Question 1

Expiration of the statute of limitations period for a breach of contract action may make a contract ________.

Accepted Answer

A)  executed
B)  executory
C)  unenforceable
D)  illusory
E)  implied-in-fact

Question 2

Which of the following is true if no means of communicating an acceptance is specified in an offer?

Accepted Answer

A)  The acceptance must be in writing.
B)  The acceptance must be made orally either by telephone or in person.
C)  No valid contract may be entered into because the offer must specify a means by which to accept.
D)  Acceptance may be made by any reasonable means.
E)  Acceptance must be made orally or in writing within twenty-four hours.

Question 3

Since it takes at least two parties to enter into an enforceable agreement,a contract cannot be classified as unilateral.

Accepted Answer

A) True 
 B)False

Question 4

In which of the following ways may an offeree accept a unilateral contract?

Accepted Answer

A)  By making a counteroffer.
B)  By a signed writing only.
C)  By either an oral acceptance or a signed writing.
D)  By performance only.
E)  By performance,by an oral acceptance,or by a signed writing.

Question 5

In the absence of a time condition in the offer,the offer will expire after thirty (30)days.

Accepted Answer

A) True 
 B)False

Question 6

The terms in express contracts are clearly set forth in written,not spoken,words.

Accepted Answer

A) True 
 B)False

Question 7

Jacquelyn accepts Monique's offer to sell her a used car for $2,000.At what point is there a binding contract between the two parties?

Accepted Answer

A)  When Jacquelyn and Monique make the agreement.
B)  When Jacquelyn pays Monique the $2,000.
C)  When Monique delivers the car to Jacquelyn.
D)  Three business days after Jacquelyn accepts delivery of the car.
E)  Three calendar days after Jacquelyn accepts delivery of the car.

Question 8

Under common law,when does formation of an agreement begin?

Accepted Answer

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 executed.
E)  When the offeror makes an offer to the offeree.

Question 9

A(n) ________ contract is commonly defined as a promise in exchange for a promise.

Accepted Answer

A)  unilateral
B)  trilateral
C)  executed
D)  bilateral
E)  classified

Question 10

Lack of genuine assent is a defense to the enforcement of a contract.

Accepted Answer

A) True 
 B)False

Question 11

Which of the following is true regarding when an offeree may reject an offer?

Accepted Answer

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 the offeree rejects the offer prior to the expiration of that time.
C)  An offer must remain open for at least three business days before an offeree may reject it.
D)  An offer must remain open for at least seven calendar days before an offeree may reject it.
E)  An offer must remain open for at least thirty calendar days before an offeree may reject it.

Question 12

The two primary sources of contract law are the Uniform Contracts Code and the Uniform Commercial Code.

Accepted Answer

A) True 
 B)False

Question 13

Which of the following is the reason the Uniform Commercial Code was drafted?

Accepted Answer

A)  Different states had different laws governing contracts that did not allow interstate commerce to flow smoothly.
B)  Many states had no law governing contracts.
C)  Federal law governing contracts was difficult to apply.
D)  The Uniform Contracts Code had already been successfully adopted by the states.
E)  The Restatement of the Law Second,Contracts was not being evenly and fairly applied.

Question 14

Which of the following is an incorrect statement regarding how the Japanese tend to view contracts?

Accepted Answer

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 prefer that any terms be left to be decided later.

Question 15

As a general rule,when is revocation of an offer effective?

Accepted Answer

A)  When it is mailed by the offeror.
B)  When it is received by the offeree.
C)  Three business days after the offeror makes the offer,assuming the offeree has not already accepted the offer.
D)  Seven calendar days after the offeror makes the offer,assuming the offeree has already accepted the offer.
E)  Thirty calendar days after the offeror makes the offer,assuming the offeree has not already accepted the offer.

Question 16

The person who agrees to the terms of an offer by another party is called the ________.

Accepted Answer

A)  offeree
B)  offeror
C)  assignor
D)  assignee
E)  delegatee

Question 17

Used Car Sales.Walter sells used cars.He is seeking a way to increase sales and profits because he would like to take his girlfriend on a nice diving trip to the Grand Cayman Islands.The first thing that Walter does is say that during the first week of December,he will give a $500 rebate on used cars under two years old.To spice things up,he also offers to sell any car on the lot that is under five years old for $1,000 to the first three customers who can hula hoop ten hours straight on December 7th.(Hula hooping was a practice popular some years ago in which a person,usually around the waist,would swing around a large hoop.) Walter was not very concerned about the hula hooping issue because he thought that no one would be able to hula-hoop for ten hours straight.Walter put an advertisement pertaining to the rebate and hula-hoop opportunity in the local newspaper.The promotion went over very well.Although he had several on hand,Walter ran out of cars under two years old within one day.During the rest of the week,shoppers were told that no cars of that description were available.A customer named Sam was very unhappy when he discovered the next day that no cars under two years old were available.On December 7th,while Walter was watching the hula hoopers,Sally was shopping for a car.She was in college and did not have much money.She saw one,an older car,that she liked but she really did not know if it would run or not.She was going to talk to her parents.Walter eventually approached her and Sally asked him if he would take $3,000 for the car.Walter said,"Yes,sold." Sally tried to explain that she needed to talk to her parents first,but Walter would not hear of it.While Walter was still fuming from his encounter with Sally,Zack walked up and started to criticize the nature of Walter's inventory.Walter told him that he had great cars.Zack pointed at an old jalopy that was banged up,had 200,000 miles on it,and a cracked windshield.Zack said,"Sure,I'll pay $10,000 for that car." Walter said,"Sold." Zack said,"Wait a minute.I was only kidding." Walter said,"No way." Meanwhile all the hula hoopers dropped out prior to ten hours of hula hooping except for Barbara.One minute before the ten hours were up,Walter yelled out "I revoke!" Barbara completed the hula hooping anyway and asked for her car for $1,000.Walter refused saying that the offer was revoked.Sam was very angry and sued Walter for not having a car available that was under two years old so that he could get a good deal and a $500 rebate.Additionally,Barbara sued Walter,and Walter sued Zack and Sally.What is the likely result in the lawsuit brought by Walter against Zack?

Accepted Answer

A)  Walter will win because Zack properly made an offer that Walter accepted.
B)  Zack will win because he was merely expressing possible interest.
C)  Zack will win because Walter did not properly accept.
D)  Zack will win because under a subjective standard,he was joking.
E)  Zack will win because under an objective standard,it appears he was joking.

Question 18

If the subject matter of an offer becomes illegal,what is the result?

Accepted Answer

A)  The offer immediately terminates.
B)  The offer is still valid,as long as the offer was made at least three calendar days before the subject matter of the offer became illegal.
C)  The offer is still valid,as long as the offer was made at least seven calendar days before the subject matter of the offer became illegal.
D)  The offer is still valid,as long as the offer was made at least thirty calendar days before the subject matter of the offer became illegal.
E)  The offer is still valid,as long as the offer is part of an otherwise enforceable option contract.

Question 19

If the subject matter of the offer is destroyed or becomes illegal,the offer is rescindable at the election of the offeror or the offeree.

Accepted Answer

A) True 
 B)False

Question 20

Sometimes a contract may be valid yet unenforceable.

Accepted Answer

A) True 
 B)False

Exam 9: Introduction to Contracts and Agreement

Lack of genuine assent is a defense to the enforcement of a contract.

Correct Answer
verified

The person who agrees to the terms of an offer by another party is called the ________.

Correct Answer
verified

Since it takes at least two parties to enter into an enforceable agreement,a contract cannot be classified as unilateral.

Correct Answer
verified

In which of the following ways may an offeree accept a unilateral contract?

Correct Answer
verified

Which of the following is an incorrect statement regarding how the Japanese tend to view contracts?

Correct Answer
verified

If the subject matter of an offer becomes illegal,what is the result?

Correct Answer
verified

The terms in express contracts are clearly set forth in written,not spoken,words.

Correct Answer
verified

As a general rule,when is revocation of an offer effective?

Correct Answer
verified

Which of the following is true regarding when an offeree may reject an offer?

Correct Answer
verified

Which of the following is the reason the Uniform Commercial Code was drafted?

Correct Answer
verified

A(n) ________ contract is commonly defined as a promise in exchange for a promise.

Correct Answer
verified

In the absence of a time condition in the offer,the offer will expire after thirty (30)days.

Correct Answer
verified

Jacquelyn accepts Monique's offer to sell her a used car for $2,000.At what point is there a binding contract between the two parties?

Correct Answer
verified

The two primary sources of contract law are the Uniform Contracts Code and the Uniform Commercial Code.

Correct Answer
verified

If the subject matter of the offer is destroyed or becomes illegal,the offer is rescindable at the election of the offeror or the offeree.

Correct Answer
verified

Sometimes a contract may be valid yet unenforceable.

Correct Answer
verified

Under common law,when does formation of an agreement begin?

Correct Answer
verified

Which of the following is true if no means of communicating an acceptance is specified in an offer?

Correct Answer
verified

Expiration of the statute of limitations period for a breach of contract action may make a contract ________.

Correct Answer
verified

Correct Answer
verified

Exam 9: Introduction to Contracts and Agreement

Lack of genuine assent is a defense to the enforcement of a contract.

Correct AnswerverifiedShow Answer

The person who agrees to the terms of an offer by another party is called the ________.

Correct AnswerverifiedShow Answer

Since it takes at least two parties to enter into an enforceable agreement,a contract cannot be classified as unilateral.

Correct AnswerverifiedShow Answer

In which of the following ways may an offeree accept a unilateral contract?

Correct AnswerverifiedShow Answer

Which of the following is an incorrect statement regarding how the Japanese tend to view contracts?

Correct AnswerverifiedShow Answer

If the subject matter of an offer becomes illegal,what is the result?

Correct AnswerverifiedShow Answer

The terms in express contracts are clearly set forth in written,not spoken,words.

Correct AnswerverifiedShow Answer

As a general rule,when is revocation of an offer effective?

Correct AnswerverifiedShow Answer

Which of the following is true regarding when an offeree may reject an offer?

Correct AnswerverifiedShow Answer

Which of the following is the reason the Uniform Commercial Code was drafted?

Correct AnswerverifiedShow Answer

A(n) ________ contract is commonly defined as a promise in exchange for a promise.

Correct AnswerverifiedShow Answer

In the absence of a time condition in the offer,the offer will expire after thirty (30)days.

Correct AnswerverifiedShow Answer

Jacquelyn accepts Monique's offer to sell her a used car for $2,000.At what point is there a binding contract between the two parties?

Correct AnswerverifiedShow Answer

The two primary sources of contract law are the Uniform Contracts Code and the Uniform Commercial Code.

Correct AnswerverifiedShow Answer

If the subject matter of the offer is destroyed or becomes illegal,the offer is rescindable at the election of the offeror or the offeree.

Correct AnswerverifiedShow Answer

Sometimes a contract may be valid yet unenforceable.

Correct AnswerverifiedShow Answer

Under common law,when does formation of an agreement begin?

Correct AnswerverifiedShow Answer

Which of the following is true if no means of communicating an acceptance is specified in an offer?

Correct AnswerverifiedShow Answer

Expiration of the statute of limitations period for a breach of contract action may make a contract ________.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

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