QUESTION $1$

A valid Contract

a$.$

contains all required elements of a contract

b$.$

is missing $1$ or more of he required elements

c$.$

must be in writing

d$.$

may be disaffirmed by any party

$2$ points

QUESTION $2$

Corey, in a desperate need to get to the airport, decides to accept his neighbor's, Tanner, help. Tanner agrees to help and drives Croey to the airport. Upon arrival at the airport, Corey promises to pay Tanner $$25$ for the gas fill. Corey's promise falls under which of the following contracts?

a$.$

illegal consideration

b$.$

illusory promise

c$.$

preexisting duty

d$.$

past consideration

$2$ points

QUESTION $3$

The fair use doctrine for copyrights allows certain limited unauthorized use of the copyrighted materials.

True

False

$2$ points

QUESTION $4$

After the copyright period runs out, the work enters the public domain

True

False

$2$ points

QUESTION $5$

A promissory estoppel is usually used to provide a remedy to a party who has relied on another partiy's promise.

True

False

$2$ points

QUESTION $6$

A major characteristic of a corporation is that it has perpetual existence $($It may last forever$).$

True

False

$2$ points

QUESTION $7$

A contract is a$($n$)\_\_\_\_\_\_\_\_\_$if the offeror's promise is answered with the offeree's promise of acceptance.

a$.$

unilateral contract

b$.$

bilateral contract

c$.$

executed contract

d$.$

executory contract

$2$ points

QUESTION $8$

John is a buyer for Sarah's Health Food Store. While his is in California buying tofu, he finds a solar car for sale for just $$3000.$ John contracts to buy the car for Sarah, who has been looking for a solar car for the past $3$ years. Sarah instructs the seller of he car to ship it$.$ Under these circumstances:

a$.$

Sarah has ratified the contract

b$.$

Sarah is not liable on the contract

c$.$

John is liable on the conract

d$.$

none of the above

$2$ points

QUESTION $9$

For a gift promise to be enforceable, the promisee must offer a consideration.

True

False

$2$ points

QUESTION $10$

Federalism is a system of government under which entities such as states share power with a national government

True

False

$2$ points

QUESTION $11$

To avoid being bound by the acts of the agent after the agency has ended, the principal should:

a$.$

Give actual notice to those who have dealt with the former agent

b$.$

Give constructive notice to persons who may have been aware of the agency but have never formally dealt with it

c$.$

neither a nor b

d$.$

Both a & b

$2$ points

QUESTION $12$

Forbearence of a legal right can be provided as consideration.

True

False

$2$ points

QUESTION $13$

John was driving his friend, Mary, back to her home in his new car. On the way to Mary's home, the car's brakes malfunctioned and they go into an accident. Which of the following is true in this situation?

a$.$

Mary can recover from a strict liability lawsuit against the manufacturer of John's car.

b$.$

Mary can file a strict liability lawsuit against John

c$.$

Mary can file a negligence lawsuit against the dealership that sold John the car.

d$.$

John can file a negligence lawsuit against the dealership from which he bought the car.

$2$ points

QUESTION $14$

Ratification releases the agent from liability to both the principal and the third person for having exceeded his authority.

True

False

$2$ points

QUESTION $15$

Martha contacts a bakery to get a cake for her son's birthday party. She tells the baker that she will pay him $$150$ for the cake if he delives the cake on Friday evening. If the baker does not deliver the cake on Friday evening, which of the following will be true

a$.$

Martha can sue the baker to recover $$150$ in damages

b$.$

Martha can sue the baker but not recover damages

c$.$

The baker has to give $$150$ plus the cost of the replacement cake to Martha as he entered into a verbal contract with her

d$.$

Martha cannot sue the baker

$2$ points

QUESTION $16$

An accord is enforceable even though no new consideration is given

True

False

$2$ points

QUESTION $17$

An agent must follow his principal's instructions regardless of whether the action is legal or not

True

False

$2$ points

QUESTION $18$

According to the doctrine of strict liability, whioch of the following parties is strictly liable for injuries caused by a defective product?

a$.$

Only the manufactdurer

b$.$

Only the parties directly involved in the sale of the product to the customer

c$.$

All parties providing services related to the product

d$.$

All parties in the chain of distribution

$2$ points

QUESTION $19$

Harry in a drunken state agrees to give his car to Ben as a token of friendship. Once sober, Harry asks Ben to return his car. This contract is considered $\_\_\_\_\_\_\_\_\_\_\_\_\_.$

a$.$