Question 1

How are unjust enrichment and unjust detriment prevented in the context of contracts?

Accepted Answer

The doctrine of quasi-contract is intended to prevent unjust enrichment and unjust detriment.It allows a court to award monetary damages to a plaintiff for providing work or services to a defendant even though no actual contract existed between the parties.Recovery is generally based on the reasonable value of the services received by the defendant.It does not apply where there is an enforceable contract between the parties.A quasi-contract is imposed where (1)one person confers a benefit on another, who retains the benefit, and (2)it would be unjust not to require that person to pay for the benefit received.

Question 2

An offer to create a unilateral contract cannot be accepted by a promise to perform.

Accepted Answer

A) True 
 B)False  True

Question 3

To create an implied-in-fact contract, it must be established that the plaintiff provided the property or services gratuitously.

Accepted Answer

A) True 
 B)False  False

Question 4

The goal of the Uniform Commercial Code is to regularize foreign trade norms among the 50 states of the U.S.A.

Accepted Answer

A) True 
 B)False

Question 5

According to the objective theory of contracts, the intent to enter into an express or implied-in-fact contract is judged by the ________.

Accepted Answer

A) reasonable person standard 
B) legality of the contract 
C) doctrine of equity 
D) common law of contracts 
A) reasonable person standard 
B) legality of the contract 
C) doctrine of equity 
D) common law of contracts

Question 6

Which of the following is an informal contract?

Accepted Answer

A) check 
B) bank draft 
C) lease 
D) recognizance 
A) check 
B) bank draft 
C) lease 
D) recognizance

Question 7

Two brothers, Sam and Jim, were fighting over the division of their ancestral property.After ten years of legal battle, a frustrated Sam contacted a powerful politician who subjected Jim to extreme duress to make him sign a contract of assent in favor of Sam.When Jim takes this contract to court, the contract will be declared ________.

Accepted Answer

A) enforceable 
B) conditionally enforceable 
C) voidable 
D) unenforceable 
A) enforceable 
B) conditionally enforceable 
C) voidable 
D) unenforceable

Question 8

Under the objective theory of contracts, the subjective intent of a party to enter into a contract is irrelevant.

Accepted Answer

A) True 
 B)False

Question 9

Michael Harrison opens an online store where people from all over the world can purchase and download iPhone apps.Which of these should Michael consult to know the rules of trading through his online store?

Accepted Answer

A) common law of contracts 
B) objective law of contracts 
C) UCITA 
D) UCC 
A) common law of contracts 
B) objective law of contracts 
C) UCITA 
D) UCC

Question 10

An offeror uses blackmail to make an offeree sign a contract that involves the sale of the offeree's house.The contract is ________.

Accepted Answer

A) valid 
B) void 
C) voidable 
D) unenforceable 
A) valid 
B) void 
C) voidable 
D) unenforceable

Question 11

Kyle goes to a used-car showroom to buy a sedan.He signs an agreement with the store which bears the name of the car, price, and other details.This is an example of a(n)________ contract.

Accepted Answer

A) unilateral 
B) implied-in-law 
C) implied-in-fact 
D) express 
A) unilateral 
B) implied-in-law 
C) implied-in-fact 
D) express

Question 12

A contract is bilateral contract if the offeror's promise is answered with the offeree's promise of acceptance.

Accepted Answer

A) True 
 B)False

Question 13

Which of the following elements must be established to create an implied-in-fact contract?

Accepted Answer

A) The plaintiff provided the property or services gratuitously. 
B) The plaintiff made the defendant sign the contract and then changed its terms, calling the new terms "previously implied". 
C) The defendant was given an opportunity to reject the property or services provided by the plaintiff but failed to do so. 
D) The defendant accepted the property or services offered by the plaintiff as a fee for an illegal activity. 
A) The plaintiff provided the property or services gratuitously. 
B) The plaintiff made the defendant sign the contract and then changed its terms, calling the new terms "previously implied". 
C) The defendant was given an opportunity to reject the property or services provided by the plaintiff but failed to do so. 
D) The defendant accepted the property or services offered by the plaintiff as a fee for an illegal activity.

Question 14

An implied-in-law contract is a contract in which agreement between parties has been inferred from their conduct.

Accepted Answer

A) True 
 B)False

Question 15

A(n)________ is stated orally or in written words.

Accepted Answer

A) express contract 
B) implied-in-law contract 
C) implied-in-fact contract 
D) quasi-contract 
A) express contract 
B) implied-in-law contract 
C) implied-in-fact contract 
D) quasi-contract

Question 16

Provision of services qualifies as a "consideration" for an enforceable contract.

Accepted Answer

A) True 
 B)False

Question 17

The UCITA does not require state legislature to become law of a state.

Accepted Answer

A) True 
 B)False

Question 18

Which of the following is true of UCITA?

Accepted Answer

A) It establishes the rules for operation of franchises in the U.S.A. 
B) It does not become law until a state adopts it as a statute. 
C) It solely deals with the formation of electronic contracts, not licenses. 
D) It addresses most of the legal issues that are encountered while starting an entrepreneurial venture. 
A) It establishes the rules for operation of franchises in the U.S.A. 
B) It does not become law until a state adopts it as a statute. 
C) It solely deals with the formation of electronic contracts, not licenses. 
D) It addresses most of the legal issues that are encountered while starting an entrepreneurial venture.

Question 19

Restatement of the Law of Contracts is the agreed upon federal law in the United States.

Accepted Answer

A) True 
 B)False

Question 20

Contracts under seal are thus named because they are highly confidential, and the parties to these contracts are not allowed to talk about their terms.

Accepted Answer

A) True 
 B)False

Exam 9: Nature of Traditional and E-Contracts

How are unjust enrichment and unjust detriment prevented in the context of contracts?

An offer to create a unilateral contract cannot be accepted by a promise to perform.

To create an implied-in-fact contract, it must be established that the plaintiff provided the property or services gratuitously.

The goal of the Uniform Commercial Code is to regularize foreign trade norms among the 50 states of the U.S.A.

According to the objective theory of contracts, the intent to enter into an express or implied-in-fact contract is judged by the ________.

Which of the following is an informal contract?

Under the objective theory of contracts, the subjective intent of a party to enter into a contract is irrelevant.

Michael Harrison opens an online store where people from all over the world can purchase and download iPhone apps.Which of these should Michael consult to know the rules of trading through his online store?

An offeror uses blackmail to make an offeree sign a contract that involves the sale of the offeree's house.The contract is ________.

Kyle goes to a used-car showroom to buy a sedan.He signs an agreement with the store which bears the name of the car, price, and other details.This is an example of a(n)________ contract.

A contract is bilateral contract if the offeror's promise is answered with the offeree's promise of acceptance.

Which of the following elements must be established to create an implied-in-fact contract?

An implied-in-law contract is a contract in which agreement between parties has been inferred from their conduct.

A(n)________ is stated orally or in written words.

Provision of services qualifies as a "consideration" for an enforceable contract.

The UCITA does not require state legislature to become law of a state.

Which of the following is true of UCITA?

Restatement of the Law of Contracts is the agreed upon federal law in the United States.

Contracts under seal are thus named because they are highly confidential, and the parties to these contracts are not allowed to talk about their terms.

Legal Heritage and the Digital Age

Courts and Jurisdiction

Judicial,Alternative,and E-Dispute Resolution

Constitutional Law for Business and E-Commerce

Intentional Torts and Negligence

Product and Strict Liability

Intellectual Property and Cyber Piracy

Criminal Law and Cyber Crimes

Agreement

Consideration and Promissory Estoppel

Capacity and Legality

Genuineness of Assent and Undue Influence

Statute of Frauds and Equitable Exceptions

Third-Party Rights and Discharge

Remedies for Breach of Traditional and E-Contracts

E-Commerce and Digital Law

Formation of Sales and Lease Contracts

Title to Goods and Risk of Loss

Remedies for Breach of Sales and Lease Contracts

Warranties

Creation of Negotiable Instruments

Holder in Due Course and Transferability

Liability, Defenses, and Discharge

Banks, E-Money, and Financial Reform

Credit,Mortgages,and Debtor's Rights

Secured Transactions and E-Filing

Bankruptcy and Reorganization

Agency Formation and Termination

Liability of Principals, Agents, and Independent Contractors

Employment, Worker Protection, and Immigration Law

Labor Law and Collective Bargaining

Equal Opportunity in Employment

Small Business, Entrepreneurship, and General Partnerships

Limited Partnerships and Special Partnerships

Corporate Formation and Financing

Corporate Governance and the Sarbanes-Oxley Act

Corporate Acquisitions and Multinational Corporations

Limited Liability Companies and Limited Liability Partnerships

Franchises and Special Forms of Businesses

Investor Protection, E-Securities, and Wall Street Reform

Ethics and Social Responsibility of Business

Administrative Law and Regulatory Agencies

Consumer Protection and Product Safety

Environmental Protection

Antitrust Law and Unfair Trade Practices

Personal Property and Bailment

Real Property

Landlord-Tenant Law and Land Use Regulation

Insurance

Accountants' Duties and Liability

Wills Trusts and Estates

Family Law

International and World Trade Law

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