chap 4

A mistake about the goods in a contract means there is no ………….... If a contract is the entire agreement, earlier letters and documents ……... must be two sided 48.The entire agreement pr

Chapter 4 Multiple choice questions

1 Anglo- American law is also called………

c.The Vienna convention system

d.All countries in the world

7 Continental law is also called ………

a “ Offer and decline”

b “ Offer and refusal”

c.“Offer and acceptance”

d “ Offer and renewal”

20 A mistake about the goods in a contract means there is no …………

b Withdraw common law

c Withdraw case law

d Withdraw legal law

27.Feeble- minded people are legally unable to ……… contracts

a may invalidate the rest

b does not invalidate the rest

c affects the rest

d enforces the rest

32 Agreements, under Anglo- American law, are of ……

a two types

b three types

c four types

d five types

33.Under the public law, a company can only sign a contract …………

a even when they lack powers

b that is beyond its power

c both a and b

d that is within its power

34 A contract that is ultra vires is ………

a well enforceable

b unenforceable

c valid

d effective

35.A contract is not enforceable if …………

a it is signed within power

b it has a legal purpose

c it has an illegal purpose

d it has no purpose

36.Partial invalidity clause can help to avoid problems with contracts

that………

a might infringe government regulations

b violate the trade laws

c discourage trade

d both b and c

37 If a contract is the entire agreement, earlier letters and documents ……

a can be used as evidence

b become invalid

c prevail

d remain important

38 The answers to background questions are written ………

a through the whereas -recital

b through the annex

40.Whereas-clauses ………

a are provisions

b are promises

c are conditions

d are not provisions, promises or conditions

41 ……… are the explanations

a in the contract documents

b in the payment clause

c in the recital

d in the delivery clause

44.In a contract under a Continental law, a recital ……

47.Within most Anglo- American jurisdictions, a contract……….

a can be one - sided

b can be two – sided

c can be either one-sided or two- sided

d must be two sided

48.The entire agreement provision means ……… must be established within the contract itself

a the background of the contract

b important letters and memoranda

d near the end

52.The “order of precedence” among the documents explains ………

a the authority of the documents

b the meaning of the documents

c the value of the documents

d the assignment of the documents

53.The Anglo- American contract is ………

a not the entire agreement

b , traditionally, the entire agreement

c sometimes the entire agreement

d rarely the entire agreement

54.The entire agreement clause means that all documents that predate the contract ………

a are still valid

b become important

c become invalid

d can be used as evidence

55.The background of the contract is provided in the form of …………

57.The exporter must know the legal identity of the buyer ………… that may arise.

a resolve payment problems

b settle disputes

c solve problems

d all of these

58.The names of parties to contract are often on the first page of the contract

a the first page

b the second page

c the last page

a are forced

b are not forced

c are allowed

d are not allowed

62 ………… can create no – contract situations

a Only duress

b Only fraud

c Only mistake

d Duress, fraud, and mistake all

63 In a contract, consideration may consist of ………

a only right

b only interest

c only profit, detriment, and loss

d right, interest, profit, detriment, and loss

64.Under Anglo- American law, a contract must give ………

a both sides rights and duties

b each side rights

c each side duties

d not duties but rights

65.Continental law is widely used for …………

a international issues

b national issues

c both national and international issues

d neither international nor national issues

66.The official mailing addresses of the parties are given in:………

a The duplicate of the signature

b The authenticity of the signature

c The coverage of the signature

d The transferability of the signature

69.In international practice, problems of Assignment of rights and delegation ofduties can be reduced by using:

a Prior written consent of the other party

b Prior conversation of the other party

c Prior consultation of the other party.

d Prior talk to the other party

70.In contracts, -, is not normally allowed

74. - occurs when contract allows one party to end it under givencircumstances.

a Suspension and non-performance

b Frustration and impossibility

c Disruption and prevention

d Suspension and acceptance

78.Cancellation on - grounds makes no legal sense.

81.Of the three options available for settling disputes, litigation before the court

is internationally least attractive as it is

-a Expensive and legalistic

b Business- like and flexible

c Time-saving and private

d Fast and acceptable

82.The - has no power to enforce his solution or to bind the parties, his task is to suggest a fair solution only

a Judge

b Conciliator

c Magistrate

d Lawyer

83.The advantages of arbitration are

-a Private and foreseeable costs

b Lengthy and open

c Binding and rigid

86.In drafting an arbitration clause, the following questions must be resolved:

a How many arbitrators sit in the court

b What is the language of the court

c Where is the place of the court

d All of the above

87.The arbitrators’ awards are

-a Consultative and examinatorial

b Final and enforceable

c Referrable and reverable

d All of the above

88.If the buyer comes from a country which has a poor reputation for enforcing awards, the best method of payment under the contract is a/ an -

d Discharged with perfromance

94. - is two- sided procedures

a Termination

b Cancellation

c Rescission

d Suspension

95.When a contract is cancelled, a payment problem arises; the party in breach has a - case of payment.

a Strong

b Weak

c Solid

d Big

96 The Vienna Sales Convention is also called:

a The Uniform Law of International Sale

b The Uniform Law on the Formation of Contracts for the International Sale of Goods

c The United Nations Convention on Contracts for the International Sale ofGoods

d The United Nations Convention on Contracts for acceptance

97.Which of the following is not needed for a legally binding contract to be in force?

a Another name for acceptance

b Another name for an offer

c An invitation to the other party to make an offer

d An invitation to the other party to accept an offer

99.When an offer is made , it is not applicable when it has ?

a Suspension

b Renovation

c Revocation

d Adoptation

100 A unilateral offer can be defined as:

a An offer made of a promise in return for a promise

b An offer made of a promise in return for an act

c An offer made of an act in return for an act

d An offer made of act in return for a promise