Question 1

If the bailed property has been lost or is returned damaged, a court will presume that the bailee was negligent.

Accepted Answer

A) True 
 B)False

Question 2

Someone who finds abandoned property acquires title to it and that title is good against the whole world, except the true owner.

Accepted Answer

A) True 
 B)False

Question 3

Insurance coverage is always effective the moment an insurance broker accepts the applicant's first payment toward the premium.

Accepted Answer

A) True 
 B)False

Question 4

Only personal property, not real property or persons, can be the subject of a bailment.

Accepted Answer

A) True 
 B)False

Question 5

In the insurance context, risk management is the transfer of certain risks from an insured to an insurance company by contractual agreement.

Accepted Answer

A) True 
 B)False

Question 6

Automobile insurance cannot be canceled for nonpayment of premiums.

Accepted Answer

A) True 
 B)False

Question 7

Greg obtains from Helpful Insurance Company a policy that provides that Greg has thirty days after a premium's due date to pay it before the policy will be canceled. This is​

Accepted Answer

A) a multiple insurance clause. 
B) an antilapse clause. 
C) an appraisal clause. 
D) an incontestability clause. 
A) a multiple insurance clause. 
B) an antilapse clause. 
C) an appraisal clause. 
D) an incontestability clause.

Question 8

During a storm in Tornado Alley, a house is destroyed, but its owner Dorothy survives. Dorothy plans to return to the site to salvage her possessions, but she delays. Meanwhile, Elliott combs through the ruins and removes all useful items. Dorothy learns of the recovery and files a suit against Elliott, claiming that the items are hers. Elliott responds that the destroyed house was abandoned and therefore he has good title to whatever he took possession of. What is the court likely to rule, and why?

Accepted Answer

The court is most likely to rule that th

Question 9

Estimable Credit Company loans funds to Farmland Granaries, LLC, to buy a silo. Estimable obtains an insurance policy from Grangers Insurance, Inc., to cover the silo. Farmland also obtains a policy from Grangers to cover the silo. Later, Farmland sells the silo to Hi-Yield Harvest Company but keeps the policy. Hi-Yield also obtains a pol-icy from Grangers to cover the silo. Estimable agrees to finance Hi-Yield's purchase of the property. A fire totally destroys the silo. Who can recover for the loss?

Accepted Answer

Estimable and Hi-Yield have an insurable

Question 10

The insured can cancel an insurance policy at any time.

Accepted Answer

A) True 
 B)False

Question 11

Anna obtains a business liability insurance policy for her Brew & Bagels Coffee Shop from ChoiceFirst Insurance Company. When an event occurs that gives rise to a claim, each party has a duty to​

Accepted Answer

A) cooperate in an investigation to determine the facts. 
B) file a suit against the other so that a court can settle the claim. 
C) find a third party on whom to impose liability. 
D) pay any outstanding premium or refund any unearned amount. 
A) cooperate in an investigation to determine the facts. 
B) file a suit against the other so that a court can settle the claim. 
C) find a third party on whom to impose liability. 
D) pay any outstanding premium or refund any unearned amount.

Question 12

Lauren owns a 1967 Ford Mustang, which Mike customizes and details to Lauren's specifications. The car earns several awards at regional vehicle customizing competition shows. The result of Mike's efforts is​

Accepted Answer

A) accession. 
B) acquisition. 
C) conversion. 
D) a bailment. 
A) accession. 
B) acquisition. 
C) conversion. 
D) a bailment.

If the bailed property has been lost or is returned damaged, a court will presume that the bailee was negligent.

Someone who finds abandoned property acquires title to it and that title is good against the whole world, except the true owner.

Insurance coverage is always effective the moment an insurance broker accepts the applicant's first payment toward the premium.

Only personal property, not real property or persons, can be the subject of a bailment.

In the insurance context, risk management is the transfer of certain risks from an insured to an insurance company by contractual agreement.

Automobile insurance cannot be canceled for nonpayment of premiums.

Greg obtains from Helpful Insurance Company a policy that provides that Greg has thirty days after a premium's due date to pay it before the policy will be canceled. This is

The insured can cancel an insurance policy at any time.

Anna obtains a business liability insurance policy for her Brew & Bagels Coffee Shop from ChoiceFirst Insurance Company. When an event occurs that gives rise to a claim, each party has a duty to

Lauren owns a 1967 Ford Mustang, which Mike customizes and details to Lauren's specifications. The car earns several awards at regional vehicle customizing competition shows. The result of Mike's efforts is

Legal and Constitutional Foundations of Business

Courts and Alternative Dispute Resolution

Tort Law and Product Liability

Intellectual Property

Internet Law, Social Media, and Privacy

Criminal Law and Cyber Crime

Business Ethics

Agreement and Consideration in Contracts

Capacity, Legality, and Enforceability

Contract Performance, Breach, and Remedies

Sales and Lease Contracts

Performance and Breach in Sales and Lease Contracts

Consumer Law

Negotiable Instruments

Banking in the Digital Age

Creditors Rights and Bankruptcy

Agency Relationships in Business

Employment Law

The Entrepreneurs Options

Corporations

Investor Protection, Insider Trading, and Corporate Governance

Antitrust Law and Promoting Competition

Real Property and Environmental Law

International Law in a Global Economy

Filters

Exam 23: Personal Property, Bailments, and Insurance

If the bailed property has been lost or is returned damaged, a court will presume that the bailee was negligent.

Someone who finds abandoned property acquires title to it and that title is good against the whole world, except the true owner.

Insurance coverage is always effective the moment an insurance broker accepts the applicant's first payment toward the premium.

Only personal property, not real property or persons, can be the subject of a bailment.

In the insurance context, risk management is the transfer of certain risks from an insured to an insurance company by contractual agreement.

Automobile insurance cannot be canceled for nonpayment of premiums.

Greg obtains from Helpful Insurance Company a policy that provides that Greg has thirty days after a premium's due date to pay it before the policy will be canceled. This is​

The insured can cancel an insurance policy at any time.

Anna obtains a business liability insurance policy for her Brew & Bagels Coffee Shop from ChoiceFirst Insurance Company. When an event occurs that gives rise to a claim, each party has a duty to​

Lauren owns a 1967 Ford Mustang, which Mike customizes and details to Lauren's specifications. The car earns several awards at regional vehicle customizing competition shows. The result of Mike's efforts is​

Legal and Constitutional Foundations of Business

Courts and Alternative Dispute Resolution

Tort Law and Product Liability

Intellectual Property

Internet Law, Social Media, and Privacy

Criminal Law and Cyber Crime

Business Ethics

Agreement and Consideration in Contracts

Capacity, Legality, and Enforceability

Contract Performance, Breach, and Remedies

Sales and Lease Contracts

Performance and Breach in Sales and Lease Contracts

Consumer Law

Negotiable Instruments

Banking in the Digital Age

Creditors Rights and Bankruptcy

Agency Relationships in Business

Employment Law

The Entrepreneurs Options

Corporations

Investor Protection, Insider Trading, and Corporate Governance

Antitrust Law and Promoting Competition

Real Property and Environmental Law

International Law in a Global Economy

Filters

Greg obtains from Helpful Insurance Company a policy that provides that Greg has thirty days after a premium's due date to pay it before the policy will be canceled. This is

Anna obtains a business liability insurance policy for her Brew & Bagels Coffee Shop from ChoiceFirst Insurance Company. When an event occurs that gives rise to a claim, each party has a duty to

Lauren owns a 1967 Ford Mustang, which Mike customizes and details to Lauren's specifications. The car earns several awards at regional vehicle customizing competition shows. The result of Mike's efforts is