Question

44. Agreements under the “Statute of Frauds” must: a. be in writing b. be for under $100.00 c. be on legal paper d. be notarized e. all of the above f. a and d only

45. An “illegal agreement” is one that will not be enforced because it violates: a. mirror reflection rule b. statutory law c. mutual rescission d. discord and satisfaction e. all of the above

46. The “parole evidence rule” related to contracts may refer to: a. evidence needed to get people out of jail b. oral agreements made before the final written agreement c. written sentencing guidelines made by a Judge d. all of the above e. none of the above

47. If a business violates a “revenue” producing licensing statute, by not paying a required annual fee to the government, that business can: a. never have a contract which a court will enforce b. never enter into a contract c. be charged with negligence d. only make a verbal contract e. none of the above

48. A “novation” in contract law means that: a. a debt is completely erased b. agreed upon settlement of a debt c. the case is completely dropped as to any party d. none of the above

49. A valid basis for “terminating” of a contract may be: a. duress b. fraud c. not reading the contract d. not negotiating the contract e. all of the above f. a and b only

50. “Promissory estoppel” is: a. when a person includes in a written contract a binding term b. when a person takes steps in furtherance of a contract c. a legal theory to enforce the parole adhesion rule d. all of the above e. b and c only

51. Circulars, catalogs and newspaper advertisement are: a. considered an offer b. considered an invitation to bid or bargain c. contracts with reserve d. all of the above e. none of the above

52. In a contract situation the common law requirement to agree to the exact language is referred to as: a. mirror consent rule b. acceptance rule c. unilateral agreement rule d. mailbox rule e. none of the above

53. Which contract(s) is/are required to be in writing under the Statute of Frauds? a. proposal asking someone to marry b. contract for sale of any goods by merchant c. an easement on real property d. an agreement to lend any amount of money to a friend e. all of the above f. a and d only

54. The right to “assign” a contract can be prohibited in many ways, including: a. forbidden by law b. rights that are personal in nature c. a prohibition in the contract d. all of the above e. a and c only

55. “Accord and Satisfaction” refers, in part, to a: a. writing under the Parole Fraud Rule b. writing involving an Anticipatory Novation c. an agreed upon change in the amount of an original contract d. all of the above e. a and c

56. An “expressed contract” is one which a. mostly involves an illegal activity b. has not been fulfilled by both parties c. has not been performed by one party d. b and c only e. a- b- and c f. none of the above

57. A “default judgment” is best described as: a. when one gets a good bargain for something b. the inducement for one side to act c. the material item that each side is trading d. a theory for enforcing an agreement e. none of the above

58. An “Illusory Promise” is one that: a. is unenforceable at law b. a person promises to evade the law c. a person can cancel at any time d. a promise where a person has a legal duty to act e. all of the above f. a and c only

59. The Court generally considers a promise that is made for a past action as: a. a valid enforceable promise b. a promise that can not usually be enforced c. a liquidated contract d. enforceable if the party has made such promise to a friend e. all of the above f. a - b and c g. b- and d

60. “Fraud” in a contract situation may refer to a part of a contract that: a. has contract of adhesion clause b. contains a confessed procedural clause c. was made under duress d. none of the above

61. The major reason(s) for someone voiding a contract include: a. difficulty to perform b. non-compete clause c. minor image rule d. emancipation of parents e. a and c only f. none of the above

62. An “Exculpatory Clause” in a contract is: a. always illegal b. always unenforceable c. enforceable d. enforceable only in oral contracts e. b- and d only f. a- b – and c only

63. When a business purchases another business the sale may include: a. a “Statute of Evidence” provision b. a “Contract of Adhesion” provision c. an “Agreement Not to Compete” provision d. a “Parole Liability” provision e. all of the above

64. When a Court determines that an agreement is illegal it may: a. rescind the contract b. put the parties back to where they were before the contract c. modify the terms to make the illegal terms legal d. a and c only e. a-b- and c only

Answer 1

44. A and d only.

Statute of frauds requires some contract be in writing and notified to be enforceable.

45. B. Statutory law.

Illegal purpose is against the statutory law which invalidated this contract.

46. B. Oral agreements made before the final written contract.

Parole evidence rule prevents any changes to the final written contract even if there are some oral arrangements that were made before the final agreement was agreed to.

47. E. None of the above.

Failure to get revenue license renewed will result in fines.