Final exam
1. On Tuesday, Jon supplied to promote his
CD assortment to Sandy for $100. Sandy replied, “I am . I will
suppose it over and allow you to know Thursday whether or not I need to purchase the CDs.” On
Wednesday, Jon agreed to promote the CDs to Jason, and Jason instantly gave Jon
a letter that said:
“Jon, I’ll purchase your CD
assortment for $100. As we agreed, I’ll pay you on Friday after I choose up the
CDs. Yours actually, Jason.”
Upon Jon’s receipt of this letter on
Wednesday, what greatest describes Jonâs contract settlement(s)?
a) By forming an settlement with Jason,
Jon breached his contract with Sandy as a result of he didn’t successfully revoke his
provide to Sandy.
b) Jon has shaped contracts with each
Jason and Sandy as a result of Jon didn’t successfully revoke his provide to Sandy and
created an enforceable written settlement with Jason.
c) Jon and Jason have shaped a legitimate,
enforceable contract; Jonâs provide to Sandy was correctly revoked.
d) Jon successfully revoked his provide to
Sandy, however has not shaped an enforceable contract with Jason as a result of Jason has
not but paid for the CD assortment.
2. Mac and Rhamad signed a business
contract with a clause that gives that if a dispute arises they have to submit
to binding arbitration to resolve the dispute. After they’d been doing
business collectively for a yr, a dispute arose beneath the phrases of the contract.
Quite than undergo arbitration, Mac filed a lawsuit towards Rhamad. Most
doubtless the courtroom will:
a) Hear the lawsuit as a result of Mac can’t be
compelled to undergo arbitration; he’s constitutionally entitled to a jury
trial if he requests a trial.
b) Conduct a listening to, then order a treatment
with out compelling Mac to undergo arbitration or to a jury trial.
c) Compel Mac to undergo arbitration to
resolve the dispute.
d) Hear the lawsuit in a trial, then
compel Mac to undergo arbitration, if Mac will not be glad with the trial
resolution.
three. Roxy, whereas driving by Wyoming
to her dwelling in Montana, unintentionally misplaced management of her automotive and drove it
by a window right into a retailer owned by Colt. Colt sued Roxy in a Wyoming courtroom
for damages to his retailer.
Will the Wyoming courtroom doubtless give you the chance
to train jurisdiction over Roxy?
a) No, as a result of Wyoming has no in personam(private) jurisdiction over
Roxy, and can’t train its lengthy arm statute solely in instances involving
vehicle accidents.
b) No, as a result of Wyoming has no in personamjurisdiction over Roxy, and
can not justify minimal contacts on this case.
c) Sure, Wyoming can train jurisdiction
on this case as a result of there’s a federal Question Assignment concerned as a result of variety
of citizenship between the events.
d) Sure, as a result of Wyoming can assert in personamjurisdiction over Roxy beneath
the minimal contacts check.
four. Assume a salesman deliberately
made one of many following statements – understanding that the assertion was false –
to a buyer contemplating a purchase order. Which assertion may create legal responsibility
for fraudulent misrepresentation if the client made the acquisition?
a) âFor my part, this automotive is in
flawless mechanical situation.â
b) âThis crane will most likely elevate about
10,000 kilos.â
c) âThis automotive is an actual gem.â
d) âThat is an authentic portray by the
artist, Pablo Picasso.â
5. Ram was strolling down the sidewalk
by a development challenge website in a downtown space. The challenge was owned and
operated by Fashionable Development, Inc. and was surrounded by orange plastic
fencing usually used for development tasks. Ram stopped to look at a metallic
beam being lifted by a crane on the development website. Because the beam swung
by the air, Ram thought it was going to fall and jumped ahead rapidly
off the sidewalk and into the development challenge property, falling into and
smashing the orange plastic fencing. As Ram landed inside the development
challenge, the beam fell close to Ram. The beam didn’t hit Ram however some rocks have been
thrown onto Ram because the beam fell, slicing his arm in order that it required 35
stitches.
If Ram sues Mannequin Development for
negligence, the doubtless outcome can be that Ram will:
a) Lose, as a result of he assumed the chance as a
trespasser on the development website and trespassers can by no means get well damages.
b) Lose, as a result of pedestrians are all the time
liable beneath contributory negligence in such instances involving trespassing.
c) Win, as a result of it’s all the time foreseeable
beam may fall on a rescuing pedestrian.
d) Win, if the beam fell due to Mannequin
Constructionâs negligence.
6. Kim carelessly parked her automotive on a
steep hill, leaving the automotive in impartial and failing to interact the parking brake.
The automotive rolled down the hill and knocked down an electrical line. The sparks from
the damaged line ignited a grass hearth that unfold to a barn a number of yards away.
The roof of the burning barn fell and broken a passing automotive owned by Ray. Can
Ray doubtless get well damages from Kim beneath odd negligence?
a) Sure, as a result of Kim was negligent in
parking the automotive.
b) Sure, as a result of Kim set in movement the
chain of occasions that resulted in injury to Rayâs automotive, although Kim didn’t
instantly hit the automotive.
c) No, due to the unforeseeable
intervening pressure doctrine.
d) No, no matter Kimâs negligence in
parking the automotive as her negligence was not the proximate explanation for the accident
and hurt that occurred to Ray.
7. Lee sued Don in negligence. Leeâs
losses complete $100,000. Beneath a contributory negligence system, if Lee is discovered
to be contributorily negligent for her personal accidents, what damages will Lee like
get well from Don?
a) None.
b) $100,000.
c) $100,000, much less the share of fault
(e.g., 20%, 60%, and many others.) for which Lee was accountable.
d) $100,000, much less the share of fault
for which Lee was accountable, as long as Lee was no more than 50% accountable
for the accidents.
eight. Ralph, a 16-year outdated minor, is
supervisor for the highschool soccer workforce. Ralph signed a contract to buy
alcoholic drinks from Liquormart, Inc. for the workforce social gathering. This contract is:
a) Void as a matter of law as a result of it’s
unlawful to promote alcohol to minors by state law.
b) Void provided that Ralph misrepresented his
age and instructed Liquormart he was an grownup.
c) Legitimate and enforceable, however Ralph has
the correct to disaffirm as a result of he’s a minor.
d) Legitimate and enforceable, if Liquormart
knew that Ralph was a minor.
9. Which of the next actions
may contain using a contract, and/or represent a gross sales contract?
a) Buying drugs from a
pharmacy.
b) Hiring a contractor to make dwelling
repairs.
c) Buying insurance coverage insurance policies from an
insurance coverage agent.
d) Promoting books to clients in a
bookstore.
e) The entire above.
10. Jim and Kiley are architects and
common companions of JK Designs. Jim and Kiley supervise Luc, an worker of JK
Designs. As companions, Jim and Kiley
a) Are personally chargeable for any/all
tort(s) dedicated by Luc.
b) Could also be chargeable for malpractice, however not
torts, dedicated by Luc whereas Luc is working inside the scope of his job at JK.
c) Could also be chargeable for torts dedicated by
Luc whereas Luc is working inside the scope of his job at JK.
d) Haven’t any legal responsibility for any torts
dedicated by Luc at any time.
11. Kisha operates River Valley
Soccer, an athletic gear store, as a sole proprietorship. Taxes on the
businessâs revenue are paid by
a) Nobody; since it’s a sole
proprietorship there aren’t any business taxes.
b) Kisha as the only real proprietor.
c) The state or federal authorities if
Kisha holds a Small Business Administration mortgage acquired to begin her
business.
d) The business entity of River Valley
Soccer, not Kisha personally.
12. Distinguish which of the next
is a bonus of restricted legal responsibility firms (LLCs) over companies.
a) Just one member of a LLC will need to have
limitless legal responsibility as in contrast with companies wherein all shareholders
have limitless legal responsibility.
b) LLCs may be shaped with none
particular steps being taken by the homeowners as in contrast with companies that
should file Articles of Incorporation with the State.
c) Usually, a LLC can select whether or not
to be taxed as a partnership or company, as in contrast with companies that
are topic to double company taxation.
d) LLCs can select whether or not to promote shares
publically to buyers, as in comparison with personal companies that should promote
shares publically to buyers.
13. Pete, who collects vintage automobiles,
employed Ann as his agent to search out and buy a 1965 Ford Mustang on his behalf.
Ann discovered a Mustang identical to Pete needed, however Ann fell in love with the automotive
and bought it for herself.
Which of the next illustrates
Annâs legal responsibility, if any, in her obligation as agent to Pete on this state of affairs?
a) Ann has not
violated the obligation of loyalty to Pete; she will be able to discover one other Mustang for him.
b) Ann has not
engaged in self-dealing as a result of she didn’t buy the Mustang with Peteâs
funds.
c) Ann usurped
a chance for Pete, however has not violated the obligation of loyalty to Pete by
competing with Peteâs pursuits.
d) Ann
violated the obligation of loyalty to Pete by competing with Peteâs pursuits, and
has usurped a chance for Pete.
Reply
questions 14-15 relating to the next situation:
Situation:
Jones, a resident of Arizona, booked reservations
for a trip at World Inns, Inc. in Cabo Mar, Mexico. World Inns is an
worldwide resort chain included in Delaware with motels in North and
South America; World Inns has no motels in Arizona however does promote and
ebook reservations for all its motels over the web, in any state. World
Inns has booked reservations prior to now with residents of Arizona.
Whereas a visitor within the resort in Cabo Mar,
Jones was strolling throughout the resort foyer, and slipped and fell on the moist
marble flooring that had been simply washed by the upkeep employees. The employees had
positioned a âmoist floorâ signal on the foyer flooring on the sitde wall of the
foyer.
Jones was taken to the closest Mexican
hospital the place surgical procedure was essential to put a pin in his damaged leg. Anxious
to return dwelling and see his common physician, Jones flew out of Mexico shortly
after the surgical procedure. He required two airplane seats and an ambulance to satisfy him at
numerous airports. His medical insurance wouldn’t cowl his hospital keep in
Mexico because it was positioned exterior the U.S. When again in Arizona, Jones was
unable to work for eight weeks and required one other surgical procedure to take away the pin. He
additionally required a number of weeks of bodily remedy.
14. Jones desires to sue World Inns,
Inc. for negligence for $450,000 to get well all his medical bills in Mexico
and the US; for $50,000 for the price of the airplane journey from Mexico to Arizona,
the two airplane seats and ambulance prices in numerous airports; $10,000 for eight weeks
of misplaced wages; and $50,000 for ache and struggling ensuing from the damage.
Can he sue in federal courtroom?
a) Sure, as a result of federal courtroom all the time has
jurisdiction over residents of various states.
b) No, as a result of federal courtroom doesn’t
have jurisdiction in instances that don’t contain federal legal guidelines.
c) Sure, as a result of the federal courtroom may
have jurisdiction over residents of various states and the lawsuit entails
damages better than $75,000.
d) No, as a result of the federal courtroom has no
jurisdiction over an accident that occurred in Mexico.
15. It could be simpler for Jones to
convey the lawsuit in Arizona state courtroom, however he wonders if the courtroom can get
World Inns to come back to Arizona. Can the Arizona state courtroom impose
jurisdiction over World Inns to convey the corporate to courtroom in Arizona?
a) No, as a result of the topic of the lawsuit
came about out of the country.
b) No, as a result of the company doesn’t
have ample minimal contacts with Arizona to permit the Arizona courtroom to make use of
the lengthy arm statute to determine jurisdiction in Arizona.
c) Sure, as a result of the Jones is a resident
of Arizona and he’s the plaintiff within the lawsuit.
d) Sure, as a result of World Inns has
ample minimal contact with the state of Arizona to justify the courtâs use
of the lengthy arm statute.
16. Dan went to
Physician to have an x-ray. Dan didn’t signal a written contract, and Dan and
Physician didn’t make an oral settlement relating to the x-ray. When Physician billed
Dan $500 for the x-ray, Dan refused to pay. Physician sued Dan to get well the
$500. Which of the next is true about Physician’s lawsuit?
a) Physician can get well beneath the
quasi-contract principle of promissory estoppel.
b) Physician can get well beneath an implied
contract principle.
c) Physician can not get well as a result of there
was no categorical contract.
d) Physician can not get well as a result of Dan did
not give consideration for the cut price.
17. Reg supplied
to promote his motorbike to Thelma for $eight,000. Thelma replied, “Your worth
is just too excessive. I’ll buy your motorbike for $7,000”. Reg agreed and
they dedicated their settlement to writing. This transaction may be
characterised as:
a) An enforceable contract as a result of Reg’s
acceptance of Thelma’s provide was a clearly communicated acceptance.
b) An enforceable contract as a result of
Thelma’s counteroffer was lower than Reg’s authentic provide
c) An unenforceable contract as a result of
Thelma’s provide was not the mirror picture of Reg’s authentic provide as is required
beneath widespread law contract guidelines.
d) An unenforceable contract until
both Reg or Thelma is a service provider, as outlined by the UCC, as a result of sale of
private property contracts are legitimate provided that one of many events to the
contract is a service provider.
18. A ordered
100 19-inch shade TV units from B, and requested immediate cargo of the products. B
promptly shipped to A 100 21-inch shade TV units. Previous to cargo, B didn’t
notify A that he was delivery nonconforming TVs as an lodging. Assuming
each A and B are retailers, beneath UCC guidelines, on this case:
a) There isn’t a legitimate acceptance by B;
delivery nonconforming items acts as a counteroffer, and thus, can not
represent an acceptance or create a legitimate, enforceable contract.
b) Though B shipped nonconforming TVs,
A is sure to pay the affordable worth of the 21-inch nonconforming TV units
as a result of B’s cargo constituted a legitimate acceptance, and a binding contract was
shaped on the time the products have been shipped.
c) Though B shipped nonconforming TVs,
if A accepts and later sells the 21-inch TVs, A has validly accepted the
nonconforming items and is sure to pay B affordable worth for the 21-inch TVs.
d) There isn’t a contract as a result of Bâs
acceptance (by delivery the products) will not be a mirror picture of Aâs provide.
19. Somebody who
recovers damages for breach of contract usually can get well:
a) Solely these compensatory damages/losses
that may be confirmed with affordable certainty.
b) For all penalties of the breach,
e.g., ache and struggling, whether or not or not the damages are foreseeable.
c) Just for foreseeable damages.
d) Punitive damages.
20. Leon, a financial institution
vice chairman, joined Health Heart, Inc. (FC). He signed a contract stating,
amongst different issues, an exculpatory clause that FCâ¦
âshall not be chargeable for any declare, demand,
explanation for motion of any variety in any way for, or on account of loss of life, private
damage, property injury or lack of any variety ensuing from or associated to
Memberâs use of services or participation in any sport, train or exercise
inside the membership premisesâ¦â
Leon sustained
head accidents when a treadmill on which he was strolling collapsed at FC. Leon
sued FC for his accidents. The courtroom most certainly will rule:
1.
In favor of Leon as a result of
the exculpatory clause is towards public coverage.
2.
In favor of Leon as a result of
the exculpatory clause is just too broad in scope.
three.
In favor of FC as a result of the
exculpatory clause will not be unconscionable beneath the circumstances.
four. In favor of FC as a result of it had a legitimate enforceable contract with Leon
as Leon knowingly signed the contract.
21. Grocery store
supplied to purchase 1000 containers of yogurt from Meals Co. The provide didn’t state a
particular supply date. 9 weeks later, Grocery store nonetheless had not heard from
Meals, nor had Meals shipped the products. At this level, Grocery store:
a) Can do nothing however wait to listen to an
acceptance or rejection from Meals earlier than Grocery store can revoke the provide.
b) Can assume that Meals doesn’t intend
to simply accept the contract and is free to purchase to yogurt from one other provider.
c) Should settle for the products after they
arrive, until Grocery store has relocated.
d) Should settle for the products after they arrive
until Meals has clearly rejected the provide.
22. Ed and Nora
signed a contract that included an announcement, âNo proof of oral negotiations
may be used to alter the phrases of this contractual writing.â Later Ed sued
Nora for a breach of contract. In courtroom, Nora testified that she didn’t breach
their settlement as a result of, after signing the written contract, she and Ed orally
agreed to alter the contract phrases. Noraâs testimony will:
a) Be admitted by the courtroom as proof
that Nora didn’t breach the contract.
b) Be admitted as a legitimate exception beneath
the Parol Proof Rule.
c) Be admitted if Nora is a minor as a result of
the Parol Proof Rule doesn’t apply to contracts with minors.
d) Not be admitted beneath the Parol
Proof Rule.
23. A metropolis
ordinance permits road distributors to function solely inside sure industrial
areas of town to stop harmful site visitors congestion. The road distributors
sued town claiming that the restrictions have been a violation of their equal
safety rights as different companies aren’t restricted to working solely in
sure industrial areas inside the metropolis.
How would you
classify the ordinance?
a). Constitutional; as a result of town has
a justifiable objective in enacting the ordinance, it doesn’t violate the equal
safety rights of road distributors.
b). Constitutional; as a result of road
distributors are personal companies, they don’t seem to be protected by the equal safety
clause of the 14thAmendment.
c). Unconstitutional; the ordinance
unduly discriminates towards road distributors as in comparison with different business
homeowners and thus, violates the vendorsâ equal safety rights.
d). Unconstitutional; privately owned
distributors, in contrast to public companies, have a constitutional proper to conduct
business in any industrial space of their selection.
24. Charlie
Buyer purchased an airline ticket on BartAir by Tina Journey Agent.
Establish the
authorized relationship of Charlie, BartAir and Tina relating to this transaction.
a).
Charlie is the principal; Tina is his agent representing him with
BartAir.
b).
BartAir is the principal; Tina is its agent within the sale of the airline
ticket to Charlie.
c).
Tina will not be the agent of BartAir or Charlie, however Tinaâs employer, the
journey company, is the agent for Charlie.
d).
Tina is the agent for each BartAir and Charlie.
25. What’s the
burden of proof in a civil trial?
a) Past an affordable doubt.
b) By a preponderance of the proof.
c) Past little doubt.
d) There isn’t a burden of proof.
Essay (10 essays;
every essay is price 5 factors):
1. Confer with the situation for A number of Selection
questions 14-15 above to reply the next essay Question Assignment #1 solely:
Jones sued World Inns, Inc. for
negligence to get well damages for his accidents ensuing from the autumn within the
Cabo Mar resort. Will Jones doubtless achieve success within the negligence lawsuit
towards World Inns? Clarify absolutely why or why not.
Dan, Fran and Stan need to set up a
bike gross sales and rental store. Dan and Fran can be actively concerned in managing
the business operations, and Stan is investing a lot of the cash. The three need to
use a type of business group that can give restricted legal responsibility to every of
them. Focus on what could be the very best sort of business group to restrict
their legal responsibility, and why?
2. Examine and
distinction the rights and potential liabilities for a service provider promoting items in
âAs Isâ situation with the rights and potential liabilities for promoting items
with an categorical guarantee stating, âThis product is high quality Grade Aâ.
three. Aaron plans
to open Aaronâs Pet Provides, a pet provides outlet, and plans to rent 2
part-time staff. Aaron will make investments solely his personal cash within the business. He
doesn’t count on to make any revenue for at the very least 2 years and to make little or no
revenue for the primary three years after the primary 2 years. He does count on to make a
revenue finally.
Which type of business group is
most acceptable and best for Aaron to make use of in opening his pet retailer â and
why?
four. There are
in depth federal rules governing airplanes and pilots. Assume that the
state of New York handed a statute containing quite a few necessities, some
conflicting with federal rules, overlaying operation of airplanes and
licensing of airplane pilots.
If the New York state statue is
challenged as being unconstitutional, what’s the doubtless outcome? Describe the
relevant law and rationale to your conclusion.
5. Ted was employed
by In Flite, Inc. to buy an airplane on its behalf. With out mentioning
that he was making the acquisition on behalf of the principal, In Flite, Ted
purchased a Cessna 310 from Sam. 2 weeks later, In Flite declared chapter and
can not now purchase the airplane.
Examine and distinction In Fliteâs legal responsibility
beneath the contract to buy the Cessna with Tedâs legal responsibility beneath the
contract to buy the Cessna.
6. Mountain View
Mall employed Nigel to behave as Santa Claus within the mall. After a troublesome work day,
Nigel stopped in a bar within the mall and drank 6 beers. Driving dwelling, nonetheless
carrying his Santa swimsuit, Nigel hit a Marty, a pedestrian and severely injured
her, when Marty darted between 2 parked automobiles in the course of a block and ran
in entrance of Nigelâs automotive.
Analyze and clarify all potential
liabilities of Mountain View Mall and Nigel for the pedestrianâs accidents.
7. For a number of
years, Agnes had been agent for Pepe for sustaining Pepeâs vintage piano
assortment, together with sale and buy of vintage pianos. Agnes just lately bought
one among Pepeâs pianos and saved among the cash for herself. Quickly thereafter,
Agnes declared chapter. At about the identical time, the State notified Agnes
that she had bought, inside the previous yr, the utmost allowable quantity she was
permitted to promote with out being required to acquire a dealerâs license. Two
weeks later, Pepe died.
Analyze and
describe the authorized impact of every of those occasions on the agency-principal
relationship:
1.
Agnesâs holding for herself the
proceeds from the sale of a piano;
2.
Agnesâs chapter;
three.
The state requirement that
Agnes acquire a dealerâs license;
four.
Pepeâs loss of life.
eight. Fifty CPAs
collectively need to type a brand new agency. They need to use a business group type
that can present every of the 50 homeowners of the brand new agency with restricted legal responsibility.
Analyze and
describe the business type(s) that can present the brand new homeowners with restricted
legal responsibility.
9. Situation:
Sam’s Magnificence College is a privately owned magnificence faculty that trains
cosmetologists to earn their cosmetology license to grow to be hair stylists and
colorists. Sam’s is open to the general public for all hair providers; college students carry out
hair providers for shoppers beneath the supervision of licensed cosmetologists that
work at Sam’s.
Jan went the
Sam’s to have her hair coloured darkish brown as she had finished many instances, though
this was Jan’s first time as a shopper at Sam’s. Tom, a pupil trainee at
Sam’s, coloured her hair. Jan’s hair turned inexperienced and fell out inside 24 hours.
Jan had by no means had any issues with hair shade beforehand.
Jan sued Sam’s
for negligence. Who wins and why?
10. Situation:
Following 2 years of analysis and an funding of considerable funding, Coastal
Firm (CC) developed a brand new product that can produce substantial earnings for
CC. CC realized competitor, Nationwide Gross sales and Advertising and marketing, Inc. (Nationwide)
made and started to promote an almost similar product to CC’s new product. CC
realized from a dependable supply that Nationwide paid a CC worker to acquire the
plans for CC’s new product when it was within the improvement states.
A. Beneath what authorized declare may CC sue
Nationwide, and why?
B. If CC does sue Nationwide beneath this
authorized declare, what’s the doubtless outcome and why?
