CONCEPTS 1101 Unit 3 milestone
1
Which of the following is true of property ownership in the United
States?
•
Property ownership is primarily defined at the state level.
•
You may own property even if the legal system does not recognize your
right to
do so.
•
Animals and humans both have the right to own property.
•
Property must be tangible in order for the legal system to recognize
ownership.
CONCEPT
The Property System
2
Jenna has been employed as Rashid's personal assistant for five years. Her
job description is vague, but she helps him with many aspects of his day to
day life. Jenna knows he likes art, so every year she attends a local art
auction and purchases a painting on Rashid's behalf. This year, she buys a
painting that is twice as expensive as usual.
Is Rashid responsible for the full price of the painting?
•
Yes, due to apparent authority.
•
No, Rashid is not liable.
•
Yes, due to express authority.
•
Yes, due to implied authority.
CONCEPT
Principal's Contract Liability
3
pg. 1
, CONCEPTS 1101 Unit 3 milestone
Wilhelm discovers that a tech company has just received a patent for a new
type of headphone that reduces the potential for hearing damage at high
volume. The existence of this new technology is not yet widely known.
However, once Wilhelm learns about it, he tells several of his friends, and
they all buy stock in the tech company.
Does Wilhelm's conduct violate trade secret law?
•
No, because the invention of this technology is publicly available
information through the issuance of the patent.
•
Yes, because Wilhelm misappropriated the tech company's trust by
telling his friends about the new technology.
•
Yes, because Wilhelm will potentially profit from his discovery.
•
No, because the company is not yet deriving value from the
technology.
CONCEPT
Trade Secrets
4
Jennifer includes a copyrighted photograph in her new book without
obtaining permission from the copyright owner.
Select the correct classification for this example.
•
Direct copyright infringement
•
Contributory infringement
•
Fair use
•
Legal use of a copyright license
CONCEPT
Copyright Law
pg. 2
, CONCEPTS 1101 Unit 3 milestone
5
Gary (principal) hires Dawn (agent) to sell his house. Every time Dawn tries
to bring a potential buyer to see Gary's house, he asks her to reschedule for
another day. Dawn suspects that Gary does not actually want to sell his
house.
Is Gary in breach of his duty?
•
Yes, because he failed to warn Dawn of the potential for pecuniary loss.
•
No, because Gary does not have a fiduciary duty to Dawn.
•
No, because principals have no duties toward their agents.
•
Yes, because he has a responsibility to not interfere with Dawn's task.
CONCEPT
Duties between Agent and Principal
6
If a voluntary bailment is only of benefit to the bailor, what sort of
responsibility does the bailee owe the bailor?
•
Minimum duty of care
•
Extraordinary duty of care
•
Ordinary duty of care
•
The bailee has no responsibility in this case.
CONCEPT
Bailment
7
Ryan owns a Christmas tree farm that struggles to compete with the
Christmas tree farm on the other end of town. He instructs one of his
employees to set a fire at the rival farm, which destroys much of their stock
pg. 3
, CONCEPTS 1101 Unit 3 milestone
and drives up demand for Ryan's trees. Ryan's employee is arrested for
arson, and the rival farm sues for damages.
Is Ryan liable for the tort?
•
Yes, Ryan is directly liable for the tort and for the employee's criminal
act of arson.
•
Yes, Ryan is directly liable for the tort but not for the employee's
criminal act of arson.
•
Yes, Ryan is vicariously liable according to the "zone of risk" test
because his employee's actions were foreseeable.
•
No, Ryan is not liable in this case.
CONCEPT
Principal's Tort and Criminal Liability
8
Lisa is the CEO of a corporation. As such, she is authorized to make daily
operating decisions for the company on behalf of shareholders.
Which type of agent relationship does this represent?
•
Special agent
•
Subagent
•
General agent
•
Independent contractor
CONCEPT
Types of Agents
9
pg. 4
1
Which of the following is true of property ownership in the United
States?
•
Property ownership is primarily defined at the state level.
•
You may own property even if the legal system does not recognize your
right to
do so.
•
Animals and humans both have the right to own property.
•
Property must be tangible in order for the legal system to recognize
ownership.
CONCEPT
The Property System
2
Jenna has been employed as Rashid's personal assistant for five years. Her
job description is vague, but she helps him with many aspects of his day to
day life. Jenna knows he likes art, so every year she attends a local art
auction and purchases a painting on Rashid's behalf. This year, she buys a
painting that is twice as expensive as usual.
Is Rashid responsible for the full price of the painting?
•
Yes, due to apparent authority.
•
No, Rashid is not liable.
•
Yes, due to express authority.
•
Yes, due to implied authority.
CONCEPT
Principal's Contract Liability
3
pg. 1
, CONCEPTS 1101 Unit 3 milestone
Wilhelm discovers that a tech company has just received a patent for a new
type of headphone that reduces the potential for hearing damage at high
volume. The existence of this new technology is not yet widely known.
However, once Wilhelm learns about it, he tells several of his friends, and
they all buy stock in the tech company.
Does Wilhelm's conduct violate trade secret law?
•
No, because the invention of this technology is publicly available
information through the issuance of the patent.
•
Yes, because Wilhelm misappropriated the tech company's trust by
telling his friends about the new technology.
•
Yes, because Wilhelm will potentially profit from his discovery.
•
No, because the company is not yet deriving value from the
technology.
CONCEPT
Trade Secrets
4
Jennifer includes a copyrighted photograph in her new book without
obtaining permission from the copyright owner.
Select the correct classification for this example.
•
Direct copyright infringement
•
Contributory infringement
•
Fair use
•
Legal use of a copyright license
CONCEPT
Copyright Law
pg. 2
, CONCEPTS 1101 Unit 3 milestone
5
Gary (principal) hires Dawn (agent) to sell his house. Every time Dawn tries
to bring a potential buyer to see Gary's house, he asks her to reschedule for
another day. Dawn suspects that Gary does not actually want to sell his
house.
Is Gary in breach of his duty?
•
Yes, because he failed to warn Dawn of the potential for pecuniary loss.
•
No, because Gary does not have a fiduciary duty to Dawn.
•
No, because principals have no duties toward their agents.
•
Yes, because he has a responsibility to not interfere with Dawn's task.
CONCEPT
Duties between Agent and Principal
6
If a voluntary bailment is only of benefit to the bailor, what sort of
responsibility does the bailee owe the bailor?
•
Minimum duty of care
•
Extraordinary duty of care
•
Ordinary duty of care
•
The bailee has no responsibility in this case.
CONCEPT
Bailment
7
Ryan owns a Christmas tree farm that struggles to compete with the
Christmas tree farm on the other end of town. He instructs one of his
employees to set a fire at the rival farm, which destroys much of their stock
pg. 3
, CONCEPTS 1101 Unit 3 milestone
and drives up demand for Ryan's trees. Ryan's employee is arrested for
arson, and the rival farm sues for damages.
Is Ryan liable for the tort?
•
Yes, Ryan is directly liable for the tort and for the employee's criminal
act of arson.
•
Yes, Ryan is directly liable for the tort but not for the employee's
criminal act of arson.
•
Yes, Ryan is vicariously liable according to the "zone of risk" test
because his employee's actions were foreseeable.
•
No, Ryan is not liable in this case.
CONCEPT
Principal's Tort and Criminal Liability
8
Lisa is the CEO of a corporation. As such, she is authorized to make daily
operating decisions for the company on behalf of shareholders.
Which type of agent relationship does this represent?
•
Special agent
•
Subagent
•
General agent
•
Independent contractor
CONCEPT
Types of Agents
9
pg. 4
