Question 1

An apprenticeship contract with a minor is a beneficial contract of service and is unenforceable.

Accepted Answer

A) True 
 B)False

Question 2

Labor unions may have limited capacity to enter into contracts.

Accepted Answer

A) True 
 B)False

Question 3

Legality is a contractual element that allows the contract to be evaluated by society.

Accepted Answer

A) True 
 B)False

Question 4

Aboriginal peoples may have limited capacity to enter into contracts.

Accepted Answer

A) True 
 B)False

Question 5

John is at his doctor's office getting a check-up after a health scare. He tells his doctor that he needs to sell his vehicle. His doctor tells him he will buy it for $10,000. John was going to list it for $15,000.00, but feels obligated to sell to his doctor. This is an example of:

Accepted Answer

A)  Undue influence 
B)  Fraudulent misrepresentation 
C)  Innocent misrepresentation 
D)  Duress 
A)  Undue influence 
B)  Fraudulent misrepresentation 
C)  Innocent misrepresentation 
D)  Duress

Question 6

Which of the following is an example of duress?

Accepted Answer

A)  Tom threatens to destroy Dave's computer if he won't sell it to him 
B)  Dave tells Tom that he sold the computer to someone else 
C)  Tom wants to buy Dave's computer and Dave sells it to someone else 
D)  Dave won't sell his computer to Tom unless Tom pays more 
A)  Tom threatens to destroy Dave's computer if he won't sell it to him 
B)  Dave tells Tom that he sold the computer to someone else 
C)  Tom wants to buy Dave's computer and Dave sells it to someone else 
D)  Dave won't sell his computer to Tom unless Tom pays more

Question 7

Which of the following groups does not have a limit on their capacity to contract?

Accepted Answer

A)  Aboriginal people 
B)  Women 
C)  Minors 
D)  Corporations 
A)  Aboriginal people 
B)  Women 
C)  Minors 
D)  Corporations

Question 8

Duress is a form of threat that forces a person into entering a contract against their will.

Accepted Answer

A) True 
 B)False

Question 9

Corporations may have limited capacity to enter into contracts.

Accepted Answer

A) True 
 B)False

Question 10

It is up to the dominant contracting party to overcome the presumption of undue influence.

Accepted Answer

A) True 
 B)False

Question 11

John and Mary are thinking of buying a house. They see one they like and arrange to view it. The current owner, Emelda shows them over the house stating, "I've owned this house for 20 years, and it is completely sound. There are no problems." In fact, as John and Mary discover later, the house is infested with termites. If Emelda did not know there were termites, this would be an example of:

Accepted Answer

A)  Undue influence 
B)  Innocent misrepresentation 
C)  Fraudulent misrepresentation 
D)  Duress 
A)  Undue influence 
B)  Innocent misrepresentation 
C)  Fraudulent misrepresentation 
D)  Duress

Question 12

The duty of utmost good faith requires parties in a special relationship to make full disclosure before entering into a contract.

Accepted Answer

A) True 
 B)False

Question 13

Courts will enforce contracts that are not illegal but merely against public policy.

Accepted Answer

A) True 
 B)False

Question 14

Courts are required to enforce contracts that are not illegal but are merely against public policy.

Accepted Answer

A) True 
 B)False

Question 15

A person signing a contract can avoid the consequences if they have not been careless and the mistake is a serious one.

Accepted Answer

A) True 
 B)False

Question 16

If the court determines that there was undue influence in a contract, then that contract is:

Accepted Answer

A)  Legal 
B)  Void 
C)  Voidable 
D)  Illegal 
A)  Legal 
B)  Void 
C)  Voidable 
D)  Illegal

Question 17

Although some acts may not be illegal, the courts will not enforce a contract that is against public policy.

Accepted Answer

A) True 
 B)False

Question 18

When a party is unaware of the nature of a contract they can argue non est factum to have the contract set aside.

Accepted Answer

A) True 
 B)False

Question 19

Misrepresentation is a false statement of fact that induces the other party into the contract.

Accepted Answer

A) True 
 B)False

Question 20

A mistake is a misunderstanding about the terms of the contract.

Accepted Answer

A) True 
 B)False

An apprenticeship contract with a minor is a beneficial contract of service and is unenforceable.

Labor unions may have limited capacity to enter into contracts.

Legality is a contractual element that allows the contract to be evaluated by society.

Aboriginal peoples may have limited capacity to enter into contracts.

John is at his doctor's office getting a check-up after a health scare. He tells his doctor that he needs to sell his vehicle. His doctor tells him he will buy it for $10,000. John was going to list it for $15,000.00, but feels obligated to sell to his doctor. This is an example of:

Which of the following is an example of duress?

Which of the following groups does not have a limit on their capacity to contract?

Duress is a form of threat that forces a person into entering a contract against their will.

Corporations may have limited capacity to enter into contracts.

It is up to the dominant contracting party to overcome the presumption of undue influence.

The duty of utmost good faith requires parties in a special relationship to make full disclosure before entering into a contract.

Courts will enforce contracts that are not illegal but merely against public policy.

Courts are required to enforce contracts that are not illegal but are merely against public policy.

A person signing a contract can avoid the consequences if they have not been careless and the mistake is a serious one.

If the court determines that there was undue influence in a contract, then that contract is:

Although some acts may not be illegal, the courts will not enforce a contract that is against public policy.

When a party is unaware of the nature of a contract they can argue non est factum to have the contract set aside.

Misrepresentation is a false statement of fact that induces the other party into the contract.

A mistake is a misunderstanding about the terms of the contract.

Business Law

Resolution of Disputes

Tort Law

Specific Issues in Tort Law

Elements of Contracts, E-Commerce and Technology

Contracts: Ending Contracts

Employment Law

Property Law

Business Organization

Banking, Creditors Rights, and Bankruptcy

Filters

Exam 6: Contracts: Problems With Formation

An apprenticeship contract with a minor is a beneficial contract of service and is unenforceable.

Labor unions may have limited capacity to enter into contracts.

Legality is a contractual element that allows the contract to be evaluated by society.

Aboriginal peoples may have limited capacity to enter into contracts.

John is at his doctor's office getting a check-up after a health scare. He tells his doctor that he needs to sell his vehicle. His doctor tells him he will buy it for $10,000. John was going to list it for $15,000.00, but feels obligated to sell to his doctor. This is an example of:

Which of the following is an example of duress?

Which of the following groups does not have a limit on their capacity to contract?

Duress is a form of threat that forces a person into entering a contract against their will.

Corporations may have limited capacity to enter into contracts.

It is up to the dominant contracting party to overcome the presumption of undue influence.

The duty of utmost good faith requires parties in a special relationship to make full disclosure before entering into a contract.

Courts will enforce contracts that are not illegal but merely against public policy.

Courts are required to enforce contracts that are not illegal but are merely against public policy.

A person signing a contract can avoid the consequences if they have not been careless and the mistake is a serious one.

If the court determines that there was undue influence in a contract, then that contract is:

Although some acts may not be illegal, the courts will not enforce a contract that is against public policy.

When a party is unaware of the nature of a contract they can argue non est factum to have the contract set aside.

Misrepresentation is a false statement of fact that induces the other party into the contract.

A mistake is a misunderstanding about the terms of the contract.

Business Law

Resolution of Disputes

Tort Law

Specific Issues in Tort Law

Elements of Contracts, E-Commerce and Technology

Contracts: Ending Contracts

Employment Law

Property Law

Business Organization

Banking, Creditors Rights, and Bankruptcy

Filters