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Regulatory Compliance & Legal Framework Flashcards

7 cards from real B2B practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 7 Regulatory Compliance & Legal Framework flashcards as text
  1. Under the CAN-SPAM Act, what is the maximum penalty per violation for sending non-compliant commercial emails?

    Answer: $16,000

    The CAN-SPAM Act allows fines of up to $16,000 per individual email in violation, making compliance critical for B2B email campaigns.

  2. A B2B company based in the US collects data from EU business contacts. Which regulation primarily governs how they must handle that data?

    Answer: GDPR

    GDPR applies to any organization processing personal data of EU residents, regardless of where the company is headquartered.

  3. In B2B contract law, what does the term 'indemnification clause' protect against?

    Answer: Third-party claims and losses arising from the contract

    An indemnification clause requires one party to compensate the other for losses, damages, or liabilities incurred due to specified actions or breaches.

  4. Which US federal law regulates deceptive trade practices and false advertising in B2B marketing?

    Answer: Federal Trade Commission Act (FTC Act)

    Section 5 of the FTC Act prohibits unfair or deceptive acts or practices in commerce, which includes B2B advertising and marketing.

  5. What is 'safe harbor' in the context of international B2B data transfers?

    Answer: A framework allowing lawful transfer of personal data between jurisdictions with adequate protections

    Safe harbor frameworks (such as the EU-US Data Privacy Framework) allow organizations to transfer personal data internationally by meeting agreed-upon protection standards.

  6. A B2B marketer sends promotional emails to a list of corporate contacts in Canada. Which law must they comply with?

    Answer: CASL

    Canada's Anti-Spam Legislation (CASL) applies to commercial electronic messages sent to or from Canada, requiring express or implied consent.

  7. What does 'force majeure' in a B2B marketing services contract typically allow?

    Answer: A party to suspend or terminate obligations due to extraordinary events beyond their control

    Force majeure clauses excuse non-performance when extraordinary events—like natural disasters or pandemics—make fulfillment impossible.