MBE Post Midterm Exam Questions with Correct Answers 100% Verified|
Guaranteed Success
A federal statute with inseverable provisions established a new five-member national board
with broad regulatory
powers over the operation of the securities, banking, and commodities industries, including the
power to issue rules
with the force of law. The statute provides for three of the board members to be appointed by
the President with the
advice and consent of the Senate. They serve seven-year terms and are removable only for
good cause. The other
two members of the board were designated in the statute to be the respective general counsel
of the Senate and
House of Representatives Committees on Government Operations. The statute stipulated that
they were to serve on
the board for as long as they continued in those positions.
Following all required administrative procedures, the board issued an elaborate set of rules
regulating the operations
of all banks, securities dealers, and commodities brokers. A company t B. unconstitutional,
because all members of federal boards exercising executive powers must be appointed by the
President or in a manner otherwise consistent with the Appointments Clause of Article III.
A radio manufacturer and a retailer, after extensive negotiations, entered into a final written
agreement in which the
manufacturer agreed to sell and the retailer agreed to buy all of its requirements of radios,
estimated at 20 units per
month, during the period January 1, 1988, and December 31, 1990, at a price of $50 per unit. A
dispute arose in
December, 1990, when the retailer returned 25 undefective radios to the manufacturer for full
credit after the
,manufacturer had refused to extend the contract for a second three-year period.
In an action by the manufacturer against the retailer for damages due to return of the 25
radios, the manufacturer
introduces the written agreement, which expressly permitted the buyer to return defective
radios for credit but was
silent as to the return of undefective radios for credit. The retailer seeks to introduce evidence
that during the three
years of the agreement it had return D. admissible, because course-of-performance
evidence, when available, is considered the best indication of what the parties intended the
writing to mean.
In a telephone conversation, a jewelry maker offered to buy 100 ounces of gold from a precious
metals company if
delivery could be made within 10 days. The jewelry maker did not specify a price, but the
market price for 100 ounces
of gold at the time of the conversation was approximately $65,000. Without otherwise
responding, the company
delivered the gold six days later.
In the meantime, the project for which the jewelry maker planned to use the gold was
canceled. The jewelry maker
therefore refused to accept delivery of the gold or to pay the $65,000 demanded by the
company.
Is there an enforceable contract between the jewelry maker and the company? B. No,
because the parties did not put the agreement in writing.
A janitorial service contracted in writing with a hospital for a one-year term. Under the terms of
the contract, the
janitorial service agreed to clean the hospital daily in accordance with the hygiene standards of
the city's health code.
, Because the janitorial service did not clean a patient's room in accordance with the required
hygiene standards, the
patient contracted an infection that required continued hospitalization. In addition to suing the
hospital, the patient
sued the janitorial service for breach of contract.
Which of the following statements is most accurate with respect to the breach of contract claim
against the janitorial
service? C. The patient has no claim for breach of contract against the janitorial service,
because she is an incidental beneficiary.
A famous chef entered into a written agreement with his friend, a well-known interior
decorator respected for his
unique designs, in which the decorator agreed, for a fixed fee, to design the interior of the
chef's new restaurant, and,
upon the chef's approval of the design plan, to decorate and furnish the restaurant accordingly.
The agreement was
silent as to assignment or delegation by either party. Before beginning the work, the decorator
sold his decorating
business to Newman under an agreement in which the decorator assigned to Newman, and
Newman agreed to
complete, the chef-decorator contract. Newman, also an experienced decorator of excellent
repute, advised the chef
of the assignment, and supplied him with information confirming both Newman's financial
responsibility and past
commercial success.
Is the chef obligated to permit Newman to perform the chef-decorator agreement? C. No,
because the decorator's duties were of a personal nature, involving his reputation, taste, and
skill.
Guaranteed Success
A federal statute with inseverable provisions established a new five-member national board
with broad regulatory
powers over the operation of the securities, banking, and commodities industries, including the
power to issue rules
with the force of law. The statute provides for three of the board members to be appointed by
the President with the
advice and consent of the Senate. They serve seven-year terms and are removable only for
good cause. The other
two members of the board were designated in the statute to be the respective general counsel
of the Senate and
House of Representatives Committees on Government Operations. The statute stipulated that
they were to serve on
the board for as long as they continued in those positions.
Following all required administrative procedures, the board issued an elaborate set of rules
regulating the operations
of all banks, securities dealers, and commodities brokers. A company t B. unconstitutional,
because all members of federal boards exercising executive powers must be appointed by the
President or in a manner otherwise consistent with the Appointments Clause of Article III.
A radio manufacturer and a retailer, after extensive negotiations, entered into a final written
agreement in which the
manufacturer agreed to sell and the retailer agreed to buy all of its requirements of radios,
estimated at 20 units per
month, during the period January 1, 1988, and December 31, 1990, at a price of $50 per unit. A
dispute arose in
December, 1990, when the retailer returned 25 undefective radios to the manufacturer for full
credit after the
,manufacturer had refused to extend the contract for a second three-year period.
In an action by the manufacturer against the retailer for damages due to return of the 25
radios, the manufacturer
introduces the written agreement, which expressly permitted the buyer to return defective
radios for credit but was
silent as to the return of undefective radios for credit. The retailer seeks to introduce evidence
that during the three
years of the agreement it had return D. admissible, because course-of-performance
evidence, when available, is considered the best indication of what the parties intended the
writing to mean.
In a telephone conversation, a jewelry maker offered to buy 100 ounces of gold from a precious
metals company if
delivery could be made within 10 days. The jewelry maker did not specify a price, but the
market price for 100 ounces
of gold at the time of the conversation was approximately $65,000. Without otherwise
responding, the company
delivered the gold six days later.
In the meantime, the project for which the jewelry maker planned to use the gold was
canceled. The jewelry maker
therefore refused to accept delivery of the gold or to pay the $65,000 demanded by the
company.
Is there an enforceable contract between the jewelry maker and the company? B. No,
because the parties did not put the agreement in writing.
A janitorial service contracted in writing with a hospital for a one-year term. Under the terms of
the contract, the
janitorial service agreed to clean the hospital daily in accordance with the hygiene standards of
the city's health code.
, Because the janitorial service did not clean a patient's room in accordance with the required
hygiene standards, the
patient contracted an infection that required continued hospitalization. In addition to suing the
hospital, the patient
sued the janitorial service for breach of contract.
Which of the following statements is most accurate with respect to the breach of contract claim
against the janitorial
service? C. The patient has no claim for breach of contract against the janitorial service,
because she is an incidental beneficiary.
A famous chef entered into a written agreement with his friend, a well-known interior
decorator respected for his
unique designs, in which the decorator agreed, for a fixed fee, to design the interior of the
chef's new restaurant, and,
upon the chef's approval of the design plan, to decorate and furnish the restaurant accordingly.
The agreement was
silent as to assignment or delegation by either party. Before beginning the work, the decorator
sold his decorating
business to Newman under an agreement in which the decorator assigned to Newman, and
Newman agreed to
complete, the chef-decorator contract. Newman, also an experienced decorator of excellent
repute, advised the chef
of the assignment, and supplied him with information confirming both Newman's financial
responsibility and past
commercial success.
Is the chef obligated to permit Newman to perform the chef-decorator agreement? C. No,
because the decorator's duties were of a personal nature, involving his reputation, taste, and
skill.
