Test Bank the Legal and Regulatory Environment of Business 17th Edition Marisa Pagnattaro

TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa PagnattaroTest Bank The Legal and Regulatory Environment of Business 17th Edition Marisa Pagnattaro Completed Download link: https://testbankarea.com/download/legal- regulatory-environment-business-17th-edition-test-bank-pagnattaro-cahoy- magid-reed-shedd/ Related download: Solutions Manual for The Legal and Regulatory Environment of Business 17th Edition by Pagnattaro Cahoy Magid Reed Shedd Chapter 03 The Court System True/False Questions 1. The trial judge renders decisions that deal directly with people in conflict. Answer: True AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: The trial judge renders decisions that deal directly with people in conflict. Trial judges are the main link between the law and the citizens it serves. 2. In cases tried before a jury, the function of the jury is to decide questions of fact, but the judge still is responsible for deciding questions of law. Answer: True AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: In cases tried before a jury, the function of the jury is to decide questions of fact. The judge still is responsible for deciding questions of law. In all cases, the function of the trial judge is to determine the applicable rules of law to be used to decide a case. In cases tried without a jury, the judge is also responsible for finding the facts. TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro 3. All states and federal courts have rules of procedure that require a jury to consist of 12 persons in both criminal and civil cases. Answer: False AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: Historically, a jury consisted of 12 persons. Today many states and some federal courts have rules of procedure that provide for smaller juries in both criminal and civil cases. 4. Several studies have found a discernible difference between results reached by a six-person jury and those reached by a 12-person jury. Answer: False AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: Several studies have found no discernible difference between results reached by a six- person jury and those reached by a 12-person jury. As a result, many cases are tried before six- person juries today. 5. Many states have eliminated the requirement of unanimity in their courts in civil cases and two states have done so in criminal cases. Answer: True AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: There is growing evidence that the requirement of unanimity is taking its toll on the administration of justice in the United States. Many states have eliminated the requirement of unanimity in their courts in civil cases and two states have done so in criminal cases. 6. Federal law does not specify the number of jurors required in cases that are brought to trial before a jury at common law. Answer: True TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: Historically, a jury consisted of 12 persons. Many states and some federal courts have rules of procedure that provide for smaller juries in both criminal and civil cases. Federal law does not specify the number of jurors—only the types of cases that may be brought to trial before a jury at common law. 7. Juries are used in only a very small percentage of all cases in U.S. courts. Answer: True AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: Juries are used in only a very small percentage of all cases in U.S. courts. They remain critical to the administration of justice. In civil cases the right to trial by a jury is preserved in suits at common law when the amount in controversy exceeds $20. 8. Jurors normally give reasons for their decisions in U.S. courts. Answer: False AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: Jurors normally do not give reasons for their decisions, although some special verdicts may require juries to answer a series of questions. Actually, it would be almost impossible for the jury to agree on the reasons for its verdict. 9. The U.S. court system is an adversarial system. Answer: True AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: The U.S. court system is an adversarial system. Although private parties may TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro represent themselves without a lawyer, as a practical matter, lawyers are required in most cases. Because knowledge of court procedures and substantive law is required as a bare minimum in most cases, lawyers serve as the representative advocates in the court system. 10. Private parties cannot represent themselves without a lawyer in U.S. courts. Answer: False AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-01 To know the organization of the state and federal court systems. Topic: Personnel Feedback: Private parties may represent themselves without a lawyer in U.S. courts. As a practical matter, lawyers are required in most cases. 11. The attorney-client privilege cannot be extended to communications made to a lawyer’s employees under any circumstance. Answer: False AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: The attorney-client privilege extends to communications made to a lawyer’s employees in certain cases. This is especially important today because law firms frequently use paralegals (legal assistants) to gather facts and assist attorneys. 12. As a general rule, the law does not permit a lawyer to reveal confidential communications and testify against a client, even if called to do so at a trial. Answer: True AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: To encourage full disclosure by a client, the rules of evidence provide that confidential communications to a lawyer are privileged. The law does not permit a lawyer to reveal such facts and testify against a client, even if called to do so at a trial. 13. Probate courts deal with juvenile crime and dependent children. Answer: False TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: Probate courts deal with wills and the estates of deceased persons. Juvenile courts deal with juvenile crime and dependent children. 14. A court’s jurisdiction can only be limited to subject matter, not to the amount in controversy. Answer: False AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: For any court to hear and decide a case at any level, it must have subject matter jurisdiction, which is the power over the issues involved in the case. Jurisdiction may be limited as to subject matter, amount in controversy, or area in which the parties live. 15. In a class-action suit, the claim of each plaintiff must be greater than the $75,000 jurisdictional amount. Answer: True AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: In diversity of citizenship cases, the federal courts have a jurisdictional amount of more than $75,000. If a case involves multiple plaintiffs with separate and distinct claims, each claim must satisfy the jurisdictional amount. Thus, in a class-action suit, the claim of each plaintiff must be greater than the $75,000 jurisdictional amount. 16. The special reviewing court, located in Washington, D.C., hears appeals from special courts such as the U.S. Claims Court and Contract Appeals as well as from administrative decisions such as those made by the Patent and Trademark Office. Answer: True AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Topic: Organization of the Court System Feedback: Under its constitutional authorization, U.S. Congress has created 12 U.S. Courts of Appeal plus a special Court of Appeals for the Federal Circuit as intermediate appellate courts in the federal system. This special reviewing court, located in Washington, D.C., hears appeals from special courts such as the U.S. Claims Court and Contract Appeals as well as from administrative decisions such as those made by the Patent and Trademark Office. 17. The Supreme Court is far more likely to review and reverse a decision rendered by the Fourth Circuit Court of Appeals. Answer: False AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: The Supreme Court is far more likely to review and reverse a decision rendered by the Ninth Circuit Court of Appeals. In contrast, decisions rendered by the Fourth Circuit Court of Appeals tend to be far more conservative or consistent with the philosophy of judicial restraint. 18. Final judgments or decrees rendered by the highest court of a state are reviewed by the federal district courts. Answer: False AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: The federal district courts and the courts of appeal cannot review, retry, or correct judicial errors charged against a state court. Final judgments or decrees rendered by the highest court of a state are reviewed only by the Supreme Court of the United States. 19. The U.S. Supreme Court grants the petition for a writ of certiorari and allows another review as a matter of right. Answer: False AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: The Supreme Court has discretion as to whether it will grant the petition for a writ of TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro certiorari and allow another review. This review is not a matter of right. 20. In the United States, the most significant power of the courts is judicial review, which is the ultimate power to invalidate actions by the president or the Congress. Answer: True AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Topic: The Power of Judicial Review Feedback: In the United States, the most significant power of the courts, or “judiciary,” is judicial review, which is the power to review laws passed by the legislative body and to declare them to be unconstitutional and void. Judicial review is the ultimate power to invalidate actions by the president or the Congress. 21. Judicial restraint jurists view the role of a lawyer and the practice of law as that of social reform. Answer: False AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review Feedback: Judicial restraint jurists do not view the role of the lawyer and the practice of law as that of social reform. To them, reform is the function of the political process. 22. All members of the judiciary believe in judicial restraint and all are activists to some extent. Answer: True AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Feedback: All members of the judiciary believe in judicial restraint and all are activists to some extent. Often a jurist may be a judicial activist in one area of the law and a firm believer in judicial restraint in another. 23. The philosophy of judicial activism is sometimes referred to as strict constructionism. Answer: False AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review Feedback: The philosophy of judicial restraint is sometimes referred to as strict constructionism, or judicial abstention. Strict constructionists believe that the U.S. Constitution should be interpreted in light of what the Founding Fathers intended. They place great weight on the debates of the Constitutional Convention and the language of the Constitution. 24. Those who believe in judicial restraint believe that social, political, and economic change in society should result from the political process rather than from court action. Answer: True AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review Feedback: Those who believe in judicial restraint believe that social, political, and economic change in society should result from the political process rather than from court action. Judicial restraint jurists have a deep commitment to precedent. 25. Reviewing courts exercising judicial restraint tend to be more result conscious and place less reliance on precedent. Answer: False AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review Feedback: Activist courts tend to be more result conscious and to place less reliance on precedent. Reviewing courts exercising judicial restraint tend to accept the trial court decisions unless they are clearly wrong on the facts or the law. 26. Reviewing courts exercising judicial restraint often engage in a balancing approach to their decisions. Answer: True AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review Feedback: Reviewing courts exercising judicial restraint tend to accept the trial court decisions unless they are clearly wrong on the facts or the law. If there is any reasonable basis for the lower court decision, it will not be reversed. Such courts often engage in a balancing approach to their decisions. They weigh competing interests. 27. If there is no statute or case law, a court may decide a case and create law in the process. Answer: True AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review Feedback: In deciding cases, courts may decide a case by use of existing statutes and precedents and demonstrate a deep commitment to the common law system. If there is no statute or case law, a court may decide the case and create law in the process. 28. In deciding cases, courts cannot refuse to apply existing case law or declare a statute to be void as unconstitutional. TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Answer: False AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review Feedback: In deciding cases, courts may decide a case by use of existing statutes and precedents and demonstrate a deep commitment to the common law system. They may also refuse to apply existing case law or declare a statute to be void as unconstitutional. 29. Activist jurists believe that constitutional issues must be decided within the context of contemporary society and that the meaning of the U.S. Constitution is relative to the times in which it is being interpreted. Answer: True AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review Feedback: Activist jurists believe that constitutional issues must be decided within the context of contemporary society and that the meaning of the U.S. Constitution is relative to the times in which it is being interpreted. Activists believe that the courts, and especially the U.S. Supreme Court, sit as a continuing constitutional convention to meet the needs of today. 30. President George W. Bush nominated Justice Antonin Scalia as an associate judge of the Supreme Court. Answer: False AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review Feedback: President Reagan nominated Antonin Scalia as an associate justice of the Supreme TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Court, and he took office in 1986. Antonin Scalia received his A.B. from Georgetown University and the University of Fribourg, Switzerland, and his LL.B. from Harvard Law School. 31. The Patient Protection and Affordable Care Act was passed by the U.S. Congress with the intention of reducing the number of people covered by health insurance. Answer: False AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-05 To analyze a sample case from the U.S. Supreme Court, including the majority, concurring, and dissenting opinions. Topic: The Power of Judicial Review Feedback: The Patient Protection and Affordable Care Act was passed by the U.S. Congress in 2010. The 5–4 decision in the National Federation of Independent Business v. Sebelius case upheld the individual mandate requiring all Americans who are not exempt for religious or other reasons and who can afford health insurance coverage to obtain coverage or be subject to a penalty. Overall, the decision has resulted in many more Americans covered by health care insurance. 32. President Obama nominated Justice Sonia Sotomayor as an associate justice of the Supreme Court, and she took office in 2009. Answer: True AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-05 To analyze a sample case from the U.S. Supreme Court, including the majority, concurring, and dissenting opinions. Topic: The Power of Judicial Review Feedback: President Obama nominated Justice Sonia Sotomayor as an associate justice of the Supreme Court, and she took office in 2009. She received her B.A. from Princeton University, summa cum laude, and a J.D. from Yale Law School. 33. The U.S. Supreme Court substantially limited the Patient Protection and Affordable Care Act’s expansion of Medicaid. Answer: True AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-05 To analyze a sample case from the U.S. Supreme Court, including the majority, concurring, and dissenting opinions. TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Topic: The Power of Judicial Review Feedback: The Patient Protection and Affordable Care Act was passed by the U.S. Congress in 2010. In the National Federation of Independent Business v. Sebelius case, the 5–4 decision upheld the individual mandate requiring all Americans who are not exempt for religious or other reasons and who can afford health insurance coverage to obtain coverage or be subject to a penalty. The Supreme Court substantially limited the Affordable Care Act’s expansion of Medicaid. 34. The Patient Protection and Affordable Care Act is a defining legislative achievement of President Obama’s presidency. Answer: True AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-05 To analyze a sample case from the U.S. Supreme Court, including the majority, concurring, and dissenting opinions. Topic: The Power of Judicial Review Feedback: The Patient Protection and Affordable Care Act is a defining legislative achievement of President Obama’s presidency. Overall, the decision has resulted in many more Americans being covered by health care insurance. 35. As a result of the Patient Protection and Affordable Care Act, a greater number of Americans are covered by health insurance. Answer: True AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-05 To analyze a sample case from the U.S. Supreme Court, including the majority, concurring, and dissenting opinions. Topic: The Power of Judicial Review Feedback: As a result of the Patient Protection and Affordable Care Act, a greater number of Americans are covered by health insurance. According to the White House, by April 2014, more than eight million people selected health care plans through exchanges set up under the Affordable Care Act. Multiple Choice Questions 36. Which of the following statements is true of the role of judges in U.S. courts? A. They determine the facts from conflicting evidence in a jury trial. B. They present evidence to a jury. TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro C. They give no deference to the facts found by a jury. D. They apply the law to the facts of a case. E. They campaign for reelection. Answer: D AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: Judges in U.S. courts apply the law to the facts of a case. Jurors find or determine the facts from conflicting evidence and the facts as found by a jury are given great deference. 37. Which of the following statements is true of trial judges of U.S. courts? A. They cannot apply substantive rules of law to decide a case. B. They are responsible for finding the facts in cases without a jury. C. They are responsible for reviewing petitions for a writ of certiorari. D. Members of the U.S. Supreme Court are known as trial judges. E. They are not allowed to apply constitutional limitations in trials without a jury. Answer: B AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: In all cases, the function of the trial judge is to determine the applicable rules of law to be used to decide a case. Such rules may be procedural or substantive. In cases tried without a jury, the judge is also responsible for finding the facts. 38. The members of the U.S. Supreme Court are called _____. A. justices B. magistrates C. judges D. advocates E. jurors Answer: A AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Feedback: The individuals who operate the U.S. courts are called judges or magistrates. In some appellate courts, such as the U.S. Supreme Court, members of the court are called justices. 39. Which of the following Amendments to the Constitution guarantee the right of trial by jury in both criminal and civil cases? A. The Sixth and Seventh Amendments B. The First and Twelfth Amendments C. The First and Seventh Amendments D. The Second and Fifth Amendments E. The Ninth and Fourteenth Amendments Answer: A AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: The Sixth and Seventh Amendments to the Constitution guarantee the right of trial by jury in both criminal and civil cases. Trial by jury is a cherished right guaranteed by the Bill of Rights. 40. Which of the following statements is true of trial by jury? A. All states require a jury’s decision to be unanimous in civil cases where the amount in controversy exceeds $75,000. B. Juries are only used in criminal cases. C. A jury has to consist of 12 persons. D. Juries are used in a large percentage of all cases. E. The right to trial by a jury is preserved in suits at common law in civil cases when the amount in controversy exceeds $20. Answer: E AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: In civil cases the right to trial by a jury is preserved in suits at common law when the amount in controversy exceeds $20. Although juries are used in only a very small percentage of all cases, they remain critical to the administration of justice. 41. Which of the following statements is one of the criticisms of the jury system in the United States? A. Juries only apply substantive rules of law to decide cases. TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro B. Juries cannot be used in criminal cases. C. Jurors develop voir dire to elicit attitudes and experiences. D. Jurors vote their prejudices. E. Juries cannot be used in civil cases when the amount in controversy is below $2,000. Answer: D AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: One of the criticisms of the jury system in the United States is that jurors vote their prejudices. Many argue that jurors are not qualified to distinguish fact from fiction and that their emotions are too easily swayed by skilled trial lawyers. 42. In civil cases, the right to trial by a jury is preserved in suits at common law when the amount in controversy exceeds _____. A. $20 B. $2,500 C. $500 D. $75 E. $2,000 Answer: A AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: In civil cases the right to trial by a jury is preserved in suits at common law when the amount in controversy exceeds $20. Although juries are used in only a very small percentage of all cases, they remain critical to the administration of justice. 43. The _____ is the trial jury that returns a verdict in both criminal and civil cases. A. grand jury B. appellate jury C. petit jury D. federal jury E. preemptive jury Answer: C AACSB: Analytical Thinking Blooms: Remember TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Difficulty: 1 Easy Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: The petit jury is the trial jury that returns a verdict in both criminal and civil cases. The Sixth and Seventh Amendments to the Constitution guarantee the right of trial by jury in both criminal and civil cases. 44. Which of the following statements is true of the role of jurors in U.S. courts? A. They determine the rules of law relevant to a case. B. They present the evidence and arguments to the judges. C. They apply the law to the facts of a case. D. They apply constitutional limitations and guarantees. E. They determine the facts from conflicting evidence. Answer: E AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: Jurors determine the facts from conflicting evidence. The facts as found by a jury are given great deference. 45. A lawyer’s first duty is __________. A. to protect his or her reputation B. to make money. C. to defeat the opposing lawyer D. to apply the law to the facts of a case E. to the administration of justice Answer: E AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: A lawyer’s first duty is to the administration of justice. As an officer of the court, the lawyer should see that proceedings are conducted in a dignified and orderly manner and that issues are tried on their merits only. 46. In most states, a jury’s decision must be unanimous because __________. A. it reduces the number of mistrials in both criminal and civil cases B. it reduces the number of cases that are appealed by a losing party in a higher court TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro C. it is believed that it is a foolproof approach as the right of trial by jury is not guaranteed in both criminal and civil cases D. it is believed that the truth is more nearly to be found if the jury acts only on one common conscience E. it is believed that jurors are not easily swayed emotionally by lawyers as they are qualified to distinguish fact from fiction Answer: D AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: In most states, a jury’s decision must be unanimous because many believe that the truth is more nearly to be found if the jury acts only on one common conscience. However, there is growing evidence that the requirement of unanimity is taking its toll on the administration of justice in the United States. 47. Which of the following statements is true of the roles of a lawyer in U.S. courts? A. A lawyer cannot testify against a client unless called to do so at a trial. B. A lawyer is often actively involved in the personal decisions of a client. C. A lawyer is obliged to reveal everything that is material to a case being tried. D. A lawyer’s first duty is to a client. E. A lawyer applies the law to the facts. Answer: B AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: A lawyer is often actively involved in the personal decisions of clients, ranging from their business affairs and family matters such as divorce to their alleged violations of the criminal law. These relationships dictate that a lawyer meet the highest standards of professional and ethical conduct. 48. The rules of evidence protect confidential client communications to a lawyer to __________. A. encourage full disclosure by clients B. make it easier for people to file a petition for a writ of certiorari C. enable lawyers to communicate effectively with judges D. qualify corporations as citizens of more than one state E. insulate the attorney from prosecution for criminal acts TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Answer: A AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel Feedback: The rules of evidence provide that confidential communications to a lawyer are privileged to encourage full disclosure by a client. The law does not permit a lawyer to reveal such facts and testify against a client, even if called to do so at a trial. 49. Lawsuits begin at the _____ level. A. appellate court B. trial court C. Supreme Court D. intermediate reviewing court E. state supreme court Answer: B AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: Lawsuits begin at the trial court level, and the results may be reviewed at one or more of the other two appellate court levels. Critical to every lawsuit is the question of subject matter jurisdiction. 50. _____ is a court’s power over the issues involved in a case. A. Ratio decidendi B. Judicial abstention C. Subject matter jurisdiction D. Judicial activism E. Res judicata Answer: C AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: Subject matter jurisdiction is a court’s power over the issues involved in a case. Jurisdiction refers to the power of a court, at the state or federal level, to hear a case. TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro 51. _____ refers to the power of a court, at the state or federal level, to hear a case. A. Judicial activism B. Res judicata C. Judicial restraint D. Voir dire E. Jurisdiction Answer: E AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: Jurisdiction refers to the power of a court, at the state or federal level, to hear a case. For any court to hear and decide a case at any level, it must have subject matter jurisdiction, which is the power over the issues involved in the case. 52. When a state trial court has general jurisdiction, _____. A. it cannot try criminal cases B. it can issue writs of certiorari to the general population C. it has the power to hear any type of case D. it should have a jury present in both civil and criminal cases E. it has the power to review judicial errors charged against a federal court Answer: C AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: When a state trial court has general jurisdiction, it has the power to hear any type of case. Jurisdiction refers to the power of a court, at the state or federal level, to hear a case. 53. _____ of the U.S. Constitution provides that judicial power be vested in the Supreme Court and such lower courts as Congress may create. A. The due process clause B. The First Amendment C. Article III D. The Fifth Amendment E. Article VII Answer: C AACSB: Analytical Thinking TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: Article III of the U.S. Constitution provides that judicial power be vested in the Supreme Court and such lower courts as Congress may create. The judicial power of the federal courts has been limited by Congress. 54. Diversity of citizenship requires that __________. A. all plaintiffs be citizens of different states from all defendants B. all defendants qualify for ratio decidendi C. all plaintiffs obtain a writ of certiorari from the Supreme Court D. all defendants be citizens of the same state E. all plaintiffs be citizens of the same state Answer: A AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: Diversity of citizenship requires that all plaintiffs be citizens of different states from all defendants. If a case involves a party on one side that is a citizen of the same state as a party on the other, there will then be no diversity of citizenship and thus no federal jurisdiction. 55. Courts have held that the existence of diversity of citizenship is determined by the citizenship of the __________. A. jurors involved in a case B. judges deciding a case C. lawyers involved in a case D. parties in a case E. people affected by the defendants of a case Answer: D AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: Courts have held that the existence of diversity of citizenship is determined by the citizenship of the party in a case. If a case involves a party on one side that is a citizen of the same state as a party on the other, there will then be no diversity of citizenship and thus no federal jurisdiction. TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro 56. One of the reasons U.S. Congress provides for diversity of citizenship jurisdiction is to __________. A. guard against state court bias against the nonresident party in a lawsuit B. enable the existence of attorney-client privilege to all citizens of the United States C. restrict the number of petitions for writs of certiorari by the nonresident party in a lawsuit D. restrict the number of appeals to the U.S. Supreme Court E. guard against the abuse of a small-claims court by the resident party in a lawsuit Answer: A AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: One of the reasons U.S. Congress provides for diversity of citizenship jurisdiction is to guard against state court bias against the nonresident party in a lawsuit. Because the biggest increase in federal lawsuits in recent years has been over businesses suing one another in contract disputes, diversity jurisdiction preserves the sense of fairness in such situations when one of the parties is out of state. 57. For purposes of diversity jurisdiction, a corporation is a citizen of the state of incorporation and also a citizen of __________. A. any state where its stakeholders live B. the state in which it has its principal place of business C. the state where its chief executive officer lives D. the state where most of its employees live E. any state that the corporation declares as being its hometown Answer: B AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: The fact that business corporations, which are considered persons before the law, are frequently incorporated in one state and have their principal place of business in another state causes problems in determining when diversity of citizenship exists. For purposes of diversity jurisdiction, a corporation is a citizen of the state of incorporation and also a citizen of the state in which it has its principal place of business. 58. James wrecks Carl’s house in a motor vehicle accident. Carl incurs $180,000 in property damages. To recover his losses, he wants to sue James. In this scenario, Carl is most likely to file TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro the initial lawsuit in _____. A. traffic court B. a state appellate court C. a federal district court D. the U.S. Supreme Court E. a state trial court Answer: E AACSB: Reflective Thinking Blooms: Apply Difficulty: 2 Medium Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: In this scenario, Carl is most likely to file the initial lawsuit in a state trial court. In the trial courts, parties file their lawsuits or complaints seeking to protect their property rights or redress a wrongdoing. 59. Josh crashes his car into Sheila’s house. Sheila is severely injured and suffers $95,000 worth of medical and property damages. She believes that the accident was Josh’s fault and files a lawsuit at a state trial court. What would have to be different for Sheila to be able to sue Josh in a federal court? A. The amount of damages incurred by Sheila must be less than $75,000. B. Josh must not have severely injured Sheila. C. Josh and Sheila must live in different states. D. Sheila must petition her elected officials. E. Josh must have been intoxicated during the accident. Answer: C AACSB: Reflective Thinking Blooms: Apply Difficulty: 3 Hard Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: For Sheila to be able to sue Josh in federal court, the amount in controversy must be over $75,000, and there must be diversity of citizenship, which means the parties reside in different states. Therefore, if Sheila and Josh lived in different states, she could take the case to a federal court. 60. Essentially, the judicial power of the federal courts extends to matters involving __________. A. correction of judicial errors charged against a state trial court B. disputes among citizens of the same state C. erroneous rulings made by arbitrators in disputes involving interstate commerce D. lack of diversity of citizenship TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro E. questions of federal law Answer: E AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: Essentially, the judicial power of the federal courts extends to matters involving (a) questions of federal law (including the Constitution), (b) the United States as a party, (c) controversies among the states, and (d) certain suits between citizens of different states— diversity of citizenship. The judicial power of the federal courts has been limited by Congress. 61. Small-claims courts __________. A. have high court costs B. have very formal procedures C. usually have complex procedures D. have the power to hear any type of case as they have general jurisdiction E. usually do not require the services of a lawyer Answer: E AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: Small-claims courts usually do not require the services of a lawyer. They have low court costs and simplified procedures. 62. Which of the following statements is true of small-claims courts? A. They have general jurisdiction. B. They handle much of the litigation between businesses and its customers. C. They have complex procedures. D. They only handle cases where the amount in controversy is less than $2,000. E. They only handle cases that qualify for a second review. Answer: B AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: Small-claims courts handle much of the litigation between businesses and their TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro customers and usually do not require the services of a lawyer. 63. _____ provide the details concerning processes to be followed in federal court litigation. A. Article III and Article IV of the U.S. Constitution B. The First and Second Amendments to the U.S. Constitution C. The Sixth and Seventh Amendments to the U.S. Constitution D. The Federal Rules of Civil Procedure E. The Federal Rules of Evidence Answer: D AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: The Federal Rules of Civil Procedure provide the details concerning processes to be followed in federal court litigation. These rules are strictly enforced by the courts and must be followed by the parties in every lawsuit. 64. If a state case does not involve a federal question, _____. A. the decision of the highest state court is not subject to review by the Supreme Court B. it falls under the diversity of citizenship jurisdiction C. the judgment delivered can qualify for a petition for a second review by the Supreme Court D. it has to be handled by a small-claims court E. the decision of a state trial court is final and not subject to review Answer: A AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: State cases reviewed by the U.S. Supreme Court must concern a federal question involving the validity of state action on the grounds that the statute under review is repugnant to the Constitution, treaties, or laws of the United States. If the case does not involve a federal question, the decision of the highest state court is not subject to review by the Supreme Court of the United States. 65. In diversity of citizenship cases, if a case involves multiple plaintiffs with separate and distinct claims, _____. A. at least one of the claims must be approved by the Supreme Court B. each claim has to qualify for a writ of certiorari C. each claim must satisfy the jurisdictional amount TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro D. only one claim has to satisfy the jurisdictional amount E. the sum total of all claims must be lower than the jurisdictional amount Answer: C AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: In diversity of citizenship cases, the federal courts have a jurisdictional amount of more than $75,000. If a case involves multiple plaintiffs with separate and distinct claims, each claim must satisfy the jurisdictional amount. 66. Which of the following causes problems in determining when diversity of citizenship exists in cases involving business corporations? A. The fact that business corporations usually settle their cases with a small-claims court B. The fact that business corporations are frequently incorporated in one state and have their principal place of business in another state C. The fact that business corporations are allowed to forego their right to be classified as a person D. The fact that business corporations only fall under the jurisdiction of a small-claims court that considers businesses as persons E. The fact that business corporations always deal with amounts that are higher than the jurisdictional amount Answer: B AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: The fact that business corporations are frequently incorporated in one state and have their principal place of business in another state causes problems in determining when diversity of citizenship exists. For purposes of diversity jurisdiction, a corporation is a citizen of the state of incorporation and also a citizen of the state in which it has its principal place of business. 67. When the U.S. Supreme Court reviews petitions for a writ of certiorari, the writ is granted if _____ of the nine justices vote to take a case. A. five B. four C. two D. seven E. eight TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Answer: B AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: When the U.S. Supreme Court reviews petitions for a writ of certiorari, the writ is granted if four of the nine justices vote to take a case. The Supreme Court spends a great deal of time and effort in deciding which cases it will hear. 68. Which of the following statements is true of the federal district courts? A. They are the appellate courts of the federal judicial system. B. There are only 12 such courts in the United States. C. These courts do not have the authority to impanel juries. D. They lack subject matter jurisdiction over diversity of citizenship cases. E. They cannot retry judicial errors charged against a state court. Answer: E AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: Federal district courts have the authority to review lawsuits, receive evidence, evaluate testimony, impanel juries, and resolve disputes. The federal district courts and the courts of appeal cannot review, retry, or correct judicial errors charged against a state court. 69. How many Courts of Appeal have been created by Congress in the United States under its constitutional authorization? A. 50 B. 51 C. 25 D. 10 E. 13 Answer: E AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: Under its constitutional authorization, Congress has created 12 U.S. Courts of Appeal TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro plus a special Court of Appeals for the Federal Circuit as intermediate appellate courts in the federal system. This special reviewing court, located in Washington, D.C., hears appeals from special courts such as the U.S. Claims Court and Contract Appeals as well as from administrative decisions such as those made by the Patent and Trademark Office. 70. Which of the following is most likely to be a federal question case? A. A case that has the United States as a party B. A case that is based on issues arising out of the U.S. Constitution C. A case that only deals with issues where the amount of money exceeds $9,000,000 D. A case that is solely based on certain suits between citizens of different states E. A case that solely deals with disputes between a citizen and a corporation Answer: B AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: A case that is based on issues arising out of the U.S. Constitution is most likely to be a federal question case. Any amount of money may be involved in such a case, and it need not be a suit for damages. 71. A petition for a writ of certiorari is __________. A. the underlying principle of a case B. the process of finding out the facts of a case C. an oath administered to a witness requiring him to speak the truth D. a request by the losing party in the court of appeals for permission to file an appeal with the U.S. Supreme Court E. a plea by the winning party in the court of appeals wherein the party agrees not to contest the charges against the defendant Answer: D AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: A petition for a writ of certiorari is a request by the losing party in the court of appeals for permission to file an appeal with the U.S. Supreme Court. In such situations, the Supreme Court has discretion as to whether it will grant the petition and allow another review. 72. Writs of certiorari are granted primarily in cases __________. A. of substantial federal importance TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro B. where the value in controversy is more than $1,000,000 C. of arbitration awards between two disputing parties from the same state D. of mediation outcomes between two disputing parties from the same state E. where judicial review of contract-based arbitration between an employee and a private firm is required Answer: A AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: Writs of certiorari are granted primarily in cases of substantial federal importance. A petition for a writ of certiorari is a request by the losing party in the court of appeals for permission to file an appeal with the U.S. Supreme Court. 73. Writs of certiorari are granted primarily in cases __________. A. where the value in controversy is more than $50 million B. where the arbitration awards are not accepted by both disputing parties C. where there is an obvious conflict between decisions of two or more U.S. Circuit Courts of Appeal in an important area of the law that needs clarification D. where the judge in the original state trial court has been removed from the bench for reasons of misconduct or for other unethical reasons that can be proved E. where the attorneys on both sides of a case are well known to the justices Answer: C AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: Writs of certiorari are granted primarily in cases where there is an obvious conflict between decisions of two or more U.S. Circuit Courts of Appeal in an important area of the law that needs clarification. A petition for a writ of certiorari is a request by the losing party in the court of appeals for permission to file an appeal with the U.S. Supreme Court. 74. Which of the following statements is true of the Fourth Circuit Court of Appeals? A. It only handles cases that cannot qualify for a writ of certiorari. B. It tends to render decisions that are consistent with the philosophy of judicial restraint. C. It only accepts appeals if a case involves a large amount of money. D. It reviews and retries judicial errors charged against a state court. E. It preapproves all appeals that go to the Supreme Court. TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Answer: B AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: The Fourth Circuit Court of Appeals tends to render decisions that are consistent with the philosophy of judicial restraint. The philosophy of judicial restraint developed naturally from the recognition that, in exercising the power of judicial review, the courts are overseeing coequal branches of government. 75. In the context of state courts, which of the following statements is true of reviewing courts? A. They only handle cases that cannot qualify for a writ of certiorari. B. They only render decisions that are consistent with the philosophy of judicial restraint. C. There has to be at least nine judges in a reviewing court. D. They are essentially concerned with questions of law. E. They usually handle diversity of citizenship cases. Answer: D AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System Feedback: In the context of state courts, reviewing courts review are essentially concerned with questions of law. Although a party is entitled to one trial and one appeal, he or she may obtain a second review if the higher reviewing court, in the exercise of its discretion, agrees to such a review. 76. Because the litigants are entitled to only _____ in the court of appeals, a subsequent review by the U.S. Supreme Court must be obtained through a petition for a writ of certiorari to the Supreme Court. A. two reviews B. one review C. three reviews D. four reviews E. five reviews Answer: B AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Topic: Organization of the Court System Feedback: Because the litigants are entitled to only one review in the court of appeals, a subsequent review by the U.S. Supreme Court must be obtained through a petition for a writ of certiorari to the Supreme Court. A petition for a writ of certiorari is a request by a losing party in the court of appeals for permission to file an appeal with the U.S. Supreme Court. 77. In the federal system, the U.S. constitution gives the power to appoint federal judges, including Supreme Court justices, to __________. A. the president B. the federal district court judges C. the U.S. House of Representatives D. Congress E. the vice president Answer: A AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review Feedback: In the federal system, the U.S. Constitution gives the power to appoint federal judges, including Supreme Court justices, to the president subject to the advice and consent of the U.S. Senate. In practical terms, this means a majority of the U.S. Senate must vote to confirm the president’s nominee. 78. Which of the following statements is true of the Supreme Court’s use of the power of judicial review? A. It has to exercise the power of judicial review more than once per presidential cycle. B. It has to exercise the power of judicial review at least once a year. C. It applies its power of judicial review only when the country faces war. D. It rarely exercises the power of judicial review. E. It uses the power of judicial review only when a majority of the justices are strict constructionists. Answer: D AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Topic: The Power of Judicial Review TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Feedback: The U.S. Supreme Court rarely exercises the power of judicial review. It has developed carefully crafted rules as self-imposed limits on its authority as individual jurists. 79. Those who believe that the power to exercise judicial review should not be used except in unusual cases are said to believe in _____. A. judicial restraint B. judicial activism C. voir dire D. judicial relativism E. res judicata Answer: A AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Topic: The Power of Judicial Review Feedback: Those who believe that the power to exercise judicial review should not be used except in unusual cases are said to believe in judicial restraint. The philosophy of judicial restraint developed naturally from the recognition that, in exercising the power of judicial review, the courts are overseeing coequal branches of government. 80. Judicial review is the power of __________. A. the courts to review laws passed by the legislative body and to declare them to be unconstitutional B. a legislative body to pass federal statutes that invalidate the actions by the president or the Congress C. a district court to overrule a lower court decision D. the legislative branch to enforce or not enforce judicial decisions E. the courts to create laws Answer: A AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Topic: The Power of Judicial Review Feedback: Judicial review is the power of the courts to review laws passed by the legislative body and to declare them to be unconstitutional and void. It also allows the courts to review actions taken by the executive branch and to declare them unconstitutional. TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro 81. Strict constructivism is also known as _____. A. judicial liberalism B. judicial activism C. judicial review D. judicial abstention E. judicial formalism Answer: D AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review Feedback: Strict constructivism is also known as judicial abstention. Strict constructionists believe that the Constitution should be interpreted in light of what the Founding Fathers intended. 82. Those who think that the power to exercise judicial review should be used whenever the needs of society justify its use believe in _____. A. judicial functionality B. judicial activism C. judicial extension D. judicial abstention E. judicial absenteeism Answer: B AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review Feedback: Those who think that the power to exercise judicial review should be used whenever the needs of society justify its use believe in judicial activism. Those who believe in the philosophy of judicial activism believe that courts have a major role to play in correcting wrongs in the society. 83. Judges who identify with _____ give great deference to the political process. A. judicial restraint TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro B. judicial activists C. judicial realists D. judicial conservatives E. strict activists Answer: A AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review Feedback: Judges who identify with judicial restraint give great deference to the political process. The philosophy of judicial restraint is sometimes referred to as strict constructionism, or judicial abstention. 84. Justice Benjamin Cardozo stated that if the answer to a case is not clearly established by statute or by unquestioned precedent, a judge must first extract from the precedents the _____. A. obiter dicta B. ratio decidendi C. voir dire D. res judicata E. writ of ceritorari Answer: B AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review Feedback: Justice Benjamin Cardozo stated that if the answer to a case is not clearly established by statute or by unquestioned precedent, the problem was twofold: “He [the judge] must first extract from the precedents the ratio decidendi; he must then determine the path or direction along which the principle is to work and develop, if it is not to wither or die.” The first part of the problem is separating legal principles from dicta so that the actual precedent is clear. 85. Ratio decidendi refers to _____. A. the underlying principle of a case TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro B. stare decisis C. the narrow tailoring of judgment D. justifying the amount of a verdict in relation to the injury E. judicial activism Answer: A AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review Feedback: Ratio decidendi refers to the underlying principle of a case. Justice Benjamin Cardozo stated that if the answer were not clearly established by statute or by unquestioned precedent, the problem was twofold: “He [the judge] must first extract from the precedents the underlying principle, the ratio decidendi; he must then determine the path or direction along which the principle is to work and develop, if it is not to wither or die.” 86. Who among the following is the current Chief Justice of the U.S. Supreme Court? A. John Roberts B. Stephen Breyer C. Samuel Alito D. Sonia Sotomayor E. Elena Kagan Answer: A AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review Feedback: John Roberts is the current Chief Justice of the U.S. Supreme Court. He received his B.A. from Harvard College and his J.D. from Harvard Law School. President George W. Bush nominated him as chief justice, and he took office in 2005. 87. The National Federation of Independent Business v. Sebelius involves legal challenges to the __________. A. Trafficking Victims Protection Act B. Patient Protection and Affordable Care Act C. Global Anti-Semitism Review Act TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro D. Sarbanes-Oxley Act E. Jobs and Growth Tax Relief Reconciliation Act Answer: B AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-05 To analyze a sample case from the U.S. Supreme Court, including the majority, concurring, and dissenting opinions. Topic: The Power of Judicial Review Feedback: The National Federation of Independent Business v. Sebelius involves the legal challenges to the Patient Protection and Affordable Care Act. The Supreme Court was asked to determine if Congress has the power to enact the challenged provisions. 88. A key provision of the Patient Protection and Affordable Care Act requires __________. A. Americans to limit their number of petitions for a writ of certiorari in cases related to health care B. most Americans to maintain minimum essential health care coverage C. all Americans to make a shared responsibility payment to obtain health insurance D. a decrease in the number of Americans covered under Medicaid E. all Americans to buy their medical insurance exclusively from government agencies Answer: B AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-05 To analyze a sample case from the U.S. Supreme Court, including the majority, concurring, and dissenting opinions. Topic: The Power of Judicial Review Feedback: A key provision of the Patient Protection and Affordable Care Act requires most Americans to maintain minimum essential health care coverage. Another key provision was the Medicaid expansion, increasing the number of individuals the states must cover beyond existing coverage for pregnant women, children, needy families, the blind, the elderly, and the disabled. Short Answer Questions 89. How do trial judges and appellate judges differ? Answer: Trial judges are the main link between the law and the citizens it serves. The trial judge renders decisions that deal directly with people in conflict. These judges have the primary duty to observe and to apply constitutional limitations and guarantees. They bear the burden of upholding the dignity of the courts and maintaining respect for the law. Justices do more than TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro simply decide an appeal—they often give reasons for their decisions. These reasoned decisions become precedent and a part of the body of law that may affect society as a whole, as well as the litigants. So in deciding cases, justices must consider not only the result between the parties but also the total effect of the decision on the law. In this sense, their role is similar to that of legislators. When reviewing appeals, justices are essentially concerned with issues of law; issues of fact normally are resolved at the trial court level. For these reasons, personal characteristics required for a justice or appellate judge are somewhat different from those for a trial judge. The manner of performing duties and the methods used also vary between trial and reviewing courts. A trial judge who has observed the witnesses is able to use knowledge gained from participation as an essential ingredient in his or her decisions. A justice must spend most of the time studying the briefs, the record of proceedings, and the law in reaching decisions. AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel 90. Briefly explain why trial by jury is important. Answer: It is important to understand the role of a jury as a fact-finding body. Because litigation may involve both questions of law and questions of fact, the deference given to the decisions of a jury is very important. Trial by jury is a cherished right guaranteed by the Bill of Rights. The Sixth and Seventh Amendments to the Constitution guarantee the right of trial by jury in both criminal and civil cases. The petit jury is the trial jury that returns a verdict in both situations. AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel 91. Trial by jury is a constitutional right that presents difficult issues when complex and complicated issues and cases arise. What are some of these issues? Answer: One of the most difficult issues facing the judicial system is the right to a trial by jury in very complex and complicated cases that frequently take a long time to try. For example, many antitrust cases involve economic issues that baffle economists, and such cases may last for several months or even years. The average juror may not comprehend the meaning of much of the evidence, let alone remember it when it is time to make a decision. As a practical matter, many persons cannot serve on a jury for several weeks or months. For these and other reasons, some experts recommend that the right to a trial by jury be abolished in very complex and time- TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro consuming cases. AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel 92. Briefly discuss the requirement of unanimity in jury decisions. Answer: In most states, a jury’s decision must be unanimous because many believe that the truth is more nearly to be found and justice rendered if the jury acts only on one common conscience. However, there is growing evidence that the requirement of unanimity is taking its toll on the administration of justice in the United States. Holdout jurors contribute to mistrials, and many cases are routinely deadlocked by margins of 11–1 or 10–2. Many states have eliminated the requirement of unanimity in their courts in civil cases, and two states have done so in criminal cases. Several legal commentators have argued that unanimous jury verdicts are not constitutionally mandated and should be eliminated to help restore public confidence in the jury system. AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel 93. Briefly describe the functions of a lawyer and the capacities that he or she serves in the legal system. Answer: A lawyer serves in three capacities: counselor, advocate, and public servant. As a counselor, a lawyer must gather personal information about his or her client and then explain to the client the proper courses of action. As an advocate, a lawyer must represent his or her client zealously but within the law. As a public servant, a lawyer must work within the legal system and support federal law and the state law of his or her jurisdiction. These relationships dictate that a lawyer meet the highest standards of professional and ethical conduct. AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel 94. Why does attorney-client privilege exist? TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Answer: If a lawyer is to give competent advice, he or she must know to the fullest extent possible all the facts involved in any legal problem presented by a client. To encourage full disclosure by the client, the rules of evidence provide that confidential communications to a lawyer are privileged. The law does not permit a lawyer to reveal such facts and testify against a client, even if called to do so at a trial. This is the attorney-client privilege, and it may extend to communications made to the lawyer’s employees in certain cases. This is especially important today because law firms’ frequently use paralegals (legal assistants) to gather facts and assist attorneys. AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel 95. How do lawyers serve as representative advocates in the U.S. court system? Answer: The U.S. court system is an adversarial one. Although private parties may represent themselves without a lawyer, as a practical matter, lawyers are required in most cases. Because knowledge of court procedures and substantive law is required as a bare minimum in most cases, lawyers serve as the representative advocates in the court system. They present the evidence, the points of law, and the arguments that are weighed by juries and judges in making their decisions. AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-01 To recognize the role of key personnel associated with the courts. Topic: Personnel 96. Briefly describe the sources which govern the operations of state court systems. Answer: State court systems are created, and their operations are governed, from three sources. First, state constitutions provide the general framework for the court system. Second, the state legislature, pursuant to constitutional authority, enacts statutes that add body to the framework. This legislation provides for various courts, establishes their jurisdiction, and regulates the tenure, selection, and duties of judges. Other legislation may establish the general rules of procedure to be used by these courts. Each court sets forth its own rules of procedure within the statutory bounds. These rules are detailed and may specify, for example, the times when various documents must be filed with the court clerk. AACSB: Analytical Thinking Blooms: Remember TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System 97. Beatrice owns a trucking company in Texas and is looking for a few new trucks to add to her fleet. She buys three trucks, each valued at $50,000, from Ted & Larry Trucks, Inc. However, when Beatrice receives the trucks, she finds that they are in a state of disrepair. When preparing for bringing a suit against Ted & Larry Trucks, Beatrice finds out that the partnership was created in Louisiana, where Larry lives, and Ted lives in Texas. Should Beatrice file her claim in a state or a federal court? Answer: Beatrice must file her claim in a state court as there is no complete diversity. To file a suit in a federal court, there must be complete diversity, and diversity jurisdiction is based on the citizenship of all members of a partnership. There is no diversity as Beatrice is from Texas and so is Ted. Therefore, even though the amount in controversy is over $75,000 and the partnership is located in Louisiana, the fact that Ted lives in Texas destroys diversity. Diversity of citizenship requires that all plaintiffs be citizens of different states from all defendants. If a case involves a party on one side that is a citizen of the same state as a party on the other, there will then be no diversity of citizenship and thus no federal jurisdiction. AACSB: Reflective Thinking Blooms: Apply Difficulty: 3 Hard Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System 98. What is one of the reasons Congress provides for diversity of citizenship jurisdiction, and how can this help a litigant? Answer: One of the reasons Congress provides for diversity of citizenship jurisdiction is to guard against state court bias against the nonresident party in a lawsuit. Because the biggest increase in federal lawsuits in recent years has been over businesses suing one another in contract disputes, diversity jurisdiction preserves the sense of fairness in such situations when one of the parties is out of state. AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System 99. What is the extent of federal jurisdiction in matters of state court decisions? TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Answer: The federal district courts and courts of appeals cannot review, retry, or correct judicial errors charged against a state court. Final judgments or decrees rendered by the highest court of a state are reviewed only by the Supreme Court of the United States. State cases reviewed by the U.S. Supreme Court must concern a federal question involving the validity of state action on the grounds that the statute under review is repugnant to the Constitution, treaties, or laws of the United States. If a case does not involve a federal question, the decision of the highest state court is not subject to review by the Supreme Court of the United States. AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System 100. Explain the requirements of diversity of citizenship. Answer: Diversity of citizenship requires that all plaintiffs be citizens of different states from all defendants. If a case involves a party on one side that is a citizen of the same state as a party on the other, there will then be no diversity of citizenship and thus no federal jurisdiction. Courts have held that it is the citizenship of the party in the case that determines whether diversity of citizenship exists. For example, diversity jurisdiction is based on the citizenship of all members of a partnership. AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System 101. Briefly describe the judicial power of the federal courts. Answer: The judicial power of the federal courts has been limited by Congress. Essentially, it extends to matters involving (a) questions of federal law—federal question cases, (b) the United States as a party, (c) controversies among the states, and (d) certain suits between citizens of different states—diversity of citizenship. Federal question cases may be based on issues arising out of the U.S. Constitution or out of federal statutes. Diversity of citizenship requires that all plaintiffs be citizens of different states from all defendants. AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro 102. What issues can form a basis for a federal question case? Answer: Federal question cases may be based on issues arising out of the U.S. Constitution or out of federal statutes. Any amount of money may be involved in such a case, and it need not be a suit for damages. For example, a suit to enjoin a violation of a constitutional right can be filed in a federal court as a federal question case. These civil actions may involve matters based on federal laws such as those dealing with patents, copyrights, trademarks, taxes, or employment discrimination. The rights guaranteed by the Bill of Rights of the Constitution also may be the basis for a federal question case. AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System 103. Briefly discuss the application of diversity jurisdiction to business corporations. Answer: The fact that business corporations, which are considered persons before the law, are frequently incorporated in one state and have their principal place of business in another state causes problems in determining when diversity of citizenship exists. For purposes of diversity jurisdiction, a corporation is a citizen of the state of incorporation and also a citizen of the state in which it has its principal place of business. Thus, a Delaware corporation with its principal place of business in Illinois is a citizen of both Delaware and Illinois for purposes of diversity. If any party on the other side of a lawsuit with such a corporation is a citizen of either Illinois or Delaware, there is then no diversity and no federal jurisdiction. AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System 104. Briefly explain jurisdiction of courts. Answer: Jurisdiction refers to the power of a court, at the state or federal level, to hear a case. For any court to hear and decide a case at any level, it must have subject matter jurisdiction, which is the power over the issues involved in a case. Some state trial courts have what is called general jurisdiction, or the power to hear any type of case. Other state courts have only limited jurisdiction, or the power to hear only certain types of cases. Jurisdiction may be limited as to subject matter, amount in controversy, or area in which the parties live. TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System 105. Briefly discuss why trial courts with general jurisdiction cannot attempt to resolve every dispute or controversy that may arise. Answer: Even trial courts, which are courts of general jurisdiction, cannot attempt to resolve every dispute or controversy that may arise. Some issues are simply nonjusticiable. For example, courts would not attempt to referee a football or basketball game. They would not hear a case to decide how English or math should be taught in the public schools. Moreover, courts do not accept cases involving trivial matters. AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System 106. Briefly describe what happens when the U.S. Supreme Court reviews petitions for a writ of certiorari. Answer: When the U.S. Supreme Court reviews petitions for a writ of certiorari, the writ is granted if four of the nine justices vote to take a case. The Supreme Court spends a great deal of time and effort in deciding which cases it will hear. It is able to pick and choose those issues with which it will be involved and to control its caseload. The Supreme Court normally resolves cases involving major constitutional issues or interpretation of federal law. AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System 107. Briefly describe federal district courts. Answer: The federal district courts are the trial courts of the federal judicial system. There is at least one such court in every state and the District of Columbia. These courts have the authority to review lawsuits, receive evidence, evaluate testimony, impanel juries, and resolve disputes. Most significant federal litigation begins in this court. The Federal Rules of Civil Procedure provide the details concerning procedures to be followed in federal court litigation. These rules TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro are strictly enforced by the courts and must be followed by the parties in every lawsuit. AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System 108. When is a petition for a writ of certiorari granted? Answer: A petition for a writ of certiorari is a request by a losing party in the court of appeals for permission to file an appeal with the U.S. Supreme Court. In such situations, the Supreme Court has discretion as to whether it will grant the petition and allow another review. This review is not a matter of right. Writs of certiorari are granted primarily in cases of substantial federal importance or where there is an obvious conflict between decisions of two or more U.S. Circuit Courts of Appeal in an important area of the law that needs clarification. Pursuant to the U.S. Constitution (Art. III. Sec. 2), the Supreme Court also has original jurisdiction over a small range of cases, including those affecting ambassadors and in which the state is a party. When the U.S. Supreme Court reviews petitions for a writ of certiorari, the writ is granted if four of the nine justices vote to take a case. The Supreme Court spends a great deal of time and effort in deciding which cases it will hear. It is able to pick and choose those issues with which it will be involved and to control its caseload. The Supreme Court normally resolves cases involving major constitutional issues or interpretation of federal law. AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-02 To know the organization of the state and federal court systems. Topic: Organization of the Court System 109. Briefly explain the approach used by followers of judicial restraint toward litigation. Answer: Followers of judicial restraint often take a pragmatic approach to litigation. Whenever possible, decisions are based on the facts rather than a principle of law. Reviewing courts exercising judicial restraint tend to accept the trial court decisions unless they are clearly wrong on the facts or the law. If there is any reasonable basis for the lower court decision, it will not be reversed. Such courts often engage in a balancing approach to their decisions. They weigh competing interests. For example, justices who adhere to judicial restraint often weigh the rights of the person accused of crime with the interests of the victim and of society in determining the extent of the rights of the accused in criminal cases. AACSB: Analytical Thinking TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review 110. How does the philosophy of activist judges both respond to and advance society? Answer: Those who believe in the philosophy of judicial activism believe that courts have a major role to play in correcting wrongs in the society. To them, courts must provide leadership in bringing about social, political, and economic change because the political system is often too slow or unable to bring about those changes necessary to improve society. Activists tend to be innovative and less dependent on precedent for their decisions. They are value oriented and policy directed. Activist jurists believe that constitutional issues must be decided within the context of contemporary society and that the meaning of the Constitution is relative to the times in which it is being interpreted. Activists believe that the courts, and especially the Supreme Court, sit as a continuing constitutional convention to meet the needs of today. AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review 111. Why are those who believe in judicial restraint against constitutional issues decided by courts unless absolutely necessary? Answer: Those who believe in judicial restraint think that many constitutional issues are too important to be decided by courts unless absolutely necessary and are to be avoided if there is another legal basis for a decision. They believe the proper use of judicial power demands that courts refrain from determining the constitutionality of an act of Congress unless it is absolutely necessary to a decision of a case. This modest view of the role of the judiciary is based on the belief that litigation is not the appropriate technique for bringing about social, political, and economic change. AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Topic: The Power of Judicial Review 112. Why is the Supreme Court far more likely to review and reverse a decision rendered by the Ninth Circuit Court of Appeals? Answer: The Supreme Court is far more likely to review and reverse a decision rendered by the Ninth Circuit Court of Appeals. Many commentators attribute the difference to the judicial activism of the Ninth Circuit, which often is at odds with the philosophy of judicial restraint found in the Supreme Court in recent years. In contrast, decisions rendered by the Fourth Circuit Court of Appeals tend to be far more conservative or consistent with the philosophy of judicial restraint. AACSB: Analytical Thinking Blooms: Understand Difficulty: 2 Medium Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review 113. Briefly describe the most significant power of the U.S. courts. Answer: In the United States, the most significant power of the courts, or judiciary, is judicial review, which is the power to review laws passed by the legislative body and to declare them to be unconstitutional and void. It also allows the courts to review actions taken by the executive branch and to declare them unconstitutional. Although the Constitution does not expressly provide that the judiciary shall be the overseer of the government, the net effect of this power is to make it so. AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-03 To understand the power of judicial review and the philosophies of judicial restraint and judicial activism. Topic: The Power of Judicial Review 114. Provide insight into the general alignment of the current justices of the U.S. Supreme Court. Answer: Chief Justice John Roberts, Justice Antonin Scalia, Justice Samuel Alito, and Justice Clarence Thomas are considered to be right-wing justices. Justice Stephen Breyer, Justice Sonia TEST BANK for The Legal and Regulatory Environment of Business 17th Edition by Marisa Pagnattaro Sotomayor, Justice Elena Kagan, and Justice Ruth Bader Ginsburg are considered to be left-wing justices. Justice Anthony Kennedy’s vote is seen as a swing vote. However, this overall perspective does not translate into predictability. AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-04 To appreciate and contrast the background and judicial alignment of the justices of the U.S. Supreme Court. Topic: The Power of Judicial Review 115. What is the result of the passing of the Patient Protection and Affordable Care Act? Answer: Passed by Congress in 2010, the Patient Protection and Affordable Care Act heath care reform is a defining legislative achievement of President Obama’s presidency. The National Federation of Independent Business v. Sebelius involves legal challenges to the Patient Protection and Affordable Care Act. The 5–4 decision of the case upheld the individual mandate requiring all Americans who are not exempt for religious or other reasons and who can afford health insurance coverage to obtain coverage or be subject to a penalty. The Supreme Court also substantially limited the Affordable Care Act’s expansion of Medicaid by allowing states to opt out. Overall, the decision has resulted in many more Americans covered by health care insurance. AACSB: Analytical Thinking Blooms: Remember Difficulty: 1 Easy Learning Objective: 03-05 To analyze a sample case from the U.S. Supreme Court, including the majority, concurring, and dissenting opinions. 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