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State courts are superior to federal courts.​

A) True
B) False

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Most online dispute resolution services apply international principles promulgated by the United Nations to resolve disputes.​

A) True
B) False

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The term alternative dispute resolution refers to methods for resolving disputes outside the traditional judicial process.​

A) True
B) False

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The amount in controversy in a diversity of citizenship case must be more than $1 million before a federal court can take jurisdiction.​

A) True
B) False

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A choice-of-law clause is a provision in a contract that excuses a party from liability for nonperformance due to "acts of God."​

A) True
B) False

Correct Answer

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Negotiation is the most complex form of alternative dispute resolution.​

A) True
B) False

Correct Answer

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D'Antoni files a suit in a federal district court against Enya. D'Antoni loses the suit, appeals to the U.S. Court of Appeals for the Ninth Circuit, and loses again. D'Antoni asks the United States Supreme Court to hear the case. The Court is​


A) ​not required to hear the case.
B) ​required to hear the case because D'Antoni lost in a federal court.
C) ​required to hear the case because D'Antoni lost in a lower court.
D) ​required to hear the case because it is an appeal.

E) A) and B)
F) None of the above

Correct Answer

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First Community Credit Union and General Hydraulics. Inc., have their dispute resolved in arbitration. Before determining the award, the arbitrator meets with First Community's representative to discuss the dispute without General Hydraulics' representative being present. If this meeting substantially prejudices General Hydraulics' rights, a court will most likely​


A) ​compel arbitration.
B) ​review the merits of the dispute.
C) ​review the sufficiency of the evidence.
D) ​set aside any award.

E) All of the above
F) A) and B)

Correct Answer

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A court's review of an arbitrator's award may be restricted.​

A) True
B) False

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International treaties often stipulate arbitration for resolving disputes.​

A) True
B) False

Correct Answer

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McHenry, a New York resident, files a suit in a New York state court against OneWorld Inc., a company based in California. OneWorld's only contact with McHenry is the company's app, which McHenry downloaded while traveling across the United States. According to the sliding-scale analysis, the factor most likely to confer jurisdiction on the New York court is​


A) ​the geographical distance between McHenry and OneWorld.
B) ​the degree of interactivity via the app between McHenry and OneWorld.
C) ​OneWorld's location when the app was created.
D) ​McHenry's location when the app was downloaded.

E) None of the above
F) A) and B)

Correct Answer

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Norwest Trucking Corporation files a suit in a state court against Bob's Service Company (BSC), and wins. BSC appeals the court's decision, asserting that the evidence presented at trial to support Norwest's claim was so scanty that no reasonable jury could have found for the plaintiff. Therefore, argues BSC, the appellate court should reverse the trial court's decision. Is the appellate court likely to reverse the trial court's findings with respect to the facts? If not, why not? What are an appellate court's options after reviewing a case?​

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An appellate court will reverse a lower ...

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