Question 1

Which of the following factors would NOT be a factor in determining the size of the homestead exemption in California?

Accepted Answer

A) Whether the homeowner was over 65. 
B) Whether the homeowner was married. 
C) Whether the homeowner was disabled. 
D) Whether the homeowner was single. 
E) Whether the homeowner had purchased his home more than 10 years ago. 
A) Whether the homeowner was over 65. 
B) Whether the homeowner was married. 
C) Whether the homeowner was disabled. 
D) Whether the homeowner was single. 
E) Whether the homeowner had purchased his home more than 10 years ago. E

Question 2

Which of the following was the result on appeal in the case nugget Bates County Redi-Mix Inc.v.Windler,in which a supplier of concrete sought a mechanic's lien for the cost of concrete although the concrete had to be removed and replaced based upon improper installation by a subcontractor unconnected with the plaintiff?

Accepted Answer

A) The concrete supplier was granted a mechanic's lien for only 75% of the cost of the concrete. 
B) The concrete supplier was granted a mechanic's lien for only 25% of the cost of the concrete. 
C) The concrete supplier lost because the concrete had to be replaced. 
D) The concrete supplier was granted a mechanic's lien for only 50% of the cost of the concrete. 
E) The concrete supplier was granted a mechanic's lien largely because it was not responsible for the improper installation. 
A) The concrete supplier was granted a mechanic's lien for only 75% of the cost of the concrete. 
B) The concrete supplier was granted a mechanic's lien for only 25% of the cost of the concrete. 
C) The concrete supplier lost because the concrete had to be replaced. 
D) The concrete supplier was granted a mechanic's lien for only 50% of the cost of the concrete. 
E) The concrete supplier was granted a mechanic's lien largely because it was not responsible for the improper installation. E

Question 3

Which of the following is the lien of a judgment that arises when a motion for a new trial has been denied?

Accepted Answer

A) Attorney's lien 
B) Possessory lien 
C) Consummate lien 
D) Common law lien 
E) Denial lien 
A) Attorney's lien 
B) Possessory lien 
C) Consummate lien 
D) Common law lien 
E) Denial lien C

Question 4

Discuss the rights of a surety and a guarantor including rights when multiple co-sureties or guarantors owe the debtor's obligation to a creditor.

Accepted Answer

If a surety or guarantor pays the debtor

Question 5

If a guarantor's oral promise to pay a debt is not in writing,which of the following is true?

Accepted Answer

A) The guarantor may raise the statute-of-frauds defense. 
B) The guarantor may raise the UCC defense if a sale of a good is involved;otherwise,no defenses are available to the debtor. 
C) There are no defenses available because there is no legal requirement that a guarantor's oral promise be in writing. 
D) The guarantor may raise the consolidation defense. 
E) The guarantor may raise the absence of writing defense. 
A) The guarantor may raise the statute-of-frauds defense. 
B) The guarantor may raise the UCC defense if a sale of a good is involved;otherwise,no defenses are available to the debtor. 
C) There are no defenses available because there is no legal requirement that a guarantor's oral promise be in writing. 
D) The guarantor may raise the consolidation defense. 
E) The guarantor may raise the absence of writing defense.

Question 6

If you take your expensive watch to a jeweler for repairs and after costly repairs are made you discover you cannot pay,what type of lien,if any,may be placed on the watch?

Accepted Answer

A) An artisan's lien 
B) A mechanic's lien 
C) A non-consensual lien 
D) The jeweler cannot put a lien on the property 
E) A consensual lien 
A) An artisan's lien 
B) A mechanic's lien 
C) A non-consensual lien 
D) The jeweler cannot put a lien on the property 
E) A consensual lien

Question 7

Which of the following is true regarding wage garnishment?

Accepted Answer

A) Both federal and state laws govern wage garnishment. 
B) Garnishment is governed by contractual provisions not by state law,federal law,or local ordinance. 
C) Wage garnishment is governed only by state law. 
D) Wage garnishment is governed only by federal law. 
E) Wage garnishment is governed only by local ordinance. 
A) Both federal and state laws govern wage garnishment. 
B) Garnishment is governed by contractual provisions not by state law,federal law,or local ordinance. 
C) Wage garnishment is governed only by state law. 
D) Wage garnishment is governed only by federal law. 
E) Wage garnishment is governed only by local ordinance.

Question 8

Which of the following statements accurately describes judicial liens?

Accepted Answer

A) Writ of execution is a type of judicial lien,but garnishments and attachments are not. 
B) Attachments,writ of execution,and garnishment are types of judicial liens. 
C) Garnishments and writ of execution are types of judicial liens,but attachments are not. 
D) Attachments are a type of judicial lien,but garnishments and writ of execution are not. 
E) Writ of execution and attachments are types of judicial liens,but garnishments are not. 
A) Writ of execution is a type of judicial lien,but garnishments and attachments are not. 
B) Attachments,writ of execution,and garnishment are types of judicial liens. 
C) Garnishments and writ of execution are types of judicial liens,but attachments are not. 
D) Attachments are a type of judicial lien,but garnishments and writ of execution are not. 
E) Writ of execution and attachments are types of judicial liens,but garnishments are not.

Question 9

Allison's bankruptcy on any debt owed by Sean has what effect,if any?

Accepted Answer

A) Sean is released only if the bank failed to notify him of the bankruptcy in sufficient time to allow him to make a proper claim against Allison in bankruptcy court. 
B) Sean is released only if Allison failed to give him sufficient notice of her plans to file bankruptcy. 
C) Sean is not released and will be liable for the loan amounts. 
D) Sean is released only if the bank failed to take sufficient steps to sue Allison and require payment of the loan before she filed for bankruptcy. 
E) Sean is released in the same manner that Allison is released. 
A) Sean is released only if the bank failed to notify him of the bankruptcy in sufficient time to allow him to make a proper claim against Allison in bankruptcy court. 
B) Sean is released only if Allison failed to give him sufficient notice of her plans to file bankruptcy. 
C) Sean is not released and will be liable for the loan amounts. 
D) Sean is released only if the bank failed to take sufficient steps to sue Allison and require payment of the loan before she filed for bankruptcy. 
E) Sean is released in the same manner that Allison is released.

Question 10

A surety is secondarily liable to the creditor for a debtor's debt.

Accepted Answer

A) True 
 B)False

Question 11

A statutory lien is a lien created solely through statute,regardless of whether the debtor wishes the lien to be created.

Accepted Answer

A) True 
 B)False

Question 12

Matilda did not pay Tomas for services Tomas provided.Tomas went to court and sued to have Matilda's wages garnished.What type of lien was Tomas seeking?

Accepted Answer

A) Judicial 
B) Mechanic's 
C) Contempt 
D) True 
E) Artisan's 
A) Judicial 
B) Mechanic's 
C) Contempt 
D) True 
E) Artisan's

Question 13

Which of the following is NOT true when a judge orders a writ of execution?

Accepted Answer

A) If a debtor refuses to designate property for seizure and sale,the law officer can take any non-exempt property. 
B) Some states allow a debtor to designate which property will be seized under the writ of execution. 
C) The writ of execution allows seizure of a debtor's property only after the entry of judgment in the underlying case. 
D) A local law officer can seize and sell a debtor's non-exempt real or personal property. 
E) Any and all of a debtor's property can be seized to satisfy an obligation. 
A) If a debtor refuses to designate property for seizure and sale,the law officer can take any non-exempt property. 
B) Some states allow a debtor to designate which property will be seized under the writ of execution. 
C) The writ of execution allows seizure of a debtor's property only after the entry of judgment in the underlying case. 
D) A local law officer can seize and sell a debtor's non-exempt real or personal property. 
E) Any and all of a debtor's property can be seized to satisfy an obligation.

Question 14

A claim to property by implication of law rather than statute is which kind of lien?

Accepted Answer

A) Common law lien 
B) Broker's lien 
C) Consummate lien 
D) Possessory lien 
E) Vendor's lien 
A) Common law lien 
B) Broker's lien 
C) Consummate lien 
D) Possessory lien 
E) Vendor's lien

Question 15

Which of the following was the result in the Case Opener in which the plaintiffs claimed that a mortgage foreclosure was wrongful because the foreclosure proceedings did not reveal the true secured party who had purchased the plaintiffs' loan from the original lender?

Accepted Answer

A) That the foreclosure was wrongful because the loan should never have been transferred in the first place. 
B) That while the identity of the secured party should have been disclosed initially in foreclosure documents,the plaintiffs were not prejudiced by that omission;and the correct secured party could be substituted in the proceedings. 
C) That the foreclosure was wrongful because the proper secured party was not identified. 
D) That the defendant rightfully foreclosed because the party who instituted foreclosure proceedings had the right to service the loan. 
E) That the defendant rightfully foreclosed because the plaintiffs were in default on the loan and had no right to know the identity of the true secured party. 
A) That the foreclosure was wrongful because the loan should never have been transferred in the first place. 
B) That while the identity of the secured party should have been disclosed initially in foreclosure documents,the plaintiffs were not prejudiced by that omission;and the correct secured party could be substituted in the proceedings. 
C) That the foreclosure was wrongful because the proper secured party was not identified. 
D) That the defendant rightfully foreclosed because the party who instituted foreclosure proceedings had the right to service the loan. 
E) That the defendant rightfully foreclosed because the plaintiffs were in default on the loan and had no right to know the identity of the true secured party.

Question 16

A guaranty is the same thing as a suretyship.

Accepted Answer

A) True 
 B)False

Question 17

If you take your expensive watch to a jeweler for repairs and after costly repairs are made you discover you cannot pay,what options are available to the jeweler?

Accepted Answer

A) To keep and eventually sell the watch unless debts are repaid 
B) To return the watch to you and seek an artisan's lien 
C) To keep the watch until debt is paid,but never to sell the watch. 
D) To return the watch to you and seek a mechanic's lien 
E) To return the watch and sue as a secured creditor 
A) To keep and eventually sell the watch unless debts are repaid 
B) To return the watch to you and seek an artisan's lien 
C) To keep the watch until debt is paid,but never to sell the watch. 
D) To return the watch to you and seek a mechanic's lien 
E) To return the watch and sue as a secured creditor

Question 18

What is the amount of the homestead exemption?

Accepted Answer

A) $10,000 
B) $100,000 
C) $25,000 
D) $50,000 
E) It varies from state to state 
A) $10,000 
B) $100,000 
C) $25,000 
D) $50,000 
E) It varies from state to state

Question 19

What happens if an exemption filed in court by a debtor is limited to a certain amount of money?

Accepted Answer

A) The value of the exempt property is determined based on the original purchase price. 
B) The debtor will lose his entire exemption if the property is valued over the designated amount. 
C) An appraiser assesses the value of the property claimed by the debtor as an exemption. 
D) The creditor has the burden of proving the value of the exempt property. 
E) The debtor has the burden of proving the value of the exempt property. 
A) The value of the exempt property is determined based on the original purchase price. 
B) The debtor will lose his entire exemption if the property is valued over the designated amount. 
C) An appraiser assesses the value of the property claimed by the debtor as an exemption. 
D) The creditor has the burden of proving the value of the exempt property. 
E) The debtor has the burden of proving the value of the exempt property.

Question 20

Which of the following is a claim to property in which the lienholder has the right to be in possession of the property until the debt is paid?

Accepted Answer

A) Possessory lien 
B) Common law lien 
C) Consummate lien 
D) Attorney's lien 
E) Denial lien 
A) Possessory lien 
B) Common law lien 
C) Consummate lien 
D) Attorney's lien 
E) Denial lien

Exam 31: Other Creditors Remedies and Suretyship

Which of the following factors would NOT be a factor in determining the size of the homestead exemption in California?

Which of the following is the lien of a judgment that arises when a motion for a new trial has been denied?

Discuss the rights of a surety and a guarantor including rights when multiple co-sureties or guarantors owe the debtor's obligation to a creditor.

If a guarantor's oral promise to pay a debt is not in writing,which of the following is true?

If you take your expensive watch to a jeweler for repairs and after costly repairs are made you discover you cannot pay,what type of lien,if any,may be placed on the watch?

Which of the following is true regarding wage garnishment?

Which of the following statements accurately describes judicial liens?

Allison's bankruptcy on any debt owed by Sean has what effect,if any?

A surety is secondarily liable to the creditor for a debtor's debt.

A statutory lien is a lien created solely through statute,regardless of whether the debtor wishes the lien to be created.

Matilda did not pay Tomas for services Tomas provided.Tomas went to court and sued to have Matilda's wages garnished.What type of lien was Tomas seeking?

Which of the following is NOT true when a judge orders a writ of execution?

A claim to property by implication of law rather than statute is which kind of lien?

Which of the following was the result in the Case Opener in which the plaintiffs claimed that a mortgage foreclosure was wrongful because the foreclosure proceedings did not reveal the true secured party who had purchased the plaintiffs' loan from the original lender?

A guaranty is the same thing as a suretyship.

If you take your expensive watch to a jeweler for repairs and after costly repairs are made you discover you cannot pay,what options are available to the jeweler?

What is the amount of the homestead exemption?

What happens if an exemption filed in court by a debtor is limited to a certain amount of money?

Which of the following is a claim to property in which the lienholder has the right to be in possession of the property until the debt is paid?

An Introduction to Dynamic Business Law

Business Ethics

The Uslegal System

Alternative Dispute Resolution

Constitutional Principles

International and Comparative Law

Crime and the Business Community

Tort Law

Negligence and Strict Liability

Product Liability

Liability of Accountants and Other Professionals

Intellectual Property

Introduction to Contracts

Agreement

Consideration

Capacity and Legality

Legal Assent

Contracts in Writing

Third-Party Rights to Contracts

Discharge and Remedies

Introduction to Sales and Lease Contracts

Title,risk of Loss,and Insurable Interest

Performance and Obligations Under Sales and Leases

Remedies for Breach of Sales and Lease Contracts

Warranties

Negotiable Instruments: Negotiability and Transferability

Negotiation, holder in Due Course, and Defenses

Liability, defenses, and Discharge

Checks and Electronic Fund Transfers

Secured Transactions

Bankruptcy and Reorganization

Agency Formation and Duties

Liability to Third Parties and Termination

Forms of Business Organization

Partnerships: Nature, formation, and Operation

Partnerships: Termination and Limited Partnerships

Corporations: Formation and Financing

Corporations: Directors, officers, and Shareholders

Corporations: Mergers, consolidations, terminations

Corporations: Securities and Investor Protection

Employment and Labor Law

Employment Discrimination

Administrative Law

Consumer Law

Environmental Law

Antitrust Law

The Nature of Property, personal Property, and Bailments

Real Property

Landlord-Tenant Law

Insurance Law

Wills and Trusts

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