Archives: Quiz

Opalina asks Paolo, who does not understand English, to sign what Opalina says is an application to open a bank account. In fact, the “application is a note. If sued on the note by an HDC a. Paolo must pay […]

Delia refuses to pay Ewing $500 in cash on their contract to repair certain theater sets, which Ewing still possesses. Ewings lien on the sets will terminate a. if Ewing continues to maintain possession. b. if Ewing does not file […]

Kay and Leo copy and exchange MP3 music files over the Internet without anyones permission. With respect to songs owned by Natural Recording Company, this is a. copyright infringement. b. fair use. c. licensing. d. protected expression. On Tims eighteenth […]

Alpha Communications, a partnership, publishes consumer periodicals, including Science Today. Beta Publications, also a partnership, publishes professional periodicals, including Technology Review. Alpha and Beta agree to pool their resources in a one-time deal to print and market a book, Unlimited […]

Like the bylaws of other corporations, the bylaws of Farmland Equipment, Inc., a. establish the operating name of the corporation. b. establish the value and classes of corporate stock. c. were adopted at its first organizational meeting. d. were submitted […]

Sonic Board Corporation files a suit against Custom Fabricators Company, claiming that the consideration for their contract is inadequate. The court will most likely not examine the adequacy of the consideration if a. there is a large disparity in the […]

In Call-Me Cell Companys suit against Rude Ringtones, Inc., the jury returns a verdict in Call-Mes favor. Call-Me will most likely ask the court to a. enter a judgment in accordance with the verdict. b. enter a judgment n.o.v. c. […]

Bev is a shareholder of All-Terrain Vehicle Company. As a shareholder, Bev does not have a. a right to compensation. b. dividend rights. c. inspection rights. d. preemptive rights. To avoid liability for intentional injuries, Northwest Power Corporation includes in […]

B2B, Inc., an inventory management firm, is a corporation. Cody is one of B2Bs ownersa shareholder. If Codys dies, B2B a. automatically terminates. b. continues in business. c. dissolves unless the other owners agree to continue. d. distributes Codys shares […]

Rita is appointed as an agent for Superior Sales, Inc. The agency agreement is silent as to the level of sales that Rita is expected to achieve. She must a. achieve nothing because the agreement says nothing on the issue. […]

State Banks policy requires that indorsements on checks exactly match the names of the payees. Tovar, an employee of United Company, issues and indorses several payroll checks in the names of former employees and deposits them into her account at […]

Va-Va-Voom Products, Inc., engages in deceptive advertising when it markets its product Weight-No-More as able to help consumers lose weight in their sleep. Va-Va-Voom is ordered to include in all future advertising of Weight-No-More the statement, “This product will not […]

Price-Cut Discount Stores are open to consumers. The UCC requirement of good faith imposes a. a higher duty on consumers than Price-Cut. b. a higher duty on Price-Cut than on consumers. c. no duty on either Price-Cut or consumers. d. […]

Yves is an accountant charged with negligence by Zesty Soup Company, a client. Yves may successfully defend against the claim if he can show that a. scienter was lacking. b. he complied with all International Financial Reporting Standards. c. the […]

Nick, or Nora, or any U.S. citizen, can bring a civil suit in a U.S. court against a foreign entity a. for a tort allegedly committed in the United States only. b. for a tort allegedly committed in the United […]

Price and Quint are starting a small machine shopRiverside Boat Repairand are considering whether to organize the business as a limited liability partnership. This form a. does not limit its owners personal liability for business debts. b. limits its owners […]

Rita is a surety for Serenas loan from Title Lenders, Inc. Ritas right to ‘step into the shoes of Title Lenders, after paying Serenas debt, and exercise any of the Title Lenderss rights against Serena is the right of a. […]

Orin owns Pilots Landing Office Park. His ownership rights include the right to sell or give away the property without restriction, as well as the right to commit waste, if she chooses. Orins ownership interest is a. a fee simple […]

While a minor, Jason buys a large-screen HD TV and home theatre system that he continues to use after reaching the age of majority. After a reasonable time has passed, Jason will be considered to have a. disaffirmed the contract. […]

Nadine is a spectator at the Metro City Softball Tournament, an athletic competition. Regarding the risk of injury, Nadine assumes the risks a. attributable to the tournament in any way. b. different from the risks normally associated with the tournament. […]

Diaz and Cuzco enter an express contract for the construction of a warehouse. Express contract terms are given, in relation to the parties course of performance, a. less priority. b. the same priority. c. no priority. d. more priority. Mia, […]

Flo tells Gregor that she will buy his textbook from last semester for $65. Gregor agrees. Flo and Gregor have a. an executed contract. b. an express contract. c. an implied contract. d. a quasi contract. Mitchell buys 100 bales […]

Mabel and Nahim want to start up and incorporate a new business enterprise. The first step in the incorporation process is to a. choose and file a corporate name with a state office. b. draft the bylaws to govern the […]

Quin, a clerk at PC Computer Store, takes a computer from the store without PCs permission. Quin is liable for conversion a. if he damages the computer. b. if he does not have a good reason for taking the computer. […]

Matchless Clothing Company buys clothing assembled by Nantra, Ltd., a foreign firm that employs young children for long hours and low pay. Nantras nation does not enforce its child labor laws. Human International Politics (HIP), a political activist organization, discovers […]

Lena buys a used MP3 player for $50 and a new laptop for $1,500, and signs a one-year employment contract for a $4,500 monthly salary to start at the beginning of the next month. The Statute of Frauds covers a. […]

Nesbit publishes in a newspaper an account of the sex life of Merinda, who is not a public figure. The information is true. This is most likely a. an invasion of privacy. b. defamation. c. trespass to personal property. d. […]

Rikki sells shares in Sparkling Spa Company to Telsa. Rikki does not deliver the actual possession of the shares to Telsa, but gives her the key to a safety-deposit box in Unity Bank in which the stock certificates are locked. […]

Kevin, the owner of Livestock Ranch Corporation, signs an instrument that includes the phrase “payment for this note will be made from the proceeds of next years stock sale. This instrument is a. negotiable. b. nonnegotiable, because payment can be […]

Sigrud buys spiked mountain-climbing shoes from Rockridge Gear store, telling the clerk that she wants the shoes to climb Mount Sharptop. The spikes come out of the shoes when Sigrud is on the side of the mountain, causing her to […]

Somethin-in-the-Oven Corporation and Cookin Good, Inc., transact a deal under the UETA. Other state law applies to a dispute between the parties relating to a. attributing a partys e-signature. b. the formation of the parties contract. c. the sending and […]

Jen signs a check “pay to the order of Key drawn on Jens account in Lakeland Bank to buy Keys car. Jen asks Lakeland Bank to indicate on the face of the check that it will accept it when Key […]

Fact Pattern 24-2A Commodity Sales Corporation and Resource Purchasing Company enter a contract for a sale of unprocessed silver. Commodity Sales draws a draft unconditionally ordering Resource Purchasing to pay $50,000 to Commodity Saless order in sixty days. Resource Purchasing […]

Jim is an appliance salesperson. To make a sale, he asserts that a certain model of a Kitchen Helper refrigerator is the “best one ever made. This is a. fraud if the statement is the truth. b. fraud if Jim […]

Southwestern Foods Corporation operates a packaging plant near the border between the United States and Mexico. Due to the location, it would be easier for Southwestern to employ noncitizens. It is legal for a U.S. employer to a. hire persons […]

Musicians & Performers Union represents the employees of Poignant Legerdemain, Inc. During negotiations over conditions of employment, each side rejects the others proposal without offering a counterproposal. This indicates a. bad faith. b. good faith. c. each partys attempt to […]

To finance the purchase of a house from Tuna, Uri signs an instrument promising to pay to “Verity Mortgage Service $160,000 with interest in installments with the final payment due July 10, To be negotiable, this instrument must include the […]

Marie, an employee of Nickel Tool Company, files a sexual-harassment suit against Owen, her supervisor. Marie wins. Nickel may also be liable if it had effective harassment policies and complaint procedures, and a. none of the employees followed them. b. […]

Dales debts are discharged in a liquidation bankruptcy. With respect to Dales prebankruptcy debt, Even Stevens Credit Reporting Agency must automatically report a. nothing. b. the debt as “discharged, except the nondischargeable debt. c. the debt as “discharged, including the […]

Brians pick-up truck collides with Mirandas semi-trailer on a county highway. Weighing Brians liability for the collision, Rachel, a judge, reasons by analogy. To reason by analogy is to a. compare the facts in previous cases and apply the same […]

Jean is playing a computer game on a bad disk that melts in her drive, starting a fire that injures her hands. Jean files a suit against K-Tech, Inc., the games manufacturer. K-Tech is held liable under the doctrine of […]

Cold Calls Corporation a telemarketing firm, files a suit to block the enforcement of the Federal Trade Commissions (FTC) amendment to the Telemarketing Sales Rule establishing a national Do Not Call Registry, on the ground that it violates the First […]

Ian steals a business law textbook from Jules. Kris, who does not know that the book is stolen, buys it from Ian. Kris has committed a. conversion. b. disparagement of property. c. no tort. d. wrongful interference with a business […]

United Industrial Corporation gives preferential treatment in hiring and promotion to the members of all protected classes. This treatment results in discrimination against members of the majority. This is a. a bona fide occupational practice. b. a business necessity. c. […]

Fact Pattern 12-B1 Sal contracts with Tasty Pizza Company to deliver its products. Both parties change their minds, however, and inform each other that they would like to cancel the contract. Sal and Tasty a. may rescind their entire contract. […]

Eden Property Sales Corporation and Dion agree to resolve their dispute in arbitration. The arbitrators decision is called a. a conclusion of law. b. a finding of fact. c. an award. d. a verdict. A Fact Pattern 17-A2 Evelyn, who […]

Convenience Mart, Inc., is a closely held corporation. Convenience Mart is a. eligible to make public offerings of securities. b. exempt from filing a certificate of incorporation. c. generally allowed to restrict the transfer of its stock. d. taxed in […]

The U.S. Green Building Council verifies that a building meets certain standards before issuing a Leadership in Energy and Environmental Design (LEED) certification. Lolly hires Myron, a subcontractor, and insists that his work conform to the requirements of the LEED […]

The assets in Dongs estate, including the value of his home on Elm Street and its contents, are insufficient to pay in full all of the gifts provided for in his will. His heirs will receive a. full payment in […]

General Allied Company obtains insurance policies with Hy-Rate Insurance, Inc., and Ideal InsurCo against the risk of loss of Generals office building in a fire. Each policy includes a multiple insurance clause. A fire partially destroys the building. General can […]