blaw exam multiple choice
A subpoena duces tecum is different from an ordinary subpoena in that a subpoena duces tecum is binding on a person even if it is mailed to the person rather than handed to her by a process server. requires the person to bring specified documents to the court or administrative hearing. can only be given to an expert to require a personal appearance before a court or administrative hearing. allows for privileged or confidential information to be turned over the a court or administrative agency.
requires the person to bring specified documents to the court or administrative hearing.
A minor can undo a contract that has already been completed by having a court _______ the contract to formally cancel it. DISAFFIRM RATIFY AFFIRM RESCIND
rescind
An intentional tort involves conduct in which the defendant intended to harm the plaintiff. there is resulting punishment, including prison, for the defendant. the defendant intended a certain physical act which ends up injuring someone. injuries are caused to someone because of the defendant's neglect or oversight.
the defendant intended a certain physical act which ends up injuring someone.
Oxtron, Inc. substantially performed its obligations under a service contract. Oxtron is entitled to receive substantially nothing. the fair market value of its performance. the full contract price. the full contract price minus the value of the defects.
the full contract price minus the value of the defects.
Claude agrees to lease his house to Irvin for nine months, the lease to begin six months from the signing of the contract. Under the statute of frauds the lease is a collateral promise which must be in writing. the parol evidence rule renders the lease voidable. the lease is not required to be in writing. the lease is required to be in writing because of the one-year rule.
the lease is required to be in writing because of the one-year rule.
All of the following are characteristics of a closely held corporation EXCEPT -- the shareholders usually restrict share transfer. the corporation can typically operate without a board of directors. the shares are publicly traded. minority shareholders are provided more protection than in regular corporations.
the shares are publicly traded.
In its most basic terms, a fiduciary relationship is one of Competition Control Disclosure Trust
trust
The United States Supreme Court has the power to ratify treaties. issue executive orders. void laws passed by Congress. appoint judges to serve on the Supreme Court.
void laws passed by Congress.
A(n) _______ contract is illegal from the beginning and may not be enforced by either party; a(n) _______ contract is legal but permits one party to escape, if he or she so wishes disaffirmed; affirmed voidable; void affirmed; disaffirmed void; voidable
void; voidable
The corporate form of business --- was not known until the advent of the Industrial Revolution. was first known and used by the Greeks and then spread through the Romans to England. was first allowed in the State of New York around 1811 and is considered to be an American creation. is a relatively new concept developed shortly after the Great Depression.
was first known and used by the Greeks and then spread through the Romans to England.
Generally, reasonable liquidated damage clauses will be enforced when actual damages are difficult to determine. when actual damages are easily determined. only in real estate sales contracts. almost always.
when actual damages are difficult to determine.
The Supreme Court has held that in awarding punitive damages, a court must consider three "guideposts." Which of the following is NOT one of these guideposts? whether or not compensatory damages will also be awarded the difference between the punitive award and any civil penalties used in similar cases the ratio between the harm suffered and the award the reprehensibility of the defendant's conduct
whether or not compensatory damages will also be awarded
Derek and Abyan were discussing business over lunch when they agreed on the sale of a five-acre parcel of land. Since neither of them had any paper with them, Derek wrote the following on a napkin: "Abyan agrees to purchase from Derek a 5-acre parcel located at the local address of 123 105th Street, St. Joseph, Minnesota, U.S.A. for the price of $4,500 per acre. Transfer of title, payment, and possession to take place on May 1, 2011." Abyan signed the napkin. On May 1, 2011, Derek was ready to close the deal and transfer title but Abyan refused to pay the purchase price. If Derek sues Abyan for the price of the land, the most likely result will be: Derek will win because the statute of frauds does not apply to this situation. Derek will win because the writing is sufficient under the statute of frauds. Abyan will win because the writing is not sufficient under the statute of frauds. Abyan will win because Derek did not sign the writing.
Derek will win because the writing is sufficient under the statute of frauds.
An agent may not engage in inappropriate behavior that reflects badly on the principal. This rule applies to conduct During off duty time During both working hours and off duty time During working hours Only by public officials
During both working hours and off duty time
Jamie is building a house on her lot. She invites Earnie of Earnie's Excavation to bid on the excavation job. Earnie observes that the lot next to Jamie's is also under excavation and the soil in that lot is normal and not excessively rocky. Based on the assumption that the soil in Jamie's lot will be similar, he and Jamie agree that the excavation will cost $3,000. When Earnie starts digging, he learns there is solid rock under Jamie's lot. Earnie says it will cost an extra $2,500 for the excavation work. Jamie agrees just to get the job done but later refuses to pay a dime more than $3,000. If Earnie sues, the most likely result would be Earnie wins as this modification is governed by the UCC and consideration is not required to enforce a modification of the agreement. Earnie wins, as the modification was due to unforeseen difficulties. Jamie wins as Earnie was not acting in good faith and just wanted to put Jamie in a situation where she didn't have a choice but to agree to more money. Jamie wins, as Earnie was under a preexisting duty to dig the basement.
Earnie wins, as the modification was due to unforeseen difficulties.
Under the merchants' exception rule of the UCC, within a reasonable time of making an oral contract, if a merchant sends a written confirmation to another, and if the confirmation is definite enough to bind the sender herself, then the merchant who receives the confirmation will also be bound by it unless he objects in writing within 30 DAYS 10 DAYS 5 DAYS 3 DAYS
10 days
Bob, a house builder, contracts with Ollie to build a house on Ollie's lot. The total price of the construction is $100,000, $20,000 of which will be Bob's profit. After Bob has put $10,000 worth of materials into the house, Ollie wrongfully refuses to let him finish the house. If Bob sues for damages, he will be able to collect 30,000 100,000 20,000 10,000
30,000
Which of the following statements is accurate regarding a condition? ---- A condition will not be enforced by the courts unless formal language is used, regardless of the intent of the parties to create a condition. A condition is an event that must occur before a party becomes obligated under a contract. A condition must be expressly stated in order to be enforced. A condition is created only when the phrase "provided that" or a similar phrase introduces it.
A condition is an event that must occur before a party becomes obligated under a contract.
Hasbro, Inc., the trademark owner of "Candy Land," sought a court injunction to stop Internet Entertainment Group, LTD from using the domain name, "candyland.com." Internet Entertainment Group had established a sexually explicit site at the domain name. This injunction would have to be issued by A lawyer An executive order A jury A judge
A judge
The Minnesota legislature passed a law requiring that employers allow each employee adequate time within each four consecutive hours of work to utilize the nearest convenient restroom. This law is An executive order An ordinance A stare decisis A statute
A statute
For the purposes of the statute of frauds, an interest in land includes a long-term lease on an apartment. a real estate mortgage. an easement. All of the above.
All of the above.
Which of the following elements is not necessary to apply the doctrine of res ipsa loquitur? An ultrahazardous activity is involved The defendant had exclusive control of the thing that caused the harm The harm would normally not have occurred without negligence. The plaintiff had no role in causing the harm.
An ultrahazardous activity is involved
Angela sued Tom for battery. Angela was awarded $30,000 for future medical expenses. Five years after the award, Angela realizes that her medical expenses will far exceed $30,000. Under the single recovery principle, Angela will be able to submit the additional medical bills to the court for payment. Tom will have to pay the additional medical bills. Tom will have a qualified privilege and only have to pay a portion of the additional medical expenses. Angela will have no recourse against Tom or the court for the medical expenses as long as the original award was reasonable.
Angela will have no recourse against Tom or the court for the medical expenses as long as the original award was reasonable.
Mary contracted to buy 100 table lamps. Under the terms of the agreement, Mary is to pay for the lamps upon delivery. This is an example of CONDITION SUBSEQUENT SERVICE CONDITION CONDITION PRECEDENT CONCURRENT CONDITION
CONCURRENT CONDITION
Sam enters into a contract agreement to buy Betty Lou's house on the condition that he is able to secure financing at or below 6% per year. This is a CONDITION SUBSEQUENT NOVATION CONDITION CONDITION PRECEDENT CONCURRENT CONDITION
CONDITION PRECEDENT
Melody is a recent graduate of State Law School. She lands an impressive employment contract with the firm of Dewey, Cheathem, and Howe, Attorneys at Law, on the stated provision that she pass the upcoming bar exam. This provision in the employment agreement is a(n) CONDITION SUBSEQUENT IMPLIED CONDITION CONDITION PRECEDENT CONCURRENT CONDITION
CONDITION SUBSEQUENT
The form of business ownership that is the MOST easily transferable is the CORPORATION sole proprietorship close corporation general partnership
CORPORATION
Peter, a minor, purchased a car from ACME Motors. Using a fake ID, he misrepresented his age to be 18. The contract is fully executed. Which of the following is correct? Peter can disaffirm the contract, because a minor must be saved from his own poor judgment, including his lie. Either b or c may be applicable depending on the law of the jurisdiction in which the contract was formed. Peter cannot disaffirm the contract because of his misrepresentation. Peter cannot disaffirm the contract because a car is a necessary.
Either b or c may be applicable depending on the law of the jurisdiction in which the contract was formed.
Nikki was an tax accountant with HBR Accounting. Nikki decided to do some tax consulting in the evenings and on weekends. HBR is unaware of Nikki's consulting work. Which statement is correct? Nikki has not breached a fiduciary duty to HBR since her consulting is done after her work for HBR. Nikki has not breached a fiduciary duty to HBR since Nikki has a contractual relationship with her clients, not her employer. Nikki has breached a fiduciary duty to HBR since she is competing with HBR. Nikki has not breached a fiduciary duty to HBR since her behavior does not reflect badly on the accounting firm.
Nikki has breached a fiduciary duty to HBR since she is competing with HBR.
Which of the following is the MOST accurate statement regarding economic duress? It is never grounds for rescission. It is a UCC concept only. It may be grounds for rescission. It is always grounds for rescission.
It may be grounds for rescission.
Which of the following is an advantage of a corporation? It offers limited liability for its shareholders. It requires little expense to form a corporation. It is easy to form a corporation. It is a flow-through tax entity.
It offers limited liability for its shareholders.
Jill owns a retail business by herself and was sued by a customer who fell in the store. The customer claimed the business was negligent in caring for its floors. Which statement best describes Jill's potential liability? --- Jill has no potential liability to the customer. Jill can be held personally liable to the customer since she is the owner. Jill cannot be held personally responsible; the woman's insurance must pay for the claim. Jill can only be liable to the amount she initially invested in the business.
Jill can only be liable to the amount she initially invested in the business.
John hired Tim to sell his house. Which statement is correct? Tim is John's principal. Tim, but not John, can terminate the agency relationship. John is Tim's principal. John, but not Tim, can terminate the agency relationship.
John is Tim's principal.
Dodger bought an insurance contract from Liberty Farm Co. The policy contained a clause stating that all claims for losses had to be reported within 45 days after the date of the loss or the claim would be barred. Time is stated to be of the essence. Dodger sustained a covered farm loss, but did not report it to Liberty Farm until 50 days later. Liberty Farm denied coverage for the claim. If Dodger sues, who wins? Dodger wins; the contract was substantially performed. Dodger wins; courts will not enforce a time-of-the-essence clause. Liberty Farm wins; the impossibility doctrine applies. Liberty Farm wins; there was failure of a condition subsequent.
Liberty Farm wins; there was failure of a condition subsequent.
Police Officer Paul apprehends a wanted criminal and then demands the $10,000 reward offered by Crime Stoppers. Which of the following statements is true? Police Officer Paul is entitled to the reward because he puts his life on the line every day. Police Officer Paul is not entitled to the reward because past consideration is never valid consideration. Police Officer Paul is not entitled to the reward but may have an argument under promissory estoppel. Police Officer Paul is not entitled to the reward because he was under a pre-existing duty to make the arrest.
Police Officer Paul is not entitled to the reward because he was under a pre-existing duty to make the arrest.
Which of the following played a role in the creation of the U.S. government by solving the problem of federalism? The iroquis native americans Alexix de tocquiville Confucius The visigoths
The iroquis native americans
Which of the following is a valid defense to a defamation claim? The statement was only an opinion. The First Amendment guarantees the absolute right to free speech. The statement did not cause any grave injury. The statement was not slanderous only libelous.
The statement was only an opinion.
Jackie hires Charles to lay new carpet in her bedroom. Charles does such a bad job, that the only way to fix the carpet is to start over and relay the carpet. Which of the following best describes this situation? This is a material breach. Jackie owes nothing to Charles. This is a material breach. Jackie must still pay something to Charles. This is substantial performance. Jackie owes nothing to Charles. This is substantial performance. Jackie must still pay something to Charles.
This is a material breach. Jackie owes nothing to Charles.
The main difference between the UCC requirement for a writing for a contract for the sale of goods and the common-law rule is that the UCC requires the signature of only one party. UCC does not require all the terms of the agreement to be in writing. common-law requires only an indication that the parties reached an agreement. common-law requires only the signature of the defendant and the quantity of goods being sold.
UCC does not require all the terms of the agreement to be in writing.
In January, Alex promised to pay Y-K Inc. $5,000 if it would refrain from filing suit against him on a breach of contract action. Y-K agreed and accepted a $5,000 check from Alex. Which of the following statements is correct? Y-K's promise to refrain from suing Alex was not supported by legal consideration. The courts would apply promissory estoppel in this situation. Y-K's promise to refrain from suing Alex was supported by legal consideration and is enforceable. This is an accord and satisfaction, and Y-K cannot sue.
Y-K's promise to refrain from suing Alex was supported by legal consideration and is enforceable.
Janet was employed as a sales representative for Esday, Inc. An appreciative customer gave her a diamond bracelet for all her hard work on a complicated contract. Can Janet keep the bracelet? Yes. The bracelet was given to Janet personally and intended for her. Yes, but only if she discloses the gift to Esday and Esday consents to her keeping the bracelet. No. The bracelet is regarded as an unfair trade practice and violates antitrust law. No. An agent is not allowed under any circumstances to personally profit as a result of the agency relationship.
Yes, but only if she discloses the gift to Esday and Esday consents to her keeping the bracelet.
Zero, Inc. agreed to build Millie a storage building for $8,000. After beginning the project, Zero realized that it could not complete the job and make a profit. Zero demanded $9,500 to complete the building. Millie agreed to pay the $9,500. When the project was complete, Millie tendered $8,000 to Zero for the job. If Zero sues Millie for the remaining $1,500, Zero will win because Millie had a pre-existing duty to pay any additional amounts. Zero will lose because there was no legal consideration to support the additional $1,500. Zero will win because there was consideration for the additional $1,500. Zero will lose because the UCC does not require consideration to modify an existing contract.
Zero will lose because there was no legal consideration to support the additional $1,500.
When one person agrees to pay the debt of another as a favor to that debtor, it is called promisory representation. promisory estoppel. a mutual promise. a collateral promise.
a collateral promise.
An unliquidated debt can be described as a debt disputed by the creditor but not the debtor. a debt undisputed by either party. a debt in which the existence or amount is in dispute. a debt in which both its existence and amount is in dispute.
a debt in which the existence or amount is in dispute.
The business form that offers the limited liability of a corporation and the tax status of a flow-through entity is a sole proprietorship. a limited liability company. a close corporation. a general partnership.
a limited liability company.
Which of the following would NOT be personally liable for the debts of the business? a sole proprietor a partner in a joint venture an S corp shareholder a partner in a general partnership
an S corp shareholder
If Crosby and Dash are in disagreement as to the exact amount of money that Crosby owes Dash, then they may choose to form a new agreement at a set amount. If they both perform the new agreement, their conduct would be an example of an accord and satisfaction. a contract modification. a preexisting duty. a rescission.
an accord and satisfaction.
"I'll sell you my car if I decide to sell it" is an example of a conditional offer. a unilateral contract. an illusory promise. an unliquidated offer.
an illusory promise.
In breach of the partnership agreement, Trimble, a partner in the partnership of Morris, Newt, and Oppie, Ltd. quits the partnership and goes to work for a competitor. The former partners may ask the court for specific performance requiring Trimble to return to work for Morris, Newt, and Oppie, Ltd. an injunction to prevent Trimble from working in competition with the former partners. liquidated damages as compensation for the breach. special damages under the rule of Hadley v. Baxendale.
an injunction to prevent Trimble from working in competition with the former partners.
Specific performance may be available for the breach of a contract to sell a Nintendo WII video game system. an original painting. 20 shares of WalMart stock. a 2007 Mustang in mint condition.
an original painting.
Miguel reprogrammed a cellular telephone so that it intercepted electronic funds transfers and rerouted them to Miguel's bank account. What crime has he committed? a.Insurance fraud, since the bank's insurance will have to cover the misdirected funds. b. Wire fraud. c. Mail fraud. d. Embezzlement
b. Wire fraud.
The Miranda warning insures that the criminal suspects understand their constitutional rights relating to: a. search and seizure. b. self incrimination. c. double jeopardy. d. res judicata.
b. self incrimination.
An agency relationship can be created only by a written agreement. only if the agent is paid. only by the meeting of all the standards of contract law. by the conduct of the parties.
by the conduct of the parties.
The remedy of reformation is a commonly used remedy. applies only when money damages are inadequate. is available only if fraud is involved. can be used to correct mistakes in the original contract.
can be used to correct mistakes in the original contract.
Pamela hired Lena to sell her business. Lena cannot buy the business under any circumstances. can buy the business as long as she qualifies for financing. can buy the business only with Pamela's permission. can buy the business as long as the price is fair.
can buy the business only with Pamela's permission.
A salesclerk at Sparkle Jewelry Store observed a customer remove a ring from a display case and put it in his pocket. In most states, Sparkle cannot detain the customer but once the customer leaves the store, the salesclerk can make a citizen's arrest. cannot detain the customer but can sue for conversion. cannot detain the customer but can alert the police. can reasonably detain the customer for suspicion of shoplifting.
can reasonably detain the customer for suspicion of shoplifting.
Usury laws are designed to protect consumers from obtaining loans to gamble on credit. companies charging excess interest on loans. taking insurance polices out on the life of another . professionals practicing a trade without a valid license.
companies charging excess interest on loans.
All Seasons, Inc. ordered $5,000 worth of Christmas decorations from Santa, Inc. The shipment of decorations was to arrive no later than October 1, but did not arrive until December 1. All Seasons was able to purchase some of the unfulfilled order through other suppliers, but had to pay 15% more than the price under contract with Santa, Inc. As a result of the delay, All Seasons' sales were down 25%. All Seasons can recover punitive damages. compensatory damages and consequential damages. nominal damages. compensatory damages, consequential damages, and punitive damages.
compensatory damages and consequential damages.
Tuan is president and sole shareholder of Entertainment, Inc. Entertainment, Inc. wishes to borrow money, but to do so, the bank requires Tuan to orally agree to personally pay the debt of the corporation if Entertainment, Inc. cannot. Tuan's guarantee to repay is enforceable because of the leading object rule. unenforceable because there is no insurable interest. enforceable under the parol evidence rule. unenforceable because it is a collateral promise.
enforceable because of the leading object rule.
Willis and Leslie orally agree to the sale of a parcel of land for $50,000: one-half payable now as a down payment; one-half payable in 30 days at the time of closing when the title will be transferred. The buyer, Willis, is to have possession immediately. Willis pays Leslie $25,000, takes possession of the land, and starts building a house. At the time of closing, Willis has made a substantial beginning on the house. However, Leslie refuses to transfer the title, claiming the oral contract is not enforceable. This contract is unenforceable, because there is no writing signed by Leslie. enforceable, because Willis has partially performed the oral contract and made improvements on the land. enforceable, because the statute of frauds does not apply to this interest in land. unenforceable, because the parol evidence rule applies.
enforceable, because Willis has partially performed the oral contract and made improvements on the land.
An organization that does not pay income tax on its profits but passes them through to its owners who pay the tax at their individual rates is called a business corporation. tax-free business venture. flow-through tax entity. professional corporation.
flow-through tax entity.
What federal agency requires that the seller of a franchise give the potential buyer Franchise Disclosure Document (FDD) and audited financial statements? FTC SEC FSC ICC
ftc
All the business forms listed below have limited liability EXCEPT the limited liability company. corporation. "S" corporation. general partnership.
general partnership.
The Federal Trade Commission requires franchisors to ---- let prospective franchisees know how many franchisees have gone out of business in the prior five years. give prospective franchisees earnings information on the company. give prospective franchisees a franchise disclosure document at least 14 business days prior to the signing of a contract or payment of any money. disclose any litigation the company has ever been involved in.
give prospective franchisees a franchise disclosure document at least 14 business days prior to the signing of a contract or payment of any money.
Karen is a strong swimmer. One afternoon she is having a picnic at a lake and sees a man she does not know drowning. Generally, Karen has a legal duty to rescue the man. has a legal duty to rescue the man since, as a strong swimmer, she is treated as a "special class" of persons who must get involved in such situations. has no legal duty to rescue the man. has a legal duty to rescue the man, but only if her efforts will not pose a serious threat to her own safety.
has no legal duty to rescue the man.
Chance is a traveling marketing representative for a publishing company. He is an independent contractor and was hired without negligence. One afternoon while driving to a meeting, Chance negligently runs a stop sign and causes an accident. Judy is injured. Judy can hold the company but not Chance liable. not hold Chance or his company liable for her injury. hold both Chance and his company liable for her injury. hold Chance but not the company liable.
hold Chance but not the company liable.
Under the Uniform Commercial Code, an agreement modifying a contract may not require consideration. requires consideration only when one of the parties is incompetent. requires consideration only when the sale of goods is involved. always requires consideration.
may not require consideration.
A court may pierce an LLC's veil if the LLC has too many members. members fail to provide adequate capital. members keep their assests and the assets of the LLC separate. members treat the LLC like a separate organization.
members fail to provide adequate capital.
Which of the following statements, if made by a seller who knows the statement to be untruthful, would NOT be misrepresentation of material fact resulting in a cause of action for fraud? "The tires have less than 5,000 miles on them." "There is no better car in the world." "This car gets 28 miles per gallon. " "This horse is only six years old."
"There is no better car in the world."
The government itself prosecutes the wrongdoer in a case involving behavior so threatening that society outlaws it altogether. This kind of case involves Private law Civil law Procedural law Criminal law
Criminal law
John was driving home one night in a terrible snow storm when his car stalled. He managed to push the car onto a small shopping center's parking lot. The next day about noon he came to get the car and it had been towed away by the owner of the parking lot. The owner explained she had to remove the car to clean the snow off her lot and told John where the car had been towed. Which statement is correct? The owner of the parking lot is liable for conversion. She took John's car without his consent. All the above are correct. The parking lot owner has a absolute privilege for towing the car since it was a business necessity. Even though John left his car in the parking lot under emergency conditions, he still committed a trespass on the owner's property
Even though John left his car in the parking lot under emergency conditions, he still committed a trespass on the owner's property
Someone who is not paid for performing duties is a(n) CHARITABLE AGENT IMPLIED AGENT GRATUITOUS AGENT FIDUCIARY AGENT
GRATUITOUS AGENT
The Grand Performance Hall is in the process of remodeling and is scheduled to open for business after being closed for 50 years. As part of the remodeling, it is installing a new sound system. The sound system is to be installed by Sound Systems, Inc. on or before April 10. Opening night of the hall is May 1. The contract states that "time is of the essence" because of the opening-night deadline. Sound Systems has some financial difficulties and doesn't deliver the system until April 20. Grand Hall refuses to accept it, and Sound Systems sues. What will be the result? Grand Hall wins; the contract date was strictly enforceable. Sound Systems wins; there was a true impossibility. Grand Hall wins; there was commercial frustration. Sound Systems wins; the contract was substantially performed.
Grand Hall wins; the contract date was strictly enforceable.
Which of the following types of contracts cannot be either contradicted or supplemented by evidence of prior agreements or expressions? INCOMPLETE CONTRACTS INTEGRATED CONTRACTS AMBIGUOUS CONTRACTS IMPLIED CONTRACTS
INTEGRATED CONTRACTS
Alfred orally promised to pay Robert a salary of $30,000 per year for five years and his moving expenses up to $10,000 if Robert would quit his job and come to work for him at his manufacturing plant. Robert agreed to do so, but requested a written contract. Alfred assured him that the company attorney would prepare such a contract as soon as possible, but Alfred needed Robert to start at once. Accordingly, Robert sold his house, moved his family, and commenced to work for Alfred. He was fired without cause two months later. No written contract was ever executed. Can Robert enforce Alfred's oral promise? No. This was a contract for longer than one year and is not applicable to exception. It violates the statute of frauds and is not enforceable. Maybe. Robert should go to court under the theory of promissory estoppel. Alfred made an oral promise that Robert relied upon, and the way to avoid injustice is to enforce the promise. Yes. This is a personal satisfaction contract, and Alfred gave no reason for dissatisfaction. Robert can recoup the loss he took on the sale of his house. Yes. This is a partial performance of the sale of goods. Robert can recoup the loss he took on the sale of his house.
Maybe. Robert should go to court under the theory of promissory estoppel. Alfred made an oral promise that Robert relied upon, and the way to avoid injustice is to enforce the promise.
Al contracted to sell his house to Bev. Subsequently, they both changed their minds and agreed to cancel the contract. The contract between Al and Bev is discharged by NOVATION RESCISIION ACCORD AND SATISFACTION FULL PERFORMANCE
RESCISIION
To "undo" a contract and put the parties where they were before they made the agreement is called RESTITUTION RELIANCE REMEDIATION RESCISSION
RESCISSION
The principle of liability stating that an employer is liable for a physical tort committed by an employee acting within the scope of employment and a nonphysical tort of an employee acting with authority is called The equal dignities rule Fiduciary control Apparent authority Respondeat superior
Respondeat superior
The last protected trait added by Congressman Smith of Virginia to the bill which became Title VII of the Civil Rights Act of 1964 was Sex (gender) Race Sexual orientation National origin
Sex (gender)
Tony raped Jane in the parking lot of Joe's Brew Pub. The District Attorney's office prosecuted Tony on rape charges. Subsequently, Jane filed a lawsuit against Tony for money damages. Classify each legal action. The District Attorney's case was a civil case. Jane's lawsuit was a criminal case. Both cases are criminal. Both cases are civil. The District Attorney's case was a criminal case; Jane's lawsuit was a civil case.
The District Attorney's case was a criminal case; Jane's lawsuit was a civil case.
Brahma entered into an oral agreement to sell 50 jet skis to Summer Sports. Brahma delivered 20 of the skis on May 1. On June 1, Summer Sports notified Brahma that it will not honor the agreement. Which statement is correct? The contract is enforceable for 20 jet skis. The contract is void since it was oral. The contract is obsolete. The contract is enforceable for the 50 jet skis
The contract is enforceable for 20 jet skis.
Mrs. O'Leary hired Jenna to sell her house in Michigan. She executed a power of attorney in favor of Jenna authorizing her to do "anything and everything associated with the sale of real estate, acting as a prudent person." On May 30, Jenna finalized a deal with Brandon for the purchase of the house. Brandon and Jenna signed the real estate contract that day. Jenna learned the next day that Mrs. O'Leary had died May 29. The contract is voidable at the option of Brandon. The contract is valid since the agency's purpose was achieved before Jenna was notified of Mrs. O'Leary's death. The contract is voidable at the option of Mrs. O'Leary's estate. The contract is void since the agency terminated May 29.
The contract is void since the agency terminated May 29.
Abby hires a contractor to make repairs on her house. Before the repairs are finished, Abby dies. Her good friend, Clay is appointed executor of Abby's estate. Clay orally promised that if the estate could not pay the repair bill, he would pay it even though he does not live in the house and has no entitlement under Abby's estate. If the contractor's bill does not get paid, who can the contractor collect from, if anyone? The contractor can collect from the estate only. The contractor can collect from either the estate or Clay. The contractor must collect from the estate first, and then collect any deficiency from Clay. The contractor can collect from Clay only.
The contractor can collect from the estate only.
Vince has begun forgetting things and is becoming very difficult to get along with. He is 85, has been ill, and is very fond of his housekeeper Annie. He gives a deed to Annie for all of his real property. At Vince's death, his children, who got only his photograph albums according to the will, ask that the deed be set aside and the land be put back in the estate for purposes of division among all the children. What will be the probable result in this case? Annie will not be able to keep the property since she is not a family member. Unless the children can prove that Vince was unable to understand what he was doing, or that Annie used her position to improperly influence Vince, Annie can keep the property. Clearly Annie used her position of dominance to persuade Vince to deed her the property, and it will be set aside. Since Vince was 85 he was probably incompetent and the court would rule for the children.
Unless the children can prove that Vince was unable to understand what he was doing, or that Annie used her position to improperly influence Vince, Annie can keep the property.
The Environmental Protection Agency was investigating whether Exgrow, Inc. violated the Clean Air Act. Exgrow refused to give the EPA its computerized reports concerning pollution. To get the reports, EPA should use an excaliber. a subpoena duces tecum. a stare decisis. a de novo.
a subpoena duces tecum.
President Nixon issued wage-price controls in an effort to stabilize the economy. This use of executive power was a valid use of power based on Article II of the Constitution. an illegal usurption of legislative powers which belong to the Congress. a valid use of judicial power. an illegal usurption of the regulatory powers of administrative agencies.
a valid use of power based on Article II of the Constitution.
Which of the following guarantees that a witness testifying in a court or legislature may never be sued for defamation? absolute privilege recovery principle defamation privilege protected right to slander
absolute privilege
Costs to store a vehicle for a short period of time after an auto dealer fails to complete the contract to purchase the vehicle would be considered compensatory damages. consequential damages. incidental damages. punitive damages.
incidental damages.
In January 2014, Professor Noe entered into a contract with State University. She agreed to teach full time during the 2014-2015 academic year. Professor Noe died on May 31, 2014. Her estate will be discharged from any obligations under the contract only if it can be shown that her death was unexpected. is discharged from any further obligations under the contract. will not be discharged. If the University has to pay more in order to hire a comparable substitute professor at the last minute, then the estate will be responsible for the difference in pay. is obligated to find another person who will agree to teach during the academic year.
is discharged from any further obligations under the contract.
Jennifer substantially performs her service contract with Gretchen. Due to Jennifer's failure to render complete performance, Gretchen is required to pay the full contract price, minus the value of Jennifer's defective performance. is required to pay the full contract price. is discharged from any further contractual obligations. may declare a material breach and pay only for the value received.
is required to pay the full contract price, minus the value of Jennifer's defective performance.
The advantage to an S corporation is its treatment of shareholders for income taxation purposes. its offering of multiple classes of stock. its ability to have partnerships and corporations invest as shareholders. its ability to attract an unlimited number of shareholders.
its treatment of shareholders for income taxation purposes.
Statutes of limitations ------ define how much money the injured party can sue for under a breach of contract claim. limit the time in which an injured party may sue. only apply to the sale of goods. There is no statute of limitations on a service contract. define whether there has been substantial performance of a contract or a material breach.
limit the time in which an injured party may sue.
Ryan, a minor, contracted to sell his auto to Ed, a 28-year-old. Ryan later refused to complete the sale. If Ed sues to enforce the contract, Ed will win because Ryan was the seller. win because minors can only avoid contracts for the sale of land. lose, because the contract is voidable by Ryan. lose, as the contract is void.
lose, because the contract is voidable by Ryan.
Under the UCC, if a seller of goods breaches the contract, the buyer --- may "cover" and then receive the difference between the original contract price and the "cover" price. will be awarded the difference between the original contract price and the market value of the goods if the buyer chooses to "cover." may receive only the current market value of the goods. must "cover."
may "cover" and then receive the difference between the original contract price and the "cover" price.
Cameron, editor of the local newspaper, assigned to Jim the writing of a story about pollution of a nearby stream. Although Jim used reasonable care in gathering and checking his information, unknown to Jim, the story contained a defamatory statement about Maureen. Maureen reads the story and sues Jim for libel. Cameron, who read and published the story can recover damages from Jim for any injury to the newspaper resulting from Jim's story. need not indemnify Jim for Maureen's claim because Jim should have checked his facts more carefully. need not indemnify Jim for Maureen's claim because Jim breached his duty to obey instructions. must indemnify Jim for Maureen's claim.
must indemnify Jim for Maureen's claim.
Harry agreed to pay $100 to rent a rooftop spot in downtown Seattle to watch the New Year's Eve festivities. The festivities were unexpectedly canceled because of concern over a terrorist attack. Harry is not obligated to pay under the frustration of purpose doctrine . not obligated to pay under the force majeure doctrine. not obligated to pay under the commercial impracticability doctrine. obligated to pay the $100.
not obligated to pay under the frustration of purpose doctrine
If Rudy offers Oscar $200 for his laptop valued at $600 and Oscar agrees, a court will probably not set aside the agreement based on the adequacy of the consideration. set aside the agreement because the consideration is inadequate. set aside the agreement as being unfair. not set aside the agreement because of the UCC.
not set aside the agreement based on the adequacy of the consideration.
Renita, a merchant, has received a signed, written confirmation from Merchants, Inc. referring to goods she had not ordered. Renita should object to the confirmation in writing within 10 days. return the goods within two weeks of their delivery with a note attached saying she will not pay for the goods. ignore the confirmation. call the seller and object to the confirmation as soon as she gets back from her two-week vacation.
object to the confirmation in writing within 10 days.
In a promissory estoppel case, a court will generally award specific performance. both reliance and punitive damages. only nominal damages. only reliance damages.
only reliance damages.
The money intended to restore a plaintiff to the position he was in before the injury is referred to as tortious payments. compensatory damages. conversion payments. punitive damages.
punitive damages.