Bus Law 110 Chapter 33 (RATED A) Elaborations | Straighterline

Bus Law 110 Chapter 33 (RATED A) Elaborations Jen is a buyer for Autumn's Iowa health food store. While Jen is in California buying tofu, she finds a solar car for sale for just $3,000. Jen contracts to buy the car fo ...

Bus Law 110 Chapter 33 (RATED A) Elaborations Jen is a buyer for Autumn's Iowa health food store. While Jen is in California buying tofu, she finds a solar car for sale for just $3,000. Jen contracts to buy the car for Autumn, who has been looking for a solar car for the past three years. Autumn instructs the seller of the car to ship it. Under these circumstances: Select one: a. Autumn has ratified the contract b. Autumn is not liable on the contract c. Jen is liable on the contract d. Jen has ratified the contract Feedback The correct answer is: Autumn has ratified the contract Question 2 Correct Mark 5.00 out of 5.00 Flag question Question text A duty imposed on the agent by the common law generally includes the: Select one: a. Duty to compensate b. Duty of loyalty c. Duty to reimburse d. Duty to indemnify Feedback The correct answer is: Duty of loyalty Question 3 Correct Mark 5.00 out of 5.00 Flag question Question text The statute that requires the true owner of property to claim it or bring a legal action to recover possession of it within a certain number of years after it has been mislaid is: Select one: a. The estray statute b. The Taft-Hartley Act c. The Embargo Act d. The statute of limitations Feedback The correct answer is: The statute of limitations Question 4 Incorrect Mark 0.00 out of 5.00 Flag question Question text When the finder of lost property knows who the owner of it is and refuses to return it: Select one: a. The finder is liable to pay the owner the market value of the property b. The finder will not be found guilty of conversion c. The finder will be found guilty of accession d. The finder is liable to pay the owner the fair value of the property Feedback The correct answer is: The finder is liable to pay the owner the fair value of the property Question 5 Correct Mark 5.00 out of 5.00 Flag question Question text Which of the following statements is true with regard to the possession of a wild animal? Select one: a. The first person to take possession of a wild animal acquires its ownership rights b. To acquire ownership of a wild animal by taking possession, a person must simply claim ownership before anyone else does c. Wild animals caught in traps are usually considered to be the property of the first person who finds the animal d. To take possession of wildlife property, a person must have the ownership rights of the property on which the animal is found Feedback The correct answer is: The first person to take possession of a wild animal acquires its ownership rights Question 6 Incorrect Mark 0.00 out of 5.00 Flag question Question text Most courts have held the rental of a safe-deposit box at a bank to be a: Select one: a. Bailment b. Lease of space c. Lien d. Private contract Feedback The correct answer is: Bailment Question 7 Incorrect Mark 0.00 out of 5.00 Flag question Question text Which of the following statements is false with regard to the duty of third persons in determining an agent's authority? Select one: a. People who deal with an agent or a purported agent have a duty to determine the extent, if any, of the agent's authority b. The fact that an agent may have some implied or apparent authority does not end the inquiry to determine the extent of an agent's authority c. The specific question which determines the agent's authority is whether the agent or purported agent had implied or apparent authority to make the particular agreement d. The fact that a principal has a duty to keep records which is reinforced by tax laws that require such record keeping, determines the extent of an agent's authority Feedback The correct answer is: The fact that a principal has a duty to keep records which is reinforced by tax laws that require such record keeping, determines the extent of an agent's authority Question 8 Correct Mark 5.00 out of 5.00 Flag question Question text In a conflict between the express terms of the contract and trade usage: Select one: a. Trade usage prevails b. Express terms prevail c. The contract is invalid d. Implied terms prevail Feedback The correct answer is: Express terms prevail Question 9 Incorrect Mark 0.00 out of 5.00 Flag question Question text Which of the following does not hold true of revocation of acceptance by the buyer? Select one: a. He/she can revoke acceptance when the nonconformity substantially impairs the value of the goods b. He/she can revoke acceptance even after accepting goods with the knowledge of the nonconformity c. He/she must revoke the goods within reasonable time after the buyer discovers the nonconformity d. He/she after revoking acceptance would have the same rights and duties with regard to goods involved as they had rejected them Feedback The correct answer is: He/she can revoke acceptance even after accepting goods with the knowledge of the nonconformity Question 10 Correct Mark 5.00 out of 5.00 Flag question Question text Ratification may be inferred from: Select one: a. The principal's failure to repudiate an unauthorized contract after becoming aware of it b. The principal's lack of capacity c. The lack of express authority granted by the principal d. The principal's acceptance of what is beneficial and denial of what is burdensome Feedback The correct answer is: The principal's failure to repudiate an unauthorized contract after becoming aware of it Question 11 Correct Mark 5.00 out of 5.00 Flag question Question text If the seller is in the process of manufacturing the goods when the buyer breaches the contract, the seller may do all of the following except: Select one: a. Complete the manufacture of the goods b. Stop the manufacturing c. Sell the uncompleted goods for their scrap or salvage value d. Complete the manufacturing of goods that are unique in nature Feedback The correct answer is: Complete the manufacturing of goods that are unique in nature Question 12 Correct Mark 5.00 out of 5.00 Flag question Question text Lydia borrows $500 for textbooks from Gerry. She gives Gerry the authority to sell her DVD player to satisfy his claim if she does not pay the loan back as promised. She does not pay the loan back as promised. Under these circumstances: Select one: a. A dual agency exists b. Lydia can revoke Gerry's power if the books are damaged c. If Lydia dies, there is termination of the agency even if the debt remains unpaid d. Lydia cannot revoke Gerry's power to sell the DVD player Feedback The correct answer is: Lydia cannot revoke Gerry's power to sell the DVD player Question 13 Correct Mark 5.00 out of 5.00 Flag question Question text If the parties agree on the amount of damages that will be paid to the injured party, this amount is known as: Select one: a. Liquidated damages b. Registration expenses c. Consequential damages d. Remedy Feedback The correct answer is: Liquidated damages Question 14 Correct Mark 5.00 out of 5.00 Flag question Question text Tex ordered a bracelet for his wife for their wedding anniversary in June. He placed the order in March. While the jeweler guaranteed delivery within five business days, the bracelet nevertheless did not arrive until July. When the bracelet finally arrived, Tex refused to sign for it. Under these circumstances: Select one: a. Tex holds title to the bracelet b. Title will automatically be revested in the seller c. Title will be revested in the seller only after Tex files suit against the jeweler d. The risk of loss is covered by the buyer's insurance Feedback The correct answer is: Title will automatically be revested in the seller Question 15 Correct Mark 5.00 out of 5.00 Flag question Question text Under the UCC, which of the following remedies is available to both a buyer and a seller? Select one: a. Cover plus damages plus a fine over the total value of goods in the contract b. Contract rescission c. Damages in the amount of the difference between the contract price and the market price of goods d. Specific performance Feedback The correct answer is: Damages in the amount of the difference between the contract price and the market price of goods Question 16 Correct Mark 5.00 out of 5.00 Flag question Question text Where goods are not as warranted and the buyer gives the required notice, the buyer may recover all of the following except: Select one: a. The difference between the value of the goods received and the value of the goods if they had been as warranted b. Obtain specific performance when the goods are generic and can be obtained elsewhere c. Consequential damages d. Incidental damages Feedback The correct answer is: Obtain specific performance when the goods are generic and can be obtained elsewhere Question 17 Correct Mark 5.00 out of 5.00 Flag question Question text A commercial unit is: Select one: a. Comprised of any unit of goods, even multiple articles, that is treated by commercial usage as a single whole b. Comprised only of single articles treated by commercial usage as a single whole c. Comprised only of multiple units contained in a commercially recognized measurement (such as a bushel, ton or truckload) d. Comprised of units of articles which can also be accepted as one single article Feedback The correct answer is: Comprised of any unit of goods, even multiple articles, that is treated by commercial usage as a single whole Question 18 Correct Mark 5.00 out of 5.00 Flag question Question text Under the UCC, the obligation of "good faith": Select one: a. Applies only to merchants b. Requires that parties to a contract must perform their duties with "honesty in fact in the transaction concerned." c. Is a limited concept because this requirement can be modified in the course of dealing or usage of trade d. Means that purchasers can avoid injury Feedback The correct answer is: Requires that parties to a contract must perform their duties with "honesty in fact in the transaction concerned." Question 19 Incorrect Mark 0.00 out of 5.00 Flag question Question text All of the following are the seller's duties regarding delivery of goods except: Select one: a. Delivering during reasonable hours b. Delivering at a reasonable period of time c. Keeping the goods at his/her place of business if delivery details are not otherwise specified d. Putting and holding of conforming goods at the buyer's disposition Feedback The correct answer is: Keeping the goods at his/her place of business if delivery details are not otherwise specified Question 20 Correct Mark 5.00 out of 5.00 Flag question Question text Where an agent has taken an unauthorized action: Select one: a. The principal may not ratify the action even if it would be beneficial to the principal to do so b. The principal is free to ratify the beneficial part of the unauthorized action and deny any burdensome part of it c. Any ratification by the principal must be for the entire action, not merely the beneficial part d. The principal may ratify the action only if the principal is a corporation Feedback The correct answer is: Any ratification by the principal must be for the entire action, not merely the beneficial part Question 21 Correct Mark 5.00 out of 5.00 Flag question Question text Identify the statement that is true of a bailee's duty of care. Select one: a. The bailee is liable to the bailor even if the property is lost or damaged without the fault or negligence of the bailee b. If the bailment is solely for the benefit of the bailor, then the bailee may be held to a higher degree of care c. If the bailment is for the sole benefit of the bailee, then the bailee may be held to a lower degree of care d. The bailee must use the same kind of care a reasonable person would use to protect his own property in a mutual benefit bailment Feedback The correct answer is: The bailee must use the same kind of care a reasonable person would use to protect his own property in a mutual benefit bailment Question 22 Correct Mark 5.00 out of 5.00 Flag question Question text A buyer who rejects tender of goods: Select one: a. Still retains title b. Can still retain title under some circumstances c. Revests the seller with title d. Revests the seller with the risk of loss Feedback The correct answer is: Revests the seller with title Question 23 Correct Mark 5.00 out of 5.00 Flag question Question text If a buyer repudiates a contract for identified, conforming goods before risk of loss has passed to the buyer: Select one: a. The buyer is liable for a commercially reasonable time for any damage to the goods that is not covered by the seller's insurance b. The seller is liable for a commercially reasonable time for any loss or damage to the goods c. The buyer and the seller must share in the loss equally d. The buyer is liable for a commercially reasonable time for any loss or damage to the goods that is not covered by the buyer's insurance Feedback The correct answer is: The buyer is liable for a commercially reasonable time for any damage to the goods that is not covered by the seller's insurance Question 24 Correct Mark 5.00 out of 5.00 Flag question Question text Agents who are under the control of their employer/principal as to both the objective of their work and the means used to achieve it are: Select one: a. Distributors b. Independent contractors c. Employees d. Commercial agents Feedback The correct answer is: Employees Question 25 Correct Mark 5.00 out of 5.00 Flag question Question text When an agent buys for the principal from himself, even if he charges a fair market price, the agent is violating which of the following common law duties? Select one: a. Duty to communicate information b. Duty to account for funds and property c. Duty of loyalty d. Duty to obey instruction Feedback The correct answer is: Duty of loyalty