Question 1. Which of the following does not need to be proven by a plaintiff who is claiming that an implied-in-fact contract exists?
a. The plaintiff provided property or services to the defendant.
b. The plaintiff and defendant communicated with each other about the property or services.
c. The plaintiff expected to be paid by the defendant for the property or services and did not intend to provide the property or services gratuitously.
d. The defendant was given an opportunity to reject the property or services provided by the plaintiff but failed to do so.
Question 2. Which of the following is true about the Uniform Commercial Code and the common law of contracts?
a. The common law generally takes precedence over the Uniform Commercial Code.
b. A primary purpose of the Uniform Commercial Code is to eliminate, in contracts for the sale of goods, the differences from state to state that exist under the common law of contracts.
c. The Uniform Commercial Code applies to a contract only if the parties explicitly state so in their contract.
d. The adoption of the Uniform Commercial Code has eliminated the need for common law in the area of contract law.
Question 3. What is the effect of one party being mistaken about the subject matter of a contract?
a. The mistaken party can rescind the contract.
b. Either party can rescind the contract.
c. Either party can rescind the contract, and the mistaken party can recover damages.
d. Neither party can rescind the contract or recover damages.
Question 4. If a judge rules that a party has lost its case because of the Statute of Frauds, the judge has essentially stated that:
a. The losing party purposely deceived the other party about a material fact.
b. The losing party is not allowed to introduce evidence to contradict a written agreement.
c. The losing party cannot enforce an oral contract that should have been in writing.
d. The losing party was found by the court to have lied, and will therefore lose the case.
Question 5. When the other party commits an anticipatory breach, the nonbreaching party:
a. Must wait until the performance was due before suing.
b. Is immediately discharged from her own duties.
c. Is not able to seek damages because she received advance notice of the breach.
d. Is usually able to seek specific performance.
Question 6. Joanne goes to a garage sale where she finds jewelry for sale. She buys a handful of what appears to be costume jewelry for her daughter to play with. She pays $5 for it. Later, a friend of Joanne happens to see the jewelry and discovers that one piece consists of diamonds and is worth about $2,000. If the seller of the jewelry sought to rescind this contract, which of the following is true?
a. This is a case of mutual mistake, which allows either party to rescind the contract.
b. This is a case of mutual mistake in value; the contract is fully enforceable.
c. This is a case of unilateral mistake by the seller, who can rescind the contract.
d. This is a case of fraud in the inducement, and the seller can rescind the contract.
Question 7. Implied warranties:
a. include a warranty of merchantability.
b. can be disclaimed automatically upon arising.
c. automatically arise given specific circumstances.
d. A and C.
Question 8. George purchases a car from Wally Dealers and is promised that the brakes are in good shape. One day after the purchase the brakes fail and George is in an accident.
a. George was given an express warranty.
b. If the express warranty fails, George can successfully claim an implied warranty of merchantability.
c. All warranties have been disclaimed due to the normal circumstances of a car sale.
d. A and B.
Question 9. Which of the following best describes how email contracts are viewed under the law?
a. Email contracts are not usually valid because of the ease of deleting email messages.
b. Email contracts for goods can be valid, but not email contracts for services.
c. Email contracts are valid only for contracts less than $500.
d. Email contracts are generally treated similarly to contracts negotiated by other means.
Question 10. Bill and Sally have been corresponding by email about Bill purchasing Sally's 2001 Acura TL. Bill has driven her car on a couple of occasions and now that she wants a new car, they have negotiated. Finally, after numerous emails back and forth, they have reached an agreement. Sally places an electronic signature on her final correspondence. Bill did not place any type of signature on any of his correspondence. There is actually no single email with all the terms of their agreement, but Bill has printed out copies of all the emails between them concerning this transaction. If Bill has a problem with the car and desires to enforce the contract, which of the following is true?
a. Bill cannot enforce the agreement because the Statute of Frauds requirement is not met because he has not signed the agreement in any way.
b. Bill cannot enforce the agreement because Sally's electronic signature does not meet the Statute of Frauds requirement.
c. Bill cannot enforce the agreement because there is no single writing with all the terms of the agreement within the four corners.
d. None of the above is true.