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For the scenario, determine if the party is guilty and what is “at play” related to agreement between parties.
Tyson gets his employees to sign an employment agreement which has extra contract obligations hidden in small, almost invisible type.
o Guilty – Fraud in the execution
o Not Guilty
o Guilty – Undue influence
o Guilty – Duress
Read the scenario and determine what needs to take place based on the resolutions described in the text.
Penn contracts with Lisa to do a landscape architecture project on Lisa’s property. Before the contract starts, a local city ordinance is instituted which severely limits citizens’ ability to plant certain types and numbers of plants in order to conserve water. Penn and Lisa now need to institute a(n) __________.
o Force majeure renovation
o Novation
o Substitution
o Accord and satisfaction
Based on the details of the scenario, determine what will most likely occur.
Jillian and Chase are making a contract in which Jillian ships beaver pelts to Chase, who then makes the pelts into hats to sell. A year into their contract, it becomes illegal to buy or sell beaver pelts in the U.S.
o Contract will be modified
o Contract is valid
o Contract is voided, subject to investigation
o Contract is voided
Read the scenario and determine what needs to take place based on the resolutions described in the text.
Kyle has already contracted with Vick on a construction project. After some disagreement on materials, location, and deadlines, they decide that the original contract is no longer valid. Kyle and Vick now need a(n) __________.
o Novation
o Accord and satisfaction
o Substitution
o Force majeure renovation
Tanner has too much work to do to fulfill his contract obligations to Fin. He tells his employee Lil to take care of his duties instead. Determine the status of each person.
o Tanner: Delagatee; Lil: Delegator; Fin: Obligee
o Tanner: Obligee; Lil: Delagatee; Fin: Beneficiary
o Tanner: Beneficiary; Lil: Delagatee; Fin: Obligee
o Tanner: Delegator; Lil: Delagatee; Fin: Obligee
Based on the details of the scenario, determine what will most likely occur.
Stewie, aged 16, has a contract with his guardian to do chores as payment for his food and housing. Stewie decides the contract is unfair and stops doing his chores.
o Contract will be modified
o Contract is voided
o Contract is valid
o Contract is voided, subject to investigation
For the scenario, determine if the party is guilty and what is “at play” related to agreement between parties.
Lucy agrees over the phone with Daryl to sell him “the pretty necklace in the window” in Lucy’s pawn shop. Lucy sends Daryl the wrong necklace from a different window.
o Guilty – Fraud in the execution
o Guilty – Duress
o Guilty – Undue influence
o Not Guilty
For the scenario, determine if the party is guilty and what is “at play” related to agreement between parties.
Rusty is a landlord over the apartment Pierre lives in. Pierre is unable to make rent payments, so Rusty makes Pierre do renovation labor on the apartments every day for 6 hours as payment instead. He also makes Pierre sign a contract that he will not move until he catches up to his late payments.
o Not Guilty
o Guilty – Undue influence
o Guilty – Duress
o Guilty – Fraud in the execution
Match the status/existence of a contract with the scenario.
Larry posts on the internet that he is offering in-home interior design consultations and that interested customers should schedule an appointment and pay a consultation fee on his website. Brenda sends in a letter with a payment and a scheduled time for Larry to go to her house for a consultation. Which of the following is most likely true?
o Contract created
o Contract not created
o Insufficient information to determine
Which of the following would not qualify as valid consideration?
o Laura buys $100 worth of clothes from Martha on credit.
o Bill rents an apartment from his landlord.
o Spencer and Linda sign a contract where Linda buys all her lumber from Spencer and Spencer sells as much lumber to Linda each week as he wants.
o Marcy pays Jim a dollar for every bag of tin cans he picks up for recycling.
Based on the details of the scenario, determine what will most likely occur.
Melinda has a contract to pay 13% interest on a personal loan for 5 years. She decides the rate is unfair and files a complaint in court.
o Contract is voided
o Contract is voided, subject to investigation
o Contract will be modified
o Contract is valid
Read the scenario and determine what needs to take place based on the resolutions described in the text.
Sue has contracted with Rick to do a landscaping project on her property when she sells the whole property to Sylvia. Sylvia decides she will continue to have Rick do the landscaping project. The parties now need a(n) __________.
o Novation
o Force majeure renovation
o Substitution
o Accord and satisfaction
Demonstrate your knowledge of the different types of remedy for breached contracts by filling in the blank.
When a breach of contract results in no tangible harm to a non-breaching party, it can receive __________ damages from the breaching party.
o Punitive
o Compensatory
o Consequential
o Nominal
What is the most likely status of the contract for the scenario?
Jena is contracting with Brigham to purchase his car. Before the sale, a tree falls on Brigham’s car, ruining it. The contract is most likely:
o Void
o Enforceable
o Voidable
For the scenario, determine if the party is guilty and what is “at play” related to agreement between parties.
Joy threatens Winston at knifepoint to sign a prenuptial agreement until he complies.
o Guilty – Fraud in the execution
o Not Guilty
o Guilty – Undue influence
o Guilty – Undue influence
Based on the scenario, what is the classification of the tenancy?
Lionel had a rental agreement with Kris for Kris to lease storefront space for 5 years. 5 years has passed, but Kris still uses the space and pays Lionel rent. Kris’s tenancy is best classified as:
o Periodic tenancy
o Tenancy at sufferance(Incorrect)
o Tenancy for years
o Tenancy at will
Which of the following shows the correct answer for examples of arbitrary trademarks?
o Target, a retail store: Non-Example; Band-aid, a bandage manufacture: Example
o Target, a retail store: Non-Example; Band-aid, a bandage manufacture: Non-Example
o Target, a retail store: Example; Band-aid, a bandage manufacture: Example
o Target, a retail store: Example; Band-aid, a bandage manufacture: Non-Example
Determine the ownership status for the scenario below.
Phyllis offers property to a university on condition that the space is used for recreational use only. Ten years later, the university builds a math lab on the property. Phyllis does not repossess the property. Ownership of the property up to this point has been:
o Fee simple subject to a condition subsequent
o Fee simple absolute
o Fee simple determinable
o Indeterminable with the given information
Does the following pass the “test” of utility?
A prototype for a drone that can dig soil.
o Does not pass test
o Passes test
Examine the scenarios to determine the protected status, unprotected status, existence, or non-existence of a trade secret.
Lenny, an Italian chef, has his son Giovanni plant a camera in the kitchen of competitor in order to learn the competitor’s secret recipe.
o Trade secret is protected
o Answer dependent on additional details not provided
o Trade secret may be used by others
o Trade secret exists
o Trade secret does not exist (Incorrect)
Examine the scenarios to determine the protected status, unprotected status, existence, or non-existence of a trade secret.
Orlando works for a manufacturing company in its research and development division. After years of research and testing, Orlando finally discovers the secret to a competitor’s efficient manufacturing process.
o Trade secret does not exist
o Answer dependent on additional details not provided
o Trade secret is protected
o Trade secret exists
o Trade secret may be used by others
Does the following pass the “test” of novelty?
A design for a plate that turns into a bowl.
o Does not pass test
o Passes test
Which of the following would most likely be considered fair use?
o Making photocopies of an artist’s canvas and selling them
o Copying the blueprints for a stylish building to be used for building your own replica.
o Copying a poem by an amateur poet and publishing it as your own in a poetry contest.
o Showing a clip of a new movie to draw audiences to come watch the movie in theatres
Does the following pass the “test” of novelty?
A design for a chair that folds.
o Passes test
o Does not pass test
Does the following pass the “test” of non-obviousness?
A machine that folds shirty perfectly.
o Does not pass test
o Passes test
Examine the scenarios to determine the protected status, unprotected status, existence, or non-existence of a trade secret.
Jake’s company uses a unique ergonomics and organization system to help employees work more efficiently. The company wants Jake to sign a non-disclosure agreement not to expose the system.
o Answer dependent on additional details not provided
o Trade secret is protected
o Trade secret exists
o Trade secret may be used by others
o Trade secret does not exist
Determine the ownership status for the scenario below.
Victoria has been paying a mortgage on her property for the past 30 years. When Victoria pays the last payment on her mortgage, her ownership interest in the property will be:
o Fee simple absolute
o Fee simple subject to a condition subsequent
o Indeterminable with the given information
o Fee simple determinable
Which of the following shows the correct answer for examples of suggestive trademarks?
o Hot Wheels, a brand of toy cars: Example; Lenovo, a computer manufacturer: Example
o Hot Wheels, a brand of toy cars: Non-Example; Lenovo, a computer manufacturer: Example
o Hot Wheels, a brand of toy cars: Non-Example; Lenovo, a computer manufacturer: Non-Example
o Hot Wheels, a brand of toy cars: Example; Lenovo, a computer manufacturer: Non-Example
Based on the scenario, what is the classification of the tenancy?
Darla moves into one of Bret’s spare rental units while Bret is away on vacation. Bret doesn’t even notice Darla’s presence until several months later. Darla’s tenancy is best classified as:
o Tenancy at will
o Tenancy at sufferance
o Periodic tenancy
o Tenancy for years
Determine the type of property involved for each example.
Cecil leaves his jacket on a bench in the park. He never goes back to look for it. The jacket is:
o Mislaid Property
o Abandoned Property
o Gift or Inheritance
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