LAW MINI CASE ASSIGNMENT
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MSELLawFinalExamApril2020instructionscorrected.docxMSEL Law Final Exam April 2020 [instructions corrected and reposted prior to 3pm (Boston time) on April 13]
INSTRUCTIONS:
· WORK ON YOUR TEAM. Please submit one response document.
· All the information you need is provided.
· You may use any of the materials from this course (the outlines, PowerPoint slides; textbook, etc.) and any notes that you personally prepared.
· Please do not stress – you do not need to get all the conceivable points to get a good grade.
WORD LIMIT:
PLEASE DO YOUR BEST TO LIMIT YOUR RESPONSES TO ONE PAGE PER QUESTION (3 pages in total)
· PLEASE USE SINGLE-SPACED, CALIBRI 11-POINT FONT (LIKE THIS)
· I fit my model answer outlines in the space under each question. You can take a full page if you want.
· Please make sure to write your names and date of submission in the blanks below, add your final answers in the space under each question (or delete the questions and just include your answers, if you need the space) – either way, make sure this completed cover page is included.
Example:
A sample file named ‘Sample Answers’ is provided.
Zach starts baking and selling cakes in Boston. He does not complete any forms of any kind with any government. Zach hires Adam and in conversations casually refers to Adam as an employee. Adam is paid-per-delivery (using Adam’s own van) to deliver cakes around downtown Boston. Zach adopts an Open Book Management approach and even mentions somehow sharing a percentage of profit if Adam thinks of ways to boost profits. One day Adam drives to Portland, Maine to visit a relative. While there, he is not paying attention while driving (because he decides to check instant message applications on his phone to see if there are new orders to deliver), and hits and injures a pedestrian, Patty.
Question 1 (total of about 16 points)
PART A
Identify Issues, relevant Rules, explain your Analysis, and state Conclusions as a numbered outline.
Issues:
(1) …
(2) …
(etc.)
Rules – generally:
(1) …
(2) …
(etc.)
Analysis – here:
(1) …
(2) …
(etc.)
Conclusion – therefore:
(1) …
(2) …
(etc.)
PART B (total of about 3 points)
Also, as a numbered list, state the step(s) could Zach have taken to be proactive to minimize risks in this scenario.
(1) …
(2) …
(etc.)
Question 2 (total of about 21 points)
Zach completes a form online to create a business entity – the simplest to form with the state – and chooses pass-through tax treatment, with him as the only owner of the business. He also starts operating using the business name Zakes, and sends his original cakes (based on his own secret recipes) out to customers in distinctive boxes (which include a novel solar-powered cooling system to keep the cakes fresh) with an original poem (to each client) inside that he has composed. Except for forming a business entity he has taken no further action involving any government.
PART A (about 17 points)
Identify Issues, relevant Rules, explain your Analysis, and state Conclusions as a numbered outline.
Issues:
(1) …
(2) …
(etc.)
Rules – generally:
(1) …
(2) …
(etc.)
Analysis – here:
(1) …
(2) …
(etc.)
Conclusion – therefore:
(1) …
(2) …
(etc.)
PART B (about 4 points)
Also, as a numbered list, state the step(s) could Zach could take to minimize risk and capture value.
(1) …
(2) …
(etc.)
Question 3 (about 25 points)
Zach eventually takes steps needed to sell shares in Zakes to the general public. He enters into a written agreement with a friend, Astoria, to inform her of any unusually good or bad new developments within Zakes (before announcements are made to the general public, so that she can make smart decisions about buying or selling shares of Zakes). Zach later points out that this agreement is for an illegal purpose: namely, trading shares based on insider information. He refuses to abide by the agreement. Astoria loses $1 million as a result. Separately, Waldorf orders 10 Zakes cakes for a party for a total cost of $3200 over Zakes’ website, and immediately pays online. The order is not delivered on time (because of some unforeseeable error in Zakes’ internal order-processing systems). Waldorf gets reasonable replacements as quickly as possible for a cost of $4500 from another cake maker, which arrive on time for the party.
Both Astoria and Waldorf are Massachusetts residents and ask you whether it is a good idea to immediately sue Zach to make him compensate them for the losses that they suffered. They also ask you to explain what would be a likely outcome of their lawsuits if they were to sue Zach, and why.
Identify Issues, relevant Rules, explain your Analysis, and state Conclusions as a numbered outline.
Issues:
(1) …
(2) …
(etc.)
Rules – generally:
(1) …
(2) …
(etc.)
Analysis – here:
(1) …
(2) …
(etc.)
Conclusion – therefore:
(1) …
(2) …
(etc.)
