Business Law: Text & Cases, Chapter 4
The Alternative Energy Association would like a certain law enacted, administered, interpreted, and enforced in the best interest of its members, which include solar power companies. Under the Constitution, Congress
a. administers the laws.
b. enforces the laws.
c. interprets the laws
d. enacts the laws.
d. enacts the laws.
The Constitution sets out the authority and the limits of the branches of the government. The term checks and balances means that
a. Congress writes checks and the other branches balance the budget.
b. each branch has some power to limit the actions of the others.
c. the courts balance their authority to the other branches’ checklists.
d. the president “checks” the courts, which “balance” the laws.
b. each branch has some power to limit the actions of the others.
The Constitution sets forth specific powers that can be exercised by the federal government and provides that the federal government has the implied power to undertake actions necessary to carry its expressly designated powers. All other powers are expressly reserved to
a. the courts.
b. the states.
c. Congress.
d. the people.
b. the states.
Under the commerce clause, Congress has the power to regulate
a. any commercial activity in the United States that substantially affects interstate commerce.
b. only activities that are in intrastate commerce.
c. only activities that are in local commerce.
d. only activities that are not in commerce.
a. any commercial activity in the United States that substantially affects interstate commerce.
National Hospital Organization (NHO), a political lobbying group, wants a certain healthcare cost-reimbursement policy enacted into law. If NHO’s policy conflicts with the U.S. Constitution, a law embodying it can be imposed by
a. Congress.
b. a federal court.
c. the President.
d. none of the choices.
d. none of the choices.
The state of Massachusetts regulates employment, traffic, land use, and other private activities to protect or promote the public order, health, safety, and general welfare under
a. the state’s police powers.
b. the federal government’s authority to regulate commerce.
c. the Bill of Rights.
d. the supremacy clause.
a. the state’s police powers.
A statute enacted by the Arizona state legislature to regulate trucking affects interstate commerce. In evaluating this statute, the courts will balance the burden that it imposes on interstate commerce against
a. the courts’ authority to determine that a law is unconstitutional.
b. the purpose of interstate commerce.
c. the state’s interest in regulating the matter.
d. the statute’s impact on noneconomic activity.
c. the state’s interest in regulating the matter.
Orinoco.com, an online seller of a variety of consumer streaming products, files a suit against the state of Nevada, claiming that a Nevada state law violates the commerce clause. The court will agree if the statute imposes a substantial burden on
a. the local government.
b. interstate commerce.
c. noneconomic activity.
d. the state.
b. interstate commerce.
The commerce clause’s implied limitation of a state’s right to legislate in the area of interstate commerce is the:
a. dormant aspect.
b. regulatory aspect.
c. substantive aspect.
d. exclusive aspect.
a. dormant aspect.
A rule promulgated by the Environmental Protection Agency (EPA) limits the amount of carbon that can be emitted from a car’s exhaust system. New York has a state law that allows for much higher emissions. In this situation, under the supremacy clause:
a. New York's law takes precedence.
b. the EPA's decision takes precedence.
c. both laws are struck down as invalid.
d. both laws are applied concurrently.
b. the EPA's decision takes precedence.
A federal law prohibiting the use of a certain pesticide directly conflicts with a state law permitting that use. The state law will be rendered invalid due to
a. the supremacy clause.
b. the commerce clause.
c. the equal protection clause
d. the due process clause.
a. the supremacy clause.
Brad, a citizen of California, obtains a federal license to operate a commercial fishing boat in a certain area off the coast. The California state legislature enacts a law that bans all commercial fishing in that area. The state law most likely violates
a. no provision in the U.S. Constitution.
b. the commerce clause.
c. the due process clause.
d. the supremacy clause.
d. the supremacy clause.
Bob claims that certain action by the federal government and the state of Delaware infringe on rights guaranteed by the Bill of Rights in the United States Constitution. These rights protect individuals and some corporations from:
a. the actions of other citizens.
b. the actions of private employers.
c. none of these choices.
d. from the actions of the government.
d. from the actions of the government.
George burns a U.S. flag in his backyard. He posts a video of the event on YouTube.com. George’s actions are
a. expressly prohibited by the Constitution.
b. protected by the First Amendment.
c. subject to reasonable restrictions under the due process clause.
d. given strict scrutiny under the equal protection clause.
b. protected by the First Amendment.
Keralyn creates a Web site to post threatening messages about celebrities. The First Amendment protects such speech
a. all of the time.
b. none of the time.
c. only if it is noncommercial.
d. only if it is symbolic.
b. none of the time.
The Rapid Transit Institute wants the federal government to spend money on inner city and inter-city light rail systems. Congress can spend revenue
a. only to carry out Congress’s enumerated powers.
b. to promote any objective that Congress deems worthwhile.
c. without regard to whether the expenditure violates the Bill of Rights.
d. without regard to whether the expenditure violates the Constitution.
b. to promote any objective that Congress deems worthwhile.
Ryan, a follower of a certain religion, sells an article to Sunday! magazine in which he insists that Congress base all federal law on his religious principles. The First Amendment guarantees Ryan’s
a. freedom of religion.
b. right to engage in interstate commerce.
c. right to due process.
d. right to privacy.
a. freedom of religion.
The members of Citizens Aware believe that a recently enacted federal law is unconstitutional. They write and sign a petition to the government to repeal the law, refuse to obey the law, and stop others from complying with the law. Under the First Amendment, citizens have a right to
a. petition the government.
b. refuse to obey any law with which they disagree.
c. stop others from complying with the law.
d. all of the choices.
a. petition the government.
Lake City enacts an ordinance that bans the distribution of all printed materials on city streets. Mac opposes the city’s latest “revenue-enhancing” measure and wants to protest by distributing handbills. In his suit against Lake City, a court would likely hold the ban on printed materials to be
a. constitutional under the First Amendment.
b. not subject to the U.S. Constitution.
c. unconstitutional under the commerce clause.
d. unconstitutional under the First Amendment.
d. unconstitutional under the First Amendment.
Mary creates a design that expresses support for a particular presidential candidate and distributes t-shirts emblazoned with the design to the candidate’s supporters. This is an example of
a. unprotected speech.
b. controlled speech.
c. symbolic speech.
d. illegal speech.
c. symbolic speech.
A federal law requires public libraries to install filtering software on computers to prevent children from accessing adult content online. This law
a. is expressly prohibited by the Constitution.
b. does not substantially burden free speech.
c. is subject to reasonable restrictions under the due process clause.
d. is given strict scrutiny under the equal protection clause.
b. does not substantially burden free speech.
Sustainable Agro Corporation regularly expresses opinions on political issues, including whether to ban the use of genetically modified organisms (GMOs). Under the First Amendment, corporate political speech is
a. discouraged.
b. forbidden.
c. protected.
d. required.
c. protected.
South Carolina enacts a statute to ban advertising in “bad taste.” This statute would likely be held by a court to be
a. an unconstitutional restriction of speech.
b. constitutional under the First Amendment.
c. justified by the need to protect individual rights.
d. necessary to protect national interests.
a. an unconstitutional restriction of speech.
Serene City enacts an ordinance that bans the use of “sound amplifying systems” on public streets. Tyler wants to campaign for a seat on the city council by broadcasting his message through speakers mounted on a truck. In Tyler’s suit against the city, a court would likely hold the ordinance to be
a. an unconstitutional restriction of speech.
b. constitutional under the First Amendment.
c. justified by the need to protect individual rights.
d. necessary to protect national interests.
b. constitutional under the First Amendment.
Taco Hot Dogs, Inc., regularly advertises its products. Under the First Amendment, in comparison with noncommercial speech, the protection given these ads is
a. equally extensive.
b. less extensive.
c. more extensive.
d. non-existent.
b. less extensive.
Congress enacts the Ad Restriction Act (ARA) to limit advertising in certain circumstances. The ARA will be considered valid if it directly advances a substantial government interest
a. and goes no further than necessary to achieve its purpose.
b. without regard to how “far” it goes.
c. and the parties affected by it can elect how “far” to go in applying it.
d. and goes further than necessary to ensure full coverage.
a. and goes no further than necessary to achieve its purpose.
Loren stands in front of Rooster’s Round-Up Café, shouting “fighting words” that are likely to incite Rooster’s patrons to respond violently. The First Amendment protects such speech
a. all of the time.
b. none of the time.
c. only if it is noncommercial.
d. only if it is symbolic.
b. none of the time.
Adult Shop in Bay City sells a variety of publications, including child pornography. Bay City enacts an ordinance prohibiting the sale of such materials. This ordinance is most likely
a. an invalid restriction of individuals’ privacy.
b. an unconstitutional restriction of speech.
c. a violation of adults’ rights to enjoy certain privileges.
d. constitutional under the First Amendment.
d. constitutional under the First Amendment.
The police obtain a search warrant and search Jordan’s apartment. After yelling obscenities at the officers, Jordan confesses to a crime and implicates his friends. The Constitution protects against
a. obscene speech.
b. implication of others.
c. unreasonable searches.
d. none of the choices.
c. unreasonable searches.
Oklahoma enacts a law requiring all businesses in the state to donate 10 percent of their profits to Protestant churches that provide certain services to persons whose income is below the poverty level. Price-Lo Stores files a suit to block the law’s enforcement. The court would likely hold that this law violates
a. no clause in the U.S. Constitution.
b. the establishment clause.
c. the free exercise clause.
d. the supremacy clause.
b. the establishment clause.
Marie claims that a Nebraska state statute infringes on her “procedural due process” rights. This claim focuses on
a. procedures used in making decisions to take life, liberty, or property.
b. the content of the statute.
c. the similarity of the treatment of similarly situated individuals.
d. the steps to be taken to protect Marie’s privacy.
a. procedures used in making decisions to take life, liberty, or property.
Coffee Klatch Party Group, a political organization, files a claim to challenge a Delaware statute that limits the liberty of all persons to broadcast “annoying” radio commercials. This claim is most likely based on the right to
a. equal protection of the law.
b. privacy.
c. procedural due process.
d. substantive due process.
d. substantive due process.
Center City enacts an ordinance that imposes a jail term, without a trial, on all contractors who solicit business without a city permit. A court would likely review this ordinance under the principles of
a. equal protection.
b. free exercise.
c. due process.
d. free speech.
c. due process.
In an effort to reduce traffic, Bay Town enacts an ordinance that allows only a few specific street vendors to operate in certain areas. A court would likely review this ordinance under the principles of
a. the commerce clause.
b. the equal protection clause.
c. the due process clause.
d. the First Amendment.
b. the equal protection clause.
Jon, a law enforcement official, monitors Kelsey’s Internet activities—e-mail and Web site visits—to gain access to her personal financial data and student information. This may violate Kelsey’s right to
a. equal protection.
b. privacy.
c. due process.
d. engage in interstate commerce.
b. privacy.