A contract implied in law is known as a(n)
a. quasi contract.
b. express contract.
c. voidable contract.
d. unilateral contract.
The holder of a promissory note fails to present the note to the maker for payment on
the date on which it is due. What effect does this have on the liability for payment?
a. It requires court action in order to make the holder liable for payment.
b. It requires court action in order to hold previous indorsers liable for payment.
c. It releases the maker from liability for payment.
d. It releases indorsers from liability for payment.
Compensation for a canceled airline flight is determined by
a. federal law.
b. federal regulations.
c. airline policy.
d. federal and state laws.
A court that has the power to hear almost any case brought before it is considered to
have
a. appellate jurisdiction.
b. general jurisdiction.
c. constitutional jurisdiction.
d. limited jurisdiction.
A small claims court is an example of a(n)
a. appellate court.
b. criminal court.
c. district court.
d. local court.
A government regulation, to be valid, must be
a. approved by the voters.
b. needed to promote a public interest.
c. reasonable.
d. needed to promote a public interest and reasonable.
Consideration may be
a. money.
b. property.
c. a promise not to do something you have the legal right to do.
d. all of these.
The subject of a bailment could be
a. a bicycle.
b. a jacket.
c. a set of china.
d. all of these.
Martin promised Bellis $50 if Bellis found and returned Martin’s cocker spaniel. This
contract is
a. bilateral.
b. unenforceable.
c. unilateral.
d. executed.
In assessing damages for an actual loss, a court will usually grant a plaintiff
a. compensatory damages.
b. nominal damages.
c. punitive damages.
d. liquidated damages.
A property map made by a licensed surveyor is called a(n)
a. tape location map.
b. geodetic survey.
c. line map.
d. instrument survey.
A person named in a will to carry out the deceased’s wishes is a(n)
a. conservator.
b. executor.
c. receiver.
d. administrator.
A court order directing a debtor to pay an amount owed is called a(n)
a. judgment.
b. lien.
c. execution.
d. wage assignment.
In cases involving violence or serious property offenses, if the accused is a juvenile, the
police will generally
a. release the juvenile to the parents with a warning.
b. refer the juvenile to either a juvenile court or an adult court.
c. refer the juvenile to a community agency for rehabilitation.
d. refer the juvenile to a youth counselor.
What term insurance and whole life insurance have in common is
a. payment of proceeds upon the death of the insured.
b. cash value.
c. coverage for a specific term.
d. a deductible feature.
Part payment of a liquidated claim
a. discharges the remainder of the claim.
b. discharges the remainder of the claim if the creditor marks “paid in full” on any
receipt given to the debtor.
c. discharges the remainder of the claim if, in addition to the part payment, the debtor
gives additional consideration.
d. discharges the remainder of the claim if the debtor states that he or she has no more
funds with which to pay the remainder of the debt.
An informal contract should include
a. the names of the parties.
b. the consideration given by each party.
c. the date.
d. all of these.
The statute of frauds
a. applies only to executed contracts.
b. requires certain contracts to be in writing.
c. states that written contracts cannot be changed by oral evidence.
d. none of these.
Closing costs are always the sole responsibility of the buyer.
A subsequent oral agreement modifying a written contract must be in writing if the
written contract originally had to be ____________________.
The words order and bearer are words of negotiability.
Eastern Realty Corp. was organized to purchase, renovate, and sell office buildings. The
officers of the corporation authorized the purchase of two buildings, which resulted in a
substantial loss to the corporation. Can the stockholders legally hold the officers
personally liable for the loss?
The portion of corporate profits returned to stockholders is called a(n)
____________________.