Question 1

Which of the following is most likely to lead to unconscionable conduct by a business when dealing with consumers?

Accepted Answer

A) Training staff about fair trading and anti-discrimination laws. 
B) Employing staff members who lack tertiary qualifications. 
C) Disclosing any important or unusual terms to customers. 
D) Rewarding staff for pressure based selling. 
A) Training staff about fair trading and anti-discrimination laws. 
B) Employing staff members who lack tertiary qualifications. 
C) Disclosing any important or unusual terms to customers. 
D) Rewarding staff for pressure based selling.

Question 2

A manufacturer is not liable for a 'safety defect' under ACL Part 3-5 if:

Accepted Answer

A) the safety defect relates to the packaging of goods. 
B) the safety defect relates to the way the goods are marketed. 
C) the safety defect did not exist at the time the goods were manufactured. 
D) the safety defect exists because the manufacturer failed to comply with a mandatory standard. 
A) the safety defect relates to the packaging of goods. 
B) the safety defect relates to the way the goods are marketed. 
C) the safety defect did not exist at the time the goods were manufactured. 
D) the safety defect exists because the manufacturer failed to comply with a mandatory standard.

Question 3

For conduct to be misleading and deceptive under s 18 of the Australian Consumer Law (ACL) it need not be conduct that is:

Accepted Answer

A) likely to lead astray, lead into error or cause others to believe what is false. 
B) misleading or deceptive based on an objective test. 
C) misleading or deceptive to members of the target audience. 
D) misleading or deceptive to the 'reasonable person'. 
A) likely to lead astray, lead into error or cause others to believe what is false. 
B) misleading or deceptive based on an objective test. 
C) misleading or deceptive to members of the target audience. 
D) misleading or deceptive to the 'reasonable person'.

Question 4

Which of the following ideas or facts does not offer grounds to support the conclusion that our society needs strong consumer protection laws?

Accepted Answer

A) The idea that if people are unwise enough to enter into bad business deals then they ought to be responsible for the outcomes of their choices. 
B) The fact that in modern times there is generally a gross inequality of bargaining power between consumers and the business organisations they deal with. 
C) The fact that common law rules are usually too complex and limited to be of real help to a consumer who is in dispute with a business. 
D) The fact that the number of consumer transactions have generally increased in recent years. 
A) The idea that if people are unwise enough to enter into bad business deals then they ought to be responsible for the outcomes of their choices. 
B) The fact that in modern times there is generally a gross inequality of bargaining power between consumers and the business organisations they deal with. 
C) The fact that common law rules are usually too complex and limited to be of real help to a consumer who is in dispute with a business. 
D) The fact that the number of consumer transactions have generally increased in recent years.

Question 5

Section 23 of the Australian Consumer Law is concerned with the use of unfair terms in contracts.The section applies to:

Accepted Answer

A) all contracts. 
B) all written contracts. 
C) all consumer contracts. 
D) all standard form consumer contracts. 
A) all contracts. 
B) all written contracts. 
C) all consumer contracts. 
D) all standard form consumer contracts.

Question 6

Engaging in 'conduct' within the meaning of s 18 of the Australian Corporations Law:

Accepted Answer

A) means doing an act. 
B) can sometimes mean simply remaining silent. 
C) does not include making a promise. 
D) refers only to conduct that is intentional. 
A) means doing an act. 
B) can sometimes mean simply remaining silent. 
C) does not include making a promise. 
D) refers only to conduct that is intentional.

Question 7

The consumer protection movement can best be described as:

Accepted Answer

A) a social movement that began in the 1970s with the aim of securing women's rights. 
B) a political movement that began with an uprising in 19th century England in which people rallied to bring manufacturers to account for contaminants in their food and drink (e.g.snails in ginger beer). 
C) a movement that developed in the Courts in the 17th and 18th century that was designed reduce the importance of written contracts and give courts unlimited power to decide the outcome of consumer transactions. 
D) a movement that gained momentum in the 1970s with the aim of limiting the scope for businesses to exploit consumers. 
A) a social movement that began in the 1970s with the aim of securing women's rights. 
B) a political movement that began with an uprising in 19th century England in which people rallied to bring manufacturers to account for contaminants in their food and drink (e.g.snails in ginger beer). 
C) a movement that developed in the Courts in the 17th and 18th century that was designed reduce the importance of written contracts and give courts unlimited power to decide the outcome of consumer transactions. 
D) a movement that gained momentum in the 1970s with the aim of limiting the scope for businesses to exploit consumers.

Question 8

Cyril is a customer service officer at a mobile phone company.Jane is interested in a mobile plan.After Cyril explains the Super Value price plan to her, Jane exclaims, 'So I'll have unlimited text usage! I can message my friends all day, every day without paying a cent! I'll sign up right now!' Cyril knows that the plan only provides users with 50 free text messages a month but says nothing to Jane.One month later, Jane's phone bill is $2000.Has the mobile phone company, as a result of Cyril's actions, breached ACL s 18?

Accepted Answer

A) Yes, all three requirements of s 18 have been satisfied. 
B) No, Cyril has not 'engaged in conduct'. 
C) No, Cyril's conduct was not 'in trade or commerce'. 
D) No, Cyril's conduct was not 'misleading or deceptive'. 
A) Yes, all three requirements of s 18 have been satisfied. 
B) No, Cyril has not 'engaged in conduct'. 
C) No, Cyril's conduct was not 'in trade or commerce'. 
D) No, Cyril's conduct was not 'misleading or deceptive'.

Question 9

The Australian Competition and Consumer Commission (ACCC) seeks primarily to:

Accepted Answer

A) promote international free trade agreements and multinational corporations, and build monopolies in Australia. 
B) administer the Competition and Consumer Act (CC
A)  and Australian Consumer Law (ACL) and promote competition and fair play in the marketplace. 
C) administer Commonwealth, State and Territory consumer protection laws and promote competition and fair play in the workplace. 
D) ADVOdCATE for consumer rights groups and promote free market economics. 
A) promote international free trade agreements and multinational corporations, and build monopolies in Australia. 
B) administer the Competition and Consumer Act (CC
A)  and Australian Consumer Law (ACL) and promote competition and fair play in the marketplace. 
C) administer Commonwealth, State and Territory consumer protection laws and promote competition and fair play in the workplace. 
D) ADVOdCATE for consumer rights groups and promote free market economics.

Question 10

According to APP2 of the Privacy Act 1988 (Cth) individuals must have the option of dealing with businesses anonymously or through the use of a:

Accepted Answer

A) pseudonym. 
B) proxy. 
C) family name. 
D) given name. 
A) pseudonym. 
B) proxy. 
C) family name. 
D) given name.

Question 11

Which of the following is not true about the Australian Privacy Principles?

Accepted Answer

A) They apply to most businesses in Australia. 
B) They protect both personal information and sensitive information. 
C) They are designed to ensure that businesses use information about individuals responsibly. 
D) It is generally necessary for businesses covered by the Act to comply with them. 
A) They apply to most businesses in Australia. 
B) They protect both personal information and sensitive information. 
C) They are designed to ensure that businesses use information about individuals responsibly. 
D) It is generally necessary for businesses covered by the Act to comply with them.

Question 12

Most of the rules regulating marketing and selling to consumers can now be found in:

Accepted Answer

A) the Australian Consumer Law ('ACL') enacted in 2010. 
B) the Trade Practices Act 1873. 
C) the Australian Securities and Investments Commission Act 2001 (Cth). 
D) the Sale of Goods Act 1893 (Cth). 
A) the Australian Consumer Law ('ACL') enacted in 2010. 
B) the Trade Practices Act 1873. 
C) the Australian Securities and Investments Commission Act 2001 (Cth). 
D) the Sale of Goods Act 1893 (Cth).

Question 13

Fred convinces Greg and Harry to help him sell his homemade mango juice.Which of the following indicates that Fred has set up a pyramid scheme?

Accepted Answer

A) Fred promises to pay them $10 each for every $100 worth of juice that they sell. 
B) Fred charges Greg and Harry $100 to join the selling scheme, and promises them $10 each for every person they convince to join the scheme as well. 
C) Fred charges Greg and Harry $100 to join the selling scheme, and promises to pay them $10 each for every $100 worth of juice that they sell. 
D) Fred promises to pay them $10 each for every new customer they find. 
A) Fred promises to pay them $10 each for every $100 worth of juice that they sell. 
B) Fred charges Greg and Harry $100 to join the selling scheme, and promises them $10 each for every person they convince to join the scheme as well. 
C) Fred charges Greg and Harry $100 to join the selling scheme, and promises to pay them $10 each for every $100 worth of juice that they sell. 
D) Fred promises to pay them $10 each for every new customer they find.

Question 14

If a business fails to take reasonable steps to protect any personal information it holds from misuse or unauthorised access, it is in breach of:

Accepted Answer

A) APP2. 
B) APP11. 
C) APP3. 
D) APP7. 
A) APP2. 
B) APP11. 
C) APP3. 
D) APP7.

Question 15

According to the decision in Taco Company v Taco Bell, which of the following will not be considered by the court in determining whether or not conduct is 'misleading or deceptive'?

Accepted Answer

A) The level of education of the relevant section of the public. 
B) Which section of the public is affected by the conduct. 
C) The level of intelligence of the relevant section of the public. 
D) Whether a reasonable person would be misled by the conduct. 
A) The level of education of the relevant section of the public. 
B) Which section of the public is affected by the conduct. 
C) The level of intelligence of the relevant section of the public. 
D) Whether a reasonable person would be misled by the conduct.

Question 16

Section 25 of the Australian Consumer Law sets out examples of contract terms that are unfair.The general effect of this long and detailed provision is that a contract term will generally be considered to be unfair when:

Accepted Answer

A) it is a standard term. 
B) it is long and technical. 
C) it permits one party to unilaterally exercise rights and privileges of a kind or scope that the other does not have. 
D) it permits the business to unilaterally exercise particular rights and privileges that the consumer does not like. 
A) it is a standard term. 
B) it is long and technical. 
C) it permits one party to unilaterally exercise rights and privileges of a kind or scope that the other does not have. 
D) it permits the business to unilaterally exercise particular rights and privileges that the consumer does not like.

Question 17

In the 17th and 18th centuries, rather than being concerned with protecting consumers specifically, the judiciary had other priorities.Which of the following issues might be said to have been of a relatively low concern to judges dealing with business related disputes in that era?

Accepted Answer

A) Promoting stability and consistency in the law by applying the rules of precedent. 
B) Protecting the freedom of individuals to contract on whatever terms they saw fit in confidence that the Courts would honour their bargains. 
C) Ensuring that individuals were protected from the consequences of their own poorly informed choices. 
D) Ensuring the free, efficient flow of trade and commerce by creating an environment in which legal outcomes were predictable. 
A) Promoting stability and consistency in the law by applying the rules of precedent. 
B) Protecting the freedom of individuals to contract on whatever terms they saw fit in confidence that the Courts would honour their bargains. 
C) Ensuring that individuals were protected from the consequences of their own poorly informed choices. 
D) Ensuring the free, efficient flow of trade and commerce by creating an environment in which legal outcomes were predictable.

Question 18

Caveat emptor is a Latin maxim meaning:

Accepted Answer

A) let the buyer beware. 
B) let the buyer be alert 
C) let the buyer be responsible. 
D) the law does not concern itself with trifles. 
A) let the buyer beware. 
B) let the buyer be alert 
C) let the buyer be responsible. 
D) the law does not concern itself with trifles.

Question 19

A business that fails to comply with its own privacy policy:

Accepted Answer

A) commits a crime. 
B) is behaving unethically but not illegally. 
C) is engaging in misleading or deceptive conduct. 
D) is negligent. 
A) commits a crime. 
B) is behaving unethically but not illegally. 
C) is engaging in misleading or deceptive conduct. 
D) is negligent.

Question 20

Which of the following activities are not necessarily exempted from the operation of the Privacy Act 1988 (Cth)?

Accepted Answer

A) The journalism activities of media organisations. 
B) Acts done by employers that are directly related to the employment of new employees. 
C) Credit information handled by credit providers and credit reporting agencies. 
D) The activities of businesses with an annual turnover of less than $3 million. 
A) The journalism activities of media organisations. 
B) Acts done by employers that are directly related to the employment of new employees. 
C) Credit information handled by credit providers and credit reporting agencies. 
D) The activities of businesses with an annual turnover of less than $3 million.

Which of the following is most likely to lead to unconscionable conduct by a business when dealing with consumers?

A manufacturer is not liable for a 'safety defect' under ACL Part 3-5 if:

For conduct to be misleading and deceptive under s 18 of the Australian Consumer Law (ACL) it need not be conduct that is:

Which of the following ideas or facts does not offer grounds to support the conclusion that our society needs strong consumer protection laws?

Section 23 of the Australian Consumer Law is concerned with the use of unfair terms in contracts.The section applies to:

Engaging in 'conduct' within the meaning of s 18 of the Australian Corporations Law:

The consumer protection movement can best be described as:

The Australian Competition and Consumer Commission (ACCC) seeks primarily to:

According to APP2 of the Privacy Act 1988 (Cth) individuals must have the option of dealing with businesses anonymously or through the use of a:

Which of the following is not true about the Australian Privacy Principles?

Most of the rules regulating marketing and selling to consumers can now be found in:

Fred convinces Greg and Harry to help him sell his homemade mango juice.Which of the following indicates that Fred has set up a pyramid scheme?

If a business fails to take reasonable steps to protect any personal information it holds from misuse or unauthorised access, it is in breach of:

According to the decision in Taco Company v Taco Bell, which of the following will not be considered by the court in determining whether or not conduct is 'misleading or deceptive'?

Section 25 of the Australian Consumer Law sets out examples of contract terms that are unfair.The general effect of this long and detailed provision is that a contract term will generally be considered to be unfair when:

In the 17th and 18th centuries, rather than being concerned with protecting consumers specifically, the judiciary had other priorities.Which of the following issues might be said to have been of a relatively low concern to judges dealing with business related disputes in that era?

Caveat emptor is a Latin maxim meaning:

A business that fails to comply with its own privacy policy:

Which of the following activities are not necessarily exempted from the operation of the Privacy Act 1988 (Cth)?

Business and the Law

The Australian Legal System

Politicians and Judges

How to Find, Understand and Use the Law

Deliberately Causing Harm

Carelessly Causing Harm

Contract Law: Formation of the Contract

Contract Law: Terms of the Contract

Contract Law: Enforcement of the Contract

Contract Law: Working With Agents

Dealing With Competitors

Protecting Ip

Managing a Business: Start-Up

Managing a Business: Business Ownership

Managing a Business: Companies and Corporate Governance

Managing a Business: Making Payments and Recovering Debts

Managing a Business: Insurance and Taxes

Managing a Business: Employing Workers

Managing a Business: Closing Down

Filters

Exam 11: Dealing With Consumers

Which of the following is most likely to lead to unconscionable conduct by a business when dealing with consumers?

A manufacturer is not liable for a 'safety defect' under ACL Part 3-5 if:

For conduct to be misleading and deceptive under s 18 of the Australian Consumer Law (ACL) it need not be conduct that is:

Which of the following ideas or facts does not offer grounds to support the conclusion that our society needs strong consumer protection laws?

Section 23 of the Australian Consumer Law is concerned with the use of unfair terms in contracts.The section applies to:

Engaging in 'conduct' within the meaning of s 18 of the Australian Corporations Law:

The consumer protection movement can best be described as:

The Australian Competition and Consumer Commission (ACCC) seeks primarily to:

According to APP2 of the Privacy Act 1988 (Cth) individuals must have the option of dealing with businesses anonymously or through the use of a:

Which of the following is not true about the Australian Privacy Principles?

Most of the rules regulating marketing and selling to consumers can now be found in:

Fred convinces Greg and Harry to help him sell his homemade mango juice.Which of the following indicates that Fred has set up a pyramid scheme?

If a business fails to take reasonable steps to protect any personal information it holds from misuse or unauthorised access, it is in breach of:

According to the decision in Taco Company v Taco Bell, which of the following will not be considered by the court in determining whether or not conduct is 'misleading or deceptive'?

Section 25 of the Australian Consumer Law sets out examples of contract terms that are unfair.The general effect of this long and detailed provision is that a contract term will generally be considered to be unfair when:

In the 17th and 18th centuries, rather than being concerned with protecting consumers specifically, the judiciary had other priorities.Which of the following issues might be said to have been of a relatively low concern to judges dealing with business related disputes in that era?

Caveat emptor is a Latin maxim meaning:

A business that fails to comply with its own privacy policy:

Which of the following activities are not necessarily exempted from the operation of the Privacy Act 1988 (Cth)?

Business and the Law

The Australian Legal System

Politicians and Judges

How to Find, Understand and Use the Law

Deliberately Causing Harm

Carelessly Causing Harm

Contract Law: Formation of the Contract

Contract Law: Terms of the Contract

Contract Law: Enforcement of the Contract

Contract Law: Working With Agents

Dealing With Competitors

Protecting Ip

Managing a Business: Start-Up

Managing a Business: Business Ownership

Managing a Business: Companies and Corporate Governance

Managing a Business: Making Payments and Recovering Debts

Managing a Business: Insurance and Taxes

Managing a Business: Employing Workers

Managing a Business: Closing Down

Filters