Reference no: EM13183985

Question 1

Relaxo Chair Company contracts to deliver 100 chairs to Stuffy Furnishings Store on May 1 for which Stuffy agrees to pay. Relaxo tells Stuffy on April 15 that delivery will be delayed until June 1. Stuffy may
Answer
await performance, sue Relaxo, or suspend its own performance.
only await Relaxo's performance for a commercially reasonable time.
only sue Relaxo for breach of contract.
only suspend its own performance.

Question 2
Owen and Pablo enter into a contract for a sale of fifty Western saddles. Pablo pays, but Owen does not deliver. Pablo can normally recover as damages the difference between
Answer
any loss avoided and any profit gained.
the actual price and the hoped-for price.
the contract price and the market price.
the current prices in the parties' locations.

Question 3

Neil goes to Oil Shop to change the oil in his car. Pat, the service tech­ni­cian, learns that Neil plans to take a trip and advises the use of a certain type of oil. The oil breaks down during the trip, damaging the car. Neil may recover from Oil Shop for breach of
Answer
an express warranty.
an implied warranty of fitness for a particular purpose.
an implied warranty of merchantability.
a warranty of title.

question 4
Bigge Projects, Inc., and Crane Equip Corporation enter into a contract for a lease of a construction crane. Crane Equip is a merchant who deals in goods of the kind leased. Under the UCC, an implied warranty of merchantability arises
Answer
automatically in lease contracts.
only if the lessee asks for it.
only if the lessor does not expressly disclaim it.
only in conjunction with sales contracts, not lease contracts.

Question 5

Roy's Chick'n Shack orders chicken from Supremo Foods, but Supremo does not deliver. Roy's will probably be unable to enforce the agreement if the parties
Answer
did not limit the duration of the deal.
did not specify a payment term.
did not specify a quantity term.
have not begun to perform.

Question 6

Screen Perfect, Inc., and TV Stores enter into a contract for a sale of high-definition television sets. Screen Perfect ships goods that do not exactly conform to the contract in some details. TV Stores
Answer
cannot reject the entire shipment.
can reject the entire shipment.
must accept the entire shipment.
must reject the entire shipment.

Question 7

Best Sales, Inc., is the offeror and City Goods Corporation is the offeree under a unilateral sales contract in which Delta Products Company is also interested. Best is not notified of City's performance within a rea­son­able time. Best
Answer
may treat the offer as having lapsed.
must assume that City has started to perform.
must contact City.
must contract with Delta. 
Question 8

On May 1, Cy's Auto & Truck Sales agrees to sell a car to Dino. Five days later, Dino refuses delivery and cancels the contract. Cy's is enti­tled to
Answer
force Dino to accept the car.
recover any damages from Dino but not resell the car.
resell the car and recover any damages from Dino.
resell the car but not recover any damages from Dino.

Question 9

Dependable Appliances, Inc., and Elain enter into a contract for a sale of kitchen appliances. Dependable, a merchant who deals in goods of the kind sold, notes that its goods come with an implied warranty of merchantability. Under the UCC, this means that the goods are reasonably
Answer
fit for the buyer's particular purpose.
fit for the ordinary purpose for which such goods are used.
suitable for resale at an acceptable price.
the best quality that money can buy.

Question 10

Quinn enters into a series of agreements with Reba involving a sale of a Suite Dreams Motel, including the land, building, furnishings, shares of stock in Suite Dreams Company, and a contract with Trudy to create an ad campaign. Reba suspects that Quinn may be misrepresenting the facts. The UCC Statute of Frauds governs the sale of
Answer
any of the property evidenced by a writing.
any of the property that may involve fraud.
the furnishings priced at $500 or more.
the land and the building.

Question 11

Stable Tool Company makes hedge trimmers. Troy is injured while using a Stable trimmer and sues the company for product liability based on neg­ligence. To win, Troy must show that
Answer
Stable did not use due care with respect to the trimmer.
Stable misrepresented a material fact regarding the trimmer.
Troy was experienced in the use of trimmers.
Troy was in privity of contract with Stable.

Question 12

Ceramic Tile Company designs and makes floor tiles. In a product liability suit based on negligence, Ceramic could be liable for vio­lating its duty of care with respect to
Answer
neither the design nor the making of the tiles.
the design or the making of the tiles.
the design of the tiles only.
the making of the tiles only.

Question 13

Farm Equip, Inc., makes farm­ing machinery. Gail discovers that her Farm Equip tractor is defective and sues the maker for product liability based on negligence. To win, Gail must show that
Answer
Farm Equip sold the tractor to Gail.
Gail knew and appreciated the risk caused by the defect.
Gail suffered an injury caused by the defect.
the "defect" was a commonly known danger.

Question 14

Quality Tools Corporation (QTC) makes hammers and other tools. Rita is injured while using a QTC hammer. She sues the company for product liability based on negligence. To defend successfully against the suit, QTC may show that
Answer
QTC did not sell the hammer to Rita.
Rita misused the hammer in a foreseeable way.
Rita's injury resulted from a commonly known danger.
the hammer was not altered after QTC sold it.
Question 15

Rhiana is shopping in Seth's Food Store when a bottle of Truly Bubbly Cola explodes, injuring her. Rhiana files a suit against Truly Bubbly, from whom she can recover only if she can show that she
Answer
did not assume the risk of the exploding bottle.
intended to buy the exploding bottle.
used due care in shopping in the store.
was injured due to a defect in the product.

Question 16

Pooltime, Inc., makes aboveground swimming pools, which it sells to Quality Home Stores. Quality Home sells the pools to consumers, in­clud­ing Ron, who lets Sara use his pool. Sara is injured while us­ing the pool. In a product liability suit based on strict liability, Sara may recover from
Answer
neither Pooltime nor Quality Home.
Pooltime only.
Pooltime or Quality Home.
Quality Home only
Question 17

Fire Brake, Inc., makes fire-proof and fire-retardant products for fighting fires. Gabe is in­jured by a defective Fire Brake product. A statute re­stricts the time within which Gabe may file a product liability suit against Fire Brake regardless of when he was injured. This is a statute of
Answer
limitations.
preemption.
repose.
suspension.



Question 18

The brakes on a Central & Coastal Railroad train malfunction and it rolls towards main­te­nance workers on the tracks. Everyone gets out of the way except Dick, who wants to show off. The train hits Dick, who sues Eagle, Inc., the brakes' manufacturer. Eagle can raise the defense of
Answer
a component-part manufacturer.
assumption of risk.
consumer participation.
product misuse.

Question 19

Earth Movers, Inc., uses dynamite to prepare land for highway pro­jects. Strict liability is imposed on this activity because
Answer
Earth is a corporation.
the activity is inherently negligent.
the activity is of a dangerous nature.
the government pays for highway construction.

Question 20

Heat Wave, Inc., makes portable heaters. To pay its liability for injuries to consumers harmed by defective heaters, Heat Wave can pass the costs on to
Answer
consumers in the form of higher prices.
other manufacturers of heaters on a theory of market share liability.
suppliers in the form of "reverse kickbacks."
the government in the form of direct payments.