Able and Baker Are Both Residents of Iowa, but They

question 80

Multiple Choice

Able and Baker are both residents of Iowa, but they have a dispute regarding some land located in Kansas.Able files, in Kansas, a lawsuit regarding the land and Baker objects, claiming the Kansas courts have no jurisdiction.In this case:

• A)only the Iowa courts can hear the lawsuit.
• B)the Iowa federal district court can hear the suit based on diversity of citizenship.
• C)the Kansas courts have in rem jurisdiction to adjudicate the claim regarding the property.
• D)the Kansas federal district court can hear the suit based upon diversity of citizenship.

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Definitions:

Arbitrage

The strategy of exploiting price differences of identical or similar financial instruments across different markets to gain profit with minimal risk.

Futures Price

The agreed-upon price for the sale of an asset at a future date, typically used in commodities and financial instrument trading.

Stock Index Futures

Financial contracts that obligate the buyer to purchase, and the seller to sell, a specific stock index at a predetermined future date and price.