The person who agrees to pay for the use of real property is known as the landlord.
Contracts with people who have been declared incompetent by the courts are void even
if the sane people who contracted with them do not know that they had been declared
insane by the courts.
If a landlord fails to make reasonable efforts to reduce his or her losses resulting from a
tenants abandonment, the tenant is relieved of his or her obligation to pay the rent
remaining under the lease.
The purpose of the Electronic Funds Transfer Act of 1979 is to govern transfers among
financial institutions or among businesses.
If a seller fails to deliver goods as promised, the buyer cannot buy similar goods to
substitute for those not delivered.
Persons considered disabled under the Americans with Disabilities Act would include
individuals who are sight impaired, are hearing impaired, or use a wheelchair.
If there is full performance of an oral agreement to sell real property, the contract does
not need to be in writing.
The most common form of valid consideration is the promise of money by one party for
the promise of an act by another.
The major disadvantage of a corporation is the fact that the shareholders have shared
personal liability for a corporations obligations.
Information on leaves of absence, jury duty, military leave, and leaves for marriage or
religious purposes are not part of the employee handbook.
A category of illegal activity that includes embezzlement, stock swindles, fraud against
insurance companies, credit card fraud, computer fraud, and theft of computer programs
is known as business-related crime.
In an entire and divisible sales contract, if all the components are interdependent and
are included in the same order, an entire contract payment for the contract is required
before the whole order is filled.
Past consideration is a promise to repay someone for a benefit before it has been
received.
Implied warranties can relate to either the title or the quality of goods.
Pharmacists who dispense drugs other than those specifically prescribed by authorized
professionals, such as physicians, cannot be charged with malpractice if the incorrectly
dispensed drugs cause injury to the legal user.
While there are currently no federal laws prohibiting the use of cookies when gathering
information regarding adults, the Children’s Online Privacy Protection Act prohibits this
practice when minors are involved, unless there is parental consent.
Taking clothes to a dry cleaner transfers possession, but not ownership of the clothes.
The federal agency responsible for the safety of consumer products sold in the United
States is the Consumer Product Safety Commission.
In addition to trade sanctions and embargoes, at times a country will impose a tariff on
imports or exports to attain economic results.
An assignment must always be in writing.
The law of torts deals with duties imposed by contract and is not concerned with the
violation of private rights.
Title to goods shipped free on board destination passes before the goods are delivered to
the buyer.
Trade associations are opposed to developing guidelines for ethical business practices
for their diverse memberships.
There is one organizational form that is available for a business structure.
In a tenancy in common, joint ownership must be in equal interests. .
Superfund regulates the dumping of waste onto land.
The responsibility of determining whether a person is competent to contract rests on
everyone who enters into a contract with such a person.
Since its inception, the federal Constitution of the United States has never been
amended nor changed.
The acts of an employee committed while performing duties are not considered as the
acts of the employer.
If the parties to a contract are legally competent and have reached mutual agreement,
the law does not require that the purpose of the agreement be legal.
When a party breaches a contract, the injured party has the duty to mitigate the amount
of damages.
The United States has extraordinary forests and wetlands that have great aesthetic and
economic value.
The rights and duties of the parties are usually stated in the lease. These rights may not
be expanded or modified by relevant laws and regulations.
An advance directive only takes effect when the individual becomes incapable of
making healthcare decisions which, in some states, must be confirmed by at least two
family members.
A misdemeanor is a serious crime punishable by a prison sentence of more than one
year.
In the eyes of the law, a misrepresentation is a belief that is not in accord with the facts.
If the attorney is in a specialized practice, such as real estate, family law, or
immigration law, it is the performance of other attorneys engaged in similar practice by
which he or she will be judged.
A misdemeanor is a more serious offense than a felony.
If an injured party in a lawsuit can prove only misrepresentation, the contract can be
canceled and the injured party can also sue for additional damages.
In 1997, the major cigarette manufacturers in the United States entered into a contract,
which was referred to as the:
A.Vicarious Liability Agreement.
B.Master Settlement Agreement.
C.Consumer Product Safety Agreement.
D.Federal Administrative Agreement.
A barren promise is one that involves a promise:
A.to do something one is already required to do.
B.to perform an illegal act.
C.to perform an act that involves an unreasonable period of time.
D.that cannot be performed.
A written order drawn on a bank by a depositor that requests the bank to pay, on
demand and unconditionally, a definite sum of money to the bearer of the instrument or
to the order of a specified person is called a:
A.price quotation.
B.promissory note.
C.check.
D.demand note.
When the client relies on the financial planner’s recommendations and suffers a loss, the
financial planner can be sued for:
A.libel.
B.battery.
C.negligence.
D.nuisance.
Most contracts made by persons who have not reached the age of majority are:
A.void.
B.valid.
C.voidable.
D.enforceable.
A ________________ is a person of legal age and at least normal mentality who is
considered by law to be capable of understanding the meaning of a contract and is
permitted to enter into a valid contract.
A.competent party
B.contracting party
C.valid participant
D.contractor
If a reasonable period of time passes after a minor reaches legal age and he or she has
said nothing about disaffirming the contract, then in the eyes of the law it is considered
as:
A.disaffirmed.
B.ratified.
C.avoided
D.a void contract.
The determination of what is considered a reasonable time in the case of termination of
a contract by lapse of time can vary according to the:
A.assessment of a court-appointed judge.
B.circumstances.
C.opinion of the parties.
D.opinion of the witnesses.
Insurance policies may be classified as contracts of:
A.service.
B.adhesion.
C.duress.
D.undue influence.
A trust made while a person is still alive is a(n):
A.living trust.
B.professional trust.
C.duty-of-care trust.
D.holographic trust.
A ___________ is a unique identifier that serves as an address for a web page.
A. trademark
B. patent
C. trade secret
D.domain name
For the injured party to claim fraud, he or she must prove all of the following of the
statements or acts EXCEPT that it:
A.was a misstatement or nondisclosure of a material fact.
B.was made with knowledge of its falsity or with reckless disregard of its truth.
C.was relied on by the injured party.
D.was not intended to cause the other party to enter into the agreement.
All of the following are the elements that a plaintiff must prove in order to be successful
in establishing the defendant’s negligence in a product liability lawsuit EXCEPT:
A.warranty.
B.breach.
C.duty.
D.damages.
An instrument with an unconditional written promise to pay, or pay to the order of
another party, a certain sum of money on demand or at a definite time is known as a:
A.garnishee order.
B.negotiable instrument.
C.stop-payment order.
D.restraining order.
The parties to a contract must have a clear understanding of what they are undertaking;
that is, the contract must show:
A.mutual agreement.
B.legality of purpose.
C.consideration.
D.competency of the parties.
The law gives each person the right to own and use personal property without
interference from others. When this right is denied or abridged by another, the
wrongdoer is said to have committed the tort of:
A.nuisance.
B.conversion.
C.libel.
D.scandal.
The agencies outside the executive branch that are headed by groups or individuals are
created by the:
A.Congress.
B.Senate.
C.President.
D.Supreme Court.
_________ receive a 1099 tax form:
A.Executors
B.Agents
C.Independent contractors
D.Testators
The main difference between principal-agent and employer-employee relationships is
an employer’s power to control the activities of a(n):
A.non-agent employee.
B.non-employee agent.
C.employee.
D.third party.
Anyone who buys an article from someone who has found it must be prepared to
surrender the article to the:
A.true owner.
B.clerk of court.
C.county recorder.
D.county magistrate.
According to the doctrine of frustration of purpose:
A.complete performance is not achieved because of minor deviations from the
agreed-upon performance.
B.the promisor is estopped from denying the existence of a contract where the promisee
has detrimentally relied on that promise.
C.where both parties know the purpose of a contract and, through no fault of either
party, the reason for the contract no longer exists, the contract is terminated.
D.in a contract for the sale of goods, one or more terms may be missing but the court
can find a contract, nonetheless, where the parties have intended to make a contract.
The owner of a trademark loses rights to it “when any course of conduct of the
registrant, including acts of omission or commission, causes the mark to lose its
significance as an indication of origin” under a:
A.company policy.
B.state law.
C.federal law.
D.restrictive covenant.
Freedom of speech is covered under which Amendment?
A.First Amendment
B.Second Amendment
C.Fourth Amendment
D.Sixteenth Amendment
The executive function of the Consumer Protection Agency is performed by the agency:
A.clerk.
B.supervisor.
C.superintendent.
D.director.
The distinction that developed between malpractice and other forms of negligence in
part stems from the fact that the performance of certain professionals is known as a(n):
A.performance.
B.behavior.
C.practice.
D.employment.
The assignor of a contract right becomes a(n):
A.assignee.
B.grantor.
C.guarantor.
D.transferee.
Appointment as a ______ should not be accepted unless one has the temperament,
knowledge, and skills necessary to minimize the risks inherent in this position.
A.lessor
B.warrantor
C.trustee
D.mortgagor
During the testing of drugs, the phase in which the safety and effectiveness of the drug
are evaluated in trials involving a great number of people is:
A.Phase I.
B.Phase IV.
C.Phase II.
D.Phase III.
A warehouse receipt is used for goods that are being:
A.imported.
B.stored.
C.exported.
D.sold immediately.
Some sellers put specific limitations in the warranty to limit the effectiveness of a
warranty. Such a denial or repudiation in an express warranty is known as:
A.puffing.
B.product liability.
C.a warranty.
D.a disclaimer.