Test Bank For Employment Law for Business 7th Edition By Bennett Alexander

CHAPTER 01

The Regulation of Employment

True / False Questions

1. (p. 7)Regulations governing the employer-employee relationship are based on agency law and failure of an employee/agent to act according to the employer’s instructions could result in liability for the employer.
   TRUE

Difficulty: 1 Easy

2. (p. 8)Misclassification of employees as independent contractors can result in liability under the Fair Labor Standards Act of 1938.
   TRUE

Difficulty: 1 Easy

3. (p. 7)If an agent acts without authority of the principal, the principal is not liable for any resulting loss to a third party.
   FALSE

Difficulty: 1 Easy

4. (p. 7)There is one commonly accepted definition of “employee” used by courts.
   FALSE

Difficulty: 1 Easy

5. (p. 9)An employer is vicariously liable for the actions of an employee causing harm to a third party outside the course of employment.
   FALSE

Difficulty: 2 Medium