Exam 4: Contract Law and the Hospitality Industry

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The Namberry Hotel had a minimum two-nights stay during the summer weekends. This arrangement was announced in all its advertisements and explained to all who inquired about reservations. Sam made a two-night reservation and paid in advance. After spending one night at the hotel, he decided to leave. True or false: Sam is entitled to a return of his advance payment for the second night.

(True/False)
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Pain and suffering is recoverable in a breach of contract lawsuit.

(True/False)
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A contract made by a person who lacks contractual capacity is void.

(True/False)
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Mutuality is established by an offer and an ____________________.

(Short Answer)
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Which of the following is not covered by the statute of frauds?

(Multiple Choice)
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_________________________, one of the essential elements for a contract, means that the parties have truly agreed to the terms.

(Short Answer)
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In contract terms, how would you describe the following: "If the price is right, I will consider selling the chandelier in the lobby"?

(Short Answer)
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Which of the following is not an essential element of a contract?

(Multiple Choice)
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A representative from the National Association of Freelance Writers (NAFW) contracted with a hotel for convention services. After the contract was signed, the hotel orally agreed to include light hors d'oeuvres for a cocktail party without additional charge. True or false: The agreement for hors d'oeuvres is enforceable by the NAFW.

(True/False)
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The following is an offer: "We have the following rooms available at the following prices: those with ocean views are $135 per night; those without an ocean view are $112; those in the adjoining building are $98."

(True/False)
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Which of the following has contractual capacity?

(Multiple Choice)
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A guest with a one-night guaranteed reservation at a hotel did not show. The hotel was not able to rent the room to someone else. For which of the following is the guest liable to the hotel?

(Multiple Choice)
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Andrea had reservations at a hotel but, because it overbooked, she was forced to stay elsewhere. The only hotel in town with vacancies was more expensive. Rather than return home, Andrea took a room in that hotel. For which of the following is the first hotel liable to reimburse Andrea?

(Multiple Choice)
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____________________ is a favorable reputation producing an expectation of future business.

(Short Answer)
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Matt contracted to purchase a computer at age 16. Until when can he disaffirm the contract?

(Multiple Choice)
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