Exam 18: Formation of Sales and Lease Contracts

Whistle Cabs,a taxi service company,has been ordered by the traffic department to update its taximeters to digital ones.Whistle Cabs decides to contract with Running Electricals,who provides digital taximeters.But to acquire it on such short notice,Whistle Cabs approaches Goldmint Bank.Goldmint Bank purchases the taximeters and delivers them to Whistle Cabs.The contract with Goldmint Bank allows the taxi service company to use the taximeters for a period of time by providing monthly rentals until that period is completed.What is the nature of the contract made between Goldmint,Whistle Cab,and Running Electricals?

What is "course of dealing" when interpreting the express terms of a written statement?

Article 5 of the UCC governs letter of credit.

Stelwire LLC,a vintage car dealer,advertises the sale of a 1964 Ford Thunderbolt.Ralph responds to the advertisement with an offer of $80,000 for the car.Stelwire signs a written assurance to keep that offer open to Ralph for a fortnight.Five days before the fortnight is up,Stelwire sells the car to another buyer.At the end of the fortnight period,Ralph tenders $80,000 for the car,but the car has already been sold.Ralph then buys the same model car from another dealer for $90,000 and sues Stelwire for breach of contract.The court rules that Stelwire is liable to Ralph for breach of contract and orders Stelwire to pay Ralph the difference of $10,000 he paid extra to the second dealer for the car.What was the nature of the contract between Ralph and Stelwire?

A computer program or an electronic or other automated means used independently to initiate an action or respond to electronic records or performances in whole or in part,without review or action by an individual,is known as ________.

Which of the following is true of consideration for modifying a sales or lease contract under the Uniform Commercial Code?

________ is a rule that says that if a written contract is a complete and final statement of the parties' agreement,any prior or contemporaneous oral or written statements that alter,contradict,or are in addition to the terms of the written contract are inadmissible in court regarding a dispute over the contract.

Which of the following is true for terms to be expressed in a contract under the common law of contract?

Mirror image rule is more liberal than UCC 2-207(1).

In which of the following situations involving oral contracts can the Statute of Frauds be raised?

The UCC does not allow for open terms to be read into a sales or lease contract.

The ________ states that a merchant who offers to buy,sell,or lease goods and gives a written and signed assurance on a separate form that the offer will be held open cannot revoke the offer for the time stated or,if no time is stated,for a reasonable time.

Course of performance between the parties is taken into account when the express terms of their written contract are not clear.

Under the common law,a written contract must be signed by the party against whom enforcement is sought.

Which of the following sales would be covered by Article 2 of the Uniform Commercial Code?

Only movable goods come under the scope of Article 2 of the UCC.

Article 2A of the UCC deals with lessors and lessees.

Contracts for the provision of services are not covered by Article 2 of the UCC.

As per the Statute of Frauds provisions,all contracts for the sale of goods costing $500 or more must be in writing.

A sales contract evidenced by writing cannot be contradicted by a prior oral or written agreement.