Question 1

Jill has been negotiating the purchase of a speedboat with Sandi for the last two weeks. Two days ago, she emailed Sandi, saying "I won't go any higher than $8,000 and that includes the trailer. Take it or leave it, but that's my final offer." Sandi sent an email the same day that said "I will accept $8,000, but not including the trailer." There is a contract between Jill and Sandi.

Accepted Answer

A) True 
 B)False  False

Question 2

Under the Electronic Commerce Act, acceptance occurs when the offeree sends the email.

Accepted Answer

A) True 
 B)False  True

Question 3

Which of the following is a requirement for a valid contract?

Accepted Answer

A)   Writing
B)   Fairness
C)   Implied
D)   Acceptance D

Question 4

In business relationships, the courts will presume that parties have an intention to enter into a contact.

Accepted Answer

A) True 
 B)False

Question 5

An offer is a willingness to form a contract.

Accepted Answer

A) True 
 B)False

Question 6

Important terms should be expressed in a contract.

Accepted Answer

A) True 
 B)False

Question 7

There are four (4) requirements to contract formation.

Accepted Answer

A) True 
 B)False

Question 8

There are no exceptions to the parties' ability to create any enforceable agreement they desire.

Accepted Answer

A) True 
 B)False

Question 9

All contracts must be in writing.

Accepted Answer

A) True 
 B)False

Question 10

James offered to sell the vehicle for $20,000 "offer to remains open until noon on Thursday, April 1, 2017." Which one of the following situations will not end the offer?

Accepted Answer

A)   An expiration of the time to accept before offeree accepts
B)   James sells the vehicle to another purchaser
C)   A counter-offer from the offeree
D)   James falls ill and suddenly dies

Question 11

Express terms are those terms not specifically negotiated by the parties but are implied in the contract.

Accepted Answer

A) True 
 B)False

Question 12

A contract is formed when there is a meeting of the minds.

Accepted Answer

A) True 
 B)False

Question 13

Electronic contracts are not required to be in a special format.

Accepted Answer

A) True 
 B)False

Question 14

Judges may add express terms to a contract to give meaning to the words in the contract.

Accepted Answer

A) True 
 B)False

Question 15

A gratuitous promise is:

Accepted Answer

A)   A legal obligation to do what is promised
B)   A promise where no legal obligation is created
C)   An arrangement that the courts will enforce
D)   A gift that creates contractual obligations

Question 16

The person receiving an offer is the offeror.

Accepted Answer

A) True 
 B)False

Question 17

Express terms are those terms negotiated specifically by the parties and specified in the contract.

Accepted Answer

A) True 
 B)False

Question 18

From a risk management perspective, contracts do not need to be in writing.

Accepted Answer

A) True 
 B)False

Question 19

Electronic commerce (E-commerce) legislation consists of:

Accepted Answer

A)   Laws specifying the regulations and restrictions for Internet communication between businesses
B)   Laws specifying the regulation of digital communication between businesses
C)   Laws specifying the time and place of an electronic contract formation
D)   Laws specifying the jurisdiction that will apply to an online contract dispute

Question 20

In business relationships, the courts will not presume that parties have an intention to enter into a contract.

Accepted Answer

A) True 
 B)False

Exam 5: Elements of Contracts, E-Commerce and Technology

Under the Electronic Commerce Act, acceptance occurs when the offeree sends the email.

Which of the following is a requirement for a valid contract?

In business relationships, the courts will presume that parties have an intention to enter into a contact.

An offer is a willingness to form a contract.

Important terms should be expressed in a contract.

There are four (4) requirements to contract formation.

There are no exceptions to the parties' ability to create any enforceable agreement they desire.

All contracts must be in writing.

James offered to sell the vehicle for $20,000 "offer to remains open until noon on Thursday, April 1, 2017." Which one of the following situations will not end the offer?

Express terms are those terms not specifically negotiated by the parties but are implied in the contract.

A contract is formed when there is a meeting of the minds.

Electronic contracts are not required to be in a special format.

Judges may add express terms to a contract to give meaning to the words in the contract.

A gratuitous promise is:

The person receiving an offer is the offeror.

Express terms are those terms negotiated specifically by the parties and specified in the contract.

From a risk management perspective, contracts do not need to be in writing.

Electronic commerce (E-commerce) legislation consists of:

In business relationships, the courts will not presume that parties have an intention to enter into a contract.