(1)Which of the following doesnotconstitute an express warranty?

a."This car will give you a great deal of satisfaction."

b."This car is equipped with Michelin radial tires."

c."This car goes from 0 to 60 mph in 10 seconds."

d.All of the above are express warranties.

(2)Credit counselors are regulated under:

a.the Fair Debt Collections Practices Act.

b.the Fair Credit Billing Act.

c.Dodd-Frank - Consumer Financial Protection Act.

d.the Credit Repair Organizations Act.

(3)Resale price maintenance is:

a.arule ofreasonviolation.

b.an attempt by a retailer to control prices.

c.regulated by the Clayton Act.

d.all of the above

(4)The requirements for an effluent permit:

a.must meet the BAT standard.

b.must consider economic effects.

c.need not consider economic effects.

d.both a and b

e.both b and c

(5)TheNoerr-Penningtondoctrine:

a.is an exception to price fixing.

b.is based on First Amendment rights.

c.does not provide protection even when the action is a sham for anticompetitive behavior.

d.all of the above

(6)Negligence product liability cases:

a.are the same as 402A cases.

b.have no defenses.

c.require proof of privity.

d.none of the above

(7) Christiansen Motors ran an ad in the Saturday newspaper with the following language, "The first 10 customers who come to the dealership and purchase a car will get 0% financing for 4 years on any car."Greta Jones went to Christiansen's show room to buy a car with 0% financing, but Christiansen refused to sell a car at 0% financing because it had already sold 10 cars before Greta arrived.Which of the following is correct?

a.Christiansen made an offer with its newspaper ad.

b.Christiansen needed to be more careful in its language and put a time limit on the offer or sell a car to Greta for the promised rate.

c.Christiansen must sell a car to Greta at 0% financing because it ran an ad promising to do so.

d.Christiansen need not sell a car to Greta for the rate in the ad.

e.Christiansen did not make an offer and was not obligated to sell the first 10 cars.

(8)An ad in a newspaper reads: "AVAILABLE TODAY ONLY. FRIENDLY'S APPLIANCES. CLEARANCE SALE FOR ALL FLOOR ITEMS. 75% OFF RETAIL PRICES." Joan Ludwig arrived at Friendly's about one hour after it opened and there were no appliances left.

Which of the following is true?

a.Friendly's has breached a contract and owes damages to Joan.

b.There is no breach of contract.

c.Joan has no rights of recovery because the contract was required to be in writing.

d.There was no contract, but Joan can recover on the basis of quasi contract.

e.none of the above

(9)Ralph Walters wanted to begin an exercise program and decided to enroll in a local aerobics class. He was told that he would need proper aerobic work-out shoes. Ralph went to an athletic shoe store and explained his needs to the sales clerk and also added that since he had never done aerobics, he was unsure what type of shoe he would need. The sales clerk recommended a shoe that Ralph purchased. When Ralph arrived at aerobics class, his instructor said his shoes were not appropriate for aerobics and that Ralph might injure himself if he used them for the workout. When Ralph returned to the store with the shoes, the store refused to exchange them, citing the three-day limitation on returns. Suppose Ralph's sales receipt had stamped on it in red letters "AS IS." The shoe store:

a.has breached the implied warranty of fitness for a particular purpose and is required to refund Ralph's money or exchange the shoes.

b.is within its rights to refuse to take the shoes back.

c.has not breached any warranty since Ralph had no contract with any promises written in it.

d.none of the above

(10)

Takata manufactures air bags that are sold to automakers for installation in their vehicles.A series of Takata air bags were prone to explosion, and resulted in the recall of 19 million vehicles in the United States, 8 deaths, and hundreds of injuries.When the air bags explode, they send shrapnel throughout the vehicles.

Some employees at Takata have come forward to reveal that they were aware that there were problems with the air bags and that the testing data may have been altered to minimize the likelihood of an explosion of the air bags.This information:

a.will exonerate the car manufacturers from liability to victims.

b.both a and b

c.could be the type of information that could result in punitive damages.

d.none ofthe above

e.is not needed to establish a Section 402A product liability case.