Question 1

Corner Store posts on its website an offer of a reward for information leading to the apprehension of a certain criminal.This offer could normally be terminated by

Accepted Answer

A)   a post on the website.
B)   a notice in the local newspaper.
C)   a sign in the store.
D)   apprehension of the criminal.E) A) and C)
F) C) and D)

Question 2

A contract is an implied contract if the conduct of the parties creates and defines some of the terms.

Accepted Answer

A) True 
 B)False

Question 3

Howe downloads Instagram's app by clicking on the site's "I agree" link to its terms of service.Later,Howe reverse engineers the software to create a competing app.This is most likely

Accepted Answer

A)   a breach of Howe's agreement to the terms of service.
B)   part of the bargain between a social media site and its users.
C)   acceptable as long as the code is not shared with third parties.
D)   within the promisee's right to expect or demand something of the future.E) A) and B)
F) B) and C)

Question 4

Brie buys a subscription to music provided by Concerto,an online streaming service.Before gaining access,Brie must agree to a provision stating that she will not make and sell copies of the music.This provision is

Accepted Answer

A)   a partnering agreement.
B)   a click-on agreement.
C)   a shrink-wrap agreement.
D)   a browse-wrap term.E) None of the above
F) All of the above

Question 5

A minor can ratify a contract and thus make it enforceable.

Accepted Answer

A) True 
 B)False

Question 6

An invitation to submit bids is an offer.

Accepted Answer

A) True 
 B)False  False

Question 7

Sports Bar and Tasty Bakery are adjacent businesses with adjoining parking lots.Sports Bar offers Tasty a discount on purchases if the bakery will not tow the cars of Sports Bar's patrons who park in the bakery's lot.The discount is legally sufficient consideration

Accepted Answer

A)   because it is a promise of something of value.
B)   only if Sports Bar adds a cash rebate.
C)   only if Tasty uses it.
D)   under no circumstances.E) None of the above
F) All of the above A

Question 8

Intoxicated,Efron enters a contract for the sale of his business,Freight Dispatch,to Gretel for less than its market value.This contract is enforceable if,at the time,

Accepted Answer

A)   Efron's intoxication was purely voluntary.
B)   Gretel fraudulently induced Efron to become intoxicated.
C)   Gretel was also intoxicated.
D)   Efron understood the legal consequences.E) A) and D)
F) B) and D)

Question 9

A lease between Mia and Niles for residential property contains an exculpatory clause.This clause is most likely

Accepted Answer

A)   enforceable as a matter of public policy.
B)   enforceable if either party is in a business important to the public.
C)   enforceable if an event occurs to which the clause applies.
D)   unenforceable.E) A) and B)
F) B) and C)

Question 10

Cathy agrees to sell her Daily Donut shop to Ernie.In the agreement,there is a covenant not to compete that prohibits Cathy from operating a donut shop within a certain distance.If the restriction is unreasonable,a court will most likely

Accepted Answer

A)   award Cathy damages.
B)   order Ernie to stop doing business.
C)   reform the covenant.
D)   prohibit both parties from operating donut shops.E) B) and D)
F) C) and D)

Question 11

Consideration is the value given in return for a promise or performance in a contractual agreement.

Accepted Answer

A) True 
 B)False

Question 12

The party to whom a promise is made has the right to expect or demand that something will or will not happen in the future.

Accepted Answer

A) True 
 B)False

Question 13

One of the requirements of a valid contract is an adequate market for the deal's goods or services.

Accepted Answer

A) True 
 B)False

Question 14

Rue offers to pay Sari to deliver certain documents within thirty minutes.Sari can accept the offer only by completing the task within the deadline.If she does,Rue and Sari will have

Accepted Answer

A)   a bilateral contract.
B)   a unilateral contract.
C)   a void contract.
D)   an executive contract.E) A) and B)
F) A) and C)

Question 15

Shrink-wrap terms are enforceable even if a buyer does not discover them until after the parties have entered into a contract.

Accepted Answer

A) True 
 B)False

Question 16

Shipping Corporation enters into contracts with distributors and other buyers in e-commerce and in traditional commerce.Between Shipping and its customers,the Uniform Electronic Transactions Act applies if the parties agree to conduct transactions by

Accepted Answer

A)   electronic means.
B)   paper documents.
C)   any of the choices.
D)   verbal communication.E) A) and D)
F) All of the above

Question 17

The lack of a license in certain occupations bars the enforcement of work-related contracts.

Accepted Answer

A) True 
 B)False  True

Question 18

A court usually will enforce a covenant not to compete provided its restrictions are reasonable.

Accepted Answer

A) True 
 B)False

Question 19

Rona asks Steve,"Do you want to pay me to provide your business with a marketing campaign?" This is

Accepted Answer

A)   an offer.
B)   not an offer because the terms are not definite.
C)   not an offer because Rona did not express an intent.
D)   not an offer because Steve did not respond.E) All of the above
F) B) and C)

Question 20

Fresh Agro Inc.offers to deliver produce to Growers' Market for a certain price.Fresh's intent to extend an offer is determined by reference to Fresh's

Accepted Answer

A)   market assumptions.
B)   all of the choices.
C)   subjective,unexpressed intentions.
D)   words and actions.E) A) and C)
F) None of the above

Exam 10: The Formation of Traditional and E-Contracts

Corner Store posts on its website an offer of a reward for information leading to the apprehension of a certain criminal.This offer could normally be terminated by

Correct AnswerverifiedShow Answer

A contract is an implied contract if the conduct of the parties creates and defines some of the terms.

Correct AnswerverifiedShow Answer

Howe downloads Instagram's app by clicking on the site's "I agree" link to its terms of service.Later,Howe reverse engineers the software to create a competing app.This is most likely

Correct AnswerverifiedShow Answer

Brie buys a subscription to music provided by Concerto,an online streaming service.Before gaining access,Brie must agree to a provision stating that she will not make and sell copies of the music.This provision is

Correct AnswerverifiedShow Answer

A minor can ratify a contract and thus make it enforceable.

Correct AnswerverifiedShow Answer

An invitation to submit bids is an offer.

Correct AnswerverifiedFalse

Sports Bar and Tasty Bakery are adjacent businesses with adjoining parking lots.Sports Bar offers Tasty a discount on purchases if the bakery will not tow the cars of Sports Bar's patrons who park in the bakery's lot.The discount is legally sufficient consideration

Correct AnswerverifiedA

Intoxicated,Efron enters a contract for the sale of his business,Freight Dispatch,to Gretel for less than its market value.This contract is enforceable if,at the time,

Correct AnswerverifiedShow Answer

A lease between Mia and Niles for residential property contains an exculpatory clause.This clause is most likely

Correct AnswerverifiedShow Answer

Cathy agrees to sell her Daily Donut shop to Ernie.In the agreement,there is a covenant not to compete that prohibits Cathy from operating a donut shop within a certain distance.If the restriction is unreasonable,a court will most likely

Correct AnswerverifiedShow Answer

Consideration is the value given in return for a promise or performance in a contractual agreement.

Correct AnswerverifiedShow Answer

The party to whom a promise is made has the right to expect or demand that something will or will not happen in the future.

Correct AnswerverifiedShow Answer

One of the requirements of a valid contract is an adequate market for the deal's goods or services.

Correct AnswerverifiedShow Answer

Rue offers to pay Sari to deliver certain documents within thirty minutes.Sari can accept the offer only by completing the task within the deadline.If she does,Rue and Sari will have

Correct AnswerverifiedShow Answer

Shrink-wrap terms are enforceable even if a buyer does not discover them until after the parties have entered into a contract.

Correct AnswerverifiedShow Answer

Shipping Corporation enters into contracts with distributors and other buyers in e-commerce and in traditional commerce.Between Shipping and its customers,the Uniform Electronic Transactions Act applies if the parties agree to conduct transactions by

Correct AnswerverifiedShow Answer

The lack of a license in certain occupations bars the enforcement of work-related contracts.

Correct AnswerverifiedTrue

A court usually will enforce a covenant not to compete provided its restrictions are reasonable.

Correct AnswerverifiedShow Answer

Rona asks Steve,"Do you want to pay me to provide your business with a marketing campaign?" This is

Correct AnswerverifiedShow Answer

Fresh Agro Inc.offers to deliver produce to Growers' Market for a certain price.Fresh's intent to extend an offer is determined by reference to Fresh's

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
False

Correct Answer
verified
A

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
True

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified