Question 1

The Uniform Electronic Transactions Act seems to create what?

Accepted Answer

A)   An electronic version of the mailbox rule.
B)   An exception to option contracts made by email.
C)   An electronic way to accept a contract.
D)   An exception that allows courts to forgo the mailbox rule.
E)   An exception that allows for unilateral contracts to be binding as soon as the offer is made.F) C) and D)
G) A) and C)

Question 2

An invitation to negotiate is an offer because it expresses a willingness to be bound by acceptance.

Accepted Answer

A) True 
 B)False

Question 3

[Saturday Auction] Randy, an auctioneer, held an auction on a Saturday morning. At the beginning of the auction, Randy announced that the auction was being held without reserve. Erin, Maria, and Steve were all in attendance. Erin saw an old cash register with a stuck drawer that she thought would look great in her den. The auctioneer put the cash register up for sale noting that the drawer was stuck but that it could probably be fixed with little effort. Erin bought it for $20. When she got it home, she discovered that it actually contained $5,000 in cash. Unfortunately, Erin had a teenage son who started bragging to his friends about the family's good fortune. Randy heard about what had happened and sued Erin for return of the $5,000. At the same auction, Maria saw a great deal on a used table, and bid $20 on it. No one else bid anything. Randy announced that $20 was clearly insufficient for the table, that it was worth much more than that, and that he was taking it out of the auction. Steve started bidding on a diamond ring for his girlfriend. He bid $2,000. Just as Randy was getting ready to say "Sold," Steve looked over at his girlfriend, decided that he was not sure about marriage, and jumped up yelling "I revoke." Randy, however, immediately after, yelled "Sold." Randy sues Steve attempting to obtain the money for the engagement ring. Randy also sues Erin seeking to recover the $5,000 contained in the stuck drawer. Maria sues Randy attempting to obtain possession of the table.
-What is the likely result in the lawsuit Randy brought against Steve?

Accepted Answer

A)   Steve will win because he properly revoked his bid before it was accepted.
B)   Steve will win because bids made at an auction may be revoked at any time within ten days after the auction.
C)   Steve will win because bids made at an auction may be revoked at any time within five days after the auction.
D)   Steve will win because bids made at an auction may be revoked at any time within one day after the auction.
E)   Randy will win because Steve had no right to revoke the bid.F) None of the above
G) A) and D)

Question 4

Under the common law, the basic requirements for a valid acceptance parallel those of a valid offer.

Accepted Answer

A) True 
 B)False

Question 5

Bailey is selling his baseball cards. He writes his friend Molly a letter and tells her she can buy the cards for $100. He closes his later saying: "If you want to buy the cards, let me know by next month. You can give me a call or whatever." Two days later, Bailey receives a letter from Molly saying she will buy the cards for $100. Does Bailey have to sell Molly the cards?

Accepted Answer

A)   No, because there was no definite offer.
B)   No, because there was no definite acceptance.
C)   No, because Molly did not call Bailey via phone to accept his offer.
D)   Yes, but only if Molly goes to pick up the cards and takes him the $100 within two days of the time her letter is received.
E)   Yes, because Molly's letter accepting Bailey's offer was received, and Bailey only suggested that Mary call to accept; he did not require it.F) A) and B)
G) A) and C)

Question 6

Generally, how do the Japanese tend to view contracts?

Accepted Answer

A)   The Japanese see relationships only as business deals and keep each other at arm's length.
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 want long and very detailed contracts.
D)   The Japanese have no flexibility in their contracts.
E)   The Japanese do not desire that any terms be left to be decided later.F) C) and E)
G) A) and B)

Question 7

[Saturday Auction] Randy, an auctioneer, held an auction on a Saturday morning. At the beginning of the auction, Randy announced that the auction was being held without reserve. Erin, Maria, and Steve were all in attendance. Erin saw an old cash register with a stuck drawer that she thought would look great in her den. The auctioneer put the cash register up for sale noting that the drawer was stuck but that it could probably be fixed with little effort. Erin bought it for $20. When she got it home, she discovered that it actually contained $5,000 in cash. Unfortunately, Erin had a teenage son who started bragging to his friends about the family's good fortune. Randy heard about what had happened and sued Erin for return of the $5,000. At the same auction, Maria saw a great deal on a used table, and bid $20 on it. No one else bid anything. Randy announced that $20 was clearly insufficient for the table, that it was worth much more than that, and that he was taking it out of the auction. Steve started bidding on a diamond ring for his girlfriend. He bid $2,000. Just as Randy was getting ready to say "Sold," Steve looked over at his girlfriend, decided that he was not sure about marriage, and jumped up yelling "I revoke." Randy, however, immediately after, yelled "Sold." Randy sues Steve attempting to obtain the money for the engagement ring. Randy also sues Erin seeking to recover the $5,000 contained in the stuck drawer. Maria sues Randy attempting to obtain possession of the table.
-What is the likely result in the lawsuit brought by Maria against Randy for the table?

Accepted Answer

A)   Randy will win because Maria was simply making an offer that he was free to decline.
B)   Randy will win because the price was clearly insufficient for the table.
C)   Randy will win because no acceptance occurred.
D)   Maria will win because the auction was without reserve, and Randy had agreed to accept the highest bid.
E)   Randy will win because he did not inform attendees in writing that the auction was without reserve.F) None of the above
G) A) and C)

Question 8

Under the mailbox rule, a valid contract is formed if a rejection is dispatched, but before the rejection is received, the acceptance has already been mailed (sent) to the offeror.

Accepted Answer

A) True 
 B)False

Question 9

Mary accepts Joe's offer to buy 100 comic books. She sends her acceptance via fax. Mary and Joe live in a jurisdiction that applies the majority rule. When does her fax become effective?

Accepted Answer

A)   Faxes are effective upon receipt.
B)   Faxes are effective upon dispatch.
C)   Faxes are effective as determined by the mailbox rule.
D)   Faxes are not a valid form of acceptance.
E)   Faxes are effective only if the contract expressly states they are effective upon receipt.F) A) and B)
G) B) and D)

Exam 14: Agreement

Correct Answer
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Correct Answer
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An invitation to negotiate is an offer because it expresses a willingness to be bound by acceptance.

Correct Answer
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Under the mailbox rule, a valid contract is formed if a rejection is dispatched, but before the rejection is received, the acceptance has already been mailed (sent) to the offeror.

Correct Answer
verified

Generally, how do the Japanese tend to view contracts?

Correct Answer
verified

Correct Answer
verified

Under the common law, the basic requirements for a valid acceptance parallel those of a valid offer.

Correct Answer
verified

The Uniform Electronic Transactions Act seems to create what?

Correct Answer
verified

Mary accepts Joe's offer to buy 100 comic books. She sends her acceptance via fax. Mary and Joe live in a jurisdiction that applies the majority rule. When does her fax become effective?

Correct Answer
verified

Exam 14: Agreement

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

An invitation to negotiate is an offer because it expresses a willingness to be bound by acceptance.

Correct AnswerverifiedShow Answer

Under the mailbox rule, a valid contract is formed if a rejection is dispatched, but before the rejection is received, the acceptance has already been mailed (sent) to the offeror.

Correct AnswerverifiedShow Answer

Generally, how do the Japanese tend to view contracts?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Under the common law, the basic requirements for a valid acceptance parallel those of a valid offer.

Correct AnswerverifiedShow Answer

The Uniform Electronic Transactions Act seems to create what?

Correct AnswerverifiedShow Answer

Mary accepts Joe's offer to buy 100 comic books. She sends her acceptance via fax. Mary and Joe live in a jurisdiction that applies the majority rule. When does her fax become effective?

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
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