifty-four home runs. Sixty remains out of his reach and while this is all admirable for the player , I don’t believe he will be taking home the NLMVP for this season . I believe it would be a great disservice to the other leading candidates who have contributed to a winning season for their teams who have been in the hunt throughout much of the season. The same cannot be said for the Miami Marlins at any point during this season . Marlins’ manager Don Mattingly and his managerial staff are likely to be retained but I do believe Derek Jeter will be looking to bring in his own people to run the front office. Jeter’s role will be to oversee the overall operations with the new general manager reporting to him directly.

The Miami Marlins will be in action over the weekend as they continue their current series against the Milwaukee Brewers at home. With very little to play for other than pride , it is imperative the Marlins round out their regular season on a high note.

Say what you will , but I do believe seven years is more than enough for a Big League Manger to try and turn an organization around . The New York Mets have been a complete bust with the triumvirate of front office executives , Sandy Alderson , JP Ricciardi and manager Terry Collins at the helm. The trio have gotten to the stage, where they might be even funnier than The Three Stooges and The Marx Brothers. Comedic pratfalls being one thing, but the level of incompetence seen with the Mets over the past seven years has sunk to a new low. This team has been far from being competitive and there has not been one saving grace to suggest they have been worth watching at any point during 2017. Their fans are not only opinionated . but also clearly delusional and obnoxious as always. The Mets have several free agents at the end of this season as well as players set for arbitration and it will be interesting to see the decisions made by Sandy Alderson as they will undoubtedly make changes.

An injury-prone and non-productive David Wright is of no use to the New York Mets and it is unclear why he remains part of the Mets roster . Wright’s best years are behind him , certainly not ahead of him and it is hard to envisage who is meant to be the leader on a team of highly overpaid players . Granted , the Mets don’t have a payroll which ranks alongside the Los Angeles Dodgers or New York Yankees their crosstown rivals . Yet clearly the organization believes they rank up there alongside teams of that caliber, having not shown anything of note this season much less over the past five seasons. Another failed year and the idiocy of continually suggest they have prospects when many of them since 2010 haven’t stepped up to the plate , leads me to believe this organization and their fans are just eternal optimists.

Terry Collins will lead the team into action on Saturday when the New York Mets will face the Atlanta Braves at Sun Trust Park in Atlanta , Georgia . The opposing pitchers will be Jacob deGrom of the Mets as he goes up against R A Dickey , the knuckle-baller who once played for the Mets. This game isn’t critical for both teams but it should prove to be interesting just as many of their regular season meetings have been this season. If this is to be Terry Collins’ last season with the Mets , then his departure can’t come about quick enough along with the dead weight of players who have under-performed over the course of this season. The same can be said for Sandy Alderson and JP Ricciardi .

For Dusty Baker a great deal of weight has been placed upon his shoulders ever since he assumed the role as manager of the Washington Nationals succeeding Matt Williams in the position. With stars such as Bryce Harper , Gio Gonzalez , Stephen Strasburg and Daniel Murphy on the roster , it was assumed it would plain sailing for the ball-club . Instead near misses and a lack consistency prevailed with regard to their postseason ambitions . Washington has seen the rise of the Chicago Cubs with the end of their one hundred and ten-year drought . I get the feeling Baker and the entire Washington Nationals’ organization wouldn’t mind being in the driver’s seat while being called World Series champions.

The Washington Nationals have not made a postseason appearance since 2014 when they appeared in the NLDS losing to the San Francisco Giants in four games . In the three subsequent yeas the ball-club is eager to make another return to the postseason. A commanding lead in the NL East , the Nationals will be there and everything suggests they will be among the favorites for the NL Pennant . . Baker and his team are in the midst of a series against the Los Angeles Dodgers being played at Nationals Ballpark in Washington , DC. Game two of the current three game series takes place today , Saturday 16th September , 2017. It will be interesting to see what Daniel Murphy and Bryce Harper are able to do in this series against the Dodgers. Dusty Baker and his managerial counterpart Dave Roberts are different stages of their managerial careers , but both are under a great deal of pressure to succeed.

While I wasn’t surprised by the sale of the Miami Marlins , the price paid by the new owners was simply ludicrous and outrageous. The Marlins are not a big market team and their accessibility by way of marketing revenues is nowhere as great as baseball’s hierarchy would have us believe. Bruce Sherman and business partners may well have paid $1.2 billion for the team , with Jeffrey Loria’s original asking price being in excess of $2.1 billion , but even in this day and age of wealthy owners within the game of baseball. Unless that ball club is competitive , profitable and a perennial contender then there’s no way in hell they’re worth the type of money now being banded about within the game. The only thing driving these upward trends within baseball’s economics remains the television deals and marketing which MLB continues thrive off.

Baseball’s players are some of the highest paid athletes in the world , but their names are not among the most widely recognized or the most marketable , while being able to attract major commercial sponsors. Mike Trout might well be considered the best player in baseball , but beyond North America the two-time ALMVP is not universally known across the planet. It is indicative of one of the many reasons the sport hasn’t really resonated around the globe even in light of the miserably mundane World Baseball Classic which elicits about as much excitement as watching paint dry on hot Summer’s Day . From Bud Selig to Rob Manfred , baseball and its hierarchy is still figuring out to make the game more widely accepted across the globe.

At this stage last season it was difficult to foresee what was about to happen as the postseason approached . It certainly wasn’t the case where there were many believers in the chances of Chicago Cubs pulling off the impossible , changing the course of the club’s history with their improbable run to the 2016 World Series . Once again they have all but sealed the deal , leading the NL Central as they look to round out the season with another divisional title. Having just ended their weekend series against the St Louis Cardinals with a decisive 4-3 home victory , Cubs’ manager Joe Maddon will now take his team on the road to face his old club the Tampa Bay Rays in a nostalgic visit to Tropicana Field , St Petersburg , Florida on Tuesday 19th September .

While Chicago’s fortunes have risen , the same cannot be said for the Tampa Bay Rays since Joe Maddon’s departure from the organization. The Rays remain in a state of disarray and for manager Kevin Cash things have not come easy for himself and his managerial staff . This team lacks confidence even with the leadership of Evan Longoria at the helm of the roster and the continued lack of self-confidence is no longer bewildering . Rays’ front office executives Brian Auld and Matt Silverman will have their work cut out for them this off-season as they will undoubtedly have to make some changes up and down the team. The penny-pinching , continues as team owner Stuart Sternberg continues to gripe over the reticence of the local governmental authorities to build them a new stadium at their expense.

There doesn’t seem to be a great deal of support coming from Rob Manfred as Stuart Sternberg vies to have a new stadium built. A stark contrast to the efforts of the Miami Marlins, New York Mets and New York Yankees. It seems when you have the ear of baseball’s hierarchy , as it actually counts for something, rather than continually being seen and treated as if you are at the bottom of the food chain. Sternberg is unwilling to put up any of his own money as a sign of good faith to even get the possibility of the project started . Furthermore , there is no evidence to suggest even with the new venue the Tampa Bay Rays’ fan-base of a paltry 23,500 would be able to continually support such an extravagance, with the stadium likely to take years to pay for itself were it to be publicly financed.

Kevin Cash’s position is not necessarily in jeopardy, but how his team looks next season is going to be far more different than the opening day roster of 2017. Make of it what you will , but these are the continued dire times for the Tampa Bay Rays who have been plodding from season to season over the last eight years without a real plan for growth and stability. It might well be another four or five years before the Rays make another return to the postseason. This is an organization devoid of leadership a t all levels within the ball-club and it shows. Evan Longoria has long been considered the franchise’ s best player , but he has never really led by example . Pretty much sums up what to expect from professional sports’ franchises within the Tampa Bay area in general .

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Byron Scott, the now fired former coach of the Hornets. GM , Jeff Bower who has now assumeed the position of head coach on an interim basis. And assistant coach , Tim Floyd. It’s safe to assume that the reins may well be handed over to Floyd at some time in the future given the fact Bower has no experience as a coach of any kind with regard to the NBA . picture apears courtesy of nbae/ getty images / Richard Tyson …………..

Rays’ third baseman , Evan Longoria at the plate for team. photo appears courtesy of Getty Images/ Vic Hallam

Carl Crawford’s three-run home run in the sixth inning highlighted Tampa Bay’s three-game sweep of the Angels. The Rays are five games over .500 for the first time in team history. photo appears courtesy of the Associated Press/ Mike Carlson ………….

Gatots’ player Tim Tebow (15) and his coach Urban Meyer discuss their options during a game. photo appears courtesy of Getty Images/ Chris Dickson ……………….

Major League Baseball commissioner Bud Selig’s steroids proposal, made to the union last month, calls for a 50-game ban for first offenders, a 100-game penalty for second offenders and a lifetime ban for a third positive test. photo appears courtesy of Associated Press / Adam Roundtree …….

Carolina Panthers’ Julius Peppers saluting fans as he walks off the field after the Panthers’ 23-10 win over the New Orleans Saints in an NFL football game in Charlotte, N.C. The Panthers have decided the price is too steep to keep their all-time sacks leader. It means five-time Pro Bowl defensive end Julius Peppers is about to become one of the top prizes in free agency. Agent Carl Carey says the Panthers have told him they won’t place the restrictive franchise tag on Peppers for a second consecutive year at a cost of more than $20 million. The move Tuesday, Feb. 23, 2010, comes two days before the tag deadline. photo appears courtesy of Associated Press/ Rick Havner ……

Mike Dunleavy (#17) of the Indiana Pacers goes up for the lay up against Brendan Haywood (#33) of the Dallas Mavericks during a game at the American Airlines Center on February 22, 2010 in Dallas, Texas. photo appears courtesy of NBAE/ Getty Images/ Glenn James ……………….

University of Michigan President Mary Sue Coleman, left, and head football coach Rich Rodriguez, right, are shown at a news conference in Ann Arbor, Mich., Tuesday, Feb. 23, 2010. The NCAA has found that Michigan’s storied football program was out of compliance with practice time rules under coach Rodriguez. Incoming athletic director David Brandon disclosed the finding Tuesday. He says there were no surprises in the NCAA findings. He also says Rodriguez remains the coach. Michigan has 90 days to respond and will appear at an NCAA hearing on infractions in August. photo appears courtesy of Associated Press/ Paul Sancya ……

Los Angeles -January 13th 2010. New head coach of the USC Trojans Lane Kiffin shakes a hand as he makes his way to his press conference at Heritage Hall in Los Angeles, California. photo appears courtesy of Getty Images/ Harry How ……………..

Duke’s Jon Scheyer collides with Virginia Tech’s Malcolm Delaney, left, during the first half. Scheyer scored 25 points and collected 10 rebounds in the win. The Blue Devils defeated Virginia Tech (Hokies) 67-55 in the game . photo appears courtesy of Associated Press / Sara Davis ……………..

Chicago Cubs owner Tom Ricketts speaks to the media Tuesday, Feb. 23, 2010 at the Chicago Cubs spring training facility in Mesa, Ariz. photo appears Assoc. Press/ Matt York ….

Chicago Cubs manager Lou Piniella, right, along with coaches Matt Sinatro, middle, and Lester Strode watch pitchers warm up during spring training baseball camp practice Saturday, Feb. 20, 2010, in Mesa, Ariz. photo appears courtesy of Assoc. Press/ Ross D. Franklin ………..

Minnesota Twins pitcher Joe Mauer swings in the batting cage at baseball spring training in Fort Myers, Fla., Thursday, Feb. 25, 2010. photo appears courtesy of Assoc Press/ Nati Harnik …….

Florida Marlins owner Jeffrey Loria, left, watches batting practice with Marlins manager Fredi Gonzalez during spring training baseball Wednesday, Feb. 24, 2010, in Jupiter, Fla. With the smallest payroll in the majors last year, the Marlins won 87 games and finished six games behind eventual league champion Philadelphia in the NL East. Visiting spring training to watch the first full-squad workout, Loria said the 2009 Marlins underachieved. photo appears courtesy of Assoc Press/Jeff Roberson ……..

Israeli model Bar Refaeli seen here doing a Sports Illustrated Swimsuit edition phot-shoot.

Ray Allen (#20) of the Boston Celtics looks for a play against LeBron James (#23) of the Cleveland Cavaliers on February 25, 2010 at the TD Garden in Boston, Massachusetts. photo appears courtesy of NBAE/ Getty Images/ Brian Babbineau …..

Floyd Mayweather, left, and current WBA welterweight super champion Shane Mosley exchange words during a news conference in New York, Tuesday, March 2, 2010. The press conference was to promote their May 1, 2010 fight in Las Vegas, Nevada. photo appears courtesy of Assoc Press/ Seth Wenig ……..

Floyd Mayweather, left, and current WBA welterweight world champion Shane Mosley pose for a picture during a news conference in New York, Tuesday, March 2, 2010. The news conference was to promote their May 1, 2010 fight in Las Vegas, Nevada. photo appears courtesy of Assoc Press /Seth Wenig

Scott Boras, chided for bonus demands for amateur clients, says the Major League Baseball draft needs restructuring. “In this system, everybody thinks this is about money. No, this is about saving money. It allows for less mistakes,” he says. photo appears courtesy of USA Today Jason M. Millstein ………………..

Commissioner of Major League Baseball Bud Selig and actress Sarah-Jessica Parker take part in an on field presentation during the 79th MLB All-Star Game at Yankee Stadium on July 15, 2008 in the Bronx borough of New York City. photo appears courtesy of Getty Images North America / Jim McIsaac ……………

Stacey Dash , actress , designer and entrepreneur .

Jennifer Aniston shows us that she’s more than willing to be your ‘friend’ ?

Model & Playboby playmate Naureen Zaim . Who wouldn’t mind teaching her a lesson or two on human anatomy ?

Cuban American actress & model Natalie Martinez

Martinez again looking good as only she possibly can !

Oh mon ami ! she possibly can ! Je t’aime !</strong

Who wouldn’t want to play with Natalie Martinez ?

Well hello there !

Model & actress Natalie Martinez ……….

Actress & model Natalie Martinez …….. Who wouldn’t want to get ahold of her rims ? I know I would !

New York Yankees’ Alex Rodriguez watches his fly-out in the first inning of a spring training baseball game against the Philadelphia Phillies, Friday, March 26, 2010, in Tampa, Fla. photo appears courtesy of Assoc Press / Mike Carlson ….

Sarasoata , Fl ,. Infielder Adrian Beltre (29) of the Boston Red Sox throws over to first for an out against the Baltimore Orioles during a Grapefruit League Spring Training Game at Ed Smith Stadium on March 27, 2010 in Sarasota, Florida. photo appears courtesy of Getty Images/ J Meric ……….

St. Louis , Bobby Maze (3) of the Tennessee Volunteers looks to shoot the ball against Mike Kebler (20) and Draymond Green (23) both of the Michigan State Spartans during the midwest regional final of the 2010 NCAA men’s basketball tournament at the Edward Jones Dome on March 28, 2010 in St. Louis, Missouri. Michigan State beat Tennessee 70-69. photo appears courtesy of Getty Images/ Dilip Vishwanat …

The Duke Blue Devils hold up the trophy after a 78-71 win over the Baylor Bears in the south regional final of the NCAA men’s basketball tournament at Reliant Stadium in Houston on Sunday. photo appears courtesy of Getty Images/ Ronald Martinez …

Butler’s Nick Rodgers hold up the West Regional trophy as the team returned home to Indianapolis amid a throng of fans after earning a spot in the Final Four with a victory over Kansas State Saturday. photo appears courtesy of Associated Press/ A J Mast ………..

West Virginia’s Da’Sean Butler and Joe Mazzulla hug after the game. Butler scored 18 points and Mazulla pitched in a career-high 17 to help West Virginia hold off the Wildcats. The Mountaineers would defeat the Kentucky Wildcats 73-66 to make their way the Final Four of the NCAA Tournament. photo appears courtesy of Getty Images/ Jim McIsaac ……….

Russian actress & model Anya Monzikova . Who wouldn’t want some of Monzikova alongside some fresh Beluga caviar ?

2008 Heisman Trophy winner Sam Bradford. The player is widely expected to be taken number one overall in the upcoming NFL Draft. The team with the first pick are the NFC’s St Louis Rams . photo appears courtesy of Associated Press/ Chris Rogers ………..

Eagles’ quarterback Donovan McNabb. The player is said to want to remain with the Eagles but it’s becoming clear that he will be traded sooner rather than later. Eagles’ coach Andy Reid and team President Joe Banner are willing to listen to offers for the Pro Bowler. photo appears courtesy of US Presswire/ Jody Gomez ………….

Tebow (15) left is seen here alongside his former college coach Urban Meyer. The two proved to be very sucessfule as a team combining to win two national titles in four years. photo appears courtesy of boston.com/ articles …………

DeMaurice Smith Executive Director of the NFLPA. Smith who assumed the position after the death of his predecessor Gene Upshaw. He was elected to the position by the board members of the Players’ Association. Smith was a corporate litigation attorney for the DC law firm Patton Boggs. photo appears courtesy of Associated Press/ Phillip Mitchell

Carlos Boozer #5 of the Utah Jazz has his shot challenged by Kobe Bryant #24 of the Los Angeles Lakers at Staples Center on April 2, 2010 in Los Angeles, California. The Lakers would go on to defeat the Jazz 102-96 in the game . photo appears courtesy of NBAE/ Getty Images/ Andrew D Bernstein ………..

Donovan McNabb of the Philadelphia Eagles. The player was traded to the Washington Redskins a divisional rival in the NFC East. It adds to the flavor this upcoming season when the player meets his ‘former team’ . photo appears courtesy of Getty Images/ Hugh Malcolm ………………..

Baylor’s Brittney Griner and U Conn’s Maya Moore are seen here during the women’s Final Four game between the two teams. Geno Auriemma’s Huskies would go on to defeat the Baylor Lady Bears 70-50 in the game played at the Alamodome in San Antonio , Texas , Sunday April 4th 2010. photo appears courtesy of Getty Images/ Alicia Mack ………..

Cleveland Browns nose tackle Shaun Rogers and his lawyer Patrick D’Angelo, center, talk to reporters after leaving Cleveland Police Headquarters where Rogers was charged with one felony count of carrying a concealed weapon on Friday, April 2, 2010, in Cleveland, Ohio. Rogers was arrested at Cleveland Hopkins International airport on Thursday after he tried to take a loaded handgun through airport security. photo appears courtesy of Associated Press/ Jason Miller …..

Butler head coach Brad Stevens , left to right, Gordon Hayward and Ronald Nored smile during an interview session for the men’s NCAA Final Four college basketball championship Sunday, April 4, 2010, in Indianapolis. The Butler Bulldogs will face Mike Krzyzewski’s Duke Blue Devils in the championship game Monday night to be played at Lucas Oil Stadium , Indianapolis, Indiana. This in many ways will be very much a “home game” for the small and in-obtrusive college team from Indiana. The furor over over their improbable journey has resonated within the state and across the nation. photo appears courtesy of Associated Press/ Mark J Terrill ……………

Los Angeles, April 4th 2010. Manu Ginobil (20) of the San Antonio Spurs goes to the basket against Luke Walton (4) of the Los Angeles Lakers at Staples Center on Sunday. The San Antonio Spurs would go on to defeat the Los Angeles Lakers 100-81 in a game played at the Staples Center in Los Angeles, California. photo appears courtesy of NBAE/ Getty Images/ Noah Grahame …………….

Tiki Barber and his wife Gina Cha. Barber’s wife is six months pregnant with twins and is now in the midst of separating from the former NFL star. photo appears courtesy of Wire Image/ Duffie Marie Arnoult ………….

23 year old Traci Lynn Johnson an intern with NBC Universal and who works alongside Tiki Barber on the NBC morning show “The Today Show” . Barber and Johnson are romantically involved and the former NFL star has now separated from his wife of 11 years , Gina Cha. The couple have two children with twin now on the way in terms of Cha’s pregnancy. photo appears courtesy of Social Media SEO ……….

http://www.nfl.com/draft/2010/tracker#dt-tabs:dt-by-round/dt-by-round-input:1

Playboy Playmate Kayle Collins …………August 2008. Is there a need to proceed further concerning Kayle’s attributes ?

Jameer Nelson of the Orlando Magic goes for the layup in the Eastern Conference semi-final game played against the Atlanta Hawks. NBAE/ Getty Images/ Fernando Medina ………

Head Coach Jerry Sloan of the Utah Jazz fields questions from the media following his team’s loss to the Los Angeles Lakers in Game Two of the Western Conference Semifinals during the 2010 NBA Playoffs at Staples Center on May 4, 2010 in Los Angeles, California. NBAE Getty Images _ Andrew D Bernstein

Kobe Bryant (24) of the Los Angeles Lakers shoots against Deron Williams (8 )of the Utah Jazz in Game Two of the Western Conference Semifinals during the 2010 NBA Playoffs at Staples Center on May 4, 2010 in Los Angeles, California. NBAE Getty Images/ Noah D Bernstein

JOHANNESBURG, SOUTH AFRICA – JUNE 24: (L-R) Robert Vittek, Martin Skrtel and Radoslav Zabavnik of Slovakia celebrate victory after knocking Italy out of the competition during the 2010 FIFA World Cup South Africa Group F match between Slovakia and Italy at Ellis Park Stadium on June 24, 2010 in Johannesburg, South Africa. Photo by David Cannon/Getty Images ……

Johannesburg , South Africa – June 24 th 2010. Kamil Kopunek of Slovakia celebrates scoring his team’s third goal during the 2010 FIFA World Cup South Africa Group F match between Slovakia and Italy at Ellis Park Stadium on June 24, 2010 in Johannesburg, South Africa. Photo by Christof Koepsel/Getty Images ……

Fabio Cannavaro, captain of Italy, leaves the field dejected after being knocked out of the competition by Slovakia during the 2010 FIFA World Cup South Africa Group F match between Slovakia and Italy at Ellis Park Stadium on June 24, 2010 in Johannesburg, South Africa. Photo by Ezra Shaw/Getty Images ………

In this Sept. 18, 2010, photo, Florida Marlins’ Dan Uggla bats in a baseball game against the Chicago Cubs in Miami. Uggla has been traded from the Marlins to the Atlanta Braves for infielder Omar Infante and left-hander Mike Dunn. (AP Photo/Alan Diaz)

This is a 2008 file photo of Dan Uggla of the Florida Marlins baseball team. Uggla and the Atlanta Braves have reached a preliminary agreement on a $62 million, five-year contract, a person familiar with the negotiations told The Associated Press Wednesday Jan. 5, 2011 on condition of anonymity because the agreement was not yet final. (AP Photo/Rob Carr, File)

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Baltimore Orioles starting pitcher Wei-Yin Chen (16), of Taiwan, comes into the dugout following the fourth inning of a baseball game against the Tampa Bay Rays, Saturday, Aug. 4, 2012, in St. Petersburg, Fla. (AP Photo/Brian Blanco)

ST. PETERSBURG – AUGUST 04: Designated hitter Jeff Keppinger #7 of the Tampa Bay Rays fouls off a pitch against the Baltimore Orioles during the game at Tropicana Field on August 4, 2012 in St. Petersburg, Florida. (Photo by J. Meric/Getty Images)

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— Picture gallery . By clicking on an individual frame you can view that picture while also reading the accompanying narrative.

This MLB postseason could very well be a very interesting one if the teams thought to be in the hunt play to their full potential . As for those on the outside looking in , they simply have to look at their issues and make the changes necessary .

Tophatal ……… 09/16/2017

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MLB news

MLB weekend schedule (15-17th September)

Schedule 17th-19th September

MLB standings

This week in baseball history

On this day in baseball

Time For Change …… Time For Change … Baseball has entered the last complete month of its regular season and there is a great deal…

[my-lesliemeyers-blog]

BMGT 380 Final Examination Question and Answers

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 1. Sam orally agreed to sell Ramie some land for $500,000. Ramie paid Sam the $500,000; Sam gave Ramie the deed to the land. Ramie took possession of the land and began building a cabin on it. One month later, Sam tried to retake possession of the land by arguing that the contract for the sale was invalid because it was oral, not written. Sam sued Ramie to invalidate the contract and retake the land. The court will likely conclude that Sam will: a) Win; the sale exceeded $500 so the contract must be written to be valid. b) Win; all land sales contracts must be written. c) Lose; because the contract was fully executed Sam cannot rescind the contract. d) Lose; because Ramie had begun building a cabin on the property, Sam cannot rescind the contract.

2. On Tuesday, Sam offered to sell his CD collection to Sandy for $100. Sandy replied, "I’m interested. I’ll think it over and let you know Thursday whether I want to buy the CDs." On Wednesday, Sam agreed to sell the CDs to Jason, and Jason immediately gave Sam a letter that stated: "Sam, I will buy your CD collection for $100. As we agreed, I will pay you on Friday when I pick up the CDs. Yours truly, Jason." Upon Sam’s receipt of this letter on Wednesday, what best describes Sam’s contract agreement(s)? a) By forming an agreement with Jason, Sam breached his contract with Sandy.

b) Sam has formed contracts with both Jason and Sandy. c) Sam and Jason have formed a valid, enforceable contract; Sam did not form a contract with Sandy. d) Sam formed a contract with Sandy, but has not formed an enforceable contract with Jason because Jason has not yet paid for the CD collection.

3. Mac and Rhamad signed a business contract with a clause that provides that if a dispute arises they must submit to binding arbitration to resolve the dispute. After they had been doing business together for a year, a dispute arose under the terms of the contract. Rather than submit to arbitration, Mac filed a lawsuit against Rhamad. Most likely the court will: a) Hear the lawsuit because Mac cannot be compelled to submit to arbitration; he is constitutionally entitled to a jury trial if he requests a trial. b) Conduct a bench trial, then order a remedy without compelling Mac to submit to arbitration or to a jury trial. c) Compel Mac to submit to arbitration to resolve the dispute. d) Hear the lawsuit in a trial, then compel Mac to submit to arbitration, if Mac is not satisfied with the trial decision.

4. Roxy, while driving through Wyoming to her home in Montana, accidentally lost control of her car and drove it through a window into a store owned by Colt. Colt sued Roxy in a Wyoming court for damages to his store. Will the Wyoming court likely be able to exercise jurisdiction over Roxy? a) No, because Wyoming has no in personam (personal) jurisdiction over Roxy, and cannot exercise its long arm statute in cases only involving automobile accidents. b) No, because Wyoming has no in personam jurisdiction over Roxy, and cannot justify minimum contacts in this case.

c) Yes, Wyoming can exercise in personam jurisdiction in this case because any state court has personal jurisdiction in every diversity of citizenship case. d) Yes, because Wyoming can assert in personam jurisdiction over Roxy under the minimum contacts test.

5. Assume a salesperson intentionally made one of the following statements knowing that the statement was false – to a customer considering a purchase. Which statement could create liability for fraudulent misrepresentation if the customer made the purchase? a) “In my opinion, this car is in flawless mechanical condition.” b) “This crane will probably lift about 10,000 pounds.” c) “This car is a real gem.” d) “This is an original painting by the artist, Pablo Picasso.”

6. Don promised to buy his girlfriend, Sophie, a new car so Sophie sold her old car. Don now refuses to buy Sophie the car. Sophie has a job that requires her to have a car to get to work. If Sophie sues Don to enforce the promise, the likely result is that the promise will: a) Be enforced under promissory estoppel because Sophie reasonably relied on Don’s promise, to her detriment. b) Not be enforced as Sophie was not unjustly enriched simply because she did not receive the car. c) Be enforced because the car is a necessity for Sophie and all contracts for necessities are binding and enforceable for all parties even if contract formation is flawed. d) Not be enforced as Don’s promise was a gift to Sophie; Sophie gave consideration, but Don did not.

7. Reg offered to sell his motorcycle to Thelma for $8,000. Thelma replied, "Your price is too high. I will purchase your motorcycle for $7,000". Reg agreed and they committed their agreement to writing. This transaction can be characterized as: a) An enforceable contract because Reg’s acceptance of Thelma’s offer was a clearly communicated acceptance. b) An enforceable contract because Thelma’s counteroffer was less than Reg’s original offer. c) An unenforceable contract because Thelma’s offer was not the mirror image of Reg’s original offer as is required under common law contract rules. d) An unenforceable contract unless either Reg or Thelma is a merchant, as defined by the UCC, because sale of personal property contracts are valid only if one of the parties to the contract is a merchant. 8. Mary sued Don for negligence. Mary’s losses total $100,000. Under a contributory negligence system, if Mary is found to be contributorily negligent for her own injuries, what damages will Mary likely recover from Don? a) None. b) $100,000. c) $100,000 minus the percentage of fault (e.g., 20%, 60%, etc.) for which Mary was responsible. d) $100,000 minus the percentage of fault for which Mary was responsible, so long as Mary was not more than 50% responsible for the injuries.

9. Ram was walking down the sidewalk by a construction project site in a downtown area. The project was owned and operated by Modern Construction, Inc. and was surrounded by orange plastic fencing typically used for construction projects. Ram stopped to watch a metal beam being lifted by a crane on the

construction site. As the beam swung through the air, Ram thought it was going to fall and jumped forward quickly off the sidewalk and into the construction project property, falling into and smashing the orange plastic fencing. As Ram landed inside the construction project, the beam fell near Ram. The beam did not hit Ram but some rocks were thrown onto Ram as the beam fell, cutting his arm badly so that it required 35 stitches. If Ram sues Model Construction for negligence, the likely result will be that Ram will: a) Lose, because he assumed the risk as a trespasser on the construction site and trespassers can never recover damages. b) Lose, because pedestrians are always contributorily negligent in such cases involving trespassing. c) Win, because it is always foreseeable that a beam could fall on a nearby pedestrian. d) Win, if the beam fell because of Model Construction’s negligence.

10. X and Y agreed that X would sell Y his small business, including the land on which the business was situated, for $500,000. Both X and Y knew at the time the contract was formed that the business was actually worth $800,000. Is this a valid, enforceable contract? a) Yes, provided the contract was in writing, in accordance with the Statute of Frauds and the parties freely consented. b) Yes, provided the contract was in accordance with state statutory law that permits real estate sales for 40% or more below market value. c) No, because $500,000 is not valid consideration for a business worth $800,000. d) No, because X has no pre-existing legal duty to sell his business.

11. Fine Art Corp. sent a written offer to buy 10,000 pencils for a total of $10,000 from Faber Pencil Co. Both parties are merchants. Faber can accept the offer by: a) Promising to ship the pencils. b) Promptly shipping the pencils. c) Accepting the offer on Faber’s own written standard form contract. d) All of the above could be valid acceptance.

12. Ralph, a 16-year old minor, is manager for the high school football team. Ralph signed a contract to purchase alcoholic beverages from Liquormart, Inc. for the team party. This contract is: a) Void as a matter of law because it is illegal to sell alcohol to minors by state law. b) Void only if Ralph misrepresented his age and told Liquormart he was an adult. c) Valid and enforceable, but Ralph has the right to disaffirm because he is a minor. d) Valid and enforceable, if Liquormart knew that Ralph was a minor.

13. Which of the following activities may involve the use of a contract, and/or constitute a sales contract? a) Purchasing medications from a pharmacy. b) Hiring a contractor to make home repairs. c) Purchasing insurance policies from an insurance agent. d) Selling books to customers in a bookstore.

e) All of the above.

14. Fay was admitted to Global Associates, an existing partnership, as a limited partner on January, 2015. In June, 2015, a partnership debt incurred in October, 2014 came due. Fay is: a) Not liable for the debt because the debt was incurred prior to her joining the partnership. b) Only liable for the debt up to the amount of her capital contribution to the partnership. c) Personally liable only for 50% of the total debt if 50% of the other partners do not pay. d) Personally liable for the full extent of the debt if the other partners do not pay.

15. Earl, a nonmerchant, offered to sell a chair to Isaac, a nonmerchant. Earl’s house caught fire and destroyed the chair before Isaac accepted Earl’s offer to buy the chair. As a result: a) The destruction of the chair constitutes an automatic, valid revocation of the offer. b) The fire does not automatically revoke the offer, but because neither Earl nor Isaac is a merchant, the offer is revocable at any time at Earl’s option. c) Earl did not validly communicate a revocation to Isaac, so Isaac still has the option of accepting Earl’s offer; if Isaac accepts the offer, Earl must obtain a similar chair for Isaac or pay Isaac the equivalent value of the chair. d) Earl’s offer is automatically revoked by the fire, unless the offer was a firm offer.

16. CC’s Day Spa, LLC, is a member-managed limited liability company. So long as it is in accordance with state law, members can agree to apportion voting rights according to: a) Participation in management. b) Capital contributions. c) The number of members. d) Any of the above.

17. Jim and Kiley are architects and general partners of JK Designs. Jim and Kiley supervise Luc, an employee of JK Designs. As general partners of JK Designs, Jim and Kiley: a) Are not personally liable for any tort(s) committed by Kiley. b) May be personally liable for malpractice committed by Luc working within the scope of his job at JK. c) Have limited liability for any of Kiley’s acts of malpractice. d) Have no liability for any torts committed by Luc.

18. Kisha operates River Valley Soccer, an athletic equipment shop as a sole proprietorship. Taxes on the business’s income are paid by: a) No one; since it is a sole proprietorship there are no business taxes. b) Kisha as the sole owner. c) The state or federal government if Kisha holds a Small Business Administration loan acquired to start her business. d) The business entity of River Valley Soccer, not Kisha personally.

19. Assume that Virginia enacted a law prohibiting, until further notice, all grocery stores in Virginia from selling all powdered spices manufactured in, or shipped from, Maryland. This law was enacted because it was discovered that the spices recently manufactured in Maryland were infected with bacteria. Determine the constitutionality of the Virginia statute. The statute is: a) Unconstitutional; it violates grocery store owners’ substantive and procedural due process rights under the 5th and 14th Amendments because they are private businesses. b) Unconstitutional; the statute imposes an undue burden on interstate commerce. c) Constitutional; it is a valid exercise of Virginia’s police power. d) Constitutional; the statute imposes an undue burden on intrastate and interstate commerce.

20. Distinguish which of the following is an advantage of limited liability companies (LLCs) over corporations. a) Only one member of a LLC must have unlimited liability as compared with corporations in which all shareholders have unlimited liability. b) LLCs can be formed without any specific steps being taken by the owners as compared with corporations that must file Articles of Incorporation with the State. c) In most cases, a LLC can choose whether to be taxed as a partnership or corporation, as compared with corporations that are subject to double corporate taxation. d) LLCs can choose whether to sell shares publically to investors, as compared to private corporations that must sell shares publically to investors.

21. Pete, who collects antique cars, hired Ann as his agent to find and purchase a 1965 Ford Mustang on his behalf. Ann found a Mustang like Pete wanted, but Ann fell in love with the car and purchased it for herself. Which of the following illustrates Ann’s liability, if any, in her duty as agent to Pete in this situation? a) Ann has not violated the duty of loyalty to Pete; she can find another Mustang for him. b) Ann has not engaged in self-dealing because she did not purchase the Mustang with Pete’s funds. c) Ann usurped an opportunity for Pete, but has not violated the duty of loyalty to Pete by competing with Pete’s interests. d) Ann violated the duty of loyalty to Pete by competing with Pete’s interests, and has usurped an opportunity for Pete.

22. Ed hired Frankie, who is 13 years old, to buy a computer on Ed’s behalf. Which of the following identifies the legal relationship between Ed and Frankie? a) This is a valid agency relationship even though Frankie is a minor, and Ed would be bound by authorized contracts Frankie enters into on Ed’s behalf. b) This is a valid agency relationship even though Frankie is a minor, but Ed would have the option of disaffirming any contracts Frankie enters into on Ed’s behalf. c) This is a valid agency relationship even though Frankie is a minor, but Frankie would not be entitled to any payment under the terms of the agency because he is a minor. d) This is an invalid agency relationship because Frankie is a minor.

23. Mediation might be more reasonable and appropriate than a trial in which of the following situations?

a) A lawsuit challenging the constitutionality of a new state statute. b) A dispute between neighbors over a property boundary. c) An alleged theft of patio furniture from the patio of a house. d) None of the above are appropriate for mediation.

Answer questions 24-25 regarding the following scenario: Scenario: Jones, a resident of Arizona, booked reservations for a vacation at Windell Hotels, Inc. in Cabo Mar, Mexico. Windell Hotels is an international hotel chain incorporated in Delaware with hotels in North and South America; Windell Hotels has no hotels in Arizona but does advertise and book reservations for all its hotels over the Internet. While a guest in the hotel in Cabo Mar, Jones was walking across the hotel lobby, and slipped and fell on the wet marble floor that had been just washed by the maintenance staff. The staff had placed a “wet floor” sign on the lobby floor on the side wall of the lobby. Jones was taken to the nearest Mexican hospital where surgery was necessary to place a pin in his broken leg. Anxious to return home and see his regular doctor, Jones flew out of Mexico shortly after the surgery. He required two plane seats and an ambulance to meet him at various airports. His health insurance would not cover his hospital stay in Mexico as it was located outside the U.S. When back in Arizona, Jones was unable to work for 8 weeks and required another surgery to remove the pin. He also required several weeks of physical therapy.

24. Jones wants to sue Windell Hotels, Inc. in federal court for $450,000 to recover all his medical expenses in Mexico and the US; for $50,000 for the cost of the plane trip from Mexico to Arizona, the 2 plane seats and ambulance costs in various airports; $10,000 for 8 weeks of lost wages; and $50,000 for pain and suffering resulting from the injury. Can he sue in federal court? a) Yes, because Federal Court always has jurisdiction over citizens of different states.

b) No, because Federal Court does not have jurisdiction in cases that do not involve federal laws. c) Yes, because the Federal Court may have jurisdiction over citizens of different states and the lawsuit involves damages greater than $75,000. d) No, because the Federal Court has no jurisdiction over an accident that occurred in Mexico.

25. It would be easier for Jones to bring the lawsuit in Arizona state court, but he wonders if the court can get Windell Hotels to come to Arizona. Can the Arizona state court impose jurisdiction over Windell Hotels to bring the company to court in Arizona? a) No, because the subject of the lawsuit took place in a foreign country. b) No, because the corporation does not have sufficient minimum contact with Arizona to allow the Arizona court to use the long arm statute to establish jurisdiction in Arizona. c) Yes, because the Jones is a resident of Arizona and he is the plaintiff in the lawsuit. d) Yes, because Windell Hotels has sufficient minimum contact with Arizona the state to justify the court’s use of the long arm statute. Scroll down please to begin the essay portion of the exam.

Section: Section II. Essay: 9 questions/50 points Questions 1-8 = 5 pts each; question 9 = 10 pts Use the answer sheet at the end of the exam. Number each answer. DO NOT recopy questions. Answer each question in complete paragraphs; do not list or answer in phrases (points will be deducted for doing so). None of these questions can be adequately/comprehensively answered in just a paragraph, so be comprehensive, in depth in your answers, but be careful to not include irrelevant information. Points will be deducted for answers that are not well justified, not sufficiently comprehensive. Use APA in text citations, as appropriate but please do not use direct quotes. Use only classroom notes/comment and assigned reading or watching materials as resources, which is all you need to complete the exam. DO NOT use any outside, Internet resources as they are often inaccurate. Follow directions carefully. Answer all parts of each question. Be sure to directly answer the question(s) asked. __________________________________________________________________ Refer to the scenario for Multiple Choice questions 24-25 above to answer the following essay question #1 only: 1. Jones sued Windell Hotels, Inc. for negligence to recover damages for his injuries resulting from the fall in the Cabo Mar hotel. Will Jones likely be successful in the negligence lawsuit against Windell Hotels? Explain fully why or why not.

2. Clarkson and Lee did not have a contract, but Clarkson completed extensive landscaping in Lee’s yard by mistake while Lee was away on vacation. Clarkson sent Lee a bill for the landscaping service but Lee refused to pay. Determine the likely result if Clark sues Lee to recover the costs of the landscaping.

3. Racer contracted in writing to drive Owner’s one-of-a-kind, specially designed championship race car in the Miami 500 Race on July 15 for a fee of $2500. On July 1, the race car was destroyed in an accidental fire in a storage warehouse where the race car was being stored prior to the race. Owner owns no other race cars, so Owner considered the contract discharged. Racer claimed that she is still entitled to the $2500 fee because she and Owner had a valid enforceable contract. Compare and contrast the rights and obligations of Racer and Owner under the contract as of July 1.

4. Compare and contrast the rights and possible liabilities for a merchant selling goods in “As Is” condition with the rights and possible liabilities for selling goods with an express warranty stating, “This product is quality Grade A”.

5. Aaron plans to open Aaron’s Pets, a pet shop selling pets and pet supplies, and plans to hire 2 part-time employees. Aaron will invest only his own money in the business. He does not expect to make any profit for at least 2 years and to make very little profit for the next 3 years after the first 2 years. He does expect to make a profit eventually. Which form of business organization is most appropriate and easiest for Aaron to use in opening his pet store – and why? (There is only one correct answer).

6. There are extensive federal regulations governing airplanes and pilots. Assume that the state of New York passed a statute containing numerous requirements,

some conflicting with federal regulations, covering operation of airplanes and licensing of airplane pilots. If the New York state statue is challenged as being unconstitutional, what is the likely result? Describe the applicable law and rationale for your conclusion.

7. Fran, Joe, and Mike formed a general partnership to operate a flower shop called Fresher Flowers. One of Fran’s jobs is to make deliveries using the partnership truck. In one such delivery, Fran negligently ran a stop sign, striking a car driven by Peggy, causing damage to the car and injury to Peggy.

Analyze and describe (1) the personal liability of Fran, Joe, and Mike, (2) the liability of the partnership, Fresher Flowers.

8. Mark plans to open a barbeque restaurant. He can either open the business as a sole proprietorship or obtain a franchise for “Smokin’ Hot Bar-B-Q”. Compare and contrast the advantages and disadvantages of opening the business as a sole proprietorship and a franchise.

9. 10 points Leon, a bank vice president, joined Fitness Center, Inc. (FC). He signed a contract for the membership. The contract stated, among other things, an exculpatory clause that FC… “shall not be liable for any claim, demand, cause of action of any kind whatsoever for, or on account of death, personal injury, property damage or loss of any kind resulting from or related to Member’s use of facilities or participation in any sport, exercise or activity within the club premises…”

While working out at FC, Leon sustained back injuries when a treadmill on which he was walking suddenly collapsed at FC. Leon sued FC for his injuries. Discuss: a. Is the exculpatory clause in the contract valid or invalid in Leon’s case and why? b. Possible product liability claim(s) for which Leon could sue FC and why product liability claims might be applicable to this case c. Possible ordinary (non-product liability) negligence claim for which Leon could sue FC and why a negligence claim might be applicable to this case d. The likely outcome if Leon sues FC under product liability e. The likely outcome if Leon sues FC under ordinary negligence

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BMGT 380 Final Examination Question and Answers

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 1. Sam orally agreed to sell Ramie some land for $500,000. Ramie paid Sam the $500,000; Sam gave Ramie the deed to the land. Ramie took possession of the land and began building a cabin on it. One month later, Sam tried to retake possession of the land by arguing that the contract for the sale was invalid because it was oral, not written. Sam sued Ramie to invalidate the contract and retake the land. The court will likely conclude that Sam will: a) Win; the sale exceeded $500 so the contract must be written to be valid. b) Win; all land sales contracts must be written. c) Lose; because the contract was fully executed Sam cannot rescind the contract. d) Lose; because Ramie had begun building a cabin on the property, Sam cannot rescind the contract.

2. On Tuesday, Sam offered to sell his CD collection to Sandy for $100. Sandy replied, "I’m interested. I’ll think it over and let you know Thursday whether I want to buy the CDs." On Wednesday, Sam agreed to sell the CDs to Jason, and Jason immediately gave Sam a letter that stated: "Sam, I will buy your CD collection for $100. As we agreed, I will pay you on Friday when I pick up the CDs. Yours truly, Jason." Upon Sam’s receipt of this letter on Wednesday, what best describes Sam’s contract agreement(s)? a) By forming an agreement with Jason, Sam breached his contract with Sandy.

b) Sam has formed contracts with both Jason and Sandy. c) Sam and Jason have formed a valid, enforceable contract; Sam did not form a contract with Sandy. d) Sam formed a contract with Sandy, but has not formed an enforceable contract with Jason because Jason has not yet paid for the CD collection.

3. Mac and Rhamad signed a business contract with a clause that provides that if a dispute arises they must submit to binding arbitration to resolve the dispute. After they had been doing business together for a year, a dispute arose under the terms of the contract. Rather than submit to arbitration, Mac filed a lawsuit against Rhamad. Most likely the court will: a) Hear the lawsuit because Mac cannot be compelled to submit to arbitration; he is constitutionally entitled to a jury trial if he requests a trial. b) Conduct a bench trial, then order a remedy without compelling Mac to submit to arbitration or to a jury trial. c) Compel Mac to submit to arbitration to resolve the dispute. d) Hear the lawsuit in a trial, then compel Mac to submit to arbitration, if Mac is not satisfied with the trial decision.

4. Roxy, while driving through Wyoming to her home in Montana, accidentally lost control of her car and drove it through a window into a store owned by Colt. Colt sued Roxy in a Wyoming court for damages to his store. Will the Wyoming court likely be able to exercise jurisdiction over Roxy? a) No, because Wyoming has no in personam (personal) jurisdiction over Roxy, and cannot exercise its long arm statute in cases only involving automobile accidents. b) No, because Wyoming has no in personam jurisdiction over Roxy, and cannot justify minimum contacts in this case.

c) Yes, Wyoming can exercise in personam jurisdiction in this case because any state court has personal jurisdiction in every diversity of citizenship case. d) Yes, because Wyoming can assert in personam jurisdiction over Roxy under the minimum contacts test.

5. Assume a salesperson intentionally made one of the following statements knowing that the statement was false – to a customer considering a purchase. Which statement could create liability for fraudulent misrepresentation if the customer made the purchase? a) “In my opinion, this car is in flawless mechanical condition.” b) “This crane will probably lift about 10,000 pounds.” c) “This car is a real gem.” d) “This is an original painting by the artist, Pablo Picasso.”

6. Don promised to buy his girlfriend, Sophie, a new car so Sophie sold her old car. Don now refuses to buy Sophie the car. Sophie has a job that requires her to have a car to get to work. If Sophie sues Don to enforce the promise, the likely result is that the promise will: a) Be enforced under promissory estoppel because Sophie reasonably relied on Don’s promise, to her detriment. b) Not be enforced as Sophie was not unjustly enriched simply because she did not receive the car. c) Be enforced because the car is a necessity for Sophie and all contracts for necessities are binding and enforceable for all parties even if contract formation is flawed. d) Not be enforced as Don’s promise was a gift to Sophie; Sophie gave consideration, but Don did not.

7. Reg offered to sell his motorcycle to Thelma for $8,000. Thelma replied, "Your price is too high. I will purchase your motorcycle for $7,000". Reg agreed and they committed their agreement to writing. This transaction can be characterized as: a) An enforceable contract because Reg’s acceptance of Thelma’s offer was a clearly communicated acceptance. b) An enforceable contract because Thelma’s counteroffer was less than Reg’s original offer. c) An unenforceable contract because Thelma’s offer was not the mirror image of Reg’s original offer as is required under common law contract rules. d) An unenforceable contract unless either Reg or Thelma is a merchant, as defined by the UCC, because sale of personal property contracts are valid only if one of the parties to the contract is a merchant. 8. Mary sued Don for negligence. Mary’s losses total $100,000. Under a contributory negligence system, if Mary is found to be contributorily negligent for her own injuries, what damages will Mary likely recover from Don? a) None. b) $100,000. c) $100,000 minus the percentage of fault (e.g., 20%, 60%, etc.) for which Mary was responsible. d) $100,000 minus the percentage of fault for which Mary was responsible, so long as Mary was not more than 50% responsible for the injuries.

9. Ram was walking down the sidewalk by a construction project site in a downtown area. The project was owned and operated by Modern Construction, Inc. and was surrounded by orange plastic fencing typically used for construction projects. Ram stopped to watch a metal beam being lifted by a crane on the

construction site. As the beam swung through the air, Ram thought it was going to fall and jumped forward quickly off the sidewalk and into the construction project property, falling into and smashing the orange plastic fencing. As Ram landed inside the construction project, the beam fell near Ram. The beam did not hit Ram but some rocks were thrown onto Ram as the beam fell, cutting his arm badly so that it required 35 stitches. If Ram sues Model Construction for negligence, the likely result will be that Ram will: a) Lose, because he assumed the risk as a trespasser on the construction site and trespassers can never recover damages. b) Lose, because pedestrians are always contributorily negligent in such cases involving trespassing. c) Win, because it is always foreseeable that a beam could fall on a nearby pedestrian. d) Win, if the beam fell because of Model Construction’s negligence.

10. X and Y agreed that X would sell Y his small business, including the land on which the business was situated, for $500,000. Both X and Y knew at the time the contract was formed that the business was actually worth $800,000. Is this a valid, enforceable contract? a) Yes, provided the contract was in writing, in accordance with the Statute of Frauds and the parties freely consented. b) Yes, provided the contract was in accordance with state statutory law that permits real estate sales for 40% or more below market value. c) No, because $500,000 is not valid consideration for a business worth $800,000. d) No, because X has no pre-existing legal duty to sell his business.

11. Fine Art Corp. sent a written offer to buy 10,000 pencils for a total of $10,000 from Faber Pencil Co. Both parties are merchants. Faber can accept the offer by: a) Promising to ship the pencils. b) Promptly shipping the pencils. c) Accepting the offer on Faber’s own written standard form contract. d) All of the above could be valid acceptance.

12. Ralph, a 16-year old minor, is manager for the high school football team. Ralph signed a contract to purchase alcoholic beverages from Liquormart, Inc. for the team party. This contract is: a) Void as a matter of law because it is illegal to sell alcohol to minors by state law. b) Void only if Ralph misrepresented his age and told Liquormart he was an adult. c) Valid and enforceable, but Ralph has the right to disaffirm because he is a minor. d) Valid and enforceable, if Liquormart knew that Ralph was a minor.

13. Which of the following activities may involve the use of a contract, and/or constitute a sales contract? a) Purchasing medications from a pharmacy. b) Hiring a contractor to make home repairs. c) Purchasing insurance policies from an insurance agent. d) Selling books to customers in a bookstore.

e) All of the above.

14. Fay was admitted to Global Associates, an existing partnership, as a limited partner on January, 2015. In June, 2015, a partnership debt incurred in October, 2014 came due. Fay is: a) Not liable for the debt because the debt was incurred prior to her joining the partnership. b) Only liable for the debt up to the amount of her capital contribution to the partnership. c) Personally liable only for 50% of the total debt if 50% of the other partners do not pay. d) Personally liable for the full extent of the debt if the other partners do not pay.

15. Earl, a nonmerchant, offered to sell a chair to Isaac, a nonmerchant. Earl’s house caught fire and destroyed the chair before Isaac accepted Earl’s offer to buy the chair. As a result: a) The destruction of the chair constitutes an automatic, valid revocation of the offer. b) The fire does not automatically revoke the offer, but because neither Earl nor Isaac is a merchant, the offer is revocable at any time at Earl’s option. c) Earl did not validly communicate a revocation to Isaac, so Isaac still has the option of accepting Earl’s offer; if Isaac accepts the offer, Earl must obtain a similar chair for Isaac or pay Isaac the equivalent value of the chair. d) Earl’s offer is automatically revoked by the fire, unless the offer was a firm offer.

16. CC’s Day Spa, LLC, is a member-managed limited liability company. So long as it is in accordance with state law, members can agree to apportion voting rights according to: a) Participation in management. b) Capital contributions. c) The number of members. d) Any of the above.

17. Jim and Kiley are architects and general partners of JK Designs. Jim and Kiley supervise Luc, an employee of JK Designs. As general partners of JK Designs, Jim and Kiley: a) Are not personally liable for any tort(s) committed by Kiley. b) May be personally liable for malpractice committed by Luc working within the scope of his job at JK. c) Have limited liability for any of Kiley’s acts of malpractice. d) Have no liability for any torts committed by Luc.

18. Kisha operates River Valley Soccer, an athletic equipment shop as a sole proprietorship. Taxes on the business’s income are paid by: a) No one; since it is a sole proprietorship there are no business taxes. b) Kisha as the sole owner. c) The state or federal government if Kisha holds a Small Business Administration loan acquired to start her business. d) The business entity of River Valley Soccer, not Kisha personally.

19. Assume that Virginia enacted a law prohibiting, until further notice, all grocery stores in Virginia from selling all powdered spices manufactured in, or shipped from, Maryland. This law was enacted because it was discovered that the spices recently manufactured in Maryland were infected with bacteria. Determine the constitutionality of the Virginia statute. The statute is: a) Unconstitutional; it violates grocery store owners’ substantive and procedural due process rights under the 5th and 14th Amendments because they are private businesses. b) Unconstitutional; the statute imposes an undue burden on interstate commerce. c) Constitutional; it is a valid exercise of Virginia’s police power. d) Constitutional; the statute imposes an undue burden on intrastate and interstate commerce.

20. Distinguish which of the following is an advantage of limited liability companies (LLCs) over corporations. a) Only one member of a LLC must have unlimited liability as compared with corporations in which all shareholders have unlimited liability. b) LLCs can be formed without any specific steps being taken by the owners as compared with corporations that must file Articles of Incorporation with the State. c) In most cases, a LLC can choose whether to be taxed as a partnership or corporation, as compared with corporations that are subject to double corporate taxation. d) LLCs can choose whether to sell shares publically to investors, as compared to private corporations that must sell shares publically to investors.

21. Pete, who collects antique cars, hired Ann as his agent to find and purchase a 1965 Ford Mustang on his behalf. Ann found a Mustang like Pete wanted, but Ann fell in love with the car and purchased it for herself. Which of the following illustrates Ann’s liability, if any, in her duty as agent to Pete in this situation? a) Ann has not violated the duty of loyalty to Pete; she can find another Mustang for him. b) Ann has not engaged in self-dealing because she did not purchase the Mustang with Pete’s funds. c) Ann usurped an opportunity for Pete, but has not violated the duty of loyalty to Pete by competing with Pete’s interests. d) Ann violated the duty of loyalty to Pete by competing with Pete’s interests, and has usurped an opportunity for Pete.

22. Ed hired Frankie, who is 13 years old, to buy a computer on Ed’s behalf. Which of the following identifies the legal relationship between Ed and Frankie? a) This is a valid agency relationship even though Frankie is a minor, and Ed would be bound by authorized contracts Frankie enters into on Ed’s behalf. b) This is a valid agency relationship even though Frankie is a minor, but Ed would have the option of disaffirming any contracts Frankie enters into on Ed’s behalf. c) This is a valid agency relationship even though Frankie is a minor, but Frankie would not be entitled to any payment under the terms of the agency because he is a minor. d) This is an invalid agency relationship because Frankie is a minor.

23. Mediation might be more reasonable and appropriate than a trial in which of the following situations?

a) A lawsuit challenging the constitutionality of a new state statute. b) A dispute between neighbors over a property boundary. c) An alleged theft of patio furniture from the patio of a house. d) None of the above are appropriate for mediation.

Answer questions 24-25 regarding the following scenario: Scenario: Jones, a resident of Arizona, booked reservations for a vacation at Windell Hotels, Inc. in Cabo Mar, Mexico. Windell Hotels is an international hotel chain incorporated in Delaware with hotels in North and South America; Windell Hotels has no hotels in Arizona but does advertise and book reservations for all its hotels over the Internet. While a guest in the hotel in Cabo Mar, Jones was walking across the hotel lobby, and slipped and fell on the wet marble floor that had been just washed by the maintenance staff. The staff had placed a “wet floor” sign on the lobby floor on the side wall of the lobby. Jones was taken to the nearest Mexican hospital where surgery was necessary to place a pin in his broken leg. Anxious to return home and see his regular doctor, Jones flew out of Mexico shortly after the surgery. He required two plane seats and an ambulance to meet him at various airports. His health insurance would not cover his hospital stay in Mexico as it was located outside the U.S. When back in Arizona, Jones was unable to work for 8 weeks and required another surgery to remove the pin. He also required several weeks of physical therapy.

24. Jones wants to sue Windell Hotels, Inc. in federal court for $450,000 to recover all his medical expenses in Mexico and the US; for $50,000 for the cost of the plane trip from Mexico to Arizona, the 2 plane seats and ambulance costs in various airports; $10,000 for 8 weeks of lost wages; and $50,000 for pain and suffering resulting from the injury. Can he sue in federal court? a) Yes, because Federal Court always has jurisdiction over citizens of different states.

b) No, because Federal Court does not have jurisdiction in cases that do not involve federal laws. c) Yes, because the Federal Court may have jurisdiction over citizens of different states and the lawsuit involves damages greater than $75,000. d) No, because the Federal Court has no jurisdiction over an accident that occurred in Mexico.

25. It would be easier for Jones to bring the lawsuit in Arizona state court, but he wonders if the court can get Windell Hotels to come to Arizona. Can the Arizona state court impose jurisdiction over Windell Hotels to bring the company to court in Arizona? a) No, because the subject of the lawsuit took place in a foreign country. b) No, because the corporation does not have sufficient minimum contact with Arizona to allow the Arizona court to use the long arm statute to establish jurisdiction in Arizona. c) Yes, because the Jones is a resident of Arizona and he is the plaintiff in the lawsuit. d) Yes, because Windell Hotels has sufficient minimum contact with Arizona the state to justify the court’s use of the long arm statute. Scroll down please to begin the essay portion of the exam.

Section: Section II. Essay: 9 questions/50 points Questions 1-8 = 5 pts each; question 9 = 10 pts Use the answer sheet at the end of the exam. Number each answer. DO NOT recopy questions. Answer each question in complete paragraphs; do not list or answer in phrases (points will be deducted for doing so). None of these questions can be adequately/comprehensively answered in just a paragraph, so be comprehensive, in depth in your answers, but be careful to not include irrelevant information. Points will be deducted for answers that are not well justified, not sufficiently comprehensive. Use APA in text citations, as appropriate but please do not use direct quotes. Use only classroom notes/comment and assigned reading or watching materials as resources, which is all you need to complete the exam. DO NOT use any outside, Internet resources as they are often inaccurate. Follow directions carefully. Answer all parts of each question. Be sure to directly answer the question(s) asked. __________________________________________________________________ Refer to the scenario for Multiple Choice questions 24-25 above to answer the following essay question #1 only: 1. Jones sued Windell Hotels, Inc. for negligence to recover damages for his injuries resulting from the fall in the Cabo Mar hotel. Will Jones likely be successful in the negligence lawsuit against Windell Hotels? Explain fully why or why not.

2. Clarkson and Lee did not have a contract, but Clarkson completed extensive landscaping in Lee’s yard by mistake while Lee was away on vacation. Clarkson sent Lee a bill for the landscaping service but Lee refused to pay. Determine the likely result if Clark sues Lee to recover the costs of the landscaping.

3. Racer contracted in writing to drive Owner’s one-of-a-kind, specially designed championship race car in the Miami 500 Race on July 15 for a fee of $2500. On July 1, the race car was destroyed in an accidental fire in a storage warehouse where the race car was being stored prior to the race. Owner owns no other race cars, so Owner considered the contract discharged. Racer claimed that she is still entitled to the $2500 fee because she and Owner had a valid enforceable contract. Compare and contrast the rights and obligations of Racer and Owner under the contract as of July 1.

4. Compare and contrast the rights and possible liabilities for a merchant selling goods in “As Is” condition with the rights and possible liabilities for selling goods with an express warranty stating, “This product is quality Grade A”.

5. Aaron plans to open Aaron’s Pets, a pet shop selling pets and pet supplies, and plans to hire 2 part-time employees. Aaron will invest only his own money in the business. He does not expect to make any profit for at least 2 years and to make very little profit for the next 3 years after the first 2 years. He does expect to make a profit eventually. Which form of business organization is most appropriate and easiest for Aaron to use in opening his pet store – and why? (There is only one correct answer).

6. There are extensive federal regulations governing airplanes and pilots. Assume that the state of New York passed a statute containing numerous requirements,

some conflicting with federal regulations, covering operation of airplanes and licensing of airplane pilots. If the New York state statue is challenged as being unconstitutional, what is the likely result? Describe the applicable law and rationale for your conclusion.

7. Fran, Joe, and Mike formed a general partnership to operate a flower shop called Fresher Flowers. One of Fran’s jobs is to make deliveries using the partnership truck. In one such delivery, Fran negligently ran a stop sign, striking a car driven by Peggy, causing damage to the car and injury to Peggy.

Analyze and describe (1) the personal liability of Fran, Joe, and Mike, (2) the liability of the partnership, Fresher Flowers.

8. Mark plans to open a barbeque restaurant. He can either open the business as a sole proprietorship or obtain a franchise for “Smokin’ Hot Bar-B-Q”. Compare and contrast the advantages and disadvantages of opening the business as a sole proprietorship and a franchise.

9. 10 points Leon, a bank vice president, joined Fitness Center, Inc. (FC). He signed a contract for the membership. The contract stated, among other things, an exculpatory clause that FC… “shall not be liable for any claim, demand, cause of action of any kind whatsoever for, or on account of death, personal injury, property damage or loss of any kind resulting from or related to Member’s use of facilities or participation in any sport, exercise or activity within the club premises…”

While working out at FC, Leon sustained back injuries when a treadmill on which he was walking suddenly collapsed at FC. Leon sued FC for his injuries. Discuss: a. Is the exculpatory clause in the contract valid or invalid in Leon’s case and why? b. Possible product liability claim(s) for which Leon could sue FC and why product liability claims might be applicable to this case c. Possible ordinary (non-product liability) negligence claim for which Leon could sue FC and why a negligence claim might be applicable to this case d. The likely outcome if Leon sues FC under product liability e. The likely outcome if Leon sues FC under ordinary negligence

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BMGT 380 Final Examination

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 BMGT 380 Final Examination

 1. Sam orally agreed to sell Ramie some land for $500,000. Ramie paid Sam the $500,000; Sam gave Ramie the deed to the land. Ramie took possession of the land and began building a cabin on it. One month later, Sam tried to retake possession of the land by arguing that the contract for the sale was invalid because it was oral, not written. Sam sued Ramie to invalidate the contract and retake the land. The court will likely conclude that Sam will: a) Win; the sale exceeded $500 so the contract must be written to be valid. b) Win; all land sales contracts must be written. c) Lose; because the contract was fully executed Sam cannot rescind the contract. d) Lose; because Ramie had begun building a cabin on the property, Sam cannot rescind the contract.

2. On Tuesday, Sam offered to sell his CD collection to Sandy for $100. Sandy replied, "I’m interested. I’ll think it over and let you know Thursday whether I want to buy the CDs." On Wednesday, Sam agreed to sell the CDs to Jason, and Jason immediately gave Sam a letter that stated: "Sam, I will buy your CD collection for $100. As we agreed, I will pay you on Friday when I pick up the CDs. Yours truly, Jason." Upon Sam’s receipt of this letter on Wednesday, what best describes Sam’s contract agreement(s)? a) By forming an agreement with Jason, Sam breached his contract with Sandy.

b) Sam has formed contracts with both Jason and Sandy. c) Sam and Jason have formed a valid, enforceable contract; Sam did not form a contract with Sandy. d) Sam formed a contract with Sandy, but has not formed an enforceable contract with Jason because Jason has not yet paid for the CD collection.

3. Mac and Rhamad signed a business contract with a clause that provides that if a dispute arises they must submit to binding arbitration to resolve the dispute. After they had been doing business together for a year, a dispute arose under the terms of the contract. Rather than submit to arbitration, Mac filed a lawsuit against Rhamad. Most likely the court will: a) Hear the lawsuit because Mac cannot be compelled to submit to arbitration; he is constitutionally entitled to a jury trial if he requests a trial. b) Conduct a bench trial, then order a remedy without compelling Mac to submit to arbitration or to a jury trial. c) Compel Mac to submit to arbitration to resolve the dispute. d) Hear the lawsuit in a trial, then compel Mac to submit to arbitration, if Mac is not satisfied with the trial decision.

4. Roxy, while driving through Wyoming to her home in Montana, accidentally lost control of her car and drove it through a window into a store owned by Colt. Colt sued Roxy in a Wyoming court for damages to his store. Will the Wyoming court likely be able to exercise jurisdiction over Roxy? a) No, because Wyoming has no in personam (personal) jurisdiction over Roxy, and cannot exercise its long arm statute in cases only involving automobile accidents. b) No, because Wyoming has no in personam jurisdiction over Roxy, and cannot justify minimum contacts in this case.

c) Yes, Wyoming can exercise in personam jurisdiction in this case because any state court has personal jurisdiction in every diversity of citizenship case. d) Yes, because Wyoming can assert in personam jurisdiction over Roxy under the minimum contacts test.

5. Assume a salesperson intentionally made one of the following statements knowing that the statement was false – to a customer considering a purchase. Which statement could create liability for fraudulent misrepresentation if the customer made the purchase? a) “In my opinion, this car is in flawless mechanical condition.” b) “This crane will probably lift about 10,000 pounds.” c) “This car is a real gem.” d) “This is an original painting by the artist, Pablo Picasso.”

6. Don promised to buy his girlfriend, Sophie, a new car so Sophie sold her old car. Don now refuses to buy Sophie the car. Sophie has a job that requires her to have a car to get to work. If Sophie sues Don to enforce the promise, the likely result is that the promise will: a) Be enforced under promissory estoppel because Sophie reasonably relied on Don’s promise, to her detriment. b) Not be enforced as Sophie was not unjustly enriched simply because she did not receive the car. c) Be enforced because the car is a necessity for Sophie and all contracts for necessities are binding and enforceable for all parties even if contract formation is flawed. d) Not be enforced as Don’s promise was a gift to Sophie; Sophie gave consideration, but Don did not.

7. Reg offered to sell his motorcycle to Thelma for $8,000. Thelma replied, "Your price is too high. I will purchase your motorcycle for $7,000". Reg agreed and they committed their agreement to writing. This transaction can be characterized as: a) An enforceable contract because Reg’s acceptance of Thelma’s offer was a clearly communicated acceptance. b) An enforceable contract because Thelma’s counteroffer was less than Reg’s original offer. c) An unenforceable contract because Thelma’s offer was not the mirror image of Reg’s original offer as is required under common law contract rules. d) An unenforceable contract unless either Reg or Thelma is a merchant, as defined by the UCC, because sale of personal property contracts are valid only if one of the parties to the contract is a merchant. 8. Mary sued Don for negligence. Mary’s losses total $100,000. Under a contributory negligence system, if Mary is found to be contributorily negligent for her own injuries, what damages will Mary likely recover from Don? a) None. b) $100,000. c) $100,000 minus the percentage of fault (e.g., 20%, 60%, etc.) for which Mary was responsible. d) $100,000 minus the percentage of fault for which Mary was responsible, so long as Mary was not more than 50% responsible for the injuries.

9. Ram was walking down the sidewalk by a construction project site in a downtown area. The project was owned and operated by Modern Construction, Inc. and was surrounded by orange plastic fencing typically used for construction projects. Ram stopped to watch a metal beam being lifted by a crane on the

construction site. As the beam swung through the air, Ram thought it was going to fall and jumped forward quickly off the sidewalk and into the construction project property, falling into and smashing the orange plastic fencing. As Ram landed inside the construction project, the beam fell near Ram. The beam did not hit Ram but some rocks were thrown onto Ram as the beam fell, cutting his arm badly so that it required 35 stitches. If Ram sues Model Construction for negligence, the likely result will be that Ram will: a) Lose, because he assumed the risk as a trespasser on the construction site and trespassers can never recover damages. b) Lose, because pedestrians are always contributorily negligent in such cases involving trespassing. c) Win, because it is always foreseeable that a beam could fall on a nearby pedestrian. d) Win, if the beam fell because of Model Construction’s negligence.

10. X and Y agreed that X would sell Y his small business, including the land on which the business was situated, for $500,000. Both X and Y knew at the time the contract was formed that the business was actually worth $800,000. Is this a valid, enforceable contract? a) Yes, provided the contract was in writing, in accordance with the Statute of Frauds and the parties freely consented. b) Yes, provided the contract was in accordance with state statutory law that permits real estate sales for 40% or more below market value. c) No, because $500,000 is not valid consideration for a business worth $800,000. d) No, because X has no pre-existing legal duty to sell his business.

11. Fine Art Corp. sent a written offer to buy 10,000 pencils for a total of $10,000 from Faber Pencil Co. Both parties are merchants. Faber can accept the offer by: a) Promising to ship the pencils. b) Promptly shipping the pencils. c) Accepting the offer on Faber’s own written standard form contract. d) All of the above could be valid acceptance.

12. Ralph, a 16-year old minor, is manager for the high school football team. Ralph signed a contract to purchase alcoholic beverages from Liquormart, Inc. for the team party. This contract is: a) Void as a matter of law because it is illegal to sell alcohol to minors by state law. b) Void only if Ralph misrepresented his age and told Liquormart he was an adult. c) Valid and enforceable, but Ralph has the right to disaffirm because he is a minor. d) Valid and enforceable, if Liquormart knew that Ralph was a minor.

13. Which of the following activities may involve the use of a contract, and/or constitute a sales contract? a) Purchasing medications from a pharmacy. b) Hiring a contractor to make home repairs. c) Purchasing insurance policies from an insurance agent. d) Selling books to customers in a bookstore.

e) All of the above

14. Fay was admitted to Global Associates, an existing partnership, as a limited partner on January, 2015. In June, 2015, a partnership debt incurred in October, 2014 came due. Fay is: a) Not liable for the debt because the debt was incurred prior to her joining the partnership. b) Only liable for the debt up to the amount of her capital contribution to the partnership. c) Personally liable only for 50% of the total debt if 50% of the other partners do not pay. d) Personally liable for the full extent of the debt if the other partners do not pay.

15. Earl, a nonmerchant, offered to sell a chair to Isaac, a nonmerchant. Earl’s house caught fire and destroyed the chair before Isaac accepted Earl’s offer to buy the chair. As a result: a) The destruction of the chair constitutes an automatic, valid revocation of the offer. b) The fire does not automatically revoke the offer, but because neither Earl nor Isaac is a merchant, the offer is revocable at any time at Earl’s option. c) Earl did not validly communicate a revocation to Isaac, so Isaac still has the option of accepting Earl’s offer; if Isaac accepts the offer, Earl must obtain a similar chair for Isaac or pay Isaac the equivalent value of the chair. d) Earl’s offer is automatically revoked by the fire, unless the offer was a firm offer.

16. CC’s Day Spa, LLC, is a member-managed limited liability company. So long as it is in accordance with state law, members can agree to apportion voting rights according to: a) Participation in management. b) Capital contributions. c) The number of members. d) Any of the above.

17. Jim and Kiley are architects and general partners of JK Designs. Jim and Kiley supervise Luc, an employee of JK Designs. As general partners of JK Designs, Jim and Kiley: a) Are not personally liable for any tort(s) committed by Kiley. b) May be personally liable for malpractice committed by Luc working within the scope of his job at JK. c) Have limited liability for any of Kiley’s acts of malpractice. d) Have no liability for any torts committed by Luc.

18. Kisha operates River Valley Soccer, an athletic equipment shop as a sole proprietorship. Taxes on the business’s income are paid by: a) No one; since it is a sole proprietorship there are no business taxes. b) Kisha as the sole owner. c) The state or federal government if Kisha holds a Small Business Administration loan acquired to start her business. d) The business entity of River Valley Soccer, not Kisha personally.

19. Assume that Virginia enacted a law prohibiting, until further notice, all grocery stores in Virginia from selling all powdered spices manufactured in, or shipped from, Maryland. This law was enacted because it was discovered that the spices recently manufactured in Maryland were infected with bacteria. Determine the constitutionality of the Virginia statute. The statute is: a) Unconstitutional; it violates grocery store owners’ substantive and procedural due process rights under the 5th and 14th Amendments because they are private businesses. b) Unconstitutional; the statute imposes an undue burden on interstate commerce. c) Constitutional; it is a valid exercise of Virginia’s police power. d) Constitutional; the statute imposes an undue burden on intrastate and interstate commerce. 20. Distinguish which of the following is an advantage of limited liability companies (LLCs) over corporations. a) Only one member of a LLC must have unlimited liability as compared with corporations in which all shareholders have unlimited liability. b) LLCs can be formed without any specific steps being taken by the owners as compared with corporations that must file Articles of Incorporation with the State. c) In most cases, a LLC can choose whether to be taxed as a partnership or corporation, as compared with corporations that are subject to double corporate taxation. d) LLCs can choose whether to sell shares publically to investors, as compared to private corporations that must sell shares publically to investors.

21. Pete, who collects antique cars, hired Ann as his agent to find and purchase a 1965 Ford Mustang on his behalf. Ann found a Mustang like Pete wanted, but Ann fell in love with the car and purchased it for herself. Which of the following illustrates Ann’s liability, if any, in her duty as agent to Pete in this situation? a) Ann has not violated the duty of loyalty to Pete; she can find another Mustang for him. b) Ann has not engaged in self-dealing because she did not purchase the Mustang with Pete’s funds. c) Ann usurped an opportunity for Pete, but has not violated the duty of loyalty to Pete by competing with Pete’s interests. d) Ann violated the duty of loyalty to Pete by competing with Pete’s interests, and has usurped an opportunity for Pete.

22. Ed hired Frankie, who is 13 years old, to buy a computer on Ed’s behalf. Which of the following identifies the legal relationship between Ed and Frankie? a) This is a valid agency relationship even though Frankie is a minor, and Ed would be bound by authorized contracts Frankie enters into on Ed’s behalf. b) This is a valid agency relationship even though Frankie is a minor, but Ed would have the option of disaffirming any contracts Frankie enters into on Ed’s behalf. c) This is a valid agency relationship even though Frankie is a minor, but Frankie would not be entitled to any payment under the terms of the agency because he is a minor. d) This is an invalid agency relationship because Frankie is a minor.

23. Mediation might be more reasonable and appropriate than a trial in which of the following situations?

a) A lawsuit challenging the constitutionality of a new state statute. b) A dispute between neighbors over a property boundary. c) An alleged theft of patio furniture from the patio of a house. d) None of the above are appropriate for mediation.

Answer questions 24-25 regarding the following scenario: Scenario: Jones, a resident of Arizona, booked reservations for a vacation at Windell Hotels, Inc. in Cabo Mar, Mexico. Windell Hotels is an international hotel chain incorporated in Delaware with hotels in North and South America; Windell Hotels has no hotels in Arizona but does advertise and book reservations for all its hotels over the Internet. While a guest in the hotel in Cabo Mar, Jones was walking across the hotel lobby, and slipped and fell on the wet marble floor that had been just washed by the maintenance staff. The staff had placed a “wet floor” sign on the lobby floor on the side wall of the lobby. Jones was taken to the nearest Mexican hospital where surgery was necessary to place a pin in his broken leg. Anxious to return home and see his regular doctor, Jones flew out of Mexico shortly after the surgery. He required two plane seats and an ambulance to meet him at various airports. His health insurance would not cover his hospital stay in Mexico as it was located outside the U.S. When back in Arizona, Jones was unable to work for 8 weeks and required another surgery to remove the pin. He also required several weeks of physical therapy.

24. Jones wants to sue Windell Hotels, Inc. in federal court for $450,000 to recover all his medical expenses in Mexico and the US; for $50,000 for the cost of the plane trip from Mexico to Arizona, the 2 plane seats and ambulance costs in various airports; $10,000 for 8 weeks of lost wages; and $50,000 for pain and suffering resulting from the injury. Can he sue in federal court? a) Yes, because Federal Court always has jurisdiction over citizens of different states.

b) No, because Federal Court does not have jurisdiction in cases that do not involve federal laws. c) Yes, because the Federal Court may have jurisdiction over citizens of different states and the lawsuit involves damages greater than $75,000. d) No, because the Federal Court has no jurisdiction over an accident that occurred in Mexico.

25. It would be easier for Jones to bring the lawsuit in Arizona state court, but he wonders if the court can get Windell Hotels to come to Arizona. Can the Arizona state court impose jurisdiction over Windell Hotels to bring the company to court in Arizona? a) No, because the subject of the lawsuit took place in a foreign country. b) No, because the corporation does not have sufficient minimum contact with Arizona to allow the Arizona court to use the long arm statute to establish jurisdiction in Arizona. c) Yes, because the Jones is a resident of Arizona and he is the plaintiff in the lawsuit. d) Yes, because Windell Hotels has sufficient minimum contact with Arizona the state to justify the court’s use of the long arm statute. Scroll down please to begin the essay portion of the exam.

Section: Section II. Essay: 9 questions/50 points Questions 1-8 = 5 pts each; question 9 = 10 pts Use the answer sheet at the end of the exam. Number each answer. DO NOT recopy questions. Answer each question in complete paragraphs; do not list or answer in phrases (points will be deducted for doing so). None of these questions can be adequately/comprehensively answered in just a paragraph, so be comprehensive, in depth in your answers, but be careful to not include irrelevant information. Points will be deducted for answers that are not well justified, not sufficiently comprehensive. Use APA in text citations, as appropriate but please do not use direct quotes. Use only classroom notes/comment and assigned reading or watching materials as resources, which is all you need to complete the exam. DO NOT use any outside, Internet resources as they are often inaccurate. Follow directions carefully. Answer all parts of each question. Be sure to directly answer the question(s) asked. __________________________________________________________________ Refer to the scenario for Multiple Choice questions 24-25 above to answer the following essay question #1 only: 1. Jones sued Windell Hotels, Inc. for negligence to recover damages for his injuries resulting from the fall in the Cabo Mar hotel. Will Jones likely be successful in the negligence lawsuit against Windell Hotels? Explain fully why or why not.

2. Clarkson and Lee did not have a contract, but Clarkson completed extensive landscaping in Lee’s yard by mistake while Lee was away on vacation. Clarkson sent Lee a bill for the landscaping service but Lee refused to pay. Determine the likely result if Clark sues Lee to recover the costs of the landscaping. 3. Racer contracted in writing to drive Owner’s one-of-a-kind, specially designed championship race car in the Miami 500 Race on July 15 for a fee of $2500. On July 1, the race car was destroyed in an accidental fire in a storage warehouse where the race car was being stored prior to the race. Owner owns no other race cars, so Owner considered the contract discharged. Racer claimed that she is still entitled to the $2500 fee because she and Owner had a valid enforceable contract. Compare and contrast the rights and obligations of Racer and Owner under the contract as of July 1. 4. Compare and contrast the rights and possible liabilities for a merchant selling goods in “As Is” condition with the rights and possible liabilities for selling goods with an express warranty stating, “This product is quality Grade A”. 5. Aaron plans to open Aaron’s Pets, a pet shop selling pets and pet supplies, and plans to hire 2 part-time employees. Aaron will invest only his own money in the business. He does not expect to make any profit for at least 2 years and to make very little profit for the next 3 years after the first 2 years. He does expect to make a profit eventually. Which form of business organization is most appropriate and easiest for Aaron to use in opening his pet store – and why? (There is only one correct answer)

6. There are extensive federal regulations governing airplanes and pilots. Assume that the state of New York passed a statute containing numerous requirements,

some conflicting with federal regulations, covering operation of airplanes and licensing of airplane pilots. If the New York state statue is challenged as being unconstitutional, what is the likely result? Describe the applicable law and rationale for your conclusion.

7. Fran, Joe, and Mike formed a general partnership to operate a flower shop called Fresher Flowers. One of Fran’s jobs is to make deliveries using the partnership truck. In one such delivery, Fran negligently ran a stop sign, striking a car driven by Peggy, causing damage to the car and injury to Peggy.

Analyze and describe (1) the personal liability of Fran, Joe, and Mike, (2) the liability of the partnership, Fresher Flowers.

8. Mark plans to open a barbeque restaurant. He can either open the business as a sole proprietorship or obtain a franchise for “Smokin’ Hot Bar-B-Q”. Compare and contrast the advantages and disadvantages of opening the business as a sole proprietorship and a franchise.

9. 10 points Leon, a bank vice president, joined Fitness Center, Inc. (FC). He signed a contract for the membership. The contract stated, among other things, an exculpatory clause that FC… “shall not be liable for any claim, demand, cause of action of any kind whatsoever for, or on account of death, personal injury, property damage or loss of any kind resulting from or related to Member’s use of facilities or participation in any sport, exercise or activity within the club premises…”

While working out at FC, Leon sustained back injuries when a treadmill on which he was walking suddenly collapsed at FC. Leon sued FC for his injuries. Discuss: a. Is the exculpatory clause in the contract valid or invalid in Leon’s case and why? b. Possible product liability claim(s) for which Leon could sue FC and why product liability claims might be applicable to this case c. Possible ordinary (non-product liability) negligence claim for which Leon could sue FC and why a negligence claim might be applicable to this case d. The likely outcome if Leon sues FC under product liability e. The likely outcome if Leon sues FC under ordinary negligence

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BMGT 380 Final Examination Question and Answers

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 1. Sam orally agreed to sell Ramie some land for $500,000. Ramie paid Sam the $500,000; Sam gave Ramie the deed to the land. Ramie took possession of the land and began building a cabin on it. One month later, Sam tried to retake possession of the land by arguing that the contract for the sale was invalid because it was oral, not written. Sam sued Ramie to invalidate the contract and retake the land. The court will likely conclude that Sam will: a) Win; the sale exceeded $500 so the contract must be written to be valid. b) Win; all land sales contracts must be written. c) Lose; because the contract was fully executed Sam cannot rescind the contract. d) Lose; because Ramie had begun building a cabin on the property, Sam cannot rescind the contract.

2. On Tuesday, Sam offered to sell his CD collection to Sandy for $100. Sandy replied, "I’m interested. I’ll think it over and let you know Thursday whether I want to buy the CDs." On Wednesday, Sam agreed to sell the CDs to Jason, and Jason immediately gave Sam a letter that stated: "Sam, I will buy your CD collection for $100. As we agreed, I will pay you on Friday when I pick up the CDs. Yours truly, Jason." Upon Sam’s receipt of this letter on Wednesday, what best describes Sam’s contract agreement(s)? a) By forming an agreement with Jason, Sam breached his contract with Sandy.

b) Sam has formed contracts with both Jason and Sandy. c) Sam and Jason have formed a valid, enforceable contract; Sam did not form a contract with Sandy. d) Sam formed a contract with Sandy, but has not formed an enforceable contract with Jason because Jason has not yet paid for the CD collection.

3. Mac and Rhamad signed a business contract with a clause that provides that if a dispute arises they must submit to binding arbitration to resolve the dispute. After they had been doing business together for a year, a dispute arose under the terms of the contract. Rather than submit to arbitration, Mac filed a lawsuit against Rhamad. Most likely the court will: a) Hear the lawsuit because Mac cannot be compelled to submit to arbitration; he is constitutionally entitled to a jury trial if he requests a trial. b) Conduct a bench trial, then order a remedy without compelling Mac to submit to arbitration or to a jury trial. c) Compel Mac to submit to arbitration to resolve the dispute. d) Hear the lawsuit in a trial, then compel Mac to submit to arbitration, if Mac is not satisfied with the trial decision.

4. Roxy, while driving through Wyoming to her home in Montana, accidentally lost control of her car and drove it through a window into a store owned by Colt. Colt sued Roxy in a Wyoming court for damages to his store. Will the Wyoming court likely be able to exercise jurisdiction over Roxy? a) No, because Wyoming has no in personam (personal) jurisdiction over Roxy, and cannot exercise its long arm statute in cases only involving automobile accidents. b) No, because Wyoming has no in personam jurisdiction over Roxy, and cannot justify minimum contacts in this case.

c) Yes, Wyoming can exercise in personam jurisdiction in this case because any state court has personal jurisdiction in every diversity of citizenship case. d) Yes, because Wyoming can assert in personam jurisdiction over Roxy under the minimum contacts test.

5. Assume a salesperson intentionally made one of the following statements knowing that the statement was false – to a customer considering a purchase. Which statement could create liability for fraudulent misrepresentation if the customer made the purchase? a) “In my opinion, this car is in flawless mechanical condition.” b) “This crane will probably lift about 10,000 pounds.” c) “This car is a real gem.” d) “This is an original painting by the artist, Pablo Picasso.”

6. Don promised to buy his girlfriend, Sophie, a new car so Sophie sold her old car. Don now refuses to buy Sophie the car. Sophie has a job that requires her to have a car to get to work. If Sophie sues Don to enforce the promise, the likely result is that the promise will: a) Be enforced under promissory estoppel because Sophie reasonably relied on Don’s promise, to her detriment. b) Not be enforced as Sophie was not unjustly enriched simply because she did not receive the car. c) Be enforced because the car is a necessity for Sophie and all contracts for necessities are binding and enforceable for all parties even if contract formation is flawed. d) Not be enforced as Don’s promise was a gift to Sophie; Sophie gave consideration, but Don did not.

7. Reg offered to sell his motorcycle to Thelma for $8,000. Thelma replied, "Your price is too high. I will purchase your motorcycle for $7,000". Reg agreed and they committed their agreement to writing. This transaction can be characterized as: a) An enforceable contract because Reg’s acceptance of Thelma’s offer was a clearly communicated acceptance. b) An enforceable contract because Thelma’s counteroffer was less than Reg’s original offer. c) An unenforceable contract because Thelma’s offer was not the mirror image of Reg’s original offer as is required under common law contract rules. d) An unenforceable contract unless either Reg or Thelma is a merchant, as defined by the UCC, because sale of personal property contracts are valid only if one of the parties to the contract is a merchant. 8. Mary sued Don for negligence. Mary’s losses total $100,000. Under a contributory negligence system, if Mary is found to be contributorily negligent for her own injuries, what damages will Mary likely recover from Don? a) None. b) $100,000. c) $100,000 minus the percentage of fault (e.g., 20%, 60%, etc.) for which Mary was responsible. d) $100,000 minus the percentage of fault for which Mary was responsible, so long as Mary was not more than 50% responsible for the injuries.

9. Ram was walking down the sidewalk by a construction project site in a downtown area. The project was owned and operated by Modern Construction, Inc. and was surrounded by orange plastic fencing typically used for construction projects. Ram stopped to watch a metal beam being lifted by a crane on the

construction site. As the beam swung through the air, Ram thought it was going to fall and jumped forward quickly off the sidewalk and into the construction project property, falling into and smashing the orange plastic fencing. As Ram landed inside the construction project, the beam fell near Ram. The beam did not hit Ram but some rocks were thrown onto Ram as the beam fell, cutting his arm badly so that it required 35 stitches. If Ram sues Model Construction for negligence, the likely result will be that Ram will: a) Lose, because he assumed the risk as a trespasser on the construction site and trespassers can never recover damages. b) Lose, because pedestrians are always contributorily negligent in such cases involving trespassing. c) Win, because it is always foreseeable that a beam could fall on a nearby pedestrian. d) Win, if the beam fell because of Model Construction’s negligence.

10. X and Y agreed that X would sell Y his small business, including the land on which the business was situated, for $500,000. Both X and Y knew at the time the contract was formed that the business was actually worth $800,000. Is this a valid, enforceable contract? a) Yes, provided the contract was in writing, in accordance with the Statute of Frauds and the parties freely consented. b) Yes, provided the contract was in accordance with state statutory law that permits real estate sales for 40% or more below market value. c) No, because $500,000 is not valid consideration for a business worth $800,000. d) No, because X has no pre-existing legal duty to sell his business.

11. Fine Art Corp. sent a written offer to buy 10,000 pencils for a total of $10,000 from Faber Pencil Co. Both parties are merchants. Faber can accept the offer by: a) Promising to ship the pencils. b) Promptly shipping the pencils. c) Accepting the offer on Faber’s own written standard form contract. d) All of the above could be valid acceptance.

12. Ralph, a 16-year old minor, is manager for the high school football team. Ralph signed a contract to purchase alcoholic beverages from Liquormart, Inc. for the team party. This contract is: a) Void as a matter of law because it is illegal to sell alcohol to minors by state law. b) Void only if Ralph misrepresented his age and told Liquormart he was an adult. c) Valid and enforceable, but Ralph has the right to disaffirm because he is a minor. d) Valid and enforceable, if Liquormart knew that Ralph was a minor.

13. Which of the following activities may involve the use of a contract, and/or constitute a sales contract? a) Purchasing medications from a pharmacy. b) Hiring a contractor to make home repairs. c) Purchasing insurance policies from an insurance agent. d) Selling books to customers in a bookstore.

e) All of the above.

14. Fay was admitted to Global Associates, an existing partnership, as a limited partner on January, 2015. In June, 2015, a partnership debt incurred in October, 2014 came due. Fay is: a) Not liable for the debt because the debt was incurred prior to her joining the partnership. b) Only liable for the debt up to the amount of her capital contribution to the partnership. c) Personally liable only for 50% of the total debt if 50% of the other partners do not pay. d) Personally liable for the full extent of the debt if the other partners do not pay.

15. Earl, a nonmerchant, offered to sell a chair to Isaac, a nonmerchant. Earl’s house caught fire and destroyed the chair before Isaac accepted Earl’s offer to buy the chair. As a result: a) The destruction of the chair constitutes an automatic, valid revocation of the offer. b) The fire does not automatically revoke the offer, but because neither Earl nor Isaac is a merchant, the offer is revocable at any time at Earl’s option. c) Earl did not validly communicate a revocation to Isaac, so Isaac still has the option of accepting Earl’s offer; if Isaac accepts the offer, Earl must obtain a similar chair for Isaac or pay Isaac the equivalent value of the chair. d) Earl’s offer is automatically revoked by the fire, unless the offer was a firm offer.

16. CC’s Day Spa, LLC, is a member-managed limited liability company. So long as it is in accordance with state law, members can agree to apportion voting rights according to: a) Participation in management. b) Capital contributions. c) The number of members. d) Any of the above.

17. Jim and Kiley are architects and general partners of JK Designs. Jim and Kiley supervise Luc, an employee of JK Designs. As general partners of JK Designs, Jim and Kiley: a) Are not personally liable for any tort(s) committed by Kiley. b) May be personally liable for malpractice committed by Luc working within the scope of his job at JK. c) Have limited liability for any of Kiley’s acts of malpractice. d) Have no liability for any torts committed by Luc.

18. Kisha operates River Valley Soccer, an athletic equipment shop as a sole proprietorship. Taxes on the business’s income are paid by: a) No one; since it is a sole proprietorship there are no business taxes. b) Kisha as the sole owner. c) The state or federal government if Kisha holds a Small Business Administration loan acquired to start her business. d) The business entity of River Valley Soccer, not Kisha personally.

19. Assume that Virginia enacted a law prohibiting, until further notice, all grocery stores in Virginia from selling all powdered spices manufactured in, or shipped from, Maryland. This law was enacted because it was discovered that the spices recently manufactured in Maryland were infected with bacteria. Determine the constitutionality of the Virginia statute. The statute is: a) Unconstitutional; it violates grocery store owners’ substantive and procedural due process rights under the 5th and 14th Amendments because they are private businesses. b) Unconstitutional; the statute imposes an undue burden on interstate commerce. c) Constitutional; it is a valid exercise of Virginia’s police power. d) Constitutional; the statute imposes an undue burden on intrastate and interstate commerce.

20. Distinguish which of the following is an advantage of limited liability companies (LLCs) over corporations. a) Only one member of a LLC must have unlimited liability as compared with corporations in which all shareholders have unlimited liability. b) LLCs can be formed without any specific steps being taken by the owners as compared with corporations that must file Articles of Incorporation with the State. c) In most cases, a LLC can choose whether to be taxed as a partnership or corporation, as compared with corporations that are subject to double corporate taxation. d) LLCs can choose whether to sell shares publically to investors, as compared to private corporations that must sell shares publically to investors.

21. Pete, who collects antique cars, hired Ann as his agent to find and purchase a 1965 Ford Mustang on his behalf. Ann found a Mustang like Pete wanted, but Ann fell in love with the car and purchased it for herself. Which of the following illustrates Ann’s liability, if any, in her duty as agent to Pete in this situation? a) Ann has not violated the duty of loyalty to Pete; she can find another Mustang for him. b) Ann has not engaged in self-dealing because she did not purchase the Mustang with Pete’s funds. c) Ann usurped an opportunity for Pete, but has not violated the duty of loyalty to Pete by competing with Pete’s interests. d) Ann violated the duty of loyalty to Pete by competing with Pete’s interests, and has usurped an opportunity for Pete.

22. Ed hired Frankie, who is 13 years old, to buy a computer on Ed’s behalf. Which of the following identifies the legal relationship between Ed and Frankie? a) This is a valid agency relationship even though Frankie is a minor, and Ed would be bound by authorized contracts Frankie enters into on Ed’s behalf. b) This is a valid agency relationship even though Frankie is a minor, but Ed would have the option of disaffirming any contracts Frankie enters into on Ed’s behalf. c) This is a valid agency relationship even though Frankie is a minor, but Frankie would not be entitled to any payment under the terms of the agency because he is a minor. d) This is an invalid agency relationship because Frankie is a minor.

23. Mediation might be more reasonable and appropriate than a trial in which of the following situations?

a) A lawsuit challenging the constitutionality of a new state statute. b) A dispute between neighbors over a property boundary. c) An alleged theft of patio furniture from the patio of a house. d) None of the above are appropriate for mediation.

Answer questions 24-25 regarding the following scenario: Scenario: Jones, a resident of Arizona, booked reservations for a vacation at Windell Hotels, Inc. in Cabo Mar, Mexico. Windell Hotels is an international hotel chain incorporated in Delaware with hotels in North and South America; Windell Hotels has no hotels in Arizona but does advertise and book reservations for all its hotels over the Internet. While a guest in the hotel in Cabo Mar, Jones was walking across the hotel lobby, and slipped and fell on the wet marble floor that had been just washed by the maintenance staff. The staff had placed a “wet floor” sign on the lobby floor on the side wall of the lobby. Jones was taken to the nearest Mexican hospital where surgery was necessary to place a pin in his broken leg. Anxious to return home and see his regular doctor, Jones flew out of Mexico shortly after the surgery. He required two plane seats and an ambulance to meet him at various airports. His health insurance would not cover his hospital stay in Mexico as it was located outside the U.S. When back in Arizona, Jones was unable to work for 8 weeks and required another surgery to remove the pin. He also required several weeks of physical therapy.

24. Jones wants to sue Windell Hotels, Inc. in federal court for $450,000 to recover all his medical expenses in Mexico and the US; for $50,000 for the cost of the plane trip from Mexico to Arizona, the 2 plane seats and ambulance costs in various airports; $10,000 for 8 weeks of lost wages; and $50,000 for pain and suffering resulting from the injury. Can he sue in federal court? a) Yes, because Federal Court always has jurisdiction over citizens of different states.

b) No, because Federal Court does not have jurisdiction in cases that do not involve federal laws. c) Yes, because the Federal Court may have jurisdiction over citizens of different states and the lawsuit involves damages greater than $75,000. d) No, because the Federal Court has no jurisdiction over an accident that occurred in Mexico.

25. It would be easier for Jones to bring the lawsuit in Arizona state court, but he wonders if the court can get Windell Hotels to come to Arizona. Can the Arizona state court impose jurisdiction over Windell Hotels to bring the company to court in Arizona? a) No, because the subject of the lawsuit took place in a foreign country. b) No, because the corporation does not have sufficient minimum contact with Arizona to allow the Arizona court to use the long arm statute to establish jurisdiction in Arizona. c) Yes, because the Jones is a resident of Arizona and he is the plaintiff in the lawsuit. d) Yes, because Windell Hotels has sufficient minimum contact with Arizona the state to justify the court’s use of the long arm statute. Scroll down please to begin the essay portion of the exam.

Section: Section II. Essay: 9 questions/50 points Questions 1-8 = 5 pts each; question 9 = 10 pts Use the answer sheet at the end of the exam. Number each answer. DO NOT recopy questions. Answer each question in complete paragraphs; do not list or answer in phrases (points will be deducted for doing so). None of these questions can be adequately/comprehensively answered in just a paragraph, so be comprehensive, in depth in your answers, but be careful to not include irrelevant information. Points will be deducted for answers that are not well justified, not sufficiently comprehensive. Use APA in text citations, as appropriate but please do not use direct quotes. Use only classroom notes/comment and assigned reading or watching materials as resources, which is all you need to complete the exam. DO NOT use any outside, Internet resources as they are often inaccurate. Follow directions carefully. Answer all parts of each question. Be sure to directly answer the question(s) asked. __________________________________________________________________ Refer to the scenario for Multiple Choice questions 24-25 above to answer the following essay question #1 only: 1. Jones sued Windell Hotels, Inc. for negligence to recover damages for his injuries resulting from the fall in the Cabo Mar hotel. Will Jones likely be successful in the negligence lawsuit against Windell Hotels? Explain fully why or why not.

2. Clarkson and Lee did not have a contract, but Clarkson completed extensive landscaping in Lee’s yard by mistake while Lee was away on vacation. Clarkson sent Lee a bill for the landscaping service but Lee refused to pay. Determine the likely result if Clark sues Lee to recover the costs of the landscaping.

3. Racer contracted in writing to drive Owner’s one-of-a-kind, specially designed championship race car in the Miami 500 Race on July 15 for a fee of $2500. On July 1, the race car was destroyed in an accidental fire in a storage warehouse where the race car was being stored prior to the race. Owner owns no other race cars, so Owner considered the contract discharged. Racer claimed that she is still entitled to the $2500 fee because she and Owner had a valid enforceable contract. Compare and contrast the rights and obligations of Racer and Owner under the contract as of July 1.

4. Compare and contrast the rights and possible liabilities for a merchant selling goods in “As Is” condition with the rights and possible liabilities for selling goods with an express warranty stating, “This product is quality Grade A”.

5. Aaron plans to open Aaron’s Pets, a pet shop selling pets and pet supplies, and plans to hire 2 part-time employees. Aaron will invest only his own money in the business. He does not expect to make any profit for at least 2 years and to make very little profit for the next 3 years after the first 2 years. He does expect to make a profit eventually. Which form of business organization is most appropriate and easiest for Aaron to use in opening his pet store – and why? (There is only one correct answer).

6. There are extensive federal regulations governing airplanes and pilots. Assume that the state of New York passed a statute containing numerous requirements,

some conflicting with federal regulations, covering operation of airplanes and licensing of airplane pilots. If the New York state statue is challenged as being unconstitutional, what is the likely result? Describe the applicable law and rationale for your conclusion.

7. Fran, Joe, and Mike formed a general partnership to operate a flower shop called Fresher Flowers. One of Fran’s jobs is to make deliveries using the partnership truck. In one such delivery, Fran negligently ran a stop sign, striking a car driven by Peggy, causing damage to the car and injury to Peggy.

Analyze and describe (1) the personal liability of Fran, Joe, and Mike, (2) the liability of the partnership, Fresher Flowers.

8. Mark plans to open a barbeque restaurant. He can either open the business as a sole proprietorship or obtain a franchise for “Smokin’ Hot Bar-B-Q”. Compare and contrast the advantages and disadvantages of opening the business as a sole proprietorship and a franchise.

9. 10 points Leon, a bank vice president, joined Fitness Center, Inc. (FC). He signed a contract for the membership. The contract stated, among other things, an exculpatory clause that FC… “shall not be liable for any claim, demand, cause of action of any kind whatsoever for, or on account of death, personal injury, property damage or loss of any kind resulting from or related to Member’s use of facilities or participation in any sport, exercise or activity within the club premises…”

While working out at FC, Leon sustained back injuries when a treadmill on which he was walking suddenly collapsed at FC. Leon sued FC for his injuries. Discuss: a. Is the exculpatory clause in the contract valid or invalid in Leon’s case and why? b. Possible product liability claim(s) for which Leon could sue FC and why product liability claims might be applicable to this case c. Possible ordinary (non-product liability) negligence claim for which Leon could sue FC and why a negligence claim might be applicable to this case d. The likely outcome if Leon sues FC under product liability e. The likely outcome if Leon sues FC under ordinary negligence

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By Gina McGalliard

Little Italy’s ArtWalk isn’t just your typical community street fair — it’s a 17-block two-day event that has the distinction of being San Diego’s foremost art festival, drawing vendors and visitors from around the country.

Now in its 33rd year, Mission Federal ArtWalk showcases the work of more than 350 artists in such varied mediums as photography, fine jewelry, painting, ceramics, drawing, metal, wood, glasswork, and sculpture. This year’s theme is “Vivid Expressions” and attendance is expected to exceed 100,000.

Attendees wander by the whimsical work of Michael Phillips. (Photos courtesy Olive PR)

“We call it the ‘Little Italy turns into giant outdoor gallery for the weekend,’” said Sandi Cottrell, managing director of ArtWalk. “The artists do very well in this environment. They know that San Diego has become a good art collecting market, so they really love it here. And artists come from all over the world.”

The festival has selected a handful of vendors to promote as featured artists. Among them are Moni Bloom, who creates ceramic sculptures inspired by children’s life and literature; Matthew Grabelsky, who paints images from his New York City childhood; Jason Humphrey, who spent his youth defacing buildings with graffiti before redirecting his artistic inclinations to more legitimate drawing and painting; and Iris Scott, who does oil paintings with her fingertips.

Fingerpainter Iris Scott embellishes a print.

ArtWalk and ArtReach — the festival’s nonprofit partner that brings art instruction to elementary schools unable to afford their own — again also joined forces with Knockaround Sunglasses and will be selling a winning peacock feather-themed sunglass design created by a local fifth-grader.

Though one might think of an art festival as being a grown-up event, the KidsWalk portion is more than substantial enough to justify bringing the little ones along, with approximately a dozen organizations providing interactive activities for children and opportunities to create arts and crafts.

Present at KidsWalk will be Art with Larisse, which offers art instruction to children ages 5 through adult, with studio locations in La Mesa, Bonita and Santee.

A vendor at last year’s festival shares her colorful fruit artwork. (Courtesy Olive PR)

“We’re doing the same thing we’ve done every year [at Artwalk] which is a pastel picture that comes together using not only a drawing technique in the beginning — but then the kids color it in with the pastels and we follow through with toning and adding lights and darks,” said Robinson, who has been involved with ArtWalk for about a decade. “So, things where kids would just quit after they’re finished coloring something, now we’re adding layers of lights and darks to the sky and lights and darks to the object. And it gives them depth and gets them to appreciate that things are much more colorful than one would usually assume. And it gets the parents to open their eyes to the possibilities of what their kids can actually produce and learn.”

Other organizations represented at KidsWalk will be the Living Coast Discovery Center, the Monart School of Art, the Museum of Photographic Arts and the San Diego Creative Weavers Guild.

ArtWalk also has live performances, including the Electric Rain Project.

If you’ve got a creative streak yourself, or want to find out if you do, you’ll want to check out the monoprinting interactive project, sponsored by Hillcrest’s Artist & Craftsman Supply; and the interactive mural pavilion, led by acclaimed muralists Mario Torero, whose work can be seen in San Diego’s famed Chicano Park, and Maxx Moses.

Although obviously focused on visual arts, ArtWalk features performance as well, with a stage devoted entirely to dance, providing what Cottrell described as “an event within an event” called Dance on the Edge. There will also be four other performance areas featuring local singer/songwriters.

ArtWalk will be held April 29 and 30 from 11 a.m.–6 p.m. It is recommended that attendees take the trolley or take advantage of the 30 percent discount offered by Lyft, one of ArtWalk’s sponsors this year, for both new and existing customers. Little Italy’s farmers market will be held as usual. For more information, visit artwalksandiego.org/missionfederal.

—Gina McGalliard is a local freelance writer. Contact her at ginamcgalliard@gmail.com or follow her blog, ginamcgalliard.com/mcgalliardmatters.

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Conor Chinn

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Rolf Benirschke

Gerry Driscoll

Dick Enberg

Doug Flutie

J. J. Isler

Gene Littler

Rey Mysterio

Bob Skinner

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Lou Thesz

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Beach Barber La Jolla High School

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Mission Valley Carjacking at Promenade

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Original Article Provided By: SanDiegoDowntownNews.com ArtWalk is an extravaganza of color in Little Italy By Gina McGalliard Little Italy’s ArtWalk isn’t just your typical community street fair — it’s a 17-block two-day event that has the distinction of being San Diego’s foremost art festival, drawing vendors and visitors from around the country.

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BMGT 380 FINAL EXAMINATION

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 BMGT 380 Final Examination

 1. Sam orally agreed to sell Ramie some land for $500,000. Ramie paid Sam the $500,000; Sam gave Ramie the deed to the land. Ramie took possession of the land and began building a cabin on it. One month later, Sam tried to retake possession of the land by arguing that the contract for the sale was invalid because it was oral, not written. Sam sued Ramie to invalidate the contract and retake the land. The court will likely conclude that Sam will: a) Win; the sale exceeded $500 so the contract must be written to be valid. b) Win; all land sales contracts must be written. c) Lose; because the contract was fully executed Sam cannot rescind the contract. d) Lose; because Ramie had begun building a cabin on the property, Sam cannot rescind the contract.

2. On Tuesday, Sam offered to sell his CD collection to Sandy for $100. Sandy replied, "I’m interested. I’ll think it over and let you know Thursday whether I want to buy the CDs." On Wednesday, Sam agreed to sell the CDs to Jason, and Jason immediately gave Sam a letter that stated: "Sam, I will buy your CD collection for $100. As we agreed, I will pay you on Friday when I pick up the CDs. Yours truly, Jason." Upon Sam’s receipt of this letter on Wednesday, what best describes Sam’s contract agreement(s)? a) By forming an agreement with Jason, Sam breached his contract with Sandy.

b) Sam has formed contracts with both Jason and Sandy. c) Sam and Jason have formed a valid, enforceable contract; Sam did not form a contract with Sandy. d) Sam formed a contract with Sandy, but has not formed an enforceable contract with Jason because Jason has not yet paid for the CD collection.

3. Mac and Rhamad signed a business contract with a clause that provides that if a dispute arises they must submit to binding arbitration to resolve the dispute. After they had been doing business together for a year, a dispute arose under the terms of the contract. Rather than submit to arbitration, Mac filed a lawsuit against Rhamad. Most likely the court will: a) Hear the lawsuit because Mac cannot be compelled to submit to arbitration; he is constitutionally entitled to a jury trial if he requests a trial. b) Conduct a bench trial, then order a remedy without compelling Mac to submit to arbitration or to a jury trial. c) Compel Mac to submit to arbitration to resolve the dispute. d) Hear the lawsuit in a trial, then compel Mac to submit to arbitration, if Mac is not satisfied with the trial decision.

4. Roxy, while driving through Wyoming to her home in Montana, accidentally lost control of her car and drove it through a window into a store owned by Colt. Colt sued Roxy in a Wyoming court for damages to his store. Will the Wyoming court likely be able to exercise jurisdiction over Roxy? a) No, because Wyoming has no in personam (personal) jurisdiction over Roxy, and cannot exercise its long arm statute in cases only involving automobile accidents. b) No, because Wyoming has no in personam jurisdiction over Roxy, and cannot justify minimum contacts in this case.

c) Yes, Wyoming can exercise in personam jurisdiction in this case because any state court has personal jurisdiction in every diversity of citizenship case. d) Yes, because Wyoming can assert in personam jurisdiction over Roxy under the minimum contacts test.

5. Assume a salesperson intentionally made one of the following statements knowing that the statement was false – to a customer considering a purchase. Which statement could create liability for fraudulent misrepresentation if the customer made the purchase? a) “In my opinion, this car is in flawless mechanical condition.” b) “This crane will probably lift about 10,000 pounds.” c) “This car is a real gem.” d) “This is an original painting by the artist, Pablo Picasso.”

6. Don promised to buy his girlfriend, Sophie, a new car so Sophie sold her old car. Don now refuses to buy Sophie the car. Sophie has a job that requires her to have a car to get to work. If Sophie sues Don to enforce the promise, the likely result is that the promise will: a) Be enforced under promissory estoppel because Sophie reasonably relied on Don’s promise, to her detriment. b) Not be enforced as Sophie was not unjustly enriched simply because she did not receive the car. c) Be enforced because the car is a necessity for Sophie and all contracts for necessities are binding and enforceable for all parties even if contract formation is flawed. d) Not be enforced as Don’s promise was a gift to Sophie; Sophie gave consideration, but Don did not.

7. Reg offered to sell his motorcycle to Thelma for $8,000. Thelma replied, "Your price is too high. I will purchase your motorcycle for $7,000". Reg agreed and they committed their agreement to writing. This transaction can be characterized as: a) An enforceable contract because Reg’s acceptance of Thelma’s offer was a clearly communicated acceptance. b) An enforceable contract because Thelma’s counteroffer was less than Reg’s original offer. c) An unenforceable contract because Thelma’s offer was not the mirror image of Reg’s original offer as is required under common law contract rules. d) An unenforceable contract unless either Reg or Thelma is a merchant, as defined by the UCC, because sale of personal property contracts are valid only if one of the parties to the contract is a merchant. 8. Mary sued Don for negligence. Mary’s losses total $100,000. Under a contributory negligence system, if Mary is found to be contributorily negligent for her own injuries, what damages will Mary likely recover from Don? a) None. b) $100,000. c) $100,000 minus the percentage of fault (e.g., 20%, 60%, etc.) for which Mary was responsible. d) $100,000 minus the percentage of fault for which Mary was responsible, so long as Mary was not more than 50% responsible for the injuries.

9. Ram was walking down the sidewalk by a construction project site in a downtown area. The project was owned and operated by Modern Construction, Inc. and was surrounded by orange plastic fencing typically used for construction projects. Ram stopped to watch a metal beam being lifted by a crane on the

construction site. As the beam swung through the air, Ram thought it was going to fall and jumped forward quickly off the sidewalk and into the construction project property, falling into and smashing the orange plastic fencing. As Ram landed inside the construction project, the beam fell near Ram. The beam did not hit Ram but some rocks were thrown onto Ram as the beam fell, cutting his arm badly so that it required 35 stitches. If Ram sues Model Construction for negligence, the likely result will be that Ram will: a) Lose, because he assumed the risk as a trespasser on the construction site and trespassers can never recover damages. b) Lose, because pedestrians are always contributorily negligent in such cases involving trespassing. c) Win, because it is always foreseeable that a beam could fall on a nearby pedestrian. d) Win, if the beam fell because of Model Construction’s negligence.

10. X and Y agreed that X would sell Y his small business, including the land on which the business was situated, for $500,000. Both X and Y knew at the time the contract was formed that the business was actually worth $800,000. Is this a valid, enforceable contract? a) Yes, provided the contract was in writing, in accordance with the Statute of Frauds and the parties freely consented. b) Yes, provided the contract was in accordance with state statutory law that permits real estate sales for 40% or more below market value. c) No, because $500,000 is not valid consideration for a business worth $800,000. d) No, because X has no pre-existing legal duty to sell his business.

11. Fine Art Corp. sent a written offer to buy 10,000 pencils for a total of $10,000 from Faber Pencil Co. Both parties are merchants. Faber can accept the offer by: a) Promising to ship the pencils. b) Promptly shipping the pencils. c) Accepting the offer on Faber’s own written standard form contract. d) All of the above could be valid acceptance.

12. Ralph, a 16-year old minor, is manager for the high school football team. Ralph signed a contract to purchase alcoholic beverages from Liquormart, Inc. for the team party. This contract is: a) Void as a matter of law because it is illegal to sell alcohol to minors by state law. b) Void only if Ralph misrepresented his age and told Liquormart he was an adult. c) Valid and enforceable, but Ralph has the right to disaffirm because he is a minor. d) Valid and enforceable, if Liquormart knew that Ralph was a minor.

13. Which of the following activities may involve the use of a contract, and/or constitute a sales contract? a) Purchasing medications from a pharmacy. b) Hiring a contractor to make home repairs. c) Purchasing insurance policies from an insurance agent. d) Selling books to customers in a bookstore.

e) All of the above

14. Fay was admitted to Global Associates, an existing partnership, as a limited partner on January, 2015. In June, 2015, a partnership debt incurred in October, 2014 came due. Fay is: a) Not liable for the debt because the debt was incurred prior to her joining the partnership. b) Only liable for the debt up to the amount of her capital contribution to the partnership. c) Personally liable only for 50% of the total debt if 50% of the other partners do not pay. d) Personally liable for the full extent of the debt if the other partners do not pay.

15. Earl, a nonmerchant, offered to sell a chair to Isaac, a nonmerchant. Earl’s house caught fire and destroyed the chair before Isaac accepted Earl’s offer to buy the chair. As a result: a) The destruction of the chair constitutes an automatic, valid revocation of the offer. b) The fire does not automatically revoke the offer, but because neither Earl nor Isaac is a merchant, the offer is revocable at any time at Earl’s option. c) Earl did not validly communicate a revocation to Isaac, so Isaac still has the option of accepting Earl’s offer; if Isaac accepts the offer, Earl must obtain a similar chair for Isaac or pay Isaac the equivalent value of the chair. d) Earl’s offer is automatically revoked by the fire, unless the offer was a firm offer.

16. CC’s Day Spa, LLC, is a member-managed limited liability company. So long as it is in accordance with state law, members can agree to apportion voting rights according to: a) Participation in management. b) Capital contributions. c) The number of members. d) Any of the above.

17. Jim and Kiley are architects and general partners of JK Designs. Jim and Kiley supervise Luc, an employee of JK Designs. As general partners of JK Designs, Jim and Kiley: a) Are not personally liable for any tort(s) committed by Kiley. b) May be personally liable for malpractice committed by Luc working within the scope of his job at JK. c) Have limited liability for any of Kiley’s acts of malpractice. d) Have no liability for any torts committed by Luc.

18. Kisha operates River Valley Soccer, an athletic equipment shop as a sole proprietorship. Taxes on the business’s income are paid by: a) No one; since it is a sole proprietorship there are no business taxes. b) Kisha as the sole owner. c) The state or federal government if Kisha holds a Small Business Administration loan acquired to start her business. d) The business entity of River Valley Soccer, not Kisha personally.

19. Assume that Virginia enacted a law prohibiting, until further notice, all grocery stores in Virginia from selling all powdered spices manufactured in, or shipped from, Maryland. This law was enacted because it was discovered that the spices recently manufactured in Maryland were infected with bacteria. Determine the constitutionality of the Virginia statute. The statute is: a) Unconstitutional; it violates grocery store owners’ substantive and procedural due process rights under the 5th and 14th Amendments because they are private businesses. b) Unconstitutional; the statute imposes an undue burden on interstate commerce. c) Constitutional; it is a valid exercise of Virginia’s police power. d) Constitutional; the statute imposes an undue burden on intrastate and interstate commerce. 20. Distinguish which of the following is an advantage of limited liability companies (LLCs) over corporations. a) Only one member of a LLC must have unlimited liability as compared with corporations in which all shareholders have unlimited liability. b) LLCs can be formed without any specific steps being taken by the owners as compared with corporations that must file Articles of Incorporation with the State. c) In most cases, a LLC can choose whether to be taxed as a partnership or corporation, as compared with corporations that are subject to double corporate taxation. d) LLCs can choose whether to sell shares publically to investors, as compared to private corporations that must sell shares publically to investors.

21. Pete, who collects antique cars, hired Ann as his agent to find and purchase a 1965 Ford Mustang on his behalf. Ann found a Mustang like Pete wanted, but Ann fell in love with the car and purchased it for herself. Which of the following illustrates Ann’s liability, if any, in her duty as agent to Pete in this situation? a) Ann has not violated the duty of loyalty to Pete; she can find another Mustang for him. b) Ann has not engaged in self-dealing because she did not purchase the Mustang with Pete’s funds. c) Ann usurped an opportunity for Pete, but has not violated the duty of loyalty to Pete by competing with Pete’s interests. d) Ann violated the duty of loyalty to Pete by competing with Pete’s interests, and has usurped an opportunity for Pete.

22. Ed hired Frankie, who is 13 years old, to buy a computer on Ed’s behalf. Which of the following identifies the legal relationship between Ed and Frankie? a) This is a valid agency relationship even though Frankie is a minor, and Ed would be bound by authorized contracts Frankie enters into on Ed’s behalf. b) This is a valid agency relationship even though Frankie is a minor, but Ed would have the option of disaffirming any contracts Frankie enters into on Ed’s behalf. c) This is a valid agency relationship even though Frankie is a minor, but Frankie would not be entitled to any payment under the terms of the agency because he is a minor. d) This is an invalid agency relationship because Frankie is a minor.

23. Mediation might be more reasonable and appropriate than a trial in which of the following situations?

a) A lawsuit challenging the constitutionality of a new state statute. b) A dispute between neighbors over a property boundary. c) An alleged theft of patio furniture from the patio of a house. d) None of the above are appropriate for mediation.

Answer questions 24-25 regarding the following scenario: Scenario: Jones, a resident of Arizona, booked reservations for a vacation at Windell Hotels, Inc. in Cabo Mar, Mexico. Windell Hotels is an international hotel chain incorporated in Delaware with hotels in North and South America; Windell Hotels has no hotels in Arizona but does advertise and book reservations for all its hotels over the Internet. While a guest in the hotel in Cabo Mar, Jones was walking across the hotel lobby, and slipped and fell on the wet marble floor that had been just washed by the maintenance staff. The staff had placed a “wet floor” sign on the lobby floor on the side wall of the lobby. Jones was taken to the nearest Mexican hospital where surgery was necessary to place a pin in his broken leg. Anxious to return home and see his regular doctor, Jones flew out of Mexico shortly after the surgery. He required two plane seats and an ambulance to meet him at various airports. His health insurance would not cover his hospital stay in Mexico as it was located outside the U.S. When back in Arizona, Jones was unable to work for 8 weeks and required another surgery to remove the pin. He also required several weeks of physical therapy.

24. Jones wants to sue Windell Hotels, Inc. in federal court for $450,000 to recover all his medical expenses in Mexico and the US; for $50,000 for the cost of the plane trip from Mexico to Arizona, the 2 plane seats and ambulance costs in various airports; $10,000 for 8 weeks of lost wages; and $50,000 for pain and suffering resulting from the injury. Can he sue in federal court? a) Yes, because Federal Court always has jurisdiction over citizens of different states.

b) No, because Federal Court does not have jurisdiction in cases that do not involve federal laws. c) Yes, because the Federal Court may have jurisdiction over citizens of different states and the lawsuit involves damages greater than $75,000. d) No, because the Federal Court has no jurisdiction over an accident that occurred in Mexico.

25. It would be easier for Jones to bring the lawsuit in Arizona state court, but he wonders if the court can get Windell Hotels to come to Arizona. Can the Arizona state court impose jurisdiction over Windell Hotels to bring the company to court in Arizona? a) No, because the subject of the lawsuit took place in a foreign country. b) No, because the corporation does not have sufficient minimum contact with Arizona to allow the Arizona court to use the long arm statute to establish jurisdiction in Arizona. c) Yes, because the Jones is a resident of Arizona and he is the plaintiff in the lawsuit. d) Yes, because Windell Hotels has sufficient minimum contact with Arizona the state to justify the court’s use of the long arm statute. Scroll down please to begin the essay portion of the exam.

Section: Section II. Essay: 9 questions/50 points Questions 1-8 = 5 pts each; question 9 = 10 pts Use the answer sheet at the end of the exam. Number each answer. DO NOT recopy questions. Answer each question in complete paragraphs; do not list or answer in phrases (points will be deducted for doing so). None of these questions can be adequately/comprehensively answered in just a paragraph, so be comprehensive, in depth in your answers, but be careful to not include irrelevant information. Points will be deducted for answers that are not well justified, not sufficiently comprehensive. Use APA in text citations, as appropriate but please do not use direct quotes. Use only classroom notes/comment and assigned reading or watching materials as resources, which is all you need to complete the exam. DO NOT use any outside, Internet resources as they are often inaccurate. Follow directions carefully. Answer all parts of each question. Be sure to directly answer the question(s) asked. __________________________________________________________________ Refer to the scenario for Multiple Choice questions 24-25 above to answer the following essay question #1 only: 1. Jones sued Windell Hotels, Inc. for negligence to recover damages for his injuries resulting from the fall in the Cabo Mar hotel. Will Jones likely be successful in the negligence lawsuit against Windell Hotels? Explain fully why or why not.

2. Clarkson and Lee did not have a contract, but Clarkson completed extensive landscaping in Lee’s yard by mistake while Lee was away on vacation. Clarkson sent Lee a bill for the landscaping service but Lee refused to pay. Determine the likely result if Clark sues Lee to recover the costs of the landscaping. 3. Racer contracted in writing to drive Owner’s one-of-a-kind, specially designed championship race car in the Miami 500 Race on July 15 for a fee of $2500. On July 1, the race car was destroyed in an accidental fire in a storage warehouse where the race car was being stored prior to the race. Owner owns no other race cars, so Owner considered the contract discharged. Racer claimed that she is still entitled to the $2500 fee because she and Owner had a valid enforceable contract. Compare and contrast the rights and obligations of Racer and Owner under the contract as of July 1. 4. Compare and contrast the rights and possible liabilities for a merchant selling goods in “As Is” condition with the rights and possible liabilities for selling goods with an express warranty stating, “This product is quality Grade A”. 5. Aaron plans to open Aaron’s Pets, a pet shop selling pets and pet supplies, and plans to hire 2 part-time employees. Aaron will invest only his own money in the business. He does not expect to make any profit for at least 2 years and to make very little profit for the next 3 years after the first 2 years. He does expect to make a profit eventually. Which form of business organization is most appropriate and easiest for Aaron to use in opening his pet store – and why? (There is only one correct answer)

6. There are extensive federal regulations governing airplanes and pilots. Assume that the state of New York passed a statute containing numerous requirements,

some conflicting with federal regulations, covering operation of airplanes and licensing of airplane pilots. If the New York state statue is challenged as being unconstitutional, what is the likely result? Describe the applicable law and rationale for your conclusion.

7. Fran, Joe, and Mike formed a general partnership to operate a flower shop called Fresher Flowers. One of Fran’s jobs is to make deliveries using the partnership truck. In one such delivery, Fran negligently ran a stop sign, striking a car driven by Peggy, causing damage to the car and injury to Peggy.

Analyze and describe (1) the personal liability of Fran, Joe, and Mike, (2) the liability of the partnership, Fresher Flowers.

8. Mark plans to open a barbeque restaurant. He can either open the business as a sole proprietorship or obtain a franchise for “Smokin’ Hot Bar-B-Q”. Compare and contrast the advantages and disadvantages of opening the business as a sole proprietorship and a franchise.

9. 10 points Leon, a bank vice president, joined Fitness Center, Inc. (FC). He signed a contract for the membership. The contract stated, among other things, an exculpatory clause that FC… “shall not be liable for any claim, demand, cause of action of any kind whatsoever for, or on account of death, personal injury, property damage or loss of any kind resulting from or related to Member’s use of facilities or participation in any sport, exercise or activity within the club premises…”

While working out at FC, Leon sustained back injuries when a treadmill on which he was walking suddenly collapsed at FC. Leon sued FC for his injuries. Discuss: a. Is the exculpatory clause in the contract valid or invalid in Leon’s case and why? b. Possible product liability claim(s) for which Leon could sue FC and why product liability claims might be applicable to this case c. Possible ordinary (non-product liability) negligence claim for which Leon could sue FC and why a negligence claim might be applicable to this case d. The likely outcome if Leon sues FC under product liability e. The likely outcome if Leon sues FC under ordinary negligence

  p

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BMGT 380 FINAL EXAMINATION

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 BMGT 380 Final Examination

 1. Sam orally agreed to sell Ramie some land for $500,000. Ramie paid Sam the $500,000; Sam gave Ramie the deed to the land. Ramie took possession of the land and began building a cabin on it. One month later, Sam tried to retake possession of the land by arguing that the contract for the sale was invalid because it was oral, not written. Sam sued Ramie to invalidate the contract and retake the land. The court will likely conclude that Sam will: a) Win; the sale exceeded $500 so the contract must be written to be valid. b) Win; all land sales contracts must be written. c) Lose; because the contract was fully executed Sam cannot rescind the contract. d) Lose; because Ramie had begun building a cabin on the property, Sam cannot rescind the contract.

2. On Tuesday, Sam offered to sell his CD collection to Sandy for $100. Sandy replied, "I’m interested. I’ll think it over and let you know Thursday whether I want to buy the CDs." On Wednesday, Sam agreed to sell the CDs to Jason, and Jason immediately gave Sam a letter that stated: "Sam, I will buy your CD collection for $100. As we agreed, I will pay you on Friday when I pick up the CDs. Yours truly, Jason." Upon Sam’s receipt of this letter on Wednesday, what best describes Sam’s contract agreement(s)? a) By forming an agreement with Jason, Sam breached his contract with Sandy.

b) Sam has formed contracts with both Jason and Sandy. c) Sam and Jason have formed a valid, enforceable contract; Sam did not form a contract with Sandy. d) Sam formed a contract with Sandy, but has not formed an enforceable contract with Jason because Jason has not yet paid for the CD collection.

3. Mac and Rhamad signed a business contract with a clause that provides that if a dispute arises they must submit to binding arbitration to resolve the dispute. After they had been doing business together for a year, a dispute arose under the terms of the contract. Rather than submit to arbitration, Mac filed a lawsuit against Rhamad. Most likely the court will: a) Hear the lawsuit because Mac cannot be compelled to submit to arbitration; he is constitutionally entitled to a jury trial if he requests a trial. b) Conduct a bench trial, then order a remedy without compelling Mac to submit to arbitration or to a jury trial. c) Compel Mac to submit to arbitration to resolve the dispute. d) Hear the lawsuit in a trial, then compel Mac to submit to arbitration, if Mac is not satisfied with the trial decision.

4. Roxy, while driving through Wyoming to her home in Montana, accidentally lost control of her car and drove it through a window into a store owned by Colt. Colt sued Roxy in a Wyoming court for damages to his store. Will the Wyoming court likely be able to exercise jurisdiction over Roxy? a) No, because Wyoming has no in personam (personal) jurisdiction over Roxy, and cannot exercise its long arm statute in cases only involving automobile accidents. b) No, because Wyoming has no in personam jurisdiction over Roxy, and cannot justify minimum contacts in this case.

c) Yes, Wyoming can exercise in personam jurisdiction in this case because any state court has personal jurisdiction in every diversity of citizenship case. d) Yes, because Wyoming can assert in personam jurisdiction over Roxy under the minimum contacts test.

5. Assume a salesperson intentionally made one of the following statements knowing that the statement was false – to a customer considering a purchase. Which statement could create liability for fraudulent misrepresentation if the customer made the purchase? a) “In my opinion, this car is in flawless mechanical condition.” b) “This crane will probably lift about 10,000 pounds.” c) “This car is a real gem.” d) “This is an original painting by the artist, Pablo Picasso.”

6. Don promised to buy his girlfriend, Sophie, a new car so Sophie sold her old car. Don now refuses to buy Sophie the car. Sophie has a job that requires her to have a car to get to work. If Sophie sues Don to enforce the promise, the likely result is that the promise will: a) Be enforced under promissory estoppel because Sophie reasonably relied on Don’s promise, to her detriment. b) Not be enforced as Sophie was not unjustly enriched simply because she did not receive the car. c) Be enforced because the car is a necessity for Sophie and all contracts for necessities are binding and enforceable for all parties even if contract formation is flawed. d) Not be enforced as Don’s promise was a gift to Sophie; Sophie gave consideration, but Don did not.

7. Reg offered to sell his motorcycle to Thelma for $8,000. Thelma replied, "Your price is too high. I will purchase your motorcycle for $7,000". Reg agreed and they committed their agreement to writing. This transaction can be characterized as: a) An enforceable contract because Reg’s acceptance of Thelma’s offer was a clearly communicated acceptance. b) An enforceable contract because Thelma’s counteroffer was less than Reg’s original offer. c) An unenforceable contract because Thelma’s offer was not the mirror image of Reg’s original offer as is required under common law contract rules. d) An unenforceable contract unless either Reg or Thelma is a merchant, as defined by the UCC, because sale of personal property contracts are valid only if one of the parties to the contract is a merchant. 8. Mary sued Don for negligence. Mary’s losses total $100,000. Under a contributory negligence system, if Mary is found to be contributorily negligent for her own injuries, what damages will Mary likely recover from Don? a) None. b) $100,000. c) $100,000 minus the percentage of fault (e.g., 20%, 60%, etc.) for which Mary was responsible. d) $100,000 minus the percentage of fault for which Mary was responsible, so long as Mary was not more than 50% responsible for the injuries.

9. Ram was walking down the sidewalk by a construction project site in a downtown area. The project was owned and operated by Modern Construction, Inc. and was surrounded by orange plastic fencing typically used for construction projects. Ram stopped to watch a metal beam being lifted by a crane on the

construction site. As the beam swung through the air, Ram thought it was going to fall and jumped forward quickly off the sidewalk and into the construction project property, falling into and smashing the orange plastic fencing. As Ram landed inside the construction project, the beam fell near Ram. The beam did not hit Ram but some rocks were thrown onto Ram as the beam fell, cutting his arm badly so that it required 35 stitches. If Ram sues Model Construction for negligence, the likely result will be that Ram will: a) Lose, because he assumed the risk as a trespasser on the construction site and trespassers can never recover damages. b) Lose, because pedestrians are always contributorily negligent in such cases involving trespassing. c) Win, because it is always foreseeable that a beam could fall on a nearby pedestrian. d) Win, if the beam fell because of Model Construction’s negligence.

10. X and Y agreed that X would sell Y his small business, including the land on which the business was situated, for $500,000. Both X and Y knew at the time the contract was formed that the business was actually worth $800,000. Is this a valid, enforceable contract? a) Yes, provided the contract was in writing, in accordance with the Statute of Frauds and the parties freely consented. b) Yes, provided the contract was in accordance with state statutory law that permits real estate sales for 40% or more below market value. c) No, because $500,000 is not valid consideration for a business worth $800,000. d) No, because X has no pre-existing legal duty to sell his business.

11. Fine Art Corp. sent a written offer to buy 10,000 pencils for a total of $10,000 from Faber Pencil Co. Both parties are merchants. Faber can accept the offer by: a) Promising to ship the pencils. b) Promptly shipping the pencils. c) Accepting the offer on Faber’s own written standard form contract. d) All of the above could be valid acceptance.

12. Ralph, a 16-year old minor, is manager for the high school football team. Ralph signed a contract to purchase alcoholic beverages from Liquormart, Inc. for the team party. This contract is: a) Void as a matter of law because it is illegal to sell alcohol to minors by state law. b) Void only if Ralph misrepresented his age and told Liquormart he was an adult. c) Valid and enforceable, but Ralph has the right to disaffirm because he is a minor. d) Valid and enforceable, if Liquormart knew that Ralph was a minor.

13. Which of the following activities may involve the use of a contract, and/or constitute a sales contract? a) Purchasing medications from a pharmacy. b) Hiring a contractor to make home repairs. c) Purchasing insurance policies from an insurance agent. d) Selling books to customers in a bookstore.

e) All of the above

14. Fay was admitted to Global Associates, an existing partnership, as a limited partner on January, 2015. In June, 2015, a partnership debt incurred in October, 2014 came due. Fay is: a) Not liable for the debt because the debt was incurred prior to her joining the partnership. b) Only liable for the debt up to the amount of her capital contribution to the partnership. c) Personally liable only for 50% of the total debt if 50% of the other partners do not pay. d) Personally liable for the full extent of the debt if the other partners do not pay.

15. Earl, a nonmerchant, offered to sell a chair to Isaac, a nonmerchant. Earl’s house caught fire and destroyed the chair before Isaac accepted Earl’s offer to buy the chair. As a result: a) The destruction of the chair constitutes an automatic, valid revocation of the offer. b) The fire does not automatically revoke the offer, but because neither Earl nor Isaac is a merchant, the offer is revocable at any time at Earl’s option. c) Earl did not validly communicate a revocation to Isaac, so Isaac still has the option of accepting Earl’s offer; if Isaac accepts the offer, Earl must obtain a similar chair for Isaac or pay Isaac the equivalent value of the chair. d) Earl’s offer is automatically revoked by the fire, unless the offer was a firm offer.

16. CC’s Day Spa, LLC, is a member-managed limited liability company. So long as it is in accordance with state law, members can agree to apportion voting rights according to: a) Participation in management. b) Capital contributions. c) The number of members. d) Any of the above.

17. Jim and Kiley are architects and general partners of JK Designs. Jim and Kiley supervise Luc, an employee of JK Designs. As general partners of JK Designs, Jim and Kiley: a) Are not personally liable for any tort(s) committed by Kiley. b) May be personally liable for malpractice committed by Luc working within the scope of his job at JK. c) Have limited liability for any of Kiley’s acts of malpractice. d) Have no liability for any torts committed by Luc.

18. Kisha operates River Valley Soccer, an athletic equipment shop as a sole proprietorship. Taxes on the business’s income are paid by: a) No one; since it is a sole proprietorship there are no business taxes. b) Kisha as the sole owner. c) The state or federal government if Kisha holds a Small Business Administration loan acquired to start her business. d) The business entity of River Valley Soccer, not Kisha personally.

19. Assume that Virginia enacted a law prohibiting, until further notice, all grocery stores in Virginia from selling all powdered spices manufactured in, or shipped from, Maryland. This law was enacted because it was discovered that the spices recently manufactured in Maryland were infected with bacteria. Determine the constitutionality of the Virginia statute. The statute is: a) Unconstitutional; it violates grocery store owners’ substantive and procedural due process rights under the 5th and 14th Amendments because they are private businesses. b) Unconstitutional; the statute imposes an undue burden on interstate commerce. c) Constitutional; it is a valid exercise of Virginia’s police power. d) Constitutional; the statute imposes an undue burden on intrastate and interstate commerce. 20. Distinguish which of the following is an advantage of limited liability companies (LLCs) over corporations. a) Only one member of a LLC must have unlimited liability as compared with corporations in which all shareholders have unlimited liability. b) LLCs can be formed without any specific steps being taken by the owners as compared with corporations that must file Articles of Incorporation with the State. c) In most cases, a LLC can choose whether to be taxed as a partnership or corporation, as compared with corporations that are subject to double corporate taxation. d) LLCs can choose whether to sell shares publically to investors, as compared to private corporations that must sell shares publically to investors.

21. Pete, who collects antique cars, hired Ann as his agent to find and purchase a 1965 Ford Mustang on his behalf. Ann found a Mustang like Pete wanted, but Ann fell in love with the car and purchased it for herself. Which of the following illustrates Ann’s liability, if any, in her duty as agent to Pete in this situation? a) Ann has not violated the duty of loyalty to Pete; she can find another Mustang for him. b) Ann has not engaged in self-dealing because she did not purchase the Mustang with Pete’s funds. c) Ann usurped an opportunity for Pete, but has not violated the duty of loyalty to Pete by competing with Pete’s interests. d) Ann violated the duty of loyalty to Pete by competing with Pete’s interests, and has usurped an opportunity for Pete.

22. Ed hired Frankie, who is 13 years old, to buy a computer on Ed’s behalf. Which of the following identifies the legal relationship between Ed and Frankie? a) This is a valid agency relationship even though Frankie is a minor, and Ed would be bound by authorized contracts Frankie enters into on Ed’s behalf. b) This is a valid agency relationship even though Frankie is a minor, but Ed would have the option of disaffirming any contracts Frankie enters into on Ed’s behalf. c) This is a valid agency relationship even though Frankie is a minor, but Frankie would not be entitled to any payment under the terms of the agency because he is a minor. d) This is an invalid agency relationship because Frankie is a minor.

23. Mediation might be more reasonable and appropriate than a trial in which of the following situations?

a) A lawsuit challenging the constitutionality of a new state statute. b) A dispute between neighbors over a property boundary. c) An alleged theft of patio furniture from the patio of a house. d) None of the above are appropriate for mediation.

Answer questions 24-25 regarding the following scenario: Scenario: Jones, a resident of Arizona, booked reservations for a vacation at Windell Hotels, Inc. in Cabo Mar, Mexico. Windell Hotels is an international hotel chain incorporated in Delaware with hotels in North and South America; Windell Hotels has no hotels in Arizona but does advertise and book reservations for all its hotels over the Internet. While a guest in the hotel in Cabo Mar, Jones was walking across the hotel lobby, and slipped and fell on the wet marble floor that had been just washed by the maintenance staff. The staff had placed a “wet floor” sign on the lobby floor on the side wall of the lobby. Jones was taken to the nearest Mexican hospital where surgery was necessary to place a pin in his broken leg. Anxious to return home and see his regular doctor, Jones flew out of Mexico shortly after the surgery. He required two plane seats and an ambulance to meet him at various airports. His health insurance would not cover his hospital stay in Mexico as it was located outside the U.S. When back in Arizona, Jones was unable to work for 8 weeks and required another surgery to remove the pin. He also required several weeks of physical therapy.

24. Jones wants to sue Windell Hotels, Inc. in federal court for $450,000 to recover all his medical expenses in Mexico and the US; for $50,000 for the cost of the plane trip from Mexico to Arizona, the 2 plane seats and ambulance costs in various airports; $10,000 for 8 weeks of lost wages; and $50,000 for pain and suffering resulting from the injury. Can he sue in federal court? a) Yes, because Federal Court always has jurisdiction over citizens of different states.

b) No, because Federal Court does not have jurisdiction in cases that do not involve federal laws. c) Yes, because the Federal Court may have jurisdiction over citizens of different states and the lawsuit involves damages greater than $75,000. d) No, because the Federal Court has no jurisdiction over an accident that occurred in Mexico.

25. It would be easier for Jones to bring the lawsuit in Arizona state court, but he wonders if the court can get Windell Hotels to come to Arizona. Can the Arizona state court impose jurisdiction over Windell Hotels to bring the company to court in Arizona? a) No, because the subject of the lawsuit took place in a foreign country. b) No, because the corporation does not have sufficient minimum contact with Arizona to allow the Arizona court to use the long arm statute to establish jurisdiction in Arizona. c) Yes, because the Jones is a resident of Arizona and he is the plaintiff in the lawsuit. d) Yes, because Windell Hotels has sufficient minimum contact with Arizona the state to justify the court’s use of the long arm statute. Scroll down please to begin the essay portion of the exam.

Section: Section II. Essay: 9 questions/50 points Questions 1-8 = 5 pts each; question 9 = 10 pts Use the answer sheet at the end of the exam. Number each answer. DO NOT recopy questions. Answer each question in complete paragraphs; do not list or answer in phrases (points will be deducted for doing so). None of these questions can be adequately/comprehensively answered in just a paragraph, so be comprehensive, in depth in your answers, but be careful to not include irrelevant information. Points will be deducted for answers that are not well justified, not sufficiently comprehensive. Use APA in text citations, as appropriate but please do not use direct quotes. Use only classroom notes/comment and assigned reading or watching materials as resources, which is all you need to complete the exam. DO NOT use any outside, Internet resources as they are often inaccurate. Follow directions carefully. Answer all parts of each question. Be sure to directly answer the question(s) asked. __________________________________________________________________ Refer to the scenario for Multiple Choice questions 24-25 above to answer the following essay question #1 only: 1. Jones sued Windell Hotels, Inc. for negligence to recover damages for his injuries resulting from the fall in the Cabo Mar hotel. Will Jones likely be successful in the negligence lawsuit against Windell Hotels? Explain fully why or why not.

2. Clarkson and Lee did not have a contract, but Clarkson completed extensive landscaping in Lee’s yard by mistake while Lee was away on vacation. Clarkson sent Lee a bill for the landscaping service but Lee refused to pay. Determine the likely result if Clark sues Lee to recover the costs of the landscaping. 3. Racer contracted in writing to drive Owner’s one-of-a-kind, specially designed championship race car in the Miami 500 Race on July 15 for a fee of $2500. On July 1, the race car was destroyed in an accidental fire in a storage warehouse where the race car was being stored prior to the race. Owner owns no other race cars, so Owner considered the contract discharged. Racer claimed that she is still entitled to the $2500 fee because she and Owner had a valid enforceable contract. Compare and contrast the rights and obligations of Racer and Owner under the contract as of July 1. 4. Compare and contrast the rights and possible liabilities for a merchant selling goods in “As Is” condition with the rights and possible liabilities for selling goods with an express warranty stating, “This product is quality Grade A”. 5. Aaron plans to open Aaron’s Pets, a pet shop selling pets and pet supplies, and plans to hire 2 part-time employees. Aaron will invest only his own money in the business. He does not expect to make any profit for at least 2 years and to make very little profit for the next 3 years after the first 2 years. He does expect to make a profit eventually. Which form of business organization is most appropriate and easiest for Aaron to use in opening his pet store – and why? (There is only one correct answer)

6. There are extensive federal regulations governing airplanes and pilots. Assume that the state of New York passed a statute containing numerous requirements,

some conflicting with federal regulations, covering operation of airplanes and licensing of airplane pilots. If the New York state statue is challenged as being unconstitutional, what is the likely result? Describe the applicable law and rationale for your conclusion.

7. Fran, Joe, and Mike formed a general partnership to operate a flower shop called Fresher Flowers. One of Fran’s jobs is to make deliveries using the partnership truck. In one such delivery, Fran negligently ran a stop sign, striking a car driven by Peggy, causing damage to the car and injury to Peggy.

Analyze and describe (1) the personal liability of Fran, Joe, and Mike, (2) the liability of the partnership, Fresher Flowers.

8. Mark plans to open a barbeque restaurant. He can either open the business as a sole proprietorship or obtain a franchise for “Smokin’ Hot Bar-B-Q”. Compare and contrast the advantages and disadvantages of opening the business as a sole proprietorship and a franchise.

9. 10 points Leon, a bank vice president, joined Fitness Center, Inc. (FC). He signed a contract for the membership. The contract stated, among other things, an exculpatory clause that FC… “shall not be liable for any claim, demand, cause of action of any kind whatsoever for, or on account of death, personal injury, property damage or loss of any kind resulting from or related to Member’s use of facilities or participation in any sport, exercise or activity within the club premises…”

While working out at FC, Leon sustained back injuries when a treadmill on which he was walking suddenly collapsed at FC. Leon sued FC for his injuries. Discuss: a. Is the exculpatory clause in the contract valid or invalid in Leon’s case and why? b. Possible product liability claim(s) for which Leon could sue FC and why product liability claims might be applicable to this case c. Possible ordinary (non-product liability) negligence claim for which Leon could sue FC and why a negligence claim might be applicable to this case d. The likely outcome if Leon sues FC under product liability e. The likely outcome if Leon sues FC under ordinary negligence

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BMGT 380 Final Examination Question and Answers

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 1. Sam orally agreed to sell Ramie some land for $500,000. Ramie paid Sam the $500,000; Sam gave Ramie the deed to the land. Ramie took possession of the land and began building a cabin on it. One month later, Sam tried to retake possession of the land by arguing that the contract for the sale was invalid because it was oral, not written. Sam sued Ramie to invalidate the contract and retake the land. The court will likely conclude that Sam will: a) Win; the sale exceeded $500 so the contract must be written to be valid. b) Win; all land sales contracts must be written. c) Lose; because the contract was fully executed Sam cannot rescind the contract. d) Lose; because Ramie had begun building a cabin on the property, Sam cannot rescind the contract.

2. On Tuesday, Sam offered to sell his CD collection to Sandy for $100. Sandy replied, "I’m interested. I’ll think it over and let you know Thursday whether I want to buy the CDs." On Wednesday, Sam agreed to sell the CDs to Jason, and Jason immediately gave Sam a letter that stated: "Sam, I will buy your CD collection for $100. As we agreed, I will pay you on Friday when I pick up the CDs. Yours truly, Jason." Upon Sam’s receipt of this letter on Wednesday, what best describes Sam’s contract agreement(s)? a) By forming an agreement with Jason, Sam breached his contract with Sandy.

b) Sam has formed contracts with both Jason and Sandy. c) Sam and Jason have formed a valid, enforceable contract; Sam did not form a contract with Sandy. d) Sam formed a contract with Sandy, but has not formed an enforceable contract with Jason because Jason has not yet paid for the CD collection.

3. Mac and Rhamad signed a business contract with a clause that provides that if a dispute arises they must submit to binding arbitration to resolve the dispute. After they had been doing business together for a year, a dispute arose under the terms of the contract. Rather than submit to arbitration, Mac filed a lawsuit against Rhamad. Most likely the court will: a) Hear the lawsuit because Mac cannot be compelled to submit to arbitration; he is constitutionally entitled to a jury trial if he requests a trial. b) Conduct a bench trial, then order a remedy without compelling Mac to submit to arbitration or to a jury trial. c) Compel Mac to submit to arbitration to resolve the dispute. d) Hear the lawsuit in a trial, then compel Mac to submit to arbitration, if Mac is not satisfied with the trial decision.

4. Roxy, while driving through Wyoming to her home in Montana, accidentally lost control of her car and drove it through a window into a store owned by Colt. Colt sued Roxy in a Wyoming court for damages to his store. Will the Wyoming court likely be able to exercise jurisdiction over Roxy? a) No, because Wyoming has no in personam (personal) jurisdiction over Roxy, and cannot exercise its long arm statute in cases only involving automobile accidents. b) No, because Wyoming has no in personam jurisdiction over Roxy, and cannot justify minimum contacts in this case.

c) Yes, Wyoming can exercise in personam jurisdiction in this case because any state court has personal jurisdiction in every diversity of citizenship case. d) Yes, because Wyoming can assert in personam jurisdiction over Roxy under the minimum contacts test.

5. Assume a salesperson intentionally made one of the following statements knowing that the statement was false – to a customer considering a purchase. Which statement could create liability for fraudulent misrepresentation if the customer made the purchase? a) “In my opinion, this car is in flawless mechanical condition.” b) “This crane will probably lift about 10,000 pounds.” c) “This car is a real gem.” d) “This is an original painting by the artist, Pablo Picasso.”

6. Don promised to buy his girlfriend, Sophie, a new car so Sophie sold her old car. Don now refuses to buy Sophie the car. Sophie has a job that requires her to have a car to get to work. If Sophie sues Don to enforce the promise, the likely result is that the promise will: a) Be enforced under promissory estoppel because Sophie reasonably relied on Don’s promise, to her detriment. b) Not be enforced as Sophie was not unjustly enriched simply because she did not receive the car. c) Be enforced because the car is a necessity for Sophie and all contracts for necessities are binding and enforceable for all parties even if contract formation is flawed. d) Not be enforced as Don’s promise was a gift to Sophie; Sophie gave consideration, but Don did not.

7. Reg offered to sell his motorcycle to Thelma for $8,000. Thelma replied, "Your price is too high. I will purchase your motorcycle for $7,000". Reg agreed and they committed their agreement to writing. This transaction can be characterized as: a) An enforceable contract because Reg’s acceptance of Thelma’s offer was a clearly communicated acceptance. b) An enforceable contract because Thelma’s counteroffer was less than Reg’s original offer. c) An unenforceable contract because Thelma’s offer was not the mirror image of Reg’s original offer as is required under common law contract rules. d) An unenforceable contract unless either Reg or Thelma is a merchant, as defined by the UCC, because sale of personal property contracts are valid only if one of the parties to the contract is a merchant. 8. Mary sued Don for negligence. Mary’s losses total $100,000. Under a contributory negligence system, if Mary is found to be contributorily negligent for her own injuries, what damages will Mary likely recover from Don? a) None. b) $100,000. c) $100,000 minus the percentage of fault (e.g., 20%, 60%, etc.) for which Mary was responsible. d) $100,000 minus the percentage of fault for which Mary was responsible, so long as Mary was not more than 50% responsible for the injuries.

9. Ram was walking down the sidewalk by a construction project site in a downtown area. The project was owned and operated by Modern Construction, Inc. and was surrounded by orange plastic fencing typically used for construction projects. Ram stopped to watch a metal beam being lifted by a crane on the

construction site. As the beam swung through the air, Ram thought it was going to fall and jumped forward quickly off the sidewalk and into the construction project property, falling into and smashing the orange plastic fencing. As Ram landed inside the construction project, the beam fell near Ram. The beam did not hit Ram but some rocks were thrown onto Ram as the beam fell, cutting his arm badly so that it required 35 stitches. If Ram sues Model Construction for negligence, the likely result will be that Ram will: a) Lose, because he assumed the risk as a trespasser on the construction site and trespassers can never recover damages. b) Lose, because pedestrians are always contributorily negligent in such cases involving trespassing. c) Win, because it is always foreseeable that a beam could fall on a nearby pedestrian. d) Win, if the beam fell because of Model Construction’s negligence.

10. X and Y agreed that X would sell Y his small business, including the land on which the business was situated, for $500,000. Both X and Y knew at the time the contract was formed that the business was actually worth $800,000. Is this a valid, enforceable contract? a) Yes, provided the contract was in writing, in accordance with the Statute of Frauds and the parties freely consented. b) Yes, provided the contract was in accordance with state statutory law that permits real estate sales for 40% or more below market value. c) No, because $500,000 is not valid consideration for a business worth $800,000. d) No, because X has no pre-existing legal duty to sell his business.

11. Fine Art Corp. sent a written offer to buy 10,000 pencils for a total of $10,000 from Faber Pencil Co. Both parties are merchants. Faber can accept the offer by: a) Promising to ship the pencils. b) Promptly shipping the pencils. c) Accepting the offer on Faber’s own written standard form contract. d) All of the above could be valid acceptance.

12. Ralph, a 16-year old minor, is manager for the high school football team. Ralph signed a contract to purchase alcoholic beverages from Liquormart, Inc. for the team party. This contract is: a) Void as a matter of law because it is illegal to sell alcohol to minors by state law. b) Void only if Ralph misrepresented his age and told Liquormart he was an adult. c) Valid and enforceable, but Ralph has the right to disaffirm because he is a minor. d) Valid and enforceable, if Liquormart knew that Ralph was a minor.

13. Which of the following activities may involve the use of a contract, and/or constitute a sales contract? a) Purchasing medications from a pharmacy. b) Hiring a contractor to make home repairs. c) Purchasing insurance policies from an insurance agent. d) Selling books to customers in a bookstore.

e) All of the above.

14. Fay was admitted to Global Associates, an existing partnership, as a limited partner on January, 2015. In June, 2015, a partnership debt incurred in October, 2014 came due. Fay is: a) Not liable for the debt because the debt was incurred prior to her joining the partnership. b) Only liable for the debt up to the amount of her capital contribution to the partnership. c) Personally liable only for 50% of the total debt if 50% of the other partners do not pay. d) Personally liable for the full extent of the debt if the other partners do not pay.

15. Earl, a nonmerchant, offered to sell a chair to Isaac, a nonmerchant. Earl’s house caught fire and destroyed the chair before Isaac accepted Earl’s offer to buy the chair. As a result: a) The destruction of the chair constitutes an automatic, valid revocation of the offer. b) The fire does not automatically revoke the offer, but because neither Earl nor Isaac is a merchant, the offer is revocable at any time at Earl’s option. c) Earl did not validly communicate a revocation to Isaac, so Isaac still has the option of accepting Earl’s offer; if Isaac accepts the offer, Earl must obtain a similar chair for Isaac or pay Isaac the equivalent value of the chair. d) Earl’s offer is automatically revoked by the fire, unless the offer was a firm offer.

16. CC’s Day Spa, LLC, is a member-managed limited liability company. So long as it is in accordance with state law, members can agree to apportion voting rights according to: a) Participation in management. b) Capital contributions. c) The number of members. d) Any of the above.

17. Jim and Kiley are architects and general partners of JK Designs. Jim and Kiley supervise Luc, an employee of JK Designs. As general partners of JK Designs, Jim and Kiley: a) Are not personally liable for any tort(s) committed by Kiley. b) May be personally liable for malpractice committed by Luc working within the scope of his job at JK. c) Have limited liability for any of Kiley’s acts of malpractice. d) Have no liability for any torts committed by Luc.

18. Kisha operates River Valley Soccer, an athletic equipment shop as a sole proprietorship. Taxes on the business’s income are paid by: a) No one; since it is a sole proprietorship there are no business taxes. b) Kisha as the sole owner. c) The state or federal government if Kisha holds a Small Business Administration loan acquired to start her business. d) The business entity of River Valley Soccer, not Kisha personally.

19. Assume that Virginia enacted a law prohibiting, until further notice, all grocery stores in Virginia from selling all powdered spices manufactured in, or shipped from, Maryland. This law was enacted because it was discovered that the spices recently manufactured in Maryland were infected with bacteria. Determine the constitutionality of the Virginia statute. The statute is: a) Unconstitutional; it violates grocery store owners’ substantive and procedural due process rights under the 5th and 14th Amendments because they are private businesses. b) Unconstitutional; the statute imposes an undue burden on interstate commerce. c) Constitutional; it is a valid exercise of Virginia’s police power. d) Constitutional; the statute imposes an undue burden on intrastate and interstate commerce.

20. Distinguish which of the following is an advantage of limited liability companies (LLCs) over corporations. a) Only one member of a LLC must have unlimited liability as compared with corporations in which all shareholders have unlimited liability. b) LLCs can be formed without any specific steps being taken by the owners as compared with corporations that must file Articles of Incorporation with the State. c) In most cases, a LLC can choose whether to be taxed as a partnership or corporation, as compared with corporations that are subject to double corporate taxation. d) LLCs can choose whether to sell shares publically to investors, as compared to private corporations that must sell shares publically to investors.

21. Pete, who collects antique cars, hired Ann as his agent to find and purchase a 1965 Ford Mustang on his behalf. Ann found a Mustang like Pete wanted, but Ann fell in love with the car and purchased it for herself. Which of the following illustrates Ann’s liability, if any, in her duty as agent to Pete in this situation? a) Ann has not violated the duty of loyalty to Pete; she can find another Mustang for him. b) Ann has not engaged in self-dealing because she did not purchase the Mustang with Pete’s funds. c) Ann usurped an opportunity for Pete, but has not violated the duty of loyalty to Pete by competing with Pete’s interests. d) Ann violated the duty of loyalty to Pete by competing with Pete’s interests, and has usurped an opportunity for Pete.

22. Ed hired Frankie, who is 13 years old, to buy a computer on Ed’s behalf. Which of the following identifies the legal relationship between Ed and Frankie? a) This is a valid agency relationship even though Frankie is a minor, and Ed would be bound by authorized contracts Frankie enters into on Ed’s behalf. b) This is a valid agency relationship even though Frankie is a minor, but Ed would have the option of disaffirming any contracts Frankie enters into on Ed’s behalf. c) This is a valid agency relationship even though Frankie is a minor, but Frankie would not be entitled to any payment under the terms of the agency because he is a minor. d) This is an invalid agency relationship because Frankie is a minor.

23. Mediation might be more reasonable and appropriate than a trial in which of the following situations?

a) A lawsuit challenging the constitutionality of a new state statute. b) A dispute between neighbors over a property boundary. c) An alleged theft of patio furniture from the patio of a house. d) None of the above are appropriate for mediation.

Answer questions 24-25 regarding the following scenario: Scenario: Jones, a resident of Arizona, booked reservations for a vacation at Windell Hotels, Inc. in Cabo Mar, Mexico. Windell Hotels is an international hotel chain incorporated in Delaware with hotels in North and South America; Windell Hotels has no hotels in Arizona but does advertise and book reservations for all its hotels over the Internet. While a guest in the hotel in Cabo Mar, Jones was walking across the hotel lobby, and slipped and fell on the wet marble floor that had been just washed by the maintenance staff. The staff had placed a “wet floor” sign on the lobby floor on the side wall of the lobby. Jones was taken to the nearest Mexican hospital where surgery was necessary to place a pin in his broken leg. Anxious to return home and see his regular doctor, Jones flew out of Mexico shortly after the surgery. He required two plane seats and an ambulance to meet him at various airports. His health insurance would not cover his hospital stay in Mexico as it was located outside the U.S. When back in Arizona, Jones was unable to work for 8 weeks and required another surgery to remove the pin. He also required several weeks of physical therapy.

24. Jones wants to sue Windell Hotels, Inc. in federal court for $450,000 to recover all his medical expenses in Mexico and the US; for $50,000 for the cost of the plane trip from Mexico to Arizona, the 2 plane seats and ambulance costs in various airports; $10,000 for 8 weeks of lost wages; and $50,000 for pain and suffering resulting from the injury. Can he sue in federal court? a) Yes, because Federal Court always has jurisdiction over citizens of different states.

b) No, because Federal Court does not have jurisdiction in cases that do not involve federal laws. c) Yes, because the Federal Court may have jurisdiction over citizens of different states and the lawsuit involves damages greater than $75,000. d) No, because the Federal Court has no jurisdiction over an accident that occurred in Mexico.

25. It would be easier for Jones to bring the lawsuit in Arizona state court, but he wonders if the court can get Windell Hotels to come to Arizona. Can the Arizona state court impose jurisdiction over Windell Hotels to bring the company to court in Arizona? a) No, because the subject of the lawsuit took place in a foreign country. b) No, because the corporation does not have sufficient minimum contact with Arizona to allow the Arizona court to use the long arm statute to establish jurisdiction in Arizona. c) Yes, because the Jones is a resident of Arizona and he is the plaintiff in the lawsuit. d) Yes, because Windell Hotels has sufficient minimum contact with Arizona the state to justify the court’s use of the long arm statute. Scroll down please to begin the essay portion of the exam.

Section: Section II. Essay: 9 questions/50 points Questions 1-8 = 5 pts each; question 9 = 10 pts Use the answer sheet at the end of the exam. Number each answer. DO NOT recopy questions. Answer each question in complete paragraphs; do not list or answer in phrases (points will be deducted for doing so). None of these questions can be adequately/comprehensively answered in just a paragraph, so be comprehensive, in depth in your answers, but be careful to not include irrelevant information. Points will be deducted for answers that are not well justified, not sufficiently comprehensive. Use APA in text citations, as appropriate but please do not use direct quotes. Use only classroom notes/comment and assigned reading or watching materials as resources, which is all you need to complete the exam. DO NOT use any outside, Internet resources as they are often inaccurate. Follow directions carefully. Answer all parts of each question. Be sure to directly answer the question(s) asked. __________________________________________________________________ Refer to the scenario for Multiple Choice questions 24-25 above to answer the following essay question #1 only: 1. Jones sued Windell Hotels, Inc. for negligence to recover damages for his injuries resulting from the fall in the Cabo Mar hotel. Will Jones likely be successful in the negligence lawsuit against Windell Hotels? Explain fully why or why not.

2. Clarkson and Lee did not have a contract, but Clarkson completed extensive landscaping in Lee’s yard by mistake while Lee was away on vacation. Clarkson sent Lee a bill for the landscaping service but Lee refused to pay. Determine the likely result if Clark sues Lee to recover the costs of the landscaping.

3. Racer contracted in writing to drive Owner’s one-of-a-kind, specially designed championship race car in the Miami 500 Race on July 15 for a fee of $2500. On July 1, the race car was destroyed in an accidental fire in a storage warehouse where the race car was being stored prior to the race. Owner owns no other race cars, so Owner considered the contract discharged. Racer claimed that she is still entitled to the $2500 fee because she and Owner had a valid enforceable contract. Compare and contrast the rights and obligations of Racer and Owner under the contract as of July 1.

4. Compare and contrast the rights and possible liabilities for a merchant selling goods in “As Is” condition with the rights and possible liabilities for selling goods with an express warranty stating, “This product is quality Grade A”.

5. Aaron plans to open Aaron’s Pets, a pet shop selling pets and pet supplies, and plans to hire 2 part-time employees. Aaron will invest only his own money in the business. He does not expect to make any profit for at least 2 years and to make very little profit for the next 3 years after the first 2 years. He does expect to make a profit eventually. Which form of business organization is most appropriate and easiest for Aaron to use in opening his pet store – and why? (There is only one correct answer).

6. There are extensive federal regulations governing airplanes and pilots. Assume that the state of New York passed a statute containing numerous requirements,

some conflicting with federal regulations, covering operation of airplanes and licensing of airplane pilots. If the New York state statue is challenged as being unconstitutional, what is the likely result? Describe the applicable law and rationale for your conclusion.

7. Fran, Joe, and Mike formed a general partnership to operate a flower shop called Fresher Flowers. One of Fran’s jobs is to make deliveries using the partnership truck. In one such delivery, Fran negligently ran a stop sign, striking a car driven by Peggy, causing damage to the car and injury to Peggy.

Analyze and describe (1) the personal liability of Fran, Joe, and Mike, (2) the liability of the partnership, Fresher Flowers.

8. Mark plans to open a barbeque restaurant. He can either open the business as a sole proprietorship or obtain a franchise for “Smokin’ Hot Bar-B-Q”. Compare and contrast the advantages and disadvantages of opening the business as a sole proprietorship and a franchise.

9. 10 points Leon, a bank vice president, joined Fitness Center, Inc. (FC). He signed a contract for the membership. The contract stated, among other things, an exculpatory clause that FC… “shall not be liable for any claim, demand, cause of action of any kind whatsoever for, or on account of death, personal injury, property damage or loss of any kind resulting from or related to Member’s use of facilities or participation in any sport, exercise or activity within the club premises…”

While working out at FC, Leon sustained back injuries when a treadmill on which he was walking suddenly collapsed at FC. Leon sued FC for his injuries. Discuss: a. Is the exculpatory clause in the contract valid or invalid in Leon’s case and why? b. Possible product liability claim(s) for which Leon could sue FC and why product liability claims might be applicable to this case c. Possible ordinary (non-product liability) negligence claim for which Leon could sue FC and why a negligence claim might be applicable to this case d. The likely outcome if Leon sues FC under product liability e. The likely outcome if Leon sues FC under ordinary negligence

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BMGT 380 Final Examination Question and Answers

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 1. Sam orally agreed to sell Ramie some land for $500,000. Ramie paid Sam the $500,000; Sam gave Ramie the deed to the land. Ramie took possession of the land and began building a cabin on it. One month later, Sam tried to retake possession of the land by arguing that the contract for the sale was invalid because it was oral, not written. Sam sued Ramie to invalidate the contract and retake the land. The court will likely conclude that Sam will: a) Win; the sale exceeded $500 so the contract must be written to be valid. b) Win; all land sales contracts must be written. c) Lose; because the contract was fully executed Sam cannot rescind the contract. d) Lose; because Ramie had begun building a cabin on the property, Sam cannot rescind the contract.

2. On Tuesday, Sam offered to sell his CD collection to Sandy for $100. Sandy replied, "I’m interested. I’ll think it over and let you know Thursday whether I want to buy the CDs." On Wednesday, Sam agreed to sell the CDs to Jason, and Jason immediately gave Sam a letter that stated: "Sam, I will buy your CD collection for $100. As we agreed, I will pay you on Friday when I pick up the CDs. Yours truly, Jason." Upon Sam’s receipt of this letter on Wednesday, what best describes Sam’s contract agreement(s)? a) By forming an agreement with Jason, Sam breached his contract with Sandy.

b) Sam has formed contracts with both Jason and Sandy. c) Sam and Jason have formed a valid, enforceable contract; Sam did not form a contract with Sandy. d) Sam formed a contract with Sandy, but has not formed an enforceable contract with Jason because Jason has not yet paid for the CD collection.

3. Mac and Rhamad signed a business contract with a clause that provides that if a dispute arises they must submit to binding arbitration to resolve the dispute. After they had been doing business together for a year, a dispute arose under the terms of the contract. Rather than submit to arbitration, Mac filed a lawsuit against Rhamad. Most likely the court will: a) Hear the lawsuit because Mac cannot be compelled to submit to arbitration; he is constitutionally entitled to a jury trial if he requests a trial. b) Conduct a bench trial, then order a remedy without compelling Mac to submit to arbitration or to a jury trial. c) Compel Mac to submit to arbitration to resolve the dispute. d) Hear the lawsuit in a trial, then compel Mac to submit to arbitration, if Mac is not satisfied with the trial decision.

4. Roxy, while driving through Wyoming to her home in Montana, accidentally lost control of her car and drove it through a window into a store owned by Colt. Colt sued Roxy in a Wyoming court for damages to his store. Will the Wyoming court likely be able to exercise jurisdiction over Roxy? a) No, because Wyoming has no in personam (personal) jurisdiction over Roxy, and cannot exercise its long arm statute in cases only involving automobile accidents. b) No, because Wyoming has no in personam jurisdiction over Roxy, and cannot justify minimum contacts in this case.

c) Yes, Wyoming can exercise in personam jurisdiction in this case because any state court has personal jurisdiction in every diversity of citizenship case. d) Yes, because Wyoming can assert in personam jurisdiction over Roxy under the minimum contacts test.

5. Assume a salesperson intentionally made one of the following statements knowing that the statement was false – to a customer considering a purchase. Which statement could create liability for fraudulent misrepresentation if the customer made the purchase? a) “In my opinion, this car is in flawless mechanical condition.” b) “This crane will probably lift about 10,000 pounds.” c) “This car is a real gem.” d) “This is an original painting by the artist, Pablo Picasso.”

6. Don promised to buy his girlfriend, Sophie, a new car so Sophie sold her old car. Don now refuses to buy Sophie the car. Sophie has a job that requires her to have a car to get to work. If Sophie sues Don to enforce the promise, the likely result is that the promise will: a) Be enforced under promissory estoppel because Sophie reasonably relied on Don’s promise, to her detriment. b) Not be enforced as Sophie was not unjustly enriched simply because she did not receive the car. c) Be enforced because the car is a necessity for Sophie and all contracts for necessities are binding and enforceable for all parties even if contract formation is flawed. d) Not be enforced as Don’s promise was a gift to Sophie; Sophie gave consideration, but Don did not.

7. Reg offered to sell his motorcycle to Thelma for $8,000. Thelma replied, "Your price is too high. I will purchase your motorcycle for $7,000". Reg agreed and they committed their agreement to writing. This transaction can be characterized as: a) An enforceable contract because Reg’s acceptance of Thelma’s offer was a clearly communicated acceptance. b) An enforceable contract because Thelma’s counteroffer was less than Reg’s original offer. c) An unenforceable contract because Thelma’s offer was not the mirror image of Reg’s original offer as is required under common law contract rules. d) An unenforceable contract unless either Reg or Thelma is a merchant, as defined by the UCC, because sale of personal property contracts are valid only if one of the parties to the contract is a merchant. 8. Mary sued Don for negligence. Mary’s losses total $100,000. Under a contributory negligence system, if Mary is found to be contributorily negligent for her own injuries, what damages will Mary likely recover from Don? a) None. b) $100,000. c) $100,000 minus the percentage of fault (e.g., 20%, 60%, etc.) for which Mary was responsible. d) $100,000 minus the percentage of fault for which Mary was responsible, so long as Mary was not more than 50% responsible for the injuries.

9. Ram was walking down the sidewalk by a construction project site in a downtown area. The project was owned and operated by Modern Construction, Inc. and was surrounded by orange plastic fencing typically used for construction projects. Ram stopped to watch a metal beam being lifted by a crane on the

construction site. As the beam swung through the air, Ram thought it was going to fall and jumped forward quickly off the sidewalk and into the construction project property, falling into and smashing the orange plastic fencing. As Ram landed inside the construction project, the beam fell near Ram. The beam did not hit Ram but some rocks were thrown onto Ram as the beam fell, cutting his arm badly so that it required 35 stitches. If Ram sues Model Construction for negligence, the likely result will be that Ram will: a) Lose, because he assumed the risk as a trespasser on the construction site and trespassers can never recover damages. b) Lose, because pedestrians are always contributorily negligent in such cases involving trespassing. c) Win, because it is always foreseeable that a beam could fall on a nearby pedestrian. d) Win, if the beam fell because of Model Construction’s negligence.

10. X and Y agreed that X would sell Y his small business, including the land on which the business was situated, for $500,000. Both X and Y knew at the time the contract was formed that the business was actually worth $800,000. Is this a valid, enforceable contract? a) Yes, provided the contract was in writing, in accordance with the Statute of Frauds and the parties freely consented. b) Yes, provided the contract was in accordance with state statutory law that permits real estate sales for 40% or more below market value. c) No, because $500,000 is not valid consideration for a business worth $800,000. d) No, because X has no pre-existing legal duty to sell his business.

11. Fine Art Corp. sent a written offer to buy 10,000 pencils for a total of $10,000 from Faber Pencil Co. Both parties are merchants. Faber can accept the offer by: a) Promising to ship the pencils. b) Promptly shipping the pencils. c) Accepting the offer on Faber’s own written standard form contract. d) All of the above could be valid acceptance.

12. Ralph, a 16-year old minor, is manager for the high school football team. Ralph signed a contract to purchase alcoholic beverages from Liquormart, Inc. for the team party. This contract is: a) Void as a matter of law because it is illegal to sell alcohol to minors by state law. b) Void only if Ralph misrepresented his age and told Liquormart he was an adult. c) Valid and enforceable, but Ralph has the right to disaffirm because he is a minor. d) Valid and enforceable, if Liquormart knew that Ralph was a minor.

13. Which of the following activities may involve the use of a contract, and/or constitute a sales contract? a) Purchasing medications from a pharmacy. b) Hiring a contractor to make home repairs. c) Purchasing insurance policies from an insurance agent. d) Selling books to customers in a bookstore.

e) All of the above.

14. Fay was admitted to Global Associates, an existing partnership, as a limited partner on January, 2015. In June, 2015, a partnership debt incurred in October, 2014 came due. Fay is: a) Not liable for the debt because the debt was incurred prior to her joining the partnership. b) Only liable for the debt up to the amount of her capital contribution to the partnership. c) Personally liable only for 50% of the total debt if 50% of the other partners do not pay. d) Personally liable for the full extent of the debt if the other partners do not pay.

15. Earl, a nonmerchant, offered to sell a chair to Isaac, a nonmerchant. Earl’s house caught fire and destroyed the chair before Isaac accepted Earl’s offer to buy the chair. As a result: a) The destruction of the chair constitutes an automatic, valid revocation of the offer. b) The fire does not automatically revoke the offer, but because neither Earl nor Isaac is a merchant, the offer is revocable at any time at Earl’s option. c) Earl did not validly communicate a revocation to Isaac, so Isaac still has the option of accepting Earl’s offer; if Isaac accepts the offer, Earl must obtain a similar chair for Isaac or pay Isaac the equivalent value of the chair. d) Earl’s offer is automatically revoked by the fire, unless the offer was a firm offer.

16. CC’s Day Spa, LLC, is a member-managed limited liability company. So long as it is in accordance with state law, members can agree to apportion voting rights according to: a) Participation in management. b) Capital contributions. c) The number of members. d) Any of the above.

17. Jim and Kiley are architects and general partners of JK Designs. Jim and Kiley supervise Luc, an employee of JK Designs. As general partners of JK Designs, Jim and Kiley: a) Are not personally liable for any tort(s) committed by Kiley. b) May be personally liable for malpractice committed by Luc working within the scope of his job at JK. c) Have limited liability for any of Kiley’s acts of malpractice. d) Have no liability for any torts committed by Luc.

18. Kisha operates River Valley Soccer, an athletic equipment shop as a sole proprietorship. Taxes on the business’s income are paid by: a) No one; since it is a sole proprietorship there are no business taxes. b) Kisha as the sole owner. c) The state or federal government if Kisha holds a Small Business Administration loan acquired to start her business. d) The business entity of River Valley Soccer, not Kisha personally.

19. Assume that Virginia enacted a law prohibiting, until further notice, all grocery stores in Virginia from selling all powdered spices manufactured in, or shipped from, Maryland. This law was enacted because it was discovered that the spices recently manufactured in Maryland were infected with bacteria. Determine the constitutionality of the Virginia statute. The statute is: a) Unconstitutional; it violates grocery store owners’ substantive and procedural due process rights under the 5th and 14th Amendments because they are private businesses. b) Unconstitutional; the statute imposes an undue burden on interstate commerce. c) Constitutional; it is a valid exercise of Virginia’s police power. d) Constitutional; the statute imposes an undue burden on intrastate and interstate commerce.

20. Distinguish which of the following is an advantage of limited liability companies (LLCs) over corporations. a) Only one member of a LLC must have unlimited liability as compared with corporations in which all shareholders have unlimited liability. b) LLCs can be formed without any specific steps being taken by the owners as compared with corporations that must file Articles of Incorporation with the State. c) In most cases, a LLC can choose whether to be taxed as a partnership or corporation, as compared with corporations that are subject to double corporate taxation. d) LLCs can choose whether to sell shares publically to investors, as compared to private corporations that must sell shares publically to investors.

21. Pete, who collects antique cars, hired Ann as his agent to find and purchase a 1965 Ford Mustang on his behalf. Ann found a Mustang like Pete wanted, but Ann fell in love with the car and purchased it for herself. Which of the following illustrates Ann’s liability, if any, in her duty as agent to Pete in this situation? a) Ann has not violated the duty of loyalty to Pete; she can find another Mustang for him. b) Ann has not engaged in self-dealing because she did not purchase the Mustang with Pete’s funds. c) Ann usurped an opportunity for Pete, but has not violated the duty of loyalty to Pete by competing with Pete’s interests. d) Ann violated the duty of loyalty to Pete by competing with Pete’s interests, and has usurped an opportunity for Pete.

22. Ed hired Frankie, who is 13 years old, to buy a computer on Ed’s behalf. Which of the following identifies the legal relationship between Ed and Frankie? a) This is a valid agency relationship even though Frankie is a minor, and Ed would be bound by authorized contracts Frankie enters into on Ed’s behalf. b) This is a valid agency relationship even though Frankie is a minor, but Ed would have the option of disaffirming any contracts Frankie enters into on Ed’s behalf. c) This is a valid agency relationship even though Frankie is a minor, but Frankie would not be entitled to any payment under the terms of the agency because he is a minor. d) This is an invalid agency relationship because Frankie is a minor.

23. Mediation might be more reasonable and appropriate than a trial in which of the following situations?

a) A lawsuit challenging the constitutionality of a new state statute. b) A dispute between neighbors over a property boundary. c) An alleged theft of patio furniture from the patio of a house. d) None of the above are appropriate for mediation.

Answer questions 24-25 regarding the following scenario: Scenario: Jones, a resident of Arizona, booked reservations for a vacation at Windell Hotels, Inc. in Cabo Mar, Mexico. Windell Hotels is an international hotel chain incorporated in Delaware with hotels in North and South America; Windell Hotels has no hotels in Arizona but does advertise and book reservations for all its hotels over the Internet. While a guest in the hotel in Cabo Mar, Jones was walking across the hotel lobby, and slipped and fell on the wet marble floor that had been just washed by the maintenance staff. The staff had placed a “wet floor” sign on the lobby floor on the side wall of the lobby. Jones was taken to the nearest Mexican hospital where surgery was necessary to place a pin in his broken leg. Anxious to return home and see his regular doctor, Jones flew out of Mexico shortly after the surgery. He required two plane seats and an ambulance to meet him at various airports. His health insurance would not cover his hospital stay in Mexico as it was located outside the U.S. When back in Arizona, Jones was unable to work for 8 weeks and required another surgery to remove the pin. He also required several weeks of physical therapy.

24. Jones wants to sue Windell Hotels, Inc. in federal court for $450,000 to recover all his medical expenses in Mexico and the US; for $50,000 for the cost of the plane trip from Mexico to Arizona, the 2 plane seats and ambulance costs in various airports; $10,000 for 8 weeks of lost wages; and $50,000 for pain and suffering resulting from the injury. Can he sue in federal court? a) Yes, because Federal Court always has jurisdiction over citizens of different states.

b) No, because Federal Court does not have jurisdiction in cases that do not involve federal laws. c) Yes, because the Federal Court may have jurisdiction over citizens of different states and the lawsuit involves damages greater than $75,000. d) No, because the Federal Court has no jurisdiction over an accident that occurred in Mexico.

25. It would be easier for Jones to bring the lawsuit in Arizona state court, but he wonders if the court can get Windell Hotels to come to Arizona. Can the Arizona state court impose jurisdiction over Windell Hotels to bring the company to court in Arizona? a) No, because the subject of the lawsuit took place in a foreign country. b) No, because the corporation does not have sufficient minimum contact with Arizona to allow the Arizona court to use the long arm statute to establish jurisdiction in Arizona. c) Yes, because the Jones is a resident of Arizona and he is the plaintiff in the lawsuit. d) Yes, because Windell Hotels has sufficient minimum contact with Arizona the state to justify the court’s use of the long arm statute. Scroll down please to begin the essay portion of the exam.

Section: Section II. Essay: 9 questions/50 points Questions 1-8 = 5 pts each; question 9 = 10 pts Use the answer sheet at the end of the exam. Number each answer. DO NOT recopy questions. Answer each question in complete paragraphs; do not list or answer in phrases (points will be deducted for doing so). None of these questions can be adequately/comprehensively answered in just a paragraph, so be comprehensive, in depth in your answers, but be careful to not include irrelevant information. Points will be deducted for answers that are not well justified, not sufficiently comprehensive. Use APA in text citations, as appropriate but please do not use direct quotes. Use only classroom notes/comment and assigned reading or watching materials as resources, which is all you need to complete the exam. DO NOT use any outside, Internet resources as they are often inaccurate. Follow directions carefully. Answer all parts of each question. Be sure to directly answer the question(s) asked. __________________________________________________________________ Refer to the scenario for Multiple Choice questions 24-25 above to answer the following essay question #1 only: 1. Jones sued Windell Hotels, Inc. for negligence to recover damages for his injuries resulting from the fall in the Cabo Mar hotel. Will Jones likely be successful in the negligence lawsuit against Windell Hotels? Explain fully why or why not.

2. Clarkson and Lee did not have a contract, but Clarkson completed extensive landscaping in Lee’s yard by mistake while Lee was away on vacation. Clarkson sent Lee a bill for the landscaping service but Lee refused to pay. Determine the likely result if Clark sues Lee to recover the costs of the landscaping.

3. Racer contracted in writing to drive Owner’s one-of-a-kind, specially designed championship race car in the Miami 500 Race on July 15 for a fee of $2500. On July 1, the race car was destroyed in an accidental fire in a storage warehouse where the race car was being stored prior to the race. Owner owns no other race cars, so Owner considered the contract discharged. Racer claimed that she is still entitled to the $2500 fee because she and Owner had a valid enforceable contract. Compare and contrast the rights and obligations of Racer and Owner under the contract as of July 1.

4. Compare and contrast the rights and possible liabilities for a merchant selling goods in “As Is” condition with the rights and possible liabilities for selling goods with an express warranty stating, “This product is quality Grade A”.

5. Aaron plans to open Aaron’s Pets, a pet shop selling pets and pet supplies, and plans to hire 2 part-time employees. Aaron will invest only his own money in the business. He does not expect to make any profit for at least 2 years and to make very little profit for the next 3 years after the first 2 years. He does expect to make a profit eventually. Which form of business organization is most appropriate and easiest for Aaron to use in opening his pet store – and why? (There is only one correct answer).

6. There are extensive federal regulations governing airplanes and pilots. Assume that the state of New York passed a statute containing numerous requirements,

some conflicting with federal regulations, covering operation of airplanes and licensing of airplane pilots. If the New York state statue is challenged as being unconstitutional, what is the likely result? Describe the applicable law and rationale for your conclusion.

7. Fran, Joe, and Mike formed a general partnership to operate a flower shop called Fresher Flowers. One of Fran’s jobs is to make deliveries using the partnership truck. In one such delivery, Fran negligently ran a stop sign, striking a car driven by Peggy, causing damage to the car and injury to Peggy.

Analyze and describe (1) the personal liability of Fran, Joe, and Mike, (2) the liability of the partnership, Fresher Flowers.

8. Mark plans to open a barbeque restaurant. He can either open the business as a sole proprietorship or obtain a franchise for “Smokin’ Hot Bar-B-Q”. Compare and contrast the advantages and disadvantages of opening the business as a sole proprietorship and a franchise.

9. 10 points Leon, a bank vice president, joined Fitness Center, Inc. (FC). He signed a contract for the membership. The contract stated, among other things, an exculpatory clause that FC… “shall not be liable for any claim, demand, cause of action of any kind whatsoever for, or on account of death, personal injury, property damage or loss of any kind resulting from or related to Member’s use of facilities or participation in any sport, exercise or activity within the club premises…”

While working out at FC, Leon sustained back injuries when a treadmill on which he was walking suddenly collapsed at FC. Leon sued FC for his injuries. Discuss: a. Is the exculpatory clause in the contract valid or invalid in Leon’s case and why? b. Possible product liability claim(s) for which Leon could sue FC and why product liability claims might be applicable to this case c. Possible ordinary (non-product liability) negligence claim for which Leon could sue FC and why a negligence claim might be applicable to this case d. The likely outcome if Leon sues FC under product liability e. The likely outcome if Leon sues FC under ordinary negligence