A novation technically works this way: Under some circumstances, the law impliedly cancels the contract and the parties are then returned to the positions they occupied before the contract was created.

True

False

Among other things, an enforceable agreement must include and offer and an acceptance.

True

False

Under the doctrine of promissory estoppel, a gratuitous promise (with no consideration) is binding if the promisee changes position in reliance on the promise.

True

False

"Substantial performance" of a contract is defined as a situation whereby a party has primarily performed her part of the bargain (even though there may be a small deviation from complete performance).

True

False

When the law requires an "election of remedies" this means that the innocent party must choose the remedy he or she wants.

In a franchise, a franchisee actually owns the business.

True

False

Bylaws are the rules of management adopted by a corporation.

True

False

Corporate officers can be empowered to make decisions relating to ordinary corporate affairs.

True

False

A corporation has thirty-five shareholders. QUESTION: The minimum number that must be present at a meeting for a shareholder's vote is what?

a proxy

a quorum

twenty

thirty-five

Carol and Drew are directors in ABC Corporation. They are two of nine directors. STATEMENT: In most states, the minimum number of directors that could declare a dividend on corporate stock would be...

one

two

five

nine