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Why does traditional contract law view any kind of an attempt by offerees to change terms as constituting a counteroffer?


A) A material change to an original offer is disfavored by traditional contract law.
B) It changes the degree of the offeror's interest to contract.
C) Such an action implies a rejection of the offer by the offeree.
D) It puts the offeree in a dominant position which is contrary to traditional contract laws.

E) B) and C)
F) None of the above

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Which of the following considers a properly dispatched acceptance sent by a reasonable means of communication within a reasonable time to be effective on dispatch?


A) Traditional contract laws
B) UCC
C) CISG
D) Restatement (Second)

E) A) and C)
F) A) and D)

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The only person with the legal power to accept an offer and create a contract is the original offeree.

A) True
B) False

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Ian Sanders offered to sell his car to Beth Jones for $5,000 with Beth's agreement.Subsequently,Beth demanded that he provide new seat covers for the car as she was paying a rather heavy price for the car.Beth's response represents a(n) _____.


A) inquiry regarding terms
B) rejection of the offer
C) conditional acceptance of the offer
D) additional term

E) B) and D)
F) All of the above

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Mr.White sends his acceptance for a business contract to Mr.Green.But Mr.White put insufficient postage on the envelope.One day later Mr.Green revokes the offer through the mail.Mr.White upon receipt of the undelivered acceptance,Mr.White overnighted the acceptance letter to Mr.Green.The court will find if it applies the UCC rule that a valid acceptance occurred and subsequent contract is now created between Mr.White and Mr.Green.

A) True
B) False

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What is the "mailbox rule"? What risk does it create for the offeror?

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Under the mailbox rule,properly addresse...

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An ambiguous offer may be accepted in any manner that is _____ in light of the circumstances.


A) stipulated
B) authorized
C) recognizable
D) reasonable

E) A) and B)
F) A) and C)

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Mr.Blue enters into negotiation with Mr.Green to build a house.Both parties expected a written and signed purchase agreement.After agreeing on terms,Mr.Green is told by his subcontractors that some of their prices have gone up.Mr.Blue objects and indicates that there was a contract when the parties agreed to the original terms orally.A court will find that indeed no contract existed since the parties expected acceptance to be in written form.

A) True
B) False

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You wish to download free software from the Internet.The download procedure includes a page titled "download now" that asks you to "please review" the licensing agreement that is available to you on another web page.The "download now" page has a button that initiates the download process.You click that button without going to the licensing agreement page and find that it contains an arbitration provision.Are you bound by this provision?


A) Yes,because the "please review" statement in the "download now" page informed you of the licensing agreement.
B) Yes,because when you clicked the button to initiate the download process you agreed to the provisions in the licensing agreement.
C) No,because you did not perform an action that indicated your assent to the licensing agreement.
D) No,because laws relating to Internet privacy consider silence to be an acceptance of the offer.

E) A) and D)
F) B) and D)

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In recent times,the mirror-image rule is applied such that only a material difference between offer and acceptance creates a rejection of the offer.

A) True
B) False

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To accept an offer for a unilateral contract,the offeree must make the promise requested by the offer.

A) True
B) False

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The shipment of nonconforming goods intended as an accommodation to the buyer is a(n) _____.


A) ambiguous offer
B) prompt shipment
C) counteroffer
D) inquiry regarding terms

E) C) and D)
F) B) and C)

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If the offeree accepts the offeror's terms while complaining about them,it is called a grumbling acceptance.

A) True
B) False

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According to the Code,when there is an acceptance that contains terms that are different from the original terms of the contract,the contract will consist of _____ and the appropriate gap-filling presumptions of the Code.


A) an inquiry regarding terms
B) notifications to prevent breach of conduct
C) counteroffers from either party
D) terms on which the parties' writings agree

E) None of the above
F) C) and D)

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The UCC section 2-207 allows a contract to be formed even though the terms of the offer and the terms of the acceptance differ.

A) True
B) False

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Debbie Jones and Bill Schneider exchanged standard order forms to formalize their contract for a batch of goods and realized that their standard forms do not agree on material terms.Under UCC section 2-207,when will there be a contract? Assume that Bill did not make its acceptance conditional on Debbie's assent to any additional or different terms.


A) Only when Debbie and Bill are merchants.
B) When Bill's form is a definite and seasonable expression of acceptance.
C) When the conduct of one party recognizes the existence of a contract.
D) When the offer expressly limits acceptance to its own terms.

E) A) and D)
F) A) and C)

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Kevin offered to mow the lawn for his Uncle Jordan's for $100.To his offer,Uncle Jordan replied by saying "I know you're taking advantage of me but I accept." Uncle Jordan has indeed accepted the offer made by Kevin.

A) True
B) False

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Which of the following conditions can prevent additional terms from becoming a part of a contract formed between parties who are merchants?


A) There is a grumbling acceptance by both parties.
B) The contract is regarding the sale of goods.
C) The offer expressly limits acceptance to its own terms.
D) There additional terms would not materially alter the contract.

E) B) and C)
F) All of the above

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Transfer of title deeds is a function wherein silence signals acceptance of the offer.

A) True
B) False

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Mr.Yellow delivers a stack of newspapers to Mr.Green's store to see if he wants them.A note attached indicates the stack of papers is $50.Mr.Green without communicating an acceptance sold the entire stack of papers to his customers.What is the status of the agreement between Mr.Yellow and Mr.Green?


A) There is no contract because Mr.Green did not expressly accept the offer
B) There is a contract because Mr.Green accepted by implied action
C) There is no contract because the goods are treated as gifts to Mr.Green
D) There is no contract because the Secretary of State was not notified

E) All of the above
F) None of the above

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