Naxon Opened a Retail Computer Shop Which He Called Computer

question 62

Multiple Choice

Naxon opened a retail computer shop which he called Computer Haven Ltd. He used colours and signs similar to those used by Computerheaven Ltd., a very successful computer store three miles away. After Naxon was in business for about five months, the directors of Computerheaven Ltd. noticed that their sales had dropped. On these facts, which of the following is true?

• A) Computerheaven could successfully sue Naxon for the tort of passing off if it can prove that the name, signs, and colours used by Naxon were likely to mislead the public.
• B) Computerheaven could successfully sue Naxon for breach of contract.
• C) Computerheaven has no cause of action against Naxon because ours is a free society and competition in all forms is encouraged by our political and legal system.
• D) Computerheaven could successfully sue Naxon for the tort of innuendo.
• E) Computerheaven could successfully sue Naxon for the tort of injurious falsehood.

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Definitions:

Wage Rate

The standard amount of pay given for work performed, typically expressed as an amount per hour or amount per piece of work completed.

Endowment

The total resources, including wealth, talent, or abilities, that individuals or institutions possess, which can influence their capacity to make economic decisions.

Alimony

Financial support paid by one ex-spouse to another after divorce, as ordered by a court.

Budget Line

A graphical representation that shows all possible combinations of two goods that a consumer can afford with their income level.