Legal and Social exam 2 questions
Creditors wishing to file an involuntary petition for a debtor may do so under: Chapter 7 or Chapter 11. Chapter 13 only. Chapter 7, 11, or 13. Chapter 7 only.
Chapter 7 or Chapter 11.
Which act or statement is a valid offer? A completed auction with a reserve A detailed advertisement A typical advertisement A price quote
A detailed advertisement
Which statement is true about the ability of minors to enter into contracts? A minor may enter into any contract an adult can, except for contracts that are expressly prohibited for minors. A minor may enter into a contract but must ratify it within one year of the date of the contract. A minor cannot legally enter into contracts. A minor may enter into a contract only if the minor has an adult co-signer.
A minor may enter into any contract an adult can, except for contracts that are expressly prohibited for minors.
How may an offer be terminated? Choose 3 answers. A reasonable amount of time has passed. A competitor to the offeror can issue a better offer for the same product or service. The offeree may make a counteroffer. An offeror may terminate an offer by revocation.
A reasonable amount of time has passed. The offeree may make a counteroffer. An offeror may terminate an offer by revocation.
In general, which of these contract terms is NOT required to meet the requirement of definiteness? The parties involved Acceptance The subject matter of the contract The time of payment
Acceptance
Which mistake is likely to be voidable? Bilateral mistake Unilateral mistake Mistakes of Value A prediction mistake
Bilateral mistake
Which of these contracts would be enforceable, despite the existence of a mistake? Choose 2 answer choices. Christopher agrees to sell his washer and dryer to Ella in "as is" condition. Ella thinks the set is in excellent condition and is willing to take a chance on buying it. Neither works after a few weeks of use. Christopher agrees to sell his washer and dryer to Ella. Ella thinks the dryer uses gas instead of electricity, but she is incorrect. Christopher agrees to sell his washer and dryer to Ella. Christopher overhears Ella telling her friend that she is happy she is getting such a great deal on a new washer and dryer, although Christopher knows he has used them for a year, but he does not correct her. Christopher agrees to sell his washer and dryer to Ella. He bought them at a yard sale and the sellers told him they were new. Ella believes they are new as well and, as a result, pays a higher price. When Ella encounters problems, a friend shows her parts that are worn.
Christopher agrees to sell his washer and dryer to Ella in "as is" condition. Ella thinks the set is in excellent condition and is willing to take a chance on buying it. Neither works after a few weeks of use. Christopher agrees to sell his washer and dryer to Ella. Ella thinks the dryer uses gas instead of electricity, but she is incorrect.
The Uniform Commercial Code applies to what types of contract? Contracts for real estate Contracts for leasing Contracts for goods over $500 Contracts for services over $500
Contracts for goods over $500
In which of these situations does an express warranty exist? Choose 2 answer choices. Crane Outdoor Shop advertises they have the best outdoor furniture in the state. Crane Outdoor Shop sells only online. The product postings include detailed descriptions of the features, but no pictures. An employee at Crane Outdoor Shop promises Korinne that their outdoor furniture does not fade in the sun. Korrine states she wants to buy the furniture for indoor use, and it will not be in the sun. Crane Outdoor Shop shows products on the showroom floor as examples of what they sell, but all purchases are made online and another sample of that item is delivered to the customer's home.
Crane Outdoor Shop sells only online. The product postings include detailed descriptions of the features, but no pictures. Crane Outdoor Shop shows products on the showroom floor as examples of what they sell, but all purchases are made online and another sample of that item is delivered to the customer's home.
Which of the following is a valid offer? Arun tells Eric he will sell one of his houses for $250,000 by the end of the summer. Eric offers to buy Arun's house for $290,000. Arun says, "No, but I will sell it to you for $300,000." Eric seems to be upset, so Arun says he will sell it for $290,000. Arun distributes flyers at work stating he wants to sell his house, listing the address and the asking price. Eric offers to buy Arun's house for $775,000 with no contingencies because Eric's lease ends in two months. Arun wants to think about it and six days later has not yet responded.
Eric offers to buy Arun's house for $775,000 with no contingencies because Eric's lease ends in two months. Arun wants to think about it and six days later has not yet responded.
Which is NOT an exception to the parol evidence rule? Jayden has evidence that he and Jayden agreed to move back the boat delivery date from the original date in the contract when Jayden discovered a hole and Jignesh agreed to repair it before delivery. Jayden wants to present evidence that Jignesh agreed to deliver the boat to Jayden before Memorial Day of next year, but the contract incorrectly states the delivery will take place before Memorial Day 2098. Jayden has evidence that Jignesh misrepresented portions of the deal they made and would like to present this evidence to terminate the contract. Jayden wants to present evidence that Jignesh verbally promised he would include the trailer with the boat he sold to Jayden.
Jayden wants to present evidence that Jignesh verbally promised he would include the trailer with the boat he sold to Jayden.
Lilly hired Harris Lawn Service to cut her grass one summer, and paid through automatic charges to her credit card. After taking three months off for winter weather, Harris staff cut Lilly's grass for four weeks in a row before charging the fees on Lilly's credit card. Lilly protested the charges, stating she did not hire the company to cut grass for the second summer. Harris sues Lilly. What law applies? Choose 2 answer choices. Lilly's silence is not acceptance in this case because the offeree must affirmatively accept the terms of the offer in full and communicate that acceptance to the offeror. Lilly's silence is acceptance because of the parties' past dealings. Lilly's silence is acceptance because the offeree accepted the benefit offered. Lilly's silence is not acceptance and Harris's service in the spring is considered a gift to her.
Lilly's silence is not acceptance in this case because the offeree must affirmatively accept the terms of the offer in full and communicate that acceptance to the offeror. Lilly's silence is acceptance because of the parties' past dealings. Lilly's silence is acceptance because the offeree accepted the benefit offered.
Linda wants to buy some equipment and needs computer software to use the equipment. Linda asks the salesperson if the software is Mac-compatible because she owns only one computer and it is a Macbook. The salesperson states that the computer software is Mac-compatible and many of his customers use the software on their Apple computers. The software box offers no information regarding operating system requirements. When Linda arrives home and opens the package, she discovers the software is not Mac-compatible. The store states it will not accept returns of opened software, and the salesperson says he was relying on what other customers told him. What will be the result if Linda files a lawsuit? The manufacturer is liable for any damages because it did not include the operating system information on the software packaging. The store wins because the salesperson was not an expert on software and merely relied on feedback from other customers. Linda wins under implied warranty of fitness for a particular purpose. Linda wins under warranties implied from prior dealings or trade custom.
Linda wins under implied warranty of fitness for a particular purpose.
What is the evaluation standard for a personal satisfaction contract? Choose 2 answer choices. Expert standards Accepted standards for the area or region Objective, reasonable person standard Subjective personal taste
Objective, reasonable person standard Subjective personal taste
Which situation would be considered sufficient consideration for a contract to exist? Alice's grandson quit smoking, so Alice promises to give him $5,000. Alice promises to give her granddaughter $10,000. Pam agrees to pay Derek $500 if he does not sit next to her in class anymore. Bethany is remodeling a kitchen for Tonya. Bethany tells Tonya she will finish the work within a reasonable time if Tonya pays her a bonus.
Pam agrees to pay Derek $500 if he does not sit next to her in class anymore.
What factors are used to judge if consideration is adequate to ensure a fair bargain? Choose 2 answers. Items or promises exchanged must be of nearly equal value. Consideration must be a promise to pay money. Promises exchanged may not be a preexisting duty. Promises must be made with voluntary consent.
Promises exchanged may not be a preexisting duty. Promises must be made with voluntary consent.
Fred and Wilma enter into a contract for horse riding lessons. Fred accidentally types the price for lessons to be $4.00 each instead of $44.00 each. Wilma wishes to enforce the contract at $4.00 per lesson. Which remedy would be most effective? Specific performance Reformation Rescission Injunction
Reformation
In general, certain terms must be included in contracts to satisfy the requirement of definiteness. What are the exceptions to this rule? Choose 2 answer choices. If the contract is in writing, not all terms are required to be included. Sales contracts under the UCC Courts can rewrite contracts even if the intent is vague. Courts can complete a contract to supply some missing items.
Sales contracts under the UCC Courts can complete a contract to supply some missing items.
Which of the following is the proper order for the payment of bankruptcy claims by class from highest priority to lowest priority? Secured claims, priority claims, unsecured claims Priority claims, secured claims, unsecured claims Unsecured claims, secured claims, priority claim Secured claims, unsecured claims, priority claims
Secured claims, priority claims, unsecured claims
How is substantial performance involved with the classification of material breaches versus immaterial breaches? Anticipatory repudiation determines the status of substantial performance. Substantial performance involves a material breach. Substantial performance can occur with either a material or an immaterial breach. Substantial performance involves an immaterial breach.
Substantial performance involves an immaterial breach.
In what situations does the UCC overrule common law? The UCC applies to contracts that sell goods. The UCC governs situations in which common law is silent. The UCC applies to mixed contracts if the predominant purpose of the deal is to sell services. The UCC applies to contracts that sell services.
The UCC applies to contracts that sell goods.
What must a party show to win a substantial performance lawsuit? Choose 2 answer choices. There were no deviations from the contractual requirements. The breach was not intentional. He or she acted in good faith. The breach caused no monetary damages.
The breach was not intentional. He or she acted in good faith.
What remedies are available to a buyer when a seller refuses to deliver the goods that are the subject of a contract? Choose 3 answers. The buyer may sue to obtain specific performance if the goods are unique or if damages are an inadequate remedy. The buyer may cancel all other contracts with this seller on the grounds of anticipatory breach. The buyer may buy other goods and recover damages from the seller. The buyer may cancel the contract.
The buyer may sue to obtain specific performance if the goods are unique or if damages are an inadequate remedy. The buyer may buy other goods and recover damages from the seller. The buyer may cancel the contract.
In many states, a person must be in what position to have standing to sue for the breach of a product's implied warranty? The buyer must still have the receipt for the product. The buyer must have inspected the product at the time of sale. The buyer must have received a written warranty. The buyer must be in privity of contract with the defendant.
The buyer must be in privity of contract with the defendant.
Samuel has mental competency issues. Samuel entered into a contract with Beth, but now Samuel is petitioning the court to terminate the contract. What options does the court have in ruling in the case? Choose 2 answer choices. The contract is voidable if a court has previously determined Samuel to be mentally incompetent. The contract is void if Samuel was incompetent at the time the contract was formed. The contract is void if Samuel has been previously determined to be mentally incompetent. The contract is voidable if Samuel was incompetent at the time the contract was formed.
The contract is void if Samuel has been previously determined to be mentally incompetent. The contract is voidable if Samuel was incompetent at the time the contract was formed.
What is the test for whether a contract is governed by the Statute of Frauds because of the one-year rule? The contract must be able to be performed in less than one year. The contract start date must be more than one year from the date of signing. The contract must be unlikely to be performable in less than one year. The contract must be objectively impossible to perform within one year.
The contract must be objectively impossible to perform within one year.
Which of the following has the highest priority in the distribution of assets when two or more creditors have an interest in the same collateral? The creditor whose interest attached first. The creditor with the largest value secured interest. The creditor who filed first. The creditor whose interest was perfected first.
The creditor whose interest was perfected first.
What must a plaintiff show to be awarded a quasi-contract in a lawsuit? The defendant expected to be paid. The plaintiff received some benefit. The defendant agreed to compensate the plaintiff for the benefit received. The defendant was unjustly enriched.
The defendant was unjustly enriched.
What factors make an agreement enforceable under the principle of quasi-contract? Choose 2 answers. The enriched party knows about the benefit and keeps it. The enriching party is negligent. The courts determine that an enforceable contract exists. One party is being enriched at the expense of the other.
The enriched party knows about the benefit and keeps it. One party is being enriched at the expense of the other.
Breeze Manufacturing agrees to purchase goods from Hawkins Inc. In what situation could Breeze reject a shipment of goods from Hawkins under the perfect tender rule? If Breeze accepted flawed goods from Hawkins in the past. The industry practice is to allow for minor flaws, but Breeze and Hawkins did not specifically agree to that. If Hawkins Inc. hires a carrier to deliver the goods that was different from the carrier the parties included in the contract. The goods do not meet the specifications detailed in the contract.
The goods do not meet the specifications detailed in the contract.
Which of the following statements is true about assets in the bankruptcy estate? The majority of states require debtors to follow state exemption guidelines instead of federal guidelines. In the majority of states, federal and state exemption guidelines are the same. The majority of states require debtors to follow federal exemption guidelines instead of state guidelines. The majority of states give debtors a choice between state and federal exemption guidelines.
The majority of states require debtors to follow state exemption guidelines instead of federal guidelines.
How may a revocable offer effectively be revoked? Choose 2 answers. The offeror may withdraw the offer with a clear expression. The offeror may take an action that contradicts the offer and make that known to the offeree. The offeror may convert the offer to an option contract. The offeree may reject the offer with a clear expression.
The offeror may withdraw the offer with a clear expression. The offeror may take an action that contradicts the offer and make that known to the offeree.
What is the result if parties agree to a contract orally, but it is a contract that must be in writing under the statute of frauds? Choose 2 answer choices. The contract is illegal. The parties can complete the contract. The contract is void. The contract is voidable.
The parties can complete the contract. The contract is voidable.
How do parties determine which is the appropriate law for a mixed contract? Choose 2 answer choices. Common law applies to all mixed contracts. The predominant-factor test dictates the proper choice of law. The UCC applies to all mixed contracts. Common law is appropriate for some mixed contracts.
The predominant-factor test dictates the proper choice of law. Common law is appropriate for some mixed contracts.
What rights does the perfect tender rule give buyers of goods? Choose 2 answer choices. The right to accept delivery of all of the goods The right to reject the seller's goods if the goods are not exactly as described in the contract The right to reject goods if they are not delivered as agreed The right to reject goods that conform to the contract specifications
The right to accept delivery of all of the goods The right to reject the seller's goods if the goods are not exactly as described in the contract
What elements are required for an offer to be effective under the common law? Choose 3 answers. The offer must be irrevocable for a set period of time to allow acceptance. The terms of the offer must be reasonably definite so that all parties understand them. The offeror must intend to be bound by the offer. The offer must be communicated to the offeree.
The terms of the offer must be reasonably definite so that all parties understand them. The offeror must intend to be bound by the offer. The offer must be communicated to the offeree.
The following are true for Chapter 7 Bankruptcies: (Choose 2 answer choices) They cannot be initiated by an involuntary petition. It does not use a trustee. They are for individuals. The debtor must pass the means test.
They are for individuals. The debtor must pass the means test.
What type of acceptance requires an affirmative action for the offeree to accept that offer? Unilateral contracts The typical type of acceptance to an offer Browsewrap Agreements Offeree's silence in response to an offer
Unilateral contracts
In what situation could a party enforce strict performance? When the requirement is reasonable When one of the parties did not act in good faith The plaintiff received sufficient benefit and the difference can be compensated with monetary damages When the parties specifically agree to it in the contract
When the requirement is reasonable
What are the legal differences between a material breach and an immaterial breach of contract? Choose 2 answer choices. Whether a party has announced repudiation of the contract The dollar amount of damages Whether the court will discharge the contract The level of the performance of the contractual obligations
Whether the court will discharge the contract The level of the performance of the contractual obligations
LaVon contracts with Nathan for Nathan to sing at her comedy club every Friday night in July. The first Friday, the crowd loved Nathan. The second Friday, they booed him. The next week, Nathan got a better offer, so he hired his twin brother Ethan to fill in for him at LaVon's club. Can LaVon compel Nathan to perform? No, she can't compel him because Ethan is an acceptable substitute for Nathan. No, she can't compel him because Nathan has gotten a better offer. Yes, she can compel him under the equitable remedy of specific performance. Yes, she can compel him under the theory of quasi-contract because LaVon had relied on Nathan's promise and she has printed posters and advertisements.
Yes, she can compel him under the equitable remedy of specific performance.
Can the parties to a contract agree to change the time limit for commencing an action for breach of contract under the Uniform Commercial Code (UCC)? Yes, they may set the time limit to any time they agree upon. Yes, they may set the time limit to any time between one year and four years. No, they must abide by the Statute of Limitations time limit of four years. Yes, but the maximum time allowed is ten years.
Yes, they may set the time limit to any time between one year and four years.
Which of the following is an equitable remedy for breach of contract? payment of the cost of cover for items not delivered on time compensatory damages for having to hire extra help to correct nonconforming goods an order for specific performance punitive damages when a seller has repeatedly shipped unsafe goods
an order for specific performance
What is the term for the action of a party to a contract who notifies the other party that he or she will not perform his or her duty under a contract? suspension of performance nullified obligations anticipatory repudiation retractment
anticipatory repudiation
What is the implied duty in every contract that each party will deal fairly with the other? strict performance good faith golden rule reasonable person standard
good faith
Sal has ordered 100 pounds of shrimp for his restaurant from Sam every Friday for 5 years and has always paid that week's market price. One Friday, Sal decides to take a vacation but doesn't tell Sam. Sam claims they have a contract, even though it was never written down. What kind of contract do they have? implied-in-fact express quasi implied-in-law
implied-in-fact
What factors may cause a person to lack contractual capacity? Choose 3 answers. mental incompetence severe intoxication being an emancipated minor being under the age of majority (usually 18)
mental incompetence severe intoxication being under the age of majority (usually 18)
In 2005, bankruptcy reform laws: allowed debtors to have more of their debts discharged in bankruptcy. increased the amount of possessions a debtor may retain in bankruptcy. made student loans dischargeable in bankruptcy. required debtors to pay more of their debts in bankruptcy.
required debtors to pay more of their debts in bankruptcy.
What is the term for when a party to a contract performs his duties exactly according to the terms of the contract? substantial performance perfect performance specific performance strict performance
strict performance
What does the law require for a personal service contract? The personal service requirement must be stated. A special acknowledgement by each party that the contract is a personal satisfaction contract The specific standards must be clearly delineated. The experts who will be evaluating the work must be listed so the parties are on notice in advance.
The personal service requirement must be stated.
What is an exception to the statute of frauds? Contracts under the UCC Collateral Promises Contracts dealing with land Promissory Estoppel
Promissory Estoppel
A debtor who wishes to file a voluntary petition must: (Choose 3 answer choices) undergo credit counseling. meet eligibility requirements for the Chapter under which they wish to file. file the petition and required schedules. have more than three creditors.
undergo credit counseling. meet eligibility requirements for the Chapter under which they wish to file. file the petition and required schedules.
What is the term for a contract agreement in which an offeror promises to pay after the occurrence of a specified act, and the offeree is not required to respond in words? open contract bilateral contract executed contract unilateral contract
unilateral contract
A contract for an illegal purpose is: void. voidable. enforceable as a quasi-contract. dischargeable.
void.
What is the standard to which most personal satisfaction contracts must adhere? Choose 2 answers. satisfaction of the performing party (seller) satisfaction of an expert third party satisfaction of the receiving party (buyer) satisfaction of a reasonable person
satisfaction of the receiving party (buyer) satisfaction of a reasonable person
What are the elements of consideration? Choose 2 answer choices. something of value from each party a preexisting duty past consideration an exchange to which the parties agree
something of value from each party an exchange to which the parties agree
What type of contract is created by an agreement that is oral when it is required by the Statute of Frauds to be in writing? void quasi voidable fraudulent
voidable
What evidence outside of the written contract is a party allowed to present? Choose 2 answer choices. Evidence to prove agreement on an essential element of the contract Evidence showing an agreement that is different from the contract that the parties agreed to before the contract was signed Evidence showing a change to the contract after it is signed Verbal negotiations leading to the signing of the contract
Evidence to prove agreement on an essential element of the contract Evidence showing a change to the contract after it is signed
What is the most common way of perfecting a security interest? Filing a financing statement. Completing a purchase-money security interest. Publishing the interest in the classified section of the newspaper. Hiring a lawyer to draft the documents.
Filing a financing statement.
Which of these statements are true about involuntary bankruptcy proceedings? Choose 2 answers. An involuntary bankruptcy case can be filed against a farmer. If an involuntary bankruptcy case is filed frivolously, the petitioner may be liable to the debtor for damages to his reputation. If a court dismisses an involuntary bankruptcy case, the filing creditors may be required to pay court and filing costs for the defendant. If a debtor has eight or more creditors with at least $1,000 in claims, any one of them may file an involuntary bankruptcy petition.
If an involuntary bankruptcy case is filed frivolously, the petitioner may be liable to the debtor for damages to his reputation. If a court dismisses an involuntary bankruptcy case, the filing creditors may be required to pay court and filing costs for the defendant.
In what situations would a court be likely to award a quasi-contract? Choose 2 answer choices. If the defendant was unjustly enriched and played a part in deceiving the plaintiff When the unjust enrichment is a relatively insignificant amount of money If the defendant did not know the plaintiff would expect to be paid for the services When the party provided the services for unwilling recipients
If the defendant was unjustly enriched and played a part in deceiving the plaintiff When the unjust enrichment is a relatively insignificant amount of money
A security interest has attached when the creditor: and the debtor have reached an agreement. has possession or control of the collateral. receives the first installment of loan payments. has described the collateral in writing.
has possession or control of the collateral.
Assuming there are not enough assets to pay the debts of an entire class of creditors, creditors must: forfeit their claim. be paid in equal amounts. be paid at a pro rata share. be paid based on whoever was first to file their claim.
be paid at a pro rata share.
What is the time limit for commencing an action for breach of contract under the Uniform Commercial Code (UCC)? one year there is no time limit 90 days four years
four years
Which of the following debts is non-dischargeable in bankruptcy? claims for amounts borrowed by the debtor to pay federal taxes a personal loan that was used to pay off a car loan unsecured credit card debt overdue rent on a primary dwelling
claims for amounts borrowed by the debtor to pay federal taxes
Which of these types of contracts must be in writing under the requirements of the Statute of Frauds? Choose 3 answers. contracts for the sale of goods priced at $1,000 or more contracts for the sales of land collateral promises to pay the debt of another person promises made in consideration of marriage
contracts for the sales of land collateral promises to pay the debt of another person promises made in consideration of marriage
What is the term for the legal ability to enter into a binding contract? emancipation mental competence contractual capacity legal capability
contractual capacity
What types of contracts violate public policy? Choose 3 answers. employment contracts that forbid membership in a union a contract to allow a political candidate exclusive use of billboards you own a candidate for public office paying his competitor to retire conducting trade with a country that is an enemy to the United States
employment contracts that forbid membership in a union a candidate for public office paying his competitor to retire conducting trade with a country that is an enemy to the United States
Quon and Bert have signed a contract for Bert to mow Quon's grass every week in June, July, and August for a price of $40 per week. They have agreed to all the necessary terms, but Bert has not yet mowed because it is still May. What type of contract do they have? unilateral executory executed void
executory
Which of the following are the three basic purposes of bankruptcy laws? Choose 3 answers. full repayment of all debt fair treatment of creditors allowing a struggling business to become more stable relief of the burden of debt on a debtor
fair treatment of creditors allowing a struggling business to become more stable relief of the burden of debt on a debtor
A contract for a purpose that causes the parties to violate a law is: illegal and dischargeable. enforceable as a quasi-contract. illegal and voidable. illegal and void.
illegal and void.
Which of the following implied warranties means the warranty arose from practices used in the industry for the product? implied warranty of merchantability implied warranty of title implied warranty of fitness for a particular purpose implied warranty from prior dealings or trade custom
implied warranty from prior dealings or trade custom
If a consumer falls when a step on a new ladder breaks, what warranty could apply? implied warranties implied from prior dealings or trade custom implied warranty of fitness for a particular purpose implied warranty of merchantability express warranty
implied warranty of merchantability
An example of unsecured credit is a: business loan to buy a piece of equipment. mortgage. car loan. private student loan.
private student loan.
What is the principle that is applied to determine how much compensation a party receives in a quasi-contract settlement? quantum meruit quasi benefit bona fide reliance de facto justification
quantum meruit
What remedies are available after an anticipatory repudiation? Choose 3 answers. canceling all other contracts with the breaching party requiring assurance suspending performance cover
requiring assurance suspending performance cover
A business filing for a Chapter 11 Bankruptcy must: make all payments to creditors through a trustee. pay all secured and priority claims. have at least $1,000,000 in debt. submit a payment plan for approval by creditors and the court.
submit a payment plan for approval by creditors and the court.
Which of the following are objections that a creditor may bring to bankruptcy distribution proceedings? Choose 3 answers. An unsecured creditor may object to being excluded from the distribution if she had not been notified of the bankruptcy. A creditor may object to a distribution plan if the debtor has been fraudulent. A secured creditor may object to being excluded from the distribution if she had not been notified of the bankruptcy. An unsecured creditor may object to being paid after a secured creditor if his claim was filed first.
An unsecured creditor may object to being excluded from the distribution if she had not been notified of the bankruptcy. A creditor may object to a distribution plan if the debtor has been fraudulent. A secured creditor may object to being excluded from the distribution if she had not been notified of the bankruptcy.
What must a plaintiff prove in an express warranty case? The seller's opinion about the product A disclaimer The buyer's opinion about the product Buyer reliance on the seller's promises
Buyer reliance on the seller's promises
The type of bankruptcy where an individual who is in debt makes a plan to repay some or all of his creditors is called: Chapter 15. Chapter 7. Chapter 11. Chapter 13.
Chapter 13.
The type of bankruptcy where a trustee takes the nonexempt property, sells it, and uses the proceeds to pay the debtor's general unsecured creditors is called: Chapter 7. Chapter 11. Chapter 13. Chapter 12.
Chapter 7.
What conditions must be met for an offer to be legally accepted? Choose 2 answers. Acceptance must be communicated in words, either written or oral. The offer must be accepted within 24 hours of communication. It may only be accepted by the intended offeree or the offeree's agent. Acceptance must be unequivocal with no requests for changes in the offer.
It may only be accepted by the intended offeree or the offeree's agent. Acceptance must be unequivocal with no requests for changes in the offer.
Manuel contracts to sell a painting that was painted by his deceased grandmother, then has a change of heart and decides to hang it in his own bedroom. He notifies Nadine, the person who had planned to buy it. Can Nadine have the contract enforced? No, it can't be enforced because Manuel canceled the contract before it was executed. Yes, it can be enforced under the theory of quasi-contract because Nadine had relied on Manuel's promise. Yes, it can be enforced under the equitable remedy of specific performance. No, it can't be enforced because this is of a personal nature, and Manuel retains the rights to the painting.
Yes, it can be enforced under the equitable remedy of specific performance.
The Bankruptcy Code exempts (limited to a certain dollar amount) which type of property? jewelry cash family heirlooms one vehicle per driver in the household
jewelry
Which of the following is the lowest priority of claims in bankruptcy? debts for injury caused by drunk driving alimony mortgage on a principal residence medical debts
medical debts
What is the primary purpose of the Statute of Frauds? requiring written evidence of agreements concerning important transactions defining who may testify in a dispute over a contract preventing fraudulent behavior in the formation of contracts ensuring that all details of a contract are well defined
requiring written evidence of agreements concerning important transactions
Which type of lack of capacity is easiest to prove? Contracting for necessities Intoxication Minor status Mental incompetence
Minor status
Which of the following must a plaintiff prove when suing based on an express warranty for a defective product? Choose 3 answers. One of the buyer's reasons for the purchase is the product warranty. The seller breached the warranty. The seller made a statement of fact to the buyer about the quality or uses of the product. The seller knew the buyer would use the product in the manner in which it was used.
One of the buyer's reasons for the purchase is the product warranty. The seller breached the warranty. The seller made a statement of fact to the buyer about the quality or uses of the product.
What are the differences between legal and equitable remedies? Choose 2 answer choices. One requires actions instead of damages. One attempts to assist one party and penalize or restrict the other party. Both attempt to reform the contract. One is monetary.
One requires actions instead of damages. One is monetary.
What is the difference between legal remedies and equitable remedies for breach of contract? Equitable remedies are monetary, while legal remedies are non-monetary. Legal remedies are monetary while equitable remedies are non-monetary. Equitable remedies are only available in quasi-contract, while legal remedies are available in all other types of contracts. Legal remedies must be applied by the courts, while equitable remedies can be written into the contract.
Legal remedies are monetary while equitable remedies are non-monetary.
What elements are required for courts to apply the doctrine of promissory estoppel? Choose 3 answers. The promise must be definite and relied upon. There must have been consideration given with the promise. Enforcement of the promise is necessary to avoid injustice to the promisee. There was a detrimental result from reliance on the promise.
The promise must be definite and relied upon. Enforcement of the promise is necessary to avoid injustice to the promisee. There was a detrimental result from reliance on the promise.