On June 1, Edward visited a bicycle sales and service center. Edward spotted a used
bike he liked and was told by the dealer that he could have the bike for $100 cash. Since
Edward needed a few days to get the money, Edward got a signed, written statement by
the dealer that Edward could buy the bike for $100 at anytime on or before June 15. On
June 10 Edward came to the dealer with the money, but the bike had been sold to
another customer. Was the dealer under any obligation to Edward to keep this offer
open until June 15? Give legal reasoning for your answer.
If the act or threat would affect a person of average strength and intelligence, then and
only then will the act constitute duress.
Maximum rates of interest that are permitted under usury statutes are uniform from
state to state.
In a contract to sell goods, the sale does not take place until the seller transfers the title
to the goods to the buyer.
Explain the difference between lost, mislaid, and abandoned property and who has
rights to it.
A common carrier is under a duty to serve the public to the limits of its capacity.
The United States has, in 1993, withdrawn from participation in the General Agreement
on Tariffs and Trade (GATT).
A major purpose of the bulk sales provisions of the Code is to protect the seller’s
creditors.
A time draft presented for payment is due on the due date or presentment date,
whichever is later.
The MBCA, RMBCA, and statutes of many states permit corporations to redeem both
preferred and common stock.
An assignment for the benefit of creditors requires the creditors’ consent
Comprehensive federal legislation now governs drug and alcohol testing by employers.
Contracts generally require adequacy of consideration where the consideration given by
both parties is of fair value and equitable.
If a financing statement in movable property is properly filed and the debtor moves to
another state, the security interest remains perfected if the financing statement is filed in
the new state within four months of the move.
The statute of limitations provided by Article 2 is five years, which can be reduced or
extended by the parties’ contract.
The “corporate veil” is most likely to be pierced in the case of closely held corporations
and in parent-subsidiary relationships.