Question 1

Baby Products,Inc.,hires Cole to develop and implement an e-commerce strategy for marketing Baby's products.Cole signs a contract that in?cludes a clause prohibiting him from competing with Baby during and af?ter the employment.Before the strategy is implemented,Cole resigns from Baby's employ and opens a business to compete with Baby.In Baby's suit against Cole,to determine whether Cole may compete with Baby,what is the most important factor the court should consider?

Accepted Answer

In determining whether Cole may compete ...

Question 2

A contract is void if one of the parties was intoxicated at the time of its formation.

Accepted Answer

A) True 
 B)False

Question 3

Federal law bars electronic payments,such as credit-card transactions,at online gambling sites.

Accepted Answer

A) True 
 B)False

Question 4

Jolie signs a contract with Keaton,an unlicensed physician,to perform plastic surgery-a medical procedure.This contract is enforceable by

Accepted Answer

A)  Jolie.
B)  Jolie's medical insurance company.
C)  Keaton.
D)  no one.E) A) and B)
F) None of the above

Question 5

Elmo,a minor,misrepresents his age to be twenty-one and contracts to buy a car from Fine New Autos.Ordinarily,Elmo can disaffirm the contract

Accepted Answer

A)  only if he can prove that Fine New Autos did not know his true age.
B)  only if he can prove that Fine New Autos knew his true age.
C)  under any circumstances.
D)  under no circumstances.E) A) and C)
F) A) and D)

Question 6

Orin relinquishes the right to his daughter Neko's control,care,custody,and earnings.This act is

Accepted Answer

A)  disaffirmance.
B)  emancipation.
C)  ratification.
D)  severability.E) All of the above
F) A) and B)

Question 7

Lindsey,an emergency medical technician,is called to an accident scene by Nicole and renders medical care to Marvin,a mi?nor.Lindsey may recover the cost from

Accepted Answer

A)  the state.
B)  Marvin.
C)  Nicole.
D)  no one.E) A) and B)
F) All of the above

Question 8

The lack of an opportunity to read a contract may be unconscionable.

Accepted Answer

A) True 
 B)False

Question 9

Contractual capacity includes the financial ability to pay for the benefits of a contract.

Accepted Answer

A) True 
 B)False

Question 10

Fay is mentally incompetent but has not been so adjudged by a court.Any contract Fay enters into is

Accepted Answer

A)  voidable if Fay has a lucid interval at the time of contracting.
B)  voidable if Fay lacks the capacity to comprehend the consequences.
C)  voidable if the other party does not realize that Fay is incompetent.
D)  unavoidable.E) A) and B)
F) A) and D)

Question 11

If an illegal contract is executory,either party can enforce it.

Accepted Answer

A) True 
 B)False

Question 12

All contracts between adults and minors are void.

Accepted Answer

A) True 
 B)False

Question 13

Jenna,a minor acting on her own,signs a contract to buy a horse and its tack from Field Equine Ranch.Later,after taking possession of the horse and tack,Jenna disaffirms the deal.She

Accepted Answer

A)  can keep the horse and the tack.
B)  can keep the horse but not the tack.
C)  can keep the tack but not the horse.
D)  must return both the horse and the tack.E) All of the above
F) A) and C)

Question 14

In an employment contract,a covenant not to compete can be enforceable.

Accepted Answer

A) True 
 B)False

Question 15

Max,a minor subject to his parents' care and control,signs a contract to rent an apartment from Noel for one year.Before the end of the term,Max moves out.Noel sues for the rent for the rest of the term.Max can

Accepted Answer

A)  avoid liability for the rent but not disaffirm the contract.
B)  disaffirm the contract and avoid liability for the rent.
C)  disaffirm the contract but not avoid liability for the rent.
D)  not disaffirm the contract nor avoid liability for the rent.E) None of the above
F) C) and D)

Question 16

Parents are always liable for the contracts made by their minor chil?dren.

Accepted Answer

A) True 
 B)False

Question 17

Parents are required by law to provide neces?saries for their minor children.

Accepted Answer

A) True 
 B)False

Question 18

When a statute protects a certain class of people,a member of that class cannot enforce an otherwise illegal contract.

Accepted Answer

A) True 
 B)False

Question 19

A party who uses the benefits of a contract before paying for them commits usury.

Accepted Answer

A) True 
 B)False

Question 20

A contract to do something that is prohibited by statutory law is void.

Accepted Answer

A) True 
 B)False

Exam 13: Capacity and Legality

A contract is void if one of the parties was intoxicated at the time of its formation.

Correct Answer
verified

Lindsey,an emergency medical technician,is called to an accident scene by Nicole and renders medical care to Marvin,a mi?nor.Lindsey may recover the cost from

Correct Answer
verified

Orin relinquishes the right to his daughter Neko's control,care,custody,and earnings.This act is

Correct Answer
verified

Fay is mentally incompetent but has not been so adjudged by a court.Any contract Fay enters into is

Correct Answer
verified

In an employment contract,a covenant not to compete can be enforceable.

Correct Answer
verified

When a statute protects a certain class of people,a member of that class cannot enforce an otherwise illegal contract.

Correct Answer
verified

Parents are required by law to provide neces?saries for their minor children.

Correct Answer
verified

Federal law bars electronic payments,such as credit-card transactions,at online gambling sites.

Correct Answer
verified

Jenna,a minor acting on her own,signs a contract to buy a horse and its tack from Field Equine Ranch.Later,after taking possession of the horse and tack,Jenna disaffirms the deal.She

Correct Answer
verified

A party who uses the benefits of a contract before paying for them commits usury.

Correct Answer
verified

Elmo,a minor,misrepresents his age to be twenty-one and contracts to buy a car from Fine New Autos.Ordinarily,Elmo can disaffirm the contract

Correct Answer
verified

Contractual capacity includes the financial ability to pay for the benefits of a contract.

Correct Answer
verified

Jolie signs a contract with Keaton,an unlicensed physician,to perform plastic surgery-a medical procedure.This contract is enforceable by

Correct Answer
verified

If an illegal contract is executory,either party can enforce it.

Correct Answer
verified

Max,a minor subject to his parents' care and control,signs a contract to rent an apartment from Noel for one year.Before the end of the term,Max moves out.Noel sues for the rent for the rest of the term.Max can

Correct Answer
verified

Correct Answer
verified
In determining whether Cole may compete ...
View Answer

Parents are always liable for the contracts made by their minor chil?dren.

Correct Answer
verified

A contract to do something that is prohibited by statutory law is void.

Correct Answer
verified

All contracts between adults and minors are void.

Correct Answer
verified

The lack of an opportunity to read a contract may be unconscionable.

Correct Answer
verified

Exam 13: Capacity and Legality

A contract is void if one of the parties was intoxicated at the time of its formation.

Correct AnswerverifiedShow Answer

Lindsey,an emergency medical technician,is called to an accident scene by Nicole and renders medical care to Marvin,a mi?nor.Lindsey may recover the cost from

Correct AnswerverifiedShow Answer

Orin relinquishes the right to his daughter Neko's control,care,custody,and earnings.This act is

Correct AnswerverifiedShow Answer

Fay is mentally incompetent but has not been so adjudged by a court.Any contract Fay enters into is

Correct AnswerverifiedShow Answer

In an employment contract,a covenant not to compete can be enforceable.

Correct AnswerverifiedShow Answer

When a statute protects a certain class of people,a member of that class cannot enforce an otherwise illegal contract.

Correct AnswerverifiedShow Answer

Parents are required by law to provide neces?saries for their minor children.

Correct AnswerverifiedShow Answer

Federal law bars electronic payments,such as credit-card transactions,at online gambling sites.

Correct AnswerverifiedShow Answer

Jenna,a minor acting on her own,signs a contract to buy a horse and its tack from Field Equine Ranch.Later,after taking possession of the horse and tack,Jenna disaffirms the deal.She

Correct AnswerverifiedShow Answer

A party who uses the benefits of a contract before paying for them commits usury.

Correct AnswerverifiedShow Answer

Elmo,a minor,misrepresents his age to be twenty-one and contracts to buy a car from Fine New Autos.Ordinarily,Elmo can disaffirm the contract

Correct AnswerverifiedShow Answer

Contractual capacity includes the financial ability to pay for the benefits of a contract.

Correct AnswerverifiedShow Answer

Jolie signs a contract with Keaton,an unlicensed physician,to perform plastic surgery-a medical procedure.This contract is enforceable by

Correct AnswerverifiedShow Answer

If an illegal contract is executory,either party can enforce it.

Correct AnswerverifiedShow Answer

Max,a minor subject to his parents' care and control,signs a contract to rent an apartment from Noel for one year.Before the end of the term,Max moves out.Noel sues for the rent for the rest of the term.Max can

Correct AnswerverifiedShow Answer

Correct AnswerverifiedIn determining whether Cole may compete ...View AnswerShow Answer

Parents are always liable for the contracts made by their minor chil?dren.

Correct AnswerverifiedShow Answer

A contract to do something that is prohibited by statutory law is void.

Correct AnswerverifiedShow Answer

All contracts between adults and minors are void.

Correct AnswerverifiedShow Answer

The lack of an opportunity to read a contract may be unconscionable.

Correct AnswerverifiedShow Answer

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In determining whether Cole may compete ...
View Answer

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