Which of the following is NOT a special relationship giving rise to a duty to act to aid
or protect one in peril?
a. Hotel and guest.
b. Aunt and niece.
c. School and student.
d. None of these are correct.
Sources of federal law include all but which of the following?
a. Rules of administrative agencies.
b. Decisions of federal courts.
c. Executive orders of the President.
d. Hearings before the Senate.
Janet is called for jury duty and is selected for possible service on a jury. However,
when the defendant’s attorney sees her, he notices that she is wearing a green dress.
Both the defendant and the defendant’s attorney hate green dresses, so they strike her
name from the jury. In this case:
a. this is a valid challenge for cause.
b. this is a valid peremptory challenge.
c. this is not a valid challenge.
d. the plaintiff’s attorney can have Janet serve by making an offer of proof to the judge.
On June 1, Supertread Tire Company entered into a contract to provide 100 tires per
month to ZYX Cycle Company at $30 per tire for the next two years. The October
shipment consisted of 100 badly defective tires. ZYX Cycle Company:
a. can treat the whole contract as breached.
b. can reject the October shipment if it cannot be cured in a timely manner by
Supertread.
c. cannot reject the October shipment since it is part of the installment series.
d. All of these are correct.
Sexual harassment is an illegal form of sexual discrimination that includes:
a. unwelcome sexual advances.
b. requests for sexual favors in return for job promotion.
c. unwanted verbal or physical conduct of a sexual nature where the subject of the
unwanted advances has made known to the perpetrator that the actions are unwanted
and the conduct reasonably interferes with the subject’s work performance.
d. All of the above.
The category of law that creates, defines, and regulates legal rights and obligations is
known as:
a. substantive law.
b. procedural law.
c. constitutional law.
d. criminal law.
In suing to recover for environmental damage under the common law, plaintiffs
generally have had causes of action in:
a. nuisance.
b. trespass.
c. strict liability.
d. All of the above.
The “discovery” stage of a trial includes which of the following?
a. Production of documents.
b. Written interrogatories.
c. Depositions.
d. All of the above.
A __________ is a formal appointment of an agent.
a. fiduciary
b. revocation
c. power of attorney
d. rescission
Under which of the following circumstances would a court be unlikely to enforce the
illegal contract?
a. Where the aggrieved party was unaware of an illegality created by circumstances of
which he was unaware but the agreement appeared permissible on its face.
b. Where a party withdraws from an illegal agreement prior to performance.
c. Where the agreement is with an unlicensed attorney.
d. Where one of the parties is less at fault than the other.
Under the Age Discrimination in Employment Act (ADEA), which of these defenses
are available?
a. A bona fide occupational qualification.
b. A bona fide seniority system.
c. Any reasonable action.
d. All of the above.
In enacting Section 2 of the Clayton Act, Congress was concerned with sellers who
sought to harm or eliminate their competitors through:
a. mergers.
b. price discrimination.
c. tying arrangements.
d. None of the above.
Foreign issuers of securities:
a. who issue securities in the United States must register them under the 1933 Act
unless an exemption is available.
b. whose securities are sold in the secondary U.S. market need not register under the
1934 Act.
c. are exempt from U.S. securities laws.
d. are brought under the antifraud provisions of U.S. securities laws if there is conduct
in the United States relating to a violation of federal securities laws; the effects relating
to such violation would not be sufficient to cause jurisdiction.
Contract damages that put the injured party in as good a position as if the other party
had performed are:
a. compensatory damages.
b. incidental damages.
c. consequential damages.
d. liquidated damages.
The NPDES is a highly effective water emission technology required to be used by the
EPA.
A major criticism of utilitarianism as an ethical theory is:
a. it is rigid.
b. in some important instances it ignores justice.
c. it results in the judgment that a person’s actions are always moral for that person and
therefore exempt from punishment.
d. it is excessively formal.
Howard needs a truck to pull a 2,000-pound trailer. Gordon tells Howard, “My truck
will pull a 2,000-pound trailer with ease.” Relying on Gordon’s statement, Howard buys
the truck, but it will not pull a 2,000-pound trailer. If Gordon did not intend to deceive
and Howard sues for nonfraudulent misrepresentation, he can ask for:
a. punitive damages, but not out-of-pocket damages.
b. out-of-pocket damages, plus consequential damages.
c. out-of-pocket damages plus punitive damages.
d. nominal damages because Howard should have known the capacity of the truck.
Carlos owns a store in Polk County. His trade extends throughout River City, but not
beyond the county limits. He sells his store to Virginia and, as part of the transaction,
agrees not to engage in the same business anywhere within the state for a period of
three years. The agreement:
a. is reasonable.
b. is unreasonable.
c. unduly interferes with the interests of the public.
d. Both (b) and (c).
A design patent:
a. has a duration of 14 years.
b. refers to ornamental designs for manufactured products.
c. requires a showing of novelty, ornamentality, and nonobviousness.
d. All of the above.
Unless one of the parties contractually assumes the risk, the __________ discharges a
contract if supervening circumstances make fulfillment of the purpose which both
parties had in mind impossible.
a. bankruptcy law
b. frustration of purpose doctrine
c. perfect tender rule
d. impossibility of performance doctrine
Under 2009 amendments to the Truth in Lending Act, credit card companies cannot
increase their interest rate unless they give customers 120 days’ notice.
Showplace insures its $160,000 building with two insurers: with Hometown Insurance
for $60,000 and with National Insurance for $120,000. The building suffers a fire loss
of $75,000. From whom and for how much can Showplace collect?
The definition of “goods” in the UCC may include timber, minerals, growing crops, or a
building.
Eminent domain does not grant power to take private land for public use.
An agent for an unidentified principal is liable on the contract to the third party no
matter whether the particular transaction is authorized or not.
The Justice Department has expanded its enforcement policy of the Sherman Act to
cover foreign companies’ conduct that harms U.S. exports.
The Revised Article 3 of the UCC provides that a check which meets all requirements
of being a negotiable instrument, except that it is not payable to bearer or order, is
nevertheless a negotiable instrument.
If a person with a mental condition that impairs her ability to act in a reasonable manner
enters a contract that is grossly unfair, the contract is voidable.
A merchant buyer of goods receives nonconforming goods. The merchant buyer
rightfully rejects and appropriately notifies the seller, but the seller has no agent in the
buyer’s city. The goods are perishable and threaten to decline in value speedily. The
merchant buyer has no further duty to the seller other than to await the seller’s
instructions.