The Regulation Of The Employment Relationship

This question bank verified by Studydeets
All Questions
Filter by:
Question 1
Free
True/False

The law relating to the employment relationship is based on the traditional law called master and servant,which evolved into the law of agency.

Choose correct answer/s

True

False

Check answer
Question 2
Free
True/False

In an employment-agency relationship,if an agent acts beyond his or her authority,the principal is not liable for any resulting loss to a third party.

Choose correct answer/s

True

False

Check answer
Question 3
Free
True/False

An employer has vicarious liability if an employee causes harm to a third party while the employee is in the course of employment.

Choose correct answer/s

True

False

Check answer
Question 4
Free
True/False

Employers are liable for most torts committed by an independent contractor within the scope of the working relationship.

Choose correct answer/s

True

False

Check answer
Question 5
Free
True/False

There is one commonly accepted definition of "employee" used by courts,employers,and the government.

Choose correct answer/s

True

False

Check answer
Question 6
True/False

The Food Cult Restaurant (FCR)employs part-time workers through a staffing firm.After the staffing firm sent over a part-time waitress,FCR asked the firm to replace her with someone from a different race.If the replaced waitress proceeds with a discrimination claim under Title VII of the Civil Rights Act,FCR cannot be liable because the part-time waitress was never its employee.

Choose correct answer/s
True
False
To unlock the question
Question 7
True/False

Under the economic realities test,courts consider whether a worker is economically dependent on the business or is in the business for himself or herself.

Choose correct answer/s
True
False
To unlock the question
Question 8
True/False

The Civil Rights Act of 1866 applies to employers with 15 or more employees.

Choose correct answer/s
True
False
To unlock the question
Question 9
True/False

The Rehabilitation Act of 1973 applies to federal contractors who maintain contracts with the federal government in excess of $10,000 annually for the provision of personal property or nonpersonal services.

Choose correct answer/s
True
False
To unlock the question
Question 10
Multiple Choice

Arber Systems Inc.solicits bids from various independent contractors to develop and maintain the grounds of its new office complex.Carl,the head of facilities management at Arber Systems tells Rosie,his secretary,that he will not accept any bids from Asian contractors.He goes ahead and rejects a bid made by an Asian contractor without any legitimate reason.The Asian contractor brings a lawsuit against Arber Systems for discrimination.Which of the following is true of the scenario?

Choose correct answer/s
A
Carl's refusal to hire Asian companies is a violation of the Social Security Act.
B
Carl's refusal to hire Asian companies is a violation of the Consumer Protection Act.
C
Carl's refusal to hire Asian companies is not an offense because employers in the United States are free to discriminate against employees based on their race or national origin.
D
Carl's refusal to hire Asian companies is not a violation of Title VII of the Civil Rights Act because that law does not cover discrimination against independent contractors.
To unlock the question
Question 11
Multiple Choice

Jeremy,a freelance accountant,is hired by Ave Supermarket whenever there is some auditing work at the supermarket's back-end office.Jeremy is called to the office on a need basis and is paid $200 per day for his services.Which of the following is true of this scenario?

Choose correct answer/s
A
Ave Supermarket will need to withhold a certain percentage of Jeremy's wages for federal income tax purposes.
B
Jeremy cannot be held liable for any torts committed by him within the scope of the working relationship.
C
Ave Supermarket will be liable to Jeremy if he makes any discrimination or wrongful discharge claims.
D
Jeremy cannot claim for medical or retirement benefits from Ave Supermarket as he is an independent contractor.
To unlock the question
Question 12
Multiple Choice

Employment law based on agency principles imposes a duty on an employee to act as authorized.If the employee exceeds his or her authority,the employer is:

Choose correct answer/s
A
not liable for any loss or damage that results from the employee's unauthorized acts.
B
liable for damages or losses incurred by third parties and has no recourse against the employee for the losses incurred.
C
liable for damages or losses incurred by third parties, while the employee remains liable to the employer.
D
not liable for any loss or damage incurred by third parties, unless the damage is beyond $35,000.
To unlock the question
Question 13
Multiple Choice

Tobin is an independent contractor for Pagoneer Inc.While driving to a meeting at Pagoneer's headquarters,Tobin causes a car accident in which a cab driver is hurt.Upon investigation,it was learnt that Tobin was talking to one of the managers at Pagoneer over the phone when he was driving on that unfortunate day.Which of the following is true in the context of liability for the accident?

Choose correct answer/s
A
Pagoneer has no liability only if Tobin is a member of a protected class.
B
Pagoneer has vicarious liability.
C
Pagoneer has strict liability.
D
Pagoneer has no liability because Tobin is not a full-time employee.
To unlock the question
Question 14
Multiple Choice

Sanah works as a salesperson at Ave's Garden Needs.While demonstrating to a customer how to use a hedge trimmer,she accidentally cuts the customer on the arm,requiring a visit to the hospital and several stitches.Which of the following is true of the scenario?

Choose correct answer/s
A
Ave's Garden Needs is not vicariously liable because it was an accident.
B
Ave's Garden Needs is vicariously liable because Sanah was not acting within the course of employment.
C
Ave's Garden Needs is not vicariously liable because Sanah was not acting within the course of employment.
D
Ave's Garden Needs is vicariously liable because Sanah was acting within the course of employment.
To unlock the question
Question 15
Multiple Choice

Nebusa Inc.is a consulting firm.Sam and Arnie are analysts for Nebusa.Sam was hired as an employee,and Arnie was hired as an independent contractor.They both work five days a week during standard business hours in the same Nebusa office and under the same supervisor.Both almost share the same job responsibilities.Sam is paid a salary and the required federal and state tax withholdings are also made by the company.In contrast,Arnie is paid by the project with no federal and state withholdings and does not even receive benefits such as retirement and health insurance.Which of the following is an implication of this scenario?

Choose correct answer/s
A
Nebusa has properly classified Arnie as an independent contractor.
B
Nebusa has willfully misclassified Arnie as an independent contractor and is liable under Fair Labor Standards Act of 1938.
C
Nebusa has no rights to withhold federal and state taxes for Sam if he is classified as a full-time employee.
D
Nebusa has to provide more health and retirement benefits to Arnie than Sam because Arnie is an independent contractor.
To unlock the question
Question 16
Multiple Choice

Clarence works as an independent contractor for a law firm jointly owned and managed by Allan,Rose,and Grisham.Which of the following implications can be drawn from the scenario?

Choose correct answer/s
A
Clarence will be solely responsible for making payments for his Social Security (FICA), federal income tax, state taxes, and Medicare.
B
The law firm will be completely responsible for paying Clarence's federal unemployment compensation (FUTA), Medicare, and state taxes.
C
Clarence will be protected from unfair labor practices just like an employee under the National Labor Relations Act of 1935 (NLRA).
D
The law firm will have to mandatorily include Clarence in its dental, medical, pension, and profit-sharing plans.
To unlock the question
Question 17
Multiple Choice

Gabriel is a nursing assistant in a retirement home run by RedTree Care Home.She works at least 50 hours every week.After looking at her payroll stubs for the past six months,she concludes that she has not received her share of overtime pay.With the help of a friend in the payroll department,Gabriel learns the she has been classified as a temporary employee so that her overtime pay can be avoided.She complains to her supervisor,but her employer makes no changes.Which of the following legal courses can Gabriel take against RedTree Care Home?

Choose correct answer/s
A
Gabriel can bring a complaint to the U.S. Department of Labor, under the Social Security Act.
B
Gabriel can bring a complaint to the U.S. Department of Labor, under the Fair Labor Standards Act of 1938 (FLSA).
C
Gabriel can bring a complaint to the U.S. Department of Labor, under the Employee Retirement Income Security Act of 1974 (ERISA).
D
Gabriel can bring a complaint to the U.S. Department of Labor, under Equal Employment Opportunity Act.
To unlock the question
Question 18
Multiple Choice

Mega Big Box Stores has been hiring programmers at its headquarters to maintain its online retail operation.As the size of the online business grew,Mega changed the status of the programmers from employees to independent contractors,although their job responsibility increased.For the past 3 years,all new programmers brought on board have signed documents classifying them as independent contractors.Some of the programmers brought a court case regarding their status and got a verdict that they were misclassified.Which of the following is an implication of this scenario?

Choose correct answer/s
A
The Internal Revenue Service (IRS) can hold the employer liable for its share of Social Security and federal unemployment compensation that should have been withheld.
B
The Internal Revenue Service (IRS) will require the employer to exclude its programmers from its dental, medical, pension, and profit-sharing plans.
C
The Internal Revenue Service (IRS) will hold the employer liable for a minimum of 10 percent of the wages received by the programmers.
D
The Internal Revenue Service (IRS) will require the programmers to pay all the outstanding federal taxes, state taxes, and Medicare on their own if their employer fails to pay.
To unlock the question
Question 19
Multiple Choice

The three main tests courts use to classify employees and independent contracts are:

Choose correct answer/s
A
the Master-servant rule, the Darden test, and the economic realities test.
B
the Master-servant rule, the common-law agency test, and the GAP analysis.
C
the common-law agency test, the Internal Revenue Service (IRS) 20-factor analysis, and the economic realities test.
D
the Internal Revenue Service (IRS) 20-factor analysis, Myers Briggs test, and earned value analysis.
To unlock the question
Question 20
Multiple Choice

To determine whether a worker is an employee or an independent contractor,the Internal Revenue Service (IRS)20-factor analysis includes a consideration of whether:

Choose correct answer/s
A
the worker was previously employed in the same industry.
B
an employer is engaged in interstate commerce.
C
an employer provides training to the worker.
D
the worker is the member of a minority group.
To unlock the question