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Test Bank for Essentials of Contract Law, 2nd Edition Chapter 1-10

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TEST BANK QUESTIONS Essentials of Contract Law, 2nd Edition CHAPTER 1

Step One: Establishing the Method of Dispute Resolution, Selecting the Venue, and Determining the Applicable Law in the Event of a Dispute

True/False Indicate whether the statement is true or false. An answer must be all True to be True. 1.

T

F

The parties can decide at the time of contracting that in the event of a dispute, they will arbitrate rather than litigate the dispute.

2.

T

F

Once arbitration is initiated, private mediation becomes unavailable.

3.

T

F

In arbitration, the jury decides the questions of fact and the arbitrator decides the issues of law.

4.

T

F

Contracting parties can decide to mediate either at the time of contracting or after a dispute has arisen.

5.

T

F

Litigation is the preferred method of dispute resolution.

6.

T

F

In mediation, the neutral third party resolves the dispute for the parties.

7.

T

F

A mediated agreement is based on the law and not on the needs and interests of the parties.

8.

T

F

An arbitration award is based on the law and not on the needs and interests of the parties.

9.

T

F

Mediation is the method of dispute resolution where the parties attempt to resolve their own disputes.

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