When a customer deposits a check into a checking account for collection, the
depository bank does not have to pay the customer the amount of the check until the
check “clears.”
The measure of damages awarded to the innocent party for fraud is the difference
between the value of the property as represented and the actual value of the property.
The open price term requires a contract to mention a specific price.
If a payer bank pays the altered amount on an altered check, it can recover the altered
amount minus the original tenor from the party who presented the altered check for
payment.
A limited liability company cannot be abbreviated as LC.
Acceptance of nonconforming goods is a breach of contract by the buyer.
The United Nations is charged to take enforcement actions to ensure member
compliance with the European Union.
An H4 visa holder is eligible to work in the United States for minimum wages or
higher.
Physical duress occurs when there is physical harm to the contractual document, such
as complete or partial destruction or manipulation of content.
The Uniform Commercial Code (UCC) does not permit several writings to be
integratedto form a single written contract.
A partner who winds up the affairs of a limited partnership has the same rights, powers,
and duties as a partner winding up a general partnership.
Course of performance between the parties is taken into account when the express terms
of their written contract are not clear.
Article 2A (Leases) of the UCC establishes rules regarding title and risk of loss for
leased goods.
Helen has a $40,000 automobile collision policy with a $750 deductible. If her car is
involved in an accident costing her $15,000 to repair the damages, ________ is the
amount she will have to pay to receive coverage for the damages from the insurer.
A) $750
B) $39,250
C) $40,000
D) $14,250
Sam expressed an interest in buying a painting from Jasper, who claimed that the
painting was a family heirloom. Jasper’s asking price was $15,000, but Sam was only
willing to offer $13,000. Jasper told him that it was a very old painting worth a fortune
and that others would gladly pay $20,000 for it. He also told him that he was only
selling it under its market value because he needed the money immediately. He then
implied that Sam could sell it for a higher rate if he wanted. In legal terms, Jasper’s
words to Sam would be considered as ________.
A) an express warranty
B) an implied warranty of merchantability
C) a statement of opinion
D) an oral contract
The ________ states that any increase in price paid for shares tendered must be offered
to all shareholders, even those who have previously tendered their shares.
A) pro rate rule
B) fair price rule
C) Williams Act
D) antifraud provision of the Securities and Exchange Commission
Which of the following statements is true of an offer that was not communicated?
A) The offer stays valid for 30 days from the date of creation.
B) The offer cannot be accepted by the offeree if not communicated.
C) The offeree can claim an offer that was not communicated.
D) The offer is considered to be an implied term.
Who among the following can access Henry’s stored electronic communications
without violating the ECPA?
A) Henry’s colleague at work, who is working on the same project as Henry and needs
the information
B) Henry’s wife, who suspects him of cheating on her
C) Henry’s boss, who suspects him of leaking confidential information
D) Henry’s personal financial advisor, who wants to see if he has sufficient funds to
make an investment
A statement that negates express and implied warranties is known as a ________.
A) warranty disclaimer
B) limited warranty
C) warranty infringement
D) warranty of no interference
Jonas enters into an oral contract with Chelsea to lease his house to her for $100,000.
Chelsea pays him $100,000 and moves in. A month later, Jonas learns that his state
requires contracts for the lease of goods with payments of $1,000 or more to be in
writing. Which of the following options does either party have now?
A) Jonas can evict Chelsea as the contract does not comply with the Statute of Frauds
and is hence void.
B) The contract cannot be rescinded by either party as it has already been executed.
C) Chelsea can rescindthe contract on the grounds of noncompliance with the Statute of
Frauds.
D) Jonas can rescindthe contract on the grounds of noncompliance with the Statute of
Frauds.
Which of the following is true of Chapter 13 discharge?
A) It is granted before a Chapter 13 plan of payment is enforced.
B) It is not granted if the debtor has received Chapter 7 discharge in the last four years.
C) It is granted only for the secured unpaid debts of a debtor.
D) All unpaid taxes are discharged under Chapter 13 discharge.
A warranty disclaimer is considered to be conspicuous when ________.
A) the seller implies the disclaimer
B) a reasonable person is able to notice it
C) it is present in the contract
D) it is expressed and approved by both seller and buyer
Which of the following courts are the federal court system’s trial courts of general
jurisdiction?
A) the U.S. district courts
B) the U.S. Tax Courts
C) the U.S. courts of appeals
D) the U.S. courts of federal claims
Under the Treaty Clause, ________ is seen as the agent of the United States in dealing
with foreign countries.
A) the Secretariat
B) the president
C) the United Nations
D) the deputy secretary
A(n) ________ is an exemption from registration which states that securities
transactions not made by an issuer, an underwriter, or a dealer do not have to be
registered with the SEC.
A) intrastate offering exemption
B) private placement exemption
C) regulation A offering
D) nonissuer exemption
A separate piece of paper attached to an instrument on which an indorsement is written
is known as a(n) ________.
A) bill of exchange
B) allonge
C) supplement
D) appendage
A ________ alleges that if all the facts presented in the paperwork filed with the court
to initiate or respond to the lawsuit are true, the party making the motion would win the
lawsuit when the proper law is applied to these facts.
A) motion for judgment on the pleadings
B) motion for summary judgment
C) motion for judgment notwithstanding the verdict
D) motion to set aside judgment