Business Law 23

B,D

Common law usually substitutes _______ for the UCC's _______ rule. A. material performance B. substantial performance C. substantial tender D. perfect tender

substantial performance

Common law usually substitutes perfect tender for the UCC's _______ ____ rule.

C

Conforming goods are goods that conform to contract: _______. A. collaborations B. quality C. specifications D. quantity

C

In Case 23-4, Hubbard v Utz Quality Foods, the main issue involved a question of whether _______ was within its legal rights when it decided to rescind or revoke ________ of potatoes supplied by ________. A. Hubbard, acceptance, Utz B. Hubbard, rejection, Utz C. Utz, acceptance, Hubbard D. Utz, Hubbard, rejection

course of performance

According to the Uniform Commercial Code, ______ _____ _____ refers to the history of dealings between the parties in the particular contract at issue.

A

According to the Uniform Commercial Code, if goods are identified at the time the parties entered into a contract and these goods are ______ through no fault of the parties before risk of loss passes to the buyer, the parties are excused from performance. A. destroyed B. deployed C. devoid D. detracted

foreseeable

According to the doctrine of commercial impracticability, a delay in delivery or nondelivery, in whole or in part, is not a breach in circumstances in which performance has been made unfeasible because a contingency has occurred that was _______ when the parties reached an agreement. (Choose TWO best answers)

cure

According to the right to ______, sellers and lessors can repair, adjust, or replace defective or nonconforming goods as long as they give prompt notice of their intent to do so, and then remedy the problem within the contract time for performance.

C

Once the buyer or lessee ______ the goods, he or she decides whether to accept the goods. A. revokes B. interjects C. inspects D. rejects

a

The UCC 1-205(1) defines ______ _____ _____ as previous commercial transactions between the same parties. A. course of dealing B. future C. course of performance

UCC; common law

The UCC and the common law differ, with the _______ requiring perfect tender and the _______ requiring the lesser standard of substantial performance.

D

The UCC defines ______ as previous commercial transactions between the same parties. A. usage of trade B. good faith C. fair dealing D. course of dealing

B,D

The UCC indicates that a buyer who has accepted goods may later revoke the acceptance only if the _______ can show that one or more defects _______ the value of the goods. A. seller B. buyer C. impracticably impact D. substantially impairs

D

The Uniform Commercial Code defines ______ as any practice that members of an industry expect to be part of their dealings. A. commercial equity B. fair dealing C. good faith D. usage of trade

A

The Uniform Commercial Code defines ______ as any practice that members of an industry expect to be part of their dealings. A. usage of trade B. good faith C. fair dealing D. commercial equity

A,B

The Uniform Commercial Code defines ______ or _______ as any practice that members of an industry expect to be part of their dealings. (Choose TWO best answers) A. usage of trade B. previous dealings C. perfect tender D. commercial impracticability

B

The Uniform Commercial Code requires that sellers and lessors ______ conforming goods to the buyer or lessee. A. revoke B. tender C. reject D. rescind

a

The ______ rule states that when a contract for sale involves repeated occasions for performance by either party with the other's knowledge of the nature of the performance and the opportunity for objection to it, any course of performance accepted or acquiesced to without objection is relevant to determine what the parties' agreement means. a. course of performance b. usage of trade c. course of subjugation d. usage of custom

A

The buyer may ______ acceptance if the nonconformity ______ impairs the value of the goods, but only if the buyer had a legitimate reason for the initial acceptance. A. revoke; substantially B. revoke; partially C. requisition; partially D. requisition; substantially

b

The obligations of sellers and buyers are determined by terms the parties outline in agreements, ______, and rules outlined by the UCC. a. UCC b. customs c. CFR d. exceptions

seller

The parties may agree that the _______ must have the opportunity to repair or replace nonconforming goods within a particular period of time.

nonconforming

The parties may agree that the seller must have the opportunity to repair or replace _______ goods within a particular period of time.

D

To revoke acceptance means to ______ acceptance of the goods. A. confirm B. qualify C. requisition D. withdraw

D

UCC Section 1-203 requires good faith in the performance and enforcement of every contract. What is good faith? A. Conditional honesty B. Equanimity C. Equality D. Honesty in fact

accept; reject

UCC sections indicate that if the tender of delivery fail in any respect to conform to the contract, the buyer/lessee has the right to _______ the goods, _______ the entire shipment, or reject part and accept part.

b,c

Uniform Commercial Code Section 1-203 requires ______ in the performance and _______ of every contract. a. right to cure b. enforcement c. good faith d. material performance

A

Upon ______, if goods are _______, the buyer may ______ the goods and cancel the contract if time is of the essence and the time for performance has expired. A. inspection, nonconforming, reject B. inspection, conforming, reject C. acceptance, rejected, pay for D. rejection, destroyed, pay for

reject;cure

Upon inspection, if goods are nonconforming, the buyer may ______ the goods, subject to the seller's right to ______.

D

What occurs when all the material elements of a contract are satisfied, even if some non-material requirements may not be satisfied? A. Absolute tender B. Serendipitous performance C. Perfect tender D. Substantial performance

b

What occurs when all the material elements of a contract are satisfied, even if some non-material requirements may not be satisfied? a. Perfect tender b. Substantial performance c. Absolute tender d. Serendipitous performance

B

What type of goods meet contract specifications? A. Contributory B. Conforming C. Consistent D. Comparative

revoke

When goods are nonconforming, the buyer is allowed to ______ acceptance of the goods.

merchants

When the parties to a transaction are ______, the Uniform Commercial Code imposes a higher standard of good faith.

B

When the parties to a transaction are merchants the UCC imposes a good faith standard of not only honesty in fact, but also reasonable commercial standards of ______, often called commercial reasonableness. A. perfect equity B. fair dealing C. perfect fairness

A

Which common law rule requires that the seller deliver goods in conformity with the terms of the contract, right down to the last detail? A. The perfect tender rule B. The perfect compliance rule C. The good-faith tender rule D. The good-faith compliance rule

C

Which doctrine would be relevant if a change in government regulation that neither contracting party contemplated forbids the import or export of a particular item the parties had agreed would be shipped? A. Substantial performance B. Commercial defensibility C. Commercial impracticability D. Substantial compliance

D

Which of the following constitutes a potential exception to the perfect tender rule? A. Unilateral termination of the contract B. Foreseeable circumstances that make the cost of performance more expensive C. Commercial feasibility D. Past dealings between the contracting parties

D

Which of the following does not constitute a potential exception to the perfect tender rule? A. A contract between the seller and the buyer B. Norms in a particular industry C. Past dealings between the contracting parties D. The doctrine of subsequent performance

C

Which of the following does not constitute a potential exception to the perfect tender rule? A. Commercial impracticability B. Destroyed goods C. Quasi-contractual liability D. The seller's/lessor's ability to cure

A

Which of the following factors does not determine the obligations of sellers and buyers in contracts for the sale of goods transactions? A. Rules outlined by the Uniform Contract Code B. Terms the parties outline in agreements C. Rules outlined by the Uniform Commercial Code D. Custom

B

Which of the following is a basic obligation of buyers and lessees as set forth in the Uniform Commercial Code? A. Proffer B. Payment C. Rejection D. Revocation

c

Which of the following is not a basic obligation of buyers and lessees as set forth in the Uniform Commercial Code? A. Acceptance B. Inspection C. Revocation D. Payment

B

Which of the following refers to the right of sellers and lessors to fix problems with nonconforming goods? A. The privilege to rectify B. The right to cure C. The right to conform D. The privilege to heal

B

Which section of the UCC indicates that the buyer who has accepted goods may later revoke the acceptance only if the buyer can show that one or more defects substantially impair the value of the goods? A. 1-608 B. 2-608 C. 2A-708 D. 3-708

d

Which section of the Uniform Commercial Code defines course of performance as the history of dealings between the parties in the particular contract at issue? A. 1-108(1) B. 2A-308(1) C. 2-308(1) D. 2-208(1)

C

Which section of the Uniform Commercial Code defines usage of trade as any practice that members of an industry expect to be part of their dealings? A. 2-305(2) B. 2A-305(2) C. 1-205(2) D. 3-405(2)

B

Which section of the Uniform Commercial Code requires good faith in the performance and enforcement of every contract? A. 3-403 B. 1-203 C. 3-409 D. 2-203

b

Which sections of the UCC establish the doctrine of commercial impracticability? a. 1-615(a); 2A-405(a) b. 2-615(a); 2A-405(a) c. 3A-405(a); 3A-615(a) d. 3-615(a); 3A-405(a)

C

Which sections of the Uniform Commercial Code address the effect of destroyed goods on contract performance? A. 3-613; 3A-221 B. 1-413; 1A-121 C. 2-613; 2A-221 D. 2A-121; 2A-413

A

Which sections of the Uniform Commercial Code embrace the perfect tender rule? A. 2-601; 2A-509 B. 2A-801; 3-709 C. 1-601; 2-509 D. 3-801; 3A-709

B

Which sections of the Uniform Commercial Code require the seller or lessor to provide an opportunity for inspection before enforcing payment? A. 2A-513(1); 2A-515(1) B. 2-513(1); 2A-515(1) C. 3-513(1); 3A-515(1) D. 1-513(1); 1A-515(1)

A,C

______ occurs when all the material elements of a contract are satisfied, even if some _______ requirements may not be satisfied. A. Substantial performance B. Perfect tender C. Nonmaterial D. Material performance