Question 1

Distinguish between: (a) express and implied contracts; (b) executed and executory contracts; and (c) bilateral and unilateral contracts.

Accepted Answer

(a) A contract in which the parties mani

Question 2

Ron says to Matt, "If you design and landscape my front lawn by the time I return from Paris next month, I will pay you $5,000." Matt does not respond but has the landscaping done by the time Ron returns. This is an example of a unilateral contract.

Accepted Answer

A) True 
 B)False

Question 3

Any property other than an interest in real property is:

Accepted Answer

A)  goods. 
B)  personal property. 
C)  tangible property. 
D)  intangible property. 
A)  goods. 
B)  personal property. 
C)  tangible property. 
D)  intangible property.

Question 4

If a person who has been declared incompetent by the courts enters into an agreement, that agreement is void, because it does not meet all the requirements of a binding contract.

Accepted Answer

A) True 
 B)False

Question 5

A negotiable instrument, such as a check, is not a formal contract.

Accepted Answer

A) True 
 B)False

Question 6

List and discuss the essential elements of a contract.

Accepted Answer

Contractual elements are: (1) mutual ass

Question 7

The Uniform Commercial Code would be applied in which of the following situations?

Accepted Answer

A)  A contract for landscape services 
B)  A contract for sale of patent rights 
C)  A contract for the purchase of farmland 
D)  A contract to buy living room furniture 
A)  A contract for landscape services 
B)  A contract for sale of patent rights 
C)  A contract for the purchase of farmland 
D)  A contract to buy living room furniture

Question 8

Which of the following is characteristic of contract law during the twentieth century compared with contract law in the nineteenth century?

Accepted Answer

A)  Privity of contract gained in importance. 
B)  Many of the formalities of contract formation were relaxed. 
C)  Contract liability is absolute and escape from liability, once assumed, is rare. 
D)  There is a narrower view of contract damages. 
A)  Privity of contract gained in importance. 
B)  Many of the formalities of contract formation were relaxed. 
C)  Contract liability is absolute and escape from liability, once assumed, is rare. 
D)  There is a narrower view of contract damages.

Question 9

What is a formal contract? How does a formal contract differ from an informal contract?

Accepted Answer

A formal contract is legally binding bec

Question 10

A contract to sell five acres of land is governed by Article 2 of the UCC.

Accepted Answer

A) True 
 B)False

Question 11

Steven intentionally makes a material misrepresentation of fact regarding his motorcycle to Thelma who agrees to buy the motorcycle based upon the misrepresentation. This contract is:

Accepted Answer

A)  void. 
B)  voidable. 
C)  executed. 
D)  unenforceable. 
A)  void. 
B)  voidable. 
C)  executed. 
D)  unenforceable.

Question 12

Which of the following is an informal contract?

Accepted Answer

A)  A letter of credit. 
B)  A written contract for the sale of a 5-acre tract of land. 
C)  A check. 
D)  A recognizance. 
A)  A letter of credit. 
B)  A written contract for the sale of a 5-acre tract of land. 
C)  A check. 
D)  A recognizance.

Question 13

Contract law:

Accepted Answer

A)  has seen little change during the nineteenth and twentieth centuries. 
B)  has experienced an expansion of the absolute freedom of contract during the twentieth century. 
C)  today usually recognizes contractual obligations whenever the parties manifest an intent to be bound. 
D)  requires privity between parties seeking to enforce contractual rights. 
A)  has seen little change during the nineteenth and twentieth centuries. 
B)  has experienced an expansion of the absolute freedom of contract during the twentieth century. 
C)  today usually recognizes contractual obligations whenever the parties manifest an intent to be bound. 
D)  requires privity between parties seeking to enforce contractual rights.

Question 14

A promise against public policy:

Accepted Answer

A)  can be contractual. 
B)  is enforceable if the parties have capacity and mutual assent and they exchange consideration. 
C)  has no legal remedy available for breach. 
D)  must be in writing to be enforceable. 
A)  can be contractual. 
B)  is enforceable if the parties have capacity and mutual assent and they exchange consideration. 
C)  has no legal remedy available for breach. 
D)  must be in writing to be enforceable.

Question 15

Which of the following is correct with regard to a contract?

Accepted Answer

A)  All contracts must be in writing. 
B)  A person who deposits money in a bank account has entered into a contract with the bank. 
C)  A contract may be for a tortious purpose. 
D)  To be valid, a contract must be bilateral and cannot be unilateral. 
A)  All contracts must be in writing. 
B)  A person who deposits money in a bank account has entered into a contract with the bank. 
C)  A contract may be for a tortious purpose. 
D)  To be valid, a contract must be bilateral and cannot be unilateral.

Question 16

Contracts are primarily governed by the Uniform Commercial Code.

Accepted Answer

A) True 
 B)False

Question 17

Promissory estoppel is found in Section of the Restatement (Second) of Contracts.

Accepted Answer

A)  70 
B)  80 
C)  90 
D)  100 
A)  70 
B)  80 
C)  90 
D)  100

Question 18

Quasi contract is another name for a contract that is implied in fact.

Accepted Answer

A) True 
 B)False

Question 19

A contract for the sale of a copyright is governed by Article 2 of the Uniform Commercial Code.

Accepted Answer

A) True 
 B)False

Question 20

Tate enters into a contract with Smith under the terms of which Smith is to pay Tate $7,000 and Tate is to build a garage, repair a boat, and build a doghouse. If the doghouse has not yet been built, which term describes the type of contract in existence?

Accepted Answer

A)  Quasi contract 
B)  Executed contract 
C)  Illusory contract 
D)  Executory contract 
A)  Quasi contract 
B)  Executed contract 
C)  Illusory contract 
D)  Executory contract

Exam 9: Introduction to Contracts

Distinguish between: (a) express and implied contracts; (b) executed and executory contracts; and (c) bilateral and unilateral contracts.

Ron says to Matt, "If you design and landscape my front lawn by the time I return from Paris next month, I will pay you $5,000." Matt does not respond but has the landscaping done by the time Ron returns. This is an example of a unilateral contract.

Any property other than an interest in real property is:

If a person who has been declared incompetent by the courts enters into an agreement, that agreement is void, because it does not meet all the requirements of a binding contract.

A negotiable instrument, such as a check, is not a formal contract.

List and discuss the essential elements of a contract.

The Uniform Commercial Code would be applied in which of the following situations?

Which of the following is characteristic of contract law during the twentieth century compared with contract law in the nineteenth century?

What is a formal contract? How does a formal contract differ from an informal contract?

A contract to sell five acres of land is governed by Article 2 of the UCC.

Steven intentionally makes a material misrepresentation of fact regarding his motorcycle to Thelma who agrees to buy the motorcycle based upon the misrepresentation. This contract is:

Which of the following is an informal contract?

Contract law:

A promise against public policy:

Which of the following is correct with regard to a contract?

Contracts are primarily governed by the Uniform Commercial Code.

Promissory estoppel is found in Section of the Restatement (Second) of Contracts.

Quasi contract is another name for a contract that is implied in fact.

A contract for the sale of a copyright is governed by Article 2 of the Uniform Commercial Code.

Tate enters into a contract with Smith under the terms of which Smith is to pay Tate $7,000 and Tate is to build a garage, repair a boat, and build a doghouse. If the doghouse has not yet been built, which term describes the type of contract in existence?

Introduction to Law

Business Ethics and the Social Responsibility of Business

Civil Dispute Resolution

Constitutional Law

Administrative Law

Criminal Law

Intentional Torts

Negligence and Strict Liability

Mutual Assent

Conduct Invalidating Assent

Consideration

Illegal Bargains

Contractual Capacity

Contracts in Writing

Third Parties to Contracts

Performance, Breach, and Discharge

Contract Remedies

Relationship of Principal and Agent

Relationship With Third Parties

Introduction to Sales and Leases

Performance

Transfer of Title and Risk of Loss

Products Liability: Warranties and Strict Liability in Tort

Sales Remedies

Form and Content

Transfer and Holder in Due Course

Liability of Parties

Bank Deposits, Collections, and Funds Transfers

Formation and Internal Relations of General Partnerships

Operation and Dissolution of General Partnerships

Limited Partnerships and Limited Liability Companies

Nature, Formation, and Powers

Financial Structure

Management Structure

Fundamental Changes

Secured Transactions and Suretyship

Bankruptcy

Protection of Intellectual Property

Antitrust

Consumer Protection

Employment Law

Securities Regulation

Accountants Legal Liability

Environmental Law

International Business Law

Introduction to Property, Property Insurance, Bailments, and Documents of Title

Interests in Real Property

Transfer and Control of Real Property

Trusts and Decedents Estates

the Legal Environment of Business

Contracts

Agency

Sales

Negotiable Instruments

Unincorporated Business Associations

Corporations

Debtor and Creditor Relations

Regulation of Business

Property