ANSWERS
Dillion's Rule (1868) - ANS states that local governments do not have any inherent
sovereignty and instead must be authorized by state governments that can create or abolish
them
Cooley Doctrine - ANS Local government is a matter of absolute right and the state may not
take it away.
Forms of NJ Municipal Government - ANS Boroughs, Commissions, Municipal Mgr, Town,
Township, Village, and Cities. Optional Faulkner Act.
What is 'common rule'? - ANS State and cities are required to adhere to Federal laws. Must
do the stricter of the them.
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, The purpose of the Uniform Commercial Code: - ANS a. to simplify, clarify and modernize the
law governing commercial transaction; b. to permit the continued expansion of commercial
practices through custom, usage and agreement of the parties; and c. to make uniform the law
among the various jurisdictions.
What is the 'Battle of the forms'? - ANS The battle of the forms generally refers to the
situation where buyers send out purchase orders and sellers respond with sales
acknowledgement forms but, although the fronts of the documents basically match up, the
backs are fundamentally different.
warranty of title - ANS The seller warrants that the title being conveyed is good and that the
transfer is lawful.
Expressed Warranty - ANS an oral or written statement by the seller
Implied Warranty of Fitness for a Particular Purpose - ANS Seller is aware of the purpose of
the need of buyer and that the buyer expects those goods to meet that need.
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, 3 Ways agents are given authority - ANS 1. Express Authority - Public Purchasing must be in
writing. 2. Implied Authority - Unstated but necessary to perform one's duty for an employer. 3.
Apparent Authority - Supplier believes authority exists and is not told otherwise.
Nature of Contract - ANS Is either expressed or implied. It is promise(s) that the Law of
Contracts recognizes and a remedy is available for breach.
Basic characteristics of a contract - ANS Any agreement, written (PO)or otherwise, that is
legally binding, in which a vendor is providing goods or services in exchange for compensation.
Four elements must be present in any contractual situation - ANS 1. Capable parties 2.
Mutual Consent 3. Lawful Objective 4. Sufficient reason to contract (consideration)
To form a contract there must the following: - ANS 1. Offer 2. Acceptance 3. Consideration
Contract Conditions. Define Guarantee and Warranty - ANS Guarantee is to reduce buyer's
sense of risk. Warranty is a promise of certain quality and conform to certain standards. To
protect buyer from poor workmanship and defects.
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