Question 1

Ratification is the legal avoidance, or setting aside, of a contractual obligation.

Accepted Answer

A) True 
 B)False

Question 2

Emancipation is the release of a minor from a contract.

Accepted Answer

A) True 
 B)False

Question 3

Disaffirmance is the legal avoidance, or setting aside, of a contractual obligation.

Accepted Answer

A) True 
 B)False

Question 4

Jill, a minor, buys an Xbox from Kelly's Store, agreeing to pay the price in seven monthly installments. On the way home, Jill drops the Xbox and it breaks. The next day, she goes to Kelly's to return the Xbox. Can she cancel the installment agreement? If not why not? If so, are there any conditions?

Accepted Answer

Jill can cancel the agreement with Kelly

Question 5

Van, a minor, wants to return a set of skis that he bought from Winter Sports. He used-and wrecked-the skis. In a state in which a duty of restitution is imposed, Van most likely

Accepted Answer

A)  can return the skis "as is" and avoid further liability. 
B)  is not required to return the skis due to his or her minority. 
C)  must return the skis and pay for the damage. 
D)  cannot return the skis unless they can be fully restored. 
A)  can return the skis "as is" and avoid further liability. 
B)  is not required to return the skis due to his or her minority. 
C)  must return the skis and pay for the damage. 
D)  cannot return the skis unless they can be fully restored.

Question 6

Martin, a minor, inherits the rights to several patents. To make use of this property, Martin petitions a court to be treated as an adult for business purposes. If the court grants the request, Martin loses the right to

Accepted Answer

A)  negotiate business contracts. 
B)  engage in business contracts. 
C)  ratify business contracts. 
D)  disaffirm business contracts. 
A)  negotiate business contracts. 
B)  engage in business contracts. 
C)  ratify business contracts. 
D)  disaffirm business contracts.

Question 7

If intoxication is purely voluntary, the intoxicated person's contracts are not voidable.

Accepted Answer

A) True 
 B)False

Question 8

A contract entered into by an intoxicated person can be voidable.

Accepted Answer

A) True 
 B)False

Question 9

Chuck, a minor, signs a contract with Denise, an adult. The contract is voidable at the option of

Accepted Answer

A)  neither party. 
B)  Chuck only. 
C)  either party. 
D)  Denise only. 
A)  neither party. 
B)  Chuck only. 
C)  either party. 
D)  Denise only.

Question 10

Blanche, a minor, enters into a contract to buy two all-season passes from Chalet Mountain Resort. On reaching the age of majority, the contract will be made enforceable if Blanche

Accepted Answer

A)  ratifies it. 
B)  disaffirms it. 
C)  nullifies it. 
D)  voids it. 
A)  ratifies it. 
B)  disaffirms it. 
C)  nullifies it. 
D)  voids it.

Question 11

Caitlyn is a minor. As a minor, Caitlyn

Accepted Answer

A)  is not usually legally bound by a contract. 
B)  has the right to avoid liability under a valid contract. 
C)  has the capacity to enter into a valid contract. 
D)  all of the choices. 
A)  is not usually legally bound by a contract. 
B)  has the right to avoid liability under a valid contract. 
C)  has the capacity to enter into a valid contract. 
D)  all of the choices.

Question 12

The contracts entered into by a minor are voidable at the option of that minor.

Accepted Answer

A) True 
 B)False

Question 13

Only a guardian can enter into a binding legal duty on an adjudged mentally incompetent person's behalf.

Accepted Answer

A) True 
 B)False

Question 14

Donald is a minor. He can enter into any contract an adult can, provided

Accepted Answer

A)  the adult is willing to enter into contracts with minors. 
B)  Donald is willing to disaffirm or nullify the contract. 
C)  the contract is not one prohibited by law for minors. 
D)  an adult is willing to ratify the contract. 
A)  the adult is willing to enter into contracts with minors. 
B)  Donald is willing to disaffirm or nullify the contract. 
C)  the contract is not one prohibited by law for minors. 
D)  an adult is willing to ratify the contract.

Question 15

Ordinarily, minors can disaffirm contracts even when they have misrepresented their age.

Accepted Answer

A) True 
 B)False

Question 16

Tracy is fifteen. In most states, for contractual purposes, Tracy would be considered a minor until she is

Accepted Answer

A)  sixteen. 
B)  seventeen. 
C)  eighteen. 
D)  twenty-one. 
A)  sixteen. 
B)  seventeen. 
C)  eighteen. 
D)  twenty-one.

Question 17

If a person was intoxicated but understood the legal consequences of entering into a contract, the contract is enforceable.

Accepted Answer

A) True 
 B)False

Question 18

The purpose of the right to disaffirm a contract is to

Accepted Answer

A)  recognize the legitimate interests of those who contract with minors. 
B)  protect minors. 
C)  restore persons to positions they held before contracting. 
D)  ratify a contract and make it enforceable. 
A)  recognize the legitimate interests of those who contract with minors. 
B)  protect minors. 
C)  restore persons to positions they held before contracting. 
D)  ratify a contract and make it enforceable.

Question 19

Quint enters into a contract to buy a quarter horse from Rancho Mirage. Quint can disaffirm the contract

Accepted Answer

A)  only by words. 
B)  only by conduct. 
C)  by words or conduct. 
D)  none of the choices. 
A)  only by words. 
B)  only by conduct. 
C)  by words or conduct. 
D)  none of the choices.

Question 20

A minor may petition a court to be treated as an adult for business purposes.

Accepted Answer

A) True 
 B)False

Exam 11: Capacity

Ratification is the legal avoidance, or setting aside, of a contractual obligation.

Emancipation is the release of a minor from a contract.

Disaffirmance is the legal avoidance, or setting aside, of a contractual obligation.

Van, a minor, wants to return a set of skis that he bought from Winter Sports. He used-and wrecked-the skis. In a state in which a duty of restitution is imposed, Van most likely

Martin, a minor, inherits the rights to several patents. To make use of this property, Martin petitions a court to be treated as an adult for business purposes. If the court grants the request, Martin loses the right to

If intoxication is purely voluntary, the intoxicated person's contracts are not voidable.

A contract entered into by an intoxicated person can be voidable.

Chuck, a minor, signs a contract with Denise, an adult. The contract is voidable at the option of

Blanche, a minor, enters into a contract to buy two all-season passes from Chalet Mountain Resort. On reaching the age of majority, the contract will be made enforceable if Blanche

Caitlyn is a minor. As a minor, Caitlyn

The contracts entered into by a minor are voidable at the option of that minor.

Only a guardian can enter into a binding legal duty on an adjudged mentally incompetent person's behalf.

Donald is a minor. He can enter into any contract an adult can, provided

Ordinarily, minors can disaffirm contracts even when they have misrepresented their age.

Tracy is fifteen. In most states, for contractual purposes, Tracy would be considered a minor until she is

If a person was intoxicated but understood the legal consequences of entering into a contract, the contract is enforceable.

The purpose of the right to disaffirm a contract is to

Quint enters into a contract to buy a quarter horse from Rancho Mirage. Quint can disaffirm the contract

A minor may petition a court to be treated as an adult for business purposes.

Introduction to the Law

Ethics in Business

The Courts and Our Legal System

Constitutional Law

Business Torts

Intellectual Property

Business Crimes

Introduction to Contracts

Offer and Acceptance

Consideration

The Legality of Agreements

Voluntary Consent

Written Contracts

Third Party Rights

Termination and Remedies

Introduction to Sales and Lease Contracts

Title and Risk of Loss

Performance and Breach

Warranties and Product Liability

Consumer Protection

The Essentials of Negotiability

Negotiable Instruments: Transfer and Liability

Banking in the Digital Age

Agency Relationships

Employment, Immigration, and Labor Law

Employment Discrimination

Types of Business Organizations

Formation and Ownership of a Corporation

Management of a Corporation

Combining and Dissolving a Corporation

Credit and Security

Mortgages

Bankruptcy

Insurance

Personal Property

Bailments

Real Property

Landlord and Tenant Law

Wills and Trusts

Administrative Law

Antitrust Law

International and Space Law

Filters