Contracts for the provision of personal services are generally not assignable.
The U.S. Equal Employment Opportunity Commission enforcing equal opportunity in
employment laws is an instance of general government regulation.
A will has to be written on legal paper to be considered valid.
The theory of stakeholder interest compels a corporation to consider the effects of its
actions specifically on shareholders.
In the case of an ordinary lease, if the lessor is a merchant, the risk of loss remains with
the lessor even after the lessee receives the goods.
Obtaining nontestimonial evidence like fingerprints and body fluids violates the
privilege against self-incrimination provision.
An instrument that is not payable to a specific payee or indorsee is called an order
paper.
It is necessary to prove actual injury in order for a plaintiff to recover damages in a
price discrimination lawsuit.
The Uniform Commercial Code (UCC) signature requirement indicates that a
negotiable instrument must be signed by the drawer if it is a certificate of deposit.
The disassociation of a member from a term LLC (limited liability company) before the
expiration of the specified term is wrongful.
Intoxicated persons are liable in quasi-contract to pay the reasonable value for
necessaries they receive.
In a guaranty agreement, the guarantor is primarily liable on the debt.
________ refers to a contract provision that designates a certain state’s law or country’s
law that will be applied in any dispute concerning nonperformance of the contract.
A) Choice-of-law clause
B) Forum-shopping
C) Arbitration clause
D) Forum-selection clause
________ refer to cases arising under the U.S. Constitution, treaties, and federal
statutes and regulations.
A) Federal question cases
B) Diversity of citizenship cases
C) Federal crimes cases
D) Copyrights and trademarks cases
When an accountant has behaved negligently causing damage to a third party, the third
party ________.
A) cannot sue the accountant under any circumstance
B) cannot bring a tort action against the accountant to recover damages
C) cannot sue the accountant for breach of contract
D) cannot claim constructive but not actual fraud on part of the defendant
Which of the following is true of an apparent agency?
A) The authority of an apparent agent is implied from the conduct of the parties.
B) The third-party is not bound to a contract created by an apparent agent.
C) The principal is bound to the contracts entered into by an apparent agent.
D) The actions of an apparent agent create an apparent agency.
The ________ coordinates state securities laws with federal securities laws.
A) Insider Trading Sanctions Act
B) Securities Act of 1934
C) Securities Act of 1933
D) Uniform Securities Act
A(n) ________ is a partnership created for a fixed duration.
A) partnership for a term
B) partnership at will
C) ordinary partnership
D) limited partnership
Which of the following is a legal requirement of a marriage in all states?
A) marriage license
B) marriage ceremony
C) prenuptial agreement
D) parental consent
Which of the following would be part of the bankruptcy estate of a debtor?
A) interest in jewelry worth $1,000
B) unmatured life insurance policy owned by the debtor
C) interests in wrongful death benefits
D) interest of $3,500 in a motor vehicle
Which of the following phrases describes the term covenant?
A) an unconditional promise to perform
B) a breach of contract
C) mutual rescission of a contract
D) successive assignments of a right
By allowing the U.S. citizens to practice any religion of their choice, what essential
function of the law does the U.S. Constitution serve?
A) facilitating orderly change
B) maintaining the status quo
C) maximizing individual freedom
D) facilitating planning
The ________ is a model act that codifies general partnership law.
A) Uniform Partnership Act (UPA)
B) Fair Employment Partnership Act (FEPA)
C) Americans with Disabilities Act (ADA)
D) Age Discrimination in Employment Act (AEDA)
Which of the following is an exception to the Statute of Frauds?
A) contracts under promissory estoppel
B) agents’ contracts
C) merger clause
D) prenuptial agreement
The ________ was intended to eliminate job discrimination based on race, color,
national origin, sex, and religion.
A) Lilly Ledbetter Fair Pay Act
B) Fair Employment Practices Act
C) Title II of Genetic Information Nondiscrimination Act
D) Title VII of the Civil Rights Act of 1964
A contract between a corporation and a holder that contains the terms of a debt security
is known as a(n) ________.
A) bond
B) indenture
C) debenture
D) liquidation
Liability in which a person cannot be held contractually liable on a negotiable
instrument unless his or her signature appears on the instrument is referred to as
________.
A) warranty liability
B) unqualified liability
C) contract liability
D) accommodation
Chapter 7 of the Bankruptcy Code of the bankruptcy act of 2005 primarily deals with
________.
A) reorganization
B) adjustment of debts of a family farmer or fisherman with regular income
C) adjustment of debts of an individual with regular income
D) liquidation