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Courts and Alternative Dispute Resolution Quiz

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Quiz B - Chapter 2 - Courts and Alternative Dispute Resolution

1.    Eager Workers, Inc., and Factory Assembly Company have their dispute resolved in arbitration. The arbitrator makes a mistake in a conclusion of law.  This is a ground for a court to
a.         do nothing.
b.         review the merits of the dispute.
c.         review the sufficiency of the evidence.
d.         set aside the award.
2.    Owen, in Pennsylvania, and Quik Jobs, Inc., in Maryland agree to have their dispute resolved in arbitration according to the law of Virginia. This is a ground for a court to
a.         do nothing.
b.         review the merits of the dispute.
c.         review the sufficiency of the evidence.
d.         set aside the award.
3.    Jan and Kyle sign a contract that provides that if a dispute arises, they will submit to arbitration. A dispute arises, but before it goes to arbitration, Jan files a suit against Kyle. The court will likely
a.       hear the suit and then order the parties to arbitrate.
b.       hear the suit without ordering the parties to arbitrate.
c.       order relief without hearing the suit or compelling the parties to arbitrate.
d.       order the parties to arbitrate.
4. Harry, a resident of Indiana, has an accident with Jane, a resident of Kentucky, while driving through that state. Jane files a suit against Harry in Kentucky. Regarding Harry, Kentucky has

a. diversity jurisdiction.
b. in personam jurisdiction.
c. in rem jurisdiction.
d. no jurisdiction.

5. Jo files a suit against Lara in a Missouri state court. Lara’s only connection to Missouri is an ad on the Web originating in Nebraska. For Missouri to exercise jurisdiction, the issue is whether Lara, through her ad, has

a. a commercial cyber presence in Missouri.
b. conducted substantial business with Missouri residents.
c. general maximum contact with Missouri.
d. solicited virtual business in Missouri.

6. Child’s Play, Inc., sells a toy with a dangerous defect. Drew buys the toy for his son but discovers the defect before the child is injured. Drew files a suit against Child’s Play. The firm’s best ground for dismissal of the suit is that Drew does not have

a. certiorari.
b. jurisdiction.
c. standing to sue.
d. sufficient minimum contacts. 

7. The Idaho Supreme Court rules against Jiffy Mart in a case against Kwik Stop Stores, Inc. Jiffy Mart files an appeal with the United States Supreme Court. The Court does not hear the case. This

a. is a decision on the merits with value as a precedent.
b. indicates agreement with the Idaho court’s decision.
c. means nothing.
d. means that the Idaho court’s decision is the law in Idaho.

8.    Far Trade Company and Good Shipping. Inc., have their dispute re­solved in arbitration. The arbitrator meets with Far’s representative to discuss the dispute outside the presence of Good’s representative, before determining the award. If this meeting substantially prejudiced Good’s rights, a court will most likely


a.         do nothing.

b.         review the merits of the dispute.

c.         review the sufficiency of the evidence.

d.         set aside the award.


9. The Ohio state legislature passes a law to regulate local delivery services. The final authority regarding the constitutionality of this law is

a. the judicial system.
b. the president of the United States.
c. the governor of Ohio.
d. the U.S. Congress. 

10. Hua, a resident of Illinois, owns a warehouse in Indiana. A dispute arises over the ownership of the warehouse with Jac, a resident of Kentucky. Jac files a suit against Hua in Indiana. Regarding this suit, Indiana has

a. diversity jurisdiction.
b. in personam jurisdiction.
c. in rem jurisdiction.
d. no jurisdiction.
11. Sally and Tom disagree over the amount of money due under their contract. To avoid involving any third party in a resolution of the dispute, Sally and Tom might prefer to use the alternative dispute resolution method of

a. arbitration.
b. litigation.
c. mediation.
d. negotiation.
12. Consumer Sales Corporation and Dion agree to resolve their dispute in arbitration. The arbitrator’s decision is called

a. a conclusion of law.
b. a finding of fact.
c. an award.
d. a verdict.
13. Transnational Corporation and UniShip, Inc., agree to a contract that includes an arbitration clause. If a dispute arises, a court having jurisdiction may

a. monitor any arbitration until it concludes.
b. order an arbitrator to rule in a particular way.
c. order a party to bring the dispute to court.
d. order a party to submit to arbitration.
14. Vince files a suit against Will. Vince and Will meet, and each party’s attorney argues the party’s case before a judge and jury. The jury presents an advisory verdict, after which the judge meets with the parties to encourage them to settle their dispute. This is

a. court-ordered arbitration.
b. early neutral case evaluation.
c. a mini-trial.
d. a summary jury trial.
15. Dick submits his claim against EZ Sales Corporation to FairSettle.com, a private, online dispute resolution forum. At any time, an appeal of the dispute to a court may be made by

a. Dick only.
b. Dick or EZ.
c. EZ only.
d. neither Dick nor EZ.
16. Stan, a citizen of Texas, wants to file a suit against Uma, a citizen of Virginia. Their diversity of citizenship may be a basis for

a. any court to exercise in rem jurisdiction.
b. a federal district court to exercise original jurisdiction.
c. a U.S. court of appeals to exercise appellate jurisdiction.
d. the United States Supreme Court to issue a writ of certiorari.
17. LCD TV Company, a firm in Minnesota, advertises on the Web. A court in North Dakota would be most likely to exercise jurisdiction over LCD if the firm

a. conducted substantial business with North Dakota residents
through its Web site.
b. interacted with any North Dakota resident through its Web site.
c. only advertised without interactivity at its Web site.
d. suddenly removed its ad from the Internet.
18. Milo files a suit against Nik in an Ohio state court, noting that Nik operates a Web site through which Ohio residents have done substantial business with him. The court is most likely to exercise jurisdiction over Nik if Milo’s claim arises from

a. anything an Ohio resident has done.
b. Nik’s Web site activities.
c. nothing an Ohio resident has done.
d. something other than Nik’s Web site.
19.  Liu files a suit against Macro Sales, Inc., in a New Jersey state court based on a Web site through which New Jersey residents can do business with Macro. The court will most likely exercise jurisdiction over Macro if the interactivity of the site is seen as

a. a “substantial enough” connection with the state.
b. “downloading” from the state.
c. not connected with the state.
d. “uploading” to the state.

20. United, Inc., a U.S. firm, and Wallaby, Ltd., an Australian firm, enter into a contract that does not have a forum-selection or choice-of-law clause. Litigation between United and Wallaby over a dispute involving this contract may occur in


a.         Australia only.

b.         Australia or the United States, but not both.

c.         Australia, the United States, or both.

d.         the United States only.



updated: 8/21/11@2:59 pm


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