The coverage of a standard fire insurance policy cannot be enlarged by adding riders or
endorsements to the policy.
The International Court of Justice is composed of 15 judges who serve nine-year terms.
A company slogan is an example of a trademark.
People below the age of majority are considered minors.
If an agent competes with the principal without the principal’s permission, the principal
may recover profits made by the agent.
While interpreting contract words and terms, specific termsare presumed to qualify
general terms.
A title for goods obtained by a seller through fraud, impersonation, or a dishonored
check is referred to as a(n) ________.
A) unenforceable title
B) voidable title
C) conditional title
D) unequivocal title
Section 2-201(1) of the Uniform Commercial Code (UCC) is the basic Statute of Frauds
provision for ________.
A) sales contracts
B) lease contracts
C) all contracts involving interests in real property
D) mortgage contracts
________ is a clause in a contract in which the parties specify certain events that will
excuse nonperformance.
A) Approval clause
B) Express condition
C) Force majeure
D) Implied-in-fact condition
The Uniform Commercial Code (UCC) signature requirement indicates that a
negotiable instrument must be signed by ________.
A) a witness
B) the maker or drawer
C) the drawee
D) the financee
Which of the following types of insurances will help an owner of a real property
establish clear ownership over that property?
A) comprehensive insurance
B) title insurance
C) omnibus insurance
D) renter’s insurance
Which of the following has the largest trading volume of any securities exchange in the
world?
A) NYSE
B) Euronext
C) NASDAQ
D) London Stock Exchange
Charlotte works as a teacher in Africa. Every Sunday, she visits nearby villages and
convinces families to send their children to school. She arranges accommodation for
these children and helps them with their education. In a recent interview, Charlotte
mentioned that she looks up to Mother Teresa not only for inspiration but also to
resolve ethical dilemmas. Which of the following theories would support Charlotte’s
approach to ethics?
A) ethical fundamentalism
B) utilitarianism
C) Kantian ethics
D) ethical relativism
Clive buys a rifle from Gun Manufacturing Company and goes hunting. During the
hunting expedition, he accidentally shoots himself in the foot. Which of the following
would be true of this case?
A) Clive can bring a strict liability lawsuit against the company for its failure to warn
him about the possible dangers of firearms.
B) Clive can bring a strict liability lawsuit against the company for failure to provide
adequate instructions on the use of the rifle.
C) Clive cannot take any action because the handling of firearms entails generally
known dangers.
D) Clive cannot take any action against the company because he had abnormally
misused the product.
Hillary had purchased a term life insurance policy and had nominated her mother as the
beneficiary, while William, her colleague, had a universal life insurance and had
nominated himself as the beneficiary. Hillary and William recently got married and
wish to nominate each other as beneficiaries in their individual life insurance policies.
In the context of the given scenario, which of the following statements is true?
A) Hillary and William will have to purchase two new policies to nominate each other
as beneficiaries.
B) Hillary and William will have to seek an endorsement to make the requisite changes
in their current individual life insurance policies.
C) Hillary will be able to nominate William as the beneficiary, but William cannot do so
because he did not enlist a beneficiary earlier.
D) William will have to nominate both Hillary and her mother as beneficiaries for his
insurance policy because existing beneficiaries cannot be denied coverage.
If a person’s debts are subject to a Chapter 7 discharge, what does it mean?
A) that he or she needs to repay only unsecured debts
B) that he or she needs to repay only secured debts
C) that he or she needs to pay his prepetition debts with his postpetition income
D) that he or she need not repay the debt
Which of the following can Sally obtain to protect herself from Colton after the
divorce?
A) an annulment order
B) a restraining order
C) a postnuptial agreement
D) a divorce decree
When is a restraining order issued in a divorce?
A) when both partners have filed for divorce stating irreconcilable differences
B) when one of the partners is financially dependent on the other
C) when one of the partners is disabled and physically dependent on the other
D) when one of the partners is potentially dangerous to the other