Business Entities and Partnerships
1: M&W Big Bang, Inc. never registered a business entity. What kind of business arrangement are they?
What is a general partnership?
6: Vic sues Matt and Winston for $60,000, and Matt and Winston live in the same state. Can Vic bring this suit to federal court?
What is no?
11a: Matt sues Winston despite a binding arbitration clause. What will happen to Matt's lawsuit against Winston?
What is the court dismisses the lawsuit and compels arbitration?
14: Congress passes a law that all stink bombs must have a noticeable warning label attached to them prior to sale. What are Congress’s best arguments that the law is constitutional?
What is the Commerce Clause?
16b: What is Cory's attorney's argument against the charge?
What is lack of intent?
2: Vic wins a lawsuit for $100,000 against M&W Big Bang, Inc. Who pays what between Matt and Winston?
What is joint and several liability?
7: Vic sues Cory for $81,000, and they live in different states. Can Vic bring this to federal court?
What is yes?
11b: Matt sues Winston despite a binding arbitration clause. How will this dispute be resolved given the presence of the 2015 agreement?
What is arbitration?
15a: SC bans TV ads for stink bombs. What type of speech is being regulated? How can you tell?
What is commercial speech?
17: Assuming that the same facts can be proven in both cases, why might Cory be found not guilty in the criminal cases but be found liable in the civil cases?
What is the different burdens of proof?
3: Winston invented "The Big Cheese," but Matt had no involvement in its creation or marketing. Is Matt still liable?
Yes-partners share liability for acts in the ordinary course of business.
8: How are attorney fees likely structured for Vic vs the defendants (Matt, Cory, and Winston)?
What is a contingency fee (a. Vic) and the hourly billing (b. defendants)?
12: If you were Cory's criminal defense lawyer, would you prefer a jury trial or a bench trial?
What is a bench trial?
15b-c: SC bans TV ads for stink bombs. What is M&W’s likely argument as to why the prohibition should be unconstitutional (b)? What is the state’s likely argument as to why the prohibition should be constitutional (c)?
What is banning truthful ads for a lawful practice is unconstitutional (b), and protecting public safety is a substantial interest (c)?
18: Assess the strength of the criminal case against Cory. Conclude your assessment with how you would vote if you were a juror.
What is the criminal case weak, and I would vote not guilty?
4: What entity should they have formed in 2015 to protect themselves?
What is a limited liability corporation (LLC)?
9a: Vic serves Cory with papers while he is visiting relatives in New Hampshire. Can a New Hampshire court hear the case?
What is yes?
10: What should Cory do and not do in his deposition?
What is being truthful?
15d: SC bans TV ads for stink bombs. Who do you think has the more persuasive argument?--the state or M&W?
What is M&W?
19: Intentional torts Cory could face if he threw the bomb?
What is battery, assault, and trespass to land?
5: Vic wins $250,000, but the company only has $150,000 in assets. How could she reach the owners' personal assets?
What is piercing the corporate veil?
9b: How else might the case be validly heard by a New Hampshire court?
What is minimum contacts or consent to jurisdiction?
13: South Carolina has many state regulations regarding the sale of fireworks, and
a fireworks store must have a state license to operate. Can Winston refuse a state fireworks inspector without a warrant?
What is no?
16a: What are the mens rea and actus rea of the crime of destruction of property?
What is the intent to damage property, and the act of causing damage?
20: Negligence elements in Vic v. Cory and likely verdict.
What is duty, breach, causation, and damages, and Cory is liable?