Fact Pattern 3-2 Ellen Contracts with James to Be Her Stockbroker, Making Stock

question 16

Multiple Choice

Fact Pattern 3-2
Ellen contracts with James to be her stockbroker, making stock trades for Ellen's account. Ellen need not pre-approve the trades that James makes, only trades for more than $20,000. Ellen and James include a clause stating "that in case of any disputes arising out of this contract; the dispute shall be arbitrated using the rules of the New York Stock Exchange."
Ellen learns that since signing her contract with James, he has routinely been making trades worth more than $20,000 without her permission, and losing money.
-Refer to Fact Pattern 3-2. Ellen and James arbitrate their dispute, who is most likely to be selected as an arbitrator?

• A) a federal judge
• B) a neutral expert on investment issues
• C) a partial expert on consumer affairs
• D) a mediator
• E) a conciliator

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Definitions:

Obsessive-Compulsive Disorder

A mental health disorder characterized by recurrent, unwanted thoughts (obsessions) and/or repetitive behaviors (compulsions).

Thalamus

A brain structure that relays sensory messages to the cerebral cortex.

Amygdala

A brain structure involved in the arousal and regulation of emotion and the initial emotional response to sensory information.

Prefrontal Cortex

A part of the frontal lobes of the brain, involved in decision making, problem-solving, control of purposeful behaviors, consciousness, and emotions.