BUL 3310 TEST BANK
QUESTIONS WITH 100%
CORRECT ANSWERS
When the terms of a written contract are clear, and there is no fraud or deceit, the parol
evidence rule will allow oral evidence that contradicts those terms. - Answer-False
When referring to a negotiable instrument, who are the three main parties? - Answer-
Drawee, drawer, payee
A check is considered a negotiable instrument. - Answer-True
Woody and Mathew create a partnership to make a documentary called "Untrue
Dectective" that exposes the lies that some detectives have told in famous criminal
cases. Mathew decides to release defamatory information about one of the detectives,
who he knew did not lie, to the press. Which of the following is false regarding Mathew's
poor decision making this partnership? - Answer-A partnership is prohibited from
placing managerial control of the business in one partner.
Once an agent is given __________ authority, he or she also has __________ authority
to do whatever is reasonable to complete the task he or she has been instructed to
undertake. - Answer-express,implied
Which of the following elements must a plaintiff prove in order to succeed in a
negligence case? - Answer-Defendant owed a duty of care.
Defendant breach his duty of care.
Plaintiff suffered a legally recognizeable injury.
Defendant's breach cause the injury.
Correct Response: All of the above.
Joe was in a hurry to get home from work and ran a stop sign, but, he did not hit anyone
so Joe is not liable for the tort of negligence. - Answer-True
Which of the following is not usually considered an independent contractor? - Answer-A
delivery driver working for a delivery service
In today's business world legal compliance is a moral minimum. - Answer-True
,Prudence is an officer of SellMyStuff, Inc. She wants to take advantage of a desirable
business investment that rightfully belongs to SellMyStuff, Inc. Which of the following
restricts this behavior? - Answer-corporate opportunity doctrine
Sally saw an ad in a magazine stating that for $1.00 she could receive 10 music CDs,
but, then would have to order more. Sally filled out the necessary form and mailed it
with her $1.00. Sally received the CDs but didn't want to order more. Later, she received
a bill from the company for $100.00 that she refused to pay. Sally is only 14 years old.
Which of the following best describes this situation. - Answer-Because the CDs were
not a necessity, and Sally is a minor the contract is voidable.
An expression of opinion is considered an offer. - Answer-False
In which of the following manners may an offer be terminated? - Answer-Revocation of
the offer.
Termination by the parties' actions.
Rejection of the offer by the offeree.
Correct Response: All of the above
Pursuant to the Statute of Frauds which of the following contracts must be in writing? -
Answer-One involving real estate.
One involving the sale of a good valued in excess of $500.00.
One to build a mansion, that will take more than a year to construct.
Correct Response: All of the above.
Ted Turner is a public figure. He sees a story in a newspaper that states facts about him
that are untrue. If he wants to sue the newspaper he will have to prove actual malice in
order to win his case. - Answer-true
Betty is looking to buy a new home and is desparate to purchase an old colonial near
her home. The house is listed with a real estate agent,whom Betty doesn't like. Betty
goes directly to the seller and offers the seller cash if the seller agrees not to use the
real estate agent and just let that agreement expire, which will take place in a week.
What tort has Betty committed. - Answer-Interference with a prospective business
advantage.
Specific performance is the remedy customarily used when one party has breached a
contract to perform a personal service. - Answer-false
Invasion of the right to privacy is an intentional tort. - Answer-true
Which of the following statements is NOT true regarding the characteristics of a
corporation? - Answer-The board of directors implements the decisions of the officers.
Sally tells you that she is in a dispute with her employer regarding whether in denying
Sally a promotion she wanted, the employer committed sex discrimination. Sally says
, that she has heard about both mediation and arbitration and asks you which would
result in a quicker judgment in her favor because she does not particularly want to go to
the time and expense of a court action. Sally also asks if, as a friend, you will go with
her when she consults with a lawyer. What would you tell Sally regarding whether she
should choose mediation or arbitration? - Answer-That an arbitrator would actually
decide the case whereas a mediator would not.
In cases involving transactions via the internet, the courts have adopted a 'sliding scale'
to determine whether they can exercise personal jurisdiction. - Answer-True
An independent contractor is also considered an employee of the person for whom work
is being done. - Answer-False
Herbie has a security interest in an automobile he sold to Glen. How can Herbie perfect
his interest by which one of the following? - Answer-By filing a financial statement
Filing your financial statement properly, renders the security interest unperfected. -
Answer-False
Under the theory of __________, a company can be held liable for violations of civil law
by its employee, even if a manager told the employee not to violate the law. - Answer-
vicarious liability
Betty has an unsecured interest in Tom's automobile. HFC has a secured interest in
Tom's automobile. Betty has priority. - Answer-False
Monica tells all her employees that she expects them to treat others as they would like
to be treated. Which of following is a descriptive term for Monica's requirement? -
Answer-The Golden Rule
Ethics and law are unrelated. - Answer-False
Sal has entered into a contract for hire with Herbie. Sal has agreed to pay Herbie the
sum of $1,000.00 if Herbie will steal the secret recipe form Coca Cola. Which of the
following is correct? - Answer-The contract is illegal and therefore unenforceable.
Jesse is drunk as a skunk and can't even focus on anything when she enters into a
contract to buy a $50,000.00 car to be delivered in 30 days. The seller is aware of
Jesse's condition but has her sign anyway. The contract is voidable. - Answer-True
Consideration can be anything that someone might want to bargain for. This includes -
Answer-The thing bargained for can be a promise to do something or refrain from doing
something.
The thing bargained for can be a benefit to the promisor or a detriment to the promisee.
The thing bargained for can be another promise or action.
Correct Response: All of the above.
QUESTIONS WITH 100%
CORRECT ANSWERS
When the terms of a written contract are clear, and there is no fraud or deceit, the parol
evidence rule will allow oral evidence that contradicts those terms. - Answer-False
When referring to a negotiable instrument, who are the three main parties? - Answer-
Drawee, drawer, payee
A check is considered a negotiable instrument. - Answer-True
Woody and Mathew create a partnership to make a documentary called "Untrue
Dectective" that exposes the lies that some detectives have told in famous criminal
cases. Mathew decides to release defamatory information about one of the detectives,
who he knew did not lie, to the press. Which of the following is false regarding Mathew's
poor decision making this partnership? - Answer-A partnership is prohibited from
placing managerial control of the business in one partner.
Once an agent is given __________ authority, he or she also has __________ authority
to do whatever is reasonable to complete the task he or she has been instructed to
undertake. - Answer-express,implied
Which of the following elements must a plaintiff prove in order to succeed in a
negligence case? - Answer-Defendant owed a duty of care.
Defendant breach his duty of care.
Plaintiff suffered a legally recognizeable injury.
Defendant's breach cause the injury.
Correct Response: All of the above.
Joe was in a hurry to get home from work and ran a stop sign, but, he did not hit anyone
so Joe is not liable for the tort of negligence. - Answer-True
Which of the following is not usually considered an independent contractor? - Answer-A
delivery driver working for a delivery service
In today's business world legal compliance is a moral minimum. - Answer-True
,Prudence is an officer of SellMyStuff, Inc. She wants to take advantage of a desirable
business investment that rightfully belongs to SellMyStuff, Inc. Which of the following
restricts this behavior? - Answer-corporate opportunity doctrine
Sally saw an ad in a magazine stating that for $1.00 she could receive 10 music CDs,
but, then would have to order more. Sally filled out the necessary form and mailed it
with her $1.00. Sally received the CDs but didn't want to order more. Later, she received
a bill from the company for $100.00 that she refused to pay. Sally is only 14 years old.
Which of the following best describes this situation. - Answer-Because the CDs were
not a necessity, and Sally is a minor the contract is voidable.
An expression of opinion is considered an offer. - Answer-False
In which of the following manners may an offer be terminated? - Answer-Revocation of
the offer.
Termination by the parties' actions.
Rejection of the offer by the offeree.
Correct Response: All of the above
Pursuant to the Statute of Frauds which of the following contracts must be in writing? -
Answer-One involving real estate.
One involving the sale of a good valued in excess of $500.00.
One to build a mansion, that will take more than a year to construct.
Correct Response: All of the above.
Ted Turner is a public figure. He sees a story in a newspaper that states facts about him
that are untrue. If he wants to sue the newspaper he will have to prove actual malice in
order to win his case. - Answer-true
Betty is looking to buy a new home and is desparate to purchase an old colonial near
her home. The house is listed with a real estate agent,whom Betty doesn't like. Betty
goes directly to the seller and offers the seller cash if the seller agrees not to use the
real estate agent and just let that agreement expire, which will take place in a week.
What tort has Betty committed. - Answer-Interference with a prospective business
advantage.
Specific performance is the remedy customarily used when one party has breached a
contract to perform a personal service. - Answer-false
Invasion of the right to privacy is an intentional tort. - Answer-true
Which of the following statements is NOT true regarding the characteristics of a
corporation? - Answer-The board of directors implements the decisions of the officers.
Sally tells you that she is in a dispute with her employer regarding whether in denying
Sally a promotion she wanted, the employer committed sex discrimination. Sally says
, that she has heard about both mediation and arbitration and asks you which would
result in a quicker judgment in her favor because she does not particularly want to go to
the time and expense of a court action. Sally also asks if, as a friend, you will go with
her when she consults with a lawyer. What would you tell Sally regarding whether she
should choose mediation or arbitration? - Answer-That an arbitrator would actually
decide the case whereas a mediator would not.
In cases involving transactions via the internet, the courts have adopted a 'sliding scale'
to determine whether they can exercise personal jurisdiction. - Answer-True
An independent contractor is also considered an employee of the person for whom work
is being done. - Answer-False
Herbie has a security interest in an automobile he sold to Glen. How can Herbie perfect
his interest by which one of the following? - Answer-By filing a financial statement
Filing your financial statement properly, renders the security interest unperfected. -
Answer-False
Under the theory of __________, a company can be held liable for violations of civil law
by its employee, even if a manager told the employee not to violate the law. - Answer-
vicarious liability
Betty has an unsecured interest in Tom's automobile. HFC has a secured interest in
Tom's automobile. Betty has priority. - Answer-False
Monica tells all her employees that she expects them to treat others as they would like
to be treated. Which of following is a descriptive term for Monica's requirement? -
Answer-The Golden Rule
Ethics and law are unrelated. - Answer-False
Sal has entered into a contract for hire with Herbie. Sal has agreed to pay Herbie the
sum of $1,000.00 if Herbie will steal the secret recipe form Coca Cola. Which of the
following is correct? - Answer-The contract is illegal and therefore unenforceable.
Jesse is drunk as a skunk and can't even focus on anything when she enters into a
contract to buy a $50,000.00 car to be delivered in 30 days. The seller is aware of
Jesse's condition but has her sign anyway. The contract is voidable. - Answer-True
Consideration can be anything that someone might want to bargain for. This includes -
Answer-The thing bargained for can be a promise to do something or refrain from doing
something.
The thing bargained for can be a benefit to the promisor or a detriment to the promisee.
The thing bargained for can be another promise or action.
Correct Response: All of the above.
