Question 1

Which of the following are valid informal contracts?

Accepted Answer

A)  Leases.
B)  Sales contracts.
C)  Service contracts.
D)  All of these are correct.

Question 2

Jean says to Joan,"If you'll promise to feed my dog each day while I am out of town next week,I'll pay you $100." Joan replies,"I'll absolutely do that.I hope you have a nice trip." Joan then feeds the dog,after which Jean pays her.At what point did a contract come into existence?

Accepted Answer

A)  When Jean made the offer to Joan.
B)  When Joan said that she would feed Jean's dog.
C)  When Joan started feeding Jean's dog.
D)  When Joan completed the final feeding of Jean's dog.
E)  When Jean paid the $100 to Joan.

Question 3

A bail bond is an example of what type of formal contract?

Accepted Answer

A)  Letters of credit.
B)  Contracts under seal.
C)  Negotiable instrument.
D)  Recognizances.
E)  Simple contract.

Question 4

Otto approaches Edie and says,"If you pick up my new suit for me at the mall tomorrow,I'll pay you $20." Edie replies,"I don't know if I'll have time to get it,but I'll see if I get a chance." As a result of this conversation:

Accepted Answer

A)  Otto and Edie have formed a bilateral contract.
B)  Edie has a legal obligation to use her best efforts to pick up the suit.
C)  A contract will be formed only if Edie picks up the suit.
D)  The contract which they have formed is voidable because Edie did not obligate herself.

Question 5

What is the distinguishing characteristic that makes a contract a formal contract?

Accepted Answer

A)  A signature by both parties.
B)  The contract being in writing.
C)  A legal requirement that the contract be in a specific form.
D)  All possible scenarios are addressed in the contract terms.

Question 6

Which of the following is an equitable doctrine designed to prevent unjust enrichment and unjust detriment where no contract exists?

Accepted Answer

A)  An express contract.
B)  The doctrine of formal contracts.
C)  Implied-in-law contract.
D)  Quantum meruit.

Question 7

An offer for a unilateral contract cannot be accepted by a mere promise to perform.

Accepted Answer

A) True 
 B)False

Question 8

Which of the following are two terms for concept or situation?

Accepted Answer

A)  Implied-in-law contract and implied-in-fact contract.
B)  Implied-in-law contract and quasi-contract.
C)  Implied-in-fact contract and quasi-contract.
D)  Unilateral contract and informal contract.
E)  Formal contract and implied-in-law contract.

Question 9

The terms "bilateral" and "unilateral" as applied to contracts are based on:

Accepted Answer

A)  The number of parties in a contract.
B)  The number of attempts made to form a contract.
C)  The number of parties who make a promise in the formation of a contract.
D)  The number of promises that are made in connection with a contract.
E)  The number of attempts it took for a contract to be successfully performed.

Question 10

The Uniform Information Transactions Act was passed by Congress in 1999.

Accepted Answer

A) True 
 B)False

Question 11

The original source of the Uniform Commercial Code was:

Accepted Answer

A)  The U.S.Constitution.
B)  Congress.
C)  The state legislature of Delaware.
D)  The United Nations.
E)  The National Conference of Commissioners on Uniform State Laws.

Question 12

In order for an offer to be valid,an offeror must promise to undertake some affirmative action.

Accepted Answer

A) True 
 B)False

Question 13

Which of the following is true regarding contract validity?

Accepted Answer

A)  A void contract is one where a party has the option to avoid his/her contractual liability.
B)  A voidable contract is one in which a party may avoid his/her obligation under that contract.
C)  A voidable contract is one that has no legal effect because one of the essential elements is missing.
D)  An executory contract is also unenforceable.
E)  A unilateral contract is unenforceable.

Question 14

Mr.Smith awakens one morning to the sound of construction in his back yard.When he looks out the window,he sees Ajax Construction Co.apparently erecting a garage on his property.He had not spoken or contracted with Ajax for this service.However,Mr.Smith really wanted a new garage,so he let them continue.Later,it was discovered that the garage was intended to go next door.Ajax sues Mr.Smith for the value of the garage.What is the probable result?

Accepted Answer

A)  Ajax wins;this is a case of a contract implied-in-fact,and Mr.Smith implicitly agreed to pay for the garage.
B)  Smith wins;there was no contract upon which Ajax could recover,and people are not liable for benefits that are thrust upon them.
C)  Ajax wins;although there is no real contract,this is a case of unjust enrichment,and because Mr.Smith accepted the garage,he must pay for it.
D)  Smith wins;unjust enrichment does not apply here because Mr.Smith had no duty to tell Ajax that it had the wrong house.

Question 15

How has the government role in contract regulation changed since the founding of the United States?

Accepted Answer

A)  There is greater state and federal government involvement today than in the past.
B)  There is less state and federal government involvement today than in the past.
C)  There is approximately the same degree of state and federal government involvement today as in the past.
D)  There is less state,but more federal involvement today than in the past.
E)  There is less federal,but more state involvement today than in the past.

Question 16

The Restatement of the Law of Contracts is the highest priority source of contract law.

Accepted Answer

A) True 
 B)False

Question 17

A 1-year lease for an apartment that is 12 pages long,printed,covers all details of the parties' obligations,and contains the dated signature of each party is a formal contract.

Accepted Answer

A) True 
 B)False

Question 18

The fact that a contract is legally enforceable means that the police can be called to make the other party live up to the terms of the contract.

Accepted Answer

A) True 
 B)False

Question 19

A contract remains executory as long as any party to the contract has not fully performed.

Accepted Answer

A) True 
 B)False

Question 20

Every contract has both:

Accepted Answer

A)  A buyer and seller.
B)  An offeror and offeree.
C)  A breaching party and a nonbreaching party.
D)  An initiator and a responder.

Exam 1: Nature of Traditional and Online Contracts

A 1-year lease for an apartment that is 12 pages long,printed,covers all details of the parties' obligations,and contains the dated signature of each party is a formal contract.

Correct Answer
verified

How has the government role in contract regulation changed since the founding of the United States?

Correct Answer
verified

Which of the following are two terms for concept or situation?

Correct Answer
verified

The fact that a contract is legally enforceable means that the police can be called to make the other party live up to the terms of the contract.

Correct Answer
verified

Otto approaches Edie and says,"If you pick up my new suit for me at the mall tomorrow,I'll pay you $20." Edie replies,"I don't know if I'll have time to get it,but I'll see if I get a chance." As a result of this conversation:

Correct Answer
verified

Jean says to Joan,"If you'll promise to feed my dog each day while I am out of town next week,I'll pay you $100." Joan replies,"I'll absolutely do that.I hope you have a nice trip." Joan then feeds the dog,after which Jean pays her.At what point did a contract come into existence?

Correct Answer
verified

In order for an offer to be valid,an offeror must promise to undertake some affirmative action.

Correct Answer
verified

Correct Answer
verified

Which of the following is an equitable doctrine designed to prevent unjust enrichment and unjust detriment where no contract exists?

Correct Answer
verified

What is the distinguishing characteristic that makes a contract a formal contract?

Correct Answer
verified

The Uniform Information Transactions Act was passed by Congress in 1999.

Correct Answer
verified

Which of the following is true regarding contract validity?

Correct Answer
verified

Every contract has both:

Correct Answer
verified

A contract remains executory as long as any party to the contract has not fully performed.

Correct Answer
verified

A bail bond is an example of what type of formal contract?

Correct Answer
verified

An offer for a unilateral contract cannot be accepted by a mere promise to perform.

Correct Answer
verified

The original source of the Uniform Commercial Code was:

Correct Answer
verified

The Restatement of the Law of Contracts is the highest priority source of contract law.

Correct Answer
verified

The terms "bilateral" and "unilateral" as applied to contracts are based on:

Correct Answer
verified

Which of the following are valid informal contracts?

Correct Answer
verified

Exam 1: Nature of Traditional and Online Contracts

A 1-year lease for an apartment that is 12 pages long,printed,covers all details of the parties' obligations,and contains the dated signature of each party is a formal contract.

Correct AnswerverifiedShow Answer

How has the government role in contract regulation changed since the founding of the United States?

Correct AnswerverifiedShow Answer

Which of the following are two terms for concept or situation?

Correct AnswerverifiedShow Answer

The fact that a contract is legally enforceable means that the police can be called to make the other party live up to the terms of the contract.

Correct AnswerverifiedShow Answer

Otto approaches Edie and says,"If you pick up my new suit for me at the mall tomorrow,I'll pay you $20." Edie replies,"I don't know if I'll have time to get it,but I'll see if I get a chance." As a result of this conversation:

Correct AnswerverifiedShow Answer

Jean says to Joan,"If you'll promise to feed my dog each day while I am out of town next week,I'll pay you $100." Joan replies,"I'll absolutely do that.I hope you have a nice trip." Joan then feeds the dog,after which Jean pays her.At what point did a contract come into existence?

Correct AnswerverifiedShow Answer

In order for an offer to be valid,an offeror must promise to undertake some affirmative action.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Which of the following is an equitable doctrine designed to prevent unjust enrichment and unjust detriment where no contract exists?

Correct AnswerverifiedShow Answer

What is the distinguishing characteristic that makes a contract a formal contract?

Correct AnswerverifiedShow Answer

The Uniform Information Transactions Act was passed by Congress in 1999.

Correct AnswerverifiedShow Answer

Which of the following is true regarding contract validity?

Correct AnswerverifiedShow Answer

Every contract has both:

Correct AnswerverifiedShow Answer

A contract remains executory as long as any party to the contract has not fully performed.

Correct AnswerverifiedShow Answer

A bail bond is an example of what type of formal contract?

Correct AnswerverifiedShow Answer

An offer for a unilateral contract cannot be accepted by a mere promise to perform.

Correct AnswerverifiedShow Answer

The original source of the Uniform Commercial Code was:

Correct AnswerverifiedShow Answer

The Restatement of the Law of Contracts is the highest priority source of contract law.

Correct AnswerverifiedShow Answer

The terms "bilateral" and "unilateral" as applied to contracts are based on:

Correct AnswerverifiedShow Answer

Which of the following are valid informal contracts?

Correct AnswerverifiedShow Answer

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

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