Exam 10: Consideration, capacity, and Legality

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Gaye,a minor,signs a contract to buy a motorcycle from Hi-Valu Cycles by mis-representing her age as twenty-one.Gaye fails to make the pay-ments.Hi-Valu sues.Ordinarily,Gaye can

(Multiple Choice)

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(75)

Question 41

Odina signs a covenant not to compete with her employer,Penultimate Sales Corporation.A court decides that the covenant is overly restrictive.The court will likely

(Multiple Choice)

4.8/5

(80)

Question 42

Rolf is an emergency medical technician. Medical personnel such as Rolf are pro-hibited by state statute from working more than a certain num-ber of consecutive hours. One month,Rolf works more than the legal limit. Rolf can recover for

(Multiple Choice)

4.7/5

(65)

Question 43

Rollo promises to perform,for a price,shoe repair services in affiliation with Togs 'n Things,a clothing store.To support a contract,the consid-eration ex-changed by the parties must be

(Multiple Choice)

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(86)

Question 44

Eli,a minor,buys an automobile insurance policy from Faithful Insurance Company and pays a $1,000 pre-mi-um.If Eli can disaffirm the contract,he can most likely recover

(Multiple Choice)

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(81)

Question 45

Inadequate consideration always indicates undue influence.

(True/False)

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(83)

Question 46

In general,if a contract is illegal,a court will not enforce it.

(True/False)

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(84)

Question 47

Franzea is injured in an accident caused by Gentry.Gentry agrees to pay Franzea $2,500 if she agrees to release him from further liability.She agrees.If Franzea's damages ultimately exceed $2,500,she can collect

(Multiple Choice)

4.9/5

(63)

Question 48

All states require members of certain professions to have licenses.

(True/False)

4.8/5

(75)

Question 49

Genovese Contracting,Inc.,agrees to build a warehouse for Hawthorne Distributors.Genovese runs into the types of difficulties that contrac-tors ordinarily confront,and Hawthorne agrees to pay extra compensation to over-come them. Regarding the agreement to pay more,a court would likely

(Multiple Choice)

4.8/5

(88)

Question 50

Some states impose a duty on a minor who disaffirms a contract to re-store the adult party to the position he or she held before the con-tract was made.

(True/False)

4.8/5

(76)

Question 51

Any contract entered into with an unlicensed party is unenforceable.

(True/False)

4.8/5

(79)

Question 52

For a minor to disaffirm a contract,he or she must present the contract to a court.

(True/False)

4.9/5

(89)

Question 53

It is legal to charge any interest rate for an ordinary loan.

(True/False)

4.9/5

(80)

Question 54

In general,minors are personally liable for their contracts.

(True/False)

4.8/5

(74)

Question 55

Henry promises not to open his restaurant before 10:00 A.M.if Suzy,who owns a bakery next door to him,promises to close her bakery by 4:00 P.M.Henry's consideration is

(Multiple Choice)

4.8/5

(78)

Question 56

If a contract is fully performed by all parties to it,then it is pre-sumed to have been ratified.

(True/False)

4.9/5

(93)

Question 57

At age seventeen,Daryl enters into a contract to buy a dozen movies from eHD TV Stream,Inc.,an online video service.Soon after reaching the age of ma-jority,Daryl attempts to disaffirm the contract.eHD files a suit against him.The court will most likely consider the contract ratified if it is

(Multiple Choice)

4.9/5

(69)

Question 58

Sparky offers Teodora $1,000 for her collection of rare coins.She ac-cepts.If a dispute arises,a court would likely

(Multiple Choice)

4.8/5

(83)

Question 59

Chris,a minor,signs a contract to purchase alcoholic beverages for Dine & Drink,his parents' restaurant. The contract is

(Multiple Choice)

4.8/5

(78)

Question 60

Showing 41 - 60 of 72

Exam 10: Consideration, capacity, and Legality

Gaye,a minor,signs a contract to buy a motorcycle from Hi-Valu Cycles by mis-representing her age as twenty-one.Gaye fails to make the pay-ments.Hi-Valu sues.Ordinarily,Gaye can

Odina signs a covenant not to compete with her employer,Penultimate Sales Corporation.A court decides that the covenant is overly restrictive.The court will likely

Rolf is an emergency medical technician. Medical personnel such as Rolf are pro-hibited by state statute from working more than a certain num-ber of consecutive hours. One month,Rolf works more than the legal limit. Rolf can recover for

Rollo promises to perform,for a price,shoe repair services in affiliation with Togs 'n Things,a clothing store.To support a contract,the consid-eration ex-changed by the parties must be

Eli,a minor,buys an automobile insurance policy from Faithful Insurance Company and pays a $1,000 pre-mi-um.If Eli can disaffirm the contract,he can most likely recover

Inadequate consideration always indicates undue influence.

In general,if a contract is illegal,a court will not enforce it.

Franzea is injured in an accident caused by Gentry.Gentry agrees to pay Franzea $2,500 if she agrees to release him from further liability.She agrees.If Franzea's damages ultimately exceed $2,500,she can collect

All states require members of certain professions to have licenses.

Genovese Contracting,Inc.,agrees to build a warehouse for Hawthorne Distributors.Genovese runs into the types of difficulties that contrac-tors ordinarily confront,and Hawthorne agrees to pay extra compensation to over-come them. Regarding the agreement to pay more,a court would likely

Some states impose a duty on a minor who disaffirms a contract to re-store the adult party to the position he or she held before the con-tract was made.

Any contract entered into with an unlicensed party is unenforceable.

For a minor to disaffirm a contract,he or she must present the contract to a court.

It is legal to charge any interest rate for an ordinary loan.

In general,minors are personally liable for their contracts.

Henry promises not to open his restaurant before 10:00 A.M.if Suzy,who owns a bakery next door to him,promises to close her bakery by 4:00 P.M.Henry's consideration is

If a contract is fully performed by all parties to it,then it is pre-sumed to have been ratified.

At age seventeen,Daryl enters into a contract to buy a dozen movies from eHD TV Stream,Inc.,an online video service.Soon after reaching the age of ma-jority,Daryl attempts to disaffirm the contract.eHD files a suit against him.The court will most likely consider the contract ratified if it is

Sparky offers Teodora $1,000 for her collection of rare coins.She ac-cepts.If a dispute arises,a court would likely

Chris,a minor,signs a contract to purchase alcoholic beverages for Dine & Drink,his parents' restaurant. The contract is

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