Contracts and Sales Law Exam Practice Tests
Course Introduction
Contracts and Sales Law explores the fundamental principles governing legally binding agreements and the sale of goods. The course covers contract formation, enforceability, performance, breach, and remedies, as well as the application of the Uniform Commercial Code (UCC) to sales transactions. Students examine topics such as offer and acceptance, consideration, capacity, and the impact of fraud, duress, and unconscionability. The course also discusses warranties, risk allocation, remedies for non-performance, and the rights and obligations of buyers and sellers. Through case analysis and practical scenarios, students gain a solid understanding of how contract and sales law apply to both personal and commercial contexts.
Recommended Textbook
Dynamic Business Law 4th Edition by Nancy
K. Kubasek
Available Study Resources on Quizplus
52 Chapters
4658 Verified Questions
4658 Flashcards
Source URL: https://quizplus.com/study-set/3756
Page 2
Chapter 1: An Introduction to Dynamic Business Law
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74806
Sample Questions
Q1) Business law consists of the enforceable rules of conduct that govern commercial relationships.
A)True
B)False
Answer: True
Q2) What type of law are municipal ordinances?
A)Executive orders
B)Statutes
C)Administrative law
D)Local ordinances
E)Common law
Answer: B
Q3) When a state supreme court issues a binding ruling on a matter of law,who must follow the precedent set by the state supreme court?
A)Lower courts within the same state
B)The U.S.Congress
C)State legislatures
D)The United States Supreme Court
E)All lower courts in the United States
Answer: A
To view all questions and flashcards with answers, click on the resource link above. Page 3
Chapter 2: Business Ethics
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74807
Sample Questions
Q1) The community in which a firm operates would not be considered a stakeholder of the firm.
A)True
B)False
Answer: False
Q2) What is a reason why the principle of deontology may be difficult to apply?
A)People disagree about the ethics of care.
B)People disagree about what duties we owe to one another,whether consequences are positive or negative,and about the ethics of care.
C)People disagree about what duties we owe to one another and which duties are more important.
D)People disagree about what duties we owe to one another and also whether consequences are positive or negative.
E)People disagree about whether consequences are positive or negative.
Answer: C
Q3) One form of consequentialism is utilitarianism.
A)True
B)False
Answer: True
To view all questions and flashcards with answers, click on the resource link above.
Page 4
Chapter 3: The Uslegal System
Available Study Resources on Quizplus for this Chatper
89 Verified Questions
89 Flashcards
Source URL: https://quizplus.com/quiz/74808
Sample Questions
Q1) A defendant uses a[n] _ when her or his answer admits that the facts contained in the complaint are accurate but also includes additional facts that justify the defendant's actions and provide a legally sound reason to deny relief to the plaintiff.
A)Secondary answer
B)Affirmative defense
C)Pleading defense
D)Personam answer
E)Formal answer
Answer: B
Q2) The federal court system has exclusive jurisdiction over ________.
A)Admiralty,bankruptcy,and federal copyright cases
B)Bankruptcy cases only
C)Federal copyright cases only
D)The federal court system has no exclusive jurisdiction
E)Admiralty cases only
Answer: A
To view all questions and flashcards with answers, click on the resource link above. Page 5
Chapter 4: Alternative Dispute Resolution
Available Study Resources on Quizplus for this Chatper
89 Verified Questions
89 Flashcards
Source URL: https://quizplus.com/quiz/74809
Sample Questions
Q1) Which of the following is true regarding areas in which arbitration is used?
A)Arbitration is used in medical malpractice cases,environmental disputes,and insurance liability claim disputes,but not in commercial contract disputes because those disputes are governed by the UCC.
B)Arbitration is used in medical malpractice cases,commercial contract disputes,and insurance liability claim disputes,but not in environmental disputes because those disputes are governed strictly by federal law.
C)Arbitration is used in employment,medical malpractice cases,environmental disputes,commercial contract disputes,and insurance liability claims.
D)Arbitration is used in medical malpractice cases,environmental disputes,and commercial contract disputes,but not in insurance liability claim disputes because those claims are governed strictly by state regulatory law.
E)Arbitration is used in environmental disputes,commercial contract disputes,and insurance liability claim disputes,but not in medical malpractice cases because those cases are governed strictly by state statutory law and also state common law on negligence.
Q2) How are arbitrations similar and dissimilar to a court trial?
To view all questions and flashcards with answers, click on the resource link above.
Page 6
Chapter 5: Constitutional Principles
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74810
Sample Questions
Q1) Why must federal legislation that affects business be based on an expressed constitutional grant of authority?
A)Because it is a custom.
B)Because President Lincoln issued an executive order to that effect.
C)Because the U.S.Congress passed a law to that effect.
D)Because President Washington issued an executive order to that effect.
E)Because the federal government has only those powers granted to it by the Constitution.
Q2) What does protection against "double jeopardy" mean?
A)The government may impose a double sentence on a repeat offender in order to protect the public.
B)The government must show that at least two people were injured by the defendant in order to justify trying the defendant twice for the same crime.
C)The government cannot try a person more than once for the same crime.
D)The government cannot try a person more than twice for the same crime.
E)The government must have double proof to prosecute a person twice for the same crime.
Q3) What is the system of checks and balances,and how does it work?
Q4) Explain "dormant commerce clause" as a concept.
To view all questions and flashcards with answers, click on the resource link above. Page 7
Chapter 6: International and Comparative Law
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74811
Sample Questions
Q1) Does an Illinois court have specific personal jurisdiction over DroneTek?
A)Yes,because the D2000 was shipped to Illinois.
B)No,because DroneTek has not purposefully availed itself of the protections of the Illinois forum.
C)Yes,if the value of Reymond's claim is over $50,000.
D)No,because Illinois has general personal jurisdiction over DroneTek.
E)Yes,because the D2000 entered the stream of commerce.
Q2) The terms international law and comparative law do not mean the same thing.
A)True
B)False
Q3) If Yoshe decides to proceed as Nora proposes,their arrangement would be a[n] .nternational law?
A)Affiliator-affiliatee arrangement
B)Joint venture
C)Franchisee-franchisor arrangement
D)Licensing agreement
E)Subsidiary agreement
Q4) Define tariffs and how they may be calculated.Additionally,define a nontariff barrier and list and define three types of non-tariff barriers.
To view all questions and flashcards with answers, click on the resource link above. Page 8
Chapter 7: Crime and the Business Community
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74812
Sample Questions
Q1) A defendant who argues that commission of a crime was necessary to prevent a more severe crime from occurring is relying upon the defense of .
A)Necessity
B)Inescapable action
C)Justifiable use of force
D)Duress
E)Entrapment
Q2) Under what theory,if any,could the President of Wild Music be held liable for Delilah's actions?
A)Absolute liability
B)Mens Rea
C)Responsible corporate officer doctrine,if he could have prevented the crime
D)Strict liability
E)None
Q3) A corporation cannot be considered a criminal under common law because it is not an actual person and,thus,does not have a mind.
A)True
B)False
Q4) What elements are necessary to establish bribery of a public official?
To view all questions and flashcards with answers, click on the resource link above. Page 9
Chapter 8: Tort Law
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74813
Sample Questions
Q1) What law gives immunity to providers of interactive computer services for liability they might otherwise incur because of material disseminated by them but created by others?
A)The Internet Communications Act of 2000.
B)The Internet Communications Protection Act of 1998.
C)The Interactive Computer Services Protection Act of 2004.
D)The Blog Protection Act of 2001.
E)The Communications Decency Act of 1996.
Q2) Which of the following is true regarding awards of punitive damages in the U.S.?
A)Awards of punitive damages in the U.S.are very similar to awards of punitive damages under the Canadian judicial system.
B)The Supreme Court ruled that the issue of punitive damages is for the jury and will not be disturbed on appeal,regardless of the ratio of punitive damages to compensatory damages.
C)A ratio of punitive damages to compensatory damages greater than 9 to 1 violates due process.
D)It is not always easy to predict what a court will do regarding punitive damages in any given case.
E)Punitive damages may not be awarded in excess of $3 million dollars.
To view all questions and flashcards with answers, click on the resource link above.
Page 10
Chapter 9: Negligence and Strict Liability
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74814
Sample Questions
Q1) Which statement about negligence in Germany is true?
A)It focuses only on unconscious negligence.
B)Courts distinguish between conscious and unconscious negligence with defendants who have engaged in only conscious negligence being found not guilty.
C)Both mental and physical capabilities are taken into account in determining whether a defendant is negligent.
D)It is the same as the law of negligence in the United States.
E)It focuses only on conscious negligence.
Q2) Which of the following is liability without fault?
A)Homeowner liability.
B)Assumption of the risk.
C)Storekeeper liability.
D)Negligence.
E)Strict liability.
Q3) A defendant must be more than 25% at fault before the plaintiff can recover,according to the pure comparative negligence defense,
A)True
B)False
Q4) Identify and explain the elements of negligence.
To view all questions and flashcards with answers, click on the resource link above. Page 11
Chapter 10: Product Liability
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74815
Sample Questions
Q1) A producer of razor blades need not warn consumers that a razor blade may cut someone.
A)True
B)False
Q2) Which of the following is not a factor that a trial court may find helpful when balancing a product's utility against the risk the product creates,as set forth in the text from the Sperry-New Holland v.Prestage case?
A)the availability of a substitute product that would meet the same need and not be as unsafe
B)the manufacturer's ability to eliminate the unsafe character of the product without impairing its usefulness or making it too expensive to maintain its utility
C)the usefulness and desirability of the product
D)the product's design,look and feel
E)the product's safety aspects
Q3) The lack of a feasible way to make a safer product prevents liability based upon an alleged defective product as a matter of law.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Chapter 11: Liability of Accountants and Other Professionals
Available Study Resources on Quizplus for this Chatper
91 Verified Questions
91 Flashcards
Source URL: https://quizplus.com/quiz/74816
Sample Questions
Q1) Under most professional indemnity insurance policies,which of the following must be true in order for a claim to be covered?
A)A policyholder must be insured at the time the claim arose or at the time the claim is filed.
B)A policyholder must be insured at the time the claim arose,but does not need to be insured at the time the claim is filed.
C)A policyholder must be insured at the time the claim is filed,but does not need to be insured at the time the claim arose.
D)A policyholder need only show evidence of current payment of policy premiums.
E)A policyholder must be insured at the time the claim arose and at the time the claim is filed.
Q2) Plaintiffs have been successful in recent years bringing fraud suits against accountants under the Racketeer Influenced and Corrupt Organizations Act. A)True B)False
Q3) What must a plaintiff show in order to establish a violation of Section 20a)of the Securities Exchange Act?
To view all questions and flashcards with answers, click on the resource link above.
Page 13
Chapter 12: Intellectual Property
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74817
Sample Questions
Q1) As long as copies are used only for educational purposes,a teacher cannot be held liable for copyright infringement under the Fair Use Doctrine
A)True
B)False
Q2) The organization responsible for registering domain names on the Internet is Network Solutions,Inc. ,which is funded by the National Science Foundation.
A)True
B)False
Q3) Which of the following is an example of a product developing secondary meaning?
A)A company has illegally misappropriated a trademark and has used it in second place to identify a product.
B)Customers hear of the term through a secondary source such as media advertising.
C)A company has agreed to only use a trademark secondarily after the primary user has abandoned it.
D)Customers identify a certain color as identifying a company's product.
E)A product has secondary meaning in the minds of consumers as to usefulness.
To view all questions and flashcards with answers, click on the resource link above.
14
Chapter 13: Introduction to Contracts
Available Study Resources on Quizplus for this Chatper
89 Verified Questions
89 Flashcards
Source URL: https://quizplus.com/quiz/74818
Sample Questions
Q1) In Baum v.Helget Gas Products,Inc. ,what was the outcome of the handwritten notes that were claimed to comprise an employment contract?
A)Handwritten notes can constitute a unilateral contract only.
B)Handwritten notes can comprise certain types of contracts,but not an employment contract.
C)Handwritten notes are too informal to comprise an employment contract.
D)Handwritten notes can be considered an enforceable employment contract.
E)Handwritten notes can be part of an employment contract,if a formal contract is subsequently executed.
Q2) Generally,when determining whether a contract exists the intent of the parties is not relevant;rather,what matters is how they represented their intent through their actions and words.
A)Unilateral
B)Comprehensive
C)Considered
D)Objective
E)Subjective
Q3) Define a bilateral contract and a unilateral contract,and give an example of each.
To view all questions and flashcards with answers, click on the resource link above.
15
Chapter 14: Agreement
Available Study Resources on Quizplus for this Chatper
89 Verified Questions
89 Flashcards
Source URL: https://quizplus.com/quiz/74819
Sample Questions
Q1) Which of the following is not a required element of a valid offer?
A)Reasonably definite terms.
B)Communication to the offeree.
C)A written document setting forth offer terms.
D)Intent by the offeror to be bound by an agreement.
E)Serious intent by the offeror.
Q2) An offeror has no right to revoke an offer before receiving a reply.
A)True
B)False
Q3) Which doctrine may courts use to estop,or prevent,an offeror from revoking an offer based on a party's taking steps in reasonable reliance on an offer?
A)Promissory estoppel
B)True to form
C)Consideration reliance
D)Ethical reasoning
E)Contract enforcement
Q4) It is always easy to know when acceptance has occurred.
A)True
B)False
Q5) List the elements of an offer under the common law.
To view all questions and flashcards with answers, click on the resource link above. Page 16
Chapter 15: Consideration
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74820
Sample Questions
Q1) Can Joe successfully sue Timmy for the rest of the money owed?
A)Yes,because the car which Joe accepted was worth less than the debt owed.
B)Yes,because the debt is Unliquidated debt.
C)No but Joe can sue Jennifer for selling Timmy a car with inadequate consideration.
D)Yes,because the debt is a liquidated debt.
E)No,because there is an exception to the rule regarding unliquidated debt when the debtor offers different performance.
Q2) Was Timmy's debt to Joe liquidated or Unliquidated debt after Timmy bought the car and subsequently decided it was worth less than what he had borrowed to pay for it?
A)Liquidated debt because the debt was not supported by consideration.
B)Unliquidated debt because the debtor offered different performance.
C)Liquidated debt because there was no dispute that he owed money or how much.
D)Unliquidated debt because there was disagreement about the car's value.
E)Unliquidated .debt because there as a dispute over how much was owed.
Q3) Past consideration generally qualifies as consideration.
A)True
B)False
Q4) What is the preexisting duty rule?
To view all questions and flashcards with answers, click on the resource link above. Page 17
Chapter 16: Capacity and Legality
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74821
Sample Questions
Q1) Which of the following are contracts that contain multiple parts which can each be performed separately and for which separate consideration is offered?
A)Independent contracts
B)Adhesion contracts
C)Justifiable contracts
D)Substantive contracts
E)Severable contracts
Q2) _______ refers to when both parties are equally responsible for an illegal agreement.
A)In pari delicto
B)A res ipsa contract
C)An adhesion contract
D)Procedurally unconscionable
E)A stare decisis contract
Q3) If a minor enters into contract with an adult,both parties may disaffirm a contract based upon the minor's lack of majority.
A)True
B)False
Q4) Explain Great Britain's approach to the age of majority.
To view all questions and flashcards with answers, click on the resource link above. Page 18
Chapter 17: Legal Assent
Available Study Resources on Quizplus for this Chatper
89 Verified Questions
89 Flashcards
Source URL: https://quizplus.com/quiz/74822
Sample Questions
Q1) For a valid contract,courts insist on a .
A)contractual meeting.
B)mutual meeting.
C)meeting of the minds.
D)meeting of the parties.
E)meeting of assent.
Q2) What is true if Liam seeks to rescind the contract for the sale of the motorcycle?
A)Liam may rescind the contract on grounds of undue influence or on grounds of duress.
B)Liam may rescind the contract on the ground that although he is past the age of majority,he is still a student.
C)Liam may rescind the contract on grounds of duress.
D)Liam may rescind the contract on grounds of fraud or on grounds of duress.
E)Liam may not rescind the contract.
Q3) It is not necessary to show reliance to prove fraudulent misrepresentation.
A)True
B)False
Q4) What is the purpose of the concept of legal assent?
To view all questions and flashcards with answers, click on the resource link above. Page 19
Chapter 18: Contracts in Writing
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74823
Sample Questions
Q1) The marriage agreement between Gabriel and Rachel is known as what kind of agreement?
A)Marriage consideration agreement
B)Marital solution agreement
C)Marriage acknowledgement agreement
D)Prenuptial agreement
E)Marital dissolution agreement
Q2) As discussed in the text,a main purpose of the statute of frauds is to prevent unreliable ________ evidence from interfering with a contractual relationship.
A)Immaterial
B)Hearsay
C)Irrelevant
D)Oral
E)Inconclusive
Q3) Under the Agent Negotiation rule,if a contract falls within the statute of frauds if negotiated by one person,it must also be in writing even if negotiated by the person's agent.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 20
Chapter 19: Third-Party Rights to Contracts
Available Study Resources on Quizplus for this Chatper
89 Verified Questions
89 Flashcards
Source URL: https://quizplus.com/quiz/74824
Sample Questions
Q1) What would be the most likely result if Tori sues Gabby for the $10,000 payment?
A)Tori will win because the contract did not contain an express provision prohibiting assignment or delegation of contractual rights and duties.
B)Tori will win only if Justin did a good job on the portraits.
C)Tori will win regardless of what type of job Justin did on the portraits so long as he was a qualified portrait painter.
D)Gabby will win because the portrait was personal in nature and could not be assigned.
E)Tori will win because Justin was employed as her assistant.
Q2) A creditor beneficiary is the third-party beneficiary who is in the strongest legal position to enforce a contract.
A)True
B)False
Q3) Assignments require special wording or forms to be valid.
A)True
B)False
Q4) Assignment of a contract that is personal in nature is generally permitted.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 21
Chapter 20: Discharge and Remedies
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74825
Sample Questions
Q1) A contractual condition of satisfaction is considered a[n] ________ condition that must be met before the other party's obligation to pay for the performance arises.
A)Conditional
B)Implied
C)Express
D)Partial
E)Concurrent
Q2) The court may award the plaintiff nominal damages in a case where no actual damages result from the breach of a contract.
A)True
B)False
Q3) The provision that the seller will release Jacob from any obligation if he loses his job is a ________.
A)A condition concurrent
B)A condition subsequent
C)An exculpatory condition
D)A condition precedent
E)A bona fide condition
Q4) List the ways by which a party's contractual obligations can be terminated.
To view all questions and flashcards with answers, click on the resource link above. Page 22
Chapter 21: Introduction to Sales and Lease Contracts
Available Study Resources on Quizplus for this Chatper
89 Verified Questions
89 Flashcards
Source URL: https://quizplus.com/quiz/74826
Sample Questions
Q1) Regarding the "Case Opener," which of the following best represents the decision on whether the cell towers at issue constituted goods?
A)That the contract involving the purchase of the cell towers was predominantly for the sale of goods for reasons including that the towers had physical property and could be moved.
B)That the contract involving the purchase of the cell towers predominately involved cellular telephone service and that the towers were,therefore,not goods.
C)That the contract involving the purchase of the cell towers was predominately for the purchase of real estate and that the towers were,therefore,not goods.
D)That the contract involving the purchase of the cell towers was predominately for goods because common law was applied by contract.
E)That the contract involving the purchase of the cell towers was not for goods because the towers were not easily movable.
Q2) The primary method by which sales contracts are interpreted is federal law
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Chapter 22: Title,risk of Loss,and Insurable Interest
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74827
Sample Questions
Q1) Which of the following is true if an owner entrusts the possession of goods to a merchant who deals in goods of that kind?
A)The merchant can only transfer voidable title until any funds in the possession of the merchant are transferred to the owner.
B)The merchant must have any purchaser sign a document acknowledging that the purchaser will return the goods upon the request of the owner.
C)The merchant can transfer all rights in the goods to a buyer in the ordinary course of business.
D)The merchant can only transfer void title until any funds in the possession of the merchant are transferred to the owner.
E)The merchant can only transfer temporary title until any funds in the possession of the merchant are transferred to the owner.
Q2) In cases where a shipment contract is vague or ambiguous on the issue,an origin contract will be presumed.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Chapter 23: Performance and Obligations Under Sales and Leases
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74828
Sample Questions
Q1) The substantial-impairment requirement is meant to prevent a party from canceling a contract due to trivial defects.
A)True
B)False
Q2) Good faith in the performance and enforcement of every contract is required by UCC Section ________.
A)1-007
B)2-205
C)1-203
D)3-301
E)3-302
Q3) A buyer who has accepted goods may later revoke the acceptance if the buyer can show that the defects ________ the value of the goods.
A)Reduced by 5%
B)Reduced in any manner
C)Violated the perfect tender rule
D)Substantially impaired
E)Reduced by 10%
To view all questions and flashcards with answers, click on the resource link above. Page 25
Chapter 24: Remedies for Breach of Sales and Lease Contracts
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74829
Sample Questions
Q1) A buyer can never revoke acceptance of nonconforming goods.
A)True
B)False
Q2) Fred's Fireplaces enters into a contract with Miguel's Patio Supply in which Miguel's agrees to purchase 20 fireplaces.Miguel fails to pay and Fred's Fireplaces,upon discovering that Miguel is insolvent,stops delivery as the fireplaces are on the way to Miguel.Did Fred's Fireplaces act appropriately?
A)No because stopping delivery of goods in transit is never appropriate.
B)Yes,because the UCC allows a seller to stop delivery of goods that are in transit.
C)No,because the UCC requires sellers to notify buyers within 100 days of stopping delivery of goods in transit in the event of a breach.
D)No because stopping delivery of goods in transit is appropriate in the event of breach only if the contract is for at least 50 units of goods.
E)No because filing a lawsuit is required before stopping delivery of goods in transit.
Q3) List the various options discussed in the text that may be available to a buyer/lessee when the seller/lessor is in breach.
To view all questions and flashcards with answers, click on the resource link above. Page 26
Chapter 25: Warranties
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74830
Sample Questions
Q1) Which of the following types of warranties are automatically injected into a contract,as a matter of law?
A)Acknowledged title warranties,but not express warranties or implied warranties of quality
B)Express warranties,implied warranties of quality,and acknowledged title warranties
C)Express warranties and implied warranties of quality,but not acknowledged title warranties
D)Implied warranties,but not express warranties or acknowledged title warranties
E)Acknowledged title warranties and express warranties,but not implied warranties of quality
Q2) Unless the seller proves otherwise,the UCC assumes that the seller has defective title to the goods.
A)True B)False
Q3) The purchaser or lessee must have purchased or leased the good from a merchant in order to invoke the implied warranty of merchantability. A)True B)False
To view all questions and flashcards with answers, click on the resource link above.
Chapter 26: Negotiable Instruments: Negotiability and Transferability
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74831
Sample Questions
Q1) A negotiable instrument must be a conditional order to pay.
A)True
B)False
Q2) List the seven requirements for an instrument to be negotiable.
Q3) Which of the following is true regarding the instrument signed by Caileen promising to pay William a 10% commission if he sold her car?
A)The instrument is not negotiable only for the reason that it is not for a sum certain.
B)The instrument is not negotiable only for the reason that Caileen is not a merchant.
C)The instrument is negotiable.
D)The instrument is not negotiable only for the reason that it is based on a condition.
E)The instrument is not negotiable because it is based on a condition and also because it is not for a sum certain.
Q4) All negotiable documents should be in electronic format.
A)True
B)False
Q5) Provide the definition of a traveler's check.
To view all questions and flashcards with answers, click on the resource link above. Page 28
Chapter 27: Negotiation, holder in Due Course, and Defenses
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74832
Sample Questions
Q1) Which of the following is a written document signed by the maker or drawer with an unconditional promise or order to pay a certain sum in money on demand or at a specified time to the order of bearer?
A)An acknowledged instrument.
B)A delivered instrument.
C)A contract instrument.
D)A negotiable instrument.
E)A holder instrument.
Q2) Negotiability can be destroyed by a conditional endorsement.
A)True
B)False
Q3) A bank has given value for a negotiable instrument to the extent that the bank has a security interest in the instrument.
A)True
B)False
Q4) Set forth the requirements a party must meet in order to be considered a holder in due course.
Q5) List the five conditions under which a holder may take an instrument for value.
Page 29
To view all questions and flashcards with answers, click on the resource link above.
Chapter 28: Liability, defenses, and Discharge
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74833
Sample Questions
Q1) The most common reason that improper presentment occurs is the failure to present an instrument on time.
A)True
B)False
Q2) Can Charla be held personally liable for the note?
A)Yes,Charla may be personally liable because Jirah is a holder in due course and was not aware Charla signed on behalf of Prida's.
B)No,agents can never be personally liable even if the principal's name does not appear on the note.
C)No because Jirah was a holder in due course.
D)Yes,agents are personally liable when they sign their own name and omit the name of the principal.
E)No,Jirah is not a holder in due course and Charla will not be held liable if she can show that it was not Prida's intent to hold Charla personally liable.
Q3) According to the UCC,a signature can be any name,word,mark,or symbol used by a party to authenticate a writing.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Chapter 29: Checks and Electronic Fund Transfers
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74834
Sample Questions
Q1) Is Ariel correct that the recurring charge for the yoga class should be removed because she had notified the bank to cancel the automatic payment?
A)No,because she did not notify the bank at least three days before the preauthorized payment was scheduled.
B)Yes,because she notified the bank to cancel the payment.
C)No,because she did not notify the bank at least one business day before the preauthorized payment was scheduled.
D)No,because she did not notify the bank at least twenty-four hours before the preauthorized payment was scheduled.
E)Yes,because she notified the bank at least one business day before the payment was scheduled.
Q2) Generally,when an endorsement on a check has been forged,which party is the party ultimately liable for the loss?
A)The bank of the first party to accept the forged instrument.
B)The first party to accept the forged instrument.
C)The bank of the drawer even if proper notice was given of the forgery.
D)The first endorser of the instrument.
E)The drawer.
To view all questions and flashcards with answers, click on the resource link above.
31
Chapter 30: Secured Transactions
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74835
Sample Questions
Q1) The bank should have done what to terminate its interest in any property belonging to Morgan?
A)The bank should have filed a waiver statement within 20 days.
B)The bank should have filed a termination statement within one month.
C)The bank should have filed a stopgap statement by the time Morgan's next payment was due had she not paid off the loan.
D)The bank should have filed a termination statement within 20 days.
E)The bank should have filed a waiver statement within one month.
Q2) Which of the following is true regarding what may constitute collateral?
A)Goods and intangibles may constitute collateral,but indispensable paper and proceeds may not.
B)Goods may constitute collateral,but indispensable paper,intangibles,and proceeds may not.
C)Goods,indispensable paper,intangibles,and proceeds may all constitute collateral.
D)Goods and proceeds may constitute collateral,but indispensable paper and intangibles may not.
E)Goods,indispensable paper,and intangibles may constitute collateral,but proceeds may not.
To view all questions and flashcards with answers, click on the resource link above. Page 32
Chapter 31: Other Creditors Remedies and Suretyship
Available Study Resources on Quizplus for this Chatper
89 Verified Questions
89 Flashcards
Source URL: https://quizplus.com/quiz/74836
Sample Questions
Q1) A creditor has what type of lien when,through legal action,the creditor seizes a debtor's property to satisfy a debt?
A)Mechanic's
B)True
C)Judicial
D)Artisan's
E)Contempt
Q2) If you take your expensive watch to a jeweler for repairs and after costly repairs are made you discover you cannot pay,what options are available to the jeweler?
A)To keep and eventually sell the watch unless debts are repaid
B)To return the watch to you and seek an artisan's lien
C)To keep the watch until debt is paid,but never to sell the watch.
D)To return the watch to you and seek a mechanic's lien
E)To return the watch and sue as a secured creditor
Q3) A statutory lien is a lien created solely through statute,regardless of whether the debtor wishes the lien to be created.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Chapter 32: Bankruptcy and Reorganization
Available Study Resources on Quizplus for this Chatper
85 Verified Questions
85 Flashcards
Source URL: https://quizplus.com/quiz/74837
Sample Questions
Q1) When the debtor agrees to pay a debt even though it could be discharged,it is referred to as which of the following?
A)A settlement
B)An affirmance
C)A reaffirmation agreement
D)An acknowledgement agreement
E)An accord and compromise
Q2) Which of the following means that bankruptcy relief is ordered and that the bankruptcy proceedings can continue?
A)An approval order
B)An order of relief
C)A documentation order
D)A stay enforcement order
E)A liquidation order
Q3) All bankruptcy cases begin with a filing of a petition.
A)True
B)False
Q4) List the set of procedures that must be taken in every bankruptcy case.
Q5) What are the two general goals of bankruptcy laws as set forth in the text?
To view all questions and flashcards with answers, click on the resource link above. Page 34
Chapter 33: Agency Formation and Duties
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74838
Sample Questions
Q1) Which of the following is false regarding the duties a principal owes to an agent?
A)The principal owes a duty of cooperation to the agent.
B)The principal can do nothing to interfere with the reasonable conduct of an agent.
C)The principal must assist the agent in the performance of his or her duties.
D)The duty of reimbursement applies to employees only,not to independent contractors.
E)The principal has a duty to provide safe working conditions for an agent.
Q2) Under which of the following does a principal give an agent broad authority to sign legal documents on behalf of the principal?
A)A specific order of authority
B)A general power of attorney
C)A recognized power of order
D)A localized legal empowerment
E)A broad power of responeat superior
Q3) Agents may have contract remedies available against a principal,but not tort remedies.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Chapter 34: Liability to Third Parties and Termination
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74839
Sample Questions
Q1) Which of the following is false regarding classification of principals?
A)If the third party does not know that an agent is acting on behalf of a principal,an undisclosed principal is involved.
B)When the third party is aware that the agent is making an agreement on behalf of a principal and also knows who the principal is,the principal is a disclosed principal.
C)Classification of the principal is important because it helps determine the principal's liability.
D)An unidentified principal is in the same classification as a partially disclosed principal.
E)If the third party is aware of the principal's existence but not his or her identity,the principal is classified as a disclosed principal.
Q2) Actual notice of agency termination may not be given orally.
A)True
B)False
Q3) There are two basic types of power of attorney: special and allocated.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Chapter 35: Forms of Business Organization
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74840
Sample Questions
Q1) Which of the following statements is true regarding joint ventures?
A)Participants in a joint venture usually share profits equally,but share losses based on the percentage of contribution.
B)Courts frequently apply sole proprietorship law to joint ventures.
C)Participants in a joint venture usually share losses equally,but share profits based on the percentage of contribution.
D)The joint venture is not automatically terminated when one of the members dies.
E)A joint venture requires the filing of a formal agreement with the state.
Q2) Which of the following are franchises in which the franchisor manufactures a product and licenses a dealer to sell the product in an exclusive territory?
A)Manufacturing arrangement
B)Chain-style business operation
C)Approved business franchise
D)Acknowledged standards operation
E)Distributorship
Q3) An S corporation cannot have more than 75 shareholders.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Chapter 36: Partnerships: Nature, formation, and Operation
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74841
Sample Questions
Q1) Does Leo have any obligation to tell Gordon about the BigBox deal?
A)Yes,partners must disclose any material facts affecting the business.
B)Yes,but Leo only has to tell Gordon about the BigBox deal if they are going to split up the business.
C)No,although partners must disclose any material facts affecting the business,Leo does not need to tell Gordon unless he signs an agreement to place SafeT Car in every BigBox store nationwide.
D)No,because Gordon breached his fiduciary duty.
E)No,because Gordon has chosen not to come to work and not to perform any duties.
Q2) The fiduciary duty includes the duty to be loyal.
A)True
B)False
Q3) Title to property may not be put in the name of a partnership.
A)True
B)False
Q4) No partnership is created based upon an employer sharing profits with an employee as payment for work.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 38
Chapter 37: Partnerships: Termination and Limited Partnerships
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74842
Sample Questions
Q1) In the case of a limited partnership,if the partners do not sign or do not file the certificate of limited partnership with the secretary of state,the limited partners will not receive limited liability.
A)True
B)False
Q2) Oslo and Faraya want to form a partnership.Oslo is very ill and they verbally agree that Faraya can continue the business after his death.What type of agreement should they execute in order to ensure that Faraya can keep the partnership property and carry on the business after Oslo's death?
A)Post-death agreement.
B)Continuation agreement.
C)Honorable agreement.
D)Contingent agreement.
E)There is no such agreement.
Q3) A partnership must experience the winding-up stage,but not the dissolution stage,before the partnership may be terminated.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 39
Chapter 38: Corporations: Formation and Financing
Available Study Resources on Quizplus for this Chatper
89 Verified Questions
89 Flashcards
Source URL: https://quizplus.com/quiz/74843
Sample Questions
Q1) The only authority possessed by corporations is the powers granted to them in their articles of incorporation and through state incorporation statutes.
A)True
B)False
Q2) Private persons create ________ corporations for private purposes.
A)Public
B)Domestic
C)Private
D)Closely held
E)Publicly held
Q3) Owners of which of the following types of stock own a portion of a corporation but do not enjoy any preferences?
A)Preferred
B)Complex
C)Common
D)Acknowledged
E)Simple
Q4) What are the two implied corporate powers,as set forth in the text?
Q5) What are the six express corporate powers,as set forth in the text?
To view all questions and flashcards with answers, click on the resource link above. Page 40
Chapter 39: Corporations: Directors, officers, and Shareholders
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74844
Sample Questions
Q1) Which of the following are directors who are not officers or employees of the corporation?
A)Approved directors
B)Unaffiliated directors
C)Affiliated directors
D)Inside directors
E)Outside directors
Q2) What are the requirements for being a director?
Q3) The Securities and Exchange Commission has established that any shareholder who owns more than ________ worth of stock in the corporation can submit proposals to be included in proxy materials.
A)$4,000
B)$5,000
C)$2,000
D)$1,000
E)$3,000
Q4) A board of directors may take no action that benefits a director in his or her personal capacity.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 41
Chapter 40: Corporations: Mergers, consolidations, terminations
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74845
Sample Questions
Q1) In which of the following does an aggressor pay cash to target shareholders?
A)Substantial tender offer
B)Asset tender offer
C)Cash tender offer
D)Hostile tender offer
E)Immediate tender offer
Q2) Today,consolidations are very rare.
A)True
B)False
Q3) Federal regulations prohibit the management of target companies from using corporate funds to educate shareholders on the disadvantages of a takeover.
A)True
B)False
Q4) In a merger situation,which of the following is a term for the remaining corporation?
A)The remaining corporation
B)The approved corporation
C)The surviving corporation
D)The resulting corporation
E)The winning corporation
To view all questions and flashcards with answers, click on the resource link above. Page 42
Chapter 41: Corporations: Securities and Investor Protection
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74846
Sample Questions
Q1) Which of the following statements is false about marketing securities on the internet?
A)SEC regulations do not apply to online advertising and securities transactions.
B)The SEC has issued cease-and-desist orders against companies that illegally offered free stock on their websites because they had not registered their stocks with the SEC.
C)Companies are permitted to sell securities online in an initial public offering IPO).
D)The SEC maintains a database to help investors access information about IPOs.
E)Some websites allow customers to buy and sell securities online.
Q2) Which of the following allows the SEC to suspend securities trading if prices vary excessively in a short time period?
A)The Sarbanes-Oxley Act of 2002
B)The Market Reform Act of 1990
C)The Securities Acts Amendments of 1990
D)The National Securities Markets Improvement Act of 1996
E)The Securities Enforcement Remedies and Penny Stock Reform Act of 1990
Q3) What is a proxy solicitation and how is it regulated by the SEC?
Q4) Provide the Howey three-part test for determining if a security exists.
To view all questions and flashcards with answers, click on the resource link above.
Page 43
Chapter 42: Employment and Labor Law
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74847
Sample Questions
Q1) Is Bryson likely entitled to receive workers' compensation for his injury in the shower?
A)Yes,but only if he had worked overtime the day before the injury.
B)No,because he was not on the employer's premises at the time of the injury.
C)No,because the injury occurred on a business trip.
D)Yes,many states find an employee who is injured on a business trip is entitled to workers' compensation.
E)No,because Bryson was not performing his job at the time of the injury.
Q2) Picketing designed to truthfully inform the public of a labor dispute between an employer and the employees is called _ picketing and is protected by law.However,_ picketing,which prevents deliveries or services to the employer,is unprotected behavior.
A)Informational;signal
B)Economic;intrusive
C)Truthful;boycott
D)Recognized;coercive
E)Acknowledged;block
Q3) List the circumstances under which leave is available under the Family and Medical Leave Act.
To view all questions and flashcards with answers, click on the resource link above. Page 44
Chapter 43: Employment Discrimination
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74848
Sample Questions
Q1) Which of the following is not a defense available to employers charged with age discrimination under the Age Discrimination in Employment Act?
A)The bona fide occupational qualification defense
B)The executive exemption
C)The qualified but aged defense
D)That decisions are based on reasonable factors other than age
E)The operation of a bona fide seniority system
Q2) The issue of whether a hostile work environment exists is only considered by courts in the context of harassment based upon gender.
A)True
B)False
Q3) Federal law is considered as a[n] level of protection for all workers.
A)Equal
B)Minimum
C)Maximum
D)Greater
E)Lesser
Q4) Describe the circumstances under which a seniority system would be a defense to a charge of discrimination under Title VII.
To view all questions and flashcards with answers, click on the resource link above. Page 45
Chapter 44: Administrative Law
Available Study Resources on Quizplus for this Chatper
88 Verified Questions
88 Flashcards
Source URL: https://quizplus.com/quiz/74849
Sample Questions
Q1) An example of an executive agency is the Small Business Administration.
A)True
B)False
Q2) Regarding federal independent agencies,which of the following is false?
A)The agencies are generally not located within any department.
B)The commissioners may be removed at the discretion of the president.
C)No more than a simple majority of an independent agency can be members of any single political party.
D)Independent agencies are governed by a board of commissioners.
E)The president appoints the commissioners of independent agencies with the advice and consent of the Senate.
Q3) Which of the following would be the appropriate location for publication of the proposed rules assuming they are accepted by the agency?
A)The Agency Periodical
B)The Comment and Review Forum
C)The Congressional Review
D)The Federal Register
E)The Congressional Record
Q4) Set forth the steps involved in formal rule making.
To view all questions and flashcards with answers, click on the resource link above. Page 46
Chapter 45: Consumer Law
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74850
Sample Questions
Q1) State laws in regard to protection of purchasers of used cars are preempted by federal law.
A)True
B)False
Q2) A drug company has a diabetes drug which is FDA approved only to treat diabetes.The company runs ads implying that the drug is very good for treating seizures.Which of the following is true of the drug company's actions:
A)The company has violated the law but can face penalties only if someone was hurt or killed by using the drug to treat seizures.
B)The company has not violated the law because the claim the drug could treat seizures is an example of puffing.
C)The company has violated the law because federal drug advertising can promote only federally approved uses of a drug.
D)The company has not violated the law as long as the drug is actually effective at treating seizures
E)The company has not violated the law as long as the statement on treating seizures is not exaggerated
Q3) What is required by the Telemarketing Sales Rule of 1995?
To view all questions and flashcards with answers, click on the resource link above. Page 47
Chapter 46: Environmental Law
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74851
Sample Questions
Q1) Which of the following enforces the Resource Conservation and Recovery Act?
A)The Hazardous Response Commission
B)The Environmental Waste Agency
C)The Hazardous Waste Administration
D)The Clean Earth Foundation
E)The Environmental Protection Agency
Q2) The goals permit and discharge limits set out in the Clean Water Act are ________ goals.
A)Application-assuming
B)Technology-dependent
C)Technology-forcing
D)Technology-driven
E)Invention-dependent
Q3) Significantly reducing,and in some countries banning,the use of ozone-depleting air pollutants is the purpose of which of the following treaties?
A)The Ozone Protection Agreement
B)The Eastern Pacific Agreement
C)The United Nations Ozone Depletion Treaty
D)The Tokyo Protocol
E)The Montreal Protocol
To view all questions and flashcards with answers, click on the resource link above. Page 48
Chapter 47: Antitrust Law
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74852
Sample Questions
Q1) Mom and Pop's Print Shop,a small,family-owned business since 1962,discovers that the local branch of the largest printer in the country,Blinko's,is getting the same types of paper Mom and Pop's orders from the same supplier at a steeply discounted rate,allowing Blinko's to charge a steeply reduced price for their paper.If Mom and Pop's chose to bring an antitrust action,what type of injury would they allege?
A)Tertiary-line injury
B)Primary-line injury
C)Sherman injury
D)Price-war injury
E)Secondary-line injury
Q2) Which of the following prohibits price discrimination by sellers?
A)The Federal Trade Commission Act
B)Section 2 of the Sherman Act
C)Section 2 of the Clayton Act
D)Section 3 of the Sherman Act
E)Section 1 of the Sherman Act
Q3) Foreign companies are never subject to the Sherman Act.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 49
Chapter 48: The Nature of Property, personal Property, and Bailments
Available Study Resources on Quizplus for this Chatper
88 Verified Questions
88 Flashcards
Source URL: https://quizplus.com/quiz/74853
Sample Questions
Q1) Which of the following terms describes movable property that is not attached to land?
A)Personal
B)Real
C)Valued
D)Appraised
E)Substantive
Q2) By law,a document of title may not be negotiable.
A)True
B)False
Q3) What is a "fungible good?"
A)A good for which one unit of the good is essentially the same as every other unit of the good.
B)A good that is given as the subject of an inter vivos gift.
C)A good that has value but not actual,physical form,such as a stock or a bond.
D)A good that was once classified as mislaid property,but which was later transferred to the owner of the realty on which it was mislaid by operation of law.
E)A good which was once moveable but is now permanently attached to real property.
To view all questions and flashcards with answers, click on the resource link above. Page 50
Chapter 49: Real Property
Available Study Resources on Quizplus for this Chatper
89 Verified Questions
89 Flashcards
Source URL: https://quizplus.com/quiz/74854
Sample Questions
Q1) An owner's interest in real property cannot occur without the owner's knowledge and consent.
A)True
B)False
Q2) Real property is commonly referred to as "realty."
A)True
B)False
Q3) Unless specifically prohibited by the lease,a tenant is permitted to sublease leased property to another party.
A)True
B)False
Q4) What does the term "caveat emptor" mean?
A)Title has passed.
B)Let the seller beware.
C)The buyer was negligent.
D)The buyer was unintelligent.
E)Let the buyer beware.
Q5) An easement is a right to use part of another's land for a specific purpose.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 51
Chapter 50: Landlord-Tenant Law
Available Study Resources on Quizplus for this Chatper
90 Verified Questions
90 Flashcards
Source URL: https://quizplus.com/quiz/74855
Sample Questions
Q1) Diana rented office space for her business.She added a wall to divide a room and give her more storage space.When Oscar,the landlord,saw what she had done,he became angry and told her that she was liable to him for damages.Discuss any liability of Diana under the majority rule and also under the minority rule.
Q2) If Rodney has not made Emilene's electricity repairs,can she withhold her rent until it is fixed?
A)She may withhold all the rent until the defect is fixed.
B)A tenant may never withhold rent,however,she may create an escrow account for the fair market value of the rent.
C)She cannot withhold all the rent;she can withhold only the amount associated with the electricity.
D)She may withhold all the rent in an escrow account until the defect is fixed.
E)No,a tenant's most important duty is to pay rent.
Q3) Which of the following is a not a type of lease that may be created?
A)Absolute tenancy
B)Tenancy-at-sufferance
C)Tenancy-at-will
D)Period-tenancy
E)Definite-term
To view all questions and flashcards with answers, click on the resource link above.
Page 52
Chapter 51: Insurance Law
Available Study Resources on Quizplus for this Chatper
88 Verified Questions
88 Flashcards
Source URL: https://quizplus.com/quiz/74856
Sample Questions
Q1) Which one of the following is not an example of a type of liability insurance?
A)Product liability
B)Contractors'
C)Garage
D)Weather
E)Professional
Q2) ________ suggests people who are insulated from risk sometimes behave differently
A)Coverage protection
B)Strict liability
C)Moral hazard
D)Coverage insulation
E)Negligence
Q3) If an insured makes a claim for property damage and the insurer offers a payout lower than what the insured believes the property was worth,the insured can demand an appraisal under the contract's antilapse clause.
A)True
B)False
Q4) Describe the effect of an appraisal clause in a policy of insurance,and explain how these usually work.
To view all questions and flashcards with answers, click on the resource link above. Page 53
Chapter 52: Wills and Trusts
Available Study Resources on Quizplus for this Chatper
88 Verified Questions
88 Flashcards
Source URL: https://quizplus.com/quiz/74857
Sample Questions
Q1) A will written on a napkin will satisfy the writing requirement for a valid will.
A)True
B)False
Q2) In the case text In re Estate of Duke,Irving prepared a holographic will in which he left all of his property to his wife,Beatrice.The will provided that,should Irving and Beatrice die at the same time,the estate was to be divided between two named charities.Beatrice died in July 2002 and Irving died in November 2007.The two charities and Irving's nephews disputed the distribution of the estate.What was the result?
A)The charities were successful because Beatrice predeceased Irving.
B)The nephews were successful because the will did not contemplate Beatrice dying first,therefore,the laws of intestacy applied.
C)The nephews were successful because they were the next of kin.
D)The charities were successful because they were named in the will.
E)The case was remanded for additional evidence to be put on to show Irving's intent.
Q3) As set forth in the text,for what two reasons are wills usually contested?
Q4) What are the two usual components of trusts,and what are their functions?
Q5) What are the four requirements needed for a valid will?
To view all questions and flashcards with answers, click on the resource link above.
Page 54