MGMT 309: Ch 9-14 Exam 2
Sid offers Tina, a city inspector, money to overlook health code violations in his restaurant. Tina accepts the money and overlooks the violations. Sid is charged with the crime of bribery. The crime occurred when
Sid offered the bribe
Promises that are legally binding include
a promise to pay for items ordered online
Saul claims that his contract with Teri for piano lessons is voidable. If their contract is avoided
both parties are released from it
Beryl enters into a contract with Clay for a guided tour of Deep Canyon. Clay represents that he is an experienced, knowledgeable guide, when in reality he has never been in the canyon. Most likely, Beryl
can rescind the deal based on fraudulent misrepresentation
Jana, a nurse practitioner, renders aid to Kurtz, who is injured and unconscious. Jana can recover the cost of the aid from Kurtz
on a quasi contract theory
Accepting and giving legal force to an obligation that previously was not enforceable is
ratification
Opal is a minor. In at least some states, Opal can enter into a legally binding contract when she
- is emancipated from her parents. - reaches the age of majority. - gets married. all of the choices are correct
Bram, a salesperson for Cruisin' Motors, promises Deb a certain car will give her a "smooth ride." Bram offers a test drive, which Deb declines. She buys the car but soon realizes its suspension is in poor condition. Deb can rescind the contract on the ground of
- the salesperson's fraudulent misrepresentation - the buyer's mistake - the car maker's undue influence none of the choices
Intoxicated, Odell enters a contract for the sale of her business, Precision Machining, to Quentin for less than its market value. This contract is voidable if, at the time,
Quentin fraudulently induced Odell to become intoxicated
To constitute consideration, there must be
a bargained-for exchange
Fay offers to pay Grey $50 for a tennis lesson for Hetty. They agree to meet the day after tomorrow to exchange the cash for the lesson. These parties have
a bilateral contract
Analytics LLC processes misinterpreted data furnished by Botched Services to propose a marketing plan for Clientele Inc. Analytics and Clientele are both ignorant of the mistaken data. Their contract can be rescinded on the basis of
a bilateral mistake
Obie, a user of phone-apps.com's website, can download apps for free if he first clicks on "I accept" after viewing certain terms. This is
a contract that includes the terms
Haji is arrested at a warehouse in Industrial Park and is charged with the crime of theft. Haji will be prosecuted by
a district attorney or an attorney general
A contract that includes a bilateral mistake may be rescinded if the mistake involves
a material fact
Corner Store posts on its website an offer of a reward for information leading to the apprehension of a certain criminal. This offer could normally be terminated by
a post on the website
Nevin negotiates a deal for the sale of twenty-five acres of farmland to Otis. Nevin promises to hold the offer open in return for a small payment but does not state an exact period of time. With respect to this offer
a reasonable period of time is implied
Vin admires Will's collection of coins. Vin asks, "Will you sell it?" This statement is
a request, not an offer
Gwen is indebted to Home Loan Company for $75,000. Gwen agrees to pay, and Home Loan agrees to accept, a lesser amount than the lender originally claimed was owed. The performance of this agreement is
a satisfaction
Red offers to pay Sara to deliver certain documents within thirty minutes. Sara can accept the offer only by completing the task within the deadline. If she does, Red and Sara will have
a unilateral contract
Pastries Inc. sends Rollo its catalogue showcasing a variety of baked goods for certain prices. This is
an advertisement, not an offer
Marketing Inc. offers to create a campaign to increase N'Ice Cream Inc.'s online business. N'Ice agrees to pay for the service. These parties have
an express contract
On behalf of the jazz group Fusion, their manager Greg agrees to a performance in Hillside Amphitheatre on July 4. Greg and Hillside sign a written copy of the agreement. These parties have
an express contract
Vicky asks Walt, a cobbler, to repair a pair of boots. There is no discussion of a price, and Vicky and Walt do not sign any documents. After the repair, Walt hands Vicky a bill. With respect to Vicky's obligation to pay the bill, this is
an implied contract
Luke puts his motorcycle up for sale via a post on an online auction site. This is
an invitation to negotiate, not an offer
Owen decides to sell his ranch, Pine Ridge, in a live auction. When the auctioneer puts the property up for bids, it will be
an invitation to submit offers, not an offer itself
Ben, a minor, signs a contract to buy a Call-U phone from Dallas, an adult sales representative. Dallas
cannot avoid the contract
Frank offers to buy a guitar owned by Holly for twice what she paid for it. She accepts and hands the guitar to Frank. Holly's delivery of the guitar is
consideration
Olinda, an employee of People's Bank, deposits into her account checks entrusted to the bank through its ATM system by customers to deposit into their accounts. This is
embezzlement
Insurance Company violates a state licensing statute when selling a policy to Jay, in whose state it is not licensed to sell insurance. As a member of the class of persons protected by the statute, Jay can
enforce the policy and recover from the insurer
A fire threatens to engulf a commercial building in Metro City. The building's owner promises a cash reward to the Metro Fire Department to extinguish the fire. The firefighters cannot claim the reward because
extinguishing the fire is the firefighters' preexisting duty
Lon is an employee of Motor Parts, an auto parts store. On the orders of his employer, he switches trademarks on parts that come into the store to be sold to consumers. This is most likely
forgery
Horse racing, video poker games, and charity-sponsored bingo are
forms of gambling allowed and regulated by many states
Fess convinces Gwyn to enter into a contract for the purchase of a Falafel Waffle Food Cart by knowingly misrepresenting a number of material features about the facility and the business. Most likely, Gwyn can rescind the contract on the basis of
fraudulent misrepresentation
Hua applies to Inventory Corporation for a position as a coder. Hua has no training in coding. After Hua is hired, Inventory learns the truth. The employer can rescind the contract on the basis of
fraudulent misrepresentation
Leo is accused of a crime. To obtain information about the crime from Leo, the state can
grant Leo immunity from prosecution
Lloyd is accused of a crime. Evidence of his allegedly criminal activities can be excluded from a trial
if the evidence is "fruit of the poisonous tree."
Darcy enters into a contract with Event Center Inc. to use its venue for a business meeting. If an ambiguity appears in the contract that outside evidence does not make clear, it will most likely be
interpreted against the party responsible for creating it
Rory questions whether there is consideration for his contract with Silver Spurs Club to exchange his performance of country music on certain dates for Silver's payment of a certain amount. To constitute consideration, the value of whatever is exchanged must be
legally sufficient
Marketing Solutions Inc. promises to employ Niki as a software engineer. In reliance on the promise, Niki quits her job with Online Ad Agency, but Marketing Solutions does not hire her. Most likely, Marketing Solutions is
liable to Niki under the doctrine of promissory estoppel
Bistro Caterers contracts with Corporate Towers to cater the firm's business meetings. Later, the contract between Bistro and Corporate is completely rescinded. Even later, Bistro offers to make a new deal. Corporate is willing to deal, but for a new price. Bistro and Corporate
may agree to a new contract that includes the new price
Van, a minor, wants to return a set of skis that he bought from Winter Sports. He used—and wrecked—the skis. In a state in which a duty of restitution is imposed, Van most likely
must return the skis and pay for the damage
Dana believes that a new phone to be sold by Ear Fruit Inc. will become the most popular phone in the market. Dana enters into a contract to buy 500 shares of Ear Fruit stock, anticipating an increase in its value. The phone does not become popular, and the price of the stock does not rise. Dana can recover
nothing
Rosa, who operates a Street Tacos restaurant in her apartment, is charged with criminal violations of the local health and building codes, state license regulations, and federal environmental statutes. To obtain a conviction, the prosecution must
prove beyond a reasonable doubt that Rosa committed every essential element of an offense
In selling a vacant building, Riley, a real estate broker, tells Sam that the property has a certain capacity, making it suitable for a nightclub. Riley knows nothing about the capacity of the building, but it is not as he specifies. Sam buys the building. Sam's best course of action is most likely to
recover damages or rescind the contract to buy the building
Cathy agrees to sell her Daily Donut shop to Ernie. In the agreement, there is a covenant not to compete that prohibits Cathy from operating a donut shop within a certain distance. If the restriction is unreasonable, a court will most likely
reform the covenant
Bert pushes Connie to the ground, grabbing her phone as she falls. The use of force or fear is required for this act to constitute
robbery
Shep offers to make digital copies of Reliable Company's business conference videotapes, CDs, DVDs, and other media for $500. Under the mailbox rule, Reliable's acceptance by e-mail will be considered effective when
sent
The state of New York enacts a usury statute. With respect to different types of transactions, including ordinary loans, the purpose of the statute is to
set a maximum rate of interest
At an auction, Ben bids on a 1957 Chevy coupe, believing that it is worth more than the price asked. When the car proves to need more repairs than Ben estimated, and thus is worth less as is, Ben is
still liable on the bid
Rafi offers to sell his sailboat, Sea Siren, to Tara for $50,000. Referring to the prices for similar vessels, Tara says, "I'll pay no more than $40,000." Rafi's offer is
terminated
A speedy trial, a trial by jury, a public trial, and the right to confront witnesses are guaranteed by
the Sixth Amendment
When a rainstorm erupts outside Rita's Clothing Shop, Rita and Shaw enter into an implied contract to split the revenue from Shaw's sale of umbrellas to Rita's customers. The terms of this contract are defined by
the conduct of the parties
Zoey is accused of auto theft. She refuses to give information related to her alleged criminal activities because she suspects it will be used to prosecute her. This is
the privilege against self-incrimination
Rex contracts with Spicy Pizza to deliver its products. After the deal has been partially performed, both parties inform each other that they would like to cancel the contract. Rex and Spicy may rescind
their contract to the extent that it is executory
Huey, a tennis pro, convinces Ian, who has no athletic ability, that he has considerable skill and induces him to pay $1,000 for tennis lessons. This is most likely
undue influence
National Trucking Company begins transporting crude for Oil Inc. under a contract for a stated amount per load. After six months, National demands an increase in the stated amount because ordinary business expenses have increased. Oil's agreement to pay the increased amount is
unenforceable due to the preexisting duty rule
Onsite Restoration Inc. begins renovating houses for Property Company under a contract for a stated amount per house. After six months, Onsite demands an extra $20,000 per house, stating no reason for the extra $20,000, but asserting that it will stop work if it is not paid. The agreement is
unenforceable due to the preexisting duty rule
Oscar owns Payroll Company, a bookkeeping service. Oscar pays Remy $5,000 to steal a list of a competitor's clients. This deal is
void
Fresh Agro Inc. offers to deliver produce to Growers' Market for a certain price. Fresh's intent to extend an offer is determined by reference to Fresh's
words and actions
