Application & Formation

Question 1

When a contract involves both services and the sale of goods, what technique must you use?

Answer 1

The predominant purpose test.

Question 2

T/F: When a contract involves both realty and the sale of goods, use the UCC Article 2 and common law.

Answer 2

True

Question 3

Sale of goods. UCC or common law?

Answer 3

UCC

Question 4

Services. UCC or common law?

Answer 4

Common law

Question 5

Real estate. UCC or common law?

Answer 5

Common law

Question 6

What is a bailment?

Answer 6

The transfer of goods but not the title.

Question 7

Bailment. UCC or common law?

Answer 7

Common law

Question 8

T/F: Intellectual property rights are covered under UCC.

Answer 8

False

Question 9

What 2 elements must be present for a contract for sale of goods to be formed under UCC?

Answer 9

1. Subject matter

2. Quantity of goods (if more than 1)

Question 10

How many days to merchants get to reject an offer?

Answer 10

10 days

Question 11

For non-merchants, what is the $ threshold where a contract must be written?

Answer 11

$500

Question 12

Under UCC, if there are open price terms, when is payment due?

Answer 12

When the buyer receives the good.

Question 13

Under UCC, if there is an open place of payment term where must the goods be received?

Answer 13

Seller’s business or residence.

Question 14

Is consideration required for the modification of a contract?

Answer 14

No. Good faith is required.

Question 15

T/F: UCC Sales Article indicates that a contract must be written for the goods over $500.

Answer 15

False. This is under the Statute of Frauds.