Hospitality 320 - Hospitality Law » Fall 2019 » Quiz 1

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Question #1
Hospitality managers cannot be expected to know every law that exist in the hospitality industry. But what they must know is how to effectively manage their legal environment. Certain concepts they need to know include:
A.   all the above
B.   Laws have an evolutionary nature, based on changes in society.
C.   It is possible to use the philosophy of preventive management to manage the legal environment and minimize the chances of litigation.
D.   Laws have historical origins, and the manager needs to know them
Question #2
Regarding ethical analysis – if unsure if a decision one is about to make is ethical, certain questions can be asked, including: 
A.   Would I publicize my action?
B.   Is it fair?
C.   Is it legal?
D.   all the above
E.   Am I being honest?
Question #3
The term “litigation” means: The act of initiating and carrying on a lawsuit.
A.   TRUE
B.   FALSE
Question #4
The textbook defines “Hospitality Law” as: Those laws that relate to the industry involved with the provision of food, lodging, travel, meetings, events, and entertainment services to its guests, employees, vendors, and clients.
A.   TRUE
B.   FALSE
Question #5
It is considered impossible for a Hospitality Manager to know all the legal requirements that may apply to his or her operation. It IS possible, however, to take certain actions, including:  
A.   Stay abreast of changes in regulations that affect your segment of the industry.
B.   Be aware of the process for responding to an inquiry or complaint from a regulatory entity.
C.   all the above
D.   Be aware of the major entities responsible for regulation.
E.   Understand how to resolve conflicting regulations.
Question #6
The Hospitality industry is regulated by a variety of federal, state, and local governmental entities. Federal agencies include: 
A.   all the above
B.   Internal Revenue Service (IRS)
C.   Occupational Safety and Health Administration (OSHA)
D.   Equal Employment Opportunity Commission (EEOC)
E.   Food and Drug Administration (FDA)
Question #7
The Department of Justice is a Federal agency.
A.   FALSE
B.   TRUE
Question #8
The Department of Homeland Security is a Federal agency.
A.   FALSE
B.   TRUE
Question #9
Common Hospitality Organizational Structures include:  
A.   Limited Partnership
B.   General Partnership
C.   all the above
D.   C Corporation
E.   Sole Proprietorship
Question #10
Common Hospitality Operating Structures include: 
A.   Owner-Operator
B.   Condo Hotels/Shared Services
C.   Franchise
D.   Management Contract
E.   all the above
Question #11
Organizational structure is: The legal entity that owns a business.
A.   FALSE
B.   TRUE
Question #12
Operating structure is: The relationship between a business’s ownership and its management.
A.   TRUE
B.   FALSE
Question #13
Essential components that must be present to create a valid contract include:  
A.   Consideration
B.   all the above
C.   Offer
D.   Acceptance
Question #14
Legal acceptance of a contract may be established by: 
A.   Verbal or nonverbal agreement
B.   Agreement in writing
C.   Acceptance of a deposit
D.   Acceptance of partial or full payment
E.   all the above
Question #15
Regarding contracts, a “counter offer” is a conditional agreement to the terms and conditions of an offer that includes a change to those terms, creating a new offer.
A.   TRUE
B.   FALSE
Question #16
“Breach of Contract” does NOT mean failure to keep the promises of agreements of a contract. 
A.   FALSE
B.   TRUE
Question #17
Many of the contracts used in the Hospitality industry are very similar to those used in other industries. However, there are some contracts unique to the Hospitality industry, including: 
A.   Meeting Space Contracts
B.   all the above
C.   Management Operating Contracts
D.   Group Lodging Contracts
E.   Franchise-related Contracts
Question #18
According to the text, Meeting Professionals International (MPI) is the world’s largest association of meeting planning professionals with over 20,000 members. They offer educational services designed to help meeting professionals better manage their meeting planning business.  
A.   TRUE
B.   FALSE
Question #19
Meeting planners are professionals who plan and organize meetings and events for their employers and clients. They negotiate sleeping rooms, meeting space, and a multitude of services with hotels, convention centers, country clubs, restaurant, catering halls, and many other venues and vendors.
A.   FALSE
B.   TRUE
Question #20
Essential Clauses for providing products and services to guests include:
A.   Deposit and Cancellation policies
B.   Length of time the contract prices exists.
C.   Identification of Who is authorized to modify the contract
D.   all the above

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