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CBA Business Law & Regulatory Compliance Flashcards

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

Read the first 6 CBA Business Law & Regulatory Compliance flashcards as text

  1. A non-compete agreement is most likely to be enforceable when it is:

    Answer: Reasonable in scope, duration, and geographic area

    Courts uphold non-compete agreements that protect a legitimate business interest and are reasonable in time, geography, and scope of restricted activities.

  2. Under the Fair Labor Standards Act (FLSA), which category of employees is exempt from overtime pay requirements?

    Answer: Employees earning over $684/week who perform executive, administrative, or professional duties

    The FLSA white-collar exemption applies to employees paid at least $684/week on a salary basis who perform bona fide executive, administrative, or professional duties.

  3. A business advisor notices a client's contract contains an unconscionable clause heavily favoring the other party. In contract law, unconscionability typically refers to a term that is:

    Answer: Shockingly unfair or oppressive, often involving unequal bargaining power

    Unconscionability addresses contracts or clauses that are so one-sided or oppressive — particularly where there was unequal bargaining power — that enforcement would be unjust.

  4. Which of the following best describes a 'piercing the corporate veil' scenario?

    Answer: Courts hold shareholders personally liable by disregarding the corporate legal separation

    Courts pierce the corporate veil when shareholders use the corporate form to perpetrate fraud or fail to maintain proper separation, making them personally liable for corporate debts.

  5. The Equal Employment Opportunity Commission (EEOC) enforces laws prohibiting employment discrimination based on all of the following EXCEPT:

    Answer: Marital status

    While federal EEOC laws cover race, color, religion, sex, national origin, age, disability, and genetic information, marital status is not a federally protected class under EEOC jurisdiction.

  6. Which antitrust law prohibits monopolization and attempts to monopolize trade or commerce in the United States?

    Answer: Sherman Antitrust Act

    Section 2 of the Sherman Antitrust Act prohibits monopolization, attempted monopolization, and conspiracies to monopolize any part of trade or commerce.