1) the right of a lienholder to possess goods does not automatically give the lienholder
the right to sell the goods or to claim ownership if his charges are not paid.
2) the ocean dumping ban act of 1987 set up a permit system regulating the dumping of
all types of materials into ocean waters.
3) even if the buyer has misrepresented his solvency to the seller in writing within three
months before the delivery of the goods, the 10-day limitation on the sellers right to
reclaim the goods still applies.
4) in order to capitalize a newly formed corporation, the company will usually seek
cash in exchange for equity securities, debt securities, or both.
5) a promissory estoppel cannot be applied in the case of the absence of a binding
consideration.
6) because they serve for free, gratuitous agents have no authority to bind their
principals.
7) under the code, consideration is required to support a modification or rescission of a
contract for the sale of goods.
8) though formal natural law defense is not recognized in court, judges do take natural
law oriented views while interpreting statutes.
9) if the parties make an agreement that is partly printed and partly handwritten, the
handwritten provisions prevail over the printed provisions in case of a conflict between
them.
10) according to the provisions of ucc, an exclusive dealing contract imposes a duty
only on the distributor to use his/her best efforts to sell the goods.
11) a partners express and implied authority constitutes his or her apparent authority.
12) discovery generally takes place without a need for court orders or other judicial
supervision. which of the following is an exception to this rule?
a.a request for written questions directed at the opponent.
b.requests for admission directed at the opponent.
c.a request for a physical or mental examination of the opponent.
d.requests for the production of documents in civil cases.
13) unemployment compensation is administered by _____.
a.the social security system.
b.the states.
c.the secretary of labor.
d.the federal government.
14) which of the following augments the powers of congress by permitting it to enact
laws that are useful or conducive to the exercise of those enumerated powers?
a.the commerce clause
b.the taxing power
c.the spending power
d.the necessary and proper clause
15) hillary tells iris that she wants to buy iriss house on behalf of a party who wishes
her identity not to be known. the party is baker associates. with bakers consent, hillary
contracts with iris on bakers behalf to buy the house. what is hillarys liability on this
contract?
a.hillary is liable because baker is an undisclosed principal.
b.hillary is liable because baker is an unidentified principal.
c.hillary can be liable only if she expressly agreed to be liable.
d.hillary is liable because baker is a legally non-existent principal.
16) melanie owes $250 to jessica. jessica gifts the right to receive the money from
melanie to her daughter kelly in writing. this assignment is:
a.unenforceable since a beneficiary modification is prohibited.
b.enforceable despite the lack of consideration.
c.unenforceable because contractual rights cannot be assigned.
d.enforceable because the gift is made in writing.
17) in a situation in which there is a conflict of interest between an agent who is
authorized to make a certain transaction for a principal and the principal, the agent is
allowed to:
a.engage in self-dealing transactions if the principal and the third party are unaware of
the transactions.
b.compete with the principal regarding the agency business.
c.act as agent for both parties to a transaction without disclosing the double role to both
principals.
d.act as a middleman and serve both parties to a transaction without notifying either
principal.
18) in order to qualify as a trade secret, it must:
a.be developed through research.
b.be known to the general public.
c.be the work of a company.
d.possess sufficient value or originality.
19) which of the following allows parties to determine their rights and duties even
though their controversy has not advanced to the point where harm has occurred and
legal relief may be necessary?
a.ejusdemgeneris
b.standing to sue
c.declaratory judgment
d.precedents
20) which of the following characterizes copyright transfer?
a.oral transfers are valid and recognized.
b.ownership can be retained while licensing part of the work.
c.it leads to a transfer of ownership for that period of time.
d.it allows everything except the performance of the work.
21) josh, betty, and danny formed an llc to manage their accounting business. josh
contributed $20,000 to the llc. betty and danny contributed $40,000 each. being close
friends, they did not include a profit and loss sharing plan in the operating agreement. a
year later, they realize their working styles do not match. all the members agree to
dissolve the llc and sell all of its assets. assuming that the llc did not have any creditors
and a total of $175,000 was obtained after the sale of all the assets of the dissolved llc,
how much will betty get?
a.$100,000
b.$75,000
c.$50,000
d.$65,000
22) an oral contract for the sale of land that has been completely performed by the
vendor:
a.is part of the statute of frauds.
b.can be enforced without any writing.
c.needs to be signed by the parties.
d.has to be testified by witnesses.
23) what do statutes and administrative regulations have in common?
24) why is filing a financing statement the only practical way to perfect a security
interest in equipment?
25)
26) ralf breaches a contract with smith for making 1,000 sport goggles. smith decided to
resell them to diminish his losses. luckily, he got a huge market for that and collected a
huge profit. the amount was far more than the contracted price with ralf. however, now
ralf is demanding the share from profit. will ralf succeed?
27) what is the shelter rule in article 3?
28) what is meant by the term “national priority list”?
29) e-systems, inc., a manufacturer of computer chips, offers to sell 1,000 chips to swell
computers for $2,000 in a signed memo that states the offer is good for one year. four
months later, e-systems revokes the offer, having never received an acceptance from
swell. after receiving the revocation, swell wants to accept e-systemss offer. what is the
result?
30)
31) mike buys a new $25,000 turbocharged dodge vampire for cash. the dealer requires
a certified check for that amount, so mike gets his bank to certify his check for $25,000.
one day later, the bank goes bankrupt. rather than trying to recover in bankruptcy, the
dealer pursues mike. one of the dealers theories is that mike is secondarily liable on the
check, and that the banks default makes mike liable on the instrument. is the bank right?