1) the equitable remedy of specific performance is most likely to be awarded by a court
in which of the following circumstances?
a.sale of a da vinci original where the seller refuses to deliver
b.sale of a perfume bottle which the seller refuses to deliver
c.a promisees failure to perform at a charity event
d.a promisees failure to deliver a contract of employment
2) in which of the following cases does a finder have no rights at all to the property?
a.abandoned property
b.lost property
c.mislaid property
d.inherited property
3) corine engaged datz as her agent. it was mutually agreed that datz would not disclose
that he was acting as corines agent. instead he was to deal with prospective customers
as if he were a principal acting on his own behalf. in this way he made several contracts
for corine. if a third party were to file a lawsuit on one of the contracts, which of the
following statements would be true?
a.corine is disallowed from ratifying datzs contracts in order to transfer liability.
b.datz has no liability once he discloses that corine is the real principal.
c.the third party can hold only datz liable since the third party believed that datz was the
principal.
d.the third party may choose to hold either datz or corine liable.
4) megan has purchased two tickets for a lucky draw at the local supermarket, which
are with the store’s cashier. tracy, her friend who knows about this, convinces the
cashier that she is megan and takes the tickets. she then goes and sells the tickets to
anya, who has no knowledge of the case. which of the following statements is true?
a.megan has the right to recover the tickets from anya.
b.tracy cannot be charged with fraud since she sold the tickets to anya.
c.the cashier has the voidable title on the tickets.
d.anya is a good faith purchaser.
5) which of the following is generally true about state statutes establishing mechanics
and materialmans liens?
a.most of them require the mechanics and the material men to sign a deed of trust.
b.they require that work be done in the performance of a contract to improve real
property.
c.they do not allow subrogation by mechanics and materialmen.
d.they require mechanics and materialmen to enter into a quasi contract with the
contractor.
6) which of the following is correct concerning a limited liability company?
a.it has limited ability to buy, hold, and sell property.
b.typically, an llc is a tax shelter for big corporations.
c.it is mandatory to have an operating agreement.
d.members who manage an llc are fiduciaries of the llc.
7) the supreme court once denied tax-exempt status to a private university that
discriminated on the basis of race. which of the following is likely to have influenced or
guided the interpretation of the statute relevant to this case?
a.maxims
b.precedents
c.general public purposes
d.standing to sue
8) most of the states have passed _____ to permit their courts to exercise jurisdiction
under the decision of the international shoe case.
a.international statutes
b.amendments to the state constitution
c.amended commerce laws
d.long-arm statutes
9) in general, which of the following is an available method of complying with a states
workers compensation statute?
a.maintenance of a contingency fund by the employee
b.participation in the state insurance fund by the employer
c.participation in a federal insurance fund by the employee
d.purchase of private insurance by employees
10) assume that the oklahoma wholesale lumber suppliers association, a trade
association formed by all lumber wholesalers in the state, adopts a fair competition plan
that divides the state into exclusive territories for member wholesalers. each member
wholesaler is forbidden by the plan to sell to retailers in another wholesalers territory.
under these circumstances, which of the following is true?
a.since this is a case of ancillary vertical restraint, the courts would apply the rule of
reason to determine whether it is lawful.
b.since this is a case of naked horizontal restraint, the courts would apply the per se rule
to determine whether it is lawful.
c.since this is a case of ancillary horizontal restraint, the courts would apply the per se
rule to determine whether it is lawful.
d.since this is a case of naked vertical restraint, the courts would apply the rule of
reason to determine whether it is lawful.
11) which of the following debts is an estate is liable for if owed by the decedent at the
time of death?
a.all of the decedents debts
b.only debts secured by the decedents property
c.only debts covered by the statute of frauds
d.only consumer debts
12) how can courts prevent an offeror from revoking a unilateral contract once the
offeree has started performance?
a.by providing additional terms according to the codes gap-filling provisions
b.by holding that the offerees acceptance has curtailed the power of revocation
c.by holding that the offerees performance has made it a bilateral contract
d.by making material changes in the terms of the original contract
13) according to the code classifications of collateral, which of the following includes
dock warrants and dock receipts?
a.chattel paper
b.documents of title
c.deposit accounts
d.general intangibles
14) one of the most important factors in establishing co-ownership of the business is:
a.making profits.
b.sharing management.
c.encouraging voluntary relationships.
d.creating joint ventures.
15) which of the following states that the agent has authority only to make
representation contained in the contract and that only those representations bind the
principal?
a.representation clause
b.exculpatory clause
c.liability clause
d.agents clause
16) which of the following is true of a principals duty of indemnity?
a.the principal does not have to indemnify the agent for authorized payments made on
the principals behalf as the payments were undertaken in the course of the agents work.
b.the principal must indemnify the agent for tort damages resulting from authorized
conduct that the agent did not believe was tortious.
c.the principal is required to indemnify an agent even for losses resulting from the
agents negligence.
d.the principal is required to indemnify an agent for losses resulting from unauthorized
acts so long as the principal did not benefit from such behavior.
17) which of the following is an accurate statement about vertical mergers?
a.vertical mergers take place between formerly competing firms.
b.vertical mergers do not directly result in an increase in concentration.
c.vertical mergers constitute a per se violation of clayton act section 7.
d.vertical mergers have minimal effects on economic efficiencies.
18) which of the following is an exception to a consideration requirement?
a.bargained-for exchange
b.charitable subscription
c.nominal consideration
d.adequacy of consideration
19) in the case of _____, a buyer takes possession of the property, pays the taxes,
insures the property, and assumes several obligations of an owner. however, the seller
keeps legal title and does not turn over the deed until the purchase price is paid.
a.equity of redemption
b.deed of trust
c.land contract
d.possessory lien