Law test 2

Which of the following forms of payment can a common carrier transporting goods under a COD shipment accept -cash -certified checks -cashiers checks -all

-all

Which of the following statements is true of warehousing

A building is not essential to warehousing

Which of the following is true of the assignment of rights in a contract

A clear and specific contractural prohibition against the assignment of rights is enforceable at common law

Which of the following contracts will most likely be granted specific performance by a court of equity?

A contract for the purchase of land

In a contract, sometimes a promises primary intent is to discharge a duty to a third party. Which of the following describes this type of contract

A contract where the insured names a bank with which he has a loan ad the beneficiary of a life insurance policy

A document of title that by its terms calls for goods to be delivered "to the bearer" or "to the order of" a named person is

A negotiable bill of lading

Which of the following exemplifies a situation in which there is a third party incidents beneficiary who will be unable to enforce an agreement.

A subcontractor to a contract between a real estate developer and an insurance company over bonds issued in favor of a city for developing homes.

When the parties have differing views as tot he performance required by the terms of a contract, they may agree to a different performance. Such an agreement is called an

Accord

According to the uniform commercial code a merchant is a person -who is a dealer in a particular type of goods -who has special knowledge of the relevant commercial practiced -who needs to have flexibility and speed in his or her transactions -all

All

In which of the following situations is a contract that does not satisfy the writing requirement of the article 2 statute of frauds, but which is otherwise valid, enforceable? -when the goods have been delivered and accepted -when payment has been accepted -when the goods have been specially manufactured and are not suitable for sale in the ordinary course of s sellers business - all

All

When goods are delivered to a common carrier for immediate shipment and hike they are in transit, the carrier is absolutely liable for any loss of damage to the goods unless it can prove that the loss or damage was due solely to some excepted causes. Which of the following is one of the excepted causes? -act of god -an act of a public enemy -an act of s public authority -all the above

All

As security for unpaid transportation and service charges, a common carrier has -the right to a lei on goods that it transports -a lien that includes the cost of preservation of the goods — a lein that secured demurrage -all the above

All the above

Which of the following is true of an incidental beneficiary to a contract

An incidental beneficiary is not entitled to sue as a third party beneficiary in a contract between other persons

Which of the following is true about the vesting of an incidental beneficiary's rights to a contract

An incidental beneficiary is not meant to benefit from the contract and acquired to rights to a contract

In a contract, the third party to whom contract benefits are transferred is referred to as an

Assignee

The transfer of a contract right to a third party is known as an

Assignment

A common carrier must deliver goods

At the usual place of delivery at the specified destination

By operation of law one might be able to discharge their contractual obligations by:

Bankruptcy

Which of the following involves a discharge of a contract by operation of law where ordinary contract claims against a debtor are eliminated

Bankruptcy

A document issued by a carrier reciting the receipt of goods and the terms of the contract of transportation is called an

Bill of lading

A condition that must occur before a party to a contract has an obligation to perform under the contract is called a

Condition precedent

An event whose occurrence or lack thereof terminates a contract is referred to as a

Condition subsequent

In the contract of compensatory damages, damages that do not necessarily flow from the type of breach of contract involved but happen to do so in a particular case as a result of the injured party's particular circumstances are known as

Consequential damages

The pattern of performance between two parties to a contract refers to

Course if dealing

An intended beneficiary of a contract to whom the promisees primary intent in contracting is to give a benefit is referred to as a

Donee beneficiary

A firm offer by a merchant cannot be revoked if the offer

Expresses an intention that it will be kept open

When, after a contract is made, a party's principal goal is substantially frustrated without his or her fault by the occurrence of an event whose nonoccurrence was a basic assumption on which the contract was made, his or her remaining duties can be discharged by:

Frustration of purpose

An order of a court of equity to refrain from doing or to do a specified act is known as

Injunction

Which of the following is true of the doctrine of commercial impracticability

It was developed to deal with the rule that a party must perform its contracts unless it is absolutely impossible

The term "usage of trade" refers to

Language and customs of an industry

The parties to a contract may stipulate in their contract amount should be laid in case of a breach. This amount is known as

Liquidated damages

A warehouse is not an insurer of goods. A warehouse is liable for

Loss or damage to goods stored when the warehouse is negligent

A transferee of a nonnegotiable warehouse receipt acquired only the title and rights that the transferor had actual authority to transfer. Therefor, the thransforees rights

May be defeated by a good faith purchaser of the goods from the transferor of the recept

An injured part in a contract has a duty to not permit the damages to increase can be prevented by a reasonable efforts. This reflects the doctrine of

Mitigation of damages

Injured parties that do not sustain and actual loss because of a breach of contract are entitled to a judgment of a small sum of money such as $1; these damages are called

Nominal damages

When a judge enters a very small order for damages and when the plaintiff has not sustained or cannot prove any injury or loss for a breach of contract action, the plaintiff has entered an order for

Nominal damages

A discharge of a contract by the substitution of a new contract involving a new party is referred to as a

Novation

A substitution for an old contract with a new one that either replaces an existing obligation or replaces an original party with a new party is called a

Novation

Damages in excess of actual loss, imposed for the purpose of punishing or making an example of the defendant, are known as

Punitive damages

At times, a written contract does not correctly state the agreement already made by the parties. When this occurs, either party may seek to have the court correct the writing to state the agreement actually made. This rewriting is known as:

Reformation

In the context of a contract, when the damages sustained by a plaintiff can be measured in monetary terms, specific performance will be

Refused

An equitable rule that if a good-faith attempt to perform does not precisely meet the terms of an agreement, the agreement will still be considered complete if the essential purpose of the contract is accomplished is referred to as a(n) __________.

Substantial performance

An offer to perform in a contract is known as a

Tender

Which of the following is true of the scope of the united national convention on contracts for the international sale of goods

The CISG does not govern all contract between parties in the countries that have ratified the convention

What issue did the court rule in tips v. Hartland developers inc

The court examined the amount of damages owed to a contractor upon and anticipatory reputation of the contract

A transferor makes certain implied warranties to the transferee when a bill of lading is transferred. These warranties include all of the following except

The fact that it is not applicable to negotiable transfers

A contract involving both services and goods is classified as a contract for the sale of goods if

The sale of goods is the dominant aspect of the transaction

Which of the following transactions is governed by article 2 of the uniform commercial code?

The sale of oranges to be picked from a ten-acre grove

The minimum terms required for formation of an agreement under the uniform commercial code

The subject matter and quantity

Under article 2 of the uniform commercial code a sale of goods happens when

The transfer of title to tangible property for a price is passed

When a contract is intended to profit a third person, such a person is a

Third party beneficiary

The relationship of guest and hotel keeper does not automatically end when the hotel bill is paid. It ends

When the guest leaves or ceases to be a transient

What issue did the court consider birkel v. Hassebrook farm service inc

Whenever birkel had a right to sue the implement dealer for the costs of drying and storing grain when the installed bin did not work properly

The main issue in court in the TEC Olmos, LLC v. ConocoPhillips Co. case was

Whether a downturn in the oil and gas market was a force majeure event

One issue before the court in the Copeland v. Admiral pest control co. Case was

Whether a guest in the motel was a third party beneficiary of a contract between the motel and pest control company

What issue did the court consider in the Union Pacific railroad v. Novus international inc case

Whether a third party beneficiary must be named in writing in the contract.

One issue before the court in the Credit General Insurance Co v. NationsBank case was

Whether nations-bank wrongfully paid l&s the proceeds of the certificate of deposit, which belonged to credit general.

One issue before the court in the hamill v. Cheley Colorado camps inc case was

Whether prospective negligent claims were waived in the risk release form

One issue before the court in the in re owens Corning et al debtors in possession case was

Whether the court can enter an order can enter an order of reformation in a case where there is a unilateral mistake of a material fact

One issue before the court in Fischer v. Heyman case was

Whether the electrical problem upon inspection was a major defect for the heymanns to void the agreement

When the court ruled in Birznieks v. Cooper what issue did it consider

Whether the mailing a check in payment of a debt by the due dates is payment within the time frame specified

The fact that no time is specified in a contract means that

a reasonable time for performance will be implied

Which of the following is true about the requirements for the form of an assignment: -an assignment may be in any form - statutes may require that certain assignments be in writing or executed ina a particular form -any words, written or spoken, that show an intention to transfer or assign will be respected -all of these choices are correct

all of these are correct

The party owing a debt under a contract is the:

obligor

An injured party who rescinds a contract after having performed services may recover the reasonable value of the performance rendered as

restitution

A contract is usually discharged by

the performance of the terms of the agreement

One issue before the Supreme Court of Texas in the energy transfer partners LP v. Enter prods partners LP case was

whether a partnership between ETP and enterprise was authorized by a board of directors approved agreement