Show:
Transfer of Title
Sales
Warranties
Agency
Business Organization
100
All property that is not real property.
What is personal property?
100
UCC is an acronym for what.
What is Uniform Commercial Code?
100
How would the law distinguish between oral statements of warranty and puffing?
What is Collapse View Original Post Parent Post Oral statements of warranty are proven facts about the product and puffing is just an expression of opinion. Example or oral statement of warranty: "This car can get up to 40 miles to the gallon." Example of puffing: "This blender is the best one you will ever buy."
100
Name a way that an agency may be terminated.
What is 1. the principal and the agent have mutually agreed on termination 2. the principal has dissmissed the agent 3. the agent has given up on the postition 4. the purpose of the agency relationship is fulfilled
100
This is the easiest business organization to set up and to dissolve. Some disadvantages are: unlimited liability and difficulty raising money.
What is a sole proprietorship?
200
A person who finds an item has good title against whom?
What is everyone but true owner?
200
The UCC does not cover this
What is securities, real estate, and services?
200
Sleeping Beauty is browsing around the Wicked Stepmother Sewing Shop. She sees an old sewing machine marked “as is.” She buys the machine for $20. The first time she uses it the needle malfunctions and stabs Sleeping Beauty’s finger. She sues Wicked Stepmother for breach of the implied warranty of merchantability. Could Wicked Stepmother be liable? War 22, Law in a Flash Cards Sales (UCC Article 2), 1989.
What is No, because the machine was labelled "as is," which means the implied warranties of merchantability and fitness for a particular purpose are disclaimed.
200
Franklyn, a clerical employee of Woodbury Co., told Buron that he was an agent of the company and made a contract on behalf of Woodbury. Later Woodbury repudiated the contract and claimed that Franklyn had no authority to enter into a contract. Buron then sued Frankln who claimed that he thought he had the authority. Will Buron succeed in her suit?
What is Principle of law: Employers are not liable to third parties for the acts of their agents if the agents exceed their actual and apparent authority. Decision: It is doubtful that Buron could convince a court that he thought Franklyn, a clerical worker, had the authority to enter into a contract.
200
Difference between partnership and joint venture.
What is psp is long term. Joint Venture is where people become partners for only a short period of time or for only a single project.
300
______ passes when the parties intend for it to pass.
What is title?
300
What if a contract includes both services and goods -- when will the UCC apply?
What is when the contract is primarily for goods?
300
Morrison is browsing at the Lakehurst Zeppelin Co. He is considering a Hindenberg model, but is concerned about its safety. Bud Lakehurst, the owner, tells him: “Don’t worry. All our zeppelins are indestructible, and cannot catch fire under any circumstances.” Morrison buys a zeppelin, which subsequently hits a telegraph wire and bursts into flames, injuring Morrison and his passengers. He sues Lakehurst for breach of express warranty based on his statement. Lakehurst claims it was not a warranty because he didn’t use language like guarantee or warranty. Is Lakehurst correct? War 15, Law in a Flash Cards Sales (UCC Article 2), 1989. War 28, Law in a Flash Cards Sales (UCC Article 2), 1989.
What is No. Under UCC 2-312(2). As long as seller makes any affirmation of fact or promise, relating to the the goods, which becomes part of the basis of the barain, seller is expressly warranting the goods. Statements made any time a buyer "could have relied on it" in entering a contract.
300
Ferrara made a contract with Perret without informing her that he was acting on behalf of National Steel Co. Ferrara had actual express authority, as provided in his contract of agency with National. The contract was breached and Perret sued National National claimed that Perret could not sue because her contract was with Ferrara, and not with National . Will Perret be successful in her suit against National?
What is Principle of law: Third parties can sue an agent of an undisclosed principal. However, once the principal has been identified, third parties can sue either the agent or the principal. Decision: Yes. Perret can sue National once National’s identity is known.
300
Legal exposure such that a person with a claim against a general psp can elect to sue either all of the partners together or any individual partner whom he or she chooses.
What is joint and several liability?
400
Brilley, a shipping clerk employed by Rexer Auto Parts, stole an autombile engine and sold it to a friend, Petras. After Rexeer Auto discharged Brilley, the owners suspected that Petras had possession of the stolen engine, which they could prove was their property by its serial number. Witht he aid o the police, they recovered the stolen engine. Even if Petras had sold the engine to Jones, who sold it to Smith, Rexeer Auto could recover the proerty at any point. Why?
What is Rexeer never lost title to it?
400
Goods of a special design, construction or manufacture is neither a contract for sale nor a contract to sell. Rather it is a contract for labor and materials. If John and Sue orally agree that Sue will build $2000 worth of custom-made kitchen cabinets, can John repudiate (cancel) the contract because it is not in writing?
What is it depends. If Sue has not made either an substantial beginning in manufacturing the goods or commitments for their procurement, then John may repudiate the contract. However, if Sue has begun manufacturing or has made commitments (including already purchasing the materials), then John may not repudiate even though it violates the Statute of Frauds. This is an exception in the UCC.
400
Jack Beanstalk is interested in doing some mountain climbing. He goes to the Shinn Splint Sporting Goods Store, and buys some rope, hooks, picks, and maps of good mountains to climb. He tells the salesman, “I need shoes as well.” And the salesman recommends Treebark aeros. Jack buys them. In fact, Aeoros are great for jogging but useless and dangerous for mountain climbing. When the shoes shred on Jack’s first outing, under normal use, he sues for breach of warranty of fitness for a particular purpose. Shinn defends on the grounds that Jack never specifically said the shoes were to be used for mountaineering. Can Jack win? War 25, Law in a Flash Cards Sales (UCC Article 2), 1989.
What is Yes, because te seller had reason to know that the goos were to e used for a particular purpose -- mountain climbing -- and that the buyer, Jack, would rely on the seller's skill and judgment in selecti
400
Washington purchased an automobile from Courtesy Motor Sales, a Ford automobile dealer. After the car was delivered, she discovered that the car she thought was new was in fact used and that the odometer had been turned back to conceal the mileage. Washington sued Courtesy and named Ford Motor Company in the suit on the grounds that Courtesy was acting as an agent for the manufacturer. Will Washington succeed in her suit against Ford?
What is Principle of law: For an agency to exist, a contract of agency must exist, not merely “authorized agency” commonly used in the automobile industry. Decision: Judgment for Ford Motor. The court held that Courtesy was not an agent of Ford Motor.
400
This business form can be started by applying for a charter in one of the 50 states. It is considered a legal person and courts have granted this business organization constitutional rights similar to those granted individuals such as freedom of speech, due process of law, and freedom from unreasonable searches and seizures. While, in general, corporations may freely give charitable contributions, but political contributions are strictly regulated. They exist in perpetuity. DBL define perpetuity. DBL Jeopardy: how has the language in this question does not accurately depict our relationship with our government?
What is corporations? Perpetuity -- perpetual. Gov't did not grant individuals the rights in the Bill of Rights. Individuals are "ENDOWED BY THEIR CREATOR with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness. — That to secure these rights, Governments are instituted among Men, deriving their just powers from the consent of the governed, — That whenever any Form of Government becomes destructive of these ends, it is the Right of the People to alter or to abolish it, and to institute new Government. The Constitution: "We the people of the United States, in order to form a more perfect union . . . " Ninth Amendment: "The enumeration in the Constitution, of certain rights, shall not be construed to deny or disparage others retained by the people."
500
To prove ____, you must prove: (1) purchase made in good faith (buyer believed seller was owner); (2) purchase was made from one in rightful possession; and (3) buyer paid for it
What is transfer by estoppel?
500
When may a bidder retract his bid? If a bidder retracts his bid, does it revive the previous bid?
What is any time before the hammer falls? Previous bids do not revive.
500
The Gree-C Spoon Diner buys a few “snowy paperweights.” The Diner keeps the paperweights near the register, and a couple of customers buy them. One such customer, Mr. Dan Ketchup, shakes his paperweight to see it snow and it shatters, gashing his hand. It turns out the glass in the paperweights is defective. Ketchup sues the Diner on the basis of breach of implied warranty of merchantability. Can he win? War 23, Law in a Flash Cards Sales (UCC Article 2), 1989.
What is No. An action for breach of the implied warranty of merchantability requires that defendant be a merchant in goods of the kind, not a casual seller with an isolated transaction.
500
Blodgett, while walking on a public sidewalk, was injured when a large piece of wood fell from a construction job at the offices of Olympic Savings and Loan Assoc. The construction work was being done by Drury Construction. Blodgett sued both Olympic and Drury, claiming that Drury was an agent for Olympic. Olympic denied bot responsibility for the injury and the existence of agency relationship with Drury. Will Blodgett succeed in her suit against Olympic?
What is Principle of law: Principals are responsible for the torts of their agents—if, in fact, an agency relationship exists. Decision: Judgment for Olympic Savings. No agency shown; Drury was an independent contractor.
500
What is piercing the corporate veil? When may it happen?
What is assigning responsibility for corporate obligations to the shareholders? (Ignoring the corporate form and going to the owners to obtain payment.) Examples: if corporation is set up to specifically defraud the public. Or if the corporation is not adequately funded with liability insurance.