Question 1

The Restatement and the UCC are both currently authoritative sources of contract law.

Accepted Answer

A) True 
 B)False

Question 2

At common law a promise under a seal to authenticate it was effective without anything more.

Accepted Answer

A) True 
 B)False

Question 3

According to the Restatement, manifesting an intention to act or an intention to refrain from acting in a specified manner is considered to be:

Accepted Answer

A)  an implied in fact contract. 
B)  an express contract. 
C)  a promise. 
D)  a quasi contract. 
A)  an implied in fact contract. 
B)  an express contract. 
C)  a promise. 
D)  a quasi contract.

Question 4

Sales of personal property are governed by Article of the Uniform Commercial Code (UCC).

Accepted Answer

A)  1 
B)  2 
C)  3 
D)  None of these. 
A)  1 
B)  2 
C)  3 
D)  None of these.

Question 5

Caroline signs a contract to work as a sales rep for Incellmed Corporation for a period of two years. This contract is governed by:

Accepted Answer

A)  Article 2 of the UCC. 
B)  state common law. 
C)  federal statute. 
D)  the law of quasi contract. 
A)  Article 2 of the UCC. 
B)  state common law. 
C)  federal statute. 
D)  the law of quasi contract.

Question 6

Contracts are governed primarily by:

Accepted Answer

A)  state common law. 
B)  federal common law. 
C)  statutory law. 
D)  federal case law. 
A)  state common law. 
B)  federal common law. 
C)  statutory law. 
D)  federal case law.

Question 7

The difference between an express contract and an implied in fact contract is the manner in which assent is manifested.

Accepted Answer

A) True 
 B)False

Question 8

Which of the following is NOT always necessary in order for a valid contract to be formed?

Accepted Answer

A)  Mutual assent 
B)  Legality of purpose 
C)  A writing 
D)  Competent parties 
A)  Mutual assent 
B)  Legality of purpose 
C)  A writing 
D)  Competent parties

Question 9

What is the difference between a valid contract and a void contract?

Accepted Answer

A valid contract is one that meets all t

Question 10

What is the doctrine of promissory estoppel and when is it used?

Accepted Answer

Promissory estoppel is a doctrine used t

Question 11

Marcus has a contract to purchase a new MP3 player. The law governing this contract is Article 2 of the UCC.

Accepted Answer

A) True 
 B)False

Question 12

Lance has a contract with Smith to resurface a driveway at the Smith residence. Lance by mistake stops at the Jones residence and resurfaces Jones' driveway. Jones lives next door to Smith and knows that Lance is at the wrong residence. Jones, however, says nothing and watches while Lance resurfaces his driveway. Is Jones under any contractual obligation to pay Lance for resurfacing his driveway? Explain your answer.

Accepted Answer

Yes. In addition to express and implied

Question 13

Albert breaches a contract with Bill in a state where the statute of limitations is six years. Seven years later Bill wants to sue. The contract is unenforceable, rather than void or voidable.

Accepted Answer

A) True 
 B)False

Question 14

"I promise to pay you $100 if you will promise to fix my car next month." This is an offer for a unilateral contract.

Accepted Answer

A) True 
 B)False

Question 15

A valid contract may be unenforceable for which reason(s)?

Accepted Answer

A)  Failure to satisfy the Statute of Frauds 
B)  Running of the Statute of Limitations 
C)  Lack of capacity 
D)  All of these reasons 
A)  Failure to satisfy the Statute of Frauds 
B)  Running of the Statute of Limitations 
C)  Lack of capacity 
D)  All of these reasons

Question 16

Express contracts and implied contracts are:

Accepted Answer

A)  both genuine contracts. 
B)  equally enforceable. 
C)  voidable for lack of capacity. 
D)  All of these. 
A)  both genuine contracts. 
B)  equally enforceable. 
C)  voidable for lack of capacity. 
D)  All of these.

Question 17

Common law relating to the formation of contracts has little relevance in the business world today.

Accepted Answer

A) True 
 B)False

Question 18

Lee has been declared incompetent by the court and is under the care of his sister. Without his sister's knowledge, Lee rents the 30,000-seat civic center for his birthday party. Lee's contract to rent the civic center is best described as a:

Accepted Answer

A)  valid contract. 
B)  voidable contract. 
C)  void contract. 
D)  quasi contract. 
A)  valid contract. 
B)  voidable contract. 
C)  void contract. 
D)  quasi contract.

Question 19

Mike, the owner of a yogurt shop, orders 500 quarts of yogurt from his supplier. Nothing, however, is said by either party about the price or method of payment. The supplier ships the yogurt as ordered. Since this is a contract implied in fact, Mike must pay his supplier for the yogurt.

Accepted Answer

A) True 
 B)False

Question 20

According to the UCC, an enforceable agreement involving the transfer of title of goods from a seller to a buyer for a price is called a(n):

Accepted Answer

A)  commercial contract. 
B)  express contract. 
C)  formal contract. 
D)  sale. 
A)  commercial contract. 
B)  express contract. 
C)  formal contract. 
D)  sale.

Exam 9: Introduction to Contracts

The Restatement and the UCC are both currently authoritative sources of contract law.

At common law a promise under a seal to authenticate it was effective without anything more.

According to the Restatement, manifesting an intention to act or an intention to refrain from acting in a specified manner is considered to be:

Sales of personal property are governed by Article of the Uniform Commercial Code (UCC).

Caroline signs a contract to work as a sales rep for Incellmed Corporation for a period of two years. This contract is governed by:

Contracts are governed primarily by:

The difference between an express contract and an implied in fact contract is the manner in which assent is manifested.

Which of the following is NOT always necessary in order for a valid contract to be formed?

What is the difference between a valid contract and a void contract?

What is the doctrine of promissory estoppel and when is it used?

Marcus has a contract to purchase a new MP3 player. The law governing this contract is Article 2 of the UCC.

Albert breaches a contract with Bill in a state where the statute of limitations is six years. Seven years later Bill wants to sue. The contract is unenforceable, rather than void or voidable.

"I promise to pay you $100 if you will promise to fix my car next month." This is an offer for a unilateral contract.

A valid contract may be unenforceable for which reason(s)?

Express contracts and implied contracts are:

Common law relating to the formation of contracts has little relevance in the business world today.

Lee has been declared incompetent by the court and is under the care of his sister. Without his sister's knowledge, Lee rents the 30,000-seat civic center for his birthday party. Lee's contract to rent the civic center is best described as a:

Mike, the owner of a yogurt shop, orders 500 quarts of yogurt from his supplier. Nothing, however, is said by either party about the price or method of payment. The supplier ships the yogurt as ordered. Since this is a contract implied in fact, Mike must pay his supplier for the yogurt.

According to the UCC, an enforceable agreement involving the transfer of title of goods from a seller to a buyer for a price is called a(n):

Introduction to Law

Business Ethics and the Social Responsibility of Business

Civil Dispute Resolution

Constitutional Law

Administrative Law

Criminal Law

Intentional Torts

Negligence and Strict Liability

Mutual Assent

Conduct Invalidating Assent

Consideration

Illegal Bargains

Contractual Capacity

Contracts in Writing

Third Parties to Contracts

Performance, Breach, and Discharge

Contract Remedies

Relationship of Principal and Agent

Relationship With Third Parties

Introduction to Sales and Leases

Performance

Transfer of Title and Risk of Loss

Products Liability: Warranties and Strict Liability in Tort

Sales Remedies

Form and Content

Transfer and Holder in Due Course

Liability of Parties

Bank Deposits, Collections, and Funds Transfers

Formation and Internal Relations of General Partnerships

Operation and Dissolution of General Partnerships

Limited Partnerships and Limited Liability Companies

Nature, Formation, and Powers

Financial Structure

Management Structure

Fundamental Changes

Secured Transactions and Suretyship

Bankruptcy

Protection of Intellectual Property

Antitrust

Consumer Protection

Employment Law

Securities Regulation

Accountants Legal Liability

Environmental Law

International Business Law

Introduction to Property, Property Insurance, Bailments, and Documents of Title

Interests in Real Property

Transfer and Control of Real Property

Trusts and Decedents Estates

the Legal Environment of Business

Contracts

Agency

Sales

Negotiable Instruments

Unincorporated Business Associations

Corporations

Debtor and Creditor Relations

Regulation of Business

Property

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