3. Mark a citizen of Georgia
was crossing a street in Atlanta when he was struck by a car driven by
David a citizen of New York visiting Atlanta. The car was owned by
David's employer, a Delaware corporation that has its principal place
of business in Atlanta, Georgia. Mark sues both David and the
corporation in federal district court in Atlanta alleging damages in
the amount of $500,000. Does the court have subject matter jurisdiction?
4. Congress passes a law prohibiting kite flying on
Sundays. The law provides that anyone who disagrees with it may
challenge the law in the Federal District Court for the District of
Columbia. Bob doesn't like this law and files suit against the
government in the appropriate federal court. What will the government
do?
5. Smith, a resident of Michigan, was in Florida for
a business meeting where he was served with a divorce petition filed by
his wife, who had moved to Florida recently. Smith objected to the
Florida court's exercise of personal jurisdiction.
6. Robbie finds a stone that appears to be valuable
and shows it to his friend Janet. The two do not know what the stone is
but think it is a topaz. Robbie agrees to sell the stone to Janet for
$100. The parties subsequently discover that the stone is a diamond
worth $1,000. Robbie cannot void the contract on mutual mistake grounds
because the parties knew that their assumption about the stone was
doubtful.
7. Buyer agrees to purchase cotton from Seller when
the cotton is delivered by a ship named Peerless. This is the total
expression of the agreement. It is subsequently determined that Buyer
contemplated a ship named Peerless that was to dock in September while
Seller contemplated a ship named Peerless that was to dock in December.
Neither party was aware that there were two ships named Peerless. Their
subsequent expression of the ship each intended indicates that they did
not intend the same ship at the time of contracting. Therefore, there
is no contract. Raffles v. Wichelhaus 159 Eng. Rep. 375 (1864)
8. Lulu is shopping and a salesclerk thinks Lulu has
placed a makeup case in her purse. The salesclerk calls store security
who roughly drags Lulu to his office and tells her she is suspected of
shoplifting. He leaves her locked in the office for 3 hours,
periodically demanding she tell him what has happened.
9. You are concerned because several or your
employees have recently broken their employment contracts and left
town. Investigation reveals that Sly and Company, your competitor in a
nearby city, has paid bonuses to your former employees to persuade them
to break their contracts. What legal steps are available against Sly?
10. Acme Airlines attempts to get control of Free
Fall Airways by making a public offer to buy its stock from
shareholders. Free Fall's president, Joan, advises the shareholders in
a letter that Acme's president, Richard, is "little better than a
crook" and "can't even control his own company."
11. A jury finds Lee, the defendant, liable in a
tort case. It determines that Jose, the plaintiff, has suffered
$200,000 in damages. The jury also finds that Jose' own fault
contributed 25% to his injuries. Under a comparative negligence
instruction, what amount of damages will the jury award the P?
12. D is a director of Blasting Inc. which is a
reporting company. In 2005 D bought 700 shares of Blasting stock for
$10/share. In January 2007 D sold 700 shares for $6/share. In March
2007 D bought 200 shares of Blasting stock for $1/share. What result
13. Lisa a lawyer for Zinrod Co. learns that Zinrod
Co is planning to merge with Zipper Corporation. Lisa telephones her
son-in-law Joe about this and urges him to buy Zinrod Co. stock. Acting
on this tip, Joe buys the stock.