BUSINESS LAW – BUAD 38
Using the book and class discussions, the objective for the student taking this exam is to use what was learned during class and from the reading assignments, to answer each question following the IRAC format. Additionally, the student taking this exam is expected to answer each question it its entirety, i.e. provide an answer that demonstrates that the student knows how to fully complete the legal process from beginning to end. The applicable rule(s) for each question/scenario is in the book and/or was discussed in class.
QUESTION NO. 1:
FACTS:
Jerry Maguire is an at-will employee of Sports Management, Inc. (“SMI”) and represents 100 of the 1500 clients the agency has. Mr. Maguire authors a publishing that he believes is a “mission statement” but is considered a “memorandum” suggesting that the business needs to be “smaller, fewer clients, less money, more personal attention.” Mr. Maguire is terminated seven days after presenting the writings to the entire agency. In the seven days before Mr. Maguire was terminated, Bob Sugar contacted all of Mr. Maguire’s 100 clients to have the clients terminate Mr. Maguire as their agent and/or representative and sign with SMI. On the date that Mr. Maguire was terminated by SMI, he learned that Mr. Sugar had been in contact with his clients and when he spoke to each client, 98 of them informed Mr. Maguire that they would stay with SMI, 1 (Frank Cushman) was unavailable by phone, and 1, Rod Tidwell, stated he would keep Mr. Maguire as his agent. Mr. Maguire flies to Texas to Matt Cushman’s house, i.e. Frank’s father, to meet in person to keep Frank Cushman as a client. When Mr. Maguire arrived, Matt informed Mr. Maguire that they were keeping Mr. Maguire as Frank’s agent. Matt informed Mr. Maguire that he “doesn’t do contracts, but what you have is my word, and its more solid than oak.” Frank Cushman is the top draft prospect destined to be the top pick by either San Diego or Denver. Matt wants Frank to play in Denver. Mr. Maguire attends all the pre-draft events as Frank’s agent and has begun negotiating with both San Diego and Denver. Mr. Maguire takes an hour break to give attention to Mr. Tidwell, who also attended the pre-draft events for publicity. During the hour break, Mr. Sugar meets with Matt Cushman and informs him that Denver does not want to work with Mr. Maguire. Frank Cushman signs a written contract with Mr. Sugar and SMI. Mr. Maguire learns of the written contract between Frank and Mr. Sugar and is no longer the agent of Frank Cushman, who is drafted first overall the next day. You have been hired to represent the legal interests of Mr. Maguire? What actions do you take on Mr. Maguire’s behalf? (Note: Breach of Contract, Intentional Interference with Contract have been discussed in class).
QUESTION NO. 2:
FACTS:
You are the owner and operator of a new electronics store in Baltimore City. Your grand opening will be Thanksgiving for a pre-Black Friday sale. You are selling brand new 70 inch Samsung televisions for $800.00 and the first 20 of those televisions for $500.00. Your doors will open at 9pm on Thanksgiving. You have 5 employees working at the store as cashiers and your other 5 employees working that day in other capacities, 2 of whom will open the doors at 9 pm. At approximately 8 pm, approximately 250 people are standing outside of your store’s entrance. At approximately 9 pm, the doors open and people storm your store. During the storm of people into your store, 3 people are injured. One person was injured when she fell and was trampled. The second person was in a wheelchair and was injured when they fell from their chair and was trampled. The third person was one of your employees that opened the door and he was trampled when as soon as he opened the doors, the people that stormed the store trampled him. All three persons file a lawsuit claiming negligence and/or gross negligence for the injuries they sustained. Who are they suing and what will the results be?
QUESTION NO. 3:
FACTS:
You are the owner and operator of a restaurant that stays open 24 hours a day. On Friday night, a group of teenage patrons entered your restaurant, dined and were disorderly in their conduct towards other patrons. Your employee, Shelly, the manager, kindly asked the group of teenage patrons to leave. One teenager, Ashanti, responded with profanities to Shelly telling her that she was not leaving and threatened to “kick her ass.” Shelly, responded, “I wish you would,” at which time, Ashanti physically attacked Shelly by punching her repeatedly. Ashanti defended herself and got Shelly off of her and then proceeded to strike Ashanti repeatedly causing Ashanti to fall back and hit her head awkwardly on the ground, causing Ashanti to become paralyzed from the waist down. Ashanti files a lawsuit against Shelly and your company. What are the legal theories of the lawsuit and what will be the result?
QUESTION NO. 4 (10 points):
TRUE OR FALSE:
If you file a lawsuit against someone for breach of contract and are successful at trial, you are always guaranteed to have your attorney’s fees paid.
QUESTION NO. 5 (10 points):
TRUE OR FALSE:
In Maryland’s circuit court, during discovery, you can only make 30 requests for production of documents.
QUESTION NO. 6 (10 points):
TRUE OR FALSE:
In a corporation, the Board of Directors is required to follow the Articles of Incorporation.
QUESTION NO. 7 (10 points):
TRUE OR FALSE:
The State of Maryland is part of the U.S. Court of Appeals’ Fourth Circuit.
QUESTION NO. 8 (10 points):
TRUE OR FALSE:
The State of Maryland is part of the U.S. Court of Appeals’ Fourth Circuit.
QUESTION NO. 9 (10 points):
TRUE OR FALSE:
Rescission is the voiding of an offer before acceptance.
QUESTION NO. 10 (10 points):
TRUE OR FALSE:
The purpose of discovery is to give the parties a chance to settle the case before trial.
