Deck 17: Formalities of a Sale

Question 1

Macy's, an auction house, was slated to put up ten paintings for auction. During the course of the auction, the auctioneer announced that three of the paintings could be recalled at the discretion of the auction house. In such a scenario, the seven remaining paintings will be known as goods offered .

A)without terms
B)without reserve
C)with terms
D)with reserve

Answer 1

B

Question 2

For whom does an auctioneer serve as agent?

A)buyer
B)seller
C)both buyer and seller
D)neither buyer nor seller

Answer 2

C

Question 3

​ An oral contract can be enforced only with respect to goods for which payment has been made and accepted.

Answer 3

True

Question 4

Explain nonresellable goods. ​

Question 5

In an auction, the auctioneer is the one who makes the offer.

Question 6

When will several purchases made on the same day be deemed to be one purchase?

A)When all the goods are purchased at the same store.
B)When the cost of all items added together exceeds $500.
C)When the several items are added together as part of the same transaction.
D)All same-day sales within a legal jurisdiction are deemed to be one single sale.

Question 7

​ Goods that are specifically made for the buyer and are of such an unusual nature that they are not suitable for trade in the ordinary course of the seller's business are called .

A)nonresellable goods
B)auction goods
C)resellable goods
D)speciality goods

Question 8

Which of the following can be a writing sufficient to satisfy the Statute of Frauds?

A)unsigned purchase orders stating a quantity
B)emails with an electronic signature stating a quantity
C)a cash register receipt stating a quantity with no customer name
D)unsigned invoices not stating a quantity

Question 9

No writing is required in the case of nonresellable goods.

Question 10

Purchase orders, cash register receipts, sales tickets, invoices, and similar papers satisfy the requirements as to a signature.

Question 11

Which of the following best describes the term "acceptance"?

A)It is the assent of a buyer to become the owner of specific goods.
B)It is the assent of a seller to provide specific goods.
C)It is taking repossession of goods by the seller once they have been sold.
D)It is the acknowledgement of a fact during the course of the sale.

Question 12

Which of the following is true of an auction sale?

A)A sale by auction for any amount is not valid if it is made orally.
B)When an auctioneer makes and signs a memorandum of the sale, it binds only the bidder.
C)Goods can only be offered for sale without reserve.
D)There is no contract until and unless an auctioneer accepts a bidder's offer.

Question 13

Which of the following is true of oral contract payments?

A)In the case of part payment, an oral contract may be enforced for goods, for which payment has not been made and accepted.
B)A check or promissory note tendered as payment, but refused by the seller, constitutes as an oral contract payment.
C)Under the law of commercial paper, a check, or draft is an unconditional payment when delivered.
D)An oral contract can be enforced if the buyer has made full payment on the contract.

Question 14

A signature can be initials, electronic or stamped, so long as it was made with necessary intent.

Question 15

To satisfy the Statute of Frauds, a writing must be made at the time of sale.

Question 16

In an auction, a bid is an offer, and not a contract, until the auctioneer accepts the bid.

Question 17

A writing for the sale of goods under the UCC need not indicate that a sale or contract to sell has been made.

Question 18

If a bid is made while the hammer is falling in acceptance of a prior bid, the auctioneer has the option to reopen the bid.

Question 19

Writing is required when the person against whom enforcement of a sales contract is sought voluntarily admits, in the course of legal proceedings, to having made the sales contract.

Question 20

Goods may be offered for sale in an auction with reserve or without reserve.