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When a foreign government acts as a "private party" in the market, its actions qualify as commercial activity for purposes of the Foreign Sovereign Immunities Act.

A) True
B) False

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Under the principle of comity, a domestic court will not examine the validity of any act committed by a foreign government within the court's jurisdiction.

A) True
B) False

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Resort Hotel Corporation, a U.S. firm, establishes a wholly owned subsidiary in Singapore. As a parent corporation, with respect to the subsidiary, Resort retains complete ownership of


A) all of the facilities in Singapore.
B) more than half, but less than all, of the facilities in Singapore.
C) none of the facilities in Singapore.
D) no more than half of the facilities in Singapore

E) All of the above
F) A) and B)

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In the United States, each government agency that operates or authorizes spacecraft is responsible for complying with U.S. law and international treaties.

A) True
B) False

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An allegation that certain imported goods infringe on a U.S. firm's patents will be investigated by the Export-Import Bank of the United States.

A) True
B) False

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A U.S. court can assert jurisdiction over a foreign government in a case involving the control of natural resources within that government's territory.

A) True
B) False

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Nakeya and other foreign citizens allege environmental destruction committed overseas by the government of Cameroon on behalf of Global Mining Company, a U.S. firm. To seek redress for their injuries in a U.S. court, these citizens can


A) subject the private company to the provisions of the Sherman Act.
B) bring civil suits under the Alien Tort Claims Act.
C) file criminal complaints under Title VII of the Civil Rights Act.
D) do nothing.

E) C) and D)
F) A) and B)

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A company can export indirectly and thereby limit its involvement in an international market by making use of agency relationships.

A) True
B) False

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Global Industries Corporation owns assets in Kazakhstan, a country in Asia. The government of Kazakhstan wants to nationalize all assets owned by foreign firms and investors. What can Global Industries do? Can it at least obtain payment for the assets?

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If a government decides to seize propert...

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Under the act of state doctrine, a U.S. court can rule on the validity of a foreign government's acts within its own territory.

A) True
B) False

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The federal Alien Tort Claims Act allows foreign citizens, but not U.S. citizens, to file civil actions in U.S. courts for torts that were committed abroad.

A) True
B) False

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A nation that launches objects into space is absolutely liable for personal injury and property damage caused by its objects on Earth or in flight.

A) True
B) False

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The U.S. government does not generally regulate private spaceports and the launch and reentry of private spacecraft.

A) True
B) False

Correct Answer

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Mexico is likely to defer and give effect to the laws and judicial decrees of the United States as long as


A) the laws and decrees are consistent with Mexican law and public policy.
B) smaller countries fear and are intimidated by more powerful nations.
C) poorer countries admire and envy richer nations.
D) all of the choices.

E) B) and C)
F) A) and D)

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Habitat Corporation, a U.S. firm, owns property in India. The government of India seizes the property for a proper public purpose and pays the firm just compensation. This is


A) confiscation.
B) the act of state doctrine.
C) the doctrine of sovereign immunity.
D) expropriation.

E) A) and B)
F) B) and D)

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Regional trade agreements and associations help to minimize trade barriers among nations.

A) True
B) False

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Suisse Internationale, a Swiss maker of athletic equipment, enters into a price-fixing agreement with Total World Sports, a U.S. wholesaler of Suisse's products. U.S. courts will apply U.S. antitrust laws if


A) the agreement was made in Switzerland.
B) the agreement was made in the United States.
C) the price fixing has a substantial effect on U.S. commerce.
D) the Swiss government agrees to be sued in the United States.

E) B) and D)
F) A) and B)

Correct Answer

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Under United Nations guidelines, objects no longer in operation should be removed from orbit if this can be accomplished in a controlled manner.

A) True
B) False

Correct Answer

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Sugar Company, a U.S. firm, owns property in Trinidad and Tobago. When the foreign government seizes the property, the company asks a U.S. court to order the property's return. The court rules that the Trinidad and Tobago is exempt from the court's jurisdiction. This is an application of


A) a coercive action.
B) the act of state doctrine.
C) the doctrine of sovereign immunity.
D) the principle of comity.

E) C) and D)
F) None of the above

Correct Answer

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A foreign state is immune from the jurisdiction of a U.S. court when the state has engaged in commercial activity only outside the United States.

A) True
B) False

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