1) which of the following is true about a wrongfully dissociated partner?
a.he may perform the winding up.
b.he may demand the partnership be dissolved.
c.he is not entitled to the value of any of his partnership interest.
d.he is entitled to his share of the partnership interest; minus the damages he caused the
partnership.
2) phil decided to rescue bobo, the dancing bear, from a traveling circus that was
closing its business. although bobo was a well-behaved grizzly bear, phil took great
caution to make sure that bobo would not escape from his yard by reinforcing the yards
fence with steel and padlocking the gate. one day, without notice, bobo rushed the
fence, knocked the padlock off the gate, and escaped from phils yard. bobo lunged at a
young child in the neighborhood, injuring him. based on these facts:
a.phil will be liable, only if he breached a duty of due care owed to the child.
b.phil will be liable if the harm that resulted to the child was foreseeable to phil.
c.phil will be liable, regardless of the steps that he took to secure the yard.
d.phil will most likely not be liable.
3) _____ prohibited federal court enforcement of yellow-dog contracts.
a.the national labor relations act
b.the railway labor act
c.the norris-laguardia act
d.the fair labor standards act
4) the fair labor standards act (flsa) regulates wages and hours by entitling covered
employees to a time-and-a half rate for work exceeding _____ hours per week.
a.55
b.50
c.45
d.40
5) bill leased a villa from mark for a period of two years. two months after he moved in,
he was regularly disturbed by the noise created by a group of young boys living in the
adjacent plot. despite repeated requests to the neighbors and mark, there has been no
improvement in the situation. which of the following is an accurate statement?
a.mark is liable to bill under the implied warranty of quiet enjoyment.
b.bill cannot recover damages from either mark or his neighbors.
c.the neighbors have the right to live as they wish to.
d.bill cannot use the remedy of constructive eviction since he has leased residential
property.
6) which of the following is a provision of the sarbanes-oxley act of 2002?
a.it imposed a maximum of 15 years of imprisonment as punishment for the destruction
of documents.
b.it decreased the maximum term of imprisonment for mail fraud and wire fraud to 15
years.
c.it provided legal protection for corporate employees who act as whistleblowers.
d.it shortened the statute of limitations period within which certain securities fraud
cases may be filed.
7) which of the following scenarios would justify eviction proceedings by a landlord?
a.a tenant has abandoned the premises without any notice.
b.a tenant has not paid rent for 5 consecutive months.
c.a tenant has asked for the refund of the security deposit.
d.a tenant wants to make necessary repairs in the premises.
8) john is the promoter of wheelies corp., an automotive wheel manufacturing business.
to escape personal liability on preincorporation contracts, john planned to make only
nonbinding preincorporation contracts. he made one such contract in march 2011 with
his friend david for supplying wheelies with auto parts. after getting payment for the
contract, david refused to make the supply. wheelies has not been incorporated yet. is
david liable?
a.no, david is not liable because john is not liable on the contract.
b.no, david is not liable because wheelies has not been formed yet.
c.yes, david is liable to wheelies but not to john.
d.yes, david is liable to both john and wheelies.
9) when the surrounding facts and circumstances indicate that an agreement has in fact
been reached, a(n) _____ has been created.
a.implied contract
b.quasi-contract
c.void contract
d.unenforceable contract
10) which of the following is true regarding an indorsers liability on a note?
a.a holder can proceed directly against the indorser without first presenting the note to
the maker.
b.a qualified indorsement by the indorser will not disclaim liability against a holder
who takes it in good faith and for value.
c.for the indorser to be liable, there must be presentment to the maker, dishonor by the
maker, and notice to the indorser.
d.for the indorser to be liable, there need only be presentment to the maker and dishonor
by the maker.
11) lazur corp. entered into a contract with baker suppliers, inc. to purchase a used word
processor from baker. lazur was engaged in the business of selling new and used word
processors to the general public. the contract required baker to ship the goods to lazur
by common carrier pursuant to the following provision in the contract: fob – baker
suppliers, inc. loading dock. baker also represented in the contract that the word
processor had been used for only 10 hours by its previous owner. the contract included
the provision that the word processor was being sold as is and this provision was in
larger and different type style than the remainder of the contract. with regard to the
contract between lazur and baker:
a.an implied warranty of merchantability does not arise unless both lazur and baker are
merchants.
b.the as is provision effectively disclaims the implied warranty of title.
c.no express warranties are created by the contract.
d.the as is provision would not prevent baker from being liable for a breach of any
express warranties created by the contract.
12) to qualify as a negotiable instrument, an instrument in the form of a note must be
signed by the:
a.payee.
b.drawee.
c.assignee.
d.maker.