LEGL 3000 - Chapter 8
a
A counteroffer is a rejection of the original offer and the simultaneous making of a new offer. a. True b. False
a
A court decision that makes an offer illegal automatically terminates the offer. a. True b. False
a
A forum-selection clause specifies that any contract dispute will be settled in a particular jurisdiction. a. True b. False
b
A major goal of the United Nations Convention on the Use of Electronic Communications in International Contracts was to: a. improve international trade in online venues. b. improve commercial certainty by determining an Internet user's location for legal purposes. c. provide that e-signatures would be treated differently than signatures on paper documents. d. All of these choices.
c
A person enters her or his name at the bottom of an e-mail purchase order so that name would qualify: a. as an invalid signature. b. as nothing. c. as a valid signature.
a
A record is information that is inscribed on a tangible medium or stored in an electronic retrievable file. a. True b. False
b
A statement of future intent—"I plan to sell my car"—is an offer. a. True b. False
a
Agreement is normally evidenced by an offer and an acceptance. a. True b. False
a
An "offer" to sell an item on an online auction site generally is treated an invitation to negotiate. a. True b. False
b
An acceptance can materially change or add to the terms of the original offer without rejecting it. a. True b. False
b
An acceptance must match the terms of the offer exactly in order to be valid. This is known as the mailbox rule. a. True b. False
a
An acceptance sent by means not expressly or impliedly authorized normally is not effective until it is received by the offeror. a. True b. False
a
An e-contract must meet the same basic requirements as those required of a paper contract. a. True b. False
a
An effective offer requires reasonably definite terms. a. True b. False
b
An effective offer requires that a reasonable price be related to market value. a. True b. False
a
An essential element for contract formation is agreement. a. True b. False
b
An expression of opinion—"this is excellent"—is an offer. a. True b. False
b
An invitation to negotiate—"can you afford this?"—is an offer. a. True b. False
b
An offer does not need to be communicated to the offeree to become effective. a. True b. False
b
An offer made in obvious anger is an effective offer. a. True b. False
b
An offer may invite an acceptance to be worded in specific terms but that cannot make the contract definite. a. True b. False
a
An offer terminates automatically when the time specified in the offer has passed. a. True b. False
a
An option contract is created when an offeror promises to hold an offer open for a specified period of time in return for a payment given by the offeree. a. True b. False
b
As a Texas resident, when you are dissatisfied with video games you buy on the Internet, you typically can sue in Texas state courts. a. True b. False
b
Because individuals rarely read the underlying language in a click-on agreement, the agreements are always invalid. a. True b. False
b
Contracting parties cannot opt out of the terms of the UETA. a. True b. False
a
Dino and Elle engage in a transaction that involves e-documents. The E-SIGN Act applies if those documents include: a. an agreement subject to Article 2 of the Uniform Commercial Code. b. a divorce decree or a prenuptial agreement. c. a health-insurance termination. d. an eviction or a foreclosure.
d
E-signatures typically do not include: a. encrypted digital signatures. b. names at the end of e-mail messages. c. clicks on Web pages if the clicking includes some means of identification. d. signatures on original paper documents.
a
If a person gives out a business card with an e-mail address on it, it is reasonable to conclude that the person has consented to transact business electronically. a. True b. False
a
If no time for acceptance is specified in an offer, the offer terminates after a reasonable length of time. a. True b. False
a
If the UETA is enacted without modifications by a state, state law will govern. a. True b. False
a
If the parties have agreed to a security procedure and one party does not detect an error because he or she did not follow the procedure, the conforming party can legally avoid the effect of the change or error. a. True b. False
a
In a bilateral contract, communication of acceptance is necessary. a. True b. False
a
In most cases, an offeror can revoke an offer as long as the revocation is communicated before the offeree accepts. a. True b. False
d
Kim sends an offer to Leo to cut down and remove a tree for $200. Kim says, "If you say nothing, I will consider you to have accepted my offer." If Leo does not respond, he will be deemed to: a. accept the offer. b. make a counteroffer. c. reject the offer. d. none of these choices - Unless the parties have prior dealings and have agreed that silence means acceptance, Leo's silence is not deemed to be an acceptance of Kim's offer.
b
Molly was driving down the streets of Atlanta, in a busy section of town. As she stopped at a red light, a fellow came up to her car with a window cleaner and rag in hand, and motioned to her, asking whether he could clean her window. She said nothing, and looked away. Has she agreed to the contract by her silence? Why or why not? a. Yes, Molly has agreed, since she said nothing. b. Yes, Molly has agreed, because she didn't stop him, knowing that he intended to wash her window. c. No, Molly has not agreed, since her silence did not indicate acceptance. d. None of these choices.
b
Most ads—"this property for sale"—are offers. a. True b. False
c
Olivia says to Jim, "I think I'll sell my new digital camera for $100 because I'm never going to use it." This statement constitutes: a. a valid offer. b. an agreement to agree. c. a statement of future intent.
a
Once an electronic record leaves the control of the sender or comes under the control of the recipient, it has been sent. a. True b. False
b
One necessary element for an effective offer is a reasonable price related to market value. a. True b. False
a
One way that online sellers and buyers can prevent disputes over e-contract signatures is to form a partnering agreement. a. True b. False
b
Pascal's new Mercedes won't start one morning and he screams to his passenger, "For a thousand bucks, I'd get rid of this car." The passenger normally CANNOT buy the car for $1,000: a. because Pascal did not write anything down. b. because a reasonable person would know that a serious offer was not being made. c. because Pascal's subjective intent cannot be known.
b
Revocation is effective on dispatch. a. True b. False
a
The E-SIGN Act governs if modifications made to the UETA by the enacting state are inconsistent with the E-SIGN Act. a. True b. False
b
The E-SIGN Act preempts the uniform version of the Uniform Electronic Transactions Act (UETA). a. True b. False
b
The Hague Convention on the Choice of Court Agreements does not specifically mention e-commerce, but applies to e-commerce because the Convention: a. provides more certainty regarding the Doctrine of Sovereign Immunity, thereby facilitating both offline and online transactions. b. provides more certainty regarding jurisdiction and recognition of judgments by other nations' courts, thereby facilitating both offline and online transactions. c. provides more certainty regarding the Act of State Doctrine, thereby facilitating both offline and online transactions. d. does not provide more certainty regarding jurisdiction and recognition of judgments by other nations' courts, thereby facilitating both offline and online transactions by allowing nations to handle these transactions however they like.
a
The UETA covers only electronic records and signatures relating to transactions. a. True b. False
c
The UETA: a. applies to all writings and signatures. b. specifically does not apply to such things as electronic records for business transactions and court documents. c. applies to electronic records and electronic signatures relating to transactions. d. created a number of new rules needed for electronic contracts and their electronic signatures no matter the type of transaction.
a
The UETA: a. does not take the place of state laws if issues relating to contract formation arise. b. is primarily concerned with issues relating to authority and forgery. c. maintains that a party's agreement cannot be inferred from some verbal communication. d. holds that a party's agreement cannot be implied by surrounding circumstances but only by the conduct of the parties.
c
The UETA: s. applies to all writings and signatures. b. specifically does not apply to such things as electronic records for business transactions and court documents. c. applies to electronic records and electronic signatures relating to transactions. d. created a number of new rules needed for electronic contracts and their electronic signatures no matter the type of transaction.
c
The Uniform Electronic Transactions Act (UETA) generally provides that: a. the act applies only to the seller (licensor) of the computer and information rights. b. the act applies to only that part of the transaction involving computer and information rights. c. records, signatures, and contracts may not be denied enforceability solely due to their electronic form. d. the act applies only to the buyer (licensee) of the computer and information rights.
a
The Uniform Electronic Transactions Act (UETA) is: a. a proposed uniform law to support enforcement of e-contracts. b. the name of the preliminary draft of the International Electronic Signatures in Global and National Commerce (E-SIGN) Act. c. the name of the final proposed draft of the International E-SIGN Act. d. a state law that preempts the E-SIGN Act.
c
The act that provides that no contract, record, or signature may be denied legal effect solely because it is an electronic form is the: a. Undeniability Act. b. Transference Act. c. E-SIGN Act.
a
The first requirement for an effective offer is a serious intent on the part of the offeror. a. True b. False
a
The first requirement for an offer is that it must be practical. a. True b. False
a
The mailbox rule means that once an acceptance is sent or otherwise communicated to the offeror by an authorized means, the acceptance is effective. a. True b. False
a
The requirement that an offer be properly communicated to the offeree means that the offeror must inform the offeree about the offer in some effective way. a. True b. False
b
There are no revocable offers. a. True b. False
c
To what type of transaction does the UETA NOT apply? a. Transactions that have been negotiated for a contract via e-mail. b. The electronic records and signatures relating to a transaction. c. Transactions that the parties have not previously agreed to conduct by electronic means.
b
Under federal law, an e-document is not as enforceable as a paper one. a. True b. False
a
Under the mailbox rule, an acceptance takes effect at the time it is sent. a. True b. False
a
When deciding questions about the enforceability of terms in shrink-wrap agreements, one important factor that courts take into account is whether the buyer learned of the shrink-wrap terms before or after the parties entered into the contract. a. True b. False
d
Which of the following contracts and documents are NOT exempt from the Electronic Signatures in Global and National Commerce Act? a. Court papers b. Divorce decrees c. Evictions d. Sales contracts e. Foreclosures f. Wills
a
Which of the following occurrences will not terminate an offer? a. Acceptance b. Rejection c. Revocation
e
Which of the following statements could be a valid offer? a. An expression of opinion b. A statement of an intention to do something in the future c. An invitation to negotiate d. Advertisements e. An auction without reserve
c
Which of the following treaties is NOT relevant to e-contracts? a. The Hague Convention on the Choice of Court Agreements b. The United Nations Convention on the Use of Electronic Communications in International Contracts c. The International Convention on Trademark Disputes
b
Why is the preeminence of United States law regarding e-commerce likely to be challenged in the future? a. It is likely to be challenged in the future due to United States case law continuing to be applied worldwide. b. It is likely to be challenged in the future due to Internet use continuing to expand worldwide. c. It is likely to be challenged in the future due to problems within the European Union. d. It is likely to be challenged in the future due to Internet use continuing to decline worldwide.