Archives: Quiz

Real World Sports Corporation (RWSC) is a U.S. firm with a workplace in Switzerland. Generally, RWSC must abide by U.S. anti-discrimination laws in Switzerland a. under any circumstances. b. under no circumstances. c. unless to do so would contravene the […]

Adding value to a piece of personal property by labor or materials is accession. a. True b. False Quasi contracts are often used by courts, even in cases where there is an actual contract that covers the area in controversy. […]

There are two kinds of bills of lading. While one is a straight bill of lading, the other one is a(n): A.bill of sale. B.flexible bill of lading. C.order bill of lading. D.bill of acknowledgement. A(n) ____________warranty is a guarantee […]

The doctrine of employment at will has been eroded by federal, state, and local statutes; by court decisions; and by: A.social attitude. B.moral behavior. C.company agenda. D.public policy. Title to goods shipped free on board (f.o.b.) destination passes when the […]

Appeals of the decisions of federal administrative agencies are made to the ______. A.U.S. Supreme Court B.U.S. Circuit Courts of Appeals C.U.S. District Courts D.International Court of Justice While courts have long been reluctant to uphold unconscionable contracts, more recently, […]

The Uniform Commercial Code dispenses with the requirement for consideration in contracts that involve: A.a merchant’s firm written offer of an irrevocable contract. B.an oral discharge of a claim for an alleged breach of contract. C.modifications on future contracts. D.modifications […]

A legal bar to the use of contradictory words or acts in asserting a claim against another is known as: A.condition. B.estoppel. C.redeeming power. D.restraining order. Each constitutional amendment must be proposed by a: A.one-third vote of Congress. B.one-fourth vote […]

A violation of a statute is a(n) ______. A.enforceable act B.tort C.offense D.crime Intellectual property is also referred to as ___________ . A.economic property B.intellectual capital C.testamentary property D.real property Answer: B Feedback: Personal property includes knowledge, ways of doing […]

Before the hammer falls, a bidder __________________. A.may retract the bid at any time. B.may never retract the bid. C.does not have a valid offer. D.may retract the bid only within five seconds of the bid. People who establish a […]

Many employers provide employees with ______________and manuals that contain the many policies of the firm. A.employee handbooks B.articles of association C.memorandum of association D.prospectus Frequently, persons with knowledge of computers access the credit card numbers of consumers who have made […]

____________________ is caused by factories and other production facilities which is covered by the Clean Air Act.. A.noise pollution B.mobile pollution C.stationary pollution. D.light pollution Insurance coverage that provides supplementary income to make up for lost wages due to an […]

The sale of goods can be made with the understanding that the purchaser takes title to the goods but has the right to return them within: A.one year. B.a period of one month. C.a period of two months. D.a reasonable […]

Insurance agents and insurance brokers are deemed to possess superior knowledge of insurance and to have the ability to use their expertise to protect buyers against various kinds of: A.losses. B.negligence. C.malpractice. D.churning. Chapter 11 Bankruptcy is mostly used by_____________: […]

Under the Health Insurance Portability and Accountability Act of 1996 a patients medical information can never be shared with non-family members. Genuineness, or reality, of agreement is said to be present in a contract when there is: A.a true meeting […]

The person who agrees to pay for the use of real property is known as the landlord. Contracts with people who have been declared incompetent by the courts are void even if the sane people who contracted with them do […]

As a general rule, if an offer is to be definite and certain, it should cover the same points as a good newspaper story: who, what, when, where, and how much. Conversion may not involve removal, damage, destruction, or unauthorized […]

In an effort to ensure that the federal government itself does not contribute to the destruction of the environment, Congress passed the Clear Air Act of 1970. Under the Robinson-Patman Act a seller of goods may not legally charge a […]

Most states have statutes making a person who issues a check drawn on a bank in which he or she has no account guilty of the criminal offense of larceny. An administrative hearing conducted by an administrative agency is in […]

If Owen refused to testify on the premise that the information he would divulge would self-incriminate him, he can legally do so under the Fifth Amendment. Under the doctrine of contributory negligence, injured parties are not prevented from recovering damages […]

Administrative agencies lack the authority to establish rules that have the force of law. Confiscation involves the host country’s purchasing the assets of a foreign company. . Answer: False Feedback: Confiscation involves the host country taking title to all of […]

An employee handbook should contain information related to the history of the company, including its mission and philosophy. The landlord has the right to regain possession of the property in good condition at the end of the lease. Answer: True […]

Sexual harassment is a form of discrimination on the basis of sex and is illegal under federal law. Consideration required in an enforceable contract can take various forms such as exchange of promises, forbearance, and pledges or subscriptions. Answer: True […]

A minor is liable for the contract price of necessaries purchased even if the contract price is exorbitant. Defamatory statements include slander but not libel. Answer: False Feedback: Speech that harms a persons reputation is referred to as defamation. This […]

The tort of slander requires a directly defamatory statement. Gestures alone can never be slanderous. Even if an employer’s intentional or grossly negligent conduct caused an employee injury or illness, the employee may not sue the employer. Answer: False Feedback: […]

Commercial paper includes checks that banks are ordered to pay, but not drafts in which a third party is ordered to pay. Members of the armed services are permitted to assign their pay. Answer: False The promisor may make a […]

A misdemeanor is the intentional misstatement or nondisclosure of a material fact made by one party with the hope of influencing the other party. The most common type of bankruptcy filed by individuals and businesses is Chapter 7. Answer: True […]

The federal Credit Consumer Protection Act gives a consumer the right to cancel a credit transaction within three days when contract requires that the consumer pledge his or her home as a security deposit. Automobiles, furniture, clothing, and pets are […]

Community based insurance only covers serious illnesses and lengthy hospitalizations. A crime is an offense against the public at large. Answer: True Feedback: A crime is an offense against the public at large, punishable by the official governing body of […]

Agreements are typically legal and enforceable as long as they fulfill the terms of a contract, even if it is to wrongfully use one’s influence. Any alterations to a will, such as erasures, words crossed out, or handwritten insertions, usually […]

The determinations reached at a hearing conducted by an administrative agency can be_____________ . A.disregarded B.protested. C.appealed D.opposed. An agency by agreement appointing an agent for a two year period must comply with the: A.Statute of Limitations. B.Statute of Frauds. […]

The common law traditionally favored competition. An accountant has no liability to third parties other than the client. Answer: F Courts treat contracts of incompetents and intoxicated persons essentially the same, except they are stricter with intoxicated persons because of […]

The Fair Housing Act prohibits discrimination based on race and color only. Petrol Corp. owns several drilling operations in the Gulf of Mexico, refineries, service stations, and tanker trucks for transporting their products. Petrol Corp. hires an environmental manager to […]

An auctioneer is free to withdraw the goods from sale if the sale is advertised or announced in explicit terms to be without reserve. Under the statutes in most states, if Marilyn and George form a corporation with Marilyn as […]

A bailment may be made of either real or personal property. If one major U.S. car manufacturer acquired another, the Clayton Act would require close scrutiny of the transaction. Answer: T The Fair Credit Reporting Act applies to consumer reporting […]

Thomas borrowed $100,000 from First Bank, which asked that he both put up collateral and provide a surety. Consequently, Thomas provided the bank with a security interest in his antique car collection and asked Victor to act as a surety. […]

One of the most appealing features of a limited partnership is the limited personal liability it offers to limited partners. Sandy’s private secretary promises to keep the contents of a letter she typed secret if Sandy will give her the […]

Price fixing is the primary example of a per se violation of the Sherman Act. An “X” or a thumbprint could constitute a signature under the Code. Answer: T A devise is a gift by will of personal property. Answer: […]

The State may appeal a verdict of “not guilty” if there is an error in the trial. Acceptance of any part of a commercial unit is acceptance of the entire unit. Answer: T The shelter rule applies even if the […]

When a severe weather warning has been declared, a delay in notice is excused to the holder who was prevented from giving the notice until after the severe weather passed. First Bank loaned $100,000 to Marlin’s Store to purchase computers […]

If United Widgets lowers its price to all buyers of 10 or more widgets, it is not a violation of the Robinson-Patman Act. The difference between an express contract and an implied in fact contract is the manner in which […]

The newly formed Bright Partnership cannot commence business until it meets its state’s required minimum amount of capitalization. RICO does not apply to businesses that are engaged in organized crime. Answer: F In many instances the same facts will give […]

Security interests in goods are governed by the common law rather than the UCC. Conscious parallelism is sufficient in itself to suggest a conspiracy in violation of Section 1 of the Sherman Act. Answer: F A federally protected trademark cannot […]

On June 1, Edward visited a bicycle sales and service center. Edward spotted a used bike he liked and was told by the dealer that he could have the bike for $100 cash. Since Edward needed a few days to […]

Belinda has a household insurance policy, which requires that she notify the insurance company within thirty days of any loss before she is eligible to receive payment for her loss. The notification requirement is a condition precedent to the insurance […]

A person may employ deadly force to protect his property. “Discharge” has to do with the termination of contractual duties. Answer: T Under all LLC statutes, a unanimous vote of the members must be obtained to approve a merger. Answer: […]

An employer’s interference with the employee’s right to bargain collectively is not an unfair labor practice. Define a substituted contract and describe how it affects an agreement. Answer: A substituted contract results when the parties to a contract mutually agree […]

An indorsement limiting payment to a particular person is effective. The Code does not excuse performance based upon commercial impracticability. Answer: F Any debtors may seek relief under Chapter 7 of the Bankruptcy Code. Answer: F Most courts consider a […]

The RMBCA has adopted a net assets test for the issuance of dividends. The anthropology department of Towers University is doing an excavation on property that belongs to Farmer Brown. If in the process of excavation the university finds some […]

Notes and certificates of deposit are orders to pay money to a third person. The business corporation is a key institution not only in the American economy but also in the world power structure. Answer: T A testator with capacity […]

The Magnuson-Moss Warranty Act was enacted to protect purchasers of consumer goods. Dual purposes of remedies for breach of a contract for the sale of goods under the Code are compensation and deterrence of wrongdoing; therefore, compensatory and punitive damages […]