With Regard to Establishing Minimal Contacts to Establish Jurisdiction Regarding

question 45

Multiple Choice

With regard to establishing minimal contacts to establish jurisdiction regarding out-of-state companies that advertise and sell products over the Internet,which of the following is not a true statement?

• A) the U.S. Supreme Court has not yet directly ruled on the issue
• B) the Zippo Standard, established in Zippo Manufacturing Company v. Zippo Dot Com, Inc., is not legally binding precedent
• C) at least six federal circuit courts have adopted the Zippo Standard as the legal framework to assess minimum contacts
• D) the Zippo standard sets a rigid test to establish minimum contacts by requiring that at least a minimum of 5% of the state's population visit the company's web site

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Definitions:

Statement of Stockholders' Equity

A financial statement showing the changes in the equity section of the balance sheet during a certain period, including shares issued, dividends paid, and earnings.

Income Statement

A financial document detailing a company's revenues, expenses, and net income over a specific period, illustrating its profitability.

Liabilities

Liabilities are the financial obligations of a company, including debts and other amounts owed to creditors, which must be settled over time.

Stockholders' Equity

Stockholders' equity represents the residual interest in the assets of a corporation after deducting liabilities, essentially what is owned by the company's shareholders.