Q&A Hero

Q: Which of the following sets forth the common law rule that the terms of an acceptance must mirror the terms of the offer? A. The matching rule. B. The complete rule. C. The mirror image rule. D. The exact rule. E. The parallel rule.

Q: Which of the following references a problem occurring when a buyer and a seller purport to make an agreement, but pre-printed forms do not match? A. The parallel issue. B. The matching issue. C. The battle of the forms. D. The lack of completeness issue. E. The minor deviance issue.

Q: Gretchen offers $100 to anyone who can return her lost dog, Sparky. Haley returns the dog and requests the money. Gretchen says that there is no binding contract. Which of the following is true regarding Gretchen's statement? A. Gretchen is incorrect because there is a binding bilateral contract. B. Gretchen is incorrect because there is a binding unilateral contract that Haley accepted by performing. C. Gretchen is correct because there is no binding bilateral contract. D. Gretchen is correct because there is no binding unilateral contract. E. Gretchen is correct because Haley acted incorrectly by her manner of attempted acceptance.

Q: When acceptance is examined under the common law, how do the basic requirements for a valid acceptance compare with those for a valid offer? A. The basic requirements for a valid acceptance are materially different from those for a valid offer. B. The basic requirements for a valid acceptance parallel those for a valid offer. C. The basic requirements for a valid acceptance are different from those for a valid offer only because an offer must be in writing. D. The basic requirements for a valid acceptance are different from those for a valid offer only because an acceptance must be in writing. E. The basic requirements for a valid acceptance are different from those for a valid offer only because an offer must be revoked immediately but acceptance can be withheld for a reasonable period of time.

Q: Which of the following is false regarding how the Japanese tend to view contracts? A. The Japanese tend to view contracts as ongoing relationships. B. The Japanese tend to view contracts as relationships in which parties work with each other to smooth out any problems that arise in performance. C. The Japanese tend to be suspicious of long, detailed contracts. D. The Japanese have a preference for flexible contracts. E. The Japanese do not desire that any terms be left to be decided later.

Q: Which of the following is presumed to be a reasonable amount of time when considering whether an offer has expired? A. Forty-eight hours. B. Seven days. C. Thirty days. D. Forty-five days. E. There is no set amount of time, and what constitutes a reasonable amount of time varies depending upon the subject matter of the offer.

Q: In the European Union, which of the following is the source to turn to, in order to understand how the various member states regulate contracts? A. The Principles of European Contract Law B. The European Union Contract Manual for Member States C. The Elements of Contractual Relation in the European Union D. European Contract Law E. None of these because all the member states have their own individual regulations

Q: In which of the following ways may an offeree accept a unilateral contract? A. By making a counteroffer. B. By a signed writing only. C. By either verbal acceptance or a signed writing. D. By performance. E. By performance, by a verbal acceptance, or by a signed writing.

Q: If the subject matter of an offer is destroyed, the offer _____. A. immediately terminates B. is extended for seven days C. is extended for fourteen days D. is extended for twenty-one days E. is extended for thirty days

Q: If the subject matter of an offer becomes illegal, what is the result? A. The offer immediately terminates. B. There is no effect as long as the offer was made at least one day before the subject matter of the offer became illegal. C. There is no effect as long as the offer was made at least ten days before the subject matter of the offer became illegal. D. There is no effect as long as the offer was made at least fifteen days before the subject matter of the offer became illegal. E. There is no effect as long as the offer was made at least thirty days before the subject matter of the offer became illegal.

Q: In the absence of a time condition in an offer, the offer will expire _____. A. in forty-eight hours B. in seven days C. in thirty days D. in forty-five days E. after a reasonable amount of time

Q: If a person wishes to ensure that an offer will in fact be held open for a set period of time, the person may do so by entering into a(n) _____ contract with the offeror. A. clear B. explicit C. unrevokable D. option E. none of these, because legally an offeree cannot guarantee that an offer will be held open for a specific time.

Q: As a general rule, when is revocation effective? A. When it is mailed by the offeror. B. When it is received by the offeree. C. One day after it is made. D. Two days after it is made. E. Three days after it is made.

Q: Which of the following is true regarding when an offeree may reject an offer? A. Regardless of how long an offeror states that an offer will be held open, once the offeree rejects it, the offer is terminated. B. If the offeror states that an offer will be held open for a certain amount of time, then it is open for that length of time even if a rejection is received prior to the expiration of that time. C. An offer must remain open for at least two days before an offeree may reject it. D. An offer must remain open for at least three days before an offeree may reject it. E. An offer must remain open for at least four days before an offeree may reject it.

Q: If a(n) _____ contract exists, the administrator of an offeror's estate must hold an offer open until it expires in accordance with the contract. A. bilateral B. unilateral C. complete D. option E. bilateral or option

Q: The _____ terms of a contract are those terms that would allow a court to determine what the damages would be in the event that one of the parties breaches the contract. A. important B. significant C. material D. adequate E. identifiable

Q: In which of the following ways can an offer terminate? A. Only by revocation by the offeror. B. Only by revocation by the offeror, or rejection or counteroffer by the offeree. C. Revocation by the offeror, rejection by the offeree, or destruction of the subject matter. D. By revocation by the offeror, but not before the offer is held open for five days. E. Only by revocation by the offeror, but not before the offer is held open for ten days.

Q: Which of the following refers to the right of an offeror to revoke an offer? A. The offeror is the "originator of his offer." B. The offeror is the "master of his offer." C. The offeror is the "proponent of his offer." D. The offeror is the "adjudicator of his offer." E. The offeror is the "arbiter of his offer."

Q: What was the result in the case nugget, Lefkowitz v. Great Minneapolis Surplus Store Inc., involving an advertisement for the sale of fur coats? A. The court ruled that the advertisement was not an offer because it involved a luxury good. B. The court ruled that the advertisement was an offer but that the customer who was suing had not properly accepted it. C. The court ruled that the advertisement was not an offer because it was a ridiculously low offer that the plaintiff should have known was not to be taken seriously. D. The court ruled that the ad was not an offer because ads are never offers, only invitations for customers to make an offer. E. The court ruled that the ad was an offer and that the plaintiff properly accepted it.

Q: If nothing is stated to the contrary in terms of an auction, an auction is presumed to be _____. A. without controls B. with controls C. without reserve D. with reserve E. without qualifications

Q: In an auction _____, the seller is treated as making an offer to accept the highest bid. A. without controls B. with controls C. without reserve D. with reserve E. without qualifications

Q: Under common law, when does formation of an agreement begin? A. When the offeree makes an offer to the offeror. B. When consideration is provided. C. When funds are transferred. D. When a writing is entered into. E. When the offeror makes an offer to the offeree.

Q: If Maria says to Peter, "I bet you a million dollars that it is going to rain tomorrow," and Peter knows that Maria is joking, it would not be a valid offer based upon: A. lack of definite and certain terms B. lack of inadequate communication to the offeree C. lack of intent D. lack of consideration E. it is a valid offer

Q: What was the result in the case in the text Lucy v. Zehmer involving whether allegations of joking involving the sale of land prevented the formation of a contract? A. The court ruled that the contract would not be enforced because one of the parties was subjectively joking. B. The court ruled that the contract would not be enforced because one of the parties was joking, and a reasonable person should have known that. C. The court ruled that the contract would not be enforced because the parties had been drinking although they were not intoxicated. D. The court ruled that the agreement would be enforced because of the outward manifestations of agreement. E. The court ruled that the contract would be enforced because of what the parties verbally said regardless of whether an objective person would have thought joking was involved.

Q: Constance asks Kathy if Kathy will sell her used business book for $50. What is the status of the negotiations? A. No offer has been made. B. An offer has been made, but it may be revoked. C. An offer has been made that may not be revoked. D. A contract has been entered into. E. A contract has been entered into, but it may be set-aside at the option of either party.

Q: A _____ is an agreement by the person who issues the letter to pay a sum of money on receipt of an invoice and other documents. A. letter of agreement B. letter of credit C. letter of acknowledgement D. negotiated credit instrument E. simple contract

Q: Which of the following are written documents signed by a party that makes an unconditional promise to pay a specific sum of money on demand or at a certain time to the holder of the instrument? A. Negotiable instrument. B. Informal contracts. C. Simple contracts. D. Letters of credit. E. Formal contracts.

Q: Which of the following is the first element of a contract? A. An agreement. B. Intent. C. An offer. D. An acceptance. E. A writing.

Q: The term _____ comes from the days when the contract was literally sealed by a piece of soft wax into which an impression was made. A. implied-in-fact contracts B. implied-in-law contracts C. contracts under wax D. contracts under seal E. contracts under pressure

Q: How many states still allow a contract without consideration to be enforced, if it is under seal? A. Five. B. Eight. C. Ten. D. Twenty. E. Thirty.

Q: A(n) _____ arises when a person acknowledges in court that he or she will perform some specified act or will pay a price upon failure to do so. A. contract under seal B. voidable contract C. recognizance D. implied-in-fact E. informal contract

Q: Once all of the terms of the contract have been fully performed, the contract is said to be _____. A. executory B. executed C. anticipatory D. ended E. stopped

Q: As long as some of the duties under a contract have not yet been performed, the contract is considered _____. A. executory B. executed C. anticipatory D. ended E. stopped

Q: Which of the following is an example of a formal contract? A. Contracts under seal. B. Executed contracts. C. Letters of credit. D. Contracts under seal and letters of credit, but not executed contracts. E. Contracts under seal, letters of credit, and also executed contracts.

Q: Which of the following contracts are usually voidable? A. Contracts entered into as a result of fraud. B. Contracts entered into as a result of duress. C. Contracts entered into as a result of undue influence. D. Contracts entered into as a result of fraud or duress, but not undue influence. E. Contracts entered into as a result of fraud, duress, or undue influence.

Q: A valid contract may be _____ when there is some law that prohibits the courts from enforcing it. A. executed B. executory C. unenforceable D. notated E. condoned

Q: Which of the following is, in effect, not a contract at all? A. A voidable contract. B. An executory contract. C. An implied contract. D. An executed contract. E. A void contract.

Q: A contract is _____ if one or both of the parties have the ability to either withdraw from the contract or enforce it. A. voidable B. executory C. implied D. executed E. void

Q: Which of the following is sometimes referred to as an implied-in-law contract? A. Quasi-contracts B. Express contracts C. Implied-in-fact contracts D. Express contracts and implied-in-fact contracts E. Express contracts and quasi-contracts

Q: Which of the following is a measure of recovery when a quasi-contract is involved? A. The amount set forth in the contract. B. The fair market value of the matter involved. C. The wholesale price of any good involved. D. The amount sought by the plaintiff in the complaint. E. Damages will be computed the same as they are computed for any other contract.

Q: A _____ contract is one that contains all the legal elements of a contract. A. voidable B. executed C. formal D. valid E. approved

Q: Which of the following have all their terms clearly set forth in either written or spoken words? A. Implied contracts B. Express contracts C. Liquidated contracts D. Bilateral contracts E. Unilateral contracts

Q: In which of the following does a contract arise not from words but from the conduct of the parties? A. Implied contracts B. Express contracts C. Liquidated contracts D. Bilateral contracts E. Unilateral contracts