BE 325 Homework for Midterm 2

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5A. 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
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not fraud
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5A. The public disclosure of private facts about a person is not an invasion of privacy if it is done without the person’s knowledge or consent (T/F)
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False
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5A. Fraud occurs only when there is reliance on a statement of opinion (T/F)
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False
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5A. The use by one person of another person’s likeness without permission and for the benefit of the user constitutes the tort of appropriation (T/F)
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True
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5A. Louis “larger and stronger than Mica” threatens to hit Mica. A moment later, Louis does hit and injure Mica. Mica files a suit against Louis. Mica could most likely recover for
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assault and battery
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5A. Lew angrily accuses Mandy, a broker with New Financial Services, of fraudulently inducing him to invest in Open Pit Oil Company, whose wells are dry. The reliance that gives rise to liability for fraud is normally based on a statement of
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fact
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5A. Dom, an EZ Baked Goods salesperson, follows Flora, a salesperson for Goody Pastries, Inc., as she attempts to make sales to food stores. Dom solicits each of Flora’s customers. Dom is most likely liable for wrongful interference with
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a business relationship
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5A. Liz trespasses on Mega Corporation’s property. Through the use of reasonable force, Mega’s security guard Ned detains Liz until the police arrive. Mega is liable for
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none of the choices
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5A. Toni files a suit against Universal Media Corporation for defamation. Actual malice must be shown for recovery of damages if Toni is
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a public figure
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5A. Tortfeasor is the term for a person who commits a tort. (T/F)
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True
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5A. If it can be shown that a trespass to land was warranted, a complete defense exists (T/F)
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True
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5A. Defamation is one person’s use of another’s name without permission (T/F)
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False
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5A. Self-defense is a defense to negligence (T/F)
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False
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5A. The purpose of tort law is to provide remedies when varies protected interests have been invaded (T/F)
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True
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5A. Jaqy distributes a handbill among her neighbors accusing one of them “Ked” of being a convicted sex offender. The statement is defamatory only if
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the Statement is false
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5A. OK Dry-Cleaning advertises so effectively that the regular customers of its competitor Purity Cleaners patronize OK instead of Purity. This is
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none of the choices
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5A. Dru is an Excel Company employee. He falsely accuses Fiona, Excel’s office manager, of stealing from their employer. The statement is defamatory
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if a coworker overhears it
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5A. Ike pushes Joan, who falls and breaks her arm. Ike is liable for the injury
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if Ike intended to push Joan
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5A. False imprisonment occurs when a person restrains another intentionally and without justification (T/F)
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True
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5A. To commit an international tort, one person must intend to harm a certain other person (T/F)
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False
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5B. Paula develops a new espresso machine, which she names “Quik Shot.” She also writes the operating manual. Paula can obtain trademark protection for
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the name
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5B. Copy Products, Inc., uses, in its ads, the trademark of Imitated Goods, Inc. Of course, Copy does not own the mark. Copy’s unauthorized use constitutes trademark infringement if
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consumers are likely to be confused
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5B. A generic term is not protected under trademark law unless it acquires a secondary meaning (T/F)
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False
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5B. Li’l Canine Company (LCC) uses a trademark that neither LCC nor anyone else has registered with the government. Under federal trademark law, LCC
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can register the mark for protection
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5B. A party who unintentionally uses the trademark of another is not liable for trademark infringement (T/F)
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False
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5B. An arbitrary use of ordinary words may not be trademarked (T/F)
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False
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5B. In Case 8.1, Coca-Cola Co. v. Koke Co. of America, the United States Supreme Court upheld an injunction prohibiting competing beverage companies from calling their products “Koke.” (T/F)
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True
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5B. A trademark must be registered to support a trademark infringement action (T/F)
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False
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5B. Trek Transport Company uses a mark associated with its name to distinguish its services from those of other trucking firms. This mark is
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a service mark
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5B. In 2013, Online Marketing Corporation registers its trademark as provided by federal law. After the first renewal, this registration
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is renewable every ten years
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5B. Modern Clothing, Inc., an National Denim Corporation use the mark “Made by Members of the U.S. Textile Workers Union” on the tags of their products to indicate the participation of the union in the manufacture. Modern and National are not in business together and do not own this mark. This mark is
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a collective mark
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5B. Standard Corporation can not claim a trademark in the phrase “Quality is Standard” if the phrase
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is generic
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5B. A famous trademark may be diluted only by the unauthorized use of an identical mark (T/F)
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False
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5B. A suggestive use of ordinary words may be trademarked (T/F)
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False
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5B. Home Products Company and House & Yard, Inc., use the mark “Good Housekeeping Seal of Approval” to certify the quality of their products. Home Products and House & Yard are not in business together and do not own this mark. This mark is
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a certification mark
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5B. Trademark dilution requires proof that consumers are likely to be consumers by the unauthorized use of the mark (T/F)
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False
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5B. Beans Coffee & Cocoa Company makes and sells a chocolate-flavored coffee drink under the name “CoCoCafe.” Darkroast Java, Inc., later markets a similar tasting drink under the name “KoKoKafe”. This is most likely
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trademark infringement
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5B. Munchies, Inc., features the trademarks of famous fast-food restaurants such as McDonald’s on binders and other school supplies. Munchies’s use of the marks is trademark dilution
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if the use is unauthorized
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5B. A personal name is not protected under trademark law unless it acquires a secondary meaning (T/F)
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True
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5B. A fanciful use of ordinary words may be trademarked (T/F)
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True
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6A. A unilateral contract is formed when the one receiving the offer completes the requested act or performance (T/F)
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True
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6A. The intention to enter into a contract is judged by objective facts as interpreted by a reasonable person (T/F)
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True
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6A. Bobbie claims that Carl breached their contract. Carl responds that he never intended to enter into a contract with Bobbie. The intent to enter into a contract is determined with reference to
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the objective theory of contracts
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6A. An implied contract is implied from the conduct of the parties (T/F)
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True
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6A. Lou claims that he and Myra entered into an implied contract. To establish this contract, it is not necessary to show that
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a court imposed a promise in the interest of fairness
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6A. InTown Delivery Service promises to deliver a certain couch to Kurt, who promises to pay for the service. If InTown does not perform, the firm may be required to
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pay damages
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6A. Scot and Tiffany enter into an implied contract. The parties’ conduct
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defines the contract’s terms
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6A. Parties can form a contract without putting the terms into writing (T/F)
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True
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6A. Contract law shows what excuses our society accepts for breaking certain types of promises (T/F)
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True
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6A. An offer to form a bilateral contract is accepted only by completing the contract performance (T/F)
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False
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6A. Employment Sources, Inc., enters into a contract with Fred. If Fred is a minor, this contract is most likely
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voidable
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6A. An informal contract requires a special form to bind the parties to it (T/F)
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False
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6A. One of the requirements of a valid contract is its acceptance (T/F)
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True
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6A. On Monday, Neil tells Outdoor Landscaping, Inc., that he will pay Outdoor $500 if a variety of tasks are completed by Friday. On Wednesday, Outdoor is more than half done with the work. This is
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a unilateral contract as soon as Outdoor begins to perform
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6A. GR8 Marketing Company and Hot Tunes, Inc., sign a document that states GR8 agrees to create a marketing campaign for Hot and Hot agrees to pay GR8 for the service. GR8 and Hot have
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an express contract
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6A. On behalf of the rock group Uno, their manager Thalia agrees to a performance in Seaside Amphitheater on July 4. Rex, acting for Seaside Productions, sends a written copy of the agreement to Thalia to be signed. Typically, businesspersons put their contracts in writing to
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ensure proof of the contacts’ existence
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6A. When Jeff’s car breaks down, he asks Kwik Tow, Inc., to tow it from its location to Loyal Repair Shop. There is no discussion of a price, and Jeff and Kwik do not sign any documents. After the tow, Kwik sends Jeff a bill. With respect to Jeff’s obligation to pay the bill, this is
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an implied contract
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6A. There are no exceptions to the rule that contracts voluntarily entered into will be enforced (T/F)
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False
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6A. A letter of credit is a formal contract (T/F)
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True
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6B. An incidental beneficiary cannot sue the promisor directly for breach of the contract. (T/F)
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True
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6B. Loren and Kendra enter into a contract for the distribution of Loren’s produce to local restaurants for which he agrees to pay Kendra. Kendra transfers her right to payment under the contract to County Bank. This transfer is
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an assignment
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6B. Genie.com initiates an online dating service. To attract subscribers and encourage participation, Genie.com creates and posts profiles of fictitious persons and exaggerated profits of actual users. Fooled by the false profiles, Ham buys a subscription. He is most likely a victim of
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Fraud
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6B. Urban City and Thru-way Construction Company enter into a contract that includes calculations. Urban, whose engineer, Sergei, compiled the figures, discovers later that some numbers were added incorrectly, but Thru-way refuses to make changes. Urban can
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rescind the contract on the basis of mistake
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6B. Beau sells a car to Cody without disclosing that the odometer, which reads 40,000 miles, was disconnected 80,000 miles ago. Beau is liable for
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fraud
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6B. Contracts involving interests in any property must be in writing to be enforceable (T/F)
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False
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6B. George promises to repair Francesca’s boat dock in exchange for Efrem’s promise to plant trees on George’s property. This is
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a third party beneficiary contract
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6B. Under the Statute of Frauds, all contracts must be in writing to be enforceable (T/F)
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False
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6B. Maya is a stockbroker. Nora believes that the price of OK Goods, Inc. (OKGI), a widely traded stock, is going to increase substantially. Through Maya, Nora buys 500 shares of OKGI at $10 per share, but the price soon drops to $2. Nora can successfully recover from Maya
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nothing
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6B. Misrepresentation of a material fact can occur by actions alone (T/F)
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True
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6B. The elements of fraud include the innocent party’s justifiable reliance on a misrepresentation of a material fact. (T/F)
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True
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6B. Fresh Air Filter & Purification Company and Big Box Commercial Storage Company enter into a contract. To be enforceable, the contract must be in writing if it involves
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an interest in land
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6B. If a contract states that a right cannot be assigned, then ordinarily it cannot be assigned (T/F)
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True
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6B. Only a mistake in value will make a contract voidable (T/F)
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False
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6B. Voluntary consent can be used as a defense to the enforceability of a contract if the consent is lacking because of a mistake (T/F)
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True
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6B. Forcing someone to enter into a contract by threatening to do something that the threatening party has no right to do is duress (T/F)
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True
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6B. Lyra induces Moe to enter into a contract for the sale of an apartment about which Lyra fraudulently misrepresents a number of material facts. Lyra tells Moe that her commission is 6 perfect, but their signed, written contract states *12 percent.” The Statute of Frauds governs
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contracts that must be in writing to be enforceable
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6B. Vicky contracts with Rashad for the delivery of hospice services to benefit Sigmund. This is
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a third party beneficiary contract
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6B. As a general rule, any contract duty can be delegated (T/F)
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True

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