Question 1

Members of certain professions are required to have licenses. Most likely, the requirements to obtain a license do not include

Accepted Answer

A)  extensive schooling and examinations. 
B)  good character. 
C)  a fee. 
D)  an ongoing business. 
A)  extensive schooling and examinations. 
B)  good character. 
C)  a fee. 
D)  an ongoing business.

Question 2

Generally, licenses of certain professions

Accepted Answer

A)  provide a means of regulating certain businesses. 
B)  provide a means of taxing certain businesses. 
C)  protect the public against actions that threaten the general welfare. 
D)  all of the choices. 
A)  provide a means of regulating certain businesses. 
B)  provide a means of taxing certain businesses. 
C)  protect the public against actions that threaten the general welfare. 
D)  all of the choices.

Question 3

In some states, the lack of a license in certain occupations bars the enforcement of work-related contracts.

Accepted Answer

A) True 
 B)False

Question 4

A contract to commit a crime is

Accepted Answer

A)  enforceable if the parties entered into the contract after the statute. 
B)  enforceable if the parties entered into the contract before the statute. 
C)  enforceable if the contract does not negatively affect society. 
D)  unenforceable. 
A)  enforceable if the parties entered into the contract after the statute. 
B)  enforceable if the parties entered into the contract before the statute. 
C)  enforceable if the contract does not negatively affect society. 
D)  unenforceable.

Question 5

A covenant not to compete

Accepted Answer

A)  is usurious. 
B)  protects the public from unauthorized practitioners of certain professions. 
C)  is a promise to refrain from competing in business with another. 
D)  protects the public against actions that threaten the general welfare. 
A)  is usurious. 
B)  protects the public from unauthorized practitioners of certain professions. 
C)  is a promise to refrain from competing in business with another. 
D)  protects the public against actions that threaten the general welfare.

Question 6

When a statute protects a certain class of people, a member of that class can enforce a contract in violation of that statute.

Accepted Answer

A) True 
 B)False

Question 7

Boz runs an illegal gambling business and pays Colin, a police officer, not to interfere. With respect to the amount of the payments, Boz can recover

Accepted Answer

A)  all of it. 
B)  none of it. 
C)  only as much as Colin has not spent. 
D)  only as much as Colin has spent. 
A)  all of it. 
B)  none of it. 
C)  only as much as Colin has not spent. 
D)  only as much as Colin has spent.

Question 8

To avoid liability for negligence, Mart Discount Stores can normally obtain a court order to enforce

Accepted Answer

A)  a covenant not to compete. 
B)  an adhesion contract. 
C)  an exculpatory clause. 
D)  none of the choices. 
A)  a covenant not to compete. 
B)  an adhesion contract. 
C)  an exculpatory clause. 
D)  none of the choices.

Question 9

A contract entered into with an unlicensed party is always unenforceable.

Accepted Answer

A) True 
 B)False

Question 10

For a contract to be valid and enforceable, it must be formed for a legal purpose.

Accepted Answer

A) True 
 B)False

Question 11

A lender who makes a loan at an interest rate above the lawful maximum commits usury.

Accepted Answer

A) True 
 B)False

Question 12

Rosa signs a covenant not to compete with her employer, Sales Corporation. A court decides that the covenant is unreasonably restrictive. Most likely, the court will

Accepted Answer

A)  enforce it. 
B)  evaluate its effect over time. 
C)  reform it to prevent any undue burden. 
D)  refuse to enforce it unless the employer pays additional consideration. 
A)  enforce it. 
B)  evaluate its effect over time. 
C)  reform it to prevent any undue burden. 
D)  refuse to enforce it unless the employer pays additional consideration.

Exam 12: The Legality of Agreements

Members of certain professions are required to have licenses. Most likely, the requirements to obtain a license do not include

Generally, licenses of certain professions

In some states, the lack of a license in certain occupations bars the enforcement of work-related contracts.

A contract to commit a crime is

A covenant not to compete

When a statute protects a certain class of people, a member of that class can enforce a contract in violation of that statute.

Boz runs an illegal gambling business and pays Colin, a police officer, not to interfere. With respect to the amount of the payments, Boz can recover

To avoid liability for negligence, Mart Discount Stores can normally obtain a court order to enforce

A contract entered into with an unlicensed party is always unenforceable.

For a contract to be valid and enforceable, it must be formed for a legal purpose.

A lender who makes a loan at an interest rate above the lawful maximum commits usury.

Rosa signs a covenant not to compete with her employer, Sales Corporation. A court decides that the covenant is unreasonably restrictive. Most likely, the court will

Introduction to the Law

Ethics in Business

The Courts and Our Legal System

Constitutional Law

Business Torts

Intellectual Property

Business Crimes

Introduction to Contracts

Offer and Acceptance

Consideration

Capacity

Voluntary Consent

Written Contracts

Third Party Rights

Termination and Remedies

Introduction to Sales and Lease Contracts

Title and Risk of Loss

Performance and Breach

Warranties and Product Liability

Consumer Protection

The Essentials of Negotiability

Negotiable Instruments: Transfer and Liability

Banking in the Digital Age

Agency Relationships

Employment, Immigration, and Labor Law

Employment Discrimination

Types of Business Organizations

Formation and Ownership of a Corporation

Management of a Corporation

Combining and Dissolving a Corporation

Credit and Security

Mortgages

Bankruptcy

Insurance

Personal Property

Bailments

Real Property

Landlord and Tenant Law

Wills and Trusts

Administrative Law

Antitrust Law

International and Space Law

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