MPOETC Contract Law & Commercial Transactions 2

Question 1

A person signs a contract while under the influence of alcohol. Under contract law, this contract is most likely:

Accepted Answer

Voidable at the intoxicated party's option

Answer

Contracts signed under intoxication are generally voidable, meaning the intoxicated party may choose to affirm or rescind them upon regaining capacity.

Question 2

Under the Uniform Commercial Code (UCC), a merchant's firm offer to keep an offer open is binding without consideration for a maximum of:

Accepted Answer

3 months

Answer

UCC §2-205 provides that a merchant's written firm offer is irrevocable for the stated time, but no longer than three months.

Question 3

When a police officer responds to a dispute over a home repair contract, which element would make the contract unenforceable for lack of consideration?

Accepted Answer

The contractor promised to do future work as consideration for past work already completed

Answer

Past consideration — a promise given for something already done — is not valid consideration and renders a contract unenforceable.

Question 4

A seller delivers 500 widgets when the contract called for 600. Under the UCC, the buyer's rights include:

Accepted Answer

Reject all, accept all, or accept conforming goods and reject the rest

Answer

Under UCC §2-601, the perfect tender rule gives buyers the right to reject all, accept all, or accept any commercial units and reject the rest.

Question 5

An officer is investigating a fraud complaint involving a contract. Which of the following best describes fraudulent misrepresentation in contract law?

Accepted Answer

A knowingly false statement of material fact made to induce a party to contract

Answer

Fraudulent misrepresentation requires a false statement of material fact, knowledge of its falsity, intent to deceive, and reliance by the victim causing damages.

MPOETC - ACT 120 Certified Police Officer Practice Test

MPOETC - ACT 120 Certified Police Officer Practice Test

MPOETC Contract Law & Commercial Transactions 2