Question 1

The purpose of the bill of lading is to:

Accepted Answer

A)  Transfer title of the goods to the freight forwarder. 
B)  Prevent shipping delays. 
C)  Enable the seller to transfer title of the goods to the buyer and receive payment. 
D)  None of the above. 
A)  Transfer title of the goods to the freight forwarder. 
B)  Prevent shipping delays. 
C)  Enable the seller to transfer title of the goods to the buyer and receive payment. 
D)  None of the above.

Question 2

When a party takes a negotiable document as a good faith purchaser,it generally acquires even greater rights in the document than the one from whom it had been negotiated.

Accepted Answer

A) True 
 B)False

Question 3

Air waybills are governed by the Uniform Commercial Code.

Accepted Answer

A) True 
 B)False

Question 4

The law governing the negotiability of bills of lading is more fully developed than law governing the negotiability of commercial paper.

Accepted Answer

A) True 
 B)False

Question 5

As decided in the case presented in the text,Biddel Brothers v.E.Clemens Horst Co.,under a C.I.F.sales contract:

Accepted Answer

A)  The buyer has no right to inspect the goods before payment but is obligated to pay upon the presentation of the proper documents. 
B)  The buyer has the right to inspect the goods prior to paying for them upon the presentation of the proper documents. 
C)  The buyer has no right to inspect the goods and no obligation to pay upon the presentation of the proper documents. 
D)  The buyer has the right to inspect the goods and no obligation to pay upon the presentation of the proper documents. 
A)  The buyer has no right to inspect the goods before payment but is obligated to pay upon the presentation of the proper documents. 
B)  The buyer has the right to inspect the goods prior to paying for them upon the presentation of the proper documents. 
C)  The buyer has no right to inspect the goods and no obligation to pay upon the presentation of the proper documents. 
D)  The buyer has the right to inspect the goods and no obligation to pay upon the presentation of the proper documents.

Question 6

Draft a bill of lading.

Accepted Answer

Bill of Lading

Date: [Date of issuance]

Question 7

B is known in the trade as a trader and merchant of soybeans.A entrusts a load of soybeans to B for storage in B's warehouse.Secretly,B delivers the goods to an ocean carrier in return for a bill of lading.B then sells the document covering a shipment of soybeans to C,who has purchased soybeans from B in the past.C pays for the document through its bank.B absconds with the money.In this case:

Accepted Answer

A)  B is guilty of a crime under the Uniform Commercial Code. 
B)  C is probably not a good faith purchaser. 
C)  C takes paramount title. 
D)  B and the carrier are liable for a conspiracy to commit fraud. 
A)  B is guilty of a crime under the Uniform Commercial Code. 
B)  C is probably not a good faith purchaser. 
C)  C takes paramount title. 
D)  B and the carrier are liable for a conspiracy to commit fraud.

Question 8

Trade terms are used in all international contracts for the sale of goods.

Accepted Answer

A) True 
 B)False

Question 9

Prepare an invoice that contemplates any number of the following:
 ocean freight and insurance costs,ground transportation costs,port charges,customs fees,forwarder's fees,and communications expenses.

Accepted Answer

To prepare an invoice that contemplates

Question 10

Bills of lading are a twentieth-century convention of trade practice.

Accepted Answer

A) True 
 B)False

Question 11

The Incoterms definitions will automatically become a part of a contract for the sale of goods,governed by the UN Convention for the International Sale of Goods.

Accepted Answer

A) True 
 B)False

Question 12

Most buyers in an international sale are now willing to pay cash in advance in order to reduce credit risk.

Accepted Answer

A) True 
 B)False

Question 13

In addition to the bill of lading,other documents that may be required for shipment include all but which of the following:

Accepted Answer

A)  Inspection certificate. 
B)  Consular invoice. 
C)  Commercial invoice. 
D)  All of the above. 
A)  Inspection certificate. 
B)  Consular invoice. 
C)  Commercial invoice. 
D)  All of the above.

Question 14

Under Incoterms,a sale on terms "DDP" represents the minimum responsibility of the seller and the maximum responsibility of the buyer.

Accepted Answer

A) True 
 B)False

The purpose of the bill of lading is to:

When a party takes a negotiable document as a good faith purchaser,it generally acquires even greater rights in the document than the one from whom it had been negotiated.

Air waybills are governed by the Uniform Commercial Code.

The law governing the negotiability of bills of lading is more fully developed than law governing the negotiability of commercial paper.

As decided in the case presented in the text,Biddel Brothers v.E.Clemens Horst Co.,under a C.I.F.sales contract:

Draft a bill of lading.

Trade terms are used in all international contracts for the sale of goods.

Prepare an invoice that contemplates any number of the following: ocean freight and insurance costs,ground transportation costs,port charges,customs fees,forwarder's fees,and communications expenses.

Bills of lading are a twentieth-century convention of trade practice.

The Incoterms definitions will automatically become a part of a contract for the sale of goods,governed by the UN Convention for the International Sale of Goods.

Most buyers in an international sale are now willing to pay cash in advance in order to reduce credit risk.

In addition to the bill of lading,other documents that may be required for shipment include all but which of the following:

Under Incoterms,a sale on terms "DDP" represents the minimum responsibility of the seller and the maximum responsibility of the buyer.

Introduction to International Business

International Law and the Worlds Legal Systems

Resolving International Commercial Disputes

Sales Contracts and Excuses for Nonperformance

The Carriage of Goods and the Liability of Air and Sea Carriers

Bank Collections, Trade Finance, and Letters of Credit

National Lawmaking Powers and the Regulation of Ustrade

Gatt Law and the World Trade Organization: Basic Principles

Laws Governing Access to Foreign Markets

Regulating Import Competition and Unfair Trade

Imports, Customs, and Tariff Law

The Regulation of Exports

North American Free Trade Law

The European Union and Other Regional Trade Areas

International Marketing Law: Sales Representatives, Advertising, and Ethical Issues

Licensing Agreements and the Protection of Intellectual Property Rights

Takings and National Controls on Foreign Direct Investment

Labor and Employment Discrimination Law

Environmental Law

Regulating the Competitive Environment

Filters

Exam 5: The Documentary Sale and Terms of Trade

The purpose of the bill of lading is to:

When a party takes a negotiable document as a good faith purchaser,it generally acquires even greater rights in the document than the one from whom it had been negotiated.

Air waybills are governed by the Uniform Commercial Code.

The law governing the negotiability of bills of lading is more fully developed than law governing the negotiability of commercial paper.

As decided in the case presented in the text,Biddel Brothers v.E.Clemens Horst Co.,under a C.I.F.sales contract:

Draft a bill of lading.

Trade terms are used in all international contracts for the sale of goods.

Prepare an invoice that contemplates any number of the following: ocean freight and insurance costs,ground transportation costs,port charges,customs fees,forwarder's fees,and communications expenses.

Bills of lading are a twentieth-century convention of trade practice.

The Incoterms definitions will automatically become a part of a contract for the sale of goods,governed by the UN Convention for the International Sale of Goods.

Most buyers in an international sale are now willing to pay cash in advance in order to reduce credit risk.

In addition to the bill of lading,other documents that may be required for shipment include all but which of the following:

Under Incoterms,a sale on terms "DDP" represents the minimum responsibility of the seller and the maximum responsibility of the buyer.

Introduction to International Business

International Law and the Worlds Legal Systems

Resolving International Commercial Disputes

Sales Contracts and Excuses for Nonperformance

The Carriage of Goods and the Liability of Air and Sea Carriers

Bank Collections, Trade Finance, and Letters of Credit

National Lawmaking Powers and the Regulation of Ustrade

Gatt Law and the World Trade Organization: Basic Principles

Laws Governing Access to Foreign Markets

Regulating Import Competition and Unfair Trade

Imports, Customs, and Tariff Law

The Regulation of Exports

North American Free Trade Law

The European Union and Other Regional Trade Areas

International Marketing Law: Sales Representatives, Advertising, and Ethical Issues

Licensing Agreements and the Protection of Intellectual Property Rights

Takings and National Controls on Foreign Direct Investment

Labor and Employment Discrimination Law

Environmental Law

Regulating the Competitive Environment

Filters