Question 1

A successful negligence suit against a member of a profession must measure the ________________ of the particular practitioner with that prescribed by the profession in general, and must show in the evidence that the practitioner failed to meet that standard.
A) performance of duty
B) professional standards
C) fiduciary duty
D) duty of care
E) None of the responses are true.

Accepted Answer

A

Question 2

A husband and wife, Michelle and William, contacted an insurance agent for coverage for the wife's business, financed by the husband. The agent negligently arranged for insurance in William's name only. When Michelle suffered a loss she thought would be covered by the policy, she discovered that her business was not covered by the insurance. In the court action that followed:
A) The agent failed in his duty to make proper arrangements for coverage of Michelle's interest but properly performed his duty towards Michelle's business.
B) The agent would be held liable for the loss Michelle suffered.
C) The agent would not be held liable for the loss Michelle suffered.
D) The agent failed in his duty to make proper arrangements for coverage of Michelle's interest.
E) The agent would be held liable for the loss Michelle suffered as the agent failed in his duty to make proper arrangements for coverage of Michelle's interest.

Accepted Answer

The agent had a duty to arrange for insurance coverage for Michelle's business, which was financed by William. By negligently arranging for insurance coverage in William's name only, the agent failed in his duty to make proper arrangements for coverage of Michelle's interest. As a result, the agent would be held liable for the loss Michelle suffered because she thought her business was covered by the policy.

Question 3

In solicitor-client privilege, the lawyer normally has no legal obligation to reveal any confidential information to legal authorities or to anyone, unless:
A) the lawyer has severed the professional relationship.
B) the situation involves a minor.
C) a felony has been committed.
D) the client provides authorization.
E) There are no exceptions.

Accepted Answer

The only exception to solicitor-client privilege is if the client provides authorization to the lawyer to disclose confidential information to legal authorities or others.

Question 4

Rose, a financial advisor, recommended that a client, Maureen, purchase shares in Mad Money Mutual Fund. Relying on Rose's recommendation the client purchased 100 units. The entire stock market collapsed and the value of Mad Money Mutual Fund was reduced significantly. Maureen was surprised to learn that Rose earned a commission on each unit sold to her clients. Is Rose liable to Maureen?
A) No, mutual fund dealers are not liable to their clients for losses incurred.
B) No, Rose met the standards of care for a financial adviser.
C) No, Rose's advice did not cause the loss.
D) Yes, Rose breached her fiduciary duty by not disclosing that she received a commission on sale.
E) Yes, Rose failed to meet the stand of care for a financial adviser by recommending a mutual fund that failed.

Accepted Answer

Rose breached her fiduciary duty by not disclosing that she received a commission on the sale. As a financial advisor, Rose has a duty to disclose any conflicts of interest that may influence her advice. By not disclosing the commission, Rose breached her fiduciary duty to Maureen.

Question 5

If an engineer designs a bridge without consideration for the weight of traffic that would travel over the bridge, and the bridge collapses, the engineer may be
A) negligent in the performance of his or her professional duty but not liable for the loss or injury that results.
B) negligent in the performance of his or her professional duty and liable for the loss or injury that results.
C) not negligent in the performance of his or her professional duty but liable for the loss or injury that results.
D) None of the responses are true.

Accepted Answer

Engineers have a duty to design structures that are safe, and failure to consider an important factor such as anticipated traffic weight would be considered a breach of that duty. As a result, the engineer would be considered negligent and liable for any damages or injuries that result from the collapse of the bridge.

Question 6

A duty to place a client's interest above the professional's own interests is known as:
A) a professional relationship.
B) duty of care.
C) solicitor-client privilege.
D) fiduciary duty.
E) a legal responsibility.

Accepted Answer

Fiduciary duty is a legal and ethical responsibility to act in the best interests of the client, putting their interests before the professional's own interests. This duty is most commonly associated with professions such as law, finance, and medicine, where clients often place a great deal of trust in their professionals.

Question 7

It is suggested, but not legally required, that a lawyer recognize the limitations on his or her ability to handle a legal matter, and to take such steps as may be required to ensure that the client has appropriate advice, such as directing the client, if necessary, to another lawyer with greater expertise in the particular legal manner.

Accepted Answer

The answer of It is suggested, but not legally required,...

Question 8

A professional is a person who possesses special knowledge or exercises special skills not normally possessed by most individuals.

Accepted Answer

This is the definition of a professional.

Question 9

The normal approach for the engagement of the services of an architect is through a contract. Under the terms of the contract, the architect is usually expected to:
A) Perform their duties in accordance with the professional code of conduct.
B) Complete the work in accordance with professional standards.
C) To have a duty of care to the client.
D) Perform the work in accordance with the terms of the contract.
E) All of the above.

Accepted Answer

The answer of The normal approach for the engagement of...

Question 10

Leonard was an entrepreneur who owned a restaurant business called, Blue Moon Diner Ltd. The business was located in an old house owned by Leonard. Lauren, the accountant, was preparing financial statements for the purpose of selling Blue Moon Diner Ltd. She assumed that the house was an asset of Blue Moon Diner Ltd. and did not review the land title or check with Leonard. Alicia purchased the business for $500 000, believing that the house was an asset worth $450 000 and the business was worth $50 000. Can she sue Lauren?
A) Yes, Lauren had a duty of care to Alicia.
B) No, Lauren did not have a duty of care to Alicia.
C) Yes, Lauren breached the standard of care for an accountant.
D) Yes, Lauren had a duty of care to Alicia and breached the standard of care for an accountant.
E) No, Lauren did not have a duty of care to Alicia and breached the standard of care for an accountant.

Accepted Answer

Lauren had a duty of care to Alicia as Alicia was the intended user of the financial statements prepared by Lauren for the purpose of selling the business. By assuming that the house was an asset of Blue Moon Diner Ltd. and not verifying it with Leonard, Lauren breached the standard of care for an accountant.

Question 11

One of the obligations upon professionals acting in fields that can create tort liability is the obligation to __________ and _____________ from the party who will be affected by the professional service.
A) explain procedures and obtain consent
B) charge fees under the guidelines and explain procedures
C) avoid harm and obtain consent
D) obtain consent to action and assess damages
E) explain procedures and obtain consent to action

Accepted Answer

The answer of One of the obligations upon professionals acting...

Question 12

For many professions, the standard of care extends beyond the single performance of the service, and the professional may also be required to
A) consider additional fees.
B) consider subsequent services.
C) consider third parties.
D) consider duty of care.
E) consider additional consent.

Accepted Answer

The answer of For many professions, the standard of care...

Question 13

Lisa, a three-year-old girl, was having her tonsils removed. Towards the end of the surgery, Dr. Talker answered her cell phone and failed to thoroughly check for sponges in Lisa's throat. Lisa choked to death. Can Lisa's family successfully sue Dr. Talker?
A) Yes, Dr. Talker failed to meet the standard of care for a surgeon.
B) Yes, Dr. Talker had a duty of care to Lisa.
C) Yes, Dr. Talker's negligence caused the injury.
D) Yes, damages resulted.
E) All of the responses are correct.

Accepted Answer

All of the responses are correct. Dr. Talker had a duty of care to Lisa as a surgeon, but failed to meet the standard of care by not thoroughly checking for sponges. This negligence caused Lisa's injury and ultimately, her death. The damages resulting from this event would be the loss of Lisa's life and the emotional distress and suffering experienced by her family. Therefore, Lisa's family would have a strong case to sue Dr. Talker for malpractice.

Question 14

The professional under a contract implies promises to perform the services required in accordance with the standard for his or her profession, and a failure to do so would constitute ______________________.
A) a lack of fiduciary duty
B) a breach of contract
C) professional negligence
D) a lack of informed consent
E) a breach of solicitor-client privilege

Accepted Answer

A breach of contract occurs when one party fails to fulfill their contractual obligations. In this scenario, the professional made promises to perform services in accordance with the standard for their profession, which is the basis of the contract. Therefore, a failure to do so would constitute a breach of contract. While other choices such as professional negligence could also apply in certain situations, the most direct and relevant choice is B.

Question 15

Breach of contract cases usually are a result of careless or negligent performance of the professional service.

Accepted Answer

Breach of contract cases usually occur when one party fails to perform their duties or obligations as outlined in a contract. This can be due to carelessness or negligence in providing a professional service.

Question 16

"Competent lawyer" means a lawyer who has and applies relevant skills, attributes, and values in a manner appropriate to each matter undertaken on behalf of a client.

Accepted Answer

This definition of a "competent lawyer" emphasizes the importance of having the necessary skills, attributes, and values to handle each client matter appropriately.

Question 17

The case of Hercules Management Ltd. v. Ernst and Young (1997) makes the following contribution to the law regarding professional liability of accountants at Common Law:
A) Accountants do not have a duty of care to the corporation.
B) Accountants do not have a duty of care to the directors.
C) Accountants do not have a duty of care to the shareholders.
D) Accountants do not have a duty of care to the creditors
E) Accountants have a duty of care to the corporation, directors, shareholders and creditors.

Accepted Answer

The answer of The case of Hercules Management Ltd. v....

Question 18

Most professionals are members of professional associations that are responsible for the establishment of
A) training and education.
B) standards of performance of the members.
C) enforcement of the standards by an accredited or licensing process.
D) training and education and standards of performance of the members.
E) training and education, standards of performance of the members and enforcement of the standards by an accredited or licensing process.

Accepted Answer

Professional associations are responsible for providing training and education to their members to ensure that they are equipped with the knowledge and skills needed to perform their jobs effectively. They also establish standards of performance that members must adhere to in order to maintain their membership. Finally, they enforce these standards through an accredited or licensing process, which includes disciplinary measures for those who fail to meet the standards. Therefore, the best choice is E, which includes all three of these responsibilities.

Question 19

Manno had injured his knee and required laparoscopic knee surgery. During his appointment with the surgeon, Dr. Cutter, Manno was advised of the risks associated with the surgery including death and limited mobility in his knee. Dr. Cutter did not discuss scarring if traditional surgery was required. Manno signed the consent form. In the operating room, Dr. Cutter concluded that laparoscopic surgery would not repair Manno's knee and he had to make three large incisions in a traditional method. Manno's knee was repaired but he had three large, unattractive scars. Manno was a male model. Can Manno successfully sue Dr. Cutter?
A) No, Dr. Cutter did not have a duty to Manno with regards to his career.
B) No, Dr. Cutter met the standard of care for a surgeon.
C) No, the purpose of the surgery was to repair the knee and it did so successfully.
D) No, damages did not result.
E) Yes, Dr. Cutter failed to obtain informed consent.

Accepted Answer

Dr. Cutter failed to obtain informed consent as he did not advise Manno of the potential scarring if traditional surgery was required. This lack of information may have affected Manno's decision to go through with the surgery. As a result, Manno may have a case for medical malpractice and lack of informed consent.

Question 20

Professional associations are not given the authority to limit the use of the professional designation to individuals who are members in good standing in the association, or to take action under the legislation to prevent anyone not a member in good standing from holding him or herself out to the pubic as a particular professional, or offering the professional services to the public.

Accepted Answer

Professional associations are given the authority under legislation to limit the use of professional designations and take action against non-members who hold themselves out as a particular professional or offer professional services to the public without membership in good standing.

Quiz 6: An Introduction to the Legal Relationship

A successful negligence suit against a member of a profession must measure the ________________ of the particular practitioner with that prescribed by the profession in general, and must show in the evidence that the practitioner failed to meet that standard.

In solicitor-client privilege, the lawyer normally has no legal obligation to reveal any confidential information to legal authorities or to anyone, unless:

If an engineer designs a bridge without consideration for the weight of traffic that would travel over the bridge, and the bridge collapses, the engineer may be

A duty to place a client's interest above the professional's own interests is known as:

A professional is a person who possesses special knowledge or exercises special skills not normally possessed by most individuals.

The normal approach for the engagement of the services of an architect is through a contract. Under the terms of the contract, the architect is usually expected to:

One of the obligations upon professionals acting in fields that can create tort liability is the obligation to and ___ from the party who will be affected by the professional service.

For many professions, the standard of care extends beyond the single performance of the service, and the professional may also be required to

Lisa, a three-year-old girl, was having her tonsils removed. Towards the end of the surgery, Dr. Talker answered her cell phone and failed to thoroughly check for sponges in Lisa's throat. Lisa choked to death. Can Lisa's family successfully sue Dr. Talker?

The professional under a contract implies promises to perform the services required in accordance with the standard for his or her profession, and a failure to do so would constitute ______________________.

Breach of contract cases usually are a result of careless or negligent performance of the professional service.

"Competent lawyer" means a lawyer who has and applies relevant skills, attributes, and values in a manner appropriate to each matter undertaken on behalf of a client.

The case of Hercules Management Ltd. v. Ernst and Young (1997) makes the following contribution to the law regarding professional liability of accountants at Common Law:

Most professionals are members of professional associations that are responsible for the establishment of