Question 1

Contracts that are implied in law:

Accepted Answer

A) are obligations imposed by law on grounds of justice and equity. 
B) are intended to prevent unjust enrichment. 
C) do not rest upon the assent of the contracting parties. 
D) All of these. 
A) are obligations imposed by law on grounds of justice and equity. 
B) are intended to prevent unjust enrichment. 
C) do not rest upon the assent of the contracting parties. 
D) All of these. D

Question 2

All written contracts are considered to be formal contracts.

Accepted Answer

A) True 
 B)False  False

Question 3

Contracts are governed primarily by:

Accepted Answer

A) state common law. 
B) federal common law. 
C) statutory law. 
D) federal case law. 
A) state common law. 
B) federal common law. 
C) statutory law. 
D) federal case law. A

Question 4

Article 2 of the Uniform Commercial Code deals with what type of property?

Accepted Answer

A) Real 
B) Personal 
C) Intangible 
D) Business 
A) Real 
B) Personal 
C) Intangible 
D) Business

Question 5

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 6

An implied contract is as enforceable as an express contract.

Accepted Answer

A) True 
 B)False

Question 7

A valid contract is one that meets all of the requirements of a binding contract.

Accepted Answer

A) True 
 B)False

Question 8

Lee has been declared incompetent by the court and is under the care of his sister.Without his sister's knowledge, Lee rents the 30,000-seat civic center for his birthday party.Lee's contract to rent the civic center is best described as a:

Accepted Answer

A) valid contract. 
B) voidable contract. 
C) void contract. 
D) quasi contract. 
A) valid contract. 
B) voidable contract. 
C) void contract. 
D) quasi contract.

Question 9

The Restatement and the UCC are both currently authoritative sources of contract law.

Accepted Answer

A) True 
 B)False

Question 10

Contract law is significant in that it is basic to other fields of law such as:

Accepted Answer

A) sales of personal property. 
B) commercial paper. 
C) secured transactions. 
D) All of these. 
A) sales of personal property. 
B) commercial paper. 
C) secured transactions. 
D) All of these.

Question 11

A noncontractual promise may be enforceable where there has been justifiable reliance on the promise.

Accepted Answer

A) True 
 B)False

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

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 14

Albert breaches a contract with Bill in a state where the statute of limitations is six years.Seven years later Bill wants to sue.The contract is unenforceable, rather than void or voidable.

Accepted Answer

A) True 
 B)False

Question 15

Amendments to Article 2 of the UCC were promulgated in 2003 to reflect developments in the law and business practices and to accommodate electronic commerce.

Accepted Answer

A) True 
 B)False

Question 16

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 17

Marcus has a contract to purchase a new MP3 player.The law governing this contract is Article 2 of the UCC.

Accepted Answer

A) True 
 B)False

Question 18

A(n) contract is one in which the parties have manifested their agreement by oral or written language, or both.

Accepted Answer

A) express 
B) implied 
C) executory 
D) formal 
A) express 
B) implied 
C) executory 
D) formal

Question 19

Abe is involved in an automobile accident and is injured.While he is unconscious, the police call an ambulance which takes him to a hospital.Abe is treated at the hospital and released a day later.The hospital sends him a bill for $2,400, which Abe refuses to pay, claiming it is too high and he never consented to the treatment because he was unconscious.Abe:

Accepted Answer

A) has entered into a unilateral contract with the hospital and therefore will have to pay the bill. 
B) has a quasi-contractual agreement with the hospital. 
C) has entered into an implied in fact contract with the hospital. 
D) and the hospital have entered into a bilateral contract, the terms of which require that he pay the bill. 
A) has entered into a unilateral contract with the hospital and therefore will have to pay the bill. 
B) has a quasi-contractual agreement with the hospital. 
C) has entered into an implied in fact contract with the hospital. 
D) and the hospital have entered into a bilateral contract, the terms of which require that he pay the bill.

Question 20

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.

Exam 9: Introduction to Contracts

Contracts that are implied in law:

All written contracts are considered to be formal contracts.

Contracts are governed primarily by:

Article 2 of the Uniform Commercial Code deals with what type of property?

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

An implied contract is as enforceable as an express contract.

A valid contract is one that meets all of the requirements of a binding contract.

Lee has been declared incompetent by the court and is under the care of his sister.Without his sister's knowledge, Lee rents the 30,000-seat civic center for his birthday party.Lee's contract to rent the civic center is best described as a:

The Restatement and the UCC are both currently authoritative sources of contract law.

Contract law is significant in that it is basic to other fields of law such as:

A noncontractual promise may be enforceable where there has been justifiable reliance on the promise.

Which of the following is an informal contract?

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

Albert breaches a contract with Bill in a state where the statute of limitations is six years.Seven years later Bill wants to sue.The contract is unenforceable, rather than void or voidable.

Amendments to Article 2 of the UCC were promulgated in 2003 to reflect developments in the law and business practices and to accommodate electronic commerce.

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

Marcus has a contract to purchase a new MP3 player.The law governing this contract is Article 2 of the UCC.

A(n) contract is one in which the parties have manifested their agreement by oral or written language, or both.

A promise against public policy:

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

51: The Legal Environment Of Business

52: Contracts.

53: Agency.

54: Sales

55: Negotiable Instruments

56: Unincorporated Business Association

57: Corporations

58: Debtor and Creditor Relation

59: Regulation of Business

60: Property.

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