Question 1

A common law rule known as the ________ required that the seller deliver goods in conformity with the terms of the contract,down to the last detail.

Accepted Answer

A)A common law rule known as the perfect tender rule required that the seller
deliver goods in conformity with the terms of the contract,right down to the last detail.
B)A common law rule known as the perfect tender rule required that the seller deliver goods in conformity with the terms of the contract,right down to the last detail.
C)A common law rule known as the perfect tender rule required that the seller deliver goods in conformity with the terms of the contract,right down to the last detail.
D)A common law rule known as the perfect tender rule required that the seller deliver goods in conformity with the terms of the contract,right down to the last detail.
E)A common law rule known as the perfect tender rule required that the seller deliver goods in conformity with the terms of the contract,right down to the last detail.

Question 2

What was the result on appeal in the case in the text Alaska Pacific Trading Co.v.Eagon Forest Products Inc.in which the defendant rejected a shipment of logs,and the plaintiff/seller claimed that its late shipment was excused because the contract did not specify that time was of the essence?

Accepted Answer

A)According to the court,because the logs were not shipped when required "under the perfect tender rule,ALPAC [the plaintiff] breached its duty under the contract and released Eagon from its duty to accept the logs."
B)According to the court,because the logs were not shipped when required "under the perfect tender rule,ALPAC [the plaintiff] breached its duty under the contract and released Eagon from its duty to accept the logs."
C)According to the court,because the logs were not shipped when required "under the perfect tender rule,ALPAC [the plaintiff] breached its duty under the contract and released Eagon from its duty to accept the logs."
D)According to the court,because the logs were not shipped when required "under the perfect tender rule,ALPAC [the plaintiff] breached its duty under the contract and released Eagon from its duty to accept the logs."
E)According to the court,because the logs were not shipped when required "under the perfect tender rule,ALPAC [the plaintiff] breached its duty under the contract and released Eagon from its duty to accept the logs."

Question 3

Which statement is correct regarding any right of inspection for buyers?

Accepted Answer

A)Under UCC Sections 2-5131)and 2A-5151),the seller or lessor must provide an opportunity for inspection before enforcing payment.
B)Under UCC Sections 2-5131)and 2A-5151),the seller or lessor must provide an opportunity for inspection before enforcing payment.
C)Under UCC Sections 2-5131)and 2A-5151),the seller or lessor must provide an opportunity for inspection before enforcing payment.
D)Under UCC Sections 2-5131)and 2A-5151),the seller or lessor must provide an opportunity for inspection before enforcing payment.
E)Under UCC Sections 2-5131)and 2A-5151),the seller or lessor must provide an opportunity for inspection before enforcing payment.

Question 4

What type of notice must a party who wishes to replace nonconforming goods and cure within the time set for performance give the other party?

Accepted Answer

A)Sellers and lessors can repair,adjust,or replace defective or nonconforming
goods as long as they give prompt notice of the intent to cure and go ahead and cure within the contract time for performance.
B)Sellers and lessors can repair,adjust,or replace defective or nonconforming goods as long as they give prompt notice of the intent to cure and go ahead and cure within the contract time for performance.
C)Sellers and lessors can repair,adjust,or replace defective or nonconforming goods as long as they give prompt notice of the intent to cure and go ahead and cure within the contract time for performance.
D)Sellers and lessors can repair,adjust,or replace defective or nonconforming goods as long as they give prompt notice of the intent to cure and go ahead and cure within the contract time for performance.
E)Sellers and lessors can repair,adjust,or replace defective or nonconforming goods as long as they give prompt notice of the intent to cure and go ahead and cure within the contract time for performance.

Question 5

Which statement is correct regarding any right of inspection for lessees?

Accepted Answer

A)Under UCC Sections 2-5131)and 2A-5151),the seller or lessor must provide
an opportunity for inspection before enforcing payment.
B)Under UCC Sections 2-5131)and 2A-5151),the seller or lessor must provide an opportunity for inspection before enforcing payment.
C)Under UCC Sections 2-5131)and 2A-5151),the seller or lessor must provide an opportunity for inspection before enforcing payment.
D)Under UCC Sections 2-5131)and 2A-5151),the seller or lessor must provide an opportunity for inspection before enforcing payment.
E)Under UCC Sections 2-5131)and 2A-5151),the seller or lessor must provide an opportunity for inspection before enforcing payment.

Question 6

________ occurs when all the material elements of a contract are satisfied,even if some nonmaterial requirements may not be satisfied?

Accepted Answer

A)Substantial performance occurs when all the material elements of a contract are
satisfied even if some nonmaterial requirements may not be satisfied.
B)Substantial performance occurs when all the material elements of a contract are satisfied even if some nonmaterial requirements may not be satisfied.
C)Substantial performance occurs when all the material elements of a contract are satisfied even if some nonmaterial requirements may not be satisfied.
D)Substantial performance occurs when all the material elements of a contract are satisfied even if some nonmaterial requirements may not be satisfied.
E)Substantial performance occurs when all the material elements of a contract are satisfied even if some nonmaterial requirements may not be satisfied.

Question 7

Which term refers to the history of dealings between the parties in the particular contract at issue,under the UCC?

Accepted Answer

A)Course of performance refers to the history of dealings between the parties in the
particular contract at issue.
B)Course of performance refers to the history of dealings between the parties in the particular contract at issue.
C)Course of performance refers to the history of dealings between the parties in the particular contract at issue.
D)Course of performance refers to the history of dealings between the parties in the particular contract at issue.
E)Course of performance refers to the history of dealings between the parties in the particular contract at issue.

Question 8

Under the UCC,________ requires that the seller/lessor have and hold conforming goods at the disposal of the buyer/lessee and give the buyer/lessee reasonable notification to enable him or her to take delivery.

Accepted Answer

A)UCC Sections 2-5031)and 2A-5081)state that tender of delivery requires that
the seller/lessor have and hold conforming goods at the disposal of the buyer/lessee and give the buyer/lessee reasonable notification to enable him or her to take delivery.
B)UCC Sections 2-5031)and 2A-5081)state that tender of delivery requires that the seller/lessor have and hold conforming goods at the disposal of the buyer/lessee and give the buyer/lessee reasonable notification to enable him or her to take delivery.
C)UCC Sections 2-5031)and 2A-5081)state that tender of delivery requires that the seller/lessor have and hold conforming goods at the disposal of the buyer/lessee and give the buyer/lessee reasonable notification to enable him or her to take delivery.
D)UCC Sections 2-5031)and 2A-5081)state that tender of delivery requires that the seller/lessor have and hold conforming goods at the disposal of the buyer/lessee and give the buyer/lessee reasonable notification to enable him or her to take delivery.
E)UCC Sections 2-5031)and 2A-5081)state that tender of delivery requires that the seller/lessor have and hold conforming goods at the disposal of the buyer/lessee and give the buyer/lessee reasonable notification to enable him or her to take delivery.

Question 9

How does the position of the UCC compare with the common law in regard to the perfect tender rule?

Accepted Answer

A)The UCC and common law differ with the UCC requiring perfect tender and common law requiring the lesser standard of substantial performance.
B)The UCC and common law differ with the UCC requiring perfect tender and common law requiring the lesser standard of substantial performance.
C)The UCC and common law differ with the UCC requiring perfect tender and common law requiring the lesser standard of substantial performance.
D)The UCC and common law differ with the UCC requiring perfect tender and common law requiring the lesser standard of substantial performance.
E)The UCC and common law differ with the UCC requiring perfect tender and common law requiring the lesser standard of substantial performance.

Question 10

Which statement is correct regarding the UCC and norms in the industry?

Accepted Answer

A)The UCC requires that courts consider norms in a particular trade.
B)The UCC requires that courts consider norms in a particular trade.
C)The UCC requires that courts consider norms in a particular trade.
D)The UCC requires that courts consider norms in a particular trade.
E)The UCC requires that courts consider norms in a particular trade.

Question 11

In reference to the case in the text DeJesus v Cat Auto Tech.Corp. ,what was the effect of the defendant's payment for goods without inspection on the day of delivery,when the delivery was approximately two weeks after the time called for by the contract?

Accepted Answer

A)According to the court,"Defendant's payment by check for the goods upon their delivery provided the plaintiff with a measure of reliance that the same would be acceptable.Defendant's failure to properly notify plaintiff of the nonconformity effectively prevented plaintiff from an opportunity to cure any defects…"
B)According to the court,"Defendant's payment by check for the goods upon their delivery provided the plaintiff with a measure of reliance that the same would be acceptable.Defendant's failure to properly notify plaintiff of the nonconformity effectively prevented plaintiff from an opportunity to cure any defects…"
C)According to the court,"Defendant's payment by check for the goods upon their delivery provided the plaintiff with a measure of reliance that the same would be acceptable.Defendant's failure to properly notify plaintiff of the nonconformity effectively prevented plaintiff from an opportunity to cure any defects…"
D)According to the court,"Defendant's payment by check for the goods upon their delivery provided the plaintiff with a measure of reliance that the same would be acceptable.Defendant's failure to properly notify plaintiff of the nonconformity effectively prevented plaintiff from an opportunity to cure any defects…"
E)According to the court,"Defendant's payment by check for the goods upon their delivery provided the plaintiff with a measure of reliance that the same would be acceptable.Defendant's failure to properly notify plaintiff of the nonconformity effectively prevented plaintiff from an opportunity to cure any defects…"

Question 12

is defined by the UCC as any practice that members of an industry expect to be part of their dealings.

Accepted Answer

A)UCC Section 1-2052)defines usage of trade as any practice that members of an
industry expect to be part of their dealings.
B)UCC Section 1-2052)defines usage of trade as any practice that members of an industry expect to be part of their dealings.
C)UCC Section 1-2052)defines usage of trade as any practice that members of an industry expect to be part of their dealings.
D)UCC Section 1-2052)defines usage of trade as any practice that members of an industry expect to be part of their dealings.
E)UCC Section 1-2052)defines usage of trade as any practice that members of an industry expect to be part of their dealings.

Question 13

The UCC defines as previous commercial transactions between the same parties.

Accepted Answer

A)UCC 1-2051)defines course of dealing as previous commercial transactions
between the same parties.
B)UCC 1-2051)defines course of dealing as previous commercial transactions between the same parties.
C)UCC 1-2051)defines course of dealing as previous commercial transactions between the same parties.
D)UCC 1-2051)defines course of dealing as previous commercial transactions between the same parties.
E)UCC 1-2051)defines course of dealing as previous commercial transactions between the same parties.

Question 14

Which of the following did the appellate court recognize in SCM Group,U.S.A. ,Inc. ,v.Custom Designs & Manufacturing Co. ,Inc. ,the case in the text in which the plaintiff sued the defendant after the defendant refused to pay for equipment?

Accepted Answer

A)The court recognized that the defendant did not reject the equipment,that the equipment was accepted,and that the defendant was required to pay "the contractual price for it plus any damages that resulted from its breach of the contract."

Question 15

The UCC requires that sellers and lessors tender ________ goods to the buyer or lessee.

Accepted Answer

A)The UCC requires that sellers and lessors tender conforming goods to the buyer
or lessee.
B)The UCC requires that sellers and lessors tender conforming goods to the buyer or lessee.
C)The UCC requires that sellers and lessors tender conforming goods to the buyer or lessee.
D)The UCC requires that sellers and lessors tender conforming goods to the buyer or lessee.
E)The UCC requires that sellers and lessors tender conforming goods to the buyer or lessee.

Question 16

Sellers and lessors have the right to ________ or fix problems with nonconforming goods,under sections of the UCC.

Accepted Answer

A)Under UCC Sections 2-508 and 2A-513,sellers and lessors have the right to cure or fix problems with nonconforming goods.
B)Under UCC Sections 2-508 and 2A-513,sellers and lessors have the right to cure or fix problems with nonconforming goods.
C)Under UCC Sections 2-508 and 2A-513,sellers and lessors have the right to cure or fix problems with nonconforming goods.
D)Under UCC Sections 2-508 and 2A-513,sellers and lessors have the right to cure or fix problems with nonconforming goods.
E)Under UCC Sections 2-508 and 2A-513,sellers and lessors have the right to cure or fix problems with nonconforming goods.

Question 17

Which of the following is false regarding the perfect tender rule?

Accepted Answer

A)The UCC and common law differ,with the UCC requiring perfect tender and
common law requiring the lesser standard of substantial performance.Substantial performance occurs when all the material elements of a contract are satisfied even if some nonmaterial requirements may not be satisfied.
B)The UCC and common law differ,with the UCC requiring perfect tender and common law requiring the lesser standard of substantial performance.Substantial performance occurs when all the material elements of a contract are satisfied even if some nonmaterial requirements may not be satisfied.

Question 18

Which of the following are goods that conform to contract specifications?

Accepted Answer

A)Conforming goods are goods that conform to contract specifications.
B)Conforming goods are goods that conform to contract specifications.
C)Conforming goods are goods that conform to contract specifications.
D)Conforming goods are goods that conform to contract specifications.
E)Conforming goods are goods that conform to contract specifications.

Question 19

The term "reasonable commercial standards of fair dealing" is often called _.

Accepted Answer

A)Between merchants,the UCC imposes not only honesty in fact but also
reasonable commercial standards of fair dealing.This second requirement is often called commercial reasonableness.
B)Between merchants,the UCC imposes not only honesty in fact but also reasonable commercial standards of fair dealing.This second requirement is often called commercial reasonableness.
C)Between merchants,the UCC imposes not only honesty in fact but also reasonable commercial standards of fair dealing.This second requirement is often called commercial reasonableness.
D)Between merchants,the UCC imposes not only honesty in fact but also reasonable commercial standards of fair dealing.This second requirement is often called commercial reasonableness.
E)Between merchants,the UCC imposes not only honesty in fact but also reasonable commercial standards of fair dealing.This second requirement is often called commercial reasonableness.

Question 20

Which of the following states that when a contract for sale involves repeated occasions for performance by either party with the other's knowledge of the nature of the performance and opportunity for objection to it,any course of performance accepted or acquiesced to without objection is relevant to determine what the parties' agreement means?

Accepted Answer

A)The course of performance rule states that when a contract for sale involves
repeated occasions for performance by either party with the other's knowledge of the nature of the performance and opportunity for objection to it,any course of performance accepted or acquiesced to without objection is relevant to determine what the parties' agreement means.

Quiz 23: Performance and Obligations Under Sales and Leases