CLAW-301 Foust Exam 2 pt 1/3

Berto pushes Consuela to the ground, grabbing her smartphone as she falls. The use of force or fear is required for this act to constitute a. burglary. b. any crime. c. larceny. d. robbery.

d. robbery.

Global Enterprise Corporation, a U.S. firm, wishes to participate, but limit its involvement, in Middle Eastern markets. Global Enterprise empowers Alem, Ltd., a United Arab Emirates firm, to enter into contracts in certain countries on Global Enterprise's behalf. This is a. a distribution agreement. b. an agency relationship. c. indirect exporting. d. licensing

b. an agency relationship.

The government of Korea sets a limit on the amount of rice that can be imported from the United States. This is a. a dumping duty. b. an antidumping duty. c. a quota. d. a tariff.

c. a quota

BeFriends Corporation uses the trademark of Community Life Inc., a social media site, as a meta tag without Community Life's permission. This may be permissible a. if the appropriating site has nothing to do with the meta tag. b. if the two sites appear in the same search engine results. c. if the use constitutes trademark infringement. d. under no circumstances.

d. under no circumstances.

Eddie and other users of Facebook and other social networking sites post trademarked images and copyrighted materials on these sites without permission. This is a. a violation of the intellectual property rights of the owners of the images and materials. b. within the rights of the users of social networks. c. a subject for dispute resolution by the providers of the social networks. d. a "business-extension exception" under the Electronic Communications Privacy Act.

a. a violation of the intellectual property rights of the owners of the images and materials.

On behalf of the jazz group Fusion, their manager Greg agrees to a performance in Hillside Amphitheatre on July 4. Hillside sends a written copy of the agreement to Greg to be signed. If Greg signs the copy, the parties will have a. an express contract. b. an implied contract. c. a mixed contract. d. no contract.

a. an express contract.

Brian offers Carly a dozen piano lessons for a certain price per lesson but conditions the deal on Carly accepting the offer by April 1. Brian may revoke the offer a. before Carly accepts the offer. b. before April 1, whether or not Carly has accepted the offer. c. only after Carly accepts the offer. d. only after April 1.

a. before Carly accepts the offer.

Home Construction LLC enters into a contract with Irene to build a house. Before Home starts to work, the market price for its services increases—in effect, Home will lose money if it fulfills its contract with Irene. Home notifies her that it will not perform. Home's obligation to perform is a. breached. b. discharged. c. rescinded. d. suspended.

a. breached.

Minerals Mining Company, a U.S. firm, owns property in Bolivia. The government of Bolivia seizes the property for an illegal purpose without paying just compensation. This is a. confiscation. b. defalcation. c. dumping. d. expropriation.

a. confiscation.

Asian Noodle Company contracts to sell 1,000 cases of rice noodles to Bob's Bistros, Inc., but refuses to deliver. Bob's was able to purchase the noodles from Noodle Bowl Inc. at a slightly higher price. Bob's right to purchase substitute noodles from Noodle Bowl is the right of a. cover. b. cure. c. tender. d. specific performance.

a. cover.

Rose commits an act via e-mail against Savers Bank, a business in Texas, where the act is a cyber crime. Rose resides in Utah where the act is not a crime. Prosecution of Rose in Texas involves questions of a. jurisdiction. b. "maximum contacts." c. the immunity of Internet service providers. d. encryption.

a. jurisdiction.

Mobile Device Company (MDC) discovers that defamatory statements about its policies and products are being posted in an online forum. NuView Inc., the Internet service provider whose users are posting the messages, refuses to disclose the identity of the person or persons responsible. MDC should a. seek to use the authority of the court to obtain the identity from NuView. b. bring a suit against NuView for publishing the statements. c. counter the statements with its own posts. d. post defamatory statements about NuView.

a. seek to use the authority of the court to obtain the identity from NuView.

Venezuela seizes the assets of World Oil, Inc., a U.S. firm. World Oil's recovery from Venezuela in a U.S. court may be prevented by a. the act of state doctrine. b. the World Trade Organization. c. the Central American Free Trade Agreement. d. the principle of comity.

a. the act of state doctrine

Interactive Entertainment Corporation markets its products online. Through the use of cookies, Interactive Entertainment and other online marketers can a. track individuals' Web browsing activities. b. gain access to competitors' servers. c."sweet talk" consumers into buying certain products. d. attack competitors' Web sites.

a. track individuals' Web browsing activities.

Oxley contracts to buy a pizza oven from Restaurant Supplies Warehouse (RSW) for $2,500, but RSW fails to deliver. Oxley buys the appliance else-where for $3,500. Oxley's measure of damages is a. $1,000. b. $1,000 plus incidental damages. c. incidental damages only. d. $0.

b. $1,000 plus incidental damages.

Mont Blanc S.A., a French firm, imports its goods into the United States and offers those goods for sale at "less than fair value." "Fair value" is the price of Mont Blanc's goods in a. the European market. b. France. c. the United States. d. the world market.

b. France.

Mia offers Nevin, a building inspector, money to overlook the violations in her new warehouse. Nevin accepts the money and overlooks the violations. Mia is charged with the crime of bribery. The crime occurred when a. Mia decided to offer the bribe. b. Mia offered the bribe. c. Nevin accepted the bribe. d. Nevin overlooked the violations.

b. Mia offered the bribe.

A contract between Fruit of the Valley Corporation and Green Grocer, Inc., requires Fruit to deliver goods to Green's place of business. This is a. a bill of lading. b. a destination contract. c. a shipment contract. d. a warehouse receipt.

b. a destination contract

Digital Enterprise, Inc., promises to pay its employees a year-end bonus "if profits continue to be high and management agrees at the time." This is a. an enforceable contract. b. an illusory promise. c. an option-to-cancel clause. d. promissory estoppel.

b. an illusory promise.

Amy and Bob enter into a contract for Bob to perform waste management services for Amy's commercial properties. Later, Bob alters a material term-increases the price-without Amy's knowledge or consent. Amy a. can alter a material term, such as the payment date, without Bob's consent. b. can treat the contract as discharged. c. must adapt his performance accordingly. d. must determine whether Bob's alteration constitutes substantial performance.

b. can treat the contract as discharged.

Kali contracts to sell Leony her car for $3,000. This contract will be fully discharged when Kali and Leony a. agree to sign a bill of sale. b. exchange the car for the $3,000. c. sign a receipt. d. shake hands and go their separate ways

b. exchange the car for the $3,000.

Home Remodelers, Inc., and Imogen enter into a contract for a sale of cabinets and countertops. Home Remodelers, a merchant who deals in goods of the kind sold, notes that its goods come with an implied warranty of merchantability, Under the UCC, this means that the goods are reasonably a. fit for the buyer's particular purpose. b. fit for the ordinary purpose for which such goods are used. C. suitable for resale at an acceptable price. d. the best quality that money can buy.

b. fit for the ordinary purpose for which such goods are used.

Jordan reaches into Ken's pocket and takes his wallet—without his consent and without his immediate awareness. Unlike robbery, picking pockets does not involve a. breaking and entering. b. force or fear. c. large amounts of cash. d. weapons.

b. force or fear.

Berry enters into a contract with Clyde for a guided tour of Deep Canyon. Clyde represents that he is an experienced, knowledgeable guide, when in reality he has never been in the canyon. Berry is most likely a victim of a. undue influence. b. fraud. c. mistake. d. unconscionability.

b. fraud.

Marketing Solutions Inc. promises to employ Niki as a software engineer. In reliance on the promise, Niki quits her job with Online Ad Company, but Marketing Solutions does not hire her. Most likely, Marketing Solutions is a. liable to Niki under the concept of rescission and new contract. b. liable to Niki under the doctrine of promissory estoppel. c. liable to Niki under the preexisting duty rule. d. not liable to Niki.

b. liable to Niki under the doctrine of promissory estoppel.

Reese, driving while intoxicated, causes a car accident that results in the death of Sanyo. Reese is arrested and charged with a felony. A felony is a crime punishable by death or imprisonment for a. any period of time. b. more than one year. c. more than six months. d. more than ten days

b. more than one year.

Carlos and David contract for the sale of five hundred head of Carlos's cattle for $95 per head. Unknown to either party, an unforeseen storm has struck the herd and many of the cattle have died. David is a. entitled to recover the value of the lost cattle. b. not required to pay due to the bilateral mistake. c. not required to pay due to the unilateral mistake. d. required to pay because he assumed the risk the cattle might die.

b. not required to pay due to the bilateral mistake.

Lauren files a suit against Moving Service for breach of contract, based on what Lauren claims was Moving's offer. For a court to determine if a contract has been breached, under the common law, the offer must include terms that are a. exactly precise. b. reasonably definite. c. unequivocally approximate. d. vague or uncertain.

b. reasonably definite

A contract for a sale of land from Bayside Properties, Inc., to City Development Corporation contains an erroneous legal description. The most appropriate remedy for these parties is a. restitution. b. reformation. c. rescission. d. specific performance.

b. reformation.

Robert registers a domain name—sweetfriedpotatos.com--that is a misspelling of a popular brand sweetfriedpotatoes.com. This is a. cybersquatting. b. typosquatting. c. trademark infringement. d. trademark dilution.

b. typosquatting

Via the Internet, Rocco sabotages the computer system of Quik Chik'n Inc., a food manufacturer, with the purpose of altering the levels of ingredients of the company's products so that consumers of the food become ill. Rocco is a. an entrapper. b. a network employee. c. a cyberterrorist. d. a prosecutor.

c. a cyberterrorist.

. Business Rental Corporation (BRC) and Cartage Trucking Company enter into a contract for a lease of ten hydraulic lifts. Under the perfect tender rule, BRC must ship or tender goods to the lessee that a. approximately conform to the contract description. b. entirely conform to the contract description except in one or two details. c. conform to the contract description in every way. d. substantially conform to the contract description in most details.

c. conform to the contract description in every way.

Tile & Grout (T&G) contracts to resurface the insides of the pools at Water Park. T&G knows that without the resurfacing, Water Park will have to delay its seasonal opening. T&G does not perform as promised. As consequential damages, Water Park can recover a. the cost of new pools. b. the difference between T&G's price and the eventual cost of resurfacing. c. the loss of profit from the delayed opening. d. nothing.

c. the loss of profit from the delayed opening.

Suisse Internationale, a Swiss maker of athletic equipment, enters into a price fixing agreement with Team Sports, a U.S. wholesaler of Suisse's products. U.S. courts will apply U.S. antitrust laws if a. the agreement was made in Switzerland. b. the agreement was made in the United States. c. the price fixing has a substantial effect on U.S. commerce. d. the Swiss government agrees to be sued in the United States.

c. the price fixing has a substantial effect on U.S. commerce.

The United States taxes each barrel of imported oil at a flat rate. This is a. an antidumping duty. b. a dumping duty. c. a quota. d. a tariff.

d. a tariff

Don sends an e-mail to Eve, promising her a percentage of the amount in a foreign bank account if she will assist in transferring the funds to a U.S. bank account. Eve forwards her account number, but the funds are never sent. Instead, Don quickly withdraws the funds in Eve's account. This is a. hacking b. identity theft. c. phishing. d. cyber fraud.

d. cyber fraud.

Jade puts up a collection of sports memorabilia for bids on BuyBuy, an Internet auction site. Khalil makes the highest bid and sends the payment, which Jade receives, but she does not send the collection. This is a. hacking. b. identity theft. c. phishing d. cyber fraud.

d. cyber fraud.

Kim enters into a contract to lease an apartment from Laurel Wood Apartments. The lease contains an exculpatory clause. This clause is a. enforceable as a matter of public policy. b. enforceable if it releases the landlord from liability regardless of fault. c. enforceable if an event occurs to which the clause applies. d. generally unenforceable.

d. generally unenforceable.

Elegant Carpets, Inc., and Fantastic Floors Stores enter into a contract for a sale of carpeting to be delivered under a shipment contract. This contract requires Elegant Carpets, the seller, to a. allow the buyer to reject the goods for any reason. b. deliver the goods to a particular destination. c. inspect the goods before shipping them. d. place the goods into the hands of a carrier.

d. place the goods into the hands of a carrier

Herb, a computer programmer for Inventory Control Ltd., is arrested in his employer's parking lot on suspicion of larceny. Herb must be informed of his right to a. a trial by jury. b. punishment. c. question witnesses. d. remain silent.

d. remain silent.

Building Restoration, Inc. (BRI), enters into a contract to refurbish an old train depot for Casual Dining, Inc., to open as Eat Up Restaurant. If BRI completes most of the work promised in the contract, its performance will be a. absolute. b. complete. c. material. d. substantial.

d. substantial.

Global Outfitters Outlet and Holly, a consumer, enter into a contract for a sale of camping gear. If the contract includes a clause that is perceived as grossly unfair to Holly, its enforcement may be challenged under a. the mirror image rule. b. the principle of fair trade. c. the predominant-factor test. d. the doctrine of unconscionably.

d. the doctrine of unconscionably.

Gene, an accountant, convinces his client Hazel to sign a contract to invest her savings in 2Gether, a nonexistent social-networking Web site. There is clear and convincing evidence that Hazel did not act out of her free will. This is a. duress. b. fraud. c. mistake. d. undue influence.

d. undue influence.

Edwin is charged with a crime. Almost all federal courts and some state courts would not hold him liable if, at the time of the offense, as a result of a mental disease or defect, he lacked substantial capacity to obey the law and to appreciate a. the power of the police. b. the authority of the court. C. the wrongfulness of his conduct. d. the fruits of his crime.

C. the wrongfulness of his conduct.

Grande Floors, Inc., and Home Decor Stores enter into a contract for a sale of carpeting. Grande Floors, a merchant who deals in goods of the kind sold, makes express warranties in connection with the sale. Under the UCC, at the time a contract is formed, an express warranty can be disclaimed or modified a. by clear, conspicuous language called to the buyer's attention. b. by implied affirmations of fact relating to the goods. c. in any way that the seller sees fit for the ordinary purpose. d. in no way.

a. by clear, conspicuous language called to the buyer's attention.

Tech Outsourcing, Inc., registers a domain name that is the same as, or confusingly similar to, the trademark of Tech Resourcing Corporation and then offers to sell the domain name back to Tech Resourcing. This is a. cybersquatting b. typosquatting. c. trademark infringement. d. trademark dilution.

a. cybersquatting

Web Marketing Inc. buys and sells domain names with the click of a mouse. A domain name can be bought and sold many times. Each change of owner is registered automatically as part of a mass registration. In this environment a. cybersquatting can flourish. b. typosquatting occurs unintentionally through clerical misspellings. c. brands and trademarks are automatically protected from cybersquatters. d. the Federal Trade Commission can sanction Web Marketing.

a. cybersquatting can flourish.

River Gear Company and Scenic Trips, Inc., enter into a contract on August 1 for the sale of fifty inflatable river rafts. Scenic cancels the contract ten days later, before the goods have been delivered. River Gear's available remedies include all of the following except a. the right to cancel the contract. b. the right to replevy the goods. c. the right to withhold delivery. d. the right to resell or dispose of the goods.

b. the right to replevy the goods.

Gilda is accused of conspiracy to defraud. She is given an opportunity to object to the charge before a judge. She is also given the opportunity to confront and cross-examine witnesses and to present her own witnesses. These procedures represent a. a reasonable expectation of privacy. b. the prohibition against double jeopardy. c. due process of law. d. the privilege against self-incrimination.

c. due process of law

Car Lot's salesperson Dick offers to sell Ernie, who is twenty years old, a car. Dick intentionally misrepresents the vehicle's use and repairs. In reliance, Ernie buys the car. To prove fraud, Ernie does not have to show that a. Dick intentionally deceived Ernie. b. Dick misrepresented material facts. c. Ernie is under twenty-one. d. Ernie justifiably relied on Dick's misrepresentations

c. Ernie is under twenty-one

Roofing Company buys asphalt tiles from Shingles, Inc. The parties agree that the tile will be shipped "F.0.B, Shingles warehouse" to Roofing's location via Shipping Corporation. The tiles are lost in transit. The loss is suffered by a. Shipping Corporation. b. Shingles, Inc. c. Roofing Company. d. Roofing's customers by an increase in the prices of goods and services.

c. Roofing Company.

BurgerBoy Restaurant Corporation allows its trademark to be used as part of a domain name for BurgerBoyNY, Inc., an unaffiliated company. BurgerBoyNY does not obtain ownership rights in the mark. This is a. trademark infringement. b. fair use. c. a license. d. trademark dilution.

c. a license.

. Bull is arrested at a warehouse in Corporate Park and charged with the crime of theft. Bull will be prosecuted by a. the owner of the warehouse. b. the owner of the property that Bull is charged with stealing. c. a public official. d. any third party unrelated to Bull, the property, or the crime.

c. a public official

A valid contract requires a. a price and a subject. b. a duration and termination provision. c. an offer and an acceptance. d. specific quality standards.

c. an offer and an acceptance.

Edith works for Fast Trades, Inc., a brokerage that facilitates frequent, quick securities transactions for investors. Edith steals her employer's computer program to start up her own competing business, Get Rich Quick, Inc. This is a. obtaining goods by false pretenses. b. robbery. c. larceny. d. no crime.

c. larceny.

Mariah takes off her ring and places it on her desk while she works. Without her knowledge or consent, her coworker Nita picks up the ring, puts it on, and walks away. Nita has likely committed a. burglary. b. forgery. c. larceny. d. no crime.

c. larceny.

Stephanie enters into a contract to work as a lifeguard at Tim's Water Park for the summer in exchange for a weekly paycheck and free admission to the park's attractions. If Stephanie works the entire summer and Tim's provides her paychecks and free admission, the duties have been a. avoided. b. breached. c. performed. d. rescinded.

c. performed.

Swift Trucking, Inc., and Trailer Rents Corporation are parties to an oral agreement for a one-year lease of six doublewides with payments totaling more than $40,000. They may satisfy the Statute of Frauds by a. mutually agreeing not to commit fraud. b. repeating the terms in a phone call. c. setting out the terms in a memo. d. shaking hands on the deal.

c. setting out the terms in a memo.

Owen and Pablo enter into a contract for a sale of well-drilling equipment. Pablo pays, but Owen does not deliver. Pablo can normally recover as damages the difference between a. any loss avoided and any profit gained. b. the actual price and the hoped for price. c. the contract price and the market price. d. the current prices in the parties locations.

c. the contract price and the market price.

Tropic Foods Corporation, a U.S. firm, owns property in Ecuador. When the Ecuadoran government seizes the property, Tropic Foods asks a U.S. court to order the property's return. The court rules that Ecuador is exempt from the court's jurisdiction. This is a. a travesty of justice. b. the act of state doctrine. c. the doctrine of sovereign immunity. d. the principle of comity.

c. the doctrine of sovereign immunity.

Telfonix Corporation, a U.S. firm, and Adex, Inc., a British firm, are parties to a contract with an arbitration clause, a forum selection clause, and a choice-of-law clause. If a dispute arises under the agreement, a. the aggrieved party will file a lawsuit in the court specified in the forum-selection clause, but will follow federal law. b. the aggrieved party will file a lawsuit in the court specified in the forum-selection clause, and will follow the law of the jurisdiction set out in the choice-of-law clause. c. the parties will first submit to arbitration before any lawsuit can be filed. d. the aggrieved party will file suit in the United States.

c. the parties will first submit to arbitration before any lawsuit can be filed.

Ryan is accused of auto theft. Ryan refuses to give information related to his alleged criminal activities because he suspects it will be used to prosecute him. This is a. duress. b. entrapment. c. the privilege against self-incrimination. d. necessity

c. the privilege against self-incrimination.

TackMaker, Inc., and Silver Stallion Stables enter into a contract for a sale of bridles, saddlery, and other equine equipment. Tack Maker delivers, but Silver does not pay. TackMaker can normally recover as damages a. any profit lost minus any loss avoided. b. whatever amount the seller wishes to claim. c. the purchase price plus incidental damages. d. the market price at the place at which the seller delivered the goods

c. the purchase price plus incidental damages.

Quinn enters into a series of agreements with Reba involving a sale of a Suite Dreams Motel, including the land, building, furnishings, shares of stock in Suite Dreams Company, and a contract with Trudy to create an ad campaign. Reba suspects that Quinn may be misrepresenting the facts. The UCC Statute of Frauds covers a. the sale of any of the property evidenced by a writing. b. the entire deal, including the marketer's services. c. the sale of the furnishings priced at $500 or more. d. the sale of the land and the building.

c. the sale of the furnishings priced at $500 or more.

Property Management, Inc. (PMI), presents a standard-form lease for an apartment to Quentin, a potential tenant. PMI offers it on a take-it-or-leave-it basis. Quentin signs it, but later wants to withdraw from it. He is most likely to avoid enforcement of the lease on the ground of a. economic duress. b. undue influence. c. unconscionably. d. mistake.

c. unconscionably.

Eliza buys a new motorcycle from Fab Cycles, Inc. The most important factor in determining whether an express warranty is created is whether a. Eliza expresses to Fab Cycles what she wants warranted. b. Eliza's desire for the cycle becomes part of her motivation to deal. c. Fab Cycles expresses to Eliza what it expects of its customers. d. Fab Cycles's promise becomes part of the basis of the bargain.

d. Fab Cycles's promise becomes part of the basis of the bargain.

Pipes & Culverts Company orders six irrigation pumps from Quality Plumbing, Inc. The pumps are stored in Restorers Warehouse. Under the terms of the order, Quality must give Pipes & Culverts a warehouse receipt for the goods, which Pipes will then pick up. Title to the goods passes to Pipes & Culverts when a. Quality stores the pumps. b. Pipes & Culverts orders the pumps. c. Pipes & Culverts picks up the pumps. d. Quality gives Pipes & Culverts a warehouse receipt for the pumps.

d. Quality gives Pipes & Culverts a warehouse receipt for the pumps.

Quest Outdoor Store orders RiverRun-brand kayaks from Sports Merchandise, Inc. Sports Merchandise mistakenly ships kayaks of the wrong size, which Quest rejects and returns via Trans-State Shipping Company. During the return, the kayaks are lost. The loss is suffered by a. Quest. b. Trans-State. c. RiverRun. d. Sports Merchandise.

d. Sports Merchandise.

Fruit Packers, Inc., provides its sales representatives with phones to use in the ordinary course of business. Fruit monitors the employees' electronic communications made through the phones. This is a. a violation of the rights of Fruit's employees. b. within Fruit's rights even if the employer did not provide the phones. c. a subject for dispute resolution by Fruit's phone service. d. a "business-extension exception" under the Electronic Communications Privacy Act.

d. a "business-extension exception" under the Electronic Communications Privacy Act.

Because of the loss of significant amounts of revenue as a result of unauthorized digital downloads, file-sharing has created problems for a. the motion picture industry. b. recording artists and their labels. c. the companies that distribute file-sharing software. d. all of the choices.

d. all of the choices.