California-Based Innovative Installers, Inc

question 93

Multiple Choice

California-based Innovative Installers, Inc. provides a variety of corporate services related to office space. The firm sells modular office furniture, offers space planning consultations, and provides office relocation services. The company was founded in 1992 and depended on the growth of dot.com companies for its early success. Innovative Installers has experienced cash flow problems during the recent economic recession, and top managers are eager for salespeople to obtain new accounts. Mierzett Evans and Glenda Heldris are two of Innovative Installers' salespeople. Glenda is meeting with an Office Pro store manager. Office Pro is interested in purchasing a line of Innovative Installers' desks to sell in the Office Pro retail stores. Glenda tells the Office Pro manager that she has a limited supply of the desks; however, she can obtain more desks if Office Pro also purchases desk chairs. Glenda is most likely guilty of:

• A) establishing unfair sales restrictions.
• B) practicing price discrimination.
• C) setting an exclusive dealership.
• D) encouraging a tie-in sale.
• E) requiring reciprocity.

---

Definitions:

Purported Partners

Individuals who are claimed to be partners in a business, sometimes without the legal or actual basis for such a partnership.

Doctrine of Respondeat Superior

A legal principle that holds an employer or principal liable for the actions of an employee or agent when those actions occur within the scope of employment or authority.

RUPA

The Revised Uniform Partnership Act, which is a set of laws adopted by several states in the United States to govern the formation, operation, and dissolution of partnerships.

For Profit

An organization or activity aimed at making money, rather than serving a charitable or other non-financial goal.