LOMA 311 Module 1 Practice Exam Questions

LOMA 311 Module 1 Practice Exam Questions Actual Exam Latest Update - 250 Questions and 100% Verified Correct Answers Guaranteed A+ An insurer must comply with the Fair Credit (FCRA) requirements when it takes an adverse action based on information in a consumer credit report. Consider the following two actions the Cogent Life Insurance Company took on two applications for life insurance coverage based on information contained in the applicant's consumer credit

reports:

• Action A Cogent refused to grant life insurance coverage in substantially the amount

that Lola Acarr requested.

• Action B Cogent changed the terms of Miles Baxter's existing life insurance

coverage.Actions that most likely would be considered adverse actions taken by Cogent under the

terms of the FCRA include - CORRECT ANSWER: Both Action A and Action B

Country X adopted a document, known as a (statute / constitution), that sets out the fundamental principles to determine the powers and duties of the government and the rights of the people. This document, which typically is considered the supreme law of the land, also establishes the organizational structure of Country X's government by dividing governmental powers among three branches of government. The (legislative / executive) branch of departments or ministries that are responsible for administering, enforcing, or carrying out laws in the applicable jurisdiction. - CORRECT ANSWER: constitution / executive

Many governments are organized as either parliamentary democracies or as federal systems. The following statements are about these forms of governmental organization.Three statements are true, and one statement is false. Select the answer choice

containing the FALSE statement. - CORRECT ANSWER: In a parliamentary

democracy, the executive branch of government has the ultimate authority for making all laws.

One correct statement about the typical rules and procedures of the civil litigation process is that - CORRECT ANSWER: pleadings are the formal, written statements that set out the claims and defenses of each of the parties to a lawsuit.

One group involved in managing a corporation is the board of directors. The following statements are about corporate directors. Select the answer choice containing the

correct statement. - CORRECT ANSWER: Directors are subject to the reasonable

person standard.

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The Cerulean Corporation purchased a controlling interest in the Teal Corporation, resulting in a linkage between these two formerly independent corporations. After the transaction, both corporations survive as separate legal entities. The situation is correctly described as the type of organizational structure change known as -

CORRECT ANSWER: an acquisition

The court presided over by Judge Araceli Hidalgo is a court of original jurisdiction because it is a type of court that first hears disputes. The information indicates that Judge Hidalgo's court is (a trial / an appellate) court. The types of laws that Judge Hidalgo's court applies to specific cases are known as (substantive / regtech) laws, which, by definition, are laws that create, define, and regulate legal rights and duties. -

CORRECT ANSWER: a trial / substantive

The following statements are about general principles of tort law. Three statements are true, and one statement is false. Select the answer choice containing the FALSE

statement/ - CORRECT ANSWER: The common law imposes liability for torts against

another person, but it does not impose liability for torts against another person's property.

The Hilltop Life Insurance Company, a U.S. publicly traded insurer, is incorporated in State X, and it also conducts business in State Y and State Z. From the perspective of State Y, Azalea is a type of insurer known as - CORRECT ANSWER: a foreign insurer

Two basic types of legal systems are the common law system and the civil law system.The following statements contain comparisons of these legal systems. Select the

answer choice containing the correct statement. - CORRECT ANSWER: Common law

systems are based on English law, whereas civil law systems are based on the Roman legal system.

Use the following information to answer this question. Ethel Yeni filed a civil action against Norman Zee accusing Mr. Zee of the type of tortious conduct in which a person fails to exercise the legally required degree of care in doing something that is otherwise legally permissible, or omitting to do something that is otherwise legally required. In preparing for trial, Ms. Yeni's lawyers gathered information from Mr. Zee by using a procedure in which Mr. Zee orally testified under oath. The testimony was recorded by a court reporter, who provided both parties with a written transcript of the testimony.Based on the typical degree of proof required in a civil action, the jury was required to evaluate the evidence and decide the issue in favor of the party that presented the more convincing evidence the disputed facts. The jury ruled in favor of Ms. Yeni and awarded

her damages in an amount equal to the monetary losse - CORRECT ANSWER: a

deposition

Use the following information to answer this question. Ethel Yeni filed a civil action against Norman Zee accusing Mr. Zee of the type of tortious conduct in which a person fails to exercise the legally required degree of care in doing something that is otherwise legally permissible, or omitting to do something that is otherwise legally required. In 2 / 4

preparing for trial, Ms. Yeni's lawyers gathered information from Mr. Zee by using a procedure in which Mr. Zee orally testified under oath. The testimony was recorded by a court reporter, who provided both parties with a written transcript of the testimony.Based on the typical degree of proof required in a civil action, the jury was required to evaluate the evidence and decide the issue in favor of the party that presented the more convincing evidence the disputed facts. The jury ruled in favor of Ms. Yeni and awarded

her damages in an amount equal to the monetary losse - CORRECT ANSWER: a

preponderance of the evidence

Use the following information to answer this question. Ethel Yeni filed a civil action against Norman Zee accusing Mr. Zee of the type of tortious conduct in which a person fails to exercise the legally required degree of care in doing something that is otherwise legally permissible, or omitting to do something that is otherwise legally required. In preparing for trial, Ms. Yeni's lawyers gathered information from Mr. Zee by using a procedure in which Mr. Zee orally testified under oath. The testimony was recorded by a court reporter, who provided both parties with a written transcript of the testimony.Based on the typical degree of proof required in a civil action, the jury was required to evaluate the evidence and decide the issue in favor of the party that presented the more convincing evidence the disputed facts. The jury ruled in favor of Ms. Yeni and awarded

her damages in an amount equal to the monetary losse - CORRECT ANSWER:

compensatory damages

Use the following information to answer this question. Ethel Yeni filed a civil action against Norman Zee accusing Mr. Zee of the type of tortious conduct in which a person fails to exercise the legally required degree of care in doing something that is otherwise legally permissible, or omitting to do something that is otherwise legally required. In preparing for trial, Ms. Yeni's lawyers gathered information from Mr. Zee by using a procedure in which Mr. Zee orally testified under oath. The testimony was recorded by a court reporter, who provided both parties with a written transcript of the testimony.Based on the typical degree of proof required in a civil action, the jury was required to evaluate the evidence and decide the issue in favor of the party that presented the more convincing evidence the disputed facts. The jury ruled in favor of Ms. Yeni and awarded

her damages in an amount equal to the monetary losse - CORRECT ANSWER:

negligence A breach of contract - CORRECT ANSWER: A failure of a party to preform a contractual obligation

ex- insurer did not pay claim

a legal system includes two major components: - CORRECT ANSWER: 1. laws and regulations that regulate conduct

• legal processes to enforce those laws and regulations. The laws and regulations

provide guidelines and rules to help peoples, combines, and governments interact in an orderly way. legal process are used to resolve disputes, provide remedies for victims, and punish those who break laws 3 / 4

a life insurance company's stakeholders include - CORRECT ANSWER: - board of

directors

• potential customers
• regulators

a third party that takes an adverse action based on consumer credit must - CORRECT

ANSWER: - provide the consumer with info about the consumer reporting agency

• notify the consumer of her right to dispute with the reporting agency
• notify the consumer that she has the right to obtain free copy of the credit report from

the agency

acquisition - CORRECT ANSWER: a transaction in which one corp purchases a

controlling interest in another copr resulting an a linkage between formerly independent corp

Administrative law - CORRECT ANSWER: regulations make up this body of law. The

regulations of each governmental unit are complied into that jurisdictions administrative code. For example the regulations of a state are compiled into that states administrative code

adverse action - CORRECT ANSWER: denial or revocation of credit or insurance

coverage

change in terms of an existing credit arrangement or insurance coverage

a refusal to grant credit or insurance in substantially the amount or on substantially the terms requested.

Affidavit - CORRECT ANSWER: written statement made under oath

affirmative defense - CORRECT ANSWER: allegation of facts that constitute a defense to the plaintiff's claim.

ex- applicant concealed vital fact about health misrepresentation

Age Discrimination in Employment Act - CORRECT ANSWER: outlaws discrimination

against people older than 40 years

agreements between buyer and seller are prohibited - CORRECT ANSWER: - unfair

price discrimination: selling different price to different buyers

- tying arrangements: only sell product if purchaser buys another

• boycots: competitors agree to not do biz with another. using intimidation to join boycott

agreements between competitors that aren't allowed - CORRECT ANSWER: - dividing

market geographically by territory or customer

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