Chapter 11 Agreement (B-Law) LEARNING INFO

The primary purpose of the Uniform Electronic Transaction Act (UETA) is to remove barriers to ____________ by giving the same legal effect to __________ records and signatures as is given to written documents and signatures.

1. e-commerce 2. electronic

_____________ do not require internet users to assent to the terms before downloading certain software.

Browse-wrap terms

An effective offer requires that a reasonable price be related to market value. T or F

FALSE

Because individuals rarely read the underlying language in a click-on agreement, they are always invalid. T or F

FALSE

The basic requirements for an electronic contract are different than those for a paper contract. T or F

FALSE

A "record" is information that is inscribed on a tangible medium or stored in an electronic retrievable form. T or F

TRUE

Agreement is normally evidenced by an offer and an acceptance. T or F

TRUE

An acceptance sent by means not expressly or impliedly authorized normally is not effective until it is received by the offeror. T or F

TRUE

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. T or F

TRUE

If the UETA is enacted without modifications by a state, state law will govern. T or F

TRUE

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. T or F

TRUE

One way online sellers and buyers who frequently do business together can prevent disputes over e-contract signatures is to form a partnering agreement. T or F

TRUE

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. T or F

TRUE

If the UETA is enacted with modification, state law governs if: (choose all that apply) a. The state law was enacted after the E-SIGN Act and refers to it. b. The State law was enacted prior to the E-SIGN Act. c. The state's procedures or requirements are consistent with the E-SIGN Act. d. The state does not give priority to one type of technology.

a. The state law was enacted after the E-SIGN Act and refers to it. c. The state's procedures or requirements are consistent with the E-SIGN Act. d. The state does not give priority to one type of technology.

What will a court generally not review to determine whether a contract's terms are definite? a. The value of the consideration. b. The identification of the parties. c. The time of payment, delivery, or performance. d. The identification of consideration.

a. The value of the consideration.

To what type of transaction does the UETA NOT apply? a. Transactions in which one party has revoked their consent to conducting business electronically b. Transactions in which one party refuses to conduct business electronically c. Transactions that have been negotiated for a contract via e-mail d. The electronic records and signatures relating to a transaction

a. Transactions in which one party has revoked their consent to conducting business electronically b. Transactions in which one party refuses to conduct business electronically

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 statement of future intent. b. a valid offer. c. an agreement to agree.

a. a statement of future intent.

A person enters her or his name at the bottom of an e-mail purchase order. That name would be: a. a valid signature. b. an invalid signature.

a. a valid signature.

The UETA covers: a. only electronic records and signatures relating to transactions. b. all contracts. c. signatures produced by a stamp. d. Written signatures by an authorized agent.

a. only electronic records and signatures relating to transactions.

Which of the following occurrences will NOT terminate an offer? a. Revocation b. Acceptance c. Rejection

b. Acceptance

Which of the following contracts and documents are NOT exempt from the Electronic Signatures in Global and National Commerce Act? a. Divorce decrees b. Sales contracts c. Foreclosures d. Evictions e. Wills f. Court papers

b. Sales contracts

An electronic record is considered sent when: a. the sender has received confirmation of its arrival with the recipient. b. it leaves the control of the sender or comes under the control of the recipient.

b. it leaves the control of the sender or comes under the control of the recipient.

When deciding questions about the enforceability of terms in shrink-wrap agreements, one important factor courts take into account is: a. whether the buyer read the entire agreement. b. whether the buyer learned of the shrink-wrap terms before or after the parties entered into the contract. c. whether the buyer could understand the language in which the terms were written.

b. whether the buyer learned of the shrink-wrap terms before or after the parties entered into the contract.

What are two typical dispute-settlement provisions that are included in online offers? Choose two. a. Choice-of-month clause b. Choice-of-judge clause c. Forum-selection clause d. Choice-of-law clause

c. Forum-selection clause d. Choice-of-law clause

Which three terms are typically presented in a shrink-wrap agreement? a. Age of buyer b. Date by when the box should be opened c. Remedies d. Warranties e. Issues associated with the use of the product f. Price of product or service

c. Remedies d. Warranties e. Issues associated with the use of the product

By which of the following methods can a party not terminate an offer? a. Counteroffer b. Revocation c. Repudiation d. Rejection

c. Repudiation

Which of the following is not a necessary element for an offer to be effective? a. The terms of the officer must be reasonably certain. b. The offeror must have a serious intention to be bound by the offer. c. The offer must be fair. d. The offer must be communicated to the offeree.

c. The offer must be fair.

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's subjective intent can't be known. b. because Pascal did not write anything down. c. because a reasonable person would know that a serious offer was not being made.

c. because a reasonable person would know that a serious offer was not being made.

Online contracts must be displayed: a. in large font. b. in black and white. c. in a readable format. d. in color.

c. in a readable format.

You receive a letter telling you that you will start receiving a box of fresh fruit each month and that if you don't want them, you have to reply within seven days. You ignore the offer. Your silence _____________________________.

does not constitute an acceptance of the offer

Which of the following statements could be a valid offer? a. A statement of an intention to do something in the future b. An invitation to negotiate c. Advertisements d. An expression of opinion e. An auction without reserve

e. An auction without reserve

In an auction, the auctioneer acts as the __________.

offeree

The UETA is NOT ______________ by the E-SIGN Act, if a state has enacted the UETA without modification.

preempted