PunjabiKuri
New member
1. Roger heard that Rhonda was in a financial bind, so he telephoned her and offered to buy her small truck for $2,500. She agreed over the phone to sell her truck. However, that same day she sold her truck for a better offer of $3,200. Does Roger have a claim against Rhonda for breach of contract?
a. Yes, because all the elements of a contract exist.
b. No, contracts for the sale of goods of $500 or more must be in writing to be enforceable.
c. Yes, because only real property over $500 needs to be in writing to be enforceable.
d. No, because the actual sale takes place when payment and receipt of goods occur between the buyer and seller.
2. Eric bought a small ranch that included fifteen acres of land, a barn, a small variety of farm animals, and a tractor. Does the law of sales apply to any part of the transaction?
a. Yes, it applies to the whole thing.
b. Yes, it applies to only the land and buildings.
c. Yes, it applies to the animals and tractor.
d. No, because real property is involved it does not fall under the law of sales.
3. Linda bought a new scientific calculator. While making the sale, the dealer told her that the calculator had four megabytes of RAM, giving it a large capacity for storing a lot of programs and formulas. However, while using her calculator, Linda discovered that she was not able to store as many formulas and programs as she wanted because the calculator only had two megabytes of RAM. Has there been a breach of warranty?
a. No, because the dealer's statement of "storing a lot of formulas" is relative; the quantity "a lot" does not mean the same to everyone.
b. No, because the words, "guarantee" and "warranty" were not used.
c. Yes, because any statement of fact relating to the goods is considered to be a warranty.
d. Yes, because the law has given some protection to the consumer through implied warranties.
4. Rialeen bought a secondhand sewing machine from Maria's garage sale for $13. When Rialeen tried sewing, the machine made a terrible racket and the stitching was very uneven. Does Rialeen have the right of action against Maria for breach of warranty of merchantability?
a. Yes, because the law provides protection to the consumer through implied warranties.
b. No, because under the Magnuson-Moss Warranty Act sellers do not have to give written warranties for purchases that cost less than $15.
c. Yes, under the implied warranty of fitness for a particular purpose, the sewing machine is not fit for the purpose for which it is intended.
d. No, because only merchants make the implied warranty of merchantability.
5. Arnold sold Raymond a snow blower that he had actually borrowed from his neighbor, Phil. When Arnold sold the snow blower he did not make any particular warranties of any kind. When Raymond brought an action for breach of warranty, Arnold claimed that he had made no warranties and could not be sued. Is Arnold correct?
a. Yes, because sellers are not required to give express warranties.
b. Yes, because if a purchase is made from a non-merchant, there is not an implied warranty of merchantability.
c. No, because under the law there is an implied warranty of title in every sale.
d. No, because under the law there is an implied warranty against encumbrances.
6. After Sharla's new beauty boutique was completed, she made plans to decorate the inside in such a unique way that the décor alone would attract customers to her shop. In an oral contract with Mondale's Furniture Company, Sharla ordered one customized sofa and two overstuffed chairs that were upholstered in a combination of colors and textures that were shocking to the eye. Unfortunately, Sharla's expenses exceeded her ability to continue and she cancelled her order with the company after the furniture was near completion, saying she needed to cut down on expenses. When Mondale's threatened to sue, Sharla told them that they had no case, since they had not drawn up a written agreement. Is Sharla correct?
a. Yes, under the statute of frauds, a contract to sell goods for $500 or more must be evidenced by writing.
b. No, because no writing is needed for specially manufactured goods.
c. Yes, because there was no acceptance as Sharla cancelled the order before the sofas were delivered.
d. No, because agreements between merchants need not be in writing.
7. On Monday, Marletta was very excited about all the neat features of the vacuum she bought from Fredric, a door-to-door salesman. The performance of the high-powered machine was great. But the more she thought about it, the more she felt that the cost of the vacuum was way too expensive, and she decided she wanted out of the contract she made with Fredric to buy the vacuum. On Friday, she phoned him saying she made a mistake and wanted to return the vacuum and get her money back. Fredric refused. Marletta said she would see him in court. Can Marletta be released from this agreement?
a. Yes, because of the cooling-off
a. Yes, because all the elements of a contract exist.
b. No, contracts for the sale of goods of $500 or more must be in writing to be enforceable.
c. Yes, because only real property over $500 needs to be in writing to be enforceable.
d. No, because the actual sale takes place when payment and receipt of goods occur between the buyer and seller.
2. Eric bought a small ranch that included fifteen acres of land, a barn, a small variety of farm animals, and a tractor. Does the law of sales apply to any part of the transaction?
a. Yes, it applies to the whole thing.
b. Yes, it applies to only the land and buildings.
c. Yes, it applies to the animals and tractor.
d. No, because real property is involved it does not fall under the law of sales.
3. Linda bought a new scientific calculator. While making the sale, the dealer told her that the calculator had four megabytes of RAM, giving it a large capacity for storing a lot of programs and formulas. However, while using her calculator, Linda discovered that she was not able to store as many formulas and programs as she wanted because the calculator only had two megabytes of RAM. Has there been a breach of warranty?
a. No, because the dealer's statement of "storing a lot of formulas" is relative; the quantity "a lot" does not mean the same to everyone.
b. No, because the words, "guarantee" and "warranty" were not used.
c. Yes, because any statement of fact relating to the goods is considered to be a warranty.
d. Yes, because the law has given some protection to the consumer through implied warranties.
4. Rialeen bought a secondhand sewing machine from Maria's garage sale for $13. When Rialeen tried sewing, the machine made a terrible racket and the stitching was very uneven. Does Rialeen have the right of action against Maria for breach of warranty of merchantability?
a. Yes, because the law provides protection to the consumer through implied warranties.
b. No, because under the Magnuson-Moss Warranty Act sellers do not have to give written warranties for purchases that cost less than $15.
c. Yes, under the implied warranty of fitness for a particular purpose, the sewing machine is not fit for the purpose for which it is intended.
d. No, because only merchants make the implied warranty of merchantability.
5. Arnold sold Raymond a snow blower that he had actually borrowed from his neighbor, Phil. When Arnold sold the snow blower he did not make any particular warranties of any kind. When Raymond brought an action for breach of warranty, Arnold claimed that he had made no warranties and could not be sued. Is Arnold correct?
a. Yes, because sellers are not required to give express warranties.
b. Yes, because if a purchase is made from a non-merchant, there is not an implied warranty of merchantability.
c. No, because under the law there is an implied warranty of title in every sale.
d. No, because under the law there is an implied warranty against encumbrances.
6. After Sharla's new beauty boutique was completed, she made plans to decorate the inside in such a unique way that the décor alone would attract customers to her shop. In an oral contract with Mondale's Furniture Company, Sharla ordered one customized sofa and two overstuffed chairs that were upholstered in a combination of colors and textures that were shocking to the eye. Unfortunately, Sharla's expenses exceeded her ability to continue and she cancelled her order with the company after the furniture was near completion, saying she needed to cut down on expenses. When Mondale's threatened to sue, Sharla told them that they had no case, since they had not drawn up a written agreement. Is Sharla correct?
a. Yes, under the statute of frauds, a contract to sell goods for $500 or more must be evidenced by writing.
b. No, because no writing is needed for specially manufactured goods.
c. Yes, because there was no acceptance as Sharla cancelled the order before the sofas were delivered.
d. No, because agreements between merchants need not be in writing.
7. On Monday, Marletta was very excited about all the neat features of the vacuum she bought from Fredric, a door-to-door salesman. The performance of the high-powered machine was great. But the more she thought about it, the more she felt that the cost of the vacuum was way too expensive, and she decided she wanted out of the contract she made with Fredric to buy the vacuum. On Friday, she phoned him saying she made a mistake and wanted to return the vacuum and get her money back. Fredric refused. Marletta said she would see him in court. Can Marletta be released from this agreement?
a. Yes, because of the cooling-off