Question 1

Corgy buys software from Digital Products Corporation.When Corgy loads the software,to use the program she is required to click on a button that says,in reference to certain terms,"I agree." This is
A)a click-on agreement.
B)a default agreement.
C)an attribution agreement.
D)a shrink-wrap agreement.

Accepted Answer

This scenario describes a click-on agreement, where the user is required to click on a button to indicate agreement with certain terms. A default agreement would refer to a pre-set condition that automatically applies unless the user actively changes it. An attribution agreement relates to giving credit to the original author. A shrink-wrap agreement refers to the terms and conditions included within the packaging of a software product.

Question 2

Integrity Manufacturing,Inc. ,and Jiffy Delivery Service make a deal over the Internet that involves e-documents.Under the E-SIGN Act,for an e-document to be enforceable,it must be in a form that can be
A)accurately reproduced only.
B)retained only.
C)accurately reproduced and retained.
D)the entire contract.

Accepted Answer

According to the E-SIGN Act, for an e-document to be enforceable, it must be in a form that can be accurately reproduced and retained. This ensures that the document can be both accurately viewed and kept as a record for future reference or legal purposes. While the entire contract is important, the specific requirements for enforceability relate to accurate reproduction and retention. Therefore, the best answer is choice C.

Question 3

Mocha,a seller,and Ned,a buyer,make a deal over the Internet that involves e-signatures.Under the E-SIGN Act,for the e-signatures to be enforceable
A)both parties must have agreed to use e-signatures.
B)neither party must have agreed to use e-signatures.
C)only Mocha must have agreed to use an e-signature.
D)only Ned must have agreed to use an e-signature.

Accepted Answer

The E-SIGN Act requires both parties to have agreed to use e-signatures in order for them to be enforceable.

Question 4

Katy and Lucy enter into a contract that falls within the provisions of the UETA.Under the UETA,"an electronic sound,symbol,or process attached to or logically associated with a record and executed or adopted by a person with the intent to sign the record" is
A)an e-document.
B)an e-signature.
C)an e-transaction.
D)a record.

Accepted Answer

The definition given falls under the description of an e-signature. An e-document refers to a document that is created, generated, sent, communicated, received, or stored by electronic means. An e-transaction refers to a transaction that is conducted by electronic means. A record refers to information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form.

Question 5

Leo and Mona enter into a contract.A dispute later arises over a particu?lar term.The law governing contracts requires that for that term to be given effect,both Leo and Mona must have read
A)all of the terms.
B)at least the term in dispute.
C)most of the terms,including the term in dispute.
D)none of the choices.

Accepted Answer

The answer of Leo and Mona enter into a contract.A...

Question 6

Standard Purchasing Corporation and Total Sales,Inc. ,enter into a part?nering agreement.Under a partnering agreement,parties agree
A)in advance to terms that apply to their future e-transactions.
B)to become partners.
C)to conduct transactions solely in electronic form.
D)to resolve all disputes without involving a third party.

Accepted Answer

The answer of Standard Purchasing Corporation and Total Sales,Inc. ,enter...

Question 7

In Case 13.3,Specht v.Netscape Communications Corp. ,the court held that because the plaintiffs did not expressly assent to the terms of the contract,they
A)must pay for the product downloaded from the defendant.
B)must stop using the product downloaded from the defendant.
C)must submit to arbitration according to the contract.
D)need not submit to arbitration.

Accepted Answer

The court held that because the plaintiffs did not expressly assent to the terms of the contract, they cannot be bound by the arbitration clause in the contract. Therefore, they need not submit to arbitration according to the contract.

Question 8

National Sales Corporation and Online Purchasing,Inc. ,attempt to enter into a contract with the use of e-signatures.Among states that have e-sig?nature laws,the laws are
A)identical.
B)similar.
C)uniform.
D)none of the choices.

Accepted Answer

The answer of National Sales Corporation and Online Purchasing,Inc. ,attempt...

Question 9

Cody and Dana engage in a transaction that involves e-documents.The E-SIGN Act applies if those documents include
A)court papers.
B)evictions.
C)foreclosures.
D)none of the choices.

Accepted Answer

The E-SIGN Act applies to electronic transactions in commerce, but does not specifically apply to court papers, evictions, or foreclosures.

Question 10

Digital Products Company includes a shrink-wrap agreement in a transac?tion with Eagle Engineering Corporation.A shrink-wrap agreement is an agreement whose terms are expressed
A)in code at the end of a computer program .
B)inside a box in which goods are packaged.
C)in small print at the end of a paper contract signed by both parties.
D)on a computer screen.

Accepted Answer

The answer of Digital Products Company includes a shrink-wrap agreement...

Question 11

USA Manufacturing,Inc. ,orders supplies online from Virtual Parts Company.To complete the order,the buyer is required to click on a button that says,in reference to certain terms,"I agree." This is
A)a click-on agreement.
B)a default agreement.
C)an attribution agreement.
D)a shrink-wrap agreement.

Accepted Answer

The described agreement is a click-on agreement, as the buyer is required to click on a button to agree to certain terms in order to complete the order. A default agreement is a type of agreement where a user agrees to the terms by not taking any action, which is not described in the scenario. An attribution agreement is a type of agreement that identifies the original source of a work, which is also not described in the scenario. A shrink-wrap agreement is a type of agreement that is included in the packaging of a product and is only visible after the product is opened, which is also not described in the scenario.

Question 12

Research Products,Inc. ,and Scientific Tools Corporation enter into a con?tract online in a state that has enacted a modified version of the UETA in which a procedure for the use of e-signatures is different from that provided in the E-SIGN Act.The alternative procedure is effective if it is
A)consistent with the E-SIGN Act
B)inconsistent with the E-SIGN Act.
C)significantly different from the E-SIGN Act.
D)sufficiently distinctive from the E-SIGN Act.

Accepted Answer

The best choice is A because the modified version of the UETA must be consistent with the E-SIGN Act for the alternative procedure for e-signatures to be effective. Inconsistency (B) or significant difference (C) or sufficient distinctiveness (D) from the E-SIGN Act may not be sufficient to ensure the validity of the e-signatures.

Question 13

Mary and Nick make a deal that comes under the UETA.Under the UETA,"information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form" is
A)an e-document.
B)an e-signature.
C)an e-transaction.
D)a record.

Accepted Answer

Under the UETA, a "record" is defined as information that is inscribed on a tangible medium or stored in an electronic or other medium and is retrievable in perceivable form.

Question 14

Over the Internet,Builder Contractors,Inc. ,arranges to lease storage space from Carton Services Company.To complete the deal,Builder clicks on a but?ton that says,in reference to certain terms,"I agree." Most likely,the par?ties have
A)a binding contract that includes the terms.
B)a binding contract that does not include the terms.
C)an unenforceable contract that includes the terms.
D)an unenforceable contract that does not include the terms.

Accepted Answer

By clicking on the "I agree" button, Builder Contractors, Inc. has shown acceptance of the terms proposed by Carton Services Company. This creates a binding contract that includes the terms. As long as the terms are legal and not against public policy, the contract should be enforceable.

Question 15

General Electronics,Inc. ,uses shrink-wrap agreements.In most cases,a shrink-wrap agreement is between
A)any seller and buyer.
B)the manufacturer of hardware or software and a retailer.
C)the manufacturer of hardware or software and its user.
D)none of the choices.

Accepted Answer

Shrink-wrap agreements are typically between the manufacturer of hardware or software and its user. These agreements are commonly used for software products and are characterized by the user being required to agree to terms and conditions before opening the shrink-wrapped package. This type of agreement is often used to protect the manufacturer from liability and define usage rights for the user.

Question 16

Finest Design Corporation,a business firm,and Gary,a consumer,make a deal over the Internet that involves e-signatures.Under the E-SIGN Act,for the e-signatures to be enforceable
A)both parties must have agreed to use e-signatures.
B)neither party must have agreed to use e-signatures.
C)only First Design must have agreed to use an e-signature.
D)only Gary must have agreed to use an e-signature.

Accepted Answer

The E-SIGN Act requires that both parties must have agreed to use e-signatures in order for them to be enforceable. Therefore, option A is the correct choice. Option B is incorrect because both parties must agree to use e-signatures, not neither. Option C and D are both incorrect as they do not take into account the requirement for both parties to agree.

Question 17

Enrich Oil Company and Fluid Refining,Inc. ,attempt to enter into a contract in electronic form.Under the Electronic Signatures in Global and National Commerce (E-SIGN)Act,solely because this contract is in elec?tronic form,it
A)may be denied legal effect.
B)may not be denied legal effect.
C)will be limited to certain terms.
D)will not be enforced.

Accepted Answer

The Electronic Signatures in Global and National Commerce (E-SIGN) Act ensures that contracts in electronic form are given the same legal effect as those in paper form. Therefore, Enrich Oil Company and Fluid Refining, Inc. can enter into a contract in electronic form and it cannot be denied legal effect solely because it is in electronic form.

Question 18

Software Systems,Inc. ,uses shrink-wrap agreements.The terms of a shrink-wrap agreement generally concern
A)neither warranties nor remedies for their breach.
B)only remedies for breach of warranties.
C)only warranties.
D)warranties,remedies for their breach,and other issues.

Accepted Answer

Shrink-wrap agreements typically contain terms related to warranties, remedies for breach of warranties, and other issues such as limitations of liability and intellectual property rights.

Question 19

Dina buys from E-Things,Inc. ,a product that includes a shrink-wrap agreement.A dispute arises,and E-Things files a suit against Dina.The court will enforce the agreement if Dina used the product
A)after having had an opportunity to read the agreement.
B)before having had an opportunity to read the agreement.
C)only after actually reading the agreement.
D)none of the choices.

Accepted Answer

The court will enforce the shrink-wrap agreement if Dina had an opportunity to read it before using the product.

Question 20

Central Processing Corporation and Digital Data,Inc. ,enter into a con?tract online in a state that has enacted an unmodified version of the UETA.With regard to the E-SIGN Act
A)the E-SIGN Act does not preempt this version of the UETA.
B)the E-SIGN Act preempts this version of the UETA.
C)the two acts "cancel" each other's application.
D)none of the choices.

Accepted Answer

The UETA and the E-SIGN Act are complementary, and the E-SIGN Act does not preempt state laws that meet the criteria set forth in the E-SIGN Act. Since the state in question has enacted an unmodified version of the UETA, it meets these criteria and is not preempted by the E-SIGN Act.

Quiz 13: E-Contracts and E-Signatures

Corgy buys software from Digital Products Corporation.When Corgy loads the software,to use the program she is required to click on a button that says,in reference to certain terms,"I agree." This is

Integrity Manufacturing,Inc. ,and Jiffy Delivery Service make a deal over the Internet that involves e-documents.Under the E-SIGN Act,for an e-document to be enforceable,it must be in a form that can be

Mocha,a seller,and Ned,a buyer,make a deal over the Internet that involves e-signatures.Under the E-SIGN Act,for the e-signatures to be enforceable

Katy and Lucy enter into a contract that falls within the provisions of the UETA.Under the UETA,"an electronic sound,symbol,or process attached to or logically associated with a record and executed or adopted by a person with the intent to sign the record" is

Leo and Mona enter into a contract.A dispute later arises over a particu?lar term.The law governing contracts requires that for that term to be given effect,both Leo and Mona must have read

Standard Purchasing Corporation and Total Sales,Inc. ,enter into a part?nering agreement.Under a partnering agreement,parties agree

In Case 13.3,Specht v.Netscape Communications Corp. ,the court held that because the plaintiffs did not expressly assent to the terms of the contract,they

National Sales Corporation and Online Purchasing,Inc. ,attempt to enter into a contract with the use of e-signatures.Among states that have e-sig?nature laws,the laws are

Cody and Dana engage in a transaction that involves e-documents.The E-SIGN Act applies if those documents include

Digital Products Company includes a shrink-wrap agreement in a transac?tion with Eagle Engineering Corporation.A shrink-wrap agreement is an agreement whose terms are expressed

USA Manufacturing,Inc. ,orders supplies online from Virtual Parts Company.To complete the order,the buyer is required to click on a button that says,in reference to certain terms,"I agree." This is

Research Products,Inc. ,and Scientific Tools Corporation enter into a con?tract online in a state that has enacted a modified version of the UETA in which a procedure for the use of e-signatures is different from that provided in the E-SIGN Act.The alternative procedure is effective if it is

Mary and Nick make a deal that comes under the UETA.Under the UETA,"information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form" is

Over the Internet,Builder Contractors,Inc. ,arranges to lease storage space from Carton Services Company.To complete the deal,Builder clicks on a but?ton that says,in reference to certain terms,"I agree." Most likely,the par?ties have

General Electronics,Inc. ,uses shrink-wrap agreements.In most cases,a shrink-wrap agreement is between

Finest Design Corporation,a business firm,and Gary,a consumer,make a deal over the Internet that involves e-signatures.Under the E-SIGN Act,for the e-signatures to be enforceable

Enrich Oil Company and Fluid Refining,Inc. ,attempt to enter into a contract in electronic form.Under the Electronic Signatures in Global and National Commerce (E-SIGN) Act,solely because this contract is in elec?tronic form,it

Software Systems,Inc. ,uses shrink-wrap agreements.The terms of a shrink-wrap agreement generally concern

Dina buys from E-Things,Inc. ,a product that includes a shrink-wrap agreement.A dispute arises,and E-Things files a suit against Dina.The court will enforce the agreement if Dina used the product

Central Processing Corporation and Digital Data,Inc. ,enter into a con?tract online in a state that has enacted an unmodified version of the UETA.With regard to the E-SIGN Act