Strayer Legal 100 Quiz 3

Course Business Law I

Test Quiz 3

Instructions

This quiz consist of 10 multiple choice questions and covers the material in Chapter 5. Be sure you are in Chapter 5 when you take the quiz.

• Question 1

What is the meaning of the term “respondeat superior”?

• Question 2

An ________ occurs if a principal approves or accepts the benefits of the actions of an otherwise unauthorized agent.

• Question 3

Which of the following was the result in EBC I, Inc. v. Goldman, Sachs, & Co., the case in the text in which it was claimed that Goldman Sachs breached a fiduciary duty in acting as an underwriter and in providing advice to eToys, the plaintiff’s predecessor, in regard to an initial public offering of stock?

• Question 4

An agency by ________ occurs when a person leads another to believe that someone else is his or her agent and is thereafter prevented from denying it.

• Question 5

Once an agent is given express authority, he or she also has _______ authority to do whatever is reasonable to complete the task he or she has been instructed to undertake.

• Question 6

Which of the following is an example of a hallmark of the fiduciary relationship?

• Question 7

Maureen owns a business that makes kites. Maureen’s agent Bob entered into an agreement with Alice to purchase some land for a new kite factory. Maureen’s agency relationship with Bob was not memorialized by any writing. The day after Bob signs the papers finalizing the sale, Maureen learned of the purchase, was furious with Bob, and said that she wanted out of the deal. Assuming that Bob was legally considered the agent of Maureen in

making the purchase, which of the following is Maureen’s best argument?

• Question 8

Which of the following is not usually considered an independent contractor?

• Question 9

As referenced in the case in the text involving Hewlett-Packard in the text, what is “pretexting”?

• Question 10

Which of the following was the result in O’Shea v. Welch, the case in the text involving whether an employee was acting within the scope of his employment when, while driving to deliver a vendor’s gift (football tickets) to his employer’s office, he turned into a service station to obtain an estimate regarding nonemergency maintenance on his car?