LEB 320F EXAM 2 UPDATED ACTUAL
QUESTIONS AND CORRECT ANSWERS
COMPLETE STUDY GUIDE
●● Alan buys a new laptop at Best Buy for $600. Betty buys an acre of
land for $6,000. Carol signs up for a year of cable TV service, and pre-
pays $600. Which of these agreements will be governed by Article Two
of the Uniform Commercial Code?
A. Alan's only
B. Betty's only
C. Carol's only
D. A and B
Answer: A. Alan's only
●● Fred took a photograph of a bright light in the sky in 2005. Five
years later, in 2010, it generated significant interest when it was included
in a television special about UFOs and alien visitors hosted by the guy
who played Commander Riker on Star Trek. In 2012, Fred passed away.
When will the copyright on Fred's photo expire?
A. 2075
B. 2080
,C. 2082
Answer: C. 2082
●● Bill files a Federal lawsuit based on his 1st Amendment right to free
speech in a district court. When he loses the case, he appeals to a U.S.
Court of Appeals, and he is again unsuccessful. He now wants the U.S.
Supreme Court to review his case. Will he be able to do so?
A. Yes, absolutely, because his case is based on a Constitutional liberty.
B. Yes, but only if the Supreme Court grants a writ of certiorari.
C. Yes, but only if he is seeking at least $75,000 in damages.
D. No, absolutely not.
Answer: B. Yes, but only if the Supreme Court grants a writ of certiorari.
●● Walter, a Texan, makes a sale of goods contract with Wilhelm, a
citizen of Germany. Walter is the seller, and Wilhelm is the buyer. The
contract does not say anything in particular about which body of contract
law will be applied to resolve any future disputes over the deal. Which
of the following bodies of law governs the contract?
A. Texas common law
B. German law
C. The CISG
D. Article 2 of the Uniform Commercial Code
Answer: C. The CISG
,●● Rex wrecks his car in a collision with Collison. Much later, in a
negligence lawsuit, the jury determines that the accident was 67% Rex's
fault and 33% Collison's fault. Rex will be able to recover some
damages if he lives in a state that follows...
A. contributory negligence
B. "modified" comparative negligence
C. "pure" comparative negligence
D. none of the above
Answer: C. "pure" comparative negligence
●● Roger has created an energy drink that he hopes will become
popular, and he wants to protect his intellectual property. Specifically, he
wants to protect the drink's "secret formula", or recipe, and he also wants
to protect his logo, which is a cartoonish drawing of a stick man with
steam blowing out of his ears. Which of these things will Roger
probably be able to trademark?
A. The secret formula only
B. The logo only
C. Both A and B
D. None of the above
Answer: B. The logo only
, ●● In the featured case Leonard v. PepsiCo, recall that Leonard saw a
television ad in which a student landed a Harrier Jet at his high school,
and a subtitle indicated that the cost of the jet was "7 million Pepsi
Points". The plaintiff then sought to acquire 7 million Pepsi Points and
to require Pepsi to hand over the plane. The appellate court decided
that...
A. Pepsi had not made an offer, and no contract existed.
B. Leonard had not accepted the offer, and no contract existed.
C. There was no consideration to support deal, so no contract existed.
D. A contract existed, and Pepsi was obligated to acquire a Harrier Jet
for Leonard.
E. A contract existed, and Leonard was entitled to damages but not a
Harrier Jet.
Answer: A. Pepsi had not made an offer, and no contract existed.
●● Ann Agent works for Pete Principal. Pete tells her, "Drive the
company truck up to Dallas, pick up a shipment of widgets from Alpha
Co, and bring them back to Austin." As Ann is driving the company
truck up to Dallas, it runs low on gas. Ann fills up the tank. Is Pete
obligated to pay for the gas?
A. Yes, because Ann has express authority to buy the gas.
B. Yes, because Ann had implied authority to buy the gas.
C. Yes, because Ann has apparent authority to buy the gas.
QUESTIONS AND CORRECT ANSWERS
COMPLETE STUDY GUIDE
●● Alan buys a new laptop at Best Buy for $600. Betty buys an acre of
land for $6,000. Carol signs up for a year of cable TV service, and pre-
pays $600. Which of these agreements will be governed by Article Two
of the Uniform Commercial Code?
A. Alan's only
B. Betty's only
C. Carol's only
D. A and B
Answer: A. Alan's only
●● Fred took a photograph of a bright light in the sky in 2005. Five
years later, in 2010, it generated significant interest when it was included
in a television special about UFOs and alien visitors hosted by the guy
who played Commander Riker on Star Trek. In 2012, Fred passed away.
When will the copyright on Fred's photo expire?
A. 2075
B. 2080
,C. 2082
Answer: C. 2082
●● Bill files a Federal lawsuit based on his 1st Amendment right to free
speech in a district court. When he loses the case, he appeals to a U.S.
Court of Appeals, and he is again unsuccessful. He now wants the U.S.
Supreme Court to review his case. Will he be able to do so?
A. Yes, absolutely, because his case is based on a Constitutional liberty.
B. Yes, but only if the Supreme Court grants a writ of certiorari.
C. Yes, but only if he is seeking at least $75,000 in damages.
D. No, absolutely not.
Answer: B. Yes, but only if the Supreme Court grants a writ of certiorari.
●● Walter, a Texan, makes a sale of goods contract with Wilhelm, a
citizen of Germany. Walter is the seller, and Wilhelm is the buyer. The
contract does not say anything in particular about which body of contract
law will be applied to resolve any future disputes over the deal. Which
of the following bodies of law governs the contract?
A. Texas common law
B. German law
C. The CISG
D. Article 2 of the Uniform Commercial Code
Answer: C. The CISG
,●● Rex wrecks his car in a collision with Collison. Much later, in a
negligence lawsuit, the jury determines that the accident was 67% Rex's
fault and 33% Collison's fault. Rex will be able to recover some
damages if he lives in a state that follows...
A. contributory negligence
B. "modified" comparative negligence
C. "pure" comparative negligence
D. none of the above
Answer: C. "pure" comparative negligence
●● Roger has created an energy drink that he hopes will become
popular, and he wants to protect his intellectual property. Specifically, he
wants to protect the drink's "secret formula", or recipe, and he also wants
to protect his logo, which is a cartoonish drawing of a stick man with
steam blowing out of his ears. Which of these things will Roger
probably be able to trademark?
A. The secret formula only
B. The logo only
C. Both A and B
D. None of the above
Answer: B. The logo only
, ●● In the featured case Leonard v. PepsiCo, recall that Leonard saw a
television ad in which a student landed a Harrier Jet at his high school,
and a subtitle indicated that the cost of the jet was "7 million Pepsi
Points". The plaintiff then sought to acquire 7 million Pepsi Points and
to require Pepsi to hand over the plane. The appellate court decided
that...
A. Pepsi had not made an offer, and no contract existed.
B. Leonard had not accepted the offer, and no contract existed.
C. There was no consideration to support deal, so no contract existed.
D. A contract existed, and Pepsi was obligated to acquire a Harrier Jet
for Leonard.
E. A contract existed, and Leonard was entitled to damages but not a
Harrier Jet.
Answer: A. Pepsi had not made an offer, and no contract existed.
●● Ann Agent works for Pete Principal. Pete tells her, "Drive the
company truck up to Dallas, pick up a shipment of widgets from Alpha
Co, and bring them back to Austin." As Ann is driving the company
truck up to Dallas, it runs low on gas. Ann fills up the tank. Is Pete
obligated to pay for the gas?
A. Yes, because Ann has express authority to buy the gas.
B. Yes, because Ann had implied authority to buy the gas.
C. Yes, because Ann has apparent authority to buy the gas.
