Exam 16: Management of Employee Conduct: Agency

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Jane and Joseph Sechrist signed a contract to have a swimming pool built in their backyard for $10,000.The salesman for the pool company signed the contract as well on a space marked "Salesperson." Two days after the contract was signed,the salesman called the Sechrists back and asked them to come in and sign a new contract for $11,000 because the vice president had not approved the original price.Jane has checked the contract and discovered that there is no language that requires the approval of anyone other than the salesperson.Jane and Joseph can have their pool built for $10,000 because:

(Multiple Choice)
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Alan Freeman and Bill Freeman,brothers,operated a residential construction firm.There were three divisions of the firm: single-family homes,townhomes,and custom homes.Alan did not enjoy the demands of custom home buyers and Bill did not enjoy the cookie-cutter work of the other divisions.The brothers agreed to split the business with Bill assuming the responsibilities and contracts of the custom home division and Alan handling the remaining divisions.Alan told Bill he could continue to use the company offices until he was able to find offices of his own.Bill met his clients at the company offices,used the plans of the company and even continued to use the company stationery.Three months later Bill left town,leaving custom homes unfinished and taking the deposits of three customers with him.The customers have sued Alan.Which of the following statements is true?

(Multiple Choice)
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What is the general rule with regard to employer liability for employee accidents occurring while the employee is on the way to work?

(Multiple Choice)
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An employee who is asked to take company cash to the bank on his lunch hour is not in the scope of employment during that lunch hour.

(True/False)
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Agents in undisclosed principal situations never have personal liability.

(True/False)
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Post-employment non-compete agreements are unenforceable.

(True/False)
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The public policy exception to employment at will does not afford protection for whistle-blowers.

(True/False)
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Agents can collect payoffs made during the course of conducting the principal's business.

(True/False)
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Under apparent authority:

(Multiple Choice)
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In a master/servant relationship,the principal exercises little control over the agent.

(True/False)
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A fiduciary is required to:

(Multiple Choice)
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James Schoenberger interviewed for a position with the Chicago Transit Authority (CTA).He talked with the person who would ultimately be his supervisor,Zu Christian,and was offered a salary of $19,300.Under CTA procedures,only the Placement Department could give final salary figures.When Placement's figure for Schoenberger was computed,it was lower,and Schoenberger sued for the higher figure.CTA claimed Zu Christian had no authority to offer a particular salary.Discuss the legal issues in the case from both CTA's and Schoenberger's perspectives.

(Essay)
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Discuss the requirements for ending an agency relationship.

(Essay)
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Personnel manuals have been held to constitute an employee contract.

(True/False)
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The purpose of anti-retaliation statutes is to protect:

(Multiple Choice)
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An independent contractor is not controlled directly by the principal.

(True/False)
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A real estate agent who represents both buyer and seller in a transaction without disclosure to both has breached the duty of loyalty.

(True/False)
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An independent contractor is not an agent of the principal.

(True/False)
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Respondeat superior is no longer applied in agency relationships.

(True/False)
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Which of the following would be an inherently dangerous activity that would result in the principal's liability for the actions of an independent contractor?​

(Multiple Choice)
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