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The law in the United States has been influenced by English, but not by French

or Spanish law.

a True

b False


Facilitating orderly change and maintaining the status quo are functions of the law.    

  1.  True
  2.  False


The proponents of feminist legal theory argue that women should have superior rights to men in some circumstances due to the past unequal treatment of women.    

  1.  True
  2.  False


According to the text, what is the definition of "law"?

  1. The list of actions a person must not perform
  2. A body of rules of action or conduct prescribed by controlling authority
  3. The acts a person must perform in order to assure fairness
  4. Optional rules for members of society to follow or ignore as they see fit



Persons who believe that law is "discovered" by men and women through the use of reasoning and choosing between good and evil, adhere to which school of jurisprudential thought?

  1. The Natural School
  2. The Historical School
  3. The Analytical School
  4. The Command School



What is an "equitable remedy"?

  1. A remedy fashioned by the chancery court to fit a particular situation
  2. A remedy granted by the merchant court
  3. A remedy that cannot be modified from its rigid prescribed form
  4. A remedy that must to be approved by the law court



After the American Revolution, the Continental Congress formed a federal government and adopted the U.S. Constitution.

  1.  True
  2.  False


A state can regulate in areas affecting interstate commerce where the federal government has chosen not to regulate if the state law does not place an undue burden on interstate commerce.

  1.  True
  2.  False



Substantive due process generally addresses the issue of whether or not a law is reasonably clear and not overly broad in scope.

  1.  True
  2.  False



Since declaring independence, the current U.S. Constitution is the _______ document to set out the general operations of the

  1. government.
  2. First
  3. Second
  4. Third
  5. Fourth



Under the Supremacy Clause of the U.S. Constitution, when Congress chooses to regulate in an area:

  1. It will automatically have exclusive jurisdiction to regulate in that area.
  2. States will always remain able to freely regulate in that area.
  3. States will always be able to regulate in that area so long as the state law does not directly and substantially conflict with the federal law.
  4. Whether the state has any authority to regulate in the area will depend on whether Congress provides that the federal government has exclusive authority to regulate in that area.



The Privileges and Immunities Clause provides that:

  1. It is a privilege to be granted immunity from a criminal prosecution.
  2. States must not unduly discriminate in favor of their citizens.
  3. Corporations receive most of the same constitutional protections as individuals.
  4. The government is not subject to being sued unless the constitutional matter is a right rather than a privilege.


The reasonable person standard is used in determining the duty of care in a negligence case.

  1.  True
  2.  False


Guest statutes apply to persons in someone's home with the permission of the homeowner.

  1.  True
  2.  False


Some states allow a licensed professional to bring an action to prevent an unlicensed person from  practicing in that profession.

  1.  True
  2.  False


Which of the following is not one of the general categories of torts?

  1. Strict liability
  2. Rational
  3. Negligence
  4. Intentional



How does the tort of conversion of personal property differ from trespass to personal property?

  1. In conversion, the true owner is denied use and enjoyment of the property.
  2. In conversion, the true owner can recover damages for the denial of use of the property.
  3. In conversion, the tortfeasor treats the property as if it is her own.
  4. In conversion, the plaintiff is entitled to recover punitive damages.


The tort of palming off involves:

  1. Knowingly selling goods that are defective.
  2. Blaming another for one's own actions and communicating that blame to at least one other person.
  3. Making false statements about the goods of another.
  4. Representing one's own goods to be those of a competitor.


Businesses organized in the United States are subject to the laws of other countries in which they operate.

  1.  True
  2.  False



Under ethical fundamentalism, persons look internally and decide for themselves whether a course of action is appropriate.

  1.  True
  2.  False



Under the maximizing profits theory of the social responsibility of business, it is improper for a business to undertake charitable acts for the benefit of society if doing so reduces profits.

  1.  True
  2.  False


Which of the following statements is true regarding the relationship of law and ethics?

  1. The legal requirement will almost always be the same as the ethical requirement because the law is based on the ethical standards.
  2. In some cases ethics will require a higher standard of conduct than the law, but never vice versa.
  3. In some cases the law will require a higher standard of conduct than ethics, but never vice versa.
  4. Depending on the circumstances, the law can require a higher, lower, or the same standard of conduct as ethics demands.



Which of the following is a criticism of ethical relativism?

  1. Moral and ethical rules are too rigid and fixed over time.
  2. Some persons would take actions, which they believe to be moral, but which most persons in society believe to be immoral.
  3. Decisions require the measurement of qualities, which are not subject to precise measurements.
  4. Decisions are not allowed to take into account a particular person's station or place in society.


The theory of business social responsibility that holds that a business owes duties solely to produce the highest return for its shareholders is:

  1. The moral minimum theory.
  2. The maximizing profits theory.
  3. The stakeholder interest theory.
  4. The corporate citizenship theory.


An implied-in-fact contract is one based on the conduct of the parties.

  1.  True
  2.  False


A rejection of an offer is generally not effective until it is received by the offeror.

  1.  True
  2.  False



A promise to not inflict bodily harm on another is supported by consideration.

  1.  True
  2.  False


Which of the following is true?

  1. Contracts can be classified as either voluntary or involuntary.
  2. All contracts are legally enforceable.
  3. The terms of a valid contract become private law between the parties.
  4. Contract promises are generally not enforced by the courts.


The original source of the Uniform Commercial Code was:

  1. The U.S. Constitution.
  2. Congress.
  3. The state legislature of Delaware.
  4. The National Conference of Commissioners on Uniform State Laws.


All of the following agreements lack consideration except:

  1. A contract supported by a promise to refrain from doing an illegal act.
  2. A promise made out of a sense of moral obligation.
  3. A promise by an adult not to smoke in exchange for a payment of money.
  4. A promise that is based on a prior act or performance. 


Generally, a minor must place the adult in status quo in order to disaffirm a contract.

  1.  True
  2.  False



Contracts that have an illegal object are voidable.

  1.  True
  2.  False


A statement of opinion may form the basis for fraud. 

  1.  True
  2.  False


Which of the following statements is true?

  1. Restitution is placing the other party back in the position it was in prior to the contract.
  2. Restoration is what a minor is entitled to receive upon disaffirming a contract.
  3. Revocation refers to a party returning the consideration received in a contract.
  4. Rejection can occur only as part of a counteroffer.


Where a contract calls for action that violates a statute, in a breach of contract case the court will:

  1. Impose the appropriate criminal penalty.
  2. Ignore the contract and leave the parties where they are.
  3. Order both parties to return any consideration received.
  4. Order payment so that the parties to the illegal contract share any losses equally.


The primary significance of requiring only the signature of the party "against whom enforcement is sought" under the Statute of Frauds is that:

  1. The court will check to see that the signatures of both parties are present.
  2. The contract need not be signed by the party seeking to enforce the contract.
  3. Parties can be penalized for failing to sign a written contract.
  4. A party's signature must be present in order to introduce evidence from outside the four corners of the contract.


In a contract, a party can be both an obligor and an obligee.

  1.  True
  2.  False



When there is substantial performance of a contract with a minor breach, the other nonbreaching party may sue to recover the cost to repair the defect.

  1.  True
  2.  False


Intentional interference with contractual relations requires a showing of bad faith before liability can be imposed.

  1.  True
  2.  False


The transfer of rights under a contract to a third party is called:

  1. An assignment.
  2. An adjudication.
  3. A resolution.
  4. A delegation to an obligee.


An employment contract contains a clause stipulating that the employer can terminate the contract if the employer fails a drug test.  This clause is an example of a:

  1. Covenant.
  2. Condition precedent.
  3. Condition subsequent.
  4. Concurrent condition.


When a client breaches a contract with a construction contractor before construction begins, what is the contractor generally able to recover?

  1. The amount of the contract price
  2. Only the out-of-pocket costs incurred by the contractor up to the time of the breach
  3. The amount necessary to provide the same profit to the contractor that the contractor would have earned if the contract were fully performed
  4. Three times the contract price as punitive damages


A sale is the passage of title from the seller to the buyer for a price.

  1.  True
  2.  False



In a lease transaction, title to the leased goods remains with either the lessor or a third party.

  1.  True
  2.  False



With letters of credit in international transactions, a bill of lading is issued by the common carrier.

  1.  True
  2.  False



A general purpose of the UCC is to:

  1. Protect the merchant who deals in goods.
  2. Protect the consumer.
  3. Standardize commercial law and facilitate commercial transactions.
  4. Protect parties from entering into unconscionable contracts.


Identification of goods is significant because:

  1. It allows the contract to be a destination contract.
  2. It is the earliest that risk of loss can pass.
  3. It determines when a document of title is needed.
  4. It determines when the implied warranties become effective.


In a noncarrier case for the sale of goods, which of the following is most important in determining when risk of loss passes?

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