Unlock document.
This document is partially blurred.
Unlock all pages and 1 million more documents.
Get Access
If the court awards a partition to co-tenants, the court will normally attempt a partition
by kind. If partition by kind is impossible because there is no fair way to divide the
property, the court will order the real estate sold, and the proceeds equally divided.
a. True
b. False
Cynthia and Brian were friends. Brian was a dare devil. Because of his antics, Cynthia
thought that Brian wasn't long for this life. Cynthia purchased a life insurance policy on
Brian's life. Subsequently, Brian was killed in a car accident. Since Cynthia and Brian
were friends, Cynthia had an insurable interest in his life and will be entitled to the
insurance proceeds.
a. True
b. False
Which of the following will discharge an instrument?
a. John asks Bev, an employee, to take money to the bank to pay off a note, but she
keeps the money instead.
b. Two people make an oral agreement to discharge.
c. Chet accidentally leaves a check in his pocket and it is destroyed in the washing
machine.
d. The terms of the instrument are intentionally changed.
NAFTA is a trade agreement between the United States, Canada and Mexico.
a. True
b. False
In an advertisement, FreshAir, Inc. stated that its air freshener lasted for 3 hours while
the competitor's Smell Sweet lasted for only 36 minutes. In fact, Smell Sweet freshens
the air for more than 2 hours. FreshAir has not violated the Lanham Act because the
First Amendment's guarantee of freedom of speech applies.
a. True
b. False
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?
a. Since Vince was 85 he was probably incompetent and the court would rule for the
children.
b. Clearly Annie used her position of dominance to persuade Vince to deed her the
property, and it will be set aside.
c. 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.
d. Annie will not be able to keep the property since she is not a family member.
Hannah orally agrees to sell her house to Brett for $175,000. If she delivers the deed to
Brett with the expectation of payment in two weeks and he fails to pay, most courts will
not enforce the contract since it was not in writing.
a. True
b. False
Which of the following statues requires that commercial email not have deceptive
headings and clearly indicate if the email is an advertisement?
a. the FCC's Open Internet Order
b. CDA of 1996
c. Section 5 the FTC Act.
d. CAN-SPAM
If a consumer cancels a door-to-door sale within the required time, how many days does
the seller have to return the buyer's money?
a. 3
b. 10
c. 21
d. 30
Sovereign immunity holds that the courts of one nation lack the jurisdiction to hear
suits against foreign governments unless the foreign nation has waived immunity, has
violated international law, or
a. has engaged in a bilateral treaty.
b. has been granted "most favored nation" status.
c. is engaging in commercial activity.
d. has agreed to arbitration.
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
a. has a legal duty to rescue the man.
b. has a legal duty to rescue the man, but only if her efforts will not pose a serious threat
to her own safety.
c. 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.
d. has no legal duty to rescue the man.
Maia wrote a check which said, "Pay to the order of Kevin Mathews $10.97. The next
line of the check stated, "One thousand ninety-seven Dollars. In applying the rules of
interpretation, how much should the drawee pay?
a. Nothing; when the instrument is ambiguous it is declared non-negotiable.
b. Ten dollars and 97 cents. Numbers control over words.
c. One thousand, ninety-seven dollars or $1,097.00. Words control over numbers.
d. Parol evidence would be needed to determine the purpose of the check.
The Uniform Money Judgments Recognition Act provides that U.S. courts will
recognize foreign judgments provided certain conditions are met. Which of the
following is NOT one of those conditions?
a. The defendant was given notice and an opportunity to appear.
b. The award was based on a full and fair trial by an impartial tribunal with proper
jurisdiction.
c. The judgment was not fraudulent or against public policy.
d. The case was heard in an American court.
The majority of work done by legislative bodies is performed in committees.
a. True
b. False
Under the Equal Pay Act of 1963 an employee may not be paid at a lesser rate than
employees of the opposite sex for tasks requiring equal skill, effort, and responsibility
under similar working conditions.
a. True
b. False
Rich and Archie sign an agreement in which Archie agrees to deliver ten cases of
champagne in 5 days. The parties negotiated and meant to say in the written agreement,
delivery in 50 days. If the evidence is clear that the two parties intended to agree to 50
days, the courts will probably
a. reform the contract.
b. rescind the contract.
c. issue a warranty.
d. issue a covenant.
An accommodation party on a negotiable instrument
a. typically receives a direct benefit from the instrument.
b. is always primarily liable for the instrument
c. is the same as a "guarantor under the UCC.
d. has the same liability to a holder as the person for whom he signed.
Mark, a power tool salesman, promises Jill, a customer, that the Turbo Power Hedge
Trimmer 1000 will easily cut through bamboo up to 3 inches thick. Mark's statement
constitutes an express warranty if Jill purchases the hedge trimmer.
a. True
b. False
Curtis filed a lawsuit against Ulhoff for failure to repay $1,000 according to the terms
of a promissory note. The trial ended before it began, with the trial judge granting a
motion for summary judgment in favor of Curtis. Ulhoff has appealed, and the Supreme
Court of Iowa has remanded the case. This means
a. Curtis automatically wins because he won in the lower court.
b. Ulhoff automatically wins because he lost in the lower court.
c. Neither party wins because the case is being thrown out.
d. We don't know who wins yet because the case is being returned to the trial court for
additional steps.
Byron bought a 50' yacht from Myrtle's Marina by entering into a note and security
agreement promising the yacht as collateral for the purchase money security interest.
When Byron faced some tough financial times, he failed to make three monthly
payments. Myrtle's Marina repossessed the yacht by removing the yacht engine and
advertised a public auction of the yacht. Byron appealed to his good friend Charles and
managed to pay off the debt balance and the Marina's expenses of repossessing and
advertising the sale. Byron's actions represent
a. strict foreclosure.
b. redemption.
c. silent bidding at the auction.
d. an artisan's lien.
Accounting contracts can be either written or oral.
a. True
b. False
Landlords have the right, and may have a duty, to evict tenants who seriously disturb
others.
a. True
b. False
James was a partner in a large firm. He died unexpectedly. His son, Frank, wanted to
take over for his father in the partnership and was well qualified to do the work his
father had done. Which statement best describes Frank's rights in the partnership if he
inherits the interest?
a. Frank has a right to take over for his father in the partnership.
b. Frank is entitled to the value in the partnership, but not to become a full partner.
c. Frank has no rights to his father's partnership interest.
d. Frank cannot be a full-fledged partner, but he can vote on firm matters.
The Occupational Safety and Health Administration promulgated a rule requiring
warehouse employees to wear hardhats when in the vicinity of an operating forklift. The
purpose of the hardhats is to protect employees from danger of falling objects. This rule
is
a. an executive order.
b. a statute.
c. common law.
d. administrative law.
When farmer Joe sold his land to an oil company, he wanted to keep the right to use the
lake on the land for fishing. What would give him the right to do this?
a. a grant
b. an easement by implication
c. an easement by prescription
d. a reservation
John is auditing MegaCorp. He finds an accounts payable for 10,000 cases of ball
bearings. He checks to make sure the paper actually arrived and that the receiving
department had signed and dated the invoice. He also checks the original purchase
order to make sure the purchase was properly authorized. This illustrates
a. tracing.
b. vouching.
c. following.
d. monitoring.
Jackie and Robert own an apartment building as partners. Cyndi, one of their tenants,
gives Robert written notice she will be moving out at the end of the following month.
Robert did not tell Jackie that Cyndi was moving. Has Cyndi properly given notice to
the partnership?
a. Yes. Notice to Robert was notice to the partnership.
b. Yes, if it is determined that Robert acted negligently in failing to notify Jackie.
c. No. Cyndi has an obligation to notify both Robert and Jackie.
d. No. Jackie was not notified since Robert never told her Cyndi was moving.
Nicholas and Holly are partners in a toymaking shop. If Rudolph obtains a judgment
against Nicholas for injuring Rudolph while Nicholas was on partnership business,
Rudolph must try to collect from the partnership before going after Nicholas personal
assets.
a. True
b. False
Deborah purchased a boat from Sun N Surf Marine. She later learned that the salesman
had made misrepresentations to induce her to make the purchase. Under UCC Section
2-721, Deborah can rescind the contract
a. only if the misrepresentation was fraudulent.
b. and sue for damages if the misrepresentation was fraudulent.
c. but cannot sue for damages even if the misrepresentation was fradulent.
d. but must forego all other remedies.
What is a 'scorched earth strategy"?
a. A takeover strategy whereby a bidder secretly buys stock from the shareholders.
b. A defensive takeover strategy where the target sells off the assets that the takeover
company most wants.
c. A takeover strategy whereby the bidder merges its company with that of the target
firm.
d. A defensive takeover strategy where the target effectively limits how large a block of
stock an investor can buy.
A wholesaler of coffee notifies a retailer that it cannot fulfill its contractual obligation to
deliver 1,000 pounds of coffee at the agreed upon price of $2.00 per pound next month
because of recent price increases in coffee. The retailer may treat the wholesaler as
having breached the contract and sue for damages even though the wholesaler's
performance is not due until next month.
a. True
b. False
Which statement is correct concerning judicial review of an administrative agency's
action?
a. Courts usually accept the facts of the case as determined by the agency and often
defer to the agency's interpretation of the law.
b. Courts conduct a de novo review of the case.
c. Courts ignore the facts of the case.
d. Courts substitute their opinion for that of the agency.
A trustee can void any transfer that meets all of the following requirements EXCEPT
a. if the transfer was to a creditor of the debtor.
b. if the pre-petition payment made in the ordinary course.
c. if the transfer was used to pay an existing debt.
d. if the debtor's liabilities exceeded assets at the time of the transfer.
The fraudulent conversion of property which is already in the defendant's possession is
a. money laundering.
b. exclusion.
c. embezzlement.
d. trespassory taking.
The issue of the constitutional protections afforded flag burning was addressed in
a. Texas v. Johnson.
b. United States v. Lopez.
c. Marbury v. Madison.
d. Palmore v. Sidoti.
