Deck 15: Contracts and Intellectual Property Law

Question 1

Agreement is usually evidenced by which two events?

A) Offer and decision
B) Offer and agreement
C) Offer and acceptance
D) Offer and acknowledgment

Answer 1

C

Question 2

Failure of a party to a contract to perform the obligations assumed in the contract is called

A) lack of contractual capacity.
B) an illegal contract.
C) breach of contract.
D) fraud.

Answer 2

C

Question 3

Alfredia has a copyright on a book she wrote. Alfredia's patent is an example of which of the following?

A) Intellectual property
B) Real property
C) Public property
D) Contract property

Answer 3

A

Question 4

Kathleen and Julia exchange a promise for a promise. They have created which of the following?

A) An invalid verbal contract
B) A unilateral contract
C) A bilateral contract
D) A tort contract

Question 5

An assurance that one will or will not do something in the future is a(n)

A) agreement.
B) promise.
C) consideration.
D) prediction.

Question 6

Jack and Jill exchange a promise for an act. They have created which of the following?

A) An invalid verbal contract
B) A unilateral contract
C) A bilateral contract
D) A tort contract

Question 7

Matthew tells Jake that he will buy Jake's car for some money next month. Which of the following choices is correct?

A) Matthew and Jake have a bilateral contract.
B) No contract resulted.
C) Matthew and Jake have a unilateral contract.
D) None of these choices is correct.

Question 8

Simon has a patent on a new device he invented. Simon's patent is an example of which of the following?

A) Intellectual property
B) Real property
C) Public property
D) Contract property

Question 9

A breach of contract occurs when

A) a contract is not valid.
B) one party dies.
C) a party fails to perform a contract.
D) a court invalidates a contract.

Question 10

Mattie makes Alex an offer to sell Alex Mattie's car for $20,000. Alex can

A) accept the offer.
B) reject the offer.
C) offer to buy Mattie's car for $15,000.
D) All of these choices are correct.

Question 11

A is any agreement (based on a promise or an exchange of promises) that can be enforced in court.

A) breach of contract
B) contractual capacity
C) contract
D) consideration

Question 12

A bilateral contract involves which of the following?

A) The exchange of a promise for a promise
B) A private party and the government
C) The exchange of a promise for an act
D) None of these choices is correct.

Question 13

Roger gets bucked off of his $20,000 horse. As he picks himself up off the ground, he yells, "I'll sell this worthless horse for $100!" Carrie hands Roger $100 and tries to take the horse. Roger will not sell her the horse for $100, so Carrie wants to sue him for breach of contract. An attorney would likely advise Carrie that

A) she will easily win the case.
B) no contract was formed because Roger's offer was not serious.
C) no contract was formed because the horse is worth $20,000.
D) a contract was formed, but Carrie will have to pay the horse's true value if she wants to buy it.

Question 14

The requirements for a valid contract are

A) capacity, fraud, unconscionability, and legality.
B) acceptance, unconscionability, capacity, and legality.
C) agreement, consideration, impossibility, and fraud.
D) agreement, consideration, capacity, and legality.

Question 15

For an offer to be effective, the offeror must

A) have the intent to be bound by the offer.
B) be over the age of twenty-one.
C) be financially independent.
D) have the intent to be bound by the offer and be financially independent

Question 16

Which of the following statements is correct?

A) Paralegals are rarely involved with disputes involving contract and sales law.
B) Paralegals are often involved with disputes involving contract and sales law.
C) Paralegals are never involved with disputes involving contract and sales law.
D) There must be a paralegal involved with any dispute involving contract and sales law.

Question 17

A(n) is a promise or commitment to do or refrain from doing some specified thing in the future.

A) agreement
B) offer
C) acceptance
D) contract

Question 18

Most contracts are

A) bilateral.
B) unilateral.
C) unenforceable in court.
D) legal only if signed by a judge.

Question 19

The keeping of promises is dealt with by law.

A) property
B) contract
C) tort
D) criminal

Question 20

Patents, trademarks, and copyrights are examples of which of the following?

A) Intellectual property
B) Real property
C) Public property
D) Contract property

Question 21

A party's acceptance of an offer must be

A) unequivocal.
B) witnessed by a judge.
C) witnessed by an attorney.
D) witnessed by a notary public.

Question 22

is an offeree's notification to the offeror that the offeree agrees to be bound by the terms of the offer, or proposal to form a contract.

A) Agreement
B) Acceptance
C) Contract
D) Consideration

Question 23

Which of the following would not automatically terminate an offer?

A) One of the parties dies.
B) The specific subject matter of the offer is destroyed.
C) A new law makes the contract illegal.
D) One of the parties changes his or her mind.

Question 24

The threshold mental competence required by law for a party who enters into a contract to be bound by that contract is called

A) offer.
B) acceptance.
C) consideration.
D) contractual capacity.

Question 25

Under the doctrine of , a person who has reasonably and substantially relied on the promise of another may be able to obtain some measure of recovery.

A) the mailbox rule
B) the mirror image rule
C) promissory estoppel
D) fair contracts

Question 26

A(n) is something of value, such as money or the performance of an action not otherwise required, that is exchanged during the contract process.

A) offer
B) acceptance
C) consideration
D) legality

Question 27

For a binding contract to be created, consideration must be

A) legally sufficient.
B) validated by a court.
C) paid in cash.
D) legally sufficient and paid in cash.

Question 28

Bill makes Cynthia an offer to buy her car. Cynthia can

A) accept the offer.
B) reject the offer.
C) make a counteroffer.
D) accept the offer or reject the offer only.
E) accept the offer, reject the offer, or make a counteroffer.

Question 29

When an offeror withdraws the offer before it has been accepted, the offer has been

A) rebutted.
B) rescinded.
C) revoked.
D) rejected.

Question 30

Which of the following is true of an acceptance of an offer in contract law?

A) Once an offer is made, the offeree can accept or reject it.
B) An acceptance must be unequivocal.
C) An acceptance must be made on a timely basis.
D) An acceptance can be revoked.
E) An acceptance must be unequivocal, must be made on a timely basis, and can be revoked.

Question 31

The rule that the terms of the acceptance must be the same as the terms of the offer is known as which of the following?

A) The reflective rule
B) The mirror image rule
C) The mailbox rule
D) The matching rule

Question 32

In contract law, the terms of the offer must be accepted exactly as stated by the offeror and must be unequivocal. This is known as which of the following?

A) The original rule
B) The mailbox rule
C) The mirror image rule
D) The marginal rule

Question 33

The rule that if the offer states that it must be accepted by mail, the acceptance becomes valid the moment it is deposited in the mail (even if it is never received by the offeror) is known as which of the following?

A) The mirror image rule
B) The postal rule
C) The mailbox rule
D) The stationery rule

Question 34

Which of the following elements is not required to assert the doctrine of promissory estoppel?

A) There must be a clear and definite promise.
B) The promisee must justifiably rely on the promise.
C) Justice will be better served by enforcement of the promise.
D) None of these choices is correct.

Question 35

A legally sufficient consideration for a promise must be

A) legally detrimental to the promise.
B) legally beneficial to the promisor.
C) financially detrimental to both the promisee and promisor.
D) legally detrimental to the promisee or legally beneficial to the promisor.

Question 36

Which of the following is true of consideration?

A) It does not need to be exchanged.
B) It distinguishes a contract from a gift.
C) It is not required for a valid contract to be formed.
D) All of these choices are correct.

Question 37

Which of the following would automatically terminate an offer?

A) One of the parties dies.
B) The specific subject matter of the offer is destroyed.
C) A new law makes the contract illegal.
D) All of these choices are correct.

Question 38

A contract is distinguished from a gift by which of the following?

A) The requirement of consideration
B) The mirror image rule
C) The legally sufficient rule
D) The legally beneficial rule

Question 39

In order to assert the doctrine of promissory estoppel, which of the following elements is required?

A) There must be a clear and definite promise.
B) The promisee must justifiably rely on the promise.
C) Justice will be better served by enforcement of the promise.
D) All of these choices are correct.

Question 40

After an offeree rejects an offer, the offer is said to be

A) final.
B) terminated.
C) invalidated.
D) refuted.

Question 41

Contracts entered into by a minor are

A) disaffirmed.
B) breached.
C) voidable.
D) voided.

Question 42

In most cases, a minor who enters into a contract has the option of the contract.

A) disaffirming
B) discrediting
C) renouncing
D) None of these choices is correct.

Question 43

Under the doctrine of promissory estoppel, a contract may be enforced even though it is not supported by

A) consideration.
B) an agreement.
C) an acceptance.
D) a writing.

Question 44

Which of the following is a form of a mistake of fact?

A) A unilateral mistake
B) A bilateral mistake
C) A mutual mistake
D) All of these choices are correct.

Question 45

is the act of canceling, or nullifying, a contract.

A) Rescission
B) Invalidation
C) Rebuttal
D) Rejection

Question 46

A fact that is important to the subject matter of a contract is called a(n) fact.

A) unilateral
B) important
C) material
D) explicit

Question 47

Alice is sixteen years old when she enters into a contract with Eric, who is twenty-one years old, to sell her car to him for $10,000. Alice and Eric's contract is

A) disaffirmed.
B) breached.
C) voidable.
D) voided.

Question 48

Which of the following mistakes allows a contract to be avoided?

A) A mistake of fact
B) A mistake of quality
C) A mistake of value
D) None of these choices is correct.

Question 49

Once an offer has been communicated, which of the following is a step that the offeree can take?

A) Accept the offer
B) Reject the offer
C) Make a counteroffer
D) All of these choices are correct

Question 50

In general, the terms of the offer must be so that the parties and the court can determine the terms of the contract.

A) reasonably certain
B) unequivocal
C) specific
D) None of these choices is correct.

Question 51

Which rule provides that an acceptance of an offer takes effect at the time it is communicated via the mode expressly or impliedly authorized by the offeror, rather than at the time it is actually received by the offeror?

A) Acceptance rule
B) Mailbox rule
C) Mirror image rule
D) Offer rule

Question 52

Genuineness of assent may be lacking due to which of the following?

A) A mistake
B) Fraudulent misrepresentation
C) Undue influence
D) Duress
E) All of these choices are correct.

Question 53

Ray sells Michelle his baseball card collection for $100. Later, Ray looks up some of his cards on a baseball card website and finds out that his collection was really worth $500. Ray has made a mistake of

A) fact.
B) value.
C) payment.
D) sale.

Question 54

When using online contract forms, it is important to

A) make sure the client knows where you got the form.
B) research the contract requirements in your state to verify that you are using the appropriate form.
C) print two copies of every form.
D) use the economy print setting on your computer to save ink costs.

Question 55

A(n) is a meeting of the minds, and a requirement for a valid contract, which involves two distinct events.

A) acceptance
B) agreement
C) offer
D) breach

Question 56

Lack of genuineness of assent may not be used as a defense to a contract's enforceability due to

A) duress.
B) undue influence.
C) fraudulent misrepresentation.
D) None of these choices is correct.

Question 57

Jake is twelve years old when he enters into a contract with Germaine, who is twenty-five years old. Jake is

A) legally bound to the contract.
B) not legally bound to the contract.
C) legally bound to the contract until he turns eighteen.
D) legally bound to the contract until he turns twenty-one.

Question 58

A contract to do something that is prohibited by federal or state statutory law-such as the sale of a kidney to another person-fails to satisfy one of the four basic requirements for a valid contract, which is known as

A) agreement.
B) consideration.
C) capacity.
D) legality.

Question 59

Contractual capacity is the

A) legal ability or competence to enter into a contractual relationship.
B) legal requirement to enter into a contractual relationship.
C) maximum monetary consideration that may be paid in a contract.
D) minimum monetary consideration that may be paid in a contract.

Question 60

Jillian enters into a contract with Betty to sell Betty two pounds of marijuana. The sale of marijuana is illegal. Which of the following is true of the contract?

A) The contract is still valid.
B) The contract is void from the outset.
C) The contract is enforceable in some states.
D) The contract is unenforceable.
E) The contract is void from the outset and unenforceable.

Question 61

The state statute that specifies what types of contracts must be in writing (or be evidenced by a written document) is commonly referred to as the

A) Statute of Frauds.
B) Statute of Writing.
C) Statute of Contracts.
D) Statute of Forms.

Question 62

Article 2 of the UCC does not deal with the sale of

A) intangible property.
B) real estate.
C) services.
D) All of these choices are correct

Question 63

Parties may cancel a contract due to a mistake.

A) mutual
B) single
C) factual
D) material

Question 64

Contracts that cannot by their terms be performed within one year from the day after the date of formation are normally required to be in writing under which of the following?

A) The Statute of Frauds
B) The undue influence rule
C) The duress rule
D) The unconscionability rule

Question 65

Article 2 of the UCC deals with the sale of

A) goods.
B) real estate.
C) services.
D) All of these choices are correct

Question 66

Which of the following statements is true regarding duress?

A) Duress is a defense to the enforcement of a contract only.
B) Duress is a ground for rescission of a contract only.
C) Duress is both a defense to the enforcement of a contract and a ground for rescission of a contract.
D) None of these choices is correct.

Question 67

A contract of is a contract drafted by the dominant party and then presented to the other party on a "take-it-or-leave-it" basis.

A) undue influence
B) adhesion
C) fraudulent misrepresentation
D) mutual mistake

Question 68

If Sarah enters into a contract because Jane blackmails her, the contract is

A) voidable.
B) valid.
C) enforceable.
D) None of these choices is correct.

Question 69

When both of the parties are mistaken about the same material fact, a mistake has occurred.

A) fundamental
B) mutual
C) friendly
D) double

Question 70

When one party to a contract misrepresents a material fact to the other party, with the intention of deceiving the other party, and the other party justifiably relies on the misrepresentation, misrepresentation has occurred.

A) illegal
B) fraudulent
C) coerced
D) unjustified

Question 71

Fred takes care of Marlene, who is an elderly woman who lives by herself. If Fred unduly influences Marlene to enter into a contract, the contract is

A) voidable.
B) valid.
C) enforceable.
D) None of these choices is correct.

Question 72

Julia and Ashley are entering into a contract for Julia to sell Ashley some land. According to the Statute of Frauds, the contract

A) must have at least three witnesses.
B) must be in writing.
C) is not valid.
D) must be orally expressed before at least two witnesses.

Question 73

Amy voluntarily makes a foolish bargain with Kacy and overpays for a piece of land Kacy is selling. In this situation a court is likely to

A) intervene and make Kacy return some of the money.
B) not intervene.
C) intervene and make Kacy return all the money and Amy return the land.
D) None of these choices is correct.

Question 74

Promises made in consideration of marriage are normally required to be in writing under which of the following?

A) The Statute of Frauds
B) The undue influence rule
C) The duress rule
D) The unconscionability rule

Question 75

Contracts involving interests in land are normally required to be in writing under which of the following?

A) The Statute of Frauds
B) The undue influence rule
C) The duress rule
D) The unconscionability rule

Question 76

Sal buys a farm from her lifelong friend, Fred. She pays $12,000 per year for fifteen years. She trusts Fred, so she does not put the deal in writing. Ten years later, Fred sells the same property to Nell (on a written contract), who evicts Sal. Sal sues Fred. Why won't a court enforce the contract between Sal and Fred?

A) The Statute of Frauds
B) The undue influence rule
C) The duress rule
D) The unconscionability rule

Question 77

Contracts for the sale of goods are governed by which of the following?

A) The common law
B) Contract law
C) Article 2 of the Uniform Commercial Code (UCC)
D) The common law and contract law
E) None of these choices is correct.

Question 78

Forcing a party to do something, including entering into a contract, through fear created by threats is legally defined as

A) duress.
B) undue influence.
C) coercion.
D) fraudulent misrepresentation.

Question 79

Erin and Matt are writing their prenuptial agreements. According to the Statute of Frauds, the contract

A) must have at least three witnesses.
B) must be in writing.
C) is not valid.
D) must be orally expressed before at least two witnesses.

Question 80

Which of the following contracts must be in writing?

A) Contracts for sale of goods of $400 or more
B) Contracts for sale of goods of $100 or more
C) Contracts that cannot be performed in six months
D) Contracts that are secondary or collateral contracts