Yates ch12 - test bank PDF

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Business Law in Canada, 11e (Yates) Chapter 12 Employment1) Why is the distinction between employment and an independent contract important? A) An independent contractor cannot be sure that he will be paid. B) An employee has the right to wages. C) An employee can bind the employer in a contract he ...

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Business Law in Canada, 11e (Yates) Chapter 12 Employment 1) Why is the distinction between employment and an independent contract important? A) An independent contractor cannot be sure that he will be paid. B) An employee has the right to wages. C) An employee can bind the employer in a contract he enters into on behalf of the employer. D) An employer may be held responsible for torts committed by the employee. E) Employees can withdraw their services. Answer: D Diff: 1 Type: MC Page Ref: 381 Topic: Ch. 12 - What Is Employment? Skill: Recall Objective: Chapter 12: 1. Distinguish employees, agents, and independent contractors. Bloom's Taxonomy: Knowledge 2) Which of the following is a true statement about the employer-employee relationship? A) The critical factor in this relationship is control. That is, the employer tells the employee not only what to do but also how to do it. B) An employee for a company could not also be an agent at the same time for the company. C) One responsibility of an employer is to provide the employee with lifetime work availability. D) An employee does not owe a fiduciary duty to his or her employer. E) If an employer contracts to paint Mr. Shore's barn and sends the employee out to do the painting, if the employee is not paid he can sue his employer or Mr. Shore for his wage. Answer: A Diff: 2 Type: MC Page Ref: 381 Topic: Ch. 12 - What Is Employment? Skill: Recall Objective: Chapter 12: 1. Distinguish employees, agents, and independent contractors. Bloom's Taxonomy: Knowledge 3) Which of the following is true with regard to employment law? A) The traditional test for determining whether or not a person is an employee is to assess the degree of control. That is, an employee could be told not only what to do but how to do it. B) Employees are allowed to strike only when the employer refuses to honour the collective agreement (a rights dispute). C) A lockout is action taken by employees to prevent their employer from operating as normal. D) Constructive dismissal refers to a breach of the employment contract by the employer in which the employer discovered the employee had committed theft. E) If a worker is injured on the job, he can sue the employer for any injuries he may have suffered. Answer: A Diff: 2 Type: MC Page Ref: 381 Topic: Ch. 12 - What Is Employment? Skill: Recall Objective: Chapter 12: 1. Distinguish employees, agents, and independent contractors. Bloom's Taxonomy: Knowledge 1 Copyright © 2017 Pearson Canada, Inc.

4) Which of the following statements more accurately describes an employee rather than an independent contractor? A) The person is an essential part of an employer's organization. B) The person provides his/her own tools. C) The person is free to represent others in the same business. D) The person determines his/her own work schedule E) The person has a high level of financial risk. Answer: A Diff: 1 Type: MC Page Ref: 381 Topic: Ch. 12 - What Is Employment? Skill: Recall Objective: Chapter 12: 1. Distinguish employees, agents, and independent contractors. Bloom's Taxonomy: Knowledge 5) Which of the following is not one of the obligations that an employee has to the employer? A) Competence B) Skill C) Be honest and courteous D) Follow all orders no matter how unreasonable E) Loyalty Answer: D Diff: 1 Type: MC Page Ref: 383 Topic: Ch. 12 - The Law of Employment Skill: Recall Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge 6) Mr. Koff, a former policeman, was hired to do investigations for the stock exchange. All those hired in this capacity were required to take and pass a course. When it was determined that Koff had cheated on the course's examination, he was fired. Koff, who was not covered by a collective agreement, sued for wrongful dismissal. If the court holds that the employer had cause for dismissal, Koff will be entitled to damages equivalent to which of the following? A) The amount that would have been paid during a reasonable notice period less any amount received from other employment, E.I., etc. B) The amount of pay that would have been received in one pay period (e.g., one month if paid monthly) C) Two weeks' pay, the statutory minimum D) Reasonably unmitigable losses E) Nothing Answer: E Diff: 1 Type: MC Page Ref: 383 Topic: Ch. 12 - The Law of Employment Skill: Applied Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge

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7) If former employees are sued, it is usually for breach of ________, or for disclosing confidential information. A) employment contract B) notice periods C) restrictive covenants D) fiduciary duty E) confidence Answer: E Diff: 2 Type: MC Page Ref: 383 Topic: Ch. 12 - The Law of Employment Skill: Recall Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge 8) In RBC Dominion Securities Inc. v. Merrill Lynch, virtually all of the investment advisors at the RBC branch left without notice and went to work for a competitor, Merrill Lynch. What did the Court determine? A) Merrill Lynch and its manager were found jointly and severally liable, as the manager had induced the breach of the duty not to compete unfairly. B) RBC was found liable for inducement of breach of contract. C) Merrill Lynch and its manager were not liable, since no notice of termination was required. D) RBC investment advisors were not in violation of their fiduciary duty to RBC, and were not required to provide notice of termination. E) Fiduciary duties cannot arise in the context of a mere employment relationship. Answer: A Diff: 2 Type: MC Page Ref: 396 Topic: Ch. 12 - The Law of Employment Skill: Applied Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge

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9) On Friday afternoon, Frieda was told not to return to work because her job was gone. If her employer is in a non-unionized business and had no just cause to dismiss her, which of the following is true? A) The amount of notice to be given her is limited to the employment contract. B) The amount of notice could be set out in the employment contract, and that amount would override the amount set by the common law, unless it was less than the minimum amount set out in the Employment Standards Act (or Code). C) Additional notice must be given even if the employer pays her an amount of money equivalent to the amount of money she would have earned during the notice period. D) If the employee sues for wrongful dismissal and the court has to determine the appropriate notice period, it would consider, among other things, her sex and religion. E) She can elect to have a notice period or to take money in lieu of notice. Answer: B Diff: 2 Type: MC Page Ref: 383 Topic: Ch. 12 - The Law of Employment Skill: Applied Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge 10) In which of the following situations will Smith be responsible for the tortious conduct of Jones? A) Jones is an independent contractor installing drywall for Smith's grocery store. B) Jones is a computer programmer working for Ace Computer Ltd. and is installing new software for Smith's department store. C) Jones is a self-employed vacuum cleaner salesman and Smith manufactures one of the lines he carries. D) Jones is a salesperson for Watson's Warehouse visiting Smith's Grocery Store Ltd. E) Jones is a secretary working in Smith's office. Answer: E Diff: 2 Type: MC Page Ref: 383 Topic: Ch. 12 - The Law of Employment Skill: Applied Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge 11) Which one of the following is just cause for dismissal? A) Absenteeism twice in the last year B) Tardiness once in the last two years C) Refusal to work in an unsafe work environment D) Habitual negligence or incompetence E) No work to do Answer: D Diff: 2 Type: MC Page Ref: 383 Topic: Ch. 12 - The Law of Employment Skill: Recall Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge 4 Copyright © 2017 Pearson Canada, Inc.

12) Drew got a non-union, senior-management-level job. After the first day, Drew came to his dad to discuss his obligations to his boss and his boss's obligations to him. Which of the following is false? A) Drew must be punctual and obedient. B) Drew owes the employer a fiduciary duty (i.e., a duty to serve the employer's interests above his own). C) The employer cannot terminate Drew's employment unless Drew does something wrong. D) The employer owes Drew not only pay, but also some direction. E) If Drew wants to quit, he must give the employer proper notice unless the employer has done some wrong (e.g., given an unreasonable or dangerous order). Answer: C Diff: 3 Type: MC Page Ref: 383 Topic: Ch. 12 - The Law of Employment Skill: Applied Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge 13) Which of the following is correct with respect to restrictive covenants included in employment contracts? A) Such restrictive covenants are always void and have no place in employment contracts. B) Such restrictive covenants are enforceable in court if reasonable and not against the public interest. C) A void restrictive covenant destroys the whole contractual relationship and neither party has any obligations under the agreement. D) For such a clause to be valid, it is only necessary to show that it was needed to protect the employer's interest. E) The imposition of such a restriction is at the option of the employer and the employee has no say in the matter. Answer: B Diff: 2 Type: MC Page Ref: 383 Topic: Ch. 12 - The Law of Employment Skill: Recall Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge

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14) Which of the following statements is correct with respect to the employer's liability for the conduct of the employee? A) The employer is always liable for the wrongful conduct of his employee. B) An employer is only liable for the wrongful conduct of his employee that takes place during the course of the employment. C) If a person is injured by an employee acting in the course of the job, that person must sue the employer, not the employee. D) Any employee can bind an employer in contract. E) All employees are agents of the employer. Answer: B Diff: 2 Type: MC Page Ref: 383 Topic: Ch. 12 - The Law of Employment Skill: Recall Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge 15) Which of the following would end the employment relationship by breach, thereby possibly giving rise to a claim for damages for wrongful dismissal? A) The employee is told he will no longer be needed at the end of the period of employment specified in the contract (e.g., one year). B) The employee is told he will no longer be needed at the completion of the specific job he was hired to do (e.g. paint a bridge). C) The employee is asked to leave because he consistently comes to work late as a result of frequent morning traffic jams. D) The employee is asked to leave immediately because a downturn in the economy has resulted in no work for him to do. E) The employee is asked to leave after he refuses to do a reasonable but unpleasant task that is part of his employment, when another more junior employee could have been asked to do it. Answer: D Diff: 2 Type: MC Page Ref: 383 Topic: Ch. 12 - The Law of Employment Skill: Applied Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge

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16) For the past seven years, Hudson has worked as vice-president in charge of personnel (a nonunion position) for Mountain Enterprises Ltd. As part of a corporate reorganization, the directors of the company decided to downgrade Hudson's position to manager of personnel. Hudson is very upset at this change and consequently refuses to go along with it. Because of his refusal, the company dismisses him immediately without any notice or pay in lieu thereof. If Hudson sues for wrongful dismissal, which one of the following statements indicates the most likely outcome of the case? A) The company will win because non-union employees are always subject to dismissal without notice, because there is no collective agreement. B) The company will win because Hudson's refusal constituted cause. C) The company will win because they dismissed him, rather than saying he was "fired." D) Hudson will win because the company breached the employment contract and he does not have to accept that breach. E) Hudson will win because an employer owes its employees a job, unless the employee is convicted of a theft. Answer: D Diff: 3 Type: MC Page Ref: 383 Topic: Ch. 12 - The Law of Employment Skill: Applied Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge 17) Which of the following is a false statement about the employer-employee relationship? A) The critical factor in this relationship is control; the employer tells the employee not only what to do but also how to do it. B) An employee for a company could also be an agent for the company. C) One responsibility of an employer is to provide the employee with a safe workplace. D) An employee sometimes owes a fiduciary duty to his or her employer. E) If an employer contracts to paint Mr. Shore's barn and sends the employee out to do the painting, if the employee is not paid he can sue his employer or Mr. Shore for his wage. Answer: E Diff: 2 Type: MC Page Ref: 383 Topic: Ch. 12 - The Law of Employment Skill: Recall Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge

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18) With regard to employment law, which of the following is false? A) An employee must be punctual and obedient. B) The common law provides that an employee who wants to quit his job because he wants to take another owes his employer reasonable notice. C) The most common remedy awarded by the courts in wrongful dismissal cases is reinstatement (i.e., the employer responsible for the wrongful dismissal must take the employee back). D) An employee badly injured on the job can make a claim against a fund of money provided by employers who are obligated by law to contribute. E) A unionized employee does not negotiate personally with the employer for his or her employment contract. Answer: C Diff: 2 Type: MC Page Ref: 383 Topic: Ch. 12 - The Law of Employment Skill: Recall Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge 19) Mr. Lopez, the owner of the firm, had a large family. His six children were all in their late teens or early twenties and were in school or had jobs. However, in the summer of 2016, two of the six got laid off and the other four were having trouble finding work. Lopez spent ten days reorganizing his firm to find jobs for his family. He decided that the foreman at the plant, Mr. Wedman (who had been with the firm for twelve years, seven as foreman) could go back to being a carpenter to make room for his oldest son, who had management experience. There was no written employment contract with Wedman. On Friday afternoon, Lopez called Wedman into the office and told him that on Monday he would return as a carpenter and that he would be under the direction of his son. Wedman said he didn't want to be a carpenter or under the direction of his son and wouldn't do it. Lopez dismissed him immediately with no severance pay. Which of the following is true? A) Lopez had just cause for dismissing Wedman, namely, for disobedience. B) Lopez can fire Wedman for any reason and owes him nothing because Wedman is not protected by a union. C) Lopez can fire Wedman for any reason and owes him nothing because Wedman is not protected by a written contract. D) Lopez can't fire Wedman at all if the real purpose of firing him is to make room for his son. E) Wedman could sue for wrongful dismissal because he was fired from his job when he refused to return as a carpenter instead of as foreman. Answer: E Diff: 3 Type: MC Page Ref: 383 Topic: Ch. 12 - The Law of Employment Skill: Applied Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge

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20) Which one of the following is not just cause for dismissal? A) Serious absenteeism B) Consistent tardiness C) Open disobedience D) Habitual negligence or incompetence E) No work to do Answer: E Diff: 1 Type: MC Page Ref: 383 Topic: Ch. 12 - The Law of Employment Skill: Recall Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge 21) Which of the following statements is false with respect to the employee's obligation to give the employer notice upon quitting? A) An employee is not obligated to give the employer notice where the employer gives the employee unreasonable or dangerous orders. B) The employee is not obligated to give notice to the employer and can leave the job immediately if working conditions are unreasonably dangerous and the employer refuses to take reasonable steps to correct them. C) The employee can refuse to give notice and leave immediately if the employer involves the employee in immoral or illegal activities. D) The employee can leave immediately without notice if he has a better job to go to. E) The employee is obligated to give reasonable notice unless there is just cause for leaving. Answer: D Diff: 2 Type: MC Page Ref: 383 Topic: Ch. 12 - The Law of Employment Skill: Recall Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge 22) Which one of the following is correct with respect to employee rights? A) Interactions between employees and their employers outside the workplace cannot constitute employment-related harassment. B) All employers in public or private sectors now have an obligation to balance their workforce so that an equal number of men and women are employed. C) Where an employer violates the human rights of an employee, that employee must be prepared to sue to enforce those rights. D) Mandatory retirement at 65 has been abolished by the Supreme Court of Canada. E) There is a duty imposed on the employer to take reasonable steps to accommodate disabled employees. Answer: E Diff: 3 Type: MC Page Ref: 383 Topic: Ch. 12 - The Law of Employment Skill: Applied Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge 9 Copyright © 2017 Pearson Canada, Inc.

23) Which of the following statements is correct with respect to remedies for wrongful dismissal? A) The court will usually order the employer to take the employee back. B) The damages that are payable to the employee are calculated on the basis of what the employee would have received had he been given reasonable notice whether he gets another job or not. C) If the employee gets another job within the period of notice he should have received, that will affect the amount of damages he will receive. D) The court will issue an injunction to prevent the employer from hiring someone else to take the employee's place. E) It is up to the employee to determine the amount of notice he should have been given. Answer: C Diff: 2 Type: MC Page Ref: 383 Topic: Ch. 12 - The Law of Employment Skill: Recall Objective: Chapter 12: 2. Detail common law obligations of employers and employees. Bloom's Taxonomy: Knowledge 24) Vanessa had been a waitress at Joe's Good Eats for seven years. There had always been differences between Vanessa and Joe because they had radically different views on politics, religion, and sports, but he had always overlooked these differences because he liked her and she was a good waitress. Howe...