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When would a private trial usually occur?


A) Upon order of a federal judge only.
B) After a case has been filed in either state or district court.
C) Before a case has been filed in any court.
D) After a jury trial and prior to appeal.
E) After a case has been filed in federal court,but parties must wait at least 30 days.

F) A) and E)
G) C) and D)

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If Coleman and Jade agree to arbitrate their dispute with the American Arbitration Association,which of the following statements would be false about their selection of an arbitrator?


A) The general qualifications for being an arbitrator are honesty,impartiality,and subject-matter competence.
B) The American Arbitration Association will send the parties a list of potential arbitrators.
C) A retired CEO is not permitted to arbitrate because she has not attended law school.
D) A person with no experience in running a business can still be an arbitrator.
E) Arbitrators are expected to follow the Arbitrator's Code of Ethics.

F) B) and E)
G) A) and B)

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C

Which of the following is true regarding the Uniform Mediation Act?


A) It provides for a mediation privilege but does not specifically require that mediators identify conflicts of interest,and all states have adopted it.
B) It provides for a mediation privilege but does not specifically require that mediators identify conflicts of interest,and less than half the states have adopted it.
C) It does not provide for a mediation privilege but does specifically require that mediators identify conflicts of interest,and all states have adopted it.
D) It provides for a mediation privilege,mediators are required to identify any conflicts of interest,and less than half the states have adopted it.
E) There is no Uniform Mediation Act because of the controversy involved in attempting to negotiate such an act.

F) None of the above
G) B) and D)

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[Jade Shoes] Coleman owns a sporting goods store and has purchased top-quality,brand-name athletic shoes from Jade's Shoe Distribution for many years,but they have no written contract in place.Last month,Coleman learned that the latest shipment from Jade's are not authentic,brand-name shoes but instead a knock-off brand that costs a fraction of the price Coleman pays.Coleman cannot sell these shoes because his customers would know the difference,and Coleman demanded Jade refund him.Jade sent Coleman a written request for arbitration within thirty days.In response,Coleman called Jade,threatening to file a lawsuit against Jade and exposing her company as a fraud.Jade laughs,saying Coleman is required to arbitrate their dispute within thirty days. -Is Jade correct that they are required to arbitrate their dispute?


A) No,arbitration is voluntary and Coleman never signed an agreement to arbitrate their disputes.
B) Yes,but only because Jade's written demand had a thirty day deadline.
C) Yes,Jade demanded in writing that they arbitrate their dispute.
D) No,a party cannot enter a contract that requires them to arbitrate instead of filing a lawsuit.
E) No,a party is never required to arbitrate.

F) C) and E)
G) A) and E)

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Which of the following is not an alternative to litigation?


A) Private trial
B) Early neutral case evaluation
C) Negotiation
D) Mediation
E) Arbitration

F) C) and E)
G) A) and E)

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If Coleman had signed a Submission Agreement,but subsequently decides to file a lawsuit against Jade,would Coleman still be required to arbitrate?


A) Yes,because there are more advantages to arbitration.
B) No,because the distribution contract between Coleman and Jade did not include a binding arbitration agreement.
C) No,because a Submission Agreement is not a binding arbitration agreement.
D) Yes,because he entered into a submission agreement.
E) No,because a party has a right to file a lawsuit.

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

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Sofia tells Gordon she wants to arbitrate their dispute.Gordon tells Sofia that if the arbitrator does not rule in her favor,they can appeal,but it is very difficult to overturn the decision of an arbitrator.Is Gordon correct?


A) No,arbitration decisions are final and binding.
B) No,arbitration decisions are often overturned because many arbitrators do not have a background in law.
C) No,arbitration decisions are held to the same standard as a judge's ruling.
D) Yes,an arbitrator's decision is difficult to overturn because courts often do not have jurisdiction over a private arbitration.
E) Yes,courts give extreme deference to arbitrators' decisions.

F) C) and E)
G) D) and E)

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Which of the following is a type of ADR?


A) Consultation
B) Case analysis
C) Mediation
D) Focus grouping
E) Case argument

F) All of the above
G) B) and D)

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How will the provision requiring that Ari pay the costs of the arbitration affect the agreement?


A) Ari will be bound by the agreement unless he can prove that he was orally promised it would not be enforced.
B) The provision has the effect of weakening the agreement,as a court would likely refuse to enforce it.
C) Ari will be bound by the provision because while under federal law he had three days in which to back out of the agreement,he did not do so.
D) Ari will be bound by the agreement unless he testifies that he did not read it.
E) It will have no effect because Ari signed the agreement,and he is bound by it.

F) A) and D)
G) A) and C)

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In which situation would an arbitrator's decision be called an "award"?


A) Always.
B) Only if a money award is involved.
C) Only if both parties had lawyers because that terminology makes it easier for the lawyers to be paid.
D) Never.
E) Only if one party completely wins and there is no split decision.

F) A) and E)
G) C) and D)

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A clause in which the terms are "manifestly unfair or oppressive and are dictated by a dominant party" is called a[n] clause.


A) Outrageous
B) Unsupportable
C) Prohibitive
D) Unconscionable
E) Unreasonable

F) All of the above
G) B) and C)

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A benefit of arbitration is which of the following,according to the text?


A) Arbitration is generally less expensive than litigation.
B) Arbitrations prohibit the use of legal counsel.
C) Arbitrations can be set aside on appeal for the same reasons as court judgments.
D) Arbitrators are bound by the same rules as judges in applying precedent.
E) Arbitrators are assigned so parties do not have to pick them.

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

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How are arbitrations similar and dissimilar to a court trial?

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Arbitrations are similar to a court tria...

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Which of the following is false about a private trial?


A) Because the referee's report is filed with the trial judge,the trial is not confidential and becomes public record.
B) Occurs after a case has been filed in court.
C) A referee writes a report stating the findings of fact and conclusions of law,and the report is filed with the trial judge.
D) Is voluntary.
E) The trial is conducted in private to ensure confidentiality.

F) A) and C)
G) C) and E)

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What effect will the provision that the arbitration be conducted in the company's home state have on the agreement?


A) None because Ari freely signed the agreement.
B) None;only because an employee/employer relationship is involved.
C) A court will be unlikely to enforce the agreement only if it can be proven that Ari did not read the agreement before he signed it.
D) None because a domestic company,not an international one,is involved.
E) A court may be more likely to not enforce the agreement because of the distance and expense involved.

F) D) and E)
G) B) and E)

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E

Which of the following could be a result of mediation?


A) After the mediator issues a binding ruling,Sofia can appeal.
B) After the mediator issues a binding ruling,Sofia cannot appeal.
C) Sofia and Renata reach an agreement that could be enforced in court if either party breaches the mediation agreement.
D) The mediator could issue a binding ruling against Sofia.
E) After the mediator issues a binding ruling,Sofia and Renata draft an agreement.

F) None of the above
G) C) and E)

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Which of the following is true for both arbitrations and trials?


A) The parties may introduce witnesses and documentation,may cross-examine witnesses,and may offer closing statements.
B) Parties are required to have a lawyer in both arbitrations and trials.
C) Cross-examination of witnesses occurs in trials,but not in arbitrations.
D) Closing statements are not permitted during arbitration.
E) The decision of a judge is legally binding,but the decision of an arbitrator is not.

F) B) and E)
G) A) and B)

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Was Dominic correct when he told Naomi that if she lost at the arbitration level,a federal judge would consider the case anew without consideration of the arbitration agreement?


A) Dominic is correct only because an international company is involved.
B) Yes,because an action in court is considered completely separate from an arbitration proceeding.
C) No,because the arbitration agreement would completely bar Naomi's ability to file a court action.
D) No,because in a later court action,a federal judge in district court would only reverse an arbitrator's decision for certain reasons such as that the arbitrator displayed bias or corruption.
E) Yes,but only if Naomi filed an "Intent to Seek Further Relief" form with the arbitrator.

F) A) and E)
G) A) and D)

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D

Assume Emilia opted to arbitrate her claim against MegaTron,and the arbitrator awarded her $2,000,000 in punitive damages.MegaTron's officers were appalled and filed a lawsuit seeking to set aside the arbitrator's award.On what basis could a court overturn the arbitrator's award?


A) That the arbitrator misused his authority in the making of the award.
B) That the parties agreed in advance not to give closing statements.
C) That the arbitrator told the parties in advance that he worked at MegaTron thirty years ago and disclosed this fact in writing.
D) That Emilia did not want to arbitrate.
E) That Emilia may have been lying when she testified during the arbitration.

F) All of the above
G) A) and C)

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A summary jury trial leads to a binding jury verdict.

A) True
B) False

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