COCU 530 Ch. 9

Question 1

A cause of action an employee may have against an employer for illegal termination of employment

Answer 1

Wrongful discharge

Question 2

A legal system in which the body of law is derived more from court decisions as opposed to statues or constitutions

Answer 2

Common-law system

Question 3

A legal doctrine under which an employer may terminate any employee at any time for any reason or for no reason

Answer 3

Employment at will

Question 4

The minimum qualification, under federal antidiscrimmination laws, that an employee needs in order to be able to perform the duties of a particular job

Answer 4

Bona fide occupational qualification (BFOQ)

Question 5

A legal basis for an employment discrimination complaint requiring the plaintiff to establish the employer’s practice of intentionally treating individuals differently solely because of their sex, race, color, religion, or national origin

Answer 5

Disparate treatment theory

Question 6

A legal basis for an employment discrimination complaint requiring he plaintiff to establish that an apparently neutral employment practice or criterion, applied equally to all individuals, operated to exclude a disproportionate number of the protected class

Answer 6

Disparate impact theory

Question 7

A practice whereby an employer demands or expects sexual favors in exchange for continued employment, workplace advancement, or other job related functions

Answer 7

Quid pro quo sexual harrassment

Question 8

An environment that exists when an employee is subject to harassment that is so severe or persuasive that it alters the conditions of his or her employment and creates an abusive working environment

Answer 8

Hostile work environment

Question 9

A written plan that the federal government requires of employers with federal contracts, detailing how employer will meet hiring goals for the group the law protects from discrimmination

Answer 9

Affirmative action plan

Question 10

A process by which employees, represented collectively by a union, negotiate (bargain) with the employer on a labor contract dealing with wages, hours, and working conditions

Answer 10

Collective bargaining

Question 11

An alternative dispute resolution (ADR) method by which disputing parties use a neutral outside party to examine the issues and develop a settlement, which can be final and binding

Answer 11

Arbitration

Question 12

An act passed by congress in 1970 to ensure every employee a safe place to work by setting safety standards for employees and imposing penalties for violation of the standards

Answer 12

Occupational Safety and Health Act of 1970 (OSH Act)

Question 13

An employee who is paid by the hour and receives hourly overtime pay

Answer 13

Nonexempt employee

Question 14

An employee who is paid a salary and who does not receive overtime pay

Answer 14

Exempt employee

Question 15

A court act of imposing personal liability on corporate officers, directors, and stockholders for the corporations wrongful acts

Answer 15

Pierce the corporate veil

Question 16

A long-term debt instrument that requires the issuer to pay a set annual rate of interest and to repay the borrowed sum on a specified date

Answer 16

Bond

Question 17

An ownership interest in a corporation that gives stock owners certain rights and privileges, such as the right to vote on important corporate matters and to receive dividends

Answer 17

Common stock

Question 18

Stock that is generally nonvoting but that has priority over common stock, usually regarding dividends and capital distribution if the corporation ends its existence

Answer 18

Preferred Stock

Question 19

An arbitrary dollar value that an organization assigns to its shares

Answer 19

Par value

Question 20

A corporate stock issued as fully paid to stockholders and subsequently required by the corporation to use for business purposes

Answer 20

Treasury Stock

Question 21

A corporate officer that serves on the corporations board of directors

Answer 21

Inside director

Question 22

A member of a corporations board of directors who is a corporate officer and who may not necessarily be connected with the corporation

Answer 22

Outside director

Question 23

An act of a corporation that exceeds its chartered powers

Answer 23

Ultra Vires

Question 24

A lawsuit brought by one or more shareholders in the name of the corporation

Answer 24

Derivative suit

Question 25

The assumption of control by one corporation over another through merger, acquisition, or some other type of transaction

Answer 25

Takeover

Question 26

A purchase offer made directly to the shareholders of the target, typically at an offer price greater than the current market price

Answer 26

Tender offer

Question 27

A for profit business entity jointly owned by two or more persons who share ownership and profits (or losses), although not necessarily on an equal basis

Answer 27

Partnership

Question 28

A law that permits service of process on a partnership by serving any one of the partners

Answer 28

Common name statue

Question 29

A form of partnership made up of one or more general partners, who have unlimited liability, and one or more limited partners, whose liability is limited to the amount of capital they have contributed to the partnership

Answer 29

Limited partership

Question 30

A partnership limiting each partner’s personal liability for acts or omissions of other partners

Answer 30

Limited liability partnership[

Question 31

A form of business entry that provides its owners the limited liability of a corporation and the tax advantages of a partnership

Answer 31

Limited liability company (LLC)

Question 32

A voluntary association of individuals acting together under a common name to accomplish a lawful purpose

Answer 32

Unincorporated association