When a drawee has signified in writing on a draft the willingness to make a specified
payment, the drawee is called the acceptor.
The creditor first must proceed against the debtor before suing the surety.
The issuing or delivery of a forged instrument to another person constitutes the crime of
counterfeiting a forged instrument.
The pattern of rules that society uses to control the conduct of individuals in their
relationships is called law.
A beneficiary of personal property by will may be called a devisee.
A writing that is offered to satisfy the statute of frauds must have been written for that
purpose.
A merchant is about to transfer his entire inventory as part of an annual clearance
action. This transfer is called a bulk transfer.
When work is guaranteed by one who repairs a building, the owner, on selling the
building, may assign the guarantee to the buyer.
The issuer of a letter of credit is in effect the obligor on a third-party beneficiary
contract made for the benefit of the beneficiary of the letter.
For a principal to ratify the actions of an agent, all that is necessary is that the principal
express the intention to ratify.
Sondra realized on Tuesday that she had dropped her bank EFT card after using it at an
automatic teller machine. She telephoned the bank on the following Monday to notify it
of the loss. By that time, someone had used the card to withdraw $800 from Sondra’s
account. The bank said it would cover $300 of that amount. Sondra sued for the full
amount, claiming that she had exercised reasonable care in reporting the loss, especially
because the card was lost on bank premises. Will she be able to recover the full $800?
A sale by a factor can pass title to goods from the consignor to the purchaser.
The vested rights of partners are not extinguished by dissolving the firm, and the
existing liabilities remain.
The defendant in a civil case is the party who is suing.
Consumer protection law often requires those dealing with consumers to make certain
mandated disclosures.
Individuals and corporations, but not partnerships, may be reorganized under the
Bankruptcy Code.
To collect on property insurance, an insurable interest in the property must exist at the
time that the loss is suffered.
When there is a direct conflict between a federal and a state law, federal law prevails
under the supremacy clause.
Employees may waive their attorney-client privileges when using their work computers
for communication.
Ann was seriously ill and feared that she might lapse into a coma or somehow become
unable to speak or act for herself in her medical emergency. She is aware that agents
ordinarily lose their authority to act for principals who become mentally disabled. She
nevertheless desires to have her husband Alberto make medical decisions and speak on
her behalf. She is particularly concerned about existing on life support in a persistent
and incurable vegetative state. Is there any action that she might take to enable Alberto
to act for her?