1) real property includes land but does not include residential buildings and permanent
structures.
2) under the doctrine of respondeat superior, a corporation is liable for an employees
tort that is reasonably connected to the authorized conduct of the employee.
3) a will that is not executed with the formalities required by state law is void.
4) attachment of a security interest is a necessary condition for its perfection.
5) generally, if there is a good faith dispute over a matter, a persons threat to file a
lawsuit to resolve that dispute is considered to be improper.
6) negligent defendants are never liable for the consequences of an unforeseeable
intervening cause.
7) the death of a general partner causes dissolution of the limited partnership.
8) when would the amount of liquidated damages agreed to by both parties in a contract
be considered unconscionable?
a.if the amount is reasonable
b.if the amount of losses was easy to estimate while drafting the contract
c.if the amount were too small compared to the possible losses
d.if the amount were too big to be considered penal
9) which of the following rules is applicable to determine the liability of a corporation
for any torts committed by its agents?
a.principle-agent relationship
b.joint and severally liable
c.strict liability
d.vicarious liability
10) which of the following is true of conditional gifts?
a.they are considered completed gifts.
b.they come with certain restrictions.
c.they cannot be revoked.
d.they need to be delivered.
11) infractions:
a.involve significant moral culpability on the offenders part.
b.are not punishable by fines.
c.are a serious crime.
d.are not punishable by confinement in jail.
12) the __________ act is not limited to consumer credit; it also covers business and
commercial loans.
a.truth in lending
b.equal credit opportunity
c.fair and accurate credit transactions
d.fair credit reporting
13) which of the following is a remedy in the case of an erroneous expression of an
agreement due to an error in drafting?
a.reformation
b.rescission
c.avoidance
d.tort of deceit
14) an agents apparent authority ends when:
a.the principal revokes authority.
b.the third party receives notice of the termination of agency.
c.the principal loses capacity or dies.
d.the agents actual authority, both express and implied, ends.
15) calvin, a resident of south park, colorado, creates a web site called but seriously
which acts as an electronic billboard for posting funny stories. ted, a resident of
northridge, california, posts a story on the web site. stu, a san diego, california resident,
files a lawsuit against calvin in a federal district court in california, claiming that calvin
had defamed him on his web site. based on these facts, does calvin have sufficient
minimum contacts to give the california federal district court in personam jurisdiction
over him?
a.no, teds posting alone is not enough to create sufficient minimum contacts.
b.yes, teds posting creates sufficient minimum contacts.
c.yes, by creating a web site that is accessible in california, calvin has sufficient
minimum contacts with that state.
d.calvin has sufficient minimum contacts with california only if stus claim is in excess
of $75,000.
16) which of the following is the starting point in calculating the compensatory
damages that the plaintiff had the right to expect?
a.loss in value of performance
b.loss in value of the contract
c.time taken for the performance
d.delay from the expected time of performance
17) the code empowers courts to deal fairly with a contract that is grossly unfair or
one-sided by recognizing the concept of:
a.good faith.
b.unconscionable contract.
c.quasi-contract.
d.implied contract.
18) the tilas detailed disclosure provisions break down into three categories. one of
those categories is that of:
a.open-end credit.
b.debit card applications.
c.mixed credit.
d.consumer loans.
19) which of the following is true regarding the requirements of ratification?
a.an agents illegal contract cannot be made binding by the principals subsequent
ratification.
b.an agent should disclose the principals identity when entering into a contract with a
third party.
c.a principal without legal capacity can ratify the unauthorized acts of the agent.
d.an agents beneficial acts can be ratified by the principal while the detrimental ones
can be rejected.
20) why was the emergence of large corporations so important in shaping the 20th
century contract law?
21) on may 1, 1999, s contracts to sell b a toaster that it warrants for five years. on may
5, 1999, s delivers the toaster to b. the toaster self-destructs on april 30, 2000, but b
does not discover this until may 3, 2000. however, b does not sue s until may of 2003.
has b sued within the time period permitted by ucc statute of limitations? why or why
not?
22) state a situation where state law is preempted by federal regulation.
23) assume that sellers of alcohol for consumption on the premises (i.e., bars, taverns,
and the like) are heavily regulated under montana law. the states statutes and
regulations impose a licensing requirement, mandate the posting of signs (in
open-to-the-public portions of the bar) concerning the minimum drinking age and the
possible hazards of alcohol consumption, and establish numerous other requirements
that bar owners must meet. montana law also authorizes the montana liquor control
commission (mlcc), a state agency that administers the statutes and regulations on
sellers of alcohol, to conduct administrative inspections of bars and taverns in order to
determine whether the required signs are posted and the other legal requirements are
being met. the statute providing for these inspections states that the mlcc need not
obtain any sort of warrant before conducting such an inspection. mlcc investigators
recently conducted a warrantless inspection of the pink elephant lounge, a butte,
montana tavern owned by edna sternwallow. the inspection revealed the absence of the
required drinking age and warning signs. following a hearing, the five mlcc
commissioners suspended the pink elephants liquor license for a year (a penalty
allowed by montana law for a violation of the sign-posting requirement). sternwallow
appealed to an appropriate montana court, which is conducting a de novo review
according to state law. sternwallow argues that the evidence obtained through the
warrantless inspection should be excluded because the inspection violated the fourth
amendment. will sternwallow succeed with this argument? explain.
24) adam offers to sell bill his house. the offer is complete and certain as to all material
terms. the offer also contains a promise that for a price of $100, adam will keep the
offer open for 30 days. bill never pays adam the $100. ten days after making the offer, a
telephones bill to revoke it. three days after that, bill accepts. is there a contract here?
why or why not?
25) steve and bob own real property as joint tenants with right of survivorship. steve
decided that he wanted to own the entire property himself, so he killed bob. due to a
technicality, steve was acquitted of any criminal charges. nevertheless, bobs heirs
brought a civil suit against steve. what would be the result, if the court accepts that
steve obtained the property illegally? explain.
26) what is the ucc approach to the risk of loss of goods during transportation?
27) mike contracts with bob to purchase bobs boat. mike promises to pay bob $5,000
upon delivery of the boat to mikes beach house. bob arrives at mikes house without the
boat, and demands full payment before the boat is to be delivered. is mike obligated to
pay bob the money? why or why not?