Question 1

There is no difference between assignments and delegation.

Accepted Answer

A) True 
 B)False

Question 2

A minor who has received medical care can never be responsible for payment for those services.

Accepted Answer

A) True 
 B)False

Question 3

Sekelow Enterprises is a debt collection agency.It uses postcards to contact consumer debtors it is attempting to collect from for its clients.The name "Sekelow Enterprises" and the company address appear on the postcards used along with: "VERY IMPORTANT: PLEASE CONTACT US ABOUT YOUR DILLARD'S DEBT."

Accepted Answer

A) Sekelow has violated the Fair Debt Collections Practices Act. 
B) Sekelow has not violated the Fair Debt Collections Practices Act if it follows up with a phone call and verification of debt. 
C) Sekelow cannot collect the debt without registering as a credit repair organization. 
D) both a and c 
A) Sekelow has violated the Fair Debt Collections Practices Act. 
B) Sekelow has not violated the Fair Debt Collections Practices Act if it follows up with a phone call and verification of debt. 
C) Sekelow cannot collect the debt without registering as a credit repair organization. 
D) both a and c

Question 4

The three-day-cooling-off period applies to all credit transactions.

Accepted Answer

A) True 
 B)False

Question 5

An architect who fails to pay her annual license renewal fee will be unable to collect fees for work done until the renewal fee is paid.

Accepted Answer

A) True 
 B)False

Question 6

The Hoffmans were having their home remodeled by All-Right Contractors.The roof had to be removed in order to build the second story the Hoffmans had contracted and designed to build.After All-Right had removed the roof,but before a covering was placed over the exposed half of the home,All-Right's foreman said the job would cost an additional $12,500.The Hoffmans refused to agree to the additional fees and All-Right's foreman said,"Suit yourselves.Looks like rain for the next day or two," and left.The Hoffmans called All-Right and agreed to pay the $12,500 extra and went in to sign the paperwork.Which of the following statements is true?

Accepted Answer

A) The contract for the additional $12,500 is valid and binding. 
B) The contract for the additional $12,500 is invalid because of duress. 
C) The contract was not valid because of duress, but the Hoffmans signed anyway - so there is a valid and enforceable agreement. 
D) none of the above 
A) The contract for the additional $12,500 is valid and binding. 
B) The contract for the additional $12,500 is invalid because of duress. 
C) The contract was not valid because of duress, but the Hoffmans signed anyway - so there is a valid and enforceable agreement. 
D) none of the above

Question 7

Substantial performance is available for all types of contracts.

Accepted Answer

A) True 
 B)False

Question 8

Which of the following statements would not be a basis for misrepresentation?

Accepted Answer

A) "This toothpaste is the best tasting around." 
B) "This house is built the way they used to build houses." 
C) "There is no merger pending for the company." 
D) All of the above are sufficient bases for misrepresentation. 
A) "This toothpaste is the best tasting around." 
B) "This house is built the way they used to build houses." 
C) "There is no merger pending for the company." 
D) All of the above are sufficient bases for misrepresentation.

Question 9

Angela,age 17,is injured in a car accident and receives $5,200 in medical treatment at the emergency room.The hospital sends a bill to Angela,who signed the admitting form in which she agreed to pay for the treatment.​
-Suppose that Angela turned 18 between the time of the accident and when she received the bill.Angela:

Accepted Answer

A) is a minor and need not pay the bills. 
B) is liable for the bill as a necessity. 
C) can rescind the agreement. 
D) none of the above 
A) is a minor and need not pay the bills. 
B) is liable for the bill as a necessity. 
C) can rescind the agreement. 
D) none of the above

Question 10

Alice,age 17,purchased a 2005 Kia auto at the Tempe Autoplex.After driving the vehicle for three months,Alice returned to the Autoplex for her money.She did not,however,have the Kia."It was stolen at school last week." Which of the following statements is true?

Accepted Answer

A) Alice may not rescind the agreement. 
B) Alice may rescind the agreement only if the stolen Kia is found. 
C) Alice may rescind the agreement regardless of whether she has the car. 
D) none of the above 
A) Alice may not rescind the agreement. 
B) Alice may rescind the agreement only if the stolen Kia is found. 
C) Alice may rescind the agreement regardless of whether she has the car. 
D) none of the above

Question 11

In a relationship of dependence,the failure to deal fairly can result in liability for the party controlling the contract term.

Accepted Answer

A) True 
 B)False

Question 12

A multi-million dollar contract between a manufacturer and a parts supplier provides for damages of $300 per day for late delivery is void as a penalty contract.

Accepted Answer

A) True 
 B)False

Question 13

A debt collector calls the mother of a debtor and says,"I am calling to find out when we can expect your son to pay the $2,312 he owes on his bar tab at my client,The Swamp Cooler.It has been six months and he has not made a payment." The debt collector:​

Accepted Answer

A) ​has not violated the FDCPA because more than six months have passed since the last payment was made. 
B) ​has not violated the FDCPA because notification of family members about the debt is not a breach of privacy under the act. 
C) has violated the FDCPA. 
D) has not violated the FDCPA because the debt collector has the creditor as a client. 
A) ​has not violated the FDCPA because more than six months have passed since the last payment was made. 
B) ​has not violated the FDCPA because notification of family members about the debt is not a breach of privacy under the act. 
C) has violated the FDCPA. 
D) has not violated the FDCPA because the debt collector has the creditor as a client.

Question 14

Silence,or the failure to disclose information,is not misrepresentation.

Accepted Answer

A) True 
 B)False

Question 15

Credit repair organizations are now subject to federal law and disclosure requirements.

Accepted Answer

A) True 
 B)False

Question 16

Paddock Pools constructed a swimming pool and deck for the Jensens' home.Paddock installed the wrong trim on the pool.It would cost $2800 to change the trim - one-fifth the total cost of the pool.The Jensens refuse to pay anything for the pool.Paddock's best defense is:

Accepted Answer

A) duress. 
B) substantial performance. 
C) mistake. 
D) failure of conditions. 
A) duress. 
B) substantial performance. 
C) mistake. 
D) failure of conditions.

Question 17

RaeAnn and Rick Telford purchased an existing home in a neighborhood of multi-million-dollar homes.After moving in,the Telfords learned that the home had been owned formerly by a couple that was indicted for drug trafficking.The home had been raided by DEA agents,and there had been a shoot-out before the couple was taken into custody.The couple's youngest child was killed in the house during the shoot-out.RaeAnn and Rick:

Accepted Answer

A) have no recourse if there is nothing physically wrong with the house. 
B) have a remedy of damages or rescission if this information was withheld from them. 
C) have no remedy because neither sellers nor brokers are required to disclose psychological issues with properties. 
D) none of the above 
A) have no recourse if there is nothing physically wrong with the house. 
B) have a remedy of damages or rescission if this information was withheld from them. 
C) have no remedy because neither sellers nor brokers are required to disclose psychological issues with properties. 
D) none of the above

Question 18

Chapter 11 bankruptcy is available to consumers with debts.

Accepted Answer

A) True 
 B)False

Question 19

Compensatory damage formulas are provided under the UCC.

Accepted Answer

A) True 
 B)False

Question 20

Ralph Deuschle owned an ice sculpture company.Ralph provides ice sculptures for private weddings,parties,and receptions.The Canasta Resort was a large hotel located near Ralph that was not satisfied with its current catering company's ice sculptures and its events manager liked Ralph's work.The events manager approached Ralph and indicated the Canasta would like to have an ongoing supply contract but that its needs would require Ralph to expand his business,both with additional space and 3 new employees.Ralph entered into a supply contract with the Canasta and the events manager told a lending officer at the bank where Ralph got his construction mortgage for the business expansion that the Canasta would be sending all of its business to Ralph.The Canasta then began to rethink its events focus and marketing and decided to cut back on ice sculptures.Ralph could not use the additional space and the three employees had to be laid off.The Canasta:

Accepted Answer

A) has no liability to Ralph for the downturn in amount of ice sculptures ordered if it did not guarantee a minimum amount to be purchased. 
B) may be liable to Ralph under a theory of a lack of good faith. 
C) is entitled to refocus its business and has not breached its contract. 
D) none of the above 
A) has no liability to Ralph for the downturn in amount of ice sculptures ordered if it did not guarantee a minimum amount to be purchased. 
B) may be liable to Ralph under a theory of a lack of good faith. 
C) is entitled to refocus its business and has not breached its contract. 
D) none of the above

There is no difference between assignments and delegation.

A minor who has received medical care can never be responsible for payment for those services.

The three-day-cooling-off period applies to all credit transactions.

An architect who fails to pay her annual license renewal fee will be unable to collect fees for work done until the renewal fee is paid.

Substantial performance is available for all types of contracts.

Which of the following statements would not be a basis for misrepresentation?

Alice,age 17,purchased a 2005 Kia auto at the Tempe Autoplex.After driving the vehicle for three months,Alice returned to the Autoplex for her money.She did not,however,have the Kia."It was stolen at school last week." Which of the following statements is true?

In a relationship of dependence,the failure to deal fairly can result in liability for the party controlling the contract term.

A multi-million dollar contract between a manufacturer and a parts supplier provides for damages of $300 per day for late delivery is void as a penalty contract.

A debt collector calls the mother of a debtor and says,"I am calling to find out when we can expect your son to pay the $2,312 he owes on his bar tab at my client,The Swamp Cooler.It has been six months and he has not made a payment." The debt collector:

Silence,or the failure to disclose information,is not misrepresentation.

Credit repair organizations are now subject to federal law and disclosure requirements.

Paddock Pools constructed a swimming pool and deck for the Jensens' home.Paddock installed the wrong trim on the pool.It would cost $2800 to change the trim - one-fifth the total cost of the pool.The Jensens refuse to pay anything for the pool.Paddock's best defense is:

Chapter 11 bankruptcy is available to consumers with debts.

Compensatory damage formulas are provided under the UCC.

Introduction to Law

Business Ethics and Social Responsibility

The Judicial System

Managing Disputes: Alternative Dispute Resolution and Litigation Strategies

Business and the Constitution

Administrative Law

International Law

Business Crime

Business Torts

Environmental Regulation and Sustainability

Contracts and Sales: Introduction and Formation

Product Advertising and Liability

Business Competition: Antitrust

Business and Intellectual Property Law

Management of Employee Conduct: Agency

Governance and Structure: Forms of Doing Business

Governance and Regulation: Securities Law

Management of Employee Welfare

Management: Employment Discrimination

Filters

Exam 12: Contracts and Sales: Performance,Remedies,and Collection

There is no difference between assignments and delegation.

A minor who has received medical care can never be responsible for payment for those services.

The three-day-cooling-off period applies to all credit transactions.

An architect who fails to pay her annual license renewal fee will be unable to collect fees for work done until the renewal fee is paid.

Substantial performance is available for all types of contracts.

Which of the following statements would not be a basis for misrepresentation?

Alice,age 17,purchased a 2005 Kia auto at the Tempe Autoplex.After driving the vehicle for three months,Alice returned to the Autoplex for her money.She did not,however,have the Kia."It was stolen at school last week." Which of the following statements is true?

In a relationship of dependence,the failure to deal fairly can result in liability for the party controlling the contract term.

A multi-million dollar contract between a manufacturer and a parts supplier provides for damages of $300 per day for late delivery is void as a penalty contract.

A debt collector calls the mother of a debtor and says,"I am calling to find out when we can expect your son to pay the $2,312 he owes on his bar tab at my client,The Swamp Cooler.It has been six months and he has not made a payment." The debt collector:​

Silence,or the failure to disclose information,is not misrepresentation.

Credit repair organizations are now subject to federal law and disclosure requirements.

Paddock Pools constructed a swimming pool and deck for the Jensens' home.Paddock installed the wrong trim on the pool.It would cost $2800 to change the trim - one-fifth the total cost of the pool.The Jensens refuse to pay anything for the pool.Paddock's best defense is:

Chapter 11 bankruptcy is available to consumers with debts.

Compensatory damage formulas are provided under the UCC.

Introduction to Law

Business Ethics and Social Responsibility

The Judicial System

Managing Disputes: Alternative Dispute Resolution and Litigation Strategies

Business and the Constitution

Administrative Law

International Law

Business Crime

Business Torts

Environmental Regulation and Sustainability

Contracts and Sales: Introduction and Formation

Product Advertising and Liability

Business Competition: Antitrust

Business and Intellectual Property Law

Management of Employee Conduct: Agency

Governance and Structure: Forms of Doing Business

Governance and Regulation: Securities Law

Management of Employee Welfare

Management: Employment Discrimination

Filters

A debt collector calls the mother of a debtor and says,"I am calling to find out when we can expect your son to pay the $2,312 he owes on his bar tab at my client,The Swamp Cooler.It has been six months and he has not made a payment." The debt collector: