Blaw Exam 3

A contract for a sale of land from Beachfront Properties Inc. to City Development Corporation contains an erroneous legal description. The appropriate remedy for these parties is most likely A. reformation B. damages C. a quasi contract D. specific performance

A

Airbud Corporation, a U.S. firm, signs a contract with Bueno Computadores Ltd., an Argentinean firm, for a shipment and payment for Airbud's goods. This is A. direct exporting. B. licensing. C. a distribution agreement. D. indirect exporting.

A

Berry Farm hires Chun to repair its irrigation system on site by a certain date for $2,500, but Chun fails to perform. Berry Farm hires Diego to do the job for $2,000. In a suit for breach, Berry Farm may recover from Chun A. nominal damages B. nothing—there is only a technical injury C. compensatory damages D. punitive damages

A

Builders Corporation files a suit against Concrete Company to enforce a written contract. If the court finds that the parties intended the contract to be the final statement of their agreement, parol evidence can be admitted to prove A. an orally agreed-on condition B. nothing C. term discussed at the time of the contract that contradict the writing D. terms discussed before the contract but not contained in it

A

City Delivery, Inc., enters into a contract to deliver furniture to Damien's house with payment due on July 4. On July 4, Damien's bank is closed, and for this reason, he claims that he cannot pay on time. In this situation A. Damien is in breach B. the bank is liable for breach C. the contract is discharged D. the contract is suspended

A

Commercial Rebuild LLC enters into a contract to remodel Dockside Marina, agreeing to use only products from Eagle Supplies. Halfway through the project, Commercial refuses to finish the job. The contract can be enforced against Commercial by A. Dockside or Eagle. B. Dockside only. C. Eagle only. D.any interested third party, including a contracting party's employee.

A

Daisy enters into a contract with Evan for the construction of a Fast Food Café, according to a certain schedule. The parties perform some preparatory steps, but Evan materially and willfully fails to begin work on the specified date. To rescind the contract, Daisy must show that the parties can A. be restored to the status quo B. realize at least some of the benefit of their bargain C. obtain a reasonable exchange of values for the preparatory steps D. profit from the partial performance

A

Don enters into a contract to buy Ezra's office building for a certain price subject to an appraiser's evaluation that the structure's condition is not substandard. If the appraiser deems the condition to be substandard, the parties' obligations will be A. discharged B. performed C. breached D. altered

A

For a price, Rose agrees to unload the catch from fishing boats that dock at Seafood Shipping. Rose delegates this duty to Tina, who then owes performance of the duty to the warehouse. Tina is A. the delegatee. B. a third party beneficiary. C. the obligor. D. the obligee.

A

Lyn orally contracts to sell five acres of timber to Mountain Mill LLC. The buyer harvests the trees but fails to remit the full price. Because of the lack of a written contract, Lyn could most likely recover on a theory of A. quasi contract B. specific performance C. restitution D. none of the choices

A

New Builders, Inc., enters into a contract with O'Reilly to refurbish a garage on his property as an auto repair shop. O'Reilly's neighbor Pete challenges the project as a violation of the local zoning laws. A court orders a halt to the project. O'Reilly's contract with New Builders is A. discharged B. not affected C. suspended D. breached

A

Representatives of Oil Inc. and Petro Corporation discuss the terms of a contract for shipments of refined oil. Petro e-mails Oil a note that summarizes the points on which they agreed. Between these parties, there is A. a written contract B. a tentative contract only C. no contract D. an oral contract only

A

Technicians Union represents the workers of United Engineering Inc. The union and the employer bargain in good faith but are unable to reach an agreement because of genuine differences of opinion. The union may call a strike A. if the parties are deadlocked. B. if the negotiations are ongoing. C.if the subjects of bargaining include working conditions and worker pay. D. under no circumstances.

A

ActioNOW and Becca enter into an oral contract in which Becca agrees to work on a project for ActioNOW for eighteen months. This contract is enforceable by A. Becca B. none of the choice C. ActioNOW D. any third party, such as ActioNOW's clients

B

Bagels Bakery enters into a contract with Cineplex for discounted tickets for Bagels's employees. When Cineplex does not provide the tickets, Bagels enters into a contract with DigiMovies for the same service at a lower price. In a suit for breach, Bagels might be awarded nominal damages to A. provide Bagels with funds for a foreseeable loss beyond the contract B. establish, as a matter of principle, that Cineplex acted wrongfully C. provide Bagels with funds for its loss of the bargain D. punish Cineplex and set an example to deter others from similar acts

B

Ceramic Workers Union represents the workers of Delta Tile LLC. The union fails to hold elections for union officers. This most likely violates A. no federal law. B. the Labor Management Reporting and Disclosure Act. C. the Labor-Management Relations Act. D. the Fair Labor Standards Act

B

Char and Dill sign a written contract for the sale of Dill's BBQ Food Truck to Char. The parties intend their written contract to be a final statement of the terms of their agreement. Later, Dill disputes some of the provisions in the deal with Char. If the dispute results in litigation, a court will most likely exclude evidence that A. duplicates the written terms B. contradicts the written terms C. reinforces the written terms D. supports the written terms

B

City Nurses College loses its accreditation. As a consequence, City students can still obtain a state nurse's license, but their earning capacity is impaired. In a suit against the school for breach, the students are most likely to recover A.the difference between the tuition costs at City and an accredited school B. nothing C.the difference between their earning capacity before and after the loss D. the cost of a City education, including tuition, and room and board

B

Demi, an accountant, and Engineers PA enter into a contract under which Demi agrees to perform audits for Engineers. Demi can delegate the duty to perform the audits to A. any reputable accountant. B. no other party. C. any accountant working at Demi's firm. D.any accountant performing other financial services for Engineers.

B

Hardware Store Company and Indestructible Tools Inc. sign a written contract for a sale of goods. To be enforceable, this written contract must include A. a date, such as "October 2019" or "10/2019" B. a quantity term, such as "50 hammers" or "100 boxes of assorted nails" C. the parties' contract information D. a correct title, such as "purchase order" or "sales invoice"

B

Health Clinic Inc. has no written employment manual or oral discharge policy, avoids abusive treatment of its staff, and acts to prevent illegal and unsafe activities. The clinic freely hires and fires its employees, who are similarly free to quit at any time. With respect to the employment-at-will doctrine, this is A. in direct conflict with the doctrine. B. exemplary of the doctrine. C. an exception based on contract theory. D. an exception based on a statute

B

Hilton enters into a contract to erect a fence around Irene's cattle pasture. When the fence is built, Hilton's performance will be A. conditional B. complete C. substantial D. material

B

Jill enters into a contract to buy a certain building from Kim. At the closing, Kim refuses to transfer title. In a suit for breach, Jill should seek specific performance to A. make the terms reasonable and enforce the contract as reformed B. obtain the exact bargain promised in the contract C. return the parties to the positions they occupied before the contract D. reform the contract to reflect the parties' true intentions

B

Market Maker, Inc., a U.S. firm, can license a foreign manufacturing company to use its A. patented intellectual property. B. any of the choices. C. trade secrets. D. trademarked brand.

B

Restful Hotel Corporation, a U.S. firm, establishes a wholly owned subsidiary in Singapore. As a parent corporation, with respect to the subsidiary, Restful retains complete ownership of A. more than half, but less than all, of the facilities in Singapore. B. all of the facilities in Singapore. C. none of the facilities in Singapore. D. no more than half of the facilities in Singapore

B

The United States taxes each barrel of imported oil at a flat rate. This is A. a quota. B. a tariff. C. a dumping duty. D. an antidumping duty.

B

The most common way to terminate contractual duties is by A. repudiation B. performance C. failure of a condition D. agreement

B

The purpose of state workers' compensation laws is to establish an administrative process for compensating workers for A. retirement, disability, death, and hospitalization insurance. B. injuries that arise in the course of employment, regardless of fault. C. all of the choices. D. periods of unemployment, subject to eligibility requirements

B

Under the Export Trading Company Act, U.S. banks are A. discouraged from granting credit to export trading companies. B. encouraged to invest in export trading companies. C.required to report financial transactions with export trading companies. D. prohibited from lending funds to export trading companies.

B

Under the Outer Space Treaty, a moon, a planet, an asteroid, or any other celestial body is subject to the appropriation of A. the first nation to claim title to it. B. no single nation. C. the first nation to exploit it. D. the first nation to explore it.

B

A contract between Max and Nick provides for an "assignment of all rights." Max "assigns the contract" to Olin. Because a court will normally construe this wording as implying both an assignment of rights and a delegation of duties, if Olin fails to perform A. Nick is liable. B. the contract is void. C. Max is liable. D. the contract is discharged.

C

Analytic Data, Inc., wants to hire Benazir, a noncitizen. A work visa is most likely to be set aside for a noncitizen if A. the noncitizen is of "ethnic similarity to the employer's workforce." B. the noncitizen is a "person with an extraordinary work ethic." C. there is a shortage of qualified U.S. workers capable of doing the work. D. hiring the worker will adversely affect the labor force

C

Assembly Corporation operates a plant near the border between the United States and Mexico. Due to the location, it would be easier for the company to employ noncitizens. In this circumstance, it is legal for a U.S. employer to A. refer for a fee persons not authorized to work in the United States. B. recruit persons not authorized to work in the United States. C. none of the choices. D. hire persons not authorized to work in the United States.

C

Blue Space Corporation launches exploratory space flights to the moon and Mars. The purpose is to discover and retrieve minerals and other resources. Under U.S. Law, Blue Space A. must share with all interested parties what it retrieves in space. B. cannot legally retrieve resources in space. C. owns what it retrieves in space. D. cannot profit from resources retrieved in space

C

Burger Heaven, a U.S. firm, makes a deal with a Canadian firm, Donny's Diners, that allows Donny's to use Burger Heaven's trade name in Canada in return for a fee. This is A. direct exporting. B. a distribution agreement. C. a license. D. a subsidiary.

C

Copper Circuit Inc. and Direct Electric LLC sign an agreement that provides for the payment of "$1,000 by whichever party commits a material breach of the contract that creates damages difficult to estimate but approximately $1,000." This is A. a mitigation of damages clause B. a consequential damages clause C. a liquidated damages clause D. a penalty clause

C

Dairy Farm enters into a contract with Edible Ice Cream Inc. to supply milk. Later, Dairy decides that it is no longer advantageous to fulfill the contract and subsequently fails to perform as promised. Edible files a suit against Dairy. A breach occurred when Dairy A. decided that it was not advantageous to fulfill the contract B. entered into the contract C. failed to perform as promised D. was sued by Edible

C

Frank is an employee of Guitar Makers LLC. Guitar's employee manual states that workers, such as Frank, will be dismissed only for good cause. With respect to the employment-at-will doctrine, this is A. an example of the doctrine. B. an exception based on a statute. C. an exception based on contract theory. D. an exception based on public policy

C

Harry assigns his rights under a contract with Irma to his college roommate, Jake. Neither Harry nor Jake notifies Irma of the assignment. The assignment A.will become effective after thirty days even if no notice is given to Irma. B. is invalid. C. is effective immediately. D. will not be effective until notice is given to Irma.

C

If performance under a contract will vary materially on a delegation of its duties to a third party from that expected by the obligee, the delegation is A. permitted on sufficient notice by the obligor. B.permitted if the performance does not require the obligor's personal skill. C. prohibited. D. permitted if special trust has been place in the obligor.

C

Lunchies Corporation, a U.S. firm, signs a contract with Manger au Brasserie, S.A., a French firm, to give Manger the right to use the Lunchies trademark in restaurants in France. This is A. a distribution agreement. B. direct exporting. C. licensing. D. indirect exporting

C

Merl buys a tablet for $500, running shoes for $200, and a set of the Game of Crowns books for $100. To be enforceable as a contract, a writing is required for the purchase of A. the books, the shoes, and the tablet B. the shoes and the tablet only C. the tablet only D. the books only

C

Renew Turf Inc. enters into a contract with Sports Park to provide surface material for Sports Park's baseball fields by a certain date. The contract specifies an amount to be paid if Renew breaches the deal. This clause is enforceable if the amount is A. designed to penalize Renew B. meant to pay for additional work in the event of damage C. a reasonable estimate of the loss on the breach D. intended to quickly provide cash to Sports Park

C

Retail Company is located in Seattle, Washington, where the city and the state have minimum wage laws. Retail pays its starting employees the legal minimum rate, which, among the governing laws, is A. the city minimum wage. B. the federal minimum wage. C. the highest minimum wage. D. the state minimum wage

C

Rough Canyon Adventures Inc. and Swampcraft Inc. enter into an oral contract for Swampcraft's sale to Rough of five rafts for $2,000 each. Before Rough takes possession of the rafts, this contract is enforceable by A. Swampcraft only B. any interested third party, such as a Rough tour guide or client C. none of the choices D. Rough only

C

Sabo contracts to work exclusively for Thermal Company during July for $5,000. On June 30, Thermal cancels the contract. Sabo finds a similar job for the month of July but earns only $3,000. Sabo files a suit against Thermal. As compensatory damages, Sabo can recover A. $5,000 B. $0 C. $2,000 D. $3,000

C

Salsa Inc. employs three hundred workers at four locations in two states. Under federal law, Salsa must provide each employee, during any twelve-month period, family or medical leave of A. no limited duration. B. up to twelve pay periods. C. up to twelve weeks. D. up to twelve days.

C

The employees of Beverage Bottling Company designate Cola Cappers Union as their bargaining representative. Beverage refuses to bargain with the union. This most likely violates A. the Labor-Management Relations Act. B. no federal law. C. the National Labor Relations Act. D. the Fair Labor Standards Act.

C

The rights under an insurance policy can normally be assigned A. if the assignment significantly changes the risk to the insurer. B. if the assignment significantly alters the duties of the insurer. C. if the assignment involves only a payment of benefits. D. under no circumstances.

C

According to most states' laws, to be enforceable as a contract under the Statute of Frauds, a writing must A. recite the parties' intent B. describe the parties C. contain both contracting parties' signatures D. name the parties

D

Apps LLC enters into a contract with Birk, the chief executive officer of Corporate Sales Inc., to create an app for the firm. To fulfill the contract, Apps hires Dave as a student intern. With respect to the app contract, Dave is A. an intended beneficiary. B. a promisee. C. a promisor. D. an incidental beneficiary.

D

Drain Equipment Inc. contracts to sell its assets to Earth Aquatic Corporation. Before either party has performed, rescission of this contract requires A. specific performance B. a novation C. an accord and satisfaction D. a mutual agreement to rescind

D

Iggy and Jon sign a contract by which Iggy agrees to deliver and install a gas fireplace on October 15 in exchange for Jon's promise to pay the $500 price within ten days of the install date. The delivery and installation of the fireplace and the payment of the price are examples of A. implied conditions B. conditions precedent C. conditions subsequent D. concurrent conditions

D

Laminate LLC agrees to buy factory equipment from Metalwork Company on the seller's misrepresentation that it meets certain specifications. Metalwork assigns the right to payment on the deal to National Credit Corporation. When the buyer discovers the fraud, the firm returns the equipment and cancels their contract. Laminate A.must pay a prorated amount of the contract price to National Credit. B.must reimburse National Credit for costs with respect to the assignment. C. must pay the entire contract price to National Credit. D. need not pay any of the contract price to National Credit.

D

Megan contracts to sell Nonny her horse for $4,000. This contract will be fully discharged when Megan and Nonny A. agree that the deal is fair B. execute a bill of sale C. sign a receipt D. exchange the horse for the money

D

Oscar orally agrees with Poppy's Pizza to provide delivery service to its customers for nine months. This contract is enforceable by A. Poppy's only B. any interested third party, such as a Poppy's customer C. none of the choices D. either Oscar or Poppy's

D

Quinn and Ruth orally agree on the sale of Seafood Shippers Inc. and jot down the terms on the back of one of Seafood's blank invoices, which they both sign. A written memorandum evidencing an oral contract that would otherwise be unenforceable must contain A. the preliminary terms B. the faulty terms C. all terms D. the essential terms

D

Security Company enters into a contract with Tower Apartments to deliver and install an alarm system for a certain price. Both parties perform the acts as promised. The contract is A. suspended B. conditioned C. excused D. terminated

D

To create a valid delegation of duties requires A. a special form. B. the delegator's use of the word delegate. C. none of the choices. D. the delegator's expressed intent to make the delegation.

D

Under the Outer Space Treaty, with respect to a space object and the personnel aboard it, the launching state A. shares dominion and responsibility with the United Nations. B. grants political autonomy to those aboard the object. C. forfeits supervisory authority to the United Nations. D. retains complete jurisdiction and control.

D