Accounting
Anthropology
Archaeology
Art History
Banking
Biology & Life Science
Business
Business Communication
Business Development
Business Ethics
Business Law
Chemistry
Communication
Computer Science
Counseling
Criminal Law
Curriculum & Instruction
Design
Earth Science
Economic
Education
Engineering
Finance
History & Theory
Humanities
Human Resource
International Business
Investments & Securities
Journalism
Law
Management
Marketing
Medicine
Medicine & Health Science
Nursing
Philosophy
Physic
Psychology
Real Estate
Science
Social Science
Sociology
Special Education
Speech
Visual Arts
Law
Q:
In an agency by ratification, the agent is relieved of any liability for misrepresentation.
Q:
Omni Corporation is a Pennsylvania-based firm that does business throughout the United States. With respect to this circumstance, the UCC has been adopted by, and applies in,
a. a few of the states.
b. all of the states, in whole or in part.
c. half of the states.
d. none of the states, to date.
Q:
If an agency is not an exclusive agency, the principal can employ more than one agent to try to accomplish a stated purpose.
Q:
Over the course of a year, Real Deal Corporation sells appliances to customers to whom it extends credit. Real Deal orders the appliances from Superior Appliance Company's warehouse, from which the items are shipped via common carrier to Real Deal's customers. Article 2 of the UCC governs
a. all of the parties' sales of the goods.
b. Real Deal's extension of credit.
c. Superior's storage of the goods.
d. the common carrier's delivery of the goods.
Q:
A buyer has an insurable interest in identified goods.
Q:
A durable power of attorney remains effective even if the principal is incapacitated.
Q:
When a buyer breaches a contract, the risk of loss immediately shifts to the buyer.
Q:
An orally agreed upon power of attorney is acceptable in court.
Q:
If a seller is a merchant, and the seller holds the goods, the risk of loss cannot pass to a buyer.
Q:
Only a lawyer can become an attorney-in-fact.
Q:
A bailee is a buyer or lessee.
Q:
An agent given a power of attorney is known as an attorney-in-fact.
Q:
A special power of attorney empowers an agent to act in any matters on the principal's behalf without limitation.
Q:
If a seller is not a merchant, and the seller holds the goods, the risk of loss cannot pass to a buyer.
Q:
A general power of attorney limits an agent to those acts enumerated by the agreement.
Q:
If a lessor is a merchant, the risk of loss passes to a lessee when the lessee takes physical possession of the goods.
Q:
A power of attorney gives an agent the power to sign legal documents on behalf of the principal.
Q:
If a seller is a merchant, and the seller holds the goods, the risk of loss passes to a buyer when the buyer takes physical possession of the goods.
Q:
An express agency contract cannot be orally agreed upon.
Q:
A receipt issued by a warehouser for goods stored in a warehouse is a bill of lading.
Q:
If a principal and an agent enter into an express agency contract, the principal cannot employ any agent other than the agent who entered into the contract.
Q:
Unless a contract provides otherwise, it is assumed to be a destination contract.
Q:
A bill of lading serves as a conÂtract for the transportation of goods.
Q:
Which of the following is true of an apparent agency?
A) The authority of an apparent agent is implied from the conduct of the parties.
B) The third-party is not bound to the contract created by an apparent agent.
C) The principal is bound to the contracts entered into by an apparent agent.
D) The actions of an apparent agent create an apparent agency.
Q:
"Unless otherwise explicitly agreed," title passes to the buyer at the time and place at which the seller physically delivers the goods.
Q:
Which of the following describes an agency by estoppel?
A) an agency that arises when a principal ratifies a contract created by an unauthorized agent
B) an agency created when a principal and an agent expressly agree to enter into an agency agreement
C) an agency that is not expressly stated but is implied from the conduct of the parties
D) an agency that arises when a principal creates the appearance of an agency that in actuality does not exist
Q:
An agency by ratification occurs when the principal ________.
A) accepts an unauthorized act created by an unauthorized agent
B) accepts an authorized act created by an authorized agent
C) creates the appearance of an agency that in actuality does not exist
D) accepts an act carried out under the implied authority of an agent
Q:
Identification takes place when specific goods are designated as the subject matter of a sales or lease contract.
Q:
Frank Hannigan sees a grand piano that his musician friend Scott Kristoff had been looking for in an antique store. Frank enters into a contract to purchase the grand piano from the antique seller and signs the contract, "Frank Hannigan, agent for Scott Kristoff." As Frank is not Scott's agent, Scott is not bound by the contract. If Scott decides to accept the contract, what kind of agency would be created?
A) express agency
B) implied agency
C) agency by ratification
D) power of attorney
Q:
The UCC has replaced the common law concept of title in part with the concept of identification.
Q:
Marcus employs a real estate broker, Dean, to sell his house. Dean's express powers are to advertise and market the house for sale, show the house to prospective buyers, and accept offers from persons who want to purchase the house. He is not allowed to complete a deal without Marcus's consent. Marcus goes away on a month-long trip where he cannot be contacted. During this time, a short circuit in the house causes a power outage. Dean uses his authority to hire an electrician to repair the circuits and restore electricity in the house. Marcus then comes back and pays Dean for the electricity repair. What is the nature of the agency that Dean used to fix the electricity problem in the house?
A) implied agency
B) agency by ratification
C) power of attorney
D) express agency
Q:
Title is one concept that the UCC has substituted for the common law concept of risk of loss.
Q:
An express agency agreement that is often used to give an agent the power to sign legal documents on behalf of the principal is known as a(n) ________.
A) assignment
B) accommodation
C) power of attorney
D) letter of credit
Q:
An unconscionable contract is a contract so one-sided and unfair at the time it is made that enforcing it would be unreasonable.
Q:
Canton has listed his house for sale but cannot be present to take care of the sale, as he needs to go out of town. He intends to give his brother Stratham the power of attorney to just make decisions regarding the selling of his house while he is gone. What kind of power of attorney should Canton execute?
A) a general power of attorney
B) a special power of attorney
C) an unlimited power of attorney
D) an implied power of attorney
Q:
Which of the following is true about a durable power of attorney?
A) It is only effective for as long as the principal has contractual capacity.
B) It remains effective even though the principal is incapacitated.
C) It is effective even when the agency is based on an oral agreement.
D) It is only effective if the attorney-in-fact is a licensed attorney.
Q:
Under the UCC, an oral contract for a sale of goods is enforceable unless payment has been made and accepted.
Q:
No oral contract is enforceable under the UCC.
Q:
Which of the following is true about a special power of attorney?
A) It is an implied form of power of attorney.
B) It limits the agent's powers to those enumerated in the agreement.
C) It allows the agent to act in any matters on the principal's behalf.
D) It only allows a licensed attorney to act as the attorney-in-fact.
Q:
If a contract for a sale of goods does not include a quantity term, it is a requirements contract.
Q:
The rules governing firm offers apply to all merchants.
Q:
Taylor gives a power of attorney to his twin brother Corey, permitting Corey to make all decisions on his behalf while he is abroad. As per the terms of the power of attorney, Corey is allowed to make decisions to purchase or sell stocks on Taylor's behalf, sell Taylor's real estate if he deems it to be in Taylor's best interest, pursue or defend lawsuits on Taylor's behalf, and make all other relevant decisions for Taylor. What kind of power of attorney confers such powers to Corey?
A) a special power of attorney
B) a limited power of attorney
C) an implied power of attorney
D) a general power of attorney
Q:
Which of the following is true of a general power of attorney?
A) It can be based on a conversation between the principal and agent.
B) It must appoint a licensed attorney to act as the attorney-in-fact.
C) It is one of the most informal types of express agency agreements.
D) It allows the agent to sign legal documents on the principal's behalf.
Q:
If a contract for a sale of goods does not include a price term, a reasonable price can be determined by looking at the market for the goods.
Q:
A power of attorney is an example of an ________ agreement.
A) agency by ratification
B) apparent agency
C) express agency
D) implied agency
Q:
Under the UCC, a contract for a sale of goods that includes open terms is void.
Q:
Which of the following is true of an express agency?
A) It can be either oral or written unless the Statute of Frauds stipulates that it must be written.
B) It is implied from the actions or conduct of the parties.
C) It originates when the principal ratifies an unauthorized act.
D) It arises when a principal creates the appearance of an agency that does not exist.
Q:
Under the UCC, the validity of a contract depends on its price term.
Q:
An agency that occurs when a principal and an agent categorically agree to enter into an agency agreement with each other is known as an ________.
A) agency by ratification
B) implied agency
C) apparent agency
D) express agency
Q:
A lessor is a party who acquires a right to the possession and use of goods under a lease.
Q:
Marlon intends to sell a piece of real estate he owns and contracts Nita, a real estate broker, to make the sale. In the contract, Marlon authorizes Nita to make the sale at or above a minimum price he wants and the date by which he wants the sale to be completed. The contract also stipulates that Marlon must not hire another broker to sell that piece of land until the expiration of the contract period. Nita finds a suitable buyer, makes the sale in time, and is paid by Marlon for her services. What kind of contract existed between Marlon and Nita?
A) an apparent agency contract
B) a ratified contract
C) an exclusive agency contract
D) an exclusive principal contract
Q:
A lessee is a party who transfers a right to the possession and use of goods under a lease.
Q:
Marlon intends to sell a piece of real estate he owns and contracts Nita, a real estate broker, to make the sale. In the contract, Marlon authorizes Nita to make the sale at or above a minimum price he wants and the date by which he wants the sale to be completed. The contract also stipulates that Marlon must not hire another broker to sell that piece of land until the expiration of the contract period. Nita finds a suitable buyer, makes the sale in time, and Marlon pays for her services. Which of the following types of agencies had Marlon and Nita entered into?
A) apparent agency
B) agency by ratification
C) implied agency
D) express agency
Q:
A consumer lease is exempted from coverage under the UCC.
Q:
A party who employs another person to act on his or her behalf is known as a(n) ________.
Q:
The UCC imposes the same rules of conduct on all parties in all circumstances.
Q:
An employer-employee relationship occurs when an employer gives an employee the authority to act and enter into contracts on his or her behalf.
Q:
A party that employs an independent contractor is called an agent.
Q:
A sale of "things attached" to realty is always considered a sale of goods.
Q:
Article 2 of the UCC governs contracts for sales of services.
Q:
A principal-agent relationship exists when an employer hires an employee to perform some form of physical service.
Q:
A principal works on behalf of an agent.
Q:
Corporate stocks are an example of property that does not come under UCC Article
Q:
Agency law is a mixture of contract law and tort law.
Q:
Article 2 of the UCC governs contracts for sales of goods.
Q:
Which of the following is true of an employer-employee relationship?
A) An employee has implied power of attorney toward the principal.
B) An employee has authority to act on behalf of the principal.
C) An employee can enter into contracts on behalf of the employer.
D) An employee is hired to perform a task or service.
Q:
Owen buys a used Prius from Quality Motors, Inc., paying $1,000 down and agreeing to pay off the balance in thirty-six monthly payments of $200 each. The terms of the agreement call for Owen to make a payment on or before the first of each month, beginning March 1. During the first six months, Quality receives a $200 payment before the first of each month. Starting in September, however, and continuing for the subsequent five months, Owen's payment is never made until the fifth of the month. Quality accepts and cashes the payment check each time. Before the next payment is due, Quality decides that it is no longer willing to accept late payments. Can Quality sue Owen immediately for breach? Can Owen continue to make late payments without liability? Explain.
Q:
Which of the following types of relationships exists when a person hires another person to perform some form of physical service but does not authorize that person to enter into contracts on his or her behalf?
A) employer-employee relationship
B) employer-agent relationship
C) principal-third party relationship
D) principal-agent relationship
Q:
General Equity Corporation enters into a contract with Honi, who agrees to create artwork for General's main office building. Honi delays and eventuÂally refuses to perform. Meanwhile, General contracts to sell the building to Ideal Investments, Inc., but before the transaction is complete, Jewel Funds Company offers to pay a higher price. General reÂfuses to transfer the buildÂing to Ideal. In separate suits by General against Honi and by Ideal against General, each plaintiff seeks specific performance. How might the court rule in each case, and why?
Q:
A(n) ________ is a relationship formed when an employer hires an employee and gives that employee authority to act and enter into contracts on his or her behalf.
A) agent-independent contractor relationship
B) principal-agent relationship
C) agent-agent relationship
D) employer-employee relationship
Q:
Quicksilver Delivery Service contracts to deliver Pete's Pizza Parlor's prodÂucts to its customers for $5,000, payable in adÂvance. Pete's pays the money, but Quicksilver fails to perform. Can Pete's rescind the contract? Can Pete's also obÂtain restitution? What does it mean to "rescind" a contract? How is a contract rescinded? What is restitution? How is restitution accomÂplished? Explain.
Q:
Which of the following is true of a principal-independent contractor relationship?
A) Principals are bound by the authorized contracts of their independent contractors.
B) Independent contractors cannot be authorized by principals.
C) Independent contractors are employees of the principals.
D) Principals cannot directly employ independent contractors.
Q:
National Drilling Company ships its only pump to American Hydraulics Corporation, the manufacturer, for repair. National hires Overland Transport, Inc., to take the pump to American Hydraulics and to return it to National as soon as the repair is complete. National is forced to susÂpend operations without a pump, but Overland does not know this. National exÂpects to be without the pump for five days and to lose profits of $5,000. When the pump is not returned by the end of the fifth day, National rents a pump at a cost of $100 per day. Overland delays five more days before reÂturning the pump. National files a suit against Overland, asking for comÂpensatory, consequential, and punitive damages. Will National recover?
Q:
To avoid liability for intentional injuries, Vermont Power Corporation inÂcludes in its contracts an exculpatory clause. This is
a. enforceable if the other parties are protected from liability.
b. enforceable if the other parties consent to it.
c. enforceable if the other parties have equal bargaining power.
d. not enforceable.
Q:
Martin, who wants to sell his house, authorizes his concierge, William, to find a potential buyer and finalize a deal above a stipulated price. William contracts Chris, a real estate broker, and intends him to only find a potential buyer and send him or her over to William for the sale. Martin then contracts ReNowait Goodhouses, a home improvement company, to renovate the house. ReNowait completes its work and Martin pays the company. Chris then searches for a suitable buyer and finds one in George. George buys the house and Chris is paid for his services. In this scenario, what type of commercial relationship exists between Martin and William?
A) an employer-employee relationship
B) an agent-agent relationship
C) an agent-independent contractor relationship
D) a principal-agent relationship
Q:
Creekside Property Corporation enters into a contract with Downstream Management Associates to manage and maintain Creekside's apartment complex. Their contract provides that neither party can recover damages for a non-fraudulent or unintentional breach. This is
a. a limitation-of-liability clause.
b. an exculpatory clause.
c. an illegal clause.
d. a quasi contract.
Q:
Martin, who wants to sell his house, authorizes his concierge, William, to find a potential buyer and finalize a deal above a stipulated price. William contracts Chris, a real estate broker, and intends him to only find a potential buyer and send him or her over to William for the sale. Martin then contracts ReNowait Goodhouses, a home improvement company, to renovate the house. ReNowait completes its work and Martin pays the company. Chris then searches for a suitable buyer and finds one in George. George buys the house and Chris is paid for his services. In this scenario, who is the principal during the land sale transaction?
A) ReNowait Goodhouses
B) George
C) Martin
D) William
Q:
Vacation Vistas, Inc., agrees to sell certain acreage to Umiko, who intends to develop a destination resort. Vacation Vistas repudiates the deal. Umiko sues Vacation Vistas and recovers damÂages. She can now obtain
a. an amount in a quasi-contractual recovery.
b. damages representing restitution.
c. specific performance of the deal.
d. nothing more.
Q:
Martin, who wants to sell his house, authorizes his concierge, William, to find a potential buyer and finalize a deal above a stipulated price. William contracts Chris, a real estate broker, and intends him to only find a potential buyer and send him or her over to William for the sale. Martin then contracts ReNowait Goodhouses, a home improvement company, to renovate the house. ReNowait completes its work and Martin pays the company. Chris then searches for a suitable buyer and finds one in George. George buys the house and Chris is paid for his services. Who performs the role of the agent in this land sale transaction?
A) William
B) Martin
C) Chris
D) George
Q:
A(n) ________ is a fiduciary relationship which results from the manifestation of consent by one person to another that the other shall act on his behalf and subject to his control, and consent by the other so to act.
A) assignment
B) garnishment
C) accommodation
D) agency