BUL3310 Unit 6 Bailey Final Exam and
All Correct Answers 2025-2026
Updated.
For which of the following purchases could a minor disaffirm the contract and get the full
purchase price back?
Medicine
Insurance
An iPod
All of the above - Answer An Ipod
A party has an affirmative duty to disclose information in a contract when
-There is a fiduciary relationship between the parties
-The party is aware of material information that the other party cannot be expected to know
-The party had previously made misleading statements
-All of the above situations result in an affirmative duty to disclose. - Answer -fiduciary
relationship b/w parties
-party is aware of material info that the other cant be expected to know
-party had previous misleadng statements
Fred, in desperate need of quick money, sold his new Key West boat for less than market value
to a good faith purchaser. Does Fred have any basis for rescinding the contract?
,Yes, undue influence
Yes, bilateral mistake of value
No, this was a valid bargained for exchange - Answer No, this was a valid bargained for
exchange
If there is a clerical error in a contract, a court will order the equitable remedy of quantum
meruit to correct the error.
True
False - Answer False
Minors may only avoid executory, not executed, contracts.
True
False - Answer False
A party who misstates an important fact during contract negotiations has an affirmative duty to
correct that misstatement before entering into the contract.
True
False - Answer True
Innocent misrepresentation can be the basis for the injured party to rescind the contract.
True
False - Answer True
The victim of innocent misrepresentation may sue to recover contract damages.
, A party to a contract who lacks mental capacity, but has not been adjudicated insane, is liable in
quasi-contract for necessaries.
True
False - Answer True
Goods which are required for maintaining life or health are classified as
Res in chose
Sustenance
Necessaries
Obligatories - Answer Necessaries
The document issued by a common carrier evidencing receipt of goods for shipment is
an_________________.
Bill of particulars
Bill of lading
Bill of attainder
Invoice - Answer Bill of lading
Ted stole a Rolex watch from the locker room of the gym he belonged to. Ted sold the watch to
Sonny, who gave value and had no reason to suspect that the watch was stolen. Sonny gave the
watch to Dad for Father's Day. Which of the following accurately represents the chain of title for
the watch?
Ted has voidable title; Sonny has voidable title; Dad has good title.
Ted has void title; Sonny has voidable title; Dad has good title.
All Correct Answers 2025-2026
Updated.
For which of the following purchases could a minor disaffirm the contract and get the full
purchase price back?
Medicine
Insurance
An iPod
All of the above - Answer An Ipod
A party has an affirmative duty to disclose information in a contract when
-There is a fiduciary relationship between the parties
-The party is aware of material information that the other party cannot be expected to know
-The party had previously made misleading statements
-All of the above situations result in an affirmative duty to disclose. - Answer -fiduciary
relationship b/w parties
-party is aware of material info that the other cant be expected to know
-party had previous misleadng statements
Fred, in desperate need of quick money, sold his new Key West boat for less than market value
to a good faith purchaser. Does Fred have any basis for rescinding the contract?
,Yes, undue influence
Yes, bilateral mistake of value
No, this was a valid bargained for exchange - Answer No, this was a valid bargained for
exchange
If there is a clerical error in a contract, a court will order the equitable remedy of quantum
meruit to correct the error.
True
False - Answer False
Minors may only avoid executory, not executed, contracts.
True
False - Answer False
A party who misstates an important fact during contract negotiations has an affirmative duty to
correct that misstatement before entering into the contract.
True
False - Answer True
Innocent misrepresentation can be the basis for the injured party to rescind the contract.
True
False - Answer True
The victim of innocent misrepresentation may sue to recover contract damages.
, A party to a contract who lacks mental capacity, but has not been adjudicated insane, is liable in
quasi-contract for necessaries.
True
False - Answer True
Goods which are required for maintaining life or health are classified as
Res in chose
Sustenance
Necessaries
Obligatories - Answer Necessaries
The document issued by a common carrier evidencing receipt of goods for shipment is
an_________________.
Bill of particulars
Bill of lading
Bill of attainder
Invoice - Answer Bill of lading
Ted stole a Rolex watch from the locker room of the gym he belonged to. Ted sold the watch to
Sonny, who gave value and had no reason to suspect that the watch was stolen. Sonny gave the
watch to Dad for Father's Day. Which of the following accurately represents the chain of title for
the watch?
Ted has voidable title; Sonny has voidable title; Dad has good title.
Ted has void title; Sonny has voidable title; Dad has good title.
