Question

Question 1

Marks: 1 Voidable contracts:

a. Are those in which one or more of the

parties have the legal right to cancel his or her obligations under the contract.

b. Include contracts that are induced by fraud or duress.

c. Only permit the injured party to cancel the contract if he or she chooses.

d. All of the above statements are correct.

Question 2

Marks: 1 Clarissa was a strawberry farmer. She contacted a fruit wholesaler by fax, with an offer to sell strawberries to the wholesaler. This offer gave the amount, price, and delivery terms. The offer also stated, "This offer shall remain open for 48 hours from the date and time of this fax." Four days after receiving the faxed offer, the fruit wholesaler contacted Clarissa stating, "Your offer accepted." Under these circumstances:

a. Clarissa made an offer which the fruit wholesaler accepted. They have a

contract.

b. Clarissa made an offer which expired through lapse of time. They do not

have a contract.

c. Both "a" and "b" are correct.

d. Neither "a" nor "b" is correct.

Question 3

Marks: 1 While performing their professional duties, doctors, lawyers, and accountants must generally exercise the knowledge, skill, and care of:

a. the average reasonable person.

b. those in the profession.

c. the basic person.

d. the common person.