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

question 181

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. If Ellen and James did mediate this dispute, their mediator:

• A) would have to be an attorney
• B) would have to represent one of them
• C) could be anyone at all, in any state
• D) might have to be professionally trained
• E) must be professionally trained according to federal law

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Definitions:

Early Sources

Origins or initial references that provide information or evidence on a particular topic or event.

Opinion Leader

Individuals who, due to their position, knowledge, or personality, have the ability to influence others' attitudes or behaviors in a community or social group.

Position, Expertise

The status or role one holds due to their specialized knowledge or professional skill in a particular area or field.

Political Socialization

The process by which people acquire their political beliefs, values, and identities, often influenced by family, education, and social environments.