Limited liability company Essay Example

Limited liability company Paper 1. Tortfeasor is the term for a person who commits a tort True 2. Proximate cause exists when injuries sustained were too remotely connected to an incident to trigger liability False 3. Bona fide competitive behavior can constitute wrongful interference with a contractual relationship False 4. An ordinary person standard determines whether allegedly negligent conduct resulted in a breach of a duty of care False 5. Hilliard, a clerk at a Games Unlimited store, takes a video player from the store without permission. Hilliard is liable for Conversion 6. Clem, a Delite Dairy salesperson, follows Edna, a salesperson for a Festive Foods, a Delite competitor, as Edna visits stores to make sales. Clem solicits each of edna’s customers. Clem is most likely liable for Wrongful interference with a business relationship 7. Levon leaves his truck at Makeright Vehicle Shop for repair. When Levon refuses to pay for the work, makeRight refuses to give him possession of the truck. Makeright has committed Trespass to personal property 8. A Rhode Island state imposes fines on tire repair business whose pneumatic equipment does not include automatic shut-off switches to protect employees. We will write a custom essay sample on Limited liability company specifically for you for only $16.38 $13.9/page Order now We will write a custom essay sample on Limited liability company specifically for you FOR ONLY $16.38 $13.9/page Hire Writer We will write a custom essay sample on Limited liability company specifically for you FOR ONLY $16.38 $13.9/page Hire Writer Bob’s Brakes Tires, Inc. , does not have the switches on its equipment. Center, a Bob’s employee, suffers an injury that a shut-off switch would have prevented. Carter’s best theory for recovery is Negligence per se 9. Under the theory of negligence, a breach of the duty of care requires a careless act False 10. Causation in fact exist if an injury would not have occurred without the defendant’s act True 11. A defense available in an action based on a negligence theory is that the plaintiff failed to prove one or more of the required elements True 12. An individual’s right to privacy includes the exclusive use of his or her likeness True 13. A superseding cause is an intervening event that imposes liability on a defendant for injuries caused by the intervening event False 14. Great Tans, Inc. , uses, in its radio ads, a recording by Holly, who owns the rights, without paying for the use. Over time, the song comes to be associated with great Tans. In Holly’s suit against Great Tans, the firm is most likely liable for Appropriation 15. In many states, the plaintiff’s negligence is a defense that may be raised in a negligence suit True. 16. Nesbit publishes in a newspaper an account of the sex life of Merinda, who is not a public figure. The information is true. This is most likely An invasion of privacy 17. Only a foreseeable intervening event can break the connection between a wrongful act and an injury to another False 18. Self-defense is a defense to a charge of assault True 19. An artisan’s lien is a defense to a charge of trespass to personal property True 20. A person assumes all risks associated with any activity in which he or she participates False 21. Strict liability is imposed based on fault False. 22. To avoid strict product liability, a manufacturer must make a product entirely safe for all users False 23. Green Glass Corporation makes glass bottles for food and beverage makers to package their products for wholesale distribution and retail sale. Liability may be imposed on Green Glass based on A manufacturing defect 24. Misrepresentation on a label is not enough to show an intent to induce the reliance of anyone who may use the product False 25. Horizon Corporation makes cell phones. Ginvera files a product liability suit against Horizon, alleging a design defect. Under the Restatement (third) of torts: products liability, in deciding whether to hold Horizon liable, the court may consider the reasonableness of An available alternative design 26. Toyoda company buys gas pedals and other parts from subcontractors and puts them in its vehicles without changing their composition. If the pedals of other parts are defective, strictly liable for any damage caused by the defects are Toyoda and the subcontractors 27. Farm Equip, Inc. , makes farming machinery. Gail discovers that her Farm Equip tractor is defective and sues the maker for product liability based on negligence. To win, Gail must show that Gail suffered an injury caused by the defect 28. Medic Equip, Inc. , makes medical devices. Naomi is injured while using a Medic pacemaker and sues the maker for a product liability based on strict liability. To win, Naomi must show that None of the choices 29. GR8 skates Company makes and sells a pair of skates to Homer. GR8 fails to exercise â€Å"due care† to make the skates safe, and homer is injured as a result. GR8 is most likely for Negligence 30. A manufacture’s duty of care does not extend to the inspection and testing of products bought to incorporate on the final product False 31. An action in strict product liability requires that the defendant fail to exercise reasonable care True 32. Stable Tool Company makes hedge trimmers. Troy is injured while using a Stable trimmer and uses the company for product liability based on negligence. To win, Troy must show that Stable did not use due care with respect to the trimmer 33. A seller must warn those who buy a product of harm that could result from the foreseeable misuse of the product True 34. The basis for applying strict liability is an intentional wrongful act False 35. Universal assembly company makes espresso machines and sells one to Vim through a misrepresentation on the label on which Vim relies and that results in an injury to Vim. Universal is most likely liable for Fraud 36. Rhiana is shopping in Seth’s Food Store when a bottle of truly Bubbly Cola explodes, injuring her. Rhiana files a suit against Truly Bubbly, from whom she can recover only if she can show that she Was injured due to a defect in the product 37. A person who keeps a domestic animal may be strictly liable for any harm that the animal inflicts True 38. Due care must be exercised in designing a product True 39. Sellers or lessors are liable only for products that are reasonably dangerous False 40. Ketchen Kutters Corporation (KKC) makes kitchen knives and other consumer products. KKC could be liable for a design defect if there is a foreseeable risk of harm posed by a product and There is a reasonable alternative design Chapter 15-16 1. The holder of an artisan’s lien can foreclosure and sell the property subject to the lien to satisfy the debt True 2. Tippi believes that she needs to obtain a discharge in bankruptcy through an individual’s repayment plan. This proceeding can be initiated by a filing of a petition by A debtor 3. Any â€Å"person† may be a debtor in a liquidation proceeding. False 4. Francie’s debt to Gage is past due. Gage brings a legal action against Francie to collect the debt. To ensure that a judgment in Gage’s favor will be collectable, Gage asks the court to order the seizure of Francie’s property. This is a request for A writ of attachment 5. Ping’s debt to Oak Furniture Warehouse is past due. Oak obtains a judgment against Ping, but Ping refuses to pay it. Oak asks the court for an order that directs the sheriff to seize ad sell any of Ping’s nonexempt real or personal property that is within the court’s geographic jurisdiction. This is a request for A writ of execution 6. Mary’s home is in a state that has a $30,000 homestead exemption. Mary defaults on a $60,000 debt that she owes to Nina. Mary’s home is sold at auction for $80,000. Refer to Fact Pattern 15-2B. If Nina recovers less than she is owed, she can realize the difference form Only nonexempt property that Mary owns 7. If a creditor obtains a judgment against a debtor an the debtor cannot or will not pay the judgment, the dispute is at an end False 8. Teona files a voluntary petition in bankruptcy for relief through a liquidation. Debts that will not be discharged include claims for Domestic-support obligations 9. If a debtor’s income is below the median income, there is a presumption of bankruptcy abuse False 10. Certain liquidation cases may be converted to repayment plan cases with the consent of the debtor True 11. To adjust debt an institute a repayment plan, Charlie-who is not a corporation, a partnership, or a family farmer or fisherman-may file a petition in bankruptcy for relief through A repayment plan 12. One of the primary effects of a discharge is to relieve the liability of a co-debtor False 13. In a repayment plan case, after the debtor has completed all payments, the court grant a discharge of all debts provided for by the plan True 14. Bartleby owns $5000 to Countryside Credit Union. As a prejudgment remedy to collect the debt, countryside could use Attachment 15. The content of a family-fisherman bankruptcy plan is basically the same as that of a repayment plan True 16. Hasty Pastries declares bankruptcy, idling Hasty’s delivery vehicles. The court can compel Hasty to make periodic cash payments to a creditor with a secured interest in the vehicles to offset the depreciation in their value. This is The adequate protection doctrine 17. Wilbur files a petition in bankruptcy for relief through an individual’s repayment plan. Wilbur is granted a discharge. Debts that will not be discharged include claims for Fraudulently incurred debt 18. Personal property that is most often exempt from satisfaction of judgment debts does not include livestock False 19. Flip’s debt to George is past due. George brings a legal action against Flip to collect the debt. George asks the court to order Home Bank, in which Flip has an account, to pay a portion of the funds to George. This is a request for An order of garnishment 20. Each state permits a debtor to retain the family home, in its entirely or in part, free from the claims of unsecured creditors True 21. A lender’s failure to comply with federal mortgage disclosure requirements extends the borrower’s right to rescind the loan to no more than seven days False 22. A deficiency judgment requires a borrower to pay the amount of debt remaining after the collateral is sold True 23. A subprime mortgage is a loan made to a borrower who does not qualify for a standard mortgage True 24. Great Plain Bank provides a loan to enable Helene to buy a real property. This loan is A mortgage 25. The average prime offer rate is the rate offered to the least qualified borrower as established by a survey of potential borrowers False 26. Rita borrowers $30,000 from South State Credit Union, South State accepts Rita’s equity in her home as collateral, which can be seized if the loan is not repaid on time. This is A home equity loan 27. Money mortgage Mart makes a short-term loan to Natalie to allow her to make a down payment on a new home before selling her current home. This is A bridge loan  28. Under a deed in lieu of foreclosure, the property is coveyed to the lender in satisfaction of the mortgage True 29. Shade Tree Lending Corporation advertises loans as foxed-rate loans but, in fact, their rates or payment amounts will change. This is A violation of the law 30. Duran applies to EZ Credit Mortgage Company for $100,000 to buy a home. Ez Credit steers Duran toward an adjustable-rate mortgage even though he qualifies for a fixed-rate mortgage. This is Steering and targeting 31. Agnes borrowers $110,000 from Bay Harbor Bank to buy a home under a mortgage with an acceleration clause. After eighteen payments, Agnes stops making payments on the mortgage. Bay Harbor Can foreclosure on the entire amount of the loan 32. Property Financial Corporation makes loans that qualify, under a Federal Reserve Board amendment to Regulation Z, as Higher-Priced Mortgage Loans (HPMLs), Quinn applies to property Financial for an HPML. To make the loan, the lender must Verify the borrower’s ability to repay the loan 33. A recession is a written instrument that gives a creditor an interest in real property being acquired by a debtor as security for the debt’s payment False 34. Hill Dale Credit Corporation makes mortgage loan to consumers secured by their principal homes. For a Hill Dale loan to qualify as a Higher-Priced Mortgage Loan (HPML), its annual percentage rate must exceed, by a certain amount The average prime offer rate for a comparable transaction 35. Borrowers are required to recite the terms of their loans in clear, readily understandable language so that the lenders can make rational choices False 36. Federal law encourages private lenders to modify mortgages so as to lower the monthly payments of borrowers who are in default True 37. Northeast Bank makes mortgage loans to consumers, including Mai, to buy homes. Refer to Fact Pattern 16-18. Under Federal Law, disclosures with respect to one of Northeast’s loans must be provided A certain number of days before the loan is finalized 38. The loan that a lender provides to enable a borrower to purchase real property is a mortgage True 39. Kenton borrowers $150,000 from Liberty Home Finance Corporation to buy a home. Federal law concerns primarily What must be disclosed with respect to a mortgage 40. Laurel borrows $150,000 from Marketplace Mortgage Loans to buy a home. The financing documents require Laurel to maintain the property, obtain homeowners’ insurance, and pay all property taxes and other assessment through the lender. With respect to these terms, a court is most likely to Enforce them CHAPTER 17-18 1. Some states require franchisors to provide presale disclosures to prospective franchisees True 2. In a general partnership, the acts of one partner in the ordinary course of business subjects the other partners to personal liability True 3. A franchise is a contractual arrangement True 4. A franchisor can set the retail prices for the goods that a franchisee sells False 5. Property acquired by the partnership is the property of the partners individually False 6. The parties to a franchise arrangement may be two corporations True 7. Typically, the franchisee determines the territory to be served by the franchise False 8. Echo enters into an agreement with Deep Pan Pies, Inc. , to operate a franchise in Centre City. Later, Deep grants franchises to others within the city. Echo files a suit to close them. If the court rules Echo’s favor it will most likely be on the ground that Deep violated the implied covenant of good faith and fair dealing 9. A franchise contract may use only type of business organization-the sole proprietorship False 10. A partnership agreement can include almost any terms that the partners wish True 11. Savannah and Rex agree while taking on the phone to form a partnership to deal in sales of natural gas. Their partnership agreement is legally binding Only if the agreement is reduced to writing 12. Trina and Uri do business as value Gems. In acting on the firm’s behalf in a deal with World Diamond Exchange, Trina recklessly exceeds what value Gems can afford to pay, causing damage to the firm. Trina is Liable for breach of the duty of care  13. A sole proprietor has unlimited liability for all obligations that arise in doing business True 14. A partner who pursues his or her own interest automatically violates the partner’s fiduciary duties to the partnership False 15. Laws governing franchising are designed in part to prevent franchisors from terminating franchises without good cause True 16. Noah and Orin do business as Personnel Partners. In most states, for purposes of suing and being sued, Personnel Partners would be treated as An entity 17. Good faith and fair dealing are important in terminating a franchise relationship True 18. Cluckee Chick’n Corporation provides its prospective franchisees with projected earnings figures based on actual data. Cluckee Chick’n must also disclose The number and percentage of franchisees that achieved the figures 19. On a partner’s dissociation, his or her duty of loyalty to the partnership ends True 20. A franchise agreement between software Company and Games, Inc. , is silent on a time for termination of the franchise. Software may Terminate on reasonable notice 21. Genetic Innovations, LP, is a limited partnership. The partners sign an agreement purporting to state how the firm’s profits and losses are to be divided. The profits and losses of the firm will be divided According to the agreement 22. Mit-E Mart LLC was formed in New Jersey. Mit-E Mart’s members are Odel, who is a citizen of New Jersey, and Pola, who is a citizen of New York. For federal diversity jurisdictional purposes, Mit-E is a citizen of New Jersey and New York 23. If there is not limited liability company (LLC) agreement covering a topic dispute, the state LLC statute will govern the outcome True 24. In a limited partnership, a general partner’s dissociation from the firm may lead to dissolution True 25. CPA Accounting, LLC, is a limited liability company. If the law in CPA’s state is like the law in most states, unless the members have agreed otherwise, participants in the firm’s management will be considered to include All members 26. State law governs the formation of a limited partnership True 27. For federal income tax purpose, one-member limited liability companies are automatically taxed as sole proprietorships True 28. A limited partner who gives a general partner advice on matters relating to the management of the partnership cannot be liable as a general partner False 29. A limited liability company must be managed by non-member managers False 30. Limited liability companies (LLC) are governed by a federal LLC statute False 31. A limited liability company as an entity is not liable for the wrongful act or omissions of its members False 32. Fern and Gray want to form a limited partnership to manage two restaurants: Cafe Latte and Deli Delite. In most states, a limited partnership will be created when A certificate of limited partnership is filed 33. Some states have passed laws prohibiting the withdrawal of general partners form a limited partnership True 34. A limited liability company is not a citizen if any state False 35. In a limited liability partnership, the liability of a general partner is the same as the liability of a limited partner True 36. Vasil is considering forms of business organization for Vasili’s Designs an architectural firm. An advantage of a limited liability partnership is that partners may be able to avoid personal liability for Any partnership obligation 37. In a limited partnership, limited partners have essentially the same right as a general partners to participate in management False 38. A limited liability partnership allows its partners to avoid personal liability for the malpractice of other partners True  39. Location! Realty LLC is a limited liability company. Like other LLCs for federal jurisdictional purposes. Location! Realty is most likely a citizen of Every state in which its members are citizens 40. Bee Hive Honey, LLC’s members include Chad. For purposes of suing and being sued. Bee Hive Honey is A legal entity apart from the owners CHAPTER 19 1. Sophie and Tiny incorporate their beverage-container business as U-Twist Products, Inc. The first board of directors may be appointed by the firm’s Incorporators 2. Shareholders’ meetings need not occur at any certain interval False  3. A director or officer is not liable to the corporation for a bad business decision True 4. Skyla and Terry want to form and do business as Unbound Games Corporation. Most statutes governing the formation and use of corporations are guided by The Revised Model Business Corporation Act 5. The first step in the incorporation process is to select a state in which to operate True 6. Express power of a corporation are found in its articles of incorporation True 7. Felicity and Gideon want to form and do business as Home Healthcare Corporation. A corporation is An artificial person 8. A corporation is a legal entity created and recognized by federal law False 9. Clark is a shareholder of Bedrest Mattress Company. Clark will be deemed to have a fiduciary duty to Bedrest and its minority shareholders if he has A sufficient number of shares to exercise de facto control 10. The primary document needed to incorporate a business is the articles of incorporations True 11. Before shareholders can bring a derivative suit, they must submit a written demand to the corporation, asking the board of directors to take action True 12. Officers hire the directors and other executive employees False 13. Frida and Gregor want to market a new line of fishing gear. To avoid income taxes at the corporate level, they should form An S corporation 14. Viola is a director of Water Pure Corporation. With respect to Water Pure, Viola’s most important right is the right of Participation 15. Directors are entitled to use confidential corporate information for their personal advantage False 16. Each incorporator must have an interest in the incorporation False 17. Niki owns O. K. Oil Corporation. Niki uses O. K’s funds to pay her personal expenses, creates Pure Fuel Corporation to engage in the same business as O. K. , transfers O.K. , assets to Pure Fuel, and petitions O. K. into bankruptcy. This most likely warrants A pierce of O. K. ’s corporate veil 18. Like the bylaws of the other corporations, the bylaws of Farmland Equipment, Inc. , Were adopted at its first organizational meeting 19. Bret and Courtney from Delite Day Care, Inc. ultimate responsibility for policy decisions necessary to the management of corporate affairs rests with Delite’s Board of directors 20. Hailey and Ike hold the first organizational meeting of Java Drive-in Corporation. Probably the most important function of this meeting is Adopting Java’s bylaws 21. Dhani, an accountant for Eureka, Inc. learns of undisclosed company plans to market a new laptop. Dhani buys 1,000 shares of Eureka stock. He reveals the company plans to Fay, who buys 500 shares. Fay tells Geoff, who tells Hu, each of whom buy 100 shares. They knows that Fay got her information from Dhani. When Eureka publicly announces its new laptop, Dhani, Fay, Geoff, and Hu sell their stock for a profit Liable for insider trading 22. Start-up Enterprises, Inc. , completes its registration process and begins advertising the availability of its new issue of securities. Start-up places a tombstone ad in the financial papers. This as tells prospective investors Where to obtain a prospectus 23. Hometown Shops Retail Company has assets of less than $10 million and fewer than five hundred shareholders. Interstate Outlets, Inc. , has assets of more than $10 million and more than five hundred shareholders. The Securities Exchange Act of 1934 applies to Hometown Shops and Interstate Outlets 24. Maple Products Corporation is a public company, which New Hampshire regulates and in which Orin invests. The Sarbanes-Oxley Act of 2002 introduced direct federal corporate governance requirements to Public companies 25. â€Å"Forward-looking† financial forecast are protected against liability for securities fraud True 26. Sid, a director of Tech Software Company, learns that a Tech engineer has developed â€Å"Ur Call†, a new, exciting video game. Sid buys Tech stock and tells his friend Velma, who also buys Tech stock. When the new game is released three weeks later, Sid and Velma sell their stock for a big profit. Refer to Fact Pattern 29-1B. under SEC Rule l0b-5, Sid would not be liable if he had waited to buy Tech stock until After the public release of the game 27. Nouveau Riche Corporation, and its officers, directors, and shareholders, buy and sell securities. SEC Rule 10b-5 applies to The purchase or sale of any security 28. Catalina promises high returns to Darby and other investors, who then agree to trust their funds to Catalina. She uses these funds to pay previous investors. This is A Ponzi scheme 29. Corner Cafe Company offers its stock for sale only in a single state. The law in Corner’s state is like the law in most states. Corner’s offer is subject to state securities statutes that include Antifraud and disclosure provisions 30. Begin Anew Enterprise, Inc. , completes its registration process and issues a free-writing prospectus. This tells prospective investors That they may obtain the prospectus at the SEC’s Web Site 31. Under the Sarbanes-Oxley Act of 2002, chief executive officers no longer need to certify the accuracy of information in corporate financial statements False 32. Dave, an accountant, does not work for Emergent Company, but wrongfully obtains inside information concerning Emergent. Based on the information, Dave buys and sells Emergent stock for personal gain. The Securities and Exchange Commission prosecutes Dave, arguing that he is liable because he stole information rightfully belonging to another. This argument is The misappropriation theory 33. Heavy Hauling, Inc. , is a public company whose shares are traded in the public securities markets. Under the Sarbanes-Oxley Act of 2002, to ensure that Heavy Hauling’s financial results are accurate and timely, the firm’s senior officers must set up and maintain Internal â€Å"disclosure controls and procedures† 34. The Securities an Exchange Commission can seek sanctions against those who violate foreign securities laws True 35. Frothy Beverage Corporation is a public company whose shares are traded in the public securities markets. Under the Securities Act of 1933, Frothy is required to Disclose financial and other information about its securities 36. Most securities can not be resold without registration False 37. Lex, a salesperson for Macro Corporation, learns that Macro will increase the dividend it pays to shareholders. Lex buys 1,000 shares of Macro stock. When the price increases, Lex sells his shares for a profit. Lex would not be liable for insider trading if the information about the dividend was Public before he bought the stock 38. Accredited investors included banks, but not investment companies False 39. Securities must be registered under the Securities Act of 1933 for the Securities Exchange Act of 1934 to apply False 40. Players Video Game Centers, Inc. , wants to issue stock of $1 million in a single offering. Players must provide all investors with material information about itself, its business, and its securities if Any investors are unaccredited CHAPTER 20 AND 22 1. Bud approves on behalf of Cody-but without authorization-a contract with devon to build a new silo. Cody does not ratify the contract. Later, Devon tries to enforce the deal. This attempt will be Totally unsuccessful. 2. Prospective enterprises (PE) employs Quinn to buy property for a possible commercial development. Quinn secretly buys some of the property and sells it to PE at a profit. Quinn has breached The duty of loyalty 3. A principal owns his or her agent a duty to act in good faith True 4. A principal is exposed to tort liability whenever a third person sustains a loss due to an agent’s misrepresentation True 5. Independent contractors have no control over the details of their work performance False 6. Apparent authority arises from what the principal makes clear to the agent False. 7. Apparent authority usually comes into existence through a principal’s pattern of conduct over time True 8. Chelsea, an agent for Bountiful Seafood, Inc. , has often done business with Alvin’s Dockside Diner on Bountiful’s behalf. When Chelsea and Bountiful terminate their agency, to avoid liability for later deals, Alvin’s must be notified by Bountiful only 9. Rangle contracts with Siena to buy a certain horse for her. Rangler makes a deal with Timberline Stables, the owner of the horse, and makes a down payment. Siena fails to pay the rest of the price. Timberline sues Rangler for breach of contract. His right to hold Siena liable for any damages that he has to pay is the right of Indemnification 10. Meals n’More, Inc. , a catering company, requires its customers to pay by check. Lyra, a Meals n’More driver, tells customers that they can pay her with cash. When Meals n’More learns of Lyra’s collections, it takes no action to stop it. Lyra steals some of the cash. Meals n’More may suffer the loss under the doctrine of Apparent authority 11. An agent has the right to perform agency duties without interference by the principal True 12. All agency relationships are based on contract False 13. An agent has a duty to follow all clearly stated instructions of the principal, lawful or not False 14. Maya and Noel work at OpenFlo Plumbing Supply. Maya is a plumbing engineer who works with OpenFlo clients on residential plumbing and field draining and irrigation projects. OpenFlo closely supervises all of its engineers, and dictates their work schedules. Noel works part-time in the evenings cleaning the offices and warehouse. Refer to Fact Patern 20-1A. Maya is OpenFlo’s Employee and agent 15. Glen is an agent for Hi-Flite, Inc. On Hi-Flite behalf and its request. Glen pays lan for certain plane maintenance and repair services. Glen’s right to obtain the amount of those payments from Hi-Flite arises under the principal’s duty of Reimbursement 16. Fabulous Auto Sales, Inc. , employs GR8 Collection Company as a collection agency. While repossessing a car from Hadji, one of Fabulous customers, GR8 causes an accident in which Hadji is injured. Hadji can recover from Fabulous or GR8 17. When an agency relationship is terminated, the principal has a duty to personally notify third parties who knew of its existence False. 18. Louis, certified public accountant and an investor, and Maria, an insurance salesperson and a realtor, may create an agency relationship for A legal purpose only 19. An independent contractor may not act in the capacity of an agent False 20. Picabo drives a truck as an employee for Quick Delivery. Inc. , Picabo would most likely be considered acting outside the scope of their employment if she Crashed into a car at the airport while off duty 21. Employers who do not accommodate the needs of persons with disabilities must demonstrate that the accommodations would cause undue hardship True. 22. United Company replaces Vera, a forty-five-year-old employee, with Wendy. Vera files a suit against United under the Age Discrimination in Employment Act of 1967. To establish a prima facie case, Vera must show, among other things, that she is Qualified for the position 23. Constructive discharge is a theory that plaintiffs can use to establish any type of discrimination claims under the Civil Rights Act of 1964 True 24. State employers are not immune from private suits brought by the employees under the Americans with Disabilities Act of 1990 False 25. The civil rights Act of 1964 does not protect against reverse discrimination False 26. Dakota believes that Credit Services Corporation (CSC) has discriminated against her on the basis of gender. She files a suit against CSC under the Civil Rights Act of 1964. To establish a prima facie case of employment discrimination, Dakota must show that She is a member of a protected class 27. Pikabo files an employment discrimination suit against Quantitative Analysis, Inc. , under the Civil Rights Act of 1964, based on its discharge of Pikabo. Possible relief includes Reinstatement. 28. Under the age Discrimination in Employment Act of 1967, a plaintiff must prove that he or she was replaced by a person â€Å"outside the protected class† False 29. Maria, an employee of Nickel Tool Company, files a sexual-harassment suit against Owen, her supervisor. Maria wins. Nickel may also be liable if it had effective harassment polices and complaint procedures, and Maria followed them 30. Under the Age Discrimination in Employment Act of 1967, the plaintiff needs to show only that the employer was motivated in part by unlawful discrimination False 31. If a job applicant or an employee with a disability, with a reasonable accommodation, can perform essential job functions, the employer must make the accommodation True 32. The American with Disabilities Act of 1990 defines persons with disabilities as persons with physical as persons with physical or mental impairments that â€Å"substantially limit† their everyday activities True 33. Dick works for first City Bank. When his spouse Eline is diagnosed with Lou Gehrig’s disease, Dick asks to take temporary leave to care for her.