28. an exculpatory clause is a provision of contract that:

(a) requires extra protection by one party
(b) excludes an option contract
(c) disclaims liability
(d) is never upheld by the courts

29. exculpatory clauses in bailees’ contracts are usually held to be:

(a) illegal, if the court feels that they were not properly communicated to the bailor

(b) illegal – even if they are properly communicated to the bailor – if their terms purport to free the bailee from liability arising out of the bailee’s negligence

(c) legal, if properly communicated to the bailor (even if they purport to free the bailee from liability arising out of the bailee’s negligence)

(d) a and c

30. statutes involving usury:

(a) are illegal
(b) limit the amount of interest that may be charged on loans
(c) can only be federal statutes
(d) can only be state statutes

31. roger evans, a real estate broker licensed in kansas, thomas sell some land located in missouri. if roger is not a licensed broker in missouri, he:

(a) cannot collect a commission since he did not represent the buyer
(b) can collect a commission since he rendered a valuable service
(c) cannot collect a commission since the licensing law is violated
(d) can collect a commission since he is licensed in a state that borders with missouri

32. dandy, a consumer of fine clothes, promised to pay $1,400 to alfred who promised to make a business suit for dandy. if alfred has completed the suit but dandy has not picked it up or paid any money, which of the following is the most accurate description of this contract? it is a:

(a) unilateral, unenforceable, implied-in-fact contract
(b) unilateral, valid, quasi-contract
(c) bilateral, voidable, expressed executory contract
(d) bilateral, valid, expressed contract which is partially executed and partially executory

33. a contractual agreement may be expressed in writing, or it may be orally stated. in the alternative, an implied-in- fact contract:

(a) is created when the parties manifest their agreement by conduct rather than by words
(b) is basically the same thing as a contract implied-by-law
(c) is basically the same thing as a quasi-contract
(d) is basically the same thing as an invalid contract

34. actionable fraud can be defined as requiring all the following elements except for:

(a) knowledge of the misrepresentation of a material fact by the speaker
(b) accurate representation of a material fact
(c) justifiable reliance
(d) injury

35. if a person can prove that he was honestly mistaken as to the terms of a contract that he has made, even though it was not apparent to the other party, as a general rule he:

(a) can rescind the contract
(b) cannot rescind the contract
(c) can rescind the contract if he can show that the mistake was not the result of negligence on his part
(d) none of the above

36. which of the following best describes duress?

(a) application of physical force that causes another to make a contract he otherwise would not have made

(b) the inducing of fear in one person by another, through the latter’s use of force or threat to use force, inducing the former to make a contract he otherwise would not have made

(c) a threat to break an existing contract that causes the other party to do so

37. undue influence is generally considered to be:

(a) where one party nags the other party into entering a contract
(b) where one party dominates the other and the latter’s volition actually is destroyed
(c) one party threatens to bring shame on the latter party
(d) none of the above

38. the statute of frauds requires all of the following types
of contracts to be in writing except for contracts:

(a) to be liable for another person’s debts
(b) involving title to real property
(c) for the sale of goods priced at $500 or more
(d) that can possibly be performed within one year from the date it is made

39. a question arises as to whether a particular oral contract
falls within that provision of the statute of frauds requiring contracts to be in writing that “are not to be performed within one year from the making thereof”.

(a) under the terms of the contract, was it possible, under any circumstances, for the contract to have been fully performed within one year?

(b) did the parties, at the time of making the contract, apparently and reasonably intend that full performance would have occurred within one year?

(c) under the terms of the contract, was it possible, under any circumstances, that performance might have become illegal?

40. as a general rule, an oral contract that is required by the
statute of frauds to be in writing is:

(a) illegal
(b) unenforceable
(c) contrary to public policy
(d) voidable
(e) void

me : )