Test Questions Answers - Flashcards

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The law establishes rights, duties, and privileges consistent with the values of society

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True

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A federal law that conflicts with the U.S. Constitution may be deemed constitutional

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False

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The common law governs all areas not covered by statutory or administrative law

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True

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Equity is a branch of unwritten law that seeks to award damages in most cases

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False

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Federal courts are superior to state courts

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False

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Generally, appellate courts review trial court rulings for errors of law

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True

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Where the plaintiff and the defendant are residents of the same states, a dispute between them may be heard in federal court on the basis of diversity of citizenship

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False

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The plaintiff must establish she has a stake in the outcome of the litigation to maintain a lawsuit

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True

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Modern courts are courts either of law or of equity

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False

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A motion for summary judgment is an attempt to resolve a legal dispute short of going to trial

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True

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The United States Supreme Court cannot hold acts of Congress unconstitutional

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False

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When state regulations impinge on interstate commerce, commerce must yield to the regulations

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False

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The Bill of Rights protects individuals against various types of interference by the federal government

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True

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An enforceable, intervening event (such as criminal conduct by a third party) can break the connection between a wrongful act and an injury to another

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True

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An assumption of the risk of defense requires only that plaintiff have knowledge of the risk

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False

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To avoid liability for negligence, a business owner must protect his/her patrons against foreseeable risks

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True

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The extreme risk of an activity is a primary basis for imposing strict liability

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True

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Keeping dangerous animals is not a strict liability activity

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False

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A crime punishable by imprisonment in a federal or state penitentiary for any period of time is a misdemeanor

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False

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Larceny may be distinguished from robbery by the fact that larceny relies on stealth while robbery relies on fear and force

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True

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It is a sufficient defense to a charge of embezzlement that the embezzler intended to return the embezzled property eventually

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False

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A contract is an agreement that can be enforced in court

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True

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The doctrine of quasi contract is used only when there is an actual contract that covers the area in controversy

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False

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To exercise power of acceptance, the offeree must accept unequivocally

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True

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A counteroffer does not terminate but continues and offer

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False

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Consideration is the value given in return for a promise

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True

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Consideration need not be given as part of a bargained-for exchange to create an enforceable contract

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False

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A right to receive income can be assigned

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True

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Generally, a party may not delegate his or her duty under a contract

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False

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The U.S. Supreme Court may not declare an order of Executive unconstitutional

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False

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Our Federal form of government is one in which sovereign power is shared between the Federal government and the Several States

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True

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International law is the law of a particular nation and varies from nation to nation

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False

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A federal law that conflicts with the U.S. Constitution will be deemed unconstitutional

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True

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Any and all Federal courts may review the decisions of any and all State courts on matters of State statutory and/or constitutional law

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False

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The jurisdiction of State courts of appeal is limited to hearing appeals from State trial courts

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True

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The U.S. Constitution provides for three co-equal branches of government

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True

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Business entities enjoy all the same rights of free speech, as do private individuals

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False

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The federal trial court is the U.S. District Court

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True

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The Bill of Rights confers absolute rights, not subject to interpretation by the U.S. Supreme Court

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False

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To have standing to sue, a party must have suffered an actual injury or be threatened with imminent injury caused by the action about which the party complains

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True

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A Legal Realist believes the law must evolve to reflect changes in society

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True

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A Legal Positivist believes the only rights citizens have come from the government

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True

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After a verdict have been rendered in a case, neither party may file an appeal

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False

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Theoretically, an activity having a substantial effect on interstate commerce in the aggregate may be regulated by Commerce under the Taxing and Spending Clause

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False

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Under the Commerce Clause, Congress has the authority to regulate commerce between the United States and France

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True

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Diversity of citizenship may be used by State trial courts to exercise in personam jurisdiction over an out-of-state defendant

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False

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An out-of-state business concern which advertises in a national magazine known to reach Ohio, but which conducts no business in Ohio, may be required to defend a lawsuit filed in Ohio as a result of alleged injury caused by its product legally brought to Ohio by an Ohio purchaser

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True

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Where a question of federal or U.S. Constitutional law is involved, a lawsuit may be filed only in Federal court

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False

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The federal equivalent of a state trial court is a U.S. court of appeals

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False

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The Answer is the document filed by the Plaintiff in order to initiate a lawsuit and sets forth the Plaintiff's legal theory for relief

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False

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A decision on a given issue by a court is not binding authority on an inferior court

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False

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A natural law philosopher believes the law should reflect universal moral and ethic principles that are part of human nature

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True

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Equity is a branch of unwritten law that seeks to award damages in most cases

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False

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A later-enacted State statute supersedes or displaces any and all existing conflicting Federal Statutes

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False

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The extreme risk of an activity is not a primary basis for imposing strict liability on an alleged tortfeasor

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False

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An assumption-of-risk defense requires only that there be knowledge of the risk

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False

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Normally, a court will not question the adequacy of consideration if the consideration is legally sufficient

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True

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Strict liability is liability without fault

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True

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For purposes of establishing negligence, causation in fact exists if an injury would have occurred even without the defendant's act

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False

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Parties cannot form a contract without putting the terms in writing

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False

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To exercise the power of acceptance, the offeree must accept unequivocally

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True

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In forming a bilateral contract, one party may be bound while the other is not

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False

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Forfeiture of a business interest and dissolution of a business are possible penalties under RICO

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True

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A reasonable person standard determines whether an offeror's "offer" represents a serious intention to enter into a contract

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True

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An offer does not need to be communicated to the offeree to be effective

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False

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A valid contract may have an illegal purpose

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False

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A plaintiff cannot succeed in a lawsuit for negligence against a manufacturer unless the plaintiff bought the defective good from the manufacturer

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False

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A contract lacking reasonably definite terms may not be enforceable

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True

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In an auction with reserve, the seller cannot withdraw the goods before the auctioneer closes the sale by announcement or by the fall of the hammer

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False

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An oral contract including all the of the essential terms is an express contract

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True

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An offeror's subjective beliefs or assumptions determine his or her intent to enter into a contract

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False

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A reasonable person standard determines whether allegedly negligent conduct resulted in a breach of a duty of care

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True

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A promise to do what one already has a legal duty to do is not consideration

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True

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If all the terms of a contract have been fully performed, the contract is an executed contract

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True

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An unforeseen intervening event can break the connection between a wrongful act and an injury to another

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True

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A crime punishable by imprisonment in a federal or state penitentiary for any period of time is a misdemeanor

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False

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Generally, offers may be revoked before they are accepted

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True

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An unenforceable contract is one that cannot be enforced because of certain legal defenses against it

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True

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If no time for acceptance is specified in an offer, the offer terminates at the end of a reasonable time

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True

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If a price quotation contains a mistake in the adding of a number of figures, the contract may not be enforceable

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True

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An adult may disaffirm a contract entered into with a minor

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False

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Inadequate consideration may indicate fraud, duress, or undue influence

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True

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A contract entered into under undue influence is voidable

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True

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Concurrent conditions occur only when the parties to a contract are required to perform their respective duties simultaneously

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True

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A party's oral agreement to pay another's debt is enforceable under any circumstances

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False

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Reliance on a non-expert's statement of opinion will not normally entitle a party to relief for fraudulent misrepresentation

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True

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A legal guardian cannot enter into legally binding contracts on behalf of a mentally incompetent person

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False

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An oral contract within the Statute of Frauds is enforceable only if the party against whom enforcement is sought admits to it in court

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False

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A condition precedent must be met before a party's performance can be required

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True

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Two parties can mutually agree to rescind a contract unless it is executory

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False

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A minor's failure to perform an executory contract within a reasonable time after reaching the age of majority implies disaffirmance

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True

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Performance that provides a party with the essential benefits of a contract, in spite of any deviation from the terms, if substantial performance

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True

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To serve as a basis for an action for fraudulent misrepresentation, a misleading statement must be consciously false

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True

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Evidence of prior negotiations over a contract can be introduced in court only if that evidence contradicts the contract's written terms

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False

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When both parties are mistaken a to the same material fact, neither party can rescind the contract

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False

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A party's refusal to perform an executory contract is anticipatory repudiation

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True

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Extraordinary difficulties that were unforeseen at the time a contract was formed do not justify a demand for additional compensation

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False

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A promise by one party to pay another to refrain from an act is enforceable

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True

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A prenuptial agreement does not have to be in writing to be enforceable

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False

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An innocent party is discharged when the other party alters a written contract without consent

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True

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A contract entered into under duress is enforceable

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False

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A promise to pay for an act that has already occurred in enforceable

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False

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A promise to do what one already has a legal duty to do is not consideration

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True

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Conversion is wrongfully taking or retaining an individual's personal property and placing it in the service of another

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True

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Under the Commerce Clause, Congress does not have the authority to regulate commerce between the United States and France

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False

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An offensive touching would be offensive to any person

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False

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A defendant may remove any case from State court to the U.S. District Court

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False

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A battery occurs only if the victim suffers actual physical harm caused by the intentional conduct of another

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False

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As a legal theory, intentional infliction of emotional distress no longer requires that the plaintiff also have a physical injury along with the emotional distress

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True

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Only a statement made after a contract is entered into can be an express warranty

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False

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The Federal Trade Commission enforces the Magnuson-Moss Warranty Act

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False

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Privity of contract between the plaintiff and the defendant is required to bring a lawsuit based upon product liability

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False

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Terminating an employee who uses drugs violates the Americans with Disabilities Act of 1990

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False

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All unemployed workers are eligible for unemployment compensation

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False

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Promises of fact made during the bargaining process are not express warranties

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False

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The Age Discrimination in Employment Act of 1967 prohibits employment discrimination on the basis of age against individuals twenty-one years of age and older

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False

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A contract can contain both an implied warranty and an express warranty

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True

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An implied warranty of merchantability arises in every sale of lease by a merchant who deals in goods of the kind sold or leased

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True

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An employee may file an action for wrongful discharge against an employer who discharges the employee in violation of an employment contract

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True

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Offers may be revoked before they are accepted

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True

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To fulfill a personal service contract, the performance must personally satisfy the party to whom the performance is owed

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True

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A covenant not to compete that is part of an employment contract will generally be struck down

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False

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A contract with an unlicensed professional is always enforceable to some extent

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False

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A legal guardian can enter into legally binding contracts on behalf of a mentally incompetent person

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True

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An exculpatory clause in an employment contract is always enforceable

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True

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To Pete, the written law of a particular society at a particular time is most significant. Pete is

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a legal rationalist

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Georgina enacts a state law that violates the U.S. Constitution. This law

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cannot be enforced

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Areas of the law not governed by statutory or administrative law are

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governed by common law

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Gail is a resident of New Hampshire. In Vermont, Gail enters into a contract with Heather, a resident of Vermont. When Gail breaches the contract, Heather files a suit against Gail in Vermont to recover damages resulting from Gail's conduct. Heather is asking the court for a

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legal remedy

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Home Appliances, Inc., a Texas company, files a suit against Retail Sales Corporation, a Pennsylvania company, over a contract between them in Texas. If the contract was negotiated and signed in Pennsylvania, to reach its decision on Home's cause of action, the Texas court would likely apply

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the substantive laws of Pennsylvania

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The case of Aaron v. Baker Co. is heard in a Minnesota district court, which has original jurisdiction. The case of NuCorp, Inc. v. Olson is heard in a Minnesota court of appeals, which has appellate jurisdiction. The difference between original and appellate jurisdiction lies in

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whether a case is being heard for the first time

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Carol files a suit against Delta Corporation. Delta responds it appears from the pleadings the parties do not dispute the facts and the only question is how the law applies to the facts. Delta supports this response with witnesses' sworn statements. This is

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a motion for summary judgment

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Leo, a resident of Missouri, owns a warehouse in Nebraska. A dispute arises over the ownership of the warehouse with Opal, a resident of Kansas. Opal files s suit against Leo in Nebraska. Regarding this suit, Nebraska has

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in rem jurisdiction

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Adam files a suit against Beta Products, Inc. Beta responds that even if Adam's statement of the facts is true, according to the law Beta is not liable. This is

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a motion to dismiss

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Ron, the president of Standard Business Corporation, claims that an action by the state of Texas infringes on rights guaranteed by the Bill of Rights. Most of these rights apply to the states under

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the equal protection clause of the Fourteenth Amendment

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Cordial Drinks, Inc., markets alcoholic beverages. A federal regulation bans the disclosure of the alcohol content of liquor on Cordial's labels and those of other marketers. A court would likely hold this regulation to be

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an unconstitutional restriction of speech

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Eve, an architect, hires Frank, an accountant, to handle her accounts. Dissatisfied with Frank's work, Eve sues him, alleging negligence. Frank may successfully defend against the law suit by proving he

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did not injure Eve in any way

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Opal enters the Powerball Triathlon, an athletic competition. Regarding the risk of injury, Opal assumes those risks

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normally associated with this event

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D-Struct Company is a demolition firm. During a D-Struct operation, Earl, a passerby, is injured. Under the theory of strict liability, D-Struct is liable

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whether or not its crew was at fault

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Tippi keeps retired big cats, such as tigers and lions, on her farm as a preserve for the animals. Visitors are warned: never turn your back to one of these cats. A woman is mauled by one of the cats when she turned to face one cat, exposing her back to another. Tippi is

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liable even though she warned her visitors about the danger

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Gail is a private lender who is charged with filing false claims in bankruptcy proceedings against her debtors. The standard of proof to find a defendant who has been charged with a crime guilty is

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beyond a reasonable doubt

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Adam is charged with the commission of a crime. To find criminal liability, most crimes require

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a specified state of mind and the performance of a prohibited act

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Beth, an employee of City Bank, is charged with embezzlement, which requires

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fraudulently appropriating another's property

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Adam and Beth make promises to each other. Contract law shows to what extent society allows people to make promises that are enforceable

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legal duties

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Mona asserts that a contract she entered into with Nate is unenforceable. Defenses to the enforcement of a contract include

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the lack of a party's genuine assent

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Consumer Sales, Inc. (CSI), send its catalogue to Dean and includes a "personalized" letter inviting him to buy any item in the catalogue at the advertised price. This is

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not an offer

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Jill tells Ken, who has no knowledge of literary comedy, that she will tutor him in the subject for $50.00. As an offer, this is

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effective

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Mary promises to pay her assistant Ned $10,000 in consideration of the services he has provided over the years. Mary never pays Ned. Mary is

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not liable, because the consideration is in the past

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Paul offers Rita $1,000 for her $5,000 computer. Rita knowingly and voluntarily agrees to the offer but later sues Paul. A court would likely

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not question the adequacy of the consideration Paul gave Rita

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A contract between Owen and Paul may be assigned if the assignment involves

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the right to receive money, a negotiable instrument or rights in real estate

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A contract between Lee and Mary may not be assigned if it

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involves personal services

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Peg's transfer of her duties to Quinn under a contract between them to Rob is

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a delegation

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Ben files a lawsuit in a Federal district court against Cathy. Cathy loses the suit, appeals to the U.S. Court of Appeals for the Second Circuit, and loses again. Cathy asks the U.S Supreme Court to hear a further appeal. The Court is

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not required to hear the appeal

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The Ohio state legislature passes a law to regulate local delivery services. The final authority regarding the constitutionality of this law is

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the Ohio Supreme Court

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"Law" does not

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establish values of a society

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Sam, a citizen of New Mexico, wants to file a lawsuit in New Mexico against Tanya, a citizen of Texas for $200,000 US for personal injuries. Their diversity of citizenship may be the basis for

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a federal district court to exercise original jurisdiction

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Aaron, an Ohio resident sues Zach, a Pennsylvania resident, over an automobile collision in Youngstown, Ohio. Assuming the jurisdictional minimum is met, the suit may be filed in

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Ohio state court, Ohio federal court, or Pennsylvania state court

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Mary claims a Nebraska state statute infringes on her "procedural due process" rights. This claim focuses on

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the procedures used in making decisions to take life, liberty, or property

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Under the U.S. Constitution, the Executive branch of the government

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enforces the law

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Ben is a state court judge. In his court, a in most state courts, he may grant

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equitable and legal remedies

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Much of American law is based on

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the English legal system

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Dan filed a lawsuit against the federal government to block the enforcement of a new tax law. Dan claims Congress attempted to regulate indirectly, by taxation, an area over which it has no authority. Most likely the court will

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validate the tax if it is reasonable under the Taxing and Spending Clause

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A Rhode Island state imposes a misdemeanor jail term of three months, without a trial, on all street vendors who operate in a certain area of the capital of Providence, RI. A court would likely hold this statute to be

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unconstitutional as a violation of procedural due process

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The Common Law began

answer

as a body of general rules applied in the courts throughout England

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Mary files a lawsuit against Albert. At the trial, each party's attorney presents the party's case before a judge who hears the dispute, finds the facts, applies the law to the facts and renders a legally binding decision. This is

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litigation

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Mike, an advocate of a certain religion, publishes an article in "New Times" magazine insisting that Congress base all federal law on his religion's principles. The First Amendment guarantees Mike's freedom of

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religion, speech, and the press

question

Adam, a resident of Nelsonville, Ohio, while driving his automobile in Toledo collides with Eve's automobile. Eve, a resident of the State of Michigan, wants to file a lawsuit again Adam. Eve may file her lawsuit in

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Ohio state courts or Ohio Federal courts, if the jurisdictional minimum is met

question

A federal statute bans "major business entities" from making political contributions individuals are permitted to make. A court would likely hold this statue to be

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an unconstitutional restriction of political speech

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Consumer Goods Corporation sells poorly made products. Tina, who has never bought a Consumer Goods product, files a suit against the firm alleging its products are defective. Consumer Goods could move for a dismissal of the lawsuit on the basis that Tina does not have

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standing

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Applying the relevant rule of law to the facts of a case normally requires finding previously decided cases that, in relation to the case under consideration, are

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as similar as possible

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Common law is

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case law

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Sam files a lawsuit against Laura. Laura must file a responsive document to

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the complaint

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Federal and State courts today are, generally

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courts of law and equity

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A law that deprives all persons of a fundamental right or liberty interest may violate

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substantive due process

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Net Corporation files a lawsuit against Omega, Inc., alleging Omega breached a contract to see Net a computer system for $100,000 US. Net is

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the plaintiff

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Generally, the courts accord commercial speech engaged in by business entities

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less protection than that afforded the political speech of individual citizens

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The U.S. Constitution sets forth the authority and the limits of the branches of the government. The phrase checks and balances means

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each branch of government has some power to limit the actions of the other branches

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Bob claims Carol breached their contract. Carol responds she never intended to enter into a contract with Bob. 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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Ed tells Dan he would like to buy Dan's farm. Later, Dan decides to sell the farm and send to Ed, and others, a flyer describing the details. Ed responds with a letter of "acceptance." Dan and Ed have

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no contract, because Dan sent the letter to more than one party

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Adam and Beth make promises to each other. Contract law shows to what extent society allows people to make promises enforceable

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legal duties

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Holly is granted immunity after she agrees to testify about a crime. Holly has an absolute privilege against self-incrimination and

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cannot refuse to testify on Fifth Amendment grounds

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Local Delivery Services, Inc., offers to deliver computers to Micro Store's customers for a certain price. Local's intent to extend a serious offer to Micro is determined by reference to Local's

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words and conduct

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Beth is injured in a car accident and sues Curt, alleging negligence. Curt claims Beth was driving more carelessly than he was. Comparative negligence may reduce Beth's recovery

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even if Beth was only slightly at fault

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Best Appliances, Inc., makes customer appliances. Best could be liable for a design defect if there is a foreseeable risk of harm posed by a product and

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there is a reasonable alternative design

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John stays to Kris, "I would like to see you my sports memorabilia collection." This is not an offer because it

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only invites Kris to negotiate

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Sam and Tiffany enter into an implied-in-fact contract. The parties' conduct

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defines the contract's terms

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George agrees to deliver fifty iPod nanos to Harry's E-Store. George delivers but Harry does not pay. To recover the price, George can collect from Harry on the basis of their

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express contract

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Eve tells Frank she will pay Frank $50 if he unloads her truck. Frank's acceptance is complete

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only after Frank unloads the truck

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Gamma Corporation promises to pay its employees a year-end bonus "if management thinks it is warranted." This is

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an illusory contract

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Frieda and Gail enter into a bilateral contract, which is created when Frieda gives a promise to Gail in exchange for Gail's

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promise only

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Good Tire Company designs and manufactures car and truck tires. In a product liability suit based on negligence, Good Tire could be liable for violating its duty of care with respect to

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the design or the manufacture of the tires only

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Bob is arrested at his home, after the police search it and seize certain property to use as evidence. A judge set's Bob's bail, as required by a state statute, and Bob is put on trial. The U.S. Constitution provides safeguards against all of the following

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arrests without probable cause, excessive bail, and unreasonable searches and seizures

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Donna and Earl sign a lease that includes a clause permitting Donna to extend the lease at an amount of rent to be agreed on at the time of the extension. The clause is

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enforceable, if the parties intend the clause to be binding

question

Van buys a car and takes it out for a ride on the Ohio Turnpike. The airbag suddenly inflates, blocking Van's view of the road and causing him to crash into Ted, who is changing a tire on the side of the road. Ted may recover from the car's manufacturer only if

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Ted was injured due to the defect in Van's car

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Sam, an engineer, supervises the construction of a new bridge. When the bridge collapses due to faulty construction, Sam is sued by those injured in the collapse. As a professional, Sam is held to the same standard of

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other engineers

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Fun Stuff Corporation manufactures skateboards, which it sells to Good Times Stores. Good Times sells the skateboards to consumers, including Holly. In a product liability suit based on strict liability due to a defect in the skates, Fun Stuff may be liable to

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Holly only

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Jill offers to pay Kyle $500 if he jogs across the Golden Gate Bridge. Kyle can accept the offer only by jogging across the bridge. If Kyle jogs across the bridge, he and Jill will have formed

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a unilateral contract

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Micro Ovens, Inc. manufactures, among other products, microwave ovens. Jill discovers her Micro Ovens microwave if defective. Jill sues the manufacturer for product liability based on negligence. To recover, Jill must show

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Jill suffered an injury caused by the defect

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Beth goes to Dr. Carl for surgery. Carl says Beth should be fully healed within a week. Beth is not healed within a week. With respect to breach of contract, Carl is

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not liable, because the statement was an opinion

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An Iowa state statute requires amusement parks to maintain equipment in specific condition for the protection of patrons. Jack's Amusement Park fails to maintain its equipment as required. Kathy, a patron, is injured thereby. Jack's has committed

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negligence per se

question

Don, a businessperson, is charged with RICO offenses. Don may be subject to penalties under RICO only if he

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committed two or more certain federal or state crimes

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Holly enters into a contract to design robotic software for Interstate Assembly Corporation. The freedom to enter into contracts is

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a fundamental public policy of the United States

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Jill is fifteen. In most states, Jill would be considered a minor because she is under the age of

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eighteen

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Dales files a suit against Eve, alleging her fraud in entering into a contract with him. Proof of an injury is required

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to recovered damages

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Protective Finishes, Inc., agrees to paint Quinn's house using a particular brand of "discount" paint. PFI completes the job but uses a different brand of discount paint. This is most likely

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substantial performance

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While intoxicated, Tim contracts to buy a bicycle for double its normal price. The contract is

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enforceable only if Tim understood its legal consequences

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National Manufacturing, Inc., files a suit against General Contractors Corporation to enforce a written contract between the parties. Parol evidence will be admitted if

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the contract requires outside evidence to be understood

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Cody and Dora enter into an oral contract under which Cody agrees to work on Dora's farm for not less than one week. This contract is enforceable by

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either party

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Edie borrowed $1,000 from First State Bank. Glen orally promises First State he will repay the loan if Edie does not. Glen does not get any personal benefit for the promise. Glen's promise is

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not enforceable

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Ann is injured in an accident caused by Bob. Bob agrees to pay Ann $2,500 if she agrees to release Bob from further liability. Ann agrees. If Ann's damages ultimately exceed $2,500, Ann can

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not collect the balance from Bob

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Don agrees to buy Ed' Bicycle Store in the condition First State Bank approves the financing. Approval by First State Bank is

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a condition precedent

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Applied Service Company files a suit against Best Sales Corporation to enforce a written contract. Parol evidence will be admitted to prove

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fraud, misrepresentation, or mistake

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Allen, who is Beth's guardian, convinces her to buy a certain parcel of land from Chris at a greatly inflated price. Allen may be liable for

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undue influence

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Eagle Corporation and Finest Products, Inc., enter into a contract. To be enforceable, the contract must include

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the signature of the party against whom enforcement is sought

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Ed and Fred sign a contract by which Ed agrees to deliver a freezer on May 1 in exchange for Fred's promise to pay the $500 purchase price on May 1. The delivery of the freezer and the payment of $500 are examples of

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concurrent conditions

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Lara, a sales representative, files a suit against Macro Corporation, claiming Macro made an oral promise to Laura, on which she relied her detriment. The court can enforce the promise under

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the doctrine of promissory estoppel

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Commercial Builders, Inc., contracts to build an office building for Downtown Corporation. CBI substantially performs. Downtown is entitled to

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damages

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Pacific Applications, Inc., and Quality Resale Company enter into an oral contract for Pacific's sale to QRC of six used forklifts for $1,900 each. Before QRC takes possession of the items, the contract is enforceable by

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neither party

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A court adjudicates Holly mentally incompetent and appoints a guardian. Holy subsequently signs a contract to sell her house. The contract is

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void

question

Lou agrees to assume Mira's debt to New Sales Corporation. Lou does not get any personal benefit for the agreement. To be enforceable, the promise must be in writing if the debt is for

answer

any amount

question

May is a stockbroker. Due to May's statements, Nora believes the price of OK Goods, Inc., a widely traded stock, is going to increase substantially. Nora buys 500 shares of OKGI at $10 per share, but the price soon drops to $2 per share. Nora can successfully recover

answer

nothing

question

Ray, an agent for Standard Products, Inc., engages in fraud to obtain the consent of Tony, a representative for United Business Company, to an expensive, one-sided contract. This contract is

answer

not voluntary because the transaction lacks "mutual assent"

question

Ed and First Star Company enter into an oral contract under which Ed agrees to provider delivery services for the First Star for nine months. This contract is enforceable by

answer

either party

question

Luke is a farmer. When bad weather destroys Luke's crop, his obligation to deliver that crop under an outstanding contract with Macro Food Corporation is

answer

discharged

question

Betty, a minor, signs a contract to buy an SUV by misrepresenting her age to be twenty-one. In most states, Betty may

answer

disaffirm the contract

question

Milo files a suit against National Corporation under the doctrine of promissory estoppel. Milo must show

answer

Milo justifiably relied on National's promise to his detriment

question

Bob pushes Carol. Carol falls and breaks her arm. Bob is liable for the injury

answer

if Bob intended to push Carol

question

Betty owns a large ranch in Colorado. Dan drives his sport utility vehicle off a highway and onto Betty's land. At a minimum, Dan commits trespass if he

answer

does not have Betty's permission to drive on the property

question

Leo, a resident on Missouri, owns a warehouse in Nebraska. A dispute arises over the ownership of the warehouse with Opal, a resident of Kansas. Opal files a lawsuit against Leo in Nebraska. Regarding the court's exercise of jurisdiction over Leo's interest in the warehouse, Nebraska has

answer

in rem jurisdiction

question

Bob claims Carol breached their contract. Carol responds she never intended to enter into a contract with Bob. The intent to enter into a contract is determines with reference to

answer

the objective theory of contracts

question

Great Video Corporation sells high-definition TVs. Under most circumstances, Great Video will be presumed to have warranted its title to the television is

answer

good

question

Eve, the chief executive officer of Federated Corporation wants to ensure FC's activities are legal and ethical. The best course for Eve and FC is to act is

answer

good faith

question

Lloyd and Molly are employees of New Tech Corporation. They have the same job. Under the Equal Pay Act, New Tech can legitimately pay Lloyd more than Molly on the basis of

answer

Lloyd's greater production or seniority

question

Mona files an employment discrimination suit against Nationwide Corporation under Title VII. If Mona shows NC acted with malice or reckless indifference, she may recover

answer

compensatory or punitive damages

question

Global Clothing Corporation, like other businesses, has duties prescribed by

answer

ethics and the law

question

In making business decisions, Owen, a certified financial planner with Private Investment Corporation, attempts to apply his belief that all persons have fundamental rights. This is

answer

the principle of rights

question

Rob, the owner of Superior Engineering, Inc., adheres to the "principle of rights" theory. Under this theory, a key factor in determining whether a business decision is ethical is how that decision affects

answer

the rights of others

question

Zipp Company offers to sell "from one to one million zippers for $1 each" to Wide Load Pants, Inc., and specifies that Wide Load should "state the desired number in the acceptance." A contract

answer

does not exist unless Wide Load specified the number of zippers it wishes to purchase

question

Allen buys a new sport utility vehicle from Best Cars & Trucks, Inc. The most important factor in determining whether and express warranty is created is whether

answer

Best's promise becomes part of the basis of the bargain

question

George and Holly disagree as to the exact amount one owes the other. They form a new agreement that, on fulfillment, will discharge the prior obligation. This is

answer

an accord and satisfaction

question

Glen owns two all-terrain vehicles (ATVs), worth $1,000 and $500, respectively. Holly agrees to buy "Glen's ATV" for $750. Glen believes, in good faith, he is selling the $500 ATV. In the situation

answer

there is no contract

question

Quinn promises to sell his recreational vehicle to Sid, who builds a structure behind his house in which to keep it. Quinn's attempt to renege on the promise is

answer

not effective if Sid is held to have detrimentally relied on the promise

question

A contract between to Lou and Mike requires a transfer of stolen goods for counterfeit currency. This contract is

answer

void

question

Ruth contracts to provide Stan with fifty hours of telepathic personal coaching. Before the contract is fulfilled, their state legislature passes a law making telepathic personal coaching illegal. This law will

answer

discharge the contract

question

General Contractors and Holly enter into an oral contract under which Holly agrees to work on a GC project for sixteen months. This contract is enforceable by

answer

neither party

question

Alan promises to pay Beth $500 to install a pump in his factory. Beth completes the installation. The act of installing the pump

answer

is the consideration that creates Alan's obligation to pay Beth

question

A defamatory statement, to serve as the basis of a tort cause of action, must be communicated to a third party

answer

True

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