Robert is about to graduate from his university. His parents tell him that as he is the first
member of the family to graduate college, they want to buy him a new but inexpensive
car. They have the money to buy the car, and Robert is excited to receive his gift. On
graduation day, his parents tell him that they have decided to use the car money for a
vacation and that there will be no car. In this situation, can Robert sue his parents?
A. Robert can successfully sue based on promissory estoppel.
B. Robert can successfully sue based on the promise of a gift.
C. Robert cannot sue because the promise was not reasonable and did not follow the
mailbox rule.
D. Robert cannot sue because he did not suffer any legal detriment in the receipt of the
promise.
E. Robert can sue since the promise is his legal benefit, and it is an implied-in-fact
contract.
Answer:
Which of the following statements is true of the Private Securities Litigation Reform
Act (PSLRA)?
A. It was enacted by the Congress to eliminate the fraud-on-the-market presumption.
B. It is used by the Congress to limit the amount of damages private plaintiffs can
recover and restrict attorney fees.
C. It usually fails to give provisions for requirements for the appointment of lead
plaintiffs in securities class-action cases.