Exam 19: Introduction to Sales and Leases

The CISG governs only the formation of the contract of sales and the rights and obligations of the seller and buyer.It does not cover the validity of the contract or any of its provisions.

In determining whether a contract containing both a sale of goods and a service is a UCC contract or general contract,a majority of states follow the predominant purpose test.

In the Carter v.Tokai Financial Services,Inc.case,the agreement was found to:

"Goods" for purposes of the Code are essentially defined as tangible,movable,personal property.

The Code addresses the "battle of the forms" problem by focusing on intent of the parties.

A contract has an open price term if the agreement:

If a contract does not comply with the statute of frauds,it is void.

A "merchant" is defined as a person who:

The definition of "goods" in the UCC may include timber,minerals,growing crops,or a building.

The common law "mirror image" rule has been modified by the Code.

Who among the following is most likely not considered a merchant according to Article 2 of the UCC?

The purpose of Article 2 of the UCC is to modernize,clarify,simplify,and make uniform the law of sales.

Karen has agreed to buy Sara's car,but the two have not agreed on the price.When there is no agreement as to price in a contract for a sale of goods,what effect does it have on the contract?

Leases of personal property exceed $100 billion annually and are governed by Article 2A of the UCC.

In the case of Pittsley v.Houser,the court:

Discuss the similarities or possible differences between the parol evidence rule under the common law of contracts and the parol evidence rule found in Article 2.

Which of the following is true regarding unconscionability under the Code?

The UCC modifies the common law rule by requiring additional consideration for the modification of a contract.

Edie telephoned the office supply store and agreed to buy a dozen ink cartridges at $26 each.She then realized what a good buy this was and called the store with a request to modify the contract to read two dozen.What is the consequence?

A contract to purchase stocks and bonds is governed by Article 2 of the UCC.