Question 1

A misrepresentation occurs when an assertion is made that is in accord with the facts.

Accepted Answer

A) True 
 B)False

Question 2

Proof of fiduciary or confidential relationship is not required to prove undue influence.

Accepted Answer

A) True 
 B)False

Question 3

Which of the following contracts is required to be in writing in most states?

Accepted Answer

A)  contracts for the sale of goods for $100 
B)  contracts for the lease of goods with payments of $500 
C)  promises to write a will 
D)  contracts falling under the promissory estoppel 
A)  contracts for the sale of goods for $100 
B)  contracts for the lease of goods with payments of $500 
C)  promises to write a will 
D)  contracts falling under the promissory estoppel

Question 4

Taylor threatens Robin with physical harm if he fails to sign a real estate deal.Robin is not interested in the deal as the property in question is a damaged property.However,he ends up signing the contract in the fear of an attack.Is this contract enforceable against Robin? Discuss the reasons.

Accepted Answer

This contract is not enforceable against

Question 5

Analyze the elements that a party has to show in order to prove fraud.

Accepted Answer

To prove fraud,the following elements mu

Question 6

Which of the following is considered real property under Statute of Frauds?

Accepted Answer

A)  a fixture permanently affixed to a building 
B)  fifty-one percent partnership in a firm 
C)  a club membership 
D)  diamond jewelry 
A)  a fixture permanently affixed to a building 
B)  fifty-one percent partnership in a firm 
C)  a club membership 
D)  diamond jewelry

Question 7

A misrepresentation is not actionable when the innocent party to whom the misrepresentation was made relied on the misrepresentation and acted on it.

Accepted Answer

A) True 
 B)False

Question 8

Which of the following is true of a unilateral mistake?

Accepted Answer

A)  Only one mistake or ambiguity is present in the subject matter of the entire contract. 
B)  Out of several contracts drafted simultaneously between two parties, one has a mistake in its subject matter that does not concern the other contracts. 
C)  Only one party is mistaken about a material fact regarding the subject matter of a contract. 
D)  A single mistake about a material fact in the subject matter of a contract appears several times in the contract. 
A)  Only one mistake or ambiguity is present in the subject matter of the entire contract. 
B)  Out of several contracts drafted simultaneously between two parties, one has a mistake in its subject matter that does not concern the other contracts. 
C)  Only one party is mistaken about a material fact regarding the subject matter of a contract. 
D)  A single mistake about a material fact in the subject matter of a contract appears several times in the contract.

Question 9

Which of the following is true of misrepresentation of a material fact?

Accepted Answer

A)  It can occur only by the words of the wrongdoer. 
B)  A misrepresentation is actionable as fraud only if it is the sole factor in inducing the innocent party to enter into the contract. 
C)  It is actionable as fraud if the misrepresentation is of a past or existing material fact. 
D)  Predictions about the future are considered basis for fraud. 
A)  It can occur only by the words of the wrongdoer. 
B)  A misrepresentation is actionable as fraud only if it is the sole factor in inducing the innocent party to enter into the contract. 
C)  It is actionable as fraud if the misrepresentation is of a past or existing material fact. 
D)  Predictions about the future are considered basis for fraud.

Question 10

Silence is not a misrepresentation unless nondisclosure would cause bodily injury or death.

Accepted Answer

A) True 
 B)False

Question 11

Which of the following is true of duress?

Accepted Answer

A)  It is liable for fraud. 
B)  Its threat should involve physical harm for it to be actionable as duress. 
C)  It is not enforceable against the innocent party. 
D)  Intoxicating a person to sign a contract is considered duress. 
A)  It is liable for fraud. 
B)  Its threat should involve physical harm for it to be actionable as duress. 
C)  It is not enforceable against the innocent party. 
D)  Intoxicating a person to sign a contract is considered duress.

Question 12

A mistake made by both parties concerning a material fact that is important to the subject matter of a contract is a mutual mistake of a material fact.

Accepted Answer

A) True 
 B)False

Question 13

Which of the following contracts is required to be in writing under the Statute of Frauds?

Accepted Answer

A)  a guaranty contract 
B)  a sale of goods for $200 
C)  a lease of goods with payments of $100 
D)  an executed oral contract 
A)  a guaranty contract 
B)  a sale of goods for $200 
C)  a lease of goods with payments of $100 
D)  an executed oral contract

Question 14

A contract is voidable by the innocent party when it is proved that it was entered into by fraud in the inducement.

Accepted Answer

A) True 
 B)False

Question 15

Leona drove into an eatery and ordered an item called "Volcano Chicken." When asked if the chicken she ordered was very spicy,Leona was informed by Harry-who took the order and was not aware of all details of the eatery yet as he was a new employee-that it was not.However,when Leona took a bite,she found the hot sauce extremely spicy which resulted in her choking on the piece of chicken and requiring medical help.Which of the following statements is true in this context?

Accepted Answer

A)  Harry can be sued for fraud in the inducement. 
B)  Harry's employment can be terminated for having committed fraud in the inception. 
C)  Harry can be sued for misrepresentation of the law. 
D)  Harry cannot be sued due to innocent misrepresentation. 
A)  Harry can be sued for fraud in the inducement. 
B)  Harry's employment can be terminated for having committed fraud in the inception. 
C)  Harry can be sued for misrepresentation of the law. 
D)  Harry cannot be sued due to innocent misrepresentation.

Question 16

________ is a mistake made by both parties concerning an object that is important to the subject matter of a contract.

Accepted Answer

A)  Mutual mistake of value 
B)  Mutual mistake of material fact 
C)  Elementary unilateral mistake 
D)  Fraud by concealment 
A)  Mutual mistake of value 
B)  Mutual mistake of material fact 
C)  Elementary unilateral mistake 
D)  Fraud by concealment

Question 17

A contract may be rescinded on the grounds that no contract has been formed because there has been no "meeting of the minds" between the parties when there has been a ________.

Accepted Answer

A)  mutual mistake of a material fact 
B)  mutual mistake of value 
C)  mistake by the plaintiff 
D)  mistake by the defendant 
A)  mutual mistake of a material fact 
B)  mutual mistake of value 
C)  mistake by the plaintiff 
D)  mistake by the defendant

Question 18

In which of the following cases of assent is the rescission of a contract unenforceable?

Accepted Answer

A)  mutual mistake of value 
B)  misrepresentation of a material fact 
C)  silence as misrepresentation 
D)  innocent misrepresentation 
A)  mutual mistake of value 
B)  misrepresentation of a material fact 
C)  silence as misrepresentation 
D)  innocent misrepresentation

Question 19

A unilateral mistake occurs when only one party is mistaken about a material fact regarding the subject matter of the contract.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following describes physical duress?

Accepted Answer

A)  physically damaging the contract documents 
B)  signing a contract without the knowledge that it represents fraudulent information 
C)  threatening to physically harm someone if he or she does not sign a contract 
D)  persuading a person to rescind a valid contract by misrepresenting the facts 
A)  physically damaging the contract documents 
B)  signing a contract without the knowledge that it represents fraudulent information 
C)  threatening to physically harm someone if he or she does not sign a contract 
D)  persuading a person to rescind a valid contract by misrepresenting the facts

Exam 12: Genuineness of Assent and Statute of Frauds

A misrepresentation occurs when an assertion is made that is in accord with the facts.

Proof of fiduciary or confidential relationship is not required to prove undue influence.

Which of the following contracts is required to be in writing in most states?

Taylor threatens Robin with physical harm if he fails to sign a real estate deal.Robin is not interested in the deal as the property in question is a damaged property.However,he ends up signing the contract in the fear of an attack.Is this contract enforceable against Robin? Discuss the reasons.

Analyze the elements that a party has to show in order to prove fraud.

Which of the following is considered real property under Statute of Frauds?

A misrepresentation is not actionable when the innocent party to whom the misrepresentation was made relied on the misrepresentation and acted on it.

Which of the following is true of a unilateral mistake?

Which of the following is true of misrepresentation of a material fact?

Silence is not a misrepresentation unless nondisclosure would cause bodily injury or death.

Which of the following is true of duress?

A mistake made by both parties concerning a material fact that is important to the subject matter of a contract is a mutual mistake of a material fact.

Which of the following contracts is required to be in writing under the Statute of Frauds?

A contract is voidable by the innocent party when it is proved that it was entered into by fraud in the inducement.

________ is a mistake made by both parties concerning an object that is important to the subject matter of a contract.

A contract may be rescinded on the grounds that no contract has been formed because there has been no "meeting of the minds" between the parties when there has been a ________.

In which of the following cases of assent is the rescission of a contract unenforceable?

A unilateral mistake occurs when only one party is mistaken about a material fact regarding the subject matter of the contract.

Which of the following describes physical duress?

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Holder in Due Course and Liability of Parties

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