B. law exam 2

chapter 5, lectures, chapter 26, chapter 24,

When was the Sarbanes Oxley act passed?

2002

What is egregious conduct?

Acting negligent/dangerous/careless intentionally

What does the SOX act do?

regulates corp. financial reporting. Meant to protect shareholders of publicly traded companies

What is the Contributory negligence defense?

Plaintiff’s negligence = bar to recovery

What is the Comparative negligence defense?

→ Pro rata allocation [Proportionate]

True or False: If a plaintiff has negligence in a civil case (contributory negligence) they can still make a recovery in trial.

False. A plaintiff’s negligence is a complete bar to recovery

Exempt assets

Untouchable assets/personal property that can be taken away

What is an insurer?

The insurance company

What is the insured?

The person who purchases insurance and is covered by it

What is a premium?

The price to pay for insurance

What is an exclusion? (regarding insurance)

Things not covered by an insurance policy. Can be items, perils,

What is a deductible? (regarding insurance)

the out of pocket amount you pay for an insurance claim

What is it called when a person chooses to be uninsured?

“go bare” “fly naked”. You carry the liability

What is lawsuit insurance?

Insurance that protects an entity from lawsuits brought against them

What is an exclusion?

Items and Perils NOT covered in an insurance policy

What is the purpose of deductibles?

Helps insurance companies avoid small claims from the insured. Encourages the insured to practice more care

What is a contract of adhesion?

Non-negotiable contract,

What are some exempt assets?

• Retirement plan

• Social security benefits

• Veteran’s benefits

• Welfare ““

• 1 vehicle (up to $4000 in equity)

• Personal property of defendants choice up to $7k

• Homestead exemption up to $430,000

• professional equipment up to $4,500

What does an LLC protect?

Liability and losses of personal property and assets for the owner.

True or false: You have to use the same agent and insurer for protection

False

What is CGL?

Commercial General liability.

True or false: Personal and business protection cover an entity of their action is intentional

False. Protection doesn’t protect from negligence