Deck 16: Sales of Personal Property

Question 1

How are sales contracts handled when terms are missing?

A)If a sales contract does not state the price of goods that will be sold to the buyer, the contract is considered invalid.
B)If the price term is not expressly stated, it will be held to be the reasonable price for the same goods in the market.
C)When a contract includes the supply of both services and goods, the contract is considered to be a contract for the sale of goods only if the terms expressly state it is subject to the UCC.
D)If parties indicate that the price of goods must be fixed at a later date, and no price is thus fixed, the goods must be supplied at whatever price the seller sets.

Answer 1

B

Question 2

Which of the following statements is true of the United Nations Convention on Contracts for the International Sale of Goods (CISG)?

A)The convention applies to contracts where the buyer and seller have places of business in different states of the same country.
B)The convention covers contracts between two parties even if their operations are in countries that have not adopted the convention.
C)The convention extensively covers personal consumer transactions in addition to business-to-business situations.
D)The convention only covers contracts between two parties if their operations are in different countries that have adopted the convention.

Answer 2

D

Question 3

In order for a sale to have taken place, the purchased goods need to be delivered to the buyer immediately.

Answer 3

False

Question 4

What is a bill of sale? What purpose does it serve? ​

Question 5

When a contract to sell is signed by two parties, a sale is said to have taken place.

Question 6

Title transfers at the same time in a sale and in a contract to sell.

Question 7

Which of the following is true of identified goods?

A)They are a type of existing goods.
B)They are goods in the designing stage.
C)They are not yet existing.
D)Identified goods refer to goods that are yet to be manufactured by their seller. ​

Question 8

Which of the following statements is true of illegal sales?

A)If a sale is divisible with a legal and illegal part, then neither part is enforceable by the law.
B)An indivisible sale with an illegal part makes the entire sale illegal.
C)If a sale involves several separate items but it is a lump-sum sale, then the sale is considered divisible.
D)If a party is completely innocent and has entered into an illegal sale, the court will not intervene to aid the party.

Question 9

Sara visited Ben's, a famous designer jewelry store, to buy herself a necklace. She browsed through the store's product catalogue and chose a particular model of diamond necklace. After she chose it, the manager at Ben's sent an order to the manufacturer to make the necklace. Which of the following statements is true at this point in the scenario?

A)The necklace is an identified good.
B)Ben's holds the title to the diamond necklace.
C)Only a contract to sell has been made between Sara and Ben's.
D)The title to the necklace will pass to Sara as soon as the necklace is made.

Question 10

The consideration in a sales contract is known as the price.

Question 11

The sale of goods constitutes the largest number of contracts formed in the country's economic system. ​

Question 12

Which of the following acts govern the sales of movable personal property? ​

A)The Uniform Trade Secrets Act
B)The Uniform Consumer Leases
C)The Uniform Consumer Credit Code
D)The Uniform Commercial Code

Question 13

As per the UCC's definition of sale, in which of the following transactions has a sale taken place?

A)A sublets an apartment for the summer from B.
B)A pays B to repair his car.
C)A buys a spare USB charger for his phone.
D)A purchases the digital license to new software for his computer.

Question 14

In order to be the subject of a sale, goods must be existing.

Question 15

A bill of sale cannot serve to prove ownership of a good.

Question 16

The difference between a sale and a contract to sell is that:

A)a sale involves an immediate transfer of title from one party to another while a contract to sell does not.
B)a sale always requires the price to be paid up front by the seller while a contract does not.
C)a contract to sell involves the immediate transfer of title from one party to another while a sale does not.
D)a contract to sell involves the immediate transfer of cash to the seller while a sale does not.

Question 17

Land is generally considered as intangible personal property.

Question 18

The term "movable personal property" as used in the Uniform Commercial Code (UCC), does not apply to real property or intangible property.

Question 19

The United Nations Convention on Contracts for the International Sale of Goods (CISG)does not apply to personal consumer transactions.

Question 20

The consideration in a sales contract is must always be expressly stated as money or money's worth.