BLAW Baylor Bostick Test 4

Which of the following statements are TRUE?

All Agents are Employees

An Independent Contractor cannot be an Agent.

All Employees are Agents.

If the type of work performed by a worker is essential to a Principal's business, this fact, on its own, will lead to a final conclusion that the worker is an employee.

All Employees are Agents.

Which is TRUE concerning the difference between an employee and an independent contractor?

If the worker is given a set price to perform a project and they complete the task early, but is paid the same amount, this supports a conclusion that the worker is an employee.

If the worker is hired to take on a job for an indefinite period, this supports a conclusion that the worker is an independent contractor.

A worker with high skill can be classified as either an employee or an independent contractor depending on the circumstances.

The principal's right to control the conduct of the individual IS the most significant factor in determining whether the individual is an employee or independent contractor.

If a worker is required to buy a hardhat for work, but the principal supplies all other necessary training and equipment, this fact will help support a conclusion that the worker is an independent contractor.

A worker with high skill can be classified as either an employee or an independent contractor depending on the circumstances.

Which of the following situations most likely describes a relationship that is both a relationship between a principal and agent AND between an employer and employee?

Charles hires Andrew, an attorney, to represent him in a lawsuit.

Mel owns a retail store. Elizabeth is a salesclerk for Mel in the store.

Nancy hires an Uber driver to take her to the airport.

George hires Bob to pour concrete in the driveway at George's home.

Mel owns a retail store. Elizabeth is a salesclerk for Mel in the store.

In which of the following circumstances would the Agency Relationship be terminated by law?

When the Principal has died but the Agent does not yet have notice of the Principal's death.

The death of the Agent

Two of these answers are correct.

None of these answers are correct.

When the subject matter of the agency has been destroyed.

Two of these answers are correct:

When the Principal has died but the Agent does not yet have notice of the Principal's death.

The death of the Agent

Which of the following statements is TRUE regarding an Agency Coupled With an Interest?

Two of these answers are TRUE.

An Agent can renunciate an Agency Coupled with an Interest at any time during the Agency.

Agencies Coupled with an Interest are usually associated with lending transactions where the borrower has pledged collateral to secure a loan.

An Agency Coupled with an Interest may be terminated by either the Principal or Agent (without the other's consent) at any time during the Agency.

The Principal may revoke an Agency Coupled with an Interest at any time during the Agency.

Two of these answers are TRUE

Which of the following will not terminate an agency?

Agent Quits

Lapse of time

Principal fires the Agent

All of the listed answers will terminate an agency.

All of the listed answers will terminate an agency.

Duty of Compensation

Principal has agreed to pay Agent, but does not specify the amount. Principal pays Agent an unreasonably low amount.

Duty of Reimbursement

As authorized by Principal, Agent pays the rent for Principal's retail space. Principal refuses to pay Agent the rent amount.

Duty of Indemnification

Principal instructs Agent to repossess Don's car. Agent does so. Principal was incorrect in thinking Principal had the right to repossess Don's car. Don sues Agent and gets a judgement for $100,000. Principal refuses to pay Agent the $100,000, so Agent can pay Don.

Duty of Obedience

Agent has authority to buy 100 hammers. Agent purchases 200 hammers.

Duty of Good Conduct/Diligence

Agent makes a careless mistake on a tax return.

Duty to Inform/Notify Principal

Agent observes that a machine is leaking oil (an environmental hazard) into a water drain. The Agent fails to report this condition to Agent's supervisor.

Duty to Account for and Commingle Principal's Funds

Instead of depositing cash in the Principal's bank, the Agent deposits the money in the Agent's account.

Fiduciary Duty (Duty of Loyalty)

Agent works as an engineer for Apple. The Agent discloses to a competitor the plans for a soon to be released model of apple watch.

Which of the following statements is FALSE?

An agency agreement does not always have to be in writing.

When one party to a contract exercises control over the other party, the relationship of Principal and Agent automatically exists.

A power of attorney is a type of written document appointing an agent.

Most contracts or business transactions can be created or conducted through an agent.

When one party to a contract exercises control over the other party, the relationship of Principal and Agent automatically exists.

Which of the following statements is NOT a basic requirement for an Agency Relationship to exist.

Both the Principal and Agent must agree to form the Agency Relationship.

The Principal must intend that the Agent can act on behalf of the Principal.

The Principal must pay the Agent to perform a task for the Principal.

The Principal must have some control over the actions of the Agent.

The Principal must pay the Agent to perform a task for the Principal.

Assume that S wants to sell his house and B is interested in buying it. If A is an agent who normally handles such transactions, A may represent:

Note that the S and B have conflicting interests in this transaction and therefore, A would also have a conflict.

S and B, but only with the informed consent of S.

S and B, but only with the informed consent of S and B.

S and B, but only with the informed consent of B.

S or B, but not both.

S and B, but only with the informed consent of S and B.

Ann is authorized to sell her principal's property for at least $10,000. If Ann sells it for $11,000, then:

she must give the $1,000 back to the third party.

she has a duty to account to the principal for the additional $1,000.

she may pocket the additional $1,000.

None of these answers are correct.

she has a duty to account to the principal for the additional $1,000.

Peter listed real estate for sale with Ron, a realtor, pursuant to a listing agreement, which was exclusive to Ron for 90 days. Two months later, Peter decides not to sell the property and revokes Ron's authority. Choose the best answer.

Peter can only revoke Ron's authority with Ron's prior written consent.

Peter has the power to revoke Ron's authority, but Peter may be liable to Ron for damages for breach of contract.

Peter has the power to revoke Ron's authority and will generally NOT be liable to Ron for the early revocation.

Peter cannot revoke Ron's authority.

Peter has the power to revoke Ron's authority, but Peter may be liable to Ron for damages for breach of contract.

Which one or more of the following situations fall under the exceptions where

1. the agency relationship cannot be terminated by either the principal or agent OR

2. if either the principal or agent terminate the agency agreement, one will owe the other damages for breach of contract.

A and B are correct.

C. A coach agrees they will be the head coach at a certain university for 5 years. In year two the coach quits.

B. You take a job with a bank. The job is "at will" meaning you can quit and at time and the bank can fire you at any time. You quit.

A. A borrower pledges their car to the bank to secure a loan used to purchase the car. In the documents signed by the borrower, they agree that if the borrower does not pay the loan, the bank may repossess the car and sign the borrower's name to any document necessary to sell the car.

You may assume the borrower has NOT paid the bank loan in full.

A and C are correct.

A and C are correct.

Which of the following worker/principal relationships would most likely NOT result in an agent/principal relationship?

Natalie needs to travel to Europe on business. Natalie provides a written power of attorney to her sister to sign the documents on her behalf.

A waiter is told when to work, what to wear, what to say to customers and is paid by the hour, but gets to keep tips.

I own a condominium and want to rent it out to college students. I hire a property manager who finds the tenants, signs the leases on my behalf and takes care of any repairs that are within the agreed to budget.

A contract between Marriot and a franchisee. Under the contract, the franchisee may use the trademarks of Marriot and must meet certain minimum standards for cleanliness and quality of services. Marriot is not responsible for maintenance, employing necessary workers and paying any bills related to the hotel.

A contract between Marriot and a franchisee. Under the contract, the franchisee may use the trademarks of Marriot and must meet certain minimum standards for cleanliness and quality of services. Marriot is not responsible for maintenance, employing necessary workers and paying any bills related to the hotel.

An agent has apparent authority to bind the principal in any transaction in which:

third persons reasonably rely upon the existence of actual authority as indicated by the principal's conduct.

third persons enter into a transaction with the agent even if the third person does not reasonably believe the agent has actual authority.

third persons have no knowledge of the agency relationship.

the existence and identity of the principal are undisclosed.

third persons reasonably rely upon the existence of actual authority as indicated by the principal's conduct.

Amy, agent for undisclosed principal Pat, enters into a contract with Tom for Tom to purchase 20 items from Pat . Amy does not have actual authority to enter into the contract with Tom on behalf of Pat, but when Pat finds out about the contract, Pat thinks the contract is a good deal. Which of the following statements about this situation is correct?

For the contract to be binding on both Tom and Pat, Pat will have to notify Tom of Pat's ratification of the contract before Tom withdraws from the contract.

Connie Hartford sold weapons to various retailers. Rex Louis, who delivered weapons for Hartford, was instructed to collect the purchase price, in cash, on delivery, but in the event of a dispute, he was to call Hartford and not to use force. One day, a purchaser refused to pay on the basis that the wrong type of weapons were delivered. Louis struck the purchaser to obtain payment. Hartford is:

Not liable because Louis was instructed not to use force.

Liable because an employer is always strictly liable for the actions of its employees.

Not liable because the purchaser owed the money.

Liable because Louis was acting within the scope of employment and his actions were "reasonably connected" to his employment.

Liable because Louis was acting within the scope of employment and his actions were "reasonably connected" to his employment.

For which of the following is a principal liable for damages caused by an independent contractor acting on behalf of the principal?

A dynamite explosion

Fraudulent Misrepresentation

Injury to an independent contractor's workmen when a large beam fell on them.

An automobile accident

A dynamite explosion

Avery, a sales employee of Pinnacle Corp., decides to engage in price fixing (which is an intentional tort) to increase Avery's sales. Which of the following statements is correct regarding this situation.

Since Avery is Pinnacle's agent, Pinnacle will be liable for every tort committed by Avery within Avery's scope of employment.

A Principal cannot be held liable for the torts of its agent.

Pinnacle will be liable for this tort committed by Avery if Pinnacle authorized Avery to engage in price fixing or Avery is the Executive Vice President and Head of Sales for Pinnacle and pricing is handled solely by Avery's department.

None of these answers are correct.

Pinnacle will be liable for this tort committed by Avery if Pinnacle authorized Avery to engage in price fixing or Avery is the Executive Vice President and Head of Sales for Pinnacle and pricing is handled solely by Avery's department.

When an Agent acts on behalf of the Principal, the Principal can be held liable for the following types of liability:

Assume the requirements for the type of liability are met.

Tort, but NOT Contract Liability

Contract and Tort Liability

Contract, but NOT Tort Liability

Contract and Tort Liability

X Corporation gives written instructions to its agent, Rodney, instructing him to find a buyer for its manufacturing subsidiary. Rodney not only finds a buyer, but enters into a contract on behalf of X Corporation with that buyer to sell the subsidiary. X Corporation finds out about the contract and does not want to sell the subsidiary to that buyer. What type of authority did Rodney have from X Corporation related to the sale of the subsidiary?

Rodney had Actual Express Authority to find a buyer for the manufacturing subsidiary.

Rodney had Actual Implied Authority to take all reasonable and necessary actions to find that buyer.

Rodney did NOT have Actual Authority (express or implied) to actually enter into the contract to sell the subsidiary.

An agent may be liable to the principal for exceeding his actual authority when the agent acts within his:

implied authority

actual authority

express authority

apparent authority

apparent authority

Dianna hires Ray to run her retail business as the general manager. Dianna tells Ray that he can hire and fire employees and that Ray can take whatever prudent actions Ray believes are appropriate to manage Diane's business, except that Ray may not purchase inventory.

Ray takes the following actions:

1. Ray hires Natalie to work at Diana's business.

2. Ray hires a cleaning service to clean the business's location.

3. Ray buys inventory from Bear Clothiers.

Bear Clothiers knows Ray is the "general manager" but does not know that Ray does not have the authority to buy inventory. Diana's prior general manager did purchase inventory for Diana from Bear Clothiers.

Which type of authority, if any, did Ray possess when taking the above 3 actions.

1. Actual Express Authority

2. Actual Implied Authority

3. Apparent Authority

In which of the following situations did the agent NOT have apparent authority to take action on behalf of their principal?

Peter, an elderly gentleman, hires Allison to run his household. Allison pays Peters bills, buys everything he needs run his household. Peter does not drive and does not own a car. Three months later Peter dies. Allison is immediately aware of Peter's death. The day after Peter's death, Allison buys a car from the local car dealership, telling the dealership that she is buying the car for Peter. The dealership knows that Allison handles quite a few matters for Peter, so they go ahead and sell the car to Allison with no down payment.

Abigail is a buyer for Bear Clothing. Abigail has been given authority to buy up to $500,000 in merchandise for the current year. Abigail finds the CUTEST crop top EVER and knows that these crop tops will just fly of the shelves of Bear Clothing. Abigail buys $1 million worth of the crop tops. Bear Clothing had not communicated to its suppliers that Abigail could only buy up to $500,000 in merchandise in a year.

Apparent Authority Example

Paula wants to buy Bear Clothing, so she sends Addison, her assistant, to negotiate a deal with the owners of Bear Clothing. Paula calls those owners and indicates that Addison has "whatever authority is necessary" for Paula to buy Bear Clothing. Paula tells Addison (and only Addison) that if Addison is only allowed to pay up to $3 million to buy Bear Clothing. The owners of Bear Clothing are expert negotiators and they convince Addison that Bear Clothing is worth $5 million. Addison signs a purchase contract on behalf of Paula to buy Bear Clothing at a price of $5 million.

Apparent Authority Example

During his employment, the Regional Manager of Union Pacific (for 5 states) promises a complaining landowner (within those 5 states) that Union Pacific will build a road for that complaining landowner.

Assume the Regional Manager does NOT have actual authority to make this promise.

Apparent Authority Example

When an agency is terminated by revocation of authority, the agent's apparent authority continues with respect to third parties with whom the agent had previously dealt until:

the principal gives notice of the termination in a newspaper of general circulation.

the principal gives constructive notice of the termination.

To terminate the apparent authority of an agent who has been terminated, the principal does not need to do anything. The apparent authority immediately is terminated as to third parties on the termination.

the third party receives actual notice of the termination.

the third party receives actual notice of the termination.

Ally is an employee of X Corporation. Ally quits and goes to work for a competitor. X Corporation does not give notice. Ally continues to call on the customers of X Corporation that were her regular customers when she worked for X Corporation. Ally uses X Corporation's standard form, but Ally intends on switching out X Corporation's name for that of her new employer. Ally finds out that her new employer has decided to NOT carry the product that Ally has sold to her customers because there is a shortage of materials to manufacture this product. Ally then mails in the contracts to X Corporation. They are surprised and also cannot produce the product due to the shortage of materials. Will X Corporation be bound to the customers under these contracts?

Yes, X Corporation will be bound by the contracts with the customers.

Ally had Apparent Authority to enter into those contracts on behalf of X Corporation.

To terminate Ally's Apparent Authority, X Corporation is required to give actual notice to the customers that Ally no longer worked for X Corporation. They did not give this notice.

Which of the following requirements is NOT a requirement for the ratification of an unauthorized contract by a principal?

The Principal must expressly notify the other party to the unauthorized contract that the Principal desires to ratify.

The other party to the unauthorized contract must NOT have withdrawn from the unauthorized contract.

The principal must ratify the entire contract.

The Principal must agree to be bound by the unauthorized contract, but such agreement can be express or implied.

The Principal must expressly notify the other party to the unauthorized contract that the Principal desires to ratify.

Alex is the only purchasing agent for X Corporation. Rita, the receptionist, decides that she wants to order a new chair for the reception desk. She calls Best Chair Company and orders an expensive ergonomic chair, telling them to send the bill to X Corporation. Although Best Chair Company knows that only Alex has the authority to order items for X Corporation, they ship the chair to X Corporation. The chair arrives, it is unpacked at the loading dock and sent up to Rita, who uses the chair. The CEO walks by the reception desk and comments on the nice chair, but does not question Rita. Will X Corporation have to pay for the chair?

Yes, because by accepting the chair, X Corporation has ratified the contract between Rita and Best Chair Company.

On April 1, Aiden as the employee of X Corporation enters into a contract with M&M Mars to buy 2,500 cases of Snickers Bars. Aiden does not have ANY actual or apparent authority to enter into this contract. On April 15, the Snickers Bars arrive at the loading dock and the Senior Vice President questions whether X Corporation ordered the candy bars, but decides that she can use them at the next employee function, so X Corporation keeps the candy. Under the contract, payment was due 30 days after the date of the contract. When must X Corporation pay M&M Mars for the candy?

By May 1

Assume that A, who has actual authority, enters into a contract with T on behalf of A’s undisclosed principal, P. If T discovers the existence and identity of P, whom may T hold to performance of the contract?

P only

A only

Neither A nor P

A or P but not both

A or P but not both

The reason an Agent, when that Agent has Actual Authority, is bound to a contract when that Agent is acting for an Unidentified or Undisclosed Principal is because:

The third party does not know who the principal is or that a principal exists. To form a valid contract, the third party needs to know the identity of someone for the other party to the contract, otherwise, the third party would not know who to enforce the contract against.

The reason an Agent for an Undisclosed Principal CANNOT have Apparent Authority is:

Apparent Authority requires that the Principal's conduct has led the Third Party to reasonably believe that the Agent has Actual Authority. Apparent Authority cannot exist when the Third Party does not know a Principal is involved. The Third Party believes the Agent is acting on the Agent's own behalf.

Which of the following signature blocks is the best signature block for an agent to use when signing on behalf of their principal and to avoid the agent having personal liability under the contract.

Assume:

Jason S. Smith is President of XYZ Corporation and is signing the contract on behalf of XYZ Corporation.

XYZ Corporation

By: ____________________________

Name: Jason S. Smith

Title: President

Anthony is an employee of Waco Water Company and his job is to turn off the water to water customers who are delinquent on their water bill. Waco Water instructs Anthony to turn off the water at Timothy's Plants and Trees because Waco Water mistakenly believes Timothy's is delinquent on paying their water bill. Anthony goes to Timothy's and turns off the water. Timothy's large inventory of plants and trees dies due to the lack of water. Timothy's wants to sue for the value of the plants and trees that died. Which of the following statements is correct regarding this situation:

Timothy's can sue and collect only from Waco Water Company.

Anthony will be liable to Timothy's for Anthony's committing an intentional tort. Waco Water Company will also be liable to Timothy's because Waco Water authorized Anthony's commission of the intentional tort.

Waco Water Company will have no liability to either Anthony or Timothy.

Anthony will be liable to Timothy's for Anthony's committing an intentional tort. Waco Water Company will also be liable to Timothy's because Waco Water authorized Anthony's commission of the intentional tort.

Page Company instructs its employee Ed to deliver merchandise to Page’s customers. While driving the company’s truck on his way to make a delivery, Ed negligently causes the truck to hit Tim’s car, also injuring Tim.

Page is not liable to Tim because Ed was not acting within the scope of employment.

Page is not liable to Tim because Ed is an employee.

Page is liable to Tim because Ed was acting within the scope of employment.

Page is not liable to Tim because Ed is an independent contractor.

Page is liable to Tim because Ed was acting within the scope of employment.

Page and Company hires its employee Ed to deliver merchandise to Page’s customers. After making the scheduled deliveries, Ed drives the company’s truck to a nearby city to visit his girlfriend. While in the nearby city, Ed negligently causes the truck to hit Tony’s car and injure Tony. Which of the following statements is correct regarding this situation?

Page is not liable to Tony because Ed is really an independent contractor.

Page is not liable to Tony because Ed was not acting within the scope of employment.

None of these answers are correct.

Page is liable to Tony because Ed was acting within the scope of employment.

Page is not liable to Tony because Ed was not acting within the scope of employment.

During which of the following trips would the employee most likely be held to be "within the scope of employment"?

Employee bank president, leaves the bank location to drive to a customer's office. The bank president plans to meet with the customer and then take the customer to lunch. On the way to the customer's office, the bank president negligently runs a red light and smashes into Natalie's car.

After work, employee bank president decides to meet several personal friends for dinner. On the way home from dinner, the bank president negligently runs a red light and smashes into Natalie's car.

On employee bank president's way to work, the bank president negligently runs a red light and smashes into Natalie's car.

Employee bank president, leaves the bank location to drive to a customer's office. The bank president plans to meet with the customer and then take the customer to lunch. On the way to the customer's office, the bank president negligently runs a red light and smashes into Natalie's car.

The doctrine of _______________________ imposes liability on an employer, when that employer's employee commits an unauthorized tort within the employee's scope of employment.

Respondeat superior

Patrick hires Charles to cut down a large tree in Patrick's yard. Patrick knows that Charles does not have any experience with tree removal, but uses Charles because Charles' rates are very low. Patrick leaves town for 2 months. The next week during the removal process and due to Charles' negligence, the tree falls on Patrick's neighbor's house. Will Patrick be liable to Patrick's neighbor for the damage caused when the tree fell on the neighbor's house?

Yes, because Patrick negligently retained (hired) Charles, Patrick will be liable for the damages caused by Charles' negligence.

Yes, because Charles is Patrick's employee.

No, because Patrick is an independent contractor and not an employee.

Yes, because Patrick is liable under the doctrine of respondeat superior.

No, because Patrick was not the one who committed the negligence during the tree removal.

Yes, because Patrick negligently retained (hired) Charles, Patrick will be liable for the damages caused by Charles' negligence.

Which of the following statements is TRUE concerning Disparate Treatment discrimination that violates the Civil Rights Act of 1964?

Once a plaintiff has established a prima facie case of discrimination on a disparate treatment theory, and the defendant has articulated a legitimate and non-discriminatory reason for the discrimination, a plaintiff may still win.

A "prima facie showing" by the Plaintiff in a Disparate Treatment Case takes into account not only the evidence presented by the Plaintiff, but also evidence presented by the Defendant.

The Business Necessity Defense is available in a Disparate Treatment Case.

Disparate Treatment is a type of discrimination that arises from seemingly neutral rules that adversely affect a protected class and are not justified as being necessary to the business.

Once a plaintiff has established a prima facie case of discrimination on a disparate treatment theory, and the defendant has articulated a legitimate and non-discriminatory reason for the discrimination, a plaintiff may still win.

Nancy is a black 25 year old woman. She applies for a job for which she is qualified, but is denied the job. Nancy hears through the grapevine that she was denied the job because of her race and gender. What are Nancy's options?

Nancy cannot bring a claim against the potential employer for Disparate Treatment under the CRA of 1964 because she has to be an employee.

Nancy should file her charge with EEOC before the expiration of either 180 or 300 days after she was denied the job. She will not be required to prove that the potential employer discriminated against her to prove her prima facie showing.

Nancy, to prove her prima facie showing to prove Disparate Treatment discrimination must prove that the potential employer denied her the job because she was either black, a woman or both.

She can immediately sue the potential employer in a court for Disparate Treatment under the Civil Rights Act of 1964.

Nancy should file her charge with EEOC before the expiration of either 180 or 300 days after she was denied the job. She will not be required to prove that the potential employer discriminated against her to prove her prima facie showing.

Edward works in the office of ABC.. Over the past year, his direct supervisor, Susan, has constantly called Edward "stupid", screams obscenities at him on a daily basis and generally makes Edward's life at work miserable. Susan's supervisor observes Susan calling Edward "stupid" and cussing at him. Bob pulls Susan aside and tells her to stop this behavior. ABC requires every employee to take anti-harassment training and the compliant harassment reporting procedures are on a poster on the wall next to Edward's desk. Susan continues her harassment of Edward, but no longer harasses him in public or with witnesses. Edward never contacts anyone and toughs out the situation. When Bob follows up, Edward replies "I could not ask for a better boss". ABC, Inc.'s best argument against being held liable Edward under Title VII of the Civil Rights Act of 1964 is:

ABC can asset the defense to Hostile Workplace harassment by proving that ABC took no tangible adverse job action against Edward, ABC exercised reasonable care to prevent and correct the harassment and Edward unreasonably failed to report the harassment.

Josh works in the warehouse of Bear Corporation. Josh dislocated his shoulder while at work, went through surgery, and has been released for all activity related to his job at Bear Corporation. Josh was passed over for a promotion because his employer, despite Josh's doctor's release, was worried that Josh would not be able to meet the physical demands of the job due to his prior injury,. Josh sues Bear under the American with Disabilities Act (ADA) for discrimination. What is the most likely outcome?

Josh does not have an actual disability so he cannot recover under the ADA against Bear.

Because Josh was not offered a reasonable accommodation, Bear will be liable under the ADA.

Because Bear regarded Josh as having a disability and discriminated against him because of their belief, Josh should be able to recover damages under the ADA against Bear.

Because Bear regarded Josh as having a disability and discriminated against him because of their belief, Josh should be able to recover damages under the ADA against Bear.

Which of the following statements is TRUE?

All of these statements are TRUE.

All Seniority Systems used to make employment decisions are illegal under the Civil Rights Act of 1964.

The following criteria used by an employer making an employment decision are prohibited under Title VII of the Civil Rights Act of 1964: Race, Color, Gender, Religion, National Origin and Sexual Orientation.

Under the Pregnancy Discrimination Act of 1978, an employee returning from maternity leave is entitled to the same job they had prior to maternity leave.

The following criteria used by an employer making an employment decision are prohibited under Title VII of the Civil Rights Act of 1964: Race, Color, Gender, Religion, National Origin and Sexual Orientation.

Which of the following statements concerning the EEOC is TRUE?

If an employee wants to file a claim against his employer for discrimination under the Civil Rights Act of 1964, the employee must file a charge with the EEOC on or before the expiration of 2 years from the occurrence of the incident giving rise to the claim for discrimination.

If an employee wants to file a claim against his employer for discrimination under the Equal Pay Act, the employee must file a charge with the EEOC on or before the expiration of between 180 or 300 days from the occurrence of the incident giving rise to the claim for discrimination.

If an employee wants to file a claim against his employer for discrimination under the American with Disabilities Act, the employee must file a charge with the EEOC on or before the expiration of between 180 or 300 days from the occurrence of the incident giving rise to the claim for discrimination.

If an employee wants to file a claim against his employer for discrimination under the American with Disabilities Act, the employee must file a charge with the EEOC on or before the expiration of between 180 or 300 days from the occurrence of the incident giving rise to the claim for discrimination.

*equal pay not req to file charge

*CRA inquiry first

Which of the following statements is TRUE regarding the EEOC process related to a discrimination claim?

A ruling made by the EEOC that is unfavorable to a party cannot be later tried and reversed in a court.

An employee who files the charge, may request the EEOC for a Notice of Right to Sue ("Notice") prior to the final EEOC ruling. If such Notice is granted the employee must file their lawsuit with a court within 2 years of receiving the Notice.

An employee who files the charge, may request the EEOC for a Notice of Right to Sue ("Notice") prior to the final EEOC ruling. If such Notice is granted the employee must file their lawsuit with a court within 90 days of receiving the Notice.

The EEOC process to investigate and process a charge filed by an Employee is done without notice to the Defendant Employer.

An employee who files the charge, may request the EEOC for a Notice of Right to Sue ("Notice") prior to the final EEOC ruling. If such Notice is granted the employee must file their lawsuit with a court within 90 days of receiving the Notice.

Which of the following statements regarding the Civil Rights Act of 1964 is TRUE?

Title VII of the Civil Rights Act of 1964 prohibits employment discrimination on the basis of race, color, gender, religion, or national origin in only the hiring related process.

In a disparate impact case, the Civil Rights Act of 1964 provides that if an employer can prove the "business necessity" of a challenged employment practice, the plaintiff cannot win.

Title VII of the Civil Rights Act of 1964 prohibits discrimination based on age.

Sexual Harassment is not prohibited as discrimination based on gender by Title VII of the Civil Rights Act of 1964.

The Pregnancy Discrimination Act extended the benefits of Title VII of the Civil Rights Act to pregnant women.

The Pregnancy Discrimination Act extended the benefits of Title VII of the Civil Rights Act to pregnant women.

In choosing a new CEO, Big Corporation only considers female candidates.

Disparate Treatment

Big Health Clinic sets a policy forbidding the use of Spanish in the workplace.

Disparate Impact

Big Health Hospital only hired female nurses from 1970 until 2015. In 2015, Big Health Hospital started hiring male nurses. Big Health promotes nurses based on seniority.

Present Effects of Past Discrimination

Which of the following statements is TRUE regarding the prohibition of retaliation behavior under the Civil Rights Act of 1964?

Retaliation behavior occurring outside and in the workplace is prohibited.

Only Retaliation behavior occurring outside of the workplace is prohibited.

Retaliation behavior occurring outside of the workplace is NOT prohibited.

Retaliation behavior is NOT prohibited under the Civil Rights Act of 1964.

Retaliation behavior occurring outside and in the workplace is prohibited.

Which of the following situations would most likely result in a violation of the Civil Rights Act of 1964?

A short man was denied employment as a busboy.

A company with 10 employees, only doing business in Texas refuses to hire a black engineer who is the only qualified candidate.

A two-man partnership with two employees refused to hire a qualified Mormon attorney.

A black electrical engineer was denied a job for which she was the only qualified candidate.

A black electrical engineer was denied a job for which she was the only qualified candidate.

Which of the following defenses does not apply to discrimination based on race?

A bona fide occupational qualification.

Compensation based on performance results.

A bona fide seniority system.

A professionally developed ability test.

A bona fide occupational qualification.

This Defense is usually based on the employer's need for authenticity, privacy needs or safety needs.

Bona Fide Occupational Qualification

This Defense requires a non-discriminatory test.

Professionally Developed Ability Test

To meet this Defense, the employer cannot have discriminated against prior employees resulting in Present Effects of Past Discrimination.

Bona Fide Seniority System

This Defense requires an objective evaluation system.

Compensation Based on Performance Results

This defense only applies in discrimination cases involving alleged Disparate Impact.

Business Necessity

Which one of the following statements is TRUE regarding the Equal Pay Act?

The Equal Pay Act has been interpreted by the courts to require equal pay for men and women based upon the concept of "substantially equal" rather than identical work.

A Plaintiff suing for a violation of the Equal Pay Act is required to first file a charge with the EEOC.

The Equal Pay Act applies to different jobs that are comparable as well as to jobs that are equal jobs.

The Equal Pay Act prohibits an employer from discriminating between employees on the basis of race, color, sex, religion, or national origin by paying unequal wages for equal work.

Claims of unequal pay for jobs of comparable worth may be brought under the Equal Pay Act.

The Equal Pay Act has been interpreted by the courts to require equal pay for men and women based upon the concept of "substantially equal" rather than identical work.

Which of the following statements is TRUE?

An employee may be awarded punitive damages from the employer for a violation of the Civil Rights Act of 1964.

Comparable Worth is a type of claim filed under the Equal Pay Act.

A claim under Comparable Worth requires that the plaintiff employee prove that the plaintiff has a job equal in skill, effort, responsibility to the job of another employee of the opposite sex who is paid more than the plaintiff.

An employee CANNOT be awarded punitive damages from the employer for a violation of the Civil Rights Act of 1964.

An employee may be awarded punitive damages from the employer for a violation of the Civil Rights Act of 1964.

Which of the following statements is TRUE concerning either Quid Pro Quo or Hostile Workplace harassment?

The employer will be liable under both Quid Pro Quo and Hostile Workplace harassment if the harasser is a vendor or independent contractor of the employer.

Both Quid Pro Quo and Hostile Workplace must be sexual in nature.

One action by an employee can give rise to Quid Pro Quo harassment, but Hostile Workplace requires that the harassment be pervasive and consistent over a time period.

To hold the employer liable, both Quid Pro Quo and Hostile Workplace harassment require that the harassed victim be an employee of the employer.

One action by an employee can give rise to Quid Pro Quo harassment, but Hostile Workplace requires that the harassment be pervasive and consistent over a time period.

Which of the following statements is TRUE regarding the eligibility for an employer to assert a defense to sexual harassment?

To be eligible to assert the defense, the employer cannot have actual knowledge of the harassing behavior. The employer can still assert the defense, even if the employer should have known of the harassing behavior.

If the harassing employee is a high ranking employee or the supervisor of the harassed employee, the employer will NOT be imputed with knowledge of the harassment due to the position of the high ranking employee/supervisor.

A defense can only be asserted for Quid pro Quo and not Hostile Workplace harassment.

To be eligible to assert the defense, the employer cannot have taken a tangible adverse employment action against the harassed employee.

To be eligible to assert the defense, the employer cannot have taken a tangible adverse employment action against the harassed employee.

The Recreation and Parks Agency of the state government has six employees and is interviewing for a person to teach gymnastics and arts and crafts to 3-5 year old children. Ed, age 71, applies but is told he is too old. Ed has mobility issues and can barely walk and he has never taught much less done gymnastics. If Ed sues under the Age Discrimination in Employment Act (the Act), the Agency's best defense would be that:

the agency, as part of state government, is not subject to the Act

Ed is not able to do and has no knowledge of gymnastics.

they are not subject to the Act since they only have six employees

The Act does not apply since Ed is over 70.

Ed is not able to do and has no knowledge of gymnastics.

BEST claim for discrimination under the ADA?

A. Taylor had a stroke and can't drive. Taylor lives 30 miles from work and there is no public transportation. Taylor's job is to receive telephone calls. During the pandemic, all employees worked from home and all meetings are held by Zoom.

Taylor has requested an accommodation, her employer refused and fired her.

B. Taylor had a stroke and now cannot drive. Taylor lives 30 miles from her place of work and there is no public transportation available. Taylor's job is an emergency room nurse. During the pandemic all emergency room employees (including Taylor) were required to report to the hospital for work.

Taylor requested an accommodation to work from home doing a data entry job instead of working as a nurse. Her employer refused and fired her.

A

Which of the following statements is TRUE regarding the American with Disabilities Act (ADA)?

The ADA only applies to discrimination in employment due to disability.

An employer is required to make the exact accommodation requested by the employee to comply with the ADA.

The person claiming discrimination under the ADA must currently have a disability as defined in the ADA.

Since alcoholism is a disability under the ADA, an employee is allowed to drink on the job.

If a person cannot perform the essential functions of a job with a reasonable accommodation, the employer will not violate the ADA by not hiring such person.

If a person cannot perform the essential functions of a job with a reasonable accommodation, the employer will not violate the ADA by not hiring such person.

Which of the following statements is correct regarding termination of an "at will" employee?

If the employer terminates the employee for reporting the employer for violation of OSHA safety regulations, the employee will most likely NOT have a claim against the employer for wrongful termination.

If the employer terminates the employee for "good cause" with no prior notice, but the employer has historically given employees a 90 day probationary period to remedy issues similar to those of this employee, the employee will NOT have a claim against the employer for wrongful termination.

The employer can only terminate an "at will" employee for good cause.

If the employer had no "cause" to terminate the employee but terminated the employee because the employer needs to cut the number of employees for budget reasons, the employer will most likely NOT be liable for wrongful termination.

If the employer had no "cause" to terminate the employee but terminated the employee because the employer needs to cut the number of employees for budget reasons, the employer will most likely NOT be liable for wrongful termination.

Which of the following statements is TRUE?

An employer cannot force you to disclose a disability in the Pre-Offer Period.

An employee may take leave up to 12 weeks under the Family Medical Leave Act at any time after they are hired.

If you have voluntarily disclosed to a potential employer that you have a disability (but have not given specifics), in the Post-Offer Period an employer can ask about whether you have have a specific disability.

The WARN Act allows for at-will employees to be immediately dismissed if a large (over 100 full time employees) plant closing.

An employer cannot force you to disclose a disability in the Pre-Offer Period.

Which of the following employees would be Non-Exempt and therefore entitled to overtime pay?

Employee works in California and makes an annual salary of $55,000. The employee is paid regardless of quantity worked. Employee is classified as a professional. professional.

Employee works in Texas and makes an annual salary of $37,000. The employee is paid if regardless of quantity worked. Employee manages 3 other employees.

Employee works in New York and makes an annual salary of $40,000. The employee is paid regardless of quantity worked. Employee manages 1 other employee and has decision making authority.

Employee works in New York and makes an annual salary of $40,000. The employee is paid regardless of quantity worked. Employee manages 1 other employee and has decision making authority.

Which of the following administrative agencies DOES NOT have authority over employment related matters.

Department of Labor

All of the listed agencies have authority over employment related matters.

Occupational Health and Safety Administration

Equal Employment Opportunity Commission (EEOC)

All of the listed agencies have authority over employment related matters.

Gladys is a 58-year-old female welder who works on the construction of commercial airplanes. She lost 70% of her hearing in a work-related accident last year due to unsafe working conditions. Gladys was recently fired and wants to sue for discrimination. Which law is NOT implicated by these facts?

Americans with Disabilities Act

Occupational Safety and Health Act

Age Discrimination in Employment Act

All of these laws are potentially implicated by these facts.

Title VII of the Civil Rights Act of 1964

All of these laws are potentially implicated by these facts.

Before the Occupational Safety and Health Administration (OSHA) can issue a legislative rule regarding safety in the workplace, it must:

OSHA must take all the actions listed in these answers prior to the issuance of a regulation.

provide an opportunity for interested parties to participate in the rulemaking.

publish the regulation in the Code of Federal Regulations.

determine that Congress supports the regulation.

provide an opportunity for interested parties to participate in the rulemaking.

Which of the following types of administrative rules/regulations must be adopted in compliance with the Administrative Procedures Act (APA) requiring notice and an opportunity to be heard?

All these Rules must be adopted in accordance with the APA.

Legislative Rules

Interpretive Rules

Procedural Rules

Legislative Rules

If the FTC rule banning most covenants not to compete is determined to be enforceable by the US Supreme Court, the rule will make which of the following covenants not to compete unenforceable?

C. A Covenant Not to Compete entered into November 11, 2025, prohibiting a senior executive with policy making duties making $200,000 from post employment competition.

A and C will both be unenforceable under the FTC rule.

B and C will both be unenforceable under the FTC rule.

D. A Covenant Not to Compete entered into September 12, 2023 prohibiting a senior executive with policy making duties making $200,000 from post employment competition.

B. Covenants Not to Compete associated with the sale of a business and restricting the employees of the business from competing.

A. Covenants Not to Compete associated with the sale of a business and restricting the owner(s) of the business from competing.

B and C will both be unenforceable under the FTC rule.

The Court that acted to make the FTC rule banning most covenants not to compete unenforceable based its ruling on its opinion that ______(1)_______ and ordered an ____(2)_____ to block the enforcement of the rule nationwide.

(1) the FTC exceeded its statutory authority in enacting the rule

(2) injunction

Which of the following statements is TRUE?

A lump sum payment will constitute proper consideration to support a covenant not to compete in Texas.

Some states ban all post-employment covenants not to compete.

A severability clause is used in a contract containing a covenant not to compete to encourage the court to declare the entire contract is against public policy and therefore, is unenforceable.

Some states ban all post-employment covenants not to compete.

Congress creates an administrative agency in an ___(1)____ and the President creates an administrative agency in an ___(2)___.

(1) Enabling Statute

(2) Executive Order

Which of the following is NOT a power that can be granted to an administrative agency?

Adjudication Powers.

Rulemaking Power

Power to enact statutes.

Investigation and Enforcement Power

Power to enact statutes.

Which of the following is a CORRECT statement concerning administrative agencies?

The enabling statutes creating the administrative agency are typically very detailed about the specific duties of the agency.

An administrative agency must be given investigation and enforcement power.

An administrative agency may adopt its own procedure to enact legislative rules and regulations.

Administrative Agencies are usually given authority to act in a certain area and have no authority to act outside that area.

Administrative Agencies are usually given authority to act in a certain area and have no authority to act outside that area.

The Administrative Procedures Act requires an administrative agency to:

Choose the most complete answer.

Only A and B are correct.

A, B and C are correct.

B. publish the proposed rule and rationale in the Federal Register.

C. make all adopted rules and regulations immediately effective when published in the Federal Register.

A. develop and publish rationale for proposed rules or regulations.

Only A and B are correct.

Which of the following arguments are effective arguments to convince a court to strike down a regulation adopted by an administrative agency?

A. In adopting the regulation, the administrative agency did not follow the procedure required by the Administrative Procedures Act.

B. The rationale behind the rule and regulation is incomplete.

C. Compliance with the regulation is going to be very expensive.

All these answers are effective arguments.

A, B, D and E are all effective arguments.

D. The administrative agency acted outside its powers as given by Congress or the President.

E. The regulation is unconstitutional.

A, B, D and E are all effective arguments.

Which of the following statements is TRUE?

The parties to an adjudication proceeding at an administrative agency generally have a right to a jury.

Administrative agencies having investigative and enforcement powers are generally not required to obtain a warrant to search a facility.

Administrative agencies having investigative and enforcement powers must still obtain a warrant to search a facility.

The decision of an administrative agency having adjudication powers cannot be appealed and is final.

Administrative agencies having investigative and enforcement powers must still obtain a warrant to search a facility.

Which of the following statements is TRUE concerning the recent change to interpretive powers of administrative agencies?

An administrative agency's interpretation of a regulation adopted by that agency is binding.

Administrative agencies have no power to interpret the enabling statutes that created that agency.

When interpreting a statute creating an agency, courts must defer to the interpretation of that statute by the applicable agency.

Courts have the primary power to interpret the statutes that create an agency and do not have to defer to the agency's interpretation of that statute.

Courts have the primary power to interpret the statutes that create an agency and do not have to defer to the agency's interpretation of that statute.

Which of the following statements is false?

Covenants Not to Compete entered into by the Seller of a business typically can be longer and broader than post-employment covenants

A Non-disclosure Obligation can last longer than a Covenant Not to Compete.

A Covenant Not to Compete cannot prohibit you from investing in a competitor.

A Covenant Not to Compete is a type of Restraint on Trade and therefore, courts will review the covenant to determine if it is against public policy.

F: A Covenant Not to Compete cannot prohibit you from investing in a competitor.

Tyler owns a very successful car wash and detailing business located in Waco. Jeremy wants to buy, but does not want Tyler to open a competing car wash or detailing business to compete with Jeremy. Which of the below listed Covenants Not to Compete would be the most likely to be enforced by a court?

You may assume that Jeremy pays Tyler the entire purchase price when the sale closes, such payment should give Tyler a comfortable living for 20 years.

Tyler agrees he will not work or participate in a car wash and detailing business located within the State of Texas for 3 years after Jeremy buys Tyler's business.

Tyler agrees he will not work or participate in a car wash and detailing business located within 60 miles for 50 years after Jeremy buys Tyler's business.

Tyler agrees he will not work or participate in a car wash and detailing business located within 60 miles for 3 years after Jeremy buys Tyler's business.

Tyler agrees he will not work or participate in a car wash and detailing business located within 60 miles for 3 years after Jeremy buys Tyler's business.

A court has just determined a Covenant Not to Compete contained in a Business Sale Agreement prohibiting the Seller from competing is unreasonable. Put yourself in the shoes of the Buyer and then the Seller. Choose the below answer that is the most complete and best result for either the Buyer or the Seller, as indicated.

You may assume the Sales Price is fair and that both parties have invested significant resources to close the sale.

Buyer: Ask the court to limit the Covenant Not to Compete to terms which the Court believes are reasonable.

Seller: Ask the court to enforce the Business Sale Agreement, but remove the Covenant Not to Compete.