Question 1

A(n)________ is any agreement to accept performance that is different from what is called for in the contract

Accepted Answer

A) accord and satisfaction 
B) anticipatory repudiation 
C) frustration of purpose 
D) mutual rescission 
A) accord and satisfaction 
B) anticipatory repudiation 
C) frustration of purpose 
D) mutual rescission

Question 2

Which of the following is not an element of promissory estoppel?

Accepted Answer

A) A promise 
B) Unjustifiable reliance 
C) Foreseeability 
D) Injustice of result 
A) A promise 
B) Unjustifiable reliance 
C) Foreseeability 
D) Injustice of result

Question 3

Jack is an accountant who works for the firm of Readum & Weep.Jack was approached by Ima Phool,who represents one of Readum's competitors,Numbers R Us.Jack was offered a substantial raise to leave his company and work for Numbers.When Jack's boss heard this he called him in and said,"If you stay with us,I promise that next year you will receive a promotion with a 50% raise,and a 5-year contract." Jack turned down the offer and stayed with Readum.Nine months later Jack was dismissed due to corporate downsizing.Can Jack legally enforce his boss's promise? What theory or theories would Jack use? Discuss fully.

Accepted Answer

Jack would say that there was a valid of

Question 4

A contract entered into by a minor is

Accepted Answer

A) void 
B) voidable 
C) binding 
D) illusory 
A) void 
B) voidable 
C) binding 
D) illusory

Question 5

Unconscionability has both a procedural and a substantive element.

Accepted Answer

A) True 
 B)False

Question 6

Void means the same thing as voidable in contract law.

Accepted Answer

A) True 
 B)False

Question 7

Contract law comes from which of the following?

Accepted Answer

A) Case law 
B) Statutes 
C) Tradition 
D) All the responses are correct 
A) Case law 
B) Statutes 
C) Tradition 
D) All the responses are correct

Question 8

Liquidated damages are damages that

Accepted Answer

A) punish the breaching party. 
B) fluctuate with the market conditions. 
C) are an estimate of the damages likely to be sustained from the breach. 
D) none of the above 
A) punish the breaching party. 
B) fluctuate with the market conditions. 
C) are an estimate of the damages likely to be sustained from the breach. 
D) none of the above

Question 9

Consideration can be either a promise to do a certain act or the performance of the act itself.

Accepted Answer

A) True 
 B)False

Question 10

Fact pattern 7-2
Hester offers to sell her house to Frank for $250,000.Frank says that he would like to think about it,and Hester says that is fine.The next day,Martha,Hester's friend,says that she will give Hester $240,000 for the house.Hester really likes Martha more than Frank and signs a contract to sell the house to Martha.Later that day Hester sees frank walking up her driveway.She immediately opens the window and yells "I revoke the offer on the house" before Frank says anything.Frank replies that he accepts the offer and expects to purchase the home.
-Refer to fact pattern 7-2.Which of the following is true regarding the offer to Frank assuming Hester's revocation was ineffective?

Accepted Answer

A) It was probably still open the next day because a reasonable length of time would not have expired. 
B) It would have terminated because Frank did not provide any consideration to leave it open. 
C) By operation of law,it would have terminated at midnight on the day it was made. 
D) By operation of law,it would still have been open because it would not have terminated until midnight on the day after it was made. 
A) It was probably still open the next day because a reasonable length of time would not have expired. 
B) It would have terminated because Frank did not provide any consideration to leave it open. 
C) By operation of law,it would have terminated at midnight on the day it was made. 
D) By operation of law,it would still have been open because it would not have terminated until midnight on the day after it was made.

Question 11

Which of the following is true regarding acceptance?

Accepted Answer

A) In the absence of a provision in an offer regarding how acceptance is to be made,acceptance is effective upon dispatch into a mailbox. 
B) Acceptance is never effective until it is received. 
C) An offeror may not by law specify that an offer can be accepted only by facsimile to a stated fax number and that the acceptance is not effective until actually received. 
D) An offeror may revoke an offer so long as the revocation is made before an acceptance is received. 
A) In the absence of a provision in an offer regarding how acceptance is to be made,acceptance is effective upon dispatch into a mailbox. 
B) Acceptance is never effective until it is received. 
C) An offeror may not by law specify that an offer can be accepted only by facsimile to a stated fax number and that the acceptance is not effective until actually received. 
D) An offeror may revoke an offer so long as the revocation is made before an acceptance is received.

Question 12

In a unilateral contract,a promise is given in exchange for another promise.

Accepted Answer

A) True 
 B)False

Question 13

An agreement between two parties that provides that the seller will sell all of a product that he produces to the buyer is called a(n)

Accepted Answer

A) illusory promise 
B) requirements contract 
C) output contract 
D) fulfillment contract 
A) illusory promise 
B) requirements contract 
C) output contract 
D) fulfillment contract

Question 14

Commercial transactions involving the sale of goods,movable personal property,are governed by which of the following?

Accepted Answer

A) Article 2 of the Uniform Commercial Code 
B) Articles 1-3 of the Uniform Sale of Goods Code 
C) Article 1 of the Federal Sales Code 
D) Article 1 of the Uniform Credit Code 
A) Article 2 of the Uniform Commercial Code 
B) Articles 1-3 of the Uniform Sale of Goods Code 
C) Article 1 of the Federal Sales Code 
D) Article 1 of the Uniform Credit Code

Question 15

Describe the three standard measures as listed in the text that courts have developed to measure monetary damages in contract cases.Explain how each would be measured.

Accepted Answer

The three standard measures are expectat

Question 16

In a requirements contract,the buyer agrees to purchase all of the seller's output of a particular product.

Accepted Answer

A) True 
 B)False

Question 17

________ damages compensate a party for losses that occur as a foreseeable result of the breach.

Accepted Answer

A) Incidental 
B) Reliance 
C) Restitution 
D) Consequential 
A) Incidental 
B) Reliance 
C) Restitution 
D) Consequential

Question 18

To which of the following does the statute of frauds apply?

Accepted Answer

A) A promise to pay the debt of another person. 
B) A contract that cannot be performed within the space of six months. 
C) Any contract of employment. 
D) Any contract involving commerce. 
A) A promise to pay the debt of another person. 
B) A contract that cannot be performed within the space of six months. 
C) Any contract of employment. 
D) Any contract involving commerce.

Question 19

Only an attorney can hold a power of attorney.

Accepted Answer

A) True 
 B)False

Question 20

An offer terminates at the end of a reasonable period if the offeror did not specify a time.

Accepted Answer

A) True 
 B)False

Exam 7: Contracts

A(n)________ is any agreement to accept performance that is different from what is called for in the contract

Which of the following is not an element of promissory estoppel?

A contract entered into by a minor is

Unconscionability has both a procedural and a substantive element.

Void means the same thing as voidable in contract law.

Contract law comes from which of the following?

Liquidated damages are damages that

Consideration can be either a promise to do a certain act or the performance of the act itself.

Which of the following is true regarding acceptance?

In a unilateral contract,a promise is given in exchange for another promise.

An agreement between two parties that provides that the seller will sell all of a product that he produces to the buyer is called a(n)

Commercial transactions involving the sale of goods,movable personal property,are governed by which of the following?

Describe the three standard measures as listed in the text that courts have developed to measure monetary damages in contract cases.Explain how each would be measured.

In a requirements contract,the buyer agrees to purchase all of the seller's output of a particular product.

________ damages compensate a party for losses that occur as a foreseeable result of the breach.

To which of the following does the statute of frauds apply?

Only an attorney can hold a power of attorney.

An offer terminates at the end of a reasonable period if the offeror did not specify a time.

law, value creation, and risk management

Ethics ant the law

Courts, sources of law, and dispute resolution

Constitutional bases for business regulation

Agency

Administrative Law

sales, licensing, and e-commerce

Torts and Privacy protection

product liability

Intellectual property

The employment agreement

civil rights and employment discrimination

executive compensation and employee benefits

Criminal law

Environmental law

Antitrust

Consumer Protection

real property and land use

Forms of business organizations

Directors, Officers, and Controlling Shareholders

Public and Private Offerings of Securities

Securities Fraud and insider trading

Debtor-Creditor Relations and Bankruptcy

International Business

Filters