The theory of moral minimum emphasizes correcting social injuries caused by a
business.
Consequential damages are unforeseeable damages.
Only the offeree has the legal power to accept an offer and create a contract.
E-mail contracts are enforceable even if they don’t meet traditional contract
requirements.
A Web contract is enforceable only if it meets the requirements of a traditional contract.
A disclaimer of the implied warranty of fitness for a particular purpose may be oral.
The Securities and Exchange Commission (SEC) has the power to file criminal charges
and award punishment for violations that come under Section 32(a) of the Securities
Exchange Act of 1934.
Which one of the following is a remedy for buyers in cases where the seller or lessor
tenders nonconforming goods, and the buyer or lessee accepts them?
A) cover and then recover damages
B) deduct damages from the unpaid purchase or rent price
C) replevy the goods
D) sue for specific performance
Which of the following is true of the right of redemption for mortgages?
A) The mortgagor has to pay the full amount of the debt incurred by the mortgagee.
B) The title of possession is passed on to the mortgagee upon completion of
redemption.
C) The mortgagee is allowed to pay back partial interest until the statutory period of
redemption.
D) The right to redemption is enacted after the foreclosure is complete.
Which of the following does the one-year rule state?
A) Every contract in writing is subject to yearly renewal.
B) The terms of a written contract can be modified within a year of its formation.
C) A contract that cannot be performed on its own terms within a year should be in
writing.
D) Valid contracts cannot be rescinded by either party until a year after their formation.
Which of the following is an acceptable consideration for a contract?
A) arrest
B) penalty
C) money
D) sentence
The ________ is a federal law that permits employees and their beneficiaries to
continue their group health insurance after an employee’s employment has ended.
A) Fair Labor Standards Act
B) Family and Medical Leave Act
C) Employee Retirement Income Security Act
D) Consolidated Omnibus Budget Reconciliation Act of 1985
John writes a check for $100 on his account at the Sacred Heart Bank to repay the $100
he owes Perry. He gives the check to Eliot and tells her to hand it over to Perry.
However, Eliot loses the check before she can give it to Perry. Later, John realizes that
he had not written Perry’s name on the lost check. According to the provisions of the
Uniform Commercial Code (UCC), on which of the following parties should the risk of
loss of the check be placed?
A) Eliot
B) Perry
C) John
D) Sacred Heart Bank
The ________ branch of the federal government has the power to enact laws.
A) legislative
B) judicial
C) consulate
D) executive
What happens to the life insurance proceeds upon the death of an insured who has not
named a beneficiary?
A) The proceeds are given to the state.
B) The proceeds remain with the insurer for the full-term of the insurance.
C) The proceeds are given to charitable organizations.
D) The proceeds go to the insured’s estate.
Which of the following is one of the purposes of the Dodd-Frank Wall Street Reform
and Consumer Protection Act of 2010?
A) monitoring the legitimacy of consumer and commercial wire transfers
B) establishing the reporting requirements for financial transactions, including
off-balance-sheet transactions
C) regulating previously unregulated financial products and institutions
D) overseeing, inspecting, and disciplining accounting firms in their roles as auditors of
public companies
Which of the following is true of an allonge?
A) It must contain the name of the payee to be valid.
B) It must be accepted by the payee to be valid.
C) It must be affixed to the indorsement.
D) It must be provided only on demand.
Which of the following is true of profits and losses in a general partnership?
A) The proportion of profit shared is equal to the general partner’s initial investment.
B) Losses are shared equally by all general partners.
C) The general partner who proposed the idea of the business gets most profit.
D) The proportion of investment governs only the proportion of loss shared and not
profit obtained.
A limited liability limited partnership is a ________ in the state in which it is organized.
A) sole proprietorship
B) limited liability corporation
C) domestic LLLP
D) general partnership
Roger, a lawyer, borrowed money from Jax to start a business. He gave a promissory
note to Jax promising to pay the money back anytime within the next five years. But in
order to accept the note, Jax demanded a security deposit. Roger gave the gold that he
owned as security. Roger in turn demanded that a specific clause be added to the
promissory note to allow faster repayment of the loan in case he inherited money within
the next five years. But even after five years, Roger was unable to complete payment.
He made a new promissory note promising to finish payment within the next year, and
promised to provide free legal service to Jax for the next two years. Which of the
following clause did Roger ask to add in the first promissory note?
A) a prepayment clause
B) an acceleration clause
C) an extension clause
D) a forestallment clause
List and explain the strikes that are illegal under federal law.
How is the division of debts conducted after a divorce?
What is the World Bank? What is its function?
Explain implied and express authorizations.
As a part of downsizing, Richmond and Sons fired an employee before his employment
contract lapsed. Is the employee obliged to mitigate damages? Explain.
Who is an independent contractor?
Explain the term of office for members of a corporate board of directors.