Question 1

Orb, Inc., does business online around the globe. The United Nations Convention on the Use of Electronic Communications in International Contracts and other international agreements improve global commercial certainty by

Accepted Answer

All of the choices listed (B, C, and D) improve global commercial certainty by providing guidance and regulations for conducting international contracts and resolving disputes.

Question 2

Waste Management Corporation enters into contracts for its services online. Waste Management can protect itself against disputes involving these contracts by making important terms

Accepted Answer

Making important terms reasonably clear would ensure that the parties involved in the contract understand the terms and conditions clearly. This would help to avoid any misunderstandings or disputes in the future.

Question 3

Megan gives out a business card with an e-mail address on it. It is reasonable to infer that Megan has consented to

Accepted Answer

The answer of Megan gives out a business card with...

Question 4

On December 1, Petro, Inc., sent Rachel & Rico (R&R) a letter, via overnight delivery, offering to employ R&R to review Petro's tax situation for the current year for $10,000. In the letter, the company stated that R&R had ten days to accept. On December 5, R&R sent an e-mail message that stated, "The price for the tax analysis seems too low. Would you consider paying $15,000?" Petro received the message without responding immediately. The next day, Smith & Taylor, an R&R competitor, offered to conduct the appraisal for $8,000. On learning of this offer, R&R immediately e-mailed Petro, agreeing to do the work for $10,000. Petro received this message on December 7. Explain why R&R and Petro do, or do not, have a contract.

Accepted Answer

The answer of On December 1, Petro, Inc., sent Rachel...

Question 5

Play-It-Loud, LLC, provides music-streaming services online subject to complex pricing schedules. To control specific offers for the services and thus the resulting contracts, important terms to provide online include

Accepted Answer

A provision relating to the resolution of any dispute should be included to provide clarity in case of any disagreement between the company and its customers. This will prevent any misunderstandings and reduce the risk of litigation.

Answer: D 
 An updated list of the music available through the service should be provided to ensure that the customers are informed of the content of the service they are subscribing to. This will prevent any misunderstandings and reduce the risk of dissatisfaction and negative reviews.

B and C are not relevant to controlling specific offers and contracts for music-streaming services.

Question 6

Due on Receipt, Inc., makes tax software, which is packaged with a shrink-wrap agreement. Evenflo Products Company distributes the software to retailers, including a Flatprice discount store, where Greta buys a package of it. The parties to the shrink-wrap agreement are

Accepted Answer

The answer of Due on Receipt, Inc., makes tax software,...

Question 7

Corporate Code, Inc., sells business software-accounting and book-keeping 2, blank business forms, inventory control functions, and the like-in different combinations, in different packages, at different prices. Each package includes a shrink-wrap agreement that limits warranties and remedies. Developmental Research Corporation (DRC) buys a Corporate Code package and uses the product. Later, DRC files a suit against the software seller, claiming that the product was flawed and that the flaws caused DRC to suffer business losses. DRC asks for relief that exceeds the limits in the shrink-wrap agreement. What is a shrink-wrap agreement? Are such agreements always enforced? Under what circumstances is a court likely to enforce this agreement?

Accepted Answer

The answer of Corporate Code, Inc., sells business software-accounting and...

Question 8

Grain Farms and Hi-way Shipping Company make a deal for Hi-way's services, communicating entirely online. Under the UETA, an electronic record of their deal is considered sent when it

Accepted Answer

Under the UETA, an electronic record is considered sent when it leaves the sender's control, regardless of whether it has been received or read by the recipient. This means that Grain Farms and Hi-way Shipping Company's deal would be considered sent as soon as Grain Farms hits the "send" button and the record leaves their control.

Question 9

Archway Architects, Inc., makes travel arrangements online and stores the confirming documents and receipts on its servers. 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

Accepted Answer

The information stored on Archway Architects, Inc.'s servers qualifies as a "record" under the UETA, which defines a record as "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 10

Global Corporation enters into contracts with buyers in e-commerce and traditional commerce. The UETA applies, if at all, only to those transactions in which the parties agree to use

Accepted Answer

The UETA applies to transactions in which the parties agree to use electronic means. It does not apply to transactions that are conducted solely on paper documents or notarized documents. Updates and cross-checks to orally verify any e-terms are not relevant to the application of UETA.

Question 11

Dispatch Corporation and Hauling, Inc., agree in advance to terms that apply to their future e-transactions. This is

Accepted Answer

A partnering agreement is a contract between two parties that agree on terms for their future transactions, often used in e-commerce to streamline processes and ensure consistency in the terms of their dealings.

Question 12

Bret buys a subscription to the catalog of music provided by Concerto, an online music vendor. Before accessing the catalog, Bret must agree to a provision stating that she will not make and sell copies of the music. This provision is

Accepted Answer

This provision is a click-on agreement because Bret must explicitly agree to the provision by clicking on an "I agree" or "accept" button before accessing the catalog. A browse-wrap term is present when a website's terms and conditions are available via hyperlink but do not require the user's express agreement. A shrink-wrap agreement is a term used in connection with physical products sold with a notice stating that by opening the packaging, the buyer agrees to certain terms. A partnering agreement is a contract between two companies to work together in certain ways.

Quiz 8: Agreement in Traditional and E-Contracts