Question 1

In determining whether parties intended to reduce their agreement to writing,which of the following factors would normally NOT be considered:

Accepted Answer

A)  whether the type of agreement is one that is normally put into writing. 
B)  the complexity of the agreement. 
C)  whether or not the terms are complete. 
D)  the amount of money involved in the agreement. 
A)  whether the type of agreement is one that is normally put into writing. 
B)  the complexity of the agreement. 
C)  whether or not the terms are complete. 
D)  the amount of money involved in the agreement. C

Question 2

What is a choice of law provision:

Accepted Answer

A)  determine which state's laws will be used to interpret the contract 
B)  determines the state in which any litigation would take place 
C)  prohibits the parties from suing in court 
D)  none of the above 
A)  determine which state's laws will be used to interpret the contract 
B)  determines the state in which any litigation would take place 
C)  prohibits the parties from suing in court 
D)  none of the above A

Question 3

A force majeure event is:

Accepted Answer

A)  anything that makes the contract unprofitable for either party. 
B)  a natural disaster that claims human life or leads to the declaration of a state of emergency. 
C)  a disruptive,unexpected occurrence for which neither party is to blame that prevents one or both parties from complying with the contract. 
D)  any happening that fulfills one of the conditions in the contract,making it enforceable. 
A)  anything that makes the contract unprofitable for either party. 
B)  a natural disaster that claims human life or leads to the declaration of a state of emergency. 
C)  a disruptive,unexpected occurrence for which neither party is to blame that prevents one or both parties from complying with the contract. 
D)  any happening that fulfills one of the conditions in the contract,making it enforceable. B

Question 4

Define and compare the terms "vagueness" and "ambiguity."

Accepted Answer

Vagueness occurs when the parties do not

Question 5

Contracts must begin with the word,"whereas" in order to be legal.

Accepted Answer

A) True 
 B)False

Question 6

The legal term for a promise in a contract is "provision."

Accepted Answer

A) True 
 B)False

Question 7

Bob,a house builder,contracts with Ollie to build a house on Ollie's lot.Bob hires Rob to take his place as the builder on this contract. What has Bob done?

Accepted Answer

A)  Subcontracted Rob. 
B)  Breached the contract. 
C)  Delegated his duties. 
D)  Assigned his rights. 
A)  Subcontracted Rob. 
B)  Breached the contract. 
C)  Delegated his duties. 
D)  Assigned his rights.

Question 8

Some contracting parties are intentionally vague in contract terms.

Accepted Answer

A) True 
 B)False

Question 9

Ambiguities in contracts are always interpreted in favor of the side that wrote the contract,since they are the ones who know what the provision is supposed to mean.

Accepted Answer

A) True 
 B)False

Question 10

If each party's promises are listed separately in the contract,the are probably:

Accepted Answer

A)  covenantal promises. 
B)  conditional promises. 
C)  reciprocal promises. 
D)  material promises. 
A)  covenantal promises. 
B)  conditional promises. 
C)  reciprocal promises. 
D)  material promises.

Question 11

Which of the following is generally NOT in the introductory paragraph of a contract?

Accepted Answer

A)  The date of contracting. 
B)  The duties of the parties. 
C)  The parties to the contract. 
D)  The nature of the contract. 
A)  The date of contracting. 
B)  The duties of the parties. 
C)  The parties to the contract. 
D)  The nature of the contract.

Question 12

"Scrivener's error" is another (fancier)name for a typo.

Accepted Answer

A) True 
 B)False

Question 13

Identify and explain at least four situations where a written contract is either necessary or recommended.

Accepted Answer

There are times when you should definite

Question 14

The title of a contract should be:

Accepted Answer

A)  general,like "Memorandum of Agreement.". 
B)  written like a sentence,with only the first letter capitalized. 
C)  short -- no more than five words. 
D)  descriptive of the agreement,and typed in all capital letters. 
A)  general,like "Memorandum of Agreement.". 
B)  written like a sentence,with only the first letter capitalized. 
C)  short -- no more than five words. 
D)  descriptive of the agreement,and typed in all capital letters.

Question 15

Which of the following is NOT a standard provision frequently found in contracts?

Accepted Answer

A)  choice of forum. 
B)  choice of law. 
C)  choice of compensation.. 
D)  arbitration. 
A)  choice of forum. 
B)  choice of law. 
C)  choice of compensation.. 
D)  arbitration.

Question 16

When a party to a contract intentionally makes the terms of a contract unclear,it is called:

Accepted Answer

A)  vagueness. 
B)  duress. 
C)  ambiguity. 
D)  mistake. 
A)  vagueness. 
B)  duress. 
C)  ambiguity. 
D)  mistake.

Question 17

Emily runs a children's clothing boutique which takes in local homemade items on a consignment basis. Her standard form contract indicates that Emily has the right to put items on sale without prior approval,but does not specify what effect the sale has on the consignor's payment percentage.Her intent is to keep the same profit she would have had without the sale. She is using ambiguity in her contract to increase her sales and profit.

Accepted Answer

A) True 
 B)False

Question 18

When a party to a contract fails to fulfill all of her promises,she has breached the contract. What response does a court typically have for a breach?

Accepted Answer

Typically,a court would not impose sanct

Question 19

One reason you may not need a written contract is:

Accepted Answer

A)  you are dealing with a party you do not know well,so you need to remain flexible. 
B)  you are buying land from a member of your family. 
C)  the terms of the agreement are simple and the value of the transaction is small. 
D)  you have negotiated enough that you both know what the other person intends. 
A)  you are dealing with a party you do not know well,so you need to remain flexible. 
B)  you are buying land from a member of your family. 
C)  the terms of the agreement are simple and the value of the transaction is small. 
D)  you have negotiated enough that you both know what the other person intends.

Question 20

A letter of intent is not likely to be enforceable unless:

Accepted Answer

A)  there is a clearly stated start date for the contract. 
B)  both parties agree on compensation. 
C)  it is clear that both parties intended to be bound by the letter. 
D)  conditions in the letter are met. 
A)  there is a clearly stated start date for the contract. 
B)  both parties agree on compensation. 
C)  it is clear that both parties intended to be bound by the letter. 
D)  conditions in the letter are met.

Exam 12: Practical Contracts

In determining whether parties intended to reduce their agreement to writing,which of the following factors would normally NOT be considered:

What is a choice of law provision:

A force majeure event is:

Define and compare the terms "vagueness" and "ambiguity."

Contracts must begin with the word,"whereas" in order to be legal.

The legal term for a promise in a contract is "provision."

Bob,a house builder,contracts with Ollie to build a house on Ollie's lot.Bob hires Rob to take his place as the builder on this contract. What has Bob done?

Some contracting parties are intentionally vague in contract terms.

Ambiguities in contracts are always interpreted in favor of the side that wrote the contract,since they are the ones who know what the provision is supposed to mean.

If each party's promises are listed separately in the contract,the are probably:

Which of the following is generally NOT in the introductory paragraph of a contract?

"Scrivener's error" is another (fancier)name for a typo.

Identify and explain at least four situations where a written contract is either necessary or recommended.

The title of a contract should be:

Which of the following is NOT a standard provision frequently found in contracts?

When a party to a contract intentionally makes the terms of a contract unclear,it is called:

When a party to a contract fails to fulfill all of her promises,she has breached the contract. What response does a court typically have for a breach?

One reason you may not need a written contract is:

A letter of intent is not likely to be enforceable unless:

Introduction to Law

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Courts,Litigation and Alterntive Dispute Resolution

Constitutional, Statutory, Administrative, and Common Law

Intentional Torts and Business Torts

Negligence and Strict Liability

Crime

International Law

Introduction to Contracts

Contract Impediments

Conclusion to Contracts

Introduction to Sales

Negotiable Instruments

Secured Transactions

Bankruptcy

Agency Law

Employment Law

Employment Discrimination

Labor Law

Starting a Business: Llcs and Other Option

Life and Death of a Corporation

Government Regulation: Securities and Antitrust

Accountants' Liability

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Intellectual Property

Real Property and Tenant: Landlord Law

Personal Property and Bailment

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