Question 1

Vijay enters into a contract to sell his laptop to Winnie. Winnie takes possession of the laptop as a minor and continues to use it well after reaching the age of majority. Winnie has

Accepted Answer

A)   expressly ratified the contract.
B)   impliedly ratified the contract.
C)   disaffirmed the contract.
D)   none of the choices.

Question 2

Fact Pattern 11-1 
Bay City Mall requires its tenants to sign a lease that includes a clause releasing Metro from liability in the event of monetary or physical injury no matter who is at fault. Coco's Chocolate Creations signs a lease with Bay City that contains the clause.
-Refer to Fact pattern 11-1. This clause is

Accepted Answer

A)   a covenant not to compete.
B)   an adhesion contract.
C)   an exculpatory clause.
D)   an illusory promise.

Question 3

Jolie signs a contract with Keaton, an unlicensed physician, to perform a medical procedure. This contract is enforceable by

Accepted Answer

A)   Jolie.
B)   Jolie's medical insurance company.
C)   Keaton.
D)   no one.

Question 4

Jake and John make an illegal contract that unjustly enriches Jake at the expense of John. A court will

Accepted Answer

A)   not be concerned with the unjust enrichment of Jake.
B)   force Jake to pay damages to John.
C)   reform the contract to prevent undue burdens.
D)   enforce the contract as it was originally written.

Question 5

A person who enters into a contract when he or she is intoxicated can void the contract under any circumstances.

Accepted Answer

A) True 
 B)False

Question 6

Brasilia, a real estate broker licensed only in Connecticut, con?cludes a land sale in Delaware. She can

Accepted Answer

A)   collect the commission if it has not been paid.
B)   keep the commission if it has already been paid.
C)   foreclose on the property to obtain any unpaid amount.
D)   not collect the commission, keep it, or foreclose on the property.

Question 7

Odina signs a covenant not to compete with her employer, Penultimate Sales Corporation. A court decides that the covenant is overly restrictive. The court will likely

Accepted Answer

A)   enforce it as written so as not to undercut the freedom of contract.
B)   enforce it but evaluate its effects over time.
C)   reform its terms to prevent any undue burden.
D)   refuse to enforce it unless Penultimate pays additional consideration.

Question 8

Eli, a minor, buys an automobile insurance policy from Faithful Insurance Company and pays a $1,000 pre?mi?um. If Eli can disaffirm the contract, he can most likely recover

Accepted Answer

A)   $500.
B)   $1,000.
C)   $1,500.
D)   nothing.

Question 9

Lucy, a minor, disaffirms a contract for necessaries without returning the goods. To Manny's Food Mart, the seller, Lucy is required to pay

Accepted Answer

A)   nothing.
B)   the reasonable value of the goods.
C)   the sales price of the goods.
D)   the ultimate worth of the goods.

Question 10

When a statute protects a certain class of people, a member of that class cannot enforce an illegal contract.

Accepted Answer

A) True 
 B)False

Question 11

Doug agrees with Elinor to sell methamphetamine to patrons of Elinor's nightclub Garden of Eden for 25 percent of the take. Doug sells the drugs but keeps all of the money. Elinor can

Accepted Answer

A)   recover her share of the money only if she did not aid in the crime.
B)   not enforce the deal.
C)   recover the total amount of the sales.
D)   recover her costs but none of the illegal profit.

Question 12

Fact Pattern 11-1 
Bay City Mall requires its tenants to sign a lease that includes a clause releasing Metro from liability in the event of monetary or physical injury no matter who is at fault. Coco's Chocolate Creations signs a lease with Bay City that contains the clause.
-Refer to Fact pattern 11-1. The clause is most likely

Accepted Answer

A)   enforceable as a matter of public policy.
B)   enforceable if either party is considered to be a business for essential services.
C)   enforceable if the lease also involves residential property.
D)   unenforceable.

Exam 11: Capacity and Legality

Jolie signs a contract with Keaton, an unlicensed physician, to perform a medical procedure. This contract is enforceable by

Correct Answer
verified

A person who enters into a contract when he or she is intoxicated can void the contract under any circumstances.

Correct Answer
verified

Eli, a minor, buys an automobile insurance policy from Faithful Insurance Company and pays a $1,000 pre?mi?um. If Eli can disaffirm the contract, he can most likely recover

Correct Answer
verified

Lucy, a minor, disaffirms a contract for necessaries without returning the goods. To Manny's Food Mart, the seller, Lucy is required to pay

Correct Answer
verified

Doug agrees with Elinor to sell methamphetamine to patrons of Elinor's nightclub Garden of Eden for 25 percent of the take. Doug sells the drugs but keeps all of the money. Elinor can

Correct Answer
verified

Jake and John make an illegal contract that unjustly enriches Jake at the expense of John. A court will

Correct Answer
verified

Odina signs a covenant not to compete with her employer, Penultimate Sales Corporation. A court decides that the covenant is overly restrictive. The court will likely

Correct Answer
verified

Correct Answer
verified

When a statute protects a certain class of people, a member of that class cannot enforce an illegal contract.

Correct Answer
verified

Vijay enters into a contract to sell his laptop to Winnie. Winnie takes possession of the laptop as a minor and continues to use it well after reaching the age of majority. Winnie has

Correct Answer
verified

Correct Answer
verified

Brasilia, a real estate broker licensed only in Connecticut, con?cludes a land sale in Delaware. She can

Correct Answer
verified

Exam 11: Capacity and Legality

Jolie signs a contract with Keaton, an unlicensed physician, to perform a medical procedure. This contract is enforceable by

Correct AnswerverifiedShow Answer

A person who enters into a contract when he or she is intoxicated can void the contract under any circumstances.

Correct AnswerverifiedShow Answer

Eli, a minor, buys an automobile insurance policy from Faithful Insurance Company and pays a $1,000 pre?mi?um. If Eli can disaffirm the contract, he can most likely recover

Correct AnswerverifiedShow Answer

Lucy, a minor, disaffirms a contract for necessaries without returning the goods. To Manny's Food Mart, the seller, Lucy is required to pay

Correct AnswerverifiedShow Answer

Doug agrees with Elinor to sell methamphetamine to patrons of Elinor's nightclub Garden of Eden for 25 percent of the take. Doug sells the drugs but keeps all of the money. Elinor can

Correct AnswerverifiedShow Answer

Jake and John make an illegal contract that unjustly enriches Jake at the expense of John. A court will

Correct AnswerverifiedShow Answer

Odina signs a covenant not to compete with her employer, Penultimate Sales Corporation. A court decides that the covenant is overly restrictive. The court will likely

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

When a statute protects a certain class of people, a member of that class cannot enforce an illegal contract.

Correct AnswerverifiedShow Answer

Vijay enters into a contract to sell his laptop to Winnie. Winnie takes possession of the laptop as a minor and continues to use it well after reaching the age of majority. Winnie has

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Brasilia, a real estate broker licensed only in Connecticut, con?cludes a land sale in Delaware. She can

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
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Correct Answer
verified

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Correct Answer
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