Question 1

Parol evidence generally is admissible to explain:

Accepted Answer

A) ambiguous terms. 
B) why signatures are missing. 
C) why a contract was not performed. 
D) implied terms. 
A) ambiguous terms. 
B) why signatures are missing. 
C) why a contract was not performed. 
D) implied terms.

Question 2

A writing that satisfies the requirement of a writing under the statute of frauds could be evidenced by:

Accepted Answer

A) a note. 
B) a memorandum. 
C) a contract. 
D) all of the above. 
A) a note. 
B) a memorandum. 
C) a contract. 
D) all of the above.

Question 3

Because many oral contracts are legally enforceable,it is a good business practice in the preliminary stages of discussions to stipulate that no binding agreement is intended to be formed until a written contract is prepared and signed by the parties.

Accepted Answer

A) True 
 B)False

Question 4

The parol evidence rule does not apply to changes made after the signing of the contract.

Accepted Answer

A) True 
 B)False

Question 5

Under the majority view,a contract that does not satisfy the statute of frauds is not enforceable.

Accepted Answer

A) True 
 B)False

Question 6

The Uniform Commercial Code contains a statute of frauds rule relating to sales of personal property,specifically:

Accepted Answer

A) goods. 
B) chattel paper. 
C) real property. 
D) none of the above. 
A) goods. 
B) chattel paper. 
C) real property. 
D) none of the above.

Question 7

Details of performance of a contract not expressly stated in a contract will often be implied by the court.

Accepted Answer

A) True 
 B)False

Question 8

Bart was a self-made millionaire who had earned his fortune by dedicated hard work.Bart had worked so hard that he never had developed much of a social life.Bart met Linda and fell in love with her.When Bart proposed to Linda,she told him that she needed time before making such an important decision.Pressing her for a favorable response,Bart telephoned Linda and promised her $100,000 if she would marry him.Linda then accepted the proposal.
Bart contracted with Quick Builders for the construction of a home Bart intended to move into with Linda after their marriage.Construction by Quick was not very quick because Quick was not paying subcontractors the sums that they were owed.They,in turn,were not completing their work.To expedite matters,Bart called the subcontractors and assured them that Bart would pay any sums that Quick Builders did not pay if they would complete the construction.
Bart and Linda married and the subcontractors completed the work.Quick Builders did not pay the subcontractors in full.Bart failed to pay Linda the $100,000.Both Linda and the subcontractors sued Bart.Discuss the probable outcome of the lawsuits.

Accepted Answer

Linda's lawsuit will be unsuccessful bec

Question 9

Customs and trade usage can override the express provisions of a contract.

Accepted Answer

A) True 
 B)False

Question 10

An oral contract can be enforced when it relates to:

Accepted Answer

A) the purchase of a television set for $200. 
B) the sale of an interest in land for $400. 
C) managing a factory for five years. 
D) a promise to answer for the debt of another. 
A) the purchase of a television set for $200. 
B) the sale of an interest in land for $400. 
C) managing a factory for five years. 
D) a promise to answer for the debt of another.

Question 11

An oral contract containing a promise by an executor to pay estate debts from estate funds is:

Accepted Answer

A) binding. 
B) voidable by the executor or administrator. 
C) enforceable against the executor only if the executor signs written proof of the agreement. 
D) enforceable against the other contracting party only if that party signs a written agreement. 
A) binding. 
B) voidable by the executor or administrator. 
C) enforceable against the executor only if the executor signs written proof of the agreement. 
D) enforceable against the other contracting party only if that party signs a written agreement.

Question 12

When a contract falls within the statute of frauds,the signatures of both parties must be shown to the court.

Accepted Answer

A) True 
 B)False

Question 13

When the main purpose of the promisor's promise to pay the debt of another is to benefit the promisor,the statute of frauds is not applicable,and the oral promise to pay the debt is binding.

Accepted Answer

A) True 
 B)False

Question 14

Under the statute of frauds,an oral contract must be completed within one year after performance begins.

Accepted Answer

A) True 
 B)False

Question 15

The standard statute of frauds:

Accepted Answer

A) requires full disclosure in the case of consumer sales on credit. 
B) requires a seller of real estate to obtain a broker's license. 
C) specifies the punishment of perjury. 
D) requires that a contract for the sale of land be evidenced by a writing. 
A) requires full disclosure in the case of consumer sales on credit. 
B) requires a seller of real estate to obtain a broker's license. 
C) specifies the punishment of perjury. 
D) requires that a contract for the sale of land be evidenced by a writing.

Question 16

A promise to pay an attorney a fee owed by a third person can be enforced without a writing.

Accepted Answer

A) True 
 B)False

Question 17

The statute of frauds applies to promises to answer for another party's debt,but does not apply to a promise to answer for another party's default.

Accepted Answer

A) True 
 B)False

Question 18

The parol evidence rule is based on the theory that any oral agreement was abandoned when the contact was written.

Accepted Answer

A) True 
 B)False

Question 19

A promise to grant a mortgage on real property does not require written proof because it is not a transfer of land.

Accepted Answer

A) True 
 B)False

Question 20

An oral agreement to supply a line of credit for two (2)years cannot be enforced because of the statute of frauds.

Accepted Answer

A) True 
 B)False

Exam 17: Writing, electronic Forms, and Interpretation of Contracts

Parol evidence generally is admissible to explain:

A writing that satisfies the requirement of a writing under the statute of frauds could be evidenced by:

Because many oral contracts are legally enforceable,it is a good business practice in the preliminary stages of discussions to stipulate that no binding agreement is intended to be formed until a written contract is prepared and signed by the parties.

The parol evidence rule does not apply to changes made after the signing of the contract.

Under the majority view,a contract that does not satisfy the statute of frauds is not enforceable.

The Uniform Commercial Code contains a statute of frauds rule relating to sales of personal property,specifically:

Details of performance of a contract not expressly stated in a contract will often be implied by the court.

Customs and trade usage can override the express provisions of a contract.

An oral contract can be enforced when it relates to:

An oral contract containing a promise by an executor to pay estate debts from estate funds is:

When a contract falls within the statute of frauds,the signatures of both parties must be shown to the court.

When the main purpose of the promisor's promise to pay the debt of another is to benefit the promisor,the statute of frauds is not applicable,and the oral promise to pay the debt is binding.

Under the statute of frauds,an oral contract must be completed within one year after performance begins.

The standard statute of frauds:

A promise to pay an attorney a fee owed by a third person can be enforced without a writing.

The statute of frauds applies to promises to answer for another party's debt,but does not apply to a promise to answer for another party's default.

The parol evidence rule is based on the theory that any oral agreement was abandoned when the contact was written.

A promise to grant a mortgage on real property does not require written proof because it is not a transfer of land.

An oral agreement to supply a line of credit for two (2)years cannot be enforced because of the statute of frauds.

The Nature and Sources of Law

The Court System and Dispute Resolution

Business Ethics, social Forces, and the Law

The Constitution As the Foundation of the Legal Environment

Government Regulation of Competition and Prices

Administrative Agencies

The Legal Environment of International Trade

Crimes

Torts

Intellectual Property Rights

Cyberlaw

Nature and Classes of Contracts: Contracting on the Internet

Formation of Contracts: Offer and Acceptance

Capacity and Genuine Assent

Consideration

Legality and Public Policy

Third Persons and Contracts

Discharge of Contracts

Breach of Contract and Remedies

Personal Property and Bailments

Legal Aspects of Supply Chain Management

Nature and Form of Sales

Title and Risk of Loss

Product Liability: Warranties and Torts

Obligations and Performance

Remedies for Breach of Sales Contracts

Kinds of Instruments, parties, and Negotiability

Transfers of Negotiable Instruments and Warranties of Parties

Liability of the Parties Under Negotiable Instruments

Checks and Funds Transfers

Nature of the Debtor-Creditor Relationship

Consumer Protection

Secured Transactions in Personal Property

Bankruptcy

Insurance

Agency

Third Persons in Agency

Regulation of Employment

Equal Employment Opportunity Law

Types of Business Organizations

Partnerships

LPs, LLCs, and LLPs

Corporate Formation

Shareholder Rights in Corporations

Securities Regulation

Accountants Liability and Malpractice

Management of Corporations

Real Property

Environmental Law and Land Use Controls

Leases

Decedents Estates and Trusts

Filters