Question 1

Most business contracts are bilateral because they are enforceable before the other party performs because

Accepted Answer

A)  One party does not have to wait to see if the other person will breach the agreement before taking action. 
B)  Unilateral contracts are illegal. 
C)  It makes lawsuits much quicker. 
D)  The Uniform Commercial Code states that bilateral contracts are preferred in the business world.

Question 2

Attorneys who play an active role in helping the business person translate the important terms of the contract are called

Accepted Answer

A)  Esquire 
B)  Barristers 
C)  Strategically qualified attorneys 
D)  Monopolistic attorneys

Question 3

Bekah and Connor are newly engaged love birds starting to plan their wedding. The first item of business is finding a reception hall for the reception. At Goodhue Hall, the manager hands them the following contract to read and sign if they want to reserve the hall:A. Be it here known that the party of the first party shall herein be referred to as, Bekah and Connor., the rentors Furthermore, the party of the second part shall henceforth be referred to as Goodhue Hall, the lessors, have agreed on this date, May 14^th, 2019 to be bound by the following covenants and restrictions.B. WHEREAS, Goodhue Hall wishes to enter into a contract with Bekah and Connor for rental of Goodhue Hall on December 31^st, 2020.C. Hall: means the front room, both bathrooms, the kitchen, front lobby and small dressing room. It specifically excludes the second floor rooms and the basement. Tables and Chairs: means the 8' round tables and white padded chairs.D. Goodhue Hall agrees to rent the hall and 15 table s and 100 chairs on December 31^st, 2020 from 10:00 am until 11:00pm for $5000.00 payable in one lump sum no later than six months before the event.E. The attached drawing describes the layout for the tables and chairs for the day of the rental.For each section of the proposed contract, label and define the terms and structure. Additionally, comment on the writing style of A and explain if this is the appropriate structure of a contract.

Accepted Answer

The answer of Bekah and Connor are newly engaged love...

Question 4

In the case of United States v. Apple, the court determined that the Sherman Antitrust Act

Accepted Answer

A)  Made all restraints of trade illegal 
B)  Made no restraints of trade illegal 
C)  Made only unreasonable restraints of trade illegal 
D)  Made only unduly burdening restraints of trade illegal

Question 5

Gelissa receives a car as a graduation gift from her grandma. Two days after her grandma gives her the car it breaks down and costs Gelissa a substantial amount of money to repair. Can Gelissa sue her grandma for damages from a breach of contract as her grandma gave her a defective car?

Accepted Answer

A)  Yes, as long as the repairs were reasonable. 
B)  No, a contract was never formed as it lacked a key element of a contract, consideration. 
C)  No, common law dictates one can never sue grandma. 
D)  Yes, as long as she can prove that her grandma was negligent in purchasing the car.

Question 6

Amaya is a new attorney who is focusing on business matters especially contract negotiations. When she is hired by Holshauser Industries to negotiate all of their product purchase contracts for their car detailing business, as a strategically qualified attorney, she should do all the following except,

Accepted Answer

A)  Use strong-arm techniques to exploit maximum advantage over opposing interests 
B)  Translate legal terminology to explain to clients 
C)  Analyze the "big picture" to determine the effect 
D)  Draft customized contracts to fit the specific needs of the client

Question 7

Oral contracts, also sometimes known as a "handshake" contract are not preferred in the business environment because

Accepted Answer

A)  They are not actually contracts. 
B)  Most businesses prefer written contracts to minimize risk and uncertainty as it can be difficult to prove the terms of the contract without a writing. 
C)  Oral contracts tend to be more expensive. 
D)  The court, when pressed, will not uphold the terms of the contract.

Question 8

A complete and well-written contract should contain all of the following except

Accepted Answer

A)  Definitions 
B)  Clauses 
C)  Termination conditions 
D)  Philosophy

Question 9

Becker Corporation hires a social media influencer, Bekah, to use their product and post about it on social media. This is an example of which type of an agreement?

Accepted Answer

A)  Employment 
B)  Marketing 
C)  Sales 
D)  Digital

Question 10

To fund a new building project, Kuhl Corporation enters into a contract with Bank of Highlander to lend them the money. This is an example of which type of agreement?

Accepted Answer

A)  Employment 
B)  Service 
C)  Invention 
D)  Loan agreement

Question 11

This ancient Babylonian document covered contract law.

Accepted Answer

A)  Code of Hammurabi 
B)  Magna Carta 
C)  The Sumerian Code 
D)  Laws of Eshnunna

Question 12

John is hired for a long term project where he is tasked with the job of increasing exposure of millennials to the power of shopping local rather than buying online or from big business. His contract specifically states what areas of mass communication he must use, the specific demographics of the target audience and the end goals desired. It further states that he will use an expense account to cover the costs of travel and expenses related to his job. John's contract is an example of what type of contract?

Accepted Answer

A)  Oral 
B)  Verbal 
C)  Transactional 
D)  Relational

Question 13

NASA hires Connor, an Aerospace Engineer, to research and to develop a wing design to increase the speed of rockets in outer space. This is an example of what type of agreement?

Accepted Answer

A)  Employment 
B)  Invention assignment 
C)  Patent 
D)  Intellectual property agreement

Question 14

In Walker v. Carter, the court determined that contracts that cannot possibly be completed in less than a year

Accepted Answer

A)  Must be in writing to be enforceable 
B)  Can be verbal, but recommended that a writing makes the terms easier to determine if in writing 
C)  Must be enforced as a verbal agreement after testimony by both sides 
D)  Stated that a verbal contract is enforceable as long as it is fair to both sides

Question 15

The court determined Jimmy John's non-competition clause was all the following except

Accepted Answer

A)  Highly broad and overreaching 
B)  Completely reasonable 
C)  Unfairly targeted low wage worker 
D)  Prevented sandwich makers and delivery drivers from employment elsewhere

Question 16

Long complex sentences embedded with legal terminology, hidden clauses, and that uses obscure terms is called

Accepted Answer

A)  Statutory analysis 
B)  Plain-English 
C)  Legalese 
D)  Academic contracting

Exam 6: Contracts: Overview, Definition, Categories, and Source of Law