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The employees of Eco Engineering Inc. share company-related resources among multiple computers without requiring a central network server. This is


A) digital sampling.
B) cybersquatting.
C) cloud computing.
D) peer-to-peer (P2P) networking.

E) C) and D)
F) A) and C)

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Online conduct gives rise to only a narrow variety of legal actions.

A) True
B) False

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In posting statements or photos to a social media site, a person clearly has a reasonable expectation of privacy.

A) True
B) False

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Rue obtains permission from Saga Company to use the firm's game app on Rue's mobile devices. But Rue does not obtain ownership rights in the app. This is


A) a license.
B) a cookie.
C) cloud computing.
D) a violation of the law.

E) C) and D)
F) B) and D)

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Deals Inc. provides its sales representatives with phones to use in the ordinary course of business. Deals monitors the employees' electronic communications made through the phones. This is


A) a violation of the rights of the employees.
B) within the rights of the employer even if it did not provide the phones.
C) a subject for dispute resolution by the phone service.
D) a "business-extension exception" under the Electronic Communications Privacy Act.

E) A) and B)
F) A) and C)

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CallTalk Corporation, a phone-time seller, uses its mark "calltalk" as its domain name. Later, Converse Inc. uses the domain name "callltalk" (a deliberate misspelling of "calltalk") without CallTalk's authorization, to sell sexually explicit phone conversations. This is


A) a legitimate marketing technique.
B) a fair use.
C) a license.
D) trademark dilution.

E) A) and D)
F) B) and C)

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To protect a trademark against typosquatting, a company should attempt to register potential misspellings of the mark.

A) True
B) False

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Payback Inc. discovers that defamatory statements about its policies are being posted in an online forum. Q Web Inc., the Internet service provider whose users are posting the messages, refuses to reveal the users' identities. To obtain those identities, Payback should initially


A) file a suit against the anonymous users.
B) gain unauthorized access to Q Web's servers.
C) file a suit against Q Web.
D) ask the U.S. Department of Justice to issue a subpoena.

E) B) and D)
F) B) and C)

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Using another's trademark as a meta tag may be permissible.

A) True
B) False

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Prodigious Profit, LLC, and other companies operate social media Web sites, issue apps for mobile devices, obtain ad revenue from search engines, and sell directly to consumers from other sites. The privacy rights of the users of these products are frequently defined, not by the courts or legislatures, but by


A) the companies that own the sites and the apps.
B) retailers who have had to change their procedures to compete.
C) spammers, cybersquatters, and typosquatters.
D) Internet service providers.

E) A) and B)
F) None of the above

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An Internet service provider that terminates subscribers who infringe copyrights can qualify for a "safe harbor" under the Digital Millennium Copyright Act.

A) True
B) False

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The Federal Trade Commission can effectively force a private company to consent to the agency's review of the company's privacy and data practices.

A) True
B) False

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Grain Mill Company brings a suit against Milled Grain Company under the Anticybersquatting Consumer Protection Act, alleging that Milled Grain is profiting from a domain name that is confusingly similar to Grain Mill's trademark. If Grain Mill is successful, recovery may include


A) actual damages and profits in any amount.
B) statutory damages no greater than $1,000.
C) statutory damages no less than $100,000.
D) all of the choices.

E) B) and C)
F) All of the above

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File-sharing can be used to download others' stored music files without raising copyright issues.

A) True
B) False

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Mix Restaurant Corporation owns the trademark "Mix." Remix Café Company begins to use the mark without authorization as a domain name. Mix files a suit against Remix on a theory of trademark dilution. This claim requires proof that


A) none of the choices.
B) consumers are likely to be confused by the names.
C) the products involved are similar.
D) Mix has registered all variations of the name "Mix."

E) B) and C)
F) None of the above

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Cybersquatting is illegal only if a domain name is identical to the trademark of another, not if the name is merely confusingly similar.

A) True
B) False

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"Dawn" is a song included in the sound track of "eDay," a movie produced and distributed by FasTrac Corporation. The song features a digital sampling of a few seconds of the guitar solo of one of George Harrison's copyrighted sound recordings without permission. Does this digital sampling constitute copyright infringement on the part of FasTrac? Explain.

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Yes, the digital sampling described in t...

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Sonya and other employees of TransGlobal Inc. maintain a password-protected social media page on which they post comments on work-related issues. The posts range from positive to negative, supporting the page's purpose to "vent about work." When TransGlobal learns of the page, the company intimidates Sonya into revealing the password, and after reviewing the posts, fires her and the other participants. Which federal law discussed in this chapter most likely applies to this situation? Has this law been violated? Discuss.

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The federal law discussed in this chapte...

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An online retailer can track a user's web activities with cookies without violating the person's right to privacy.

A) True
B) False

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To maintain a claim of trademark dilution, the products involved must be similar.

A) True
B) False

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