Andersons Business Law and The Legal Environment Comprehensive 23rd Edition Twomey Test Bank
Andersons Business Law and The Legal Environment Comprehensive 23rd Edition Twomey Test Bank
1. Trade dress can be any word, name, symbol, device, or combination of these used to identify a product.
a. True
b. False
ANSWER: False
2. Trademarks may be used to protect the exclusive right to identify either products or services.
a. True
b. False
ANSWER: False
3. Once a mark is registered in accordance with federal law, the holder of the mark has the exclusive right to use the mark
in perpetuity.
a. True
b. False
ANSWER: False
4. Trademarks and service marks are recorded with the Register of Copyrights.
a. True
b. False
ANSWER: False
5. Descriptive terms such as locations and colors are never subject to trademark protections.
a. True
b. False
ANSWER: False
6. If other persons are permitted to use a trademark, it will lose its exclusive character and become generic.
a. True
b. False
ANSWER: True
7. Trade dress refers to the packaging look and overall image of a product.
a. True
b. False
ANSWER: True
9. To prevail in an action for trade dress infringement, a plaintiff must prove that its trade dress is distinctive and
nonfunctional and the defendant’s trade dress is confusingly similar to the plaintiff’s.
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10. Cybersquatters are individuals who register and set up domain names on the Internet that are identical or confusingly
similar to existing trademarks in the hopes they can sell the name to the trademark owner.
a. True
b. False
ANSWER: True
12. A copyright is the exclusive right given by federal statutes to the creator of a literary or an artistic work to use,
reproduce, and display the work.
a. True
b. False
ANSWER: True
13. The Sony Bono Copyright Extension Act of 1998 extended copyright protection to the life of the author plus 50 years.
a. True
b. False
ANSWER: False
14. Copyright of a "work made for hire" runs for the life of the creator of the work plus 50 years.
a. True
b. False
ANSWER: False
15. The Berne Convention requires all works published after March 1, 1989 to contain a notice of copyright.
a. True
b. False
ANSWER: False
16. In order for a work to be copyrightable, it must possess a significant amount of creativity.
a. True
b. False
ANSWER: False
17. An owner of a copyright may license some of his or her rights to another in exchange for royalty payments.
a. True
b. False
ANSWER: True
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18. A copyright owner may prohibit even limited use of copyrighted material if it is used for parody or criticism.
a. True
b. False
ANSWER: False
19. All types of patents available under U.S. law are entitled to the same quality and duration of protection once initial
filing is perfected with the Patent and Trademark Office in Washington, D.C.
a. True
b. False
ANSWER: False
20. Although processes and machines are eligible for patent protection, manufactures and compositions of matter are not.
a. True
b. False
ANSWER: False
21. Under the United States Supreme Court’s “doctrine of equivalents,” infringers may not avoid liability for patent
infringement by substituting insubstantial differences for some of the elements of the patented product or process.
a. True
b. False
ANSWER: True
22. To be patentable, an invention must be new and not obvious to a person of ordinary knowledge and skill in the art or
technology to which the invention is related.
a. True
b. False
ANSWER: True
23. Once approved by the U.S. Patent and Trademark Office, a patent is presumed valid after a public comment period of
90 days.
a. True
b. False
ANSWER: False
24. In limited circumstances customer lists are protected under trade secret laws.
a. True
b. False
ANSWER: True
25. When secret information is shared or communicated for a special purpose and the person receiving the information
knows it is not to be made known, it loses the protection it had while secret.
a. True
b. False
ANSWER: False
27. Written computer programs are not given the same protection as other copyrighted material.
a. True
b. False
ANSWER: False
28. Computer software licensing agreements include restrictions on the use of software and give the licensor greater
protection than that provided by copyright law.
a. True
b. False
ANSWER: True
29. The Semiconductor Chip Protection Act of 1984 created a new form of industrial intellectual property by protecting
mask works and the semiconductor chip products in which they are embodied against chip piracy.
a. True
b. False
ANSWER: True
30. Under the Semiconductor Chip Protection Act reverse engineering exemption, competitors may study mask works but
may not use the results of that study to design their own semiconductor chip.
a. True
b. False
ANSWER: False
Multiple Choice
32. Trademark law categorizes marks along a spectrum of ______, based on a mark’s capacity to serve ______.
a. suggestiveness, the characteristics of the service to which they relate.
b. fancifulness, the characteristics of the product to which they relate.
c. descriptiveness, a source-identifying function.
d. distinctiveness, a source-identifying function.
ANSWER: d
33. It is important to protect trade dress against adoption by a competitor failure to protect the mark can:
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35. A copyright bestows upon the creator of an artistic or literary work a federal statutory right to exclusively:
a. use the work.
b. reproduce the work.
c. display the work.
d. All of these
ANSWER: d
36. The DMCA provides a(n) _______ for internet service against claims of _______.
a. dispute resolution forum, copyright infringement.
b. indemnification, copyright infringement.
c. mechanism, trademark infringement.
d. safe harbor, copyright infringement.
ANSWER: d
37. Which of the following is not an exclusive right of the holder of a copyright?
a. To prepare works that are derived from the original work.
b. To obtain a court order enjoining use of the original work by another.
c. To distribute copies of recordings of the original work.
d. To display or perform the original work in public.
ANSWER: b
38. In determining whether limited use of copyrighted material may be permitted as "fair use," courts will consider:
a. the purpose and character of the use, including whether such use is of a commercial nature or is for nonprofit
educational purposes.
b. the nature of the copyrighted work.
c. the amount and substantiality of the portion used in relation to the copyrighted work as a whole.
d. all of these.
ANSWER: d
42. The type of patent that may be granted to developers of plant reproduction methods is called a:
a. process patent.
b. functional or utility patent.
c. improvement patent.
d. plant patent.
ANSWER: d
43. The type of patent that may be granted to developers of new and non-obvious ornamental features of manufactured
articles is called a(n):
a. design patent.
b. functional or utility patent.
c. improvement patent.
d. plant patent.
ANSWER: a
45. A business formula, information compilation, or device that provides an advantage over competitors that do not have
it is known as a:
a. competitive advantage.
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47. Under the Computer Software Copyright Act of 1980, a written program:
a. must be written in object code in order to be protected.
b. must be written in source code in order to be protected.
c. is protected as any other copyrighted material, even if it is in written form.
d. is protected but does not receive the same protections as other copyrighted materials.
ANSWER: c
48. To analyze a copyright infringement claim in the context of computer programs, courts will primarily examine:
a. the total number of program steps that are substantially similar.
b. the number of significant program steps that are substantially similar.
c. whether the programs appear substantially similar in ordinary language.
d. whether the programs appear substantially similar in machine language.
ANSWER: b
49. The best way to distribute and sell copyrighted computer programs is using:
a. copyright laws.
b. patent laws.
c. trade secret laws.
d. restrictive licensing.
ANSWER: d
50. Owners of mask works are entitled to the exclusive right to reproduce and distribute their products under U.S. law for
a period of:
a. 10 years.
b. 20 years.
c. 28 years.
d. the life of the creator plus 70 years.
ANSWER: a
51. Under the Semiconductor Chip Protection Act’s _______, competitors may not only study mask works but may also
use the results of that study to design their own semiconductor chip products embodying their own original masks.
a. fair use exemption
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Essay
52. Herman Corporation is engaged in preparing a marketing campaign consisting of electronic and print images.
Drawings and photographs for the campaign are coming from a variety of sources, including popular magazines,
international newspapers, and web sources. The marketing vice president asserts that the company may use the images
under the fair use doctrine. What factors should be considered in the application of the fair use doctrine?
ANSWER: Copyright law requires a consideration of four factors in determining the application of the fair use doctrine.
First, the purpose and character of the use must be considered. Here, the commercial, in contrast to nonprofit,
use of the images does not favor Herman Corporation’s position. Second, the nature of the work is a factor.
All of the images were publicly available, so this factor favors Herman Corporation. Third, the extent of the
copying must be considered. Again, Herman Corporation is favored because only selected aspects of the
source materials were used. Finally, the value of the copyrighted work is an issue. Application of this factor
may work against Herman Corporation’s position, since the images are a critical part of the product generated
by the media outlets.
53. Smarts and Then Some, Inc. developed a software program after several years of research and development. The
particular software program was then test–marketed, at which point a competitor filed suit claiming that the Smarts and
Then Some program violated the competitor's copyright on a program they too were test-marketing. What is the test to
determine whether a copyright has been violated?
ANSWER: With the passage of the Computer Software Copyright Act of 1980, greater clarity was brought to answering
the question of whether a software copyright is violated. In rendering a decision regarding software copyright
violation, courts today attempt to determine the degree of similarity between the two programs in terms of
structure, flow, sequence, and organization.